Tuesday, May 29, 2007
Attrition rate low in State's IT industry
Dinesh P. Thampi, delivery-centre head of Tata Consultancy Services, Kochi, says this advantage can help Kerala position itself as an IT destination. At less than 5 per cent, the attrition rate is much lower than the national average.
(Industry captains single out attrition as a major bane of IT and related industries in the country. Youths, who make up a good share of the workforce, tend to change jobs and companies often.)
Mr. Thampi was presenting a paper on global IT trends at a talk convened here on Tuesday by the Kochi chapters of the Computer Society of India and the Indian Society for Training and Development.
Enlisting the advantages of Kerala in IT, he said the State was the first to set up an IT park, Technopark in Thiruvananthapuram, and implement a regulatory framework for the IT and IT-enabled services (ITES) industry. Airports, roads and railways provide good accessibility, an important factor for IT promotion.
He said Kochi was strategically located, as it hosted Videsh Sanchar Nigam Ltd.'s primary international gateway in India and, therefore, accounted for 75 per cent of the country's traffic. The city was one of the top two preferred ITES destinations in the country.
The operational cost in Kerala was much lower than that in other Indian cities, with rentals and power and water tariffs among the lowest, he said.
Kerala enjoyed an edge in data communication and telecommunication infrastructure, with 100 per cent digital telephone exchanges, increased optical fibre cable connectivity, high telephone density of 10.58 per 100, double the national average, and twin submarine cable landings: South-East Asia-Middle East-Western Europe 3 (SEA ME WE-3) and South Africa-Far East (SAFE).
Kerala had the added advantage of being the most literate State, offering an abundant talent pool with the right skill sets that was easier to train.
A conducive business environment was created through initiatives such as IT Mission and special economic zones, adoption of special purpose vehicle models and so on. Domestic IT and business-process outsourcing market in the State was in the upswing, with the introduction of dynamic e-governance programmes such as Kudumbasree, Akshaya and FRIENDS.
Friday, May 25, 2007
Airbus Gets a Boost from India
In the sales war between Airbus and Boeing, no battleground has been more fiercely contested than India. Rapidly expanding Indian carriers, including a crop of new discount airlines, have ordered close to $40 billion worth of big jets over the past two years.
Who's ahead? So far, it's Airbus, which has bagged 295 orders from Indian customers since January, 2005, vs. 138 for Boeing (BA). The value of Boeing's order book, close to $20 billion at list prices, is nearer to Airbus' roughly $22 billion in Indian orders because the U.S. planemaker has sold proportionately more widebody jets, which carry a higher price tag.
Still, Airbus is clearly gaining traction in one of the world's fastest-growing and most competitive aircraft markets (see BusinessWeek.com, 5/2/05, "Dogfight Over India"). Just last week, Hyderabad startup cargo carrier Flyington Freighters announced it was scrapping a plan announced last year to buy $1 billion worth of Boeing 777s, and instead would buy A330 freighters from Airbus.
Right Time, Right Product
That kind of news is especially welcome at Toulouse (France)-based Airbus, which has badly lagged Boeing on orders worldwide in the last year (see BusinessWeek.com, 1/5/07, "Boeing Takes Back the Skies"). The victory is especially sweet for Airbus, says Kapil Kaul, a Delhi consultant with the Center for Asia Pacific Aviation, because "India has traditionally been a Boeing market."
No more. Airbus has rung up big sales to Indian startup carriers such as Air Deccan and IndiGo, which are buying dozens of narrow-body A320s, and Kingfisher, which has ordered five double-decker A380 superjumbos, 15 widebodies including the new A350, plus 43 A320s. "We had the right products, and the market turned at the right time for us," says Airbus Executive Vice-President Kiran Rao, who oversees sales in India.
To lure customers, Airbus has offered substantial discounts and special deals on spare parts and services, says Izbal Munshi, a Mumbai aviation consultant who has worked with several Indian startup carriers. "When the orders are substantial, they come with a lot of freebies like free pilot training, engineering training, maintenance, and repair," Munshi says.
Partners and Outsourcers
Indeed, Airbus and its parent, European Aeronautic Defence & Space are planning to spend more than $2 billion in India over the next two years on projects such as an aircraft design center and crew-training facility in Bangalore that are expected to employ more than 2,000 people.
The European planemaker also is joining with Indian manufacturers such as Hindustan Aeronautics, which builds passenger doors for Airbus' narrow-body A320 plane. Indian outsourcing companies, in turn, are looking to grab more aerospace engineering and design work (see BusinessWeek.com, 5/15/07, "Indian Outsourcers' Sky-High Ambitions").
Can Indian carriers really afford all this new equipment? Rao says that all of Airbus' Indian customers have ample financial backing. But some industry watchers are concerned. "Banks are financing the private airlines, but many are not doing well," Munshi says. The Indian government says domestic carriers as a group are losing $400 million a year. Air Deccan, for example, posted a $50 million loss during the first three months of this year. Munshi predicts that some struggling carriers will have to defer delivery of planes they've ordered.
The Widebody Margin
Boeing may be better cushioned than Airbus if that happens. Although it has booked orders from some Indian startups, Boeing's major Indian customers—flag carrier Air India and Jet Airways, the country's longest established privately owned airline—are in better financial shape.
Air India is buying 27 of Boeing's new 787 Dreamliners, plus 23 widebody Boeing 777s. Jet Airways has ordered 10 Dreamliners and 10 777s. "Our market share is in widebody airplanes, which are more lucrative, and we are dealing with airlines that have been in business for a long time," says Dinesh Keskar, a Boeing senior vice-president of sales who is a veteran India hand.
Even if there's a shakeout ahead, Airbus and Boeing are sure to keep battling over sales to India. Both planemakers expect Indian carriers to place orders for tens of billions of dollars worth of airplanes over the next decade as domestic passenger numbers are expected to grow from 30 million today to 60 million by 2010 and 200 million by 2020. No wonder a head start in India matters so much to Airbus.
Thursday, May 24, 2007
Sleepless Nights for Religious Heads
The task force on Wednesday issued eviction notices to two churches, St Mary’s Orthodox Church and St Mary’s Jacobite Church, both at Kuppadi village limits. In another case, the Sulthan Bathery taluk officials issued eviction notice to the 10 hectares of land of St Mary’s College, run by the Orthodox Church.
At Sulthan Bathery, a shopping complex constructed in the revenue land by using fake records is under the consideration of the task force but notice is yet to be issued.Though the church group produced documents for the land in question, on close verification it was found to be fake.
At Mananthavadi taluk, the task force surveyed the land of another church and marked about 13 acres of land as encroached land.
Notices were issued to a mosque at Kuzhinilam.The leaders of both the UDF and the LDF are running from pillar to post to save their vote bank intact.
Eviction notices were issued to the Stream Valley Resorts, Jungle Park Resorts, Greeshmam Resorts (all in Vythiri taluk) and Sahyadri Resort (Mananthavadi taluk).Notices were also issued to the Kuppamudi estate.
Meanwhile, Congress leader M Kamalam denied the allegation that the trust headed by her had encroached revenue land and the land of KSRTC at Kalpetta.Addressing a press conference here she said that the 50 cents land on which the building was constructed was given to her by the government.The task force on Wednesday issued eviction notices to two churches.
NRI deposits grow to Rs.85 bn in Kerala bank
Total deposits have also grown from Rs.259.97 billion in 2005-06 to Rs.309.84 billion in 2006-07 and total business currently stood at Rs.560 billion, Chairman and Managing Director K Sitaraman told reporters on Thursday.
Net profit of the bank has grown from Rs.2.5 billion to Rs.3.2 billion, he said.
SBT, which has 704 branches including 572 in Kerala, is a major player in the NRI market and has rupee drawing arrangements with 20 exchange houses in the Middle East.
Eviction process continues in Kollam, Alappuzha
After complaints from environmental activists about encroachments, Revenue Divisional Officer PK Gopalan visited the Muttara Maruthimala near Oyoor in Kollam district. Maruthimala Haritha Samithi, a group of environmental activists, who had been waging a war against illegal quarrying and encroachments, had lodged a complaint with the authorities seeking immediate action against encroachers.
The RDO said prima facie evidence led to the conclusion that about seven acres of land had been encroached. He said the extent of encroachment could be assessed only after further examinations. This is one of the largest encroachments in the district after the ones on Ashtamudi Lake.
As per a 1978 survey by the Revenue Department, Maruthimala had extended to an area of 400 acres. A 2001 survey found that this had been reduced to 78 acres. The hillock had further shrunk to a mere 25 acres.
The Forests Department has asked Revenue officials for the details regarding Maruthimala. Maruthimala was chosen for developing into an important eco-tourism spot in Kollam after Thenmala. Considering this, the Forests Department had allotted Rs 40,000 to plant 1,200 trees in the area. But the project has not been implemented so far. In Punalur Municipal limits, a 48-hour notice was served for vacating about 5.40 acres of rubber.
Though the Vattakkayal Lake and surrounding areas had been evacuated by the Revenue Department, the biggest encroachment in the district, on the Ashtamudi Lake, are waiting for the decisive action from the district authority.
In Alappuzha, Revenue officials concentrated on the areas surrounding the Vembnad Lake, from where complaints of large-scale encroachments, including reclamation of the water body, had come up. Officials had already given notice to the famous Punnamada Resorts for razing the illegal constructions, and on Thursday, the resort owners themselves were seen removing the structures.
When the officials reached the spot, the resort management was on its own razing two resorts, which included swimming pools constructed on encroached lake-land. There were allegations that Thomas Chandy MLA from Kuttanand had encroached the water body adjacent to his Lake palace resort in the area.
Wednesday, May 23, 2007
Maharaja to stay as Air India mascot
"As ‘Air India’ is a globally and nationally recognised brand name, as well as the designated airline in international bilaterals — the ‘AI’ code being available only to the existing name, it has been decided that the merged entity would continue with the same name," Union Civil Aviation Minister Praful Patel told reporters in New Delhi on Tuesday.
The merged entity will thus have single code AI and famous IC code for Indian will cease to exist.
The design components of the new logo and livery have been drawn after merging some of the current features of both Air India and Indian Airlines. The logo of the new airline is a Flying Swan with the Konark Chakra placed inside it.
The Flying Swan has been morphed from Air India’s characteristic logo, ‘The Centaur’, whereas the ‘Konark Chakra’ is reminiscent of Indian’s logo. The new logo will feature prominently on the tail of the aircrafts. Individually the Konark Chakra will also feature on all the engines of the aircrafts.
"The choice of colours namely red for "Flying Swan" and orange for "Konark Chakra" are meant to signify vigour and advancement. Further the colours also have a strong association with two carriers thereby retaining the earlier imagery of traditional hospitality and service”, said Patel.
The merged entity will have 111 new aircraft (68 Boeing and 43 Airbus) over the next three years, 25 of which would be arriving within 2007 itself.
Tuesday, May 22, 2007
Lord Guruvayurappan and the Controversy
A punyaham was performed in the temple last Friday on Tanthri Chennas Namboothiri's orders on the ground that the visit by Ravikrishna was against temple rules as he was a not a Hindu.
The Minister had visited the temple with his son Ravikrishna for his grandson's choroonu (first meal) ceremony. Ravikrishna was held to be a non-Hindu because his mother Mercy Ravi was a Christian.
Writer-critic Sukumar Azheecode had reacted to the development saying that punyaham had to be performed not in the temple but in the souls of those who performed it.
On Monday, Cooperation and Devaswom Minister, G Sudhakaran, who is in charge of the department that oversees matters related to temples, said that punyaham should be performed not in the temple but in the minds of Tanthris and in the hearts of Brahmins.
The Minister had last month written to the Guruvayur Devaswom committee requesting to find a way to let Christian playback singer KJ Yesudas worship in the temple where only Hindus were allowed.
"Where was Vayalar Ravi when I demanded entry for Yesudas in Guruvayur temple?," Sudhakaran asked. He said Ravi and his family could have avoided going to the temple as an incident of punyaham performance had taken place earlier in connection with his son's visit, he said.
Punyaham had been performed in September 2000 in the temple after Ravi's son worshipped there after his marriage in Guruvayur. The same reason was cited by the temple authorities then also.
State Congress leader Ramesh Chennithala said in Thiruvananthapuram that the punyaham performance at the Guruvayur temple in the name of the visit by Vayalar Ravi's son was extremely unfortunate.
He said several devotees of Lord Guruvayurappa would have been pained in the context of the punyaham even after Ravi and his family had repeatedly assured that they were devotees of the deity, he said.
Chennithala called for efforts to modify temple rites and rituals as per the changing times in discussion with all concerned.
Nationalist Congress Party leader and an ardent devotee of Lord Guruvayurappa, K Karunakaran said in New Delhi that punyaham was performed in accordance with the rules of the temple. Each temple in Kerala had its own specific set of norms for entry and worship and the rules in Guruvayur temple did not allow the entry of non-Hindus like Christians and Muslims etc, he pointed out. The ultimate power to decide in such matters rests with the Tanthri, he pointed out.
Mohanlal celebrates birthday with new film, fans in home town
Over 2,000 of the actor's fans had turned up at the Kinfra Film and Video Park campus, on the outskirts of the State capital, where he owns a studio. Mohanlal's mother and wife were also present on the occasion.
"This is the first time that I am celebrating my birthday and the launch of a film in my hometown. It was indeed a totally different experience and I am delighted to be with my fans," Mohanlal told reporters at the venue.
The veteran actor has worked in more than 300 films in his career spanning over 27 years.
His new film Alibhai will be shot mainly in a picturesque Tamil Nadu village in Pollachi from Wednesday onwards. It has proved to be a lucky location for Mohanlal with blockbusters like Thenmavinu Kombathu being shot there.
Shaji Kailas, director of Alibhai, said a record 140 artistes would act in the new venture.
"This film would be an Onam (Kerala festival) gift by Mohanlal to his fans. It is produced by the actor's company and will be released by Aug 15," Kailas said.
"It is about Mohanlal's character being jailed for a crime that was really not his fault. After his release, he fights a mafia. It has all the ingredients of being ranked as the biggest film made in Malayalam," Kailas added.
Monday, May 21, 2007
Record 82.29 % pass SSLC examinations
Announcing the results, Education Minister MA Baby told newsmen that this year's qualifying level surpassed the previous best pass percentage of 70.06 in 2004.In the new private scheme, 52.43 per cent candidates qualified and in the old scheme the percentage of qualifying candidates was 35.83.
Unlike the previous years, only grades will be recorded in the SSLC certificate this time.
In the regular scheme, 4,269 candidates scored A-plus grade, 20,208 A, 50,441 B-plus, 95,979 B, 1,62,167 C-plus, 2,54,650 C, 3,76,386 D-plus, 71,924 D and 6,076 E.
The performance of 104 schools, identified for special attention in view of their poor showing last year, had scored impressive results this year.Five of them produced cent per cent results at the qualifying level, 13 schools 90 per cent and 47 schools 70. They included seven schools from Lakshadweep . There are no schools where the percentage of qualifying students is below ten.
For these schools, the Government had made a special budgetary provision of Rs 5 crore. The role of teachers, local bodies and parents were also significant in lifting these schools.
The Education Minister said the schools in the State were able to set an all-time record as the 104 schools, which were backward in education, were brought under a special scheme by the Government. Introduction of this scheme in other schools was under consideration too, said the Minister.
Baby said that the SAY (save a year) examinations would be held in June and the students of the old scheme, who had failed to achieve qualifying grades, would get a last chance to write the examinations nest September .
Kannur district registered the best performance in the State with 90.75 percent of all the students who appeared for examination attaining the qualifying grades. Kottayam district stood second in the list with 88.26 percent with Thrissur coming third with 87.83 percent. Kozhikode district, where 86.30 percent of the students qualifying for higher studies and Ernakulam came in the fifth position with 86.05 percent pass. Palakkad district stood at the bottom of the list in performance with 72.36 percent of the students qualifying for higher studies.
The percentage of students who qualified for higher studies from Waynad district was 75.50, 76.62 for Malapppuram, 77.36 for Kollam and 78.25 percent of the students qualified for higher studies in Thiruvananthapuram district.
Only five schools have registered less than 33 percent qualifying level, and of these three are in Lakshadweep and two in Kerala. The two schools in the State where less than 33 percent students qualified for higher studies are Government PTM High Scholl in Velloor, Kottayam and Government Higher Secondary School , Vellamanal in Kollam.
Girls proved their supremacy over boys in the SSLC examinations. They outscored the boys in the percentage of students qualifying for higher studies in the State and district levels as well as in attaining the top score, A-plus. The number of girls who scored A-plus was almost double the number of boys. In Thrissur district, out of the total 538 students, who scored A-plus, only 138 boys made it to the category.
Kollam lakes face rampant encroachment
Even a strict order by none other than the Principal Revenue Secretary could not save the Vattakkayal lake at Saktikulangara here. The order banning encroachments and construction was issued on April 19, but this has not deterred those who are reclaiming the lake for their personal use.
The encroachments began after the Government passed an order leasing twelve acres of land for paddy cultivation to three persons. The lease stipulated that the Government could take back the land if the recipients failed to cultivate paddy for twelve consecutive years.However, paddy was never cultivated on the land, according to local residents. After several years, illegal occupants obtained title deeds for the land.
After several complaints from the Vattakkayal Lake Protection Council, a survey was conducted by former Revenue Commissioner Alphonse Kannanthanam. He recommended immediate cancellation of the title deeds. But the occupants approached the Kerala High Court and got a stay on the order. According to a study conducted by the Lake Protection Council, 39.40 acres of land had been illegally occupied by 39 people .On September 23, 2006 the Vatttkkayal Lake Protection Council lodged a complaint with the Revenue Department citing the developments.
On this complaint, the Land Revenue Commissioner conducted an enquiry. After assessing the gravity of the problem, he conduced a public hearing at the District Collectorate. An order was passed entrusting the District Collector with the task of ensuring that no fresh encroachments or illegal constructions took place in the area.
But even after the ban had come into existence, people continued to hand over the land to others and construction of concrete walls and other works continued unimpeded.
The Vattakkkayal Lake Protection Council complains that the authority is also equally responsible for the whole problem. Despite the ban on construction, the Kollam Corporation authorised the building of a wall in the area, they claim.
If Vattakkayal Lake is an example of the utter disregard for Government directives, the case of Ashtamudi is far more complicated. Large-scale encroachments by tourist resort mafia and other influential persons had already pushed the internationally-protected lake to a near extinction. The Government, which was responsible for protecting the water body, had neglected it for so long. The result is that the 54-acre lake has been reduced to a mere 36 acres.
Pollution and illegal fishing are also causing problems to the lake . After repeated media reports, a survey was conducted at the directive of then District Collector B Srinivas. As many as 2,000 cases were registered in its wake.
But even after a year, the re-survey is yet to be completed. The tehsildar for the concerned taluk said that action on the 2,000 registered cases would start immediately.
The district fisheries authority has removed the branches and leaves deposited by traditional and local fishermen to help reproduction of fish in the lake, but no concrete action against the Chinese nets had so far been taken.
Saturday, May 19, 2007
Smart City: LDF govt gave concession of over Rs 1000 Crore
The LDF government, when it reinitiated the talks with TECOM over the Smart City project, was repeatedly saying that the proposed land would be leased on par with the market value of the land. TECOM need not expect any concession, it said. Chief Minister V.S. Achuthanandan still sticks to his earlier allegation that TECOM is a real estate agency.
Despite the repeated querries by Opposition leader Oommen Chandy, who still stakes claim over the Smart City project, the Chief Minister finds nothing serious in the questions raised by the Opposition leader. Chandy’s efforts to expose the pitfalls in the deals fell flat as the Chief Minister refuses to take the bait.
Chandy need not to wait for a reply from the Chief Minister, if he really wants to know how much concession the LDF government has given to the “real estate agency”. The price of the 246 acres of land, as assessed by the Achuthanandan government, can be traced in the final agreement inked on Sunday.
It is clearly stated that the advance lease premium paid by TECOM for 88 percent of the total 246 acres of land was Rs 91.52 crore. As per the agreement, “To terminate the lease and buy out the entire shareholding of the TECOM at a price to be determined by an independent valuer taking the value of the land as Rs 91.52 crore, which is the advance lease premium paid by the SPV to the GoK for 88 percent of the land”.
If the words of Chief Minister V.S. Achuthanandan is to be believed, he handed over the land after claiming its market price from TECOM. While analysing the market value, the value of the land in Kakkanad area in Kochi is not less than Rs 5 crore per acre.In that case, the value of 246 acres of land will be Rs 1126 crore. Even if the claims of Achuthanandan, when he was the Opposition leader, alone to be considered, the price of the land should have been at least Rs 861 crore. It may be remembered that he had claimed that the value of land in Kakkanad was Rs 3.5 crore per acre.
Contrary to the LDF demand just a year ago, the new agreement on Smart City also promised all kinds of incentives to the Smart City and companies working in it as per the IT Policy.It would be even subject to the approval of Smart City. According to the agreement, “GoK shall issue all notifications and pass such orders or make such rules or regulations as may be necessary to ensure that Smart City shall be the recommending agency for release of all subsidies, and, or incentives to which the Units established by the entrepreneurs within Smart City are otherwise eligible or may be eligible from time to time”.
The smart enough IT department has deliberately delayed the announcement of IT Policy, so that the allegations over the incentives to be given to Smart City as per the policy would not come up.
The list of contradictions and the loss of the state does not end here, even as the CPM and its allies try to spread a feel that the agreement was the best one that safeguarded the interest of the state.
Of course, unlike many other such contracts in the past, the party and the Chief Minister are in a safer position.None who is alive now will be living to tell the tale after 99 long years.
VS calls in IT majors to State
Speaking at a function after laying down the foundation stone of the first own campus of Infosys at Kazhakkoottam, he said that not just the State capital but any other place in Kerala was suitable for starting IT and ITES ventures.
He said the Government expected the companies to develop facilities at sites acquired for the purpose without delay, to prevent the State from taking back the land un-utilised for long.
Infosys co-founder and board member K Dinesh said the company had plans to invest Rs 3.06 billion in developing the centre, creating a seating capacity of 8,000.
The first unit of the new campus would have a capacity to employ 1,500 people.
Friday, May 18, 2007
A look into the 1st Year Rule of LDF rule in Kerala
More lows than highs in first year of VS Government
The first and most important event that took place for the VS Achuthanandan-led LDF Ministry had nothing to do with politics. It was an alleged sexual escapade involving a minister, PJ Joseph, till then seen as one of the most clean figures in Kerala politics.
Since that first scandal for the LDF Government, which is celebrating its first anniversary on Friday, has not had much time to settle down. It was a momentous year for Kerala but not a very good year for the LDF.
The Joseph incident was the first blow that the VS Ministry was destined to receive. Joseph, then Minister for Public Works, was accused of behaving indecently with a Malayali woman, Lakshmi Gopakumar, on a Kingfisher Airline plane on a balmy August evening at Chennai airport. The accusation had come at a time when Jospeh was already in the dock over an old case pertaining to the Maithri Housing Project.
After police probes, lies, hearings and heated Cabinet discussions, Joseph resigned to become the first, and so far the only, casualty in the VS Cabinet. However, Joseph ensured that his line of administration would continue by nominating his close confidant TU Kuruvila to head the Public Works Department.
Kuruvila would later prove that what he was best at was to attract criticism for inefficiency. The VS Ministry assumed office when farmers all over Kerala, especially in Waynad district, were continuing to commit suicide due to their inability to repay their bank loans. This was one of the main issues that the LDF had capitalised on during the campaigning for the April 2006 Assembly polls. After the Ministers took the oath of office at a totally unconventional function, the initial enthusiasm had pushed Achuthanandan and his colleagues to immediately announce measures to constitute a Farmers' Debt Relief Commission with quasi-judicial powers. The commission came into being, but the suicides continued.
International deals for mega-projects in banana republics are not unknown. Canadian company, SNC Lavalin had come to repair hydel plants in Kerala in such a situation, and it had obviously played its game well. The contract had later become a 'deal', and when the ghost of the deal took the Assembly by storm, the man who was trapped in it was none other than CPI(M) State secretary Pinarayi Vijayan. However, Achuthanandan forgot about group rivalry for a moment, and defended his secretary. Indeed the Opposition UDF, led by former Chief Minister Oommen Chandy celebrated it.
The greatest of the failures of the LDF Government had come from Education Minister MA Baby, whose Kerala State Self-Financing Professional Colleges Act 2006 was destined to fail the test of judiciary after circuitous journeys through courtrooms. The only thing he achieved with the Act was that he ensured a strong unity of the college managements and a negotiating power in all matters for them. The pro-CPI(M) SFI were not all overjoyed by this, but they went on defending Baby's Act.
The lavishness of ministers in renovating their official residences, death of more than a dozen persons in police-related events, the chikungunya situation in Alappuzha district, row over the proposed ADB loan, the court cases against Local Administration Minister Paloli Muhammadkutty and Power Minister AK Balan, the spiralling prices of essential commodities the never-ending feud in the CPI(M) which at many points of time became an irritant as far as public administration was concerned. The tests were many for the Achuthanandan Ministry, and in almost all of them the concerned Ministers failed miserably.
The final embarrassment in the series would come towards the end of the first year in the form of the death of 38 newborn babies due to bacterial infection at the Sree Avittam Thirunnal Hospital in the capital. Health Minister PK Sreemathi, who had always been quick in offering justifications that looked more like excuses, saved face somehow with the support of her party.
The saving grace in the first year in office for the Government came from Achuthanandan himself when he succeeded in signing the Smart City agreement and launching Mission Munnar, the overwhelmingly popular operation led by the demolition squad constituting hand-picked team for evicting encroachers from public land in the hill resort. Had he not succeeded in these two affairs, the LDF Ministry would not be celebrating its first anniversary with enthusiasm.
Thursday, May 17, 2007
The New Face of Indian Aviation - Air India Merger with Indian Airlines
According to sources, the new aircraft Boeing 777 LR for Air-India and Airbus 321 for Indian which are expected to arrive in June will be painted in the livery. Civil Aviation Minister Praful Patel is expected to unveil the branding details next week.
The managements of Air-India and Indian and consultant Accenture held a workshop on Thursday to finalise the logo, which will be a combination of the Air-India Centaur and Indian’s Chakra. However, the brand name of the merged entity will be Air-India and it will have a single code, AI for domestic as well as international sectors.
V Thulasidas, chairman and managing director of Air-India said, “India is full of colour and we will ensure that new theme will capture the essence of being a national flag carrier.”
Without disclosing the details of the merger, Thulasidas said the merged entity would have a single code and the target was to bring the entire operations under this code within six months. A team is also integrating the network to rationalise routes and flights. “This will help in providing a seamless connecting service to all the major destinations,” he added.
Going forward, Air-India is planning to start direct flights from four or five Indian cities to the east and west coasts of the US “After Mumbai and Delhi, we are exploring the possibilities of starting direct non-stop flights from Bangalore, Hyderabad and Chennai,” he said.
The national flag carrier may change the configuration of 68 aircraft, for which it has placed orders. Currently, it is buying eight Boeing 777 LR and 15 Boeing 777 ER. Now it is planning to buy 15 Boeing 777 LR, which can fly non-stop for up to 18 hours.
Wednesday, May 16, 2007
Volte-face on ADB loan proves Left is Right
The story of this loan, started in 2005, has also been a story of communist volte-face and proof of how Right is Left when compared to the actual Right.
Observers do not attach much importance to the opposition to the pact by pocket groups of Maoists and NGOs, as this is not going to serve any purpose now. However, the subject has helped the interest in studies of Communist.
Chief Minister VS Achuthanandan, who was a fiery opponent of ADB and its programmes to trap Third World countries during his days in the Opposition ten months back, however, is the first man who is now on the receiving end for all attacks from the fire-spitting "voluntary" reformers and splintered hardliner groups.
Novelist Sara Joseph, a former supporter of the traditionalist CPI(M) leader and who leads the formation Anti-ADB Campaign Committee, which has even moved the High Court asking for an interim stay - which has now been turned down - is perhaps the most vocal opponent of Achuthanandan now. It was last Saturday that Sara at a convention in Kochi lambasted all the CPI(M) leaders except Achuthanandan just because the veteran leader had reportedly dissented on the matter of the ADB loan at a Cabinet meet. But when the Chief Minister denied the story of his dissent, he came under Sara's fire. On Tuesday at a protest march, Sara spat venom on VS
The Communist volte-face on ADB loan was not limited to Achuthanandan. CPI(M)'s youth wing, the DYFI, had for five continuous years consistently haunted the Congress-led UDF for its moves for various financial arrangements with the ADB. Kerala had seen protest demonstrations against ADB and the people who wanted to bring it here with its humiliating and trapping conditions on a daily basis. There was even a Communist-led attack on the ADB office in Thiruvananthapuram.
The young comrades had drawn their inspiration from Achuthanandan who had declared that the secretaries who would sign agreement for ADB loan would be beaten up. However, the scene is different now, as the Communists regime has signed the agreement, the DYFI too has changed its track. Its secretary P Sreeramakrishnan appears on TV shows almost everyday saying his group had not opposed ADB loans but the opposition was to the conditions it puts forward. And since the conditions on the loan have changed, Kerala could avail it, he holds.
Whether the conditions have changed or not is a matter for politicians' speeches. The ADB has already said that it does not change its rules for different circumstances, but State ministers and Communist leaders vouch that they were successful in bringing changes in the ADB rules as was desired. Congress leaders say that nothing has changed (meaning an admission by them that the riders could be harmful to the State). However, sociologists and economists say that ADB cannot disburse a loan for Kerala without the conditions it has designed as a policy.
"So there are riders. And everybody knows that. These riders will never be in State's interest," a former CPI(M) theorist said. "It is not a consideration of altered conditions that has compelled the party to go for the loan. There are other things," he quips.
The CPI is trying to gain the image of the real Communist party in this part of the world, with its seemingly principled positions on all issues, including the ADB loan and the self-financing colleges problem. CPI State secretary Veliyam Bhargavan had from day one opposed the move to take the loan, as its conditions were detrimental to the State's interests. But when the LDF met to discuss the issue the last time, Veliyam voted with the loan-seekers saying if his party dissented it would have forced Local Self-Administration Minister Paloli Muhammadkutty, who ordered the State's Resident Commissioner in Delhi to sign the pact with the ADB, which happened on December 8 last. On Wednesday, Veliyam declared in Mallappuram that for his party, the ADB loan issue was a closed chapter.
The loan agreement is already a reality, and there is no going back on it. Now observers are watching keenly how the money to come from the international agency is going to be utilised on the ground.
Left-ruled States fail to achieve target
The schemes under the Centre's 20-Point Programme are not progressing well in the States being ruled by the pro-poor political parties. Left-ruled West Bengal ranks 22nd among 30 States in terms of performance by achieving only 45 per cent of the targets, while Kerala ranks 24th by accomplishing 43 per cent of the targets during April-December 2006.
The schemes under 20-Point Programme deal with social and economic empowerment of the poor in general. The performance review done by the Ministry of Statistics and Programme Implementation puts Andhra Pradesh on top of the list, followed by Uttarakhand, Gujarat and Chhattisgarh. These States have achieved 100, 93, 87 and 86 per cent of the targets.
Faced with criticism from the opposition for not carrying out pro-poor works effectively, Uttar Pradesh ranks 5th by achieving 83 per cent targets, followed by Rajasthan, Himachal Pradesh, Madhya Pradesh, Orissa and Karnataka. UP and Himachal Pradesh, all other States are under the rule of National Democratic Alliance (NDA).
According to a Ministry official, as many as 12 items have been taken into consideration for the purpose of ranking the performance of States. These items include distribution of surplus land, drinking water supply, immunisation of children, assistance to SC/ST families, houses for economically weaker sections, LIG houses, slum improvement, tree plantation, village electrification, and setting up bio-gas plants.
As per an estimate, 6.24 lakh houses were provided to the rural poor under the Indira Awas Yojana against the target of 8.43 lakh units during April-December 2006. Against the target of 68,518 houses for economically weaker sections of society, 89,311 houses were constructed, achieving 130 per cent of the target.
The areas where the targets have not been achieved are the construction of houses meant for the lower income groups of society, tree plantation on the private lands, immunisation of children and setting up of primary health centres. The review report says that only 84 primary health centres were set up during April-December against the target of 202.
"Around 20.80 lakh people in the slum areas were provided with basic amenities. Almost 13.22 lakh hectares of area have been covered with plantation on the public and forestlands. As many as 12,241 villages were electrified under the Rural Electrification Programme, while 2.58 lakh pump sets were energised for irrigation purposes," a Ministry official said.
"The slow progress of plantation on the public and forestland, Indira Awas Yojana and primary health centres is a matter of concern. The Ministries concerned need to ask the State Governments to expedite efforts to meet the targets," the official added.
Infosys to commence work on Kerala campus from Saturday
Apart from top Infosys officials, Chief Minister VS Achuthanandan is also expected to be present during the groundbreaking ceremony of the new campus here on Saturday.The first phase of the new campus would be ready in a year.The Bangalore-headquartered Infosys has centres in Bhubaneswar, Chandigarh, Chennai, Hyderabad, Pune, Mangalore and Mysore.
Suggestion to scrap Arun's Ph D registration
One Year of LDF Rule In Kerala
However, lack of performance has been one of the main charges levelled against the Cabinet by the Opposition UDF, and almost all Ministers had given ample opportunities to make such allegations. Apart from Education and Cultural Affairs Minister MA Baby and Health Minister PK Sreemathy, who have received most of the brickbats for non-performance, the other Ministers from the Marxist party have also not done much better.
Elamaram Kareem in the Industries Department, who with his enthusiasm in saving the Public Sector Units, has succeeded in earning credibility among the people, especially with the proposed establishment of a light wagon manufacturing unit at Autokast, Cherthala for the Indian Railways. But in general, the lustre is simply not there for the Ministry, experts observe.
Home Minister Kodiyeri Balakrishnan has been one of the first Ministers to be charged with inefficiency as people continued to die either in police stations or while escaping the chasing police party. The deaths - more than ten in the first four months - could not all be termed due to persecution in custody, but Kodiyeri somehow failed in changing the impression of the Government which had come to power using also the custody death Udayakumar at Fort police station here.
Apart from other failures, the embarrassment caused by a taxi driver in the motorcade of Prime Minister Manmohan Singh during his State visit last October and the subsequent absence of any major action on the matter caused a lot of erosion of credibility of the CPI(M) leader as the Home Minister. He had also created a general dislike among people for himself when he refused to act as per the Chief Minister's wish in the IG Rishiraj Singh episode after a raid on the Kochi studios owned by the wife of IPS official Tomin Thachankery. Home, as is evident is not an easy job, and a first-timer like Kodiyeri might take a long time to prove his mettle.
Employment Affairs and Excise Minister PK Gurudasan is a soft-spoken proletarian leader, much like Chief Minister Achuthanandan and also belonging to his group in the CPI(M).
The beginning was grand as far his portfolios were concerned with several steps for the welfare of, especially, the cashew workers. The problem is, like the State-owned KSRTC, cashew is a very difficult area to be straightened by one man's efforts.
The cashew sector is again in doldrums with many shortcomings and irregularities perpetrated by vested interests. Though there are many who see some good points in Gurudasan's proposals in the Excise policy, the overall reaction was not encouraging.
The proposal to bring in toddy workers' cooperatives to own and operate toddy shops in three districts invited much criticism. However, most of the officials in the Excise Department do not hesitate to say that they have now got a minister who understands them, and this good will had translated into practice with many seizures of smuggled spirit.
The CPI representatives in the Cabinet were destined to be trapped in mind-boggling situations right from the initial days. Agriculture Minister Mullakkara Ratnakaran found that there was nothing he could do except to follow what the Chief Minister and CPI(M) was saying in the situation emanating from the unending series of farmers' suicides. Food and Civil Supplies Minister C Divakaran was seen taking weak stands on several issues including the efforts to control the spiralling prices of essential commodities and he was obviously struggling to reach with Cooperation Minister G Sudhakaran in the race to meet the situation. Amidst that he also received some bad press coverage in the issue of the transfer of the Supplyco managing director.
The most testing job, somehow, fell on the heads of Revenue Minister KP Rajendran and Forests Minister Benoy Viswam of the CPI, and the party is now realising that despite the fact that it holds the two portfolios directly connected with the Munnar developments, they have no role in the entire matter. Even their own office in the area was pulled down on charges of norms violation.
Even the party's objection to the appointment of the special team for eviction mission in Munnar was rejected outright by the Chief Minister, and it was forced to reverse its earlier stand.