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Editorial: Of ministerial subsidies
Business Standard / New Delhi April 29, 2008

It has been several days since the minister for shipping, road transport and highways, TR Baalu, admitted that he had asked his Cabinet colleague in the petroleum ministry to help him get cheap gas allocated to his sons' firms (the subsidised gas is available at $1.96 per million btu or British thermal units, as opposed to the free market price of up to eight times that amount). While the opposition in Parliament may not be justified in insisting that question hour be suspended to discuss the issue (it is not a good practice to disrupt Parliament every other day, whatever the provocation), the government has so far not been able to come up with a credible defence for this ministerial conduct which in ordinary circumstances in any self-respecting democratic system would result straightaway in the minister's resignation.

But more than Mr Baalu (who has also distinguished himself by getting rid of successive chairmen of the National Highway Authority of India, by missing all highway development targets, and by being in a state of cold war with shipping companies), it is the Prime Minister whom the opposition has targeted — because the Prime Minister's office seems to have sent no fewer than eight reminders on the issue to the petroleum ministry. The government's defence could well be that these were routine, computerised reminders that Manmohan Singh knew nothing about, and in any case that no favours were actually done despite all the reminders, hence no wrong has been committed. Somewhat more credibly, the Prime Minister could argue that the first gas allocation for one of Mr Baalu's sons happened during the NDA government's tenure. At best, though, this defence would help muddy the water and leave no clear picture of what exactly happened and when. However, it does stretch credulity somewhat to believe that a matter involving a minister from an important coalition partner like the DMK would be treated as routine; but even if this were in fact the case, no such defence is available to Mr Baalu, who has admitted to improper conduct.

The problem that the UPA government faces is the larger issue of probity on the part of its ministers. Lalu Prasad has been arraigned in court on account of what is called the fodder scam, Sibu Soren continued in the ministry even after he was charge-sheeted for murder, and it is not clear that A Raja's handling of either the environment or communications portfolios will stand up to much scrutiny. Among other things, Mr Raja has refused to auction scarce spectrum so that it goes to the highest bidder from among the telecom companies, an approach that also maximises the government's revenue. The Prime Minister himself came out publicly in favour of auctions, but Mr Raja is apparently deaf.

The simple but harsh truth is that coalition governments that can be brought down by any one of several coalition partners is inherently subject to blackmail, and the Prime Minister has to find excuses and justifications for not taking action lest his government fall. Manmohan Singh did precisely that when Sibu Soren continued in the ministry; he sought to deflect the whole issue by asking for a larger debate on public morality. No one has pushed for such a debate since, so it would seem that no one is interested in the subject. In any case, it is good to remember the old piece of wisdom that many people commit crimes and get away scot free, but much greater damage is done if someone gets caught in the act and still gets away without paying the price.

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