Important pieces of legislation held up because of opposition by the Trinamool Congress could be cleared in two months, top government managers told Business Standard.
The Trinamool Congress had vetoed a slew of reform measures, including the PFRDA Bill, saying people’s life savings should not be invested in the capital markets, FDI (foreign direct investment) in the insurance sector, decontrol of diesel and LPG prices, the land acquisition Bill and others.
However, the Centre is now in a mood to stare Trinamool chief Mamata Banerjee down. In fact, sources said the Centre would do its best to edge Banerjee out of the government, replace her with Mulayam Singh Yadav and get economic reforms going.
|MOVES AWAITING GO-AHEAD
- PFRDA Bill: The BJP is ready to support the legislation and the govt is likely to press forward, ignoring TMC’s reservations
- Land Acquisition Bill: Banerjee says the govt has no role in land acquisition, the govt may still push ahead
- Communal Violence Bill: Banerjee termed it anti-federal. Now, the Centre will push it
- FDI in insurance, civil aviation and retail: These could go through now
The crucial railways ministry is with Banerjee’s party and in desperate need of reform. Banerjee sacked former minister Dinesh Trivedi because he attempted changes in the fare structure. Banerjee is also opposed to FDI in civil aviation and retail. However, as Yadav’s Samajwadi Party is also opposed to FDI in retail, it is hard to see how this measure will clear the Cabinet even if the Trinamool is replaced.
The government is conscious that diesel and LPG subsidies have to be pared if not ended altogether. It was chary of doing that because it feared Banerjee’s wrath. Now, with Yadav on board, the measures could happen in a few months.