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Parliament clears coal & mines Bills

JD(U), RJD say these are liable to be challenged in courts

BS Reporter New Delhi
Two Bills central to economic reform - the Coal Mines (Special Provisions) Bill, 2015, & the Mines and Minerals (Development and Regulation) Amendment Bill, 2015 - were passed by the Rajya Sabha on Friday, after prolonged wrangling and a race against time.

The coal Bill loosens the mining monopoly of state-owned Coal India, while the mines Bill imparts greater transparency to the sector and bestows greater financial autonomy to states with mineral-bearing mines.

In the Rajya Sabha, 117 members voted for and 69 against the mines Bill. It was passed with an amendment recommended by a select committee. This required the Bill to be resent to the Lok Sabha, where it was passed with a voice vote. The coal Bill was passed without any amendments, though after several moved by Left parties and Congress were defeated. While 107 members were in favour of the coal Bill, 62 voted against.
 

These Bills have crossed the legislative twilight zone of ordinances and now become legislation. If the House had not passed the Bills on Friday, the government would have had to repromulgate the ordinances through which the legislative changes were effected, leading to a loss of face.

The passage of the two Bills is a significant political victory for the government in the Rajya Sabha, where it does not have a majority. This was acknowledged even by Deputy Chairman P J Kurien, who observed with a smile after Opposition members demanded division (party-wise voting) on several clauses that "there has been some conversion".

This followed a huge effort by Parliamentary Affairs Minister Venkaiah Naidu and Finance Minister Arun Jaitley through Thursday night, persuading Opposition members the two Bills would be good for the country.

The focus of attention were members belonging to non-Congress, non-Left parties like Biju Janata Dal (BJD), Trinamool Congress (TMC) and Samajwadi Party (SP).

In fact, on Thursday, BJD opposed the mining Bill, saying it infringed on the rights of states - a stand earlier supported by Congress and Trinamool Congress. But on Friday, TMC, BJD and SP supported it.

LEGISLATIVE WORK DONE TILL NOW
Major legislation cleared by Parliament in the first part* of the Budget session in 2015 (February 23-March 20). All Bills replace earlier ordinances
Coal Mines (Special Provisions) Bill
Provides procedures for auctioning coal blocks cancelled by the Supreme Court in September 2014

Motor Vehicles (Amendment) Bill
Brings e-carts and e-rickshaws under the ambit of the Act, provides for issuing of driving licence and registration of e-carts and e-rickshaws

Citizenship (Amendment) Bill
Relaxes mandatory provision of one year continuous stay in India for Indian citizenship and provides certain additional grounds on which a person could register for overseas citizenship card

Mines and Minerals (Development and Regulation) Amendment Bill
Allows auction policy in grant of mining leases for both bulk minerals and notified minerals. Also grants longer tenures over mines, increasing the period from 30 years to 50 years for minerals other than coal, lignite and atomic minerals

Insurance Laws (Amendment) Bill
Raises limit of foreign holdings to 49% in Indian company and allows entry of foreign reinsurers (companies that insure insurance companies). Also provides for permanent registration of insurance companies and allows holder of a life insurance policy to name the beneficiary
The only consistent opposition was from Janata Dal (United), or JD(U), and Rashtriya Janata Dal (RJD), who opposed the Bill on the grounds it was ultra vires (beyond one's remit) and would be challenged in courts. But obligingly, when the time came for voting, these parties walked out of the House, bringing down its overall strength and making it easier for the government to pass it in a House it was in majority.

Buoyed by the success of its parliamentary management, sources in the government indicated they could try the same tactics to amend the land acquisition Bill, also introduced though an ordinance. Sources indicated they might not repromulgate the ordinance and instead debate the Bill in the Rajya Sabha, when it reassembles after a recess on April 20.

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First Published: Mar 21 2015 | 12:59 AM IST

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