Tuesday, August 14, 2012

Interlinking of Rivers in India

India, with its geographical area of 329 million hectares but consisting of only 2.45 per cent of the earth’s land mass, supports a population of about 1.2 billion as per the 2011 census. This is about 17 per cent of the global population. The renewable fresh water resources of India at 1869 billion cubic metres (BCM) per year is only about 4 per cent of the earth’s fresh water resources. Thus average Indian has hardly one-sixth of land and one-fourth of water as compared to the world average.
There are more inequities in the distribution of the water resources. The total renewable water resources as of the year 2001 correspond to about 1820 kilo litres (KL) of water per person per year. The population of India is expected to stabilize at around 1500-1800 million by 2050 when the per capita availability of water would further come down to nearly 60 per cent of the availability as in 2001. At that time, the per capita availability in the Brahmaputra basin would still be around 9000 KL and in the Sabarmati basin below 200 KL. This is against the minimum requirement of 1000 KL per person per year.
In view of the large variations in rainfall over space and time, the country experiences frequent floods in some parts and severe droughts in some others. Floods are a recurring feature particularly in the Brahmaputra and Ganga rivers which carry 60 per cent of the water resources of our country. Flood damages, which were of the order of Rs. 52 crore in 1953, went up to Rs. 5846 crore in 1998 with an annual average of Rs. 1343 crore, affecting Assam, Bihar, West Bengal and Uttar Pradesh besides causing untold human sufferings. On the other hand, large areas in Rajasthan, Gujarat, Andhra Pradesh, Karnataka and Tamil Nadu face recurring droughts.

 River Interlinking Plan
In order to make better use of the country’s water resources, a grand plan for interlinking rivers has been proposed that will make inter-basin transfer of water possible.
The river interlinking project was the brainchild of the NDA government and in October 2002, the then prime minister Atal Bihari Vajpayee had formed a task force to get the project going against the backdrop of the acute drought that year. A Centre-appointed task force had in a report recommended division of the project into Peninsular and Himalayan components.
The Peninsular component, involving the rivers in southern India, envisaged developing a 'Southern Water Grid' with 16 linkages. This component included diversion of the surplus waters of the Mahanadi and Godavari to the Pennar, Krishna, Vaigai and Cauvery. The task force had also mooted the diversion of west-flowing rivers of Kerala and Karnataka to the east, the interlinking of small rivers that flow along the west coast, south of Tapi and north of Mumbai and interlinking of the southern tributaries of Yamuna.
The Himalayan component envisaged building storage reservoirs on the Ganga and the Brahmaputra and their main tributaries both in India and Nepal to conserve water during monsoon for irrigation and generation of hydropower, besides checking floods.
30 links were identified as technically feasible and economically viable on the basis of pre-feasibility studies. These are: Mahanadi (Manibhadra – Godavari (Dowlaiswaram) link, Godavari (Inchampalli Low Dam) – Krishna link, Godavari (Inchampalli) – Krishna (Nagarjunasagar) link, Godavari (Polavaram) – Krishna (Vijayawada) link, Krishna (Almatti) – Pennar link, Krishna (Srisailam)- Pennar link, Krishna (Nagarjunasagar) – Pennar (Somasila) link, Pennar (Somasila) –Cauvery (Grand Anicut) link, Cauvery (Kattalsi)- Vaigai-Gundar link, Ken-Belwa link, Parbati-Kalisindh-Chambal link, Par-Tapti-Narmada link, Damanganga-Pinjal link, Bedti-Varda link, Netravati-Hemavati link and Pamba-Achankovil-Vaippar link.
Peninsular Component
Similarly, based on various water balance studies carried out for the Himalayan component, the link proposals identified for preparation of feasibility reports include the Manas-Sankosh-Tista-Ganga link, Kosi-Ghagra link, Ghagra-Yamuna link, Sarda-Yamuna link, Yamuna-Rajasthan link, Rajastan-Sabarmati link, Chunar-Sone Barrage link, Sone Dam – Southern Tributaries of Ganga link, Ganga-Damodar-Subernarekha link, Subernarekha-Mahanadi link, Kosi-Mechi link, Farakka-Sunderbans link, and Jogigopa-Tista-Farakka link.
Himalayan Component
Conceptually, the project is the largest of its kind anywhere in the world and will handle four times more water than the Three Gorges Dam in China, five times all inter-basin water transfers completed in the US, and more than six times the total transfer of the six inter-basin water trans- fer projects already operational in India, namely Sarda-Sahayak, Beas-Sutlej, the Madhopur-Beas link, the Kurnool-Cudappa ca- nal, the Periyar Vegai link and the Telugu Ganga link.
Projected Benefits
Interlinking of rivers in India is expected to:
  1. Greatly reduce the regional imbalance in the availability of water in different river basins. Surplus water which flows waste to the sea would be fruitfully utilized. It is assessed that the inter-linking of rivers will provide additional irrigation benefits to 35 million hectares (Mha) -25 Mha from surface water and an additional 10 Mha from increased ground water recharge- which will be over and above the ultimate irrigation potential of 140 Mha envisaged from the conventional irrigation projects.
  2. Construction of storage dams as proposed will considerably reduce the severity of floods and the resultant damages. The flood peaks are estimated to reduce by about 20 to 30 per cent in the Ganga and Brahmaputra basins.
  3. The benefits of drought mitigation from inter-basin water transfers will accrue to an area of about 25 lakh hectares in West Bengal, Bihar, Jharkhand, Uttar Pradesh, Haryana, Rajasthan, Madhya Pradesh, Gujarat, Andhra Pradesh, Karnataka and Tamil Nadu.
  4. Hydro power could also be generated on a massive scale by the storage dams proposed under the interlinking of rivers. Hydro power development has not kept pace with the potential and requirement in our country. Against a potential of 84,000 MW, only about 22,000 MW capacity for hydro power generation has been developed so far. For an efficient working of electrical energy generating system, the mix of thermal to hydro should be about 60:40. In our country it is about 75:25. The storage dams proposed under interlinking of rivers will greatly improve this situation. The total hydro power potential of the interlinking systems is estimated to be 34,000 MW.
  5. A major part of the future requirements of big cities will have to be met from long-distance inter-basin transfer of water. In the link proposals under study, water supply to Mumbai and Delhi and many other villages and habitations enroute the link canals are proposed to be raised.
 Arguments against the Project
  1. India has one of the lowest yield of cereals at 2134kg/hectare of land. Hence expanding the irrigated land area is only one way of increasing food production. Another way may be changes in farming technology, the kind of crops grown (generally hybrid varieties use more water than the indigenous varieties), better management of available land and water.
  2. Indiscriminate irrigation over a period of time can also lead to problems like water logging and rise in salinity in soil. Hence, besides increasing the area under irrigation, implementation of mixed agriculture and other such techniques of sustainable agriculture need to be emphasized on.
  3. The 34,000 MW of hydro-power that is supposed to be generated as a result of this project may be an overestimation as in most cases of inter basin transfer, the requirement for pumping water across basins exceeds that produced by tapping the potential energy of the water. The pumping energy requirement is exceptionally high in this case as water will be pumped across the entire length and breadth of the country.
  4. It is now generally acknowledged that big dams play only a modest role in flood moderation. Flood cushion tends to get eaten into by the more powerful demands of irrigation and power generation. The safety of structures sometimes necessitates the release of waters causing ‘man-made’ floods downstream.
  5. Floods in moderation have certain benefits too. They are a free source of minerals for the land, help in recharging groundwater resources, help in conservation of biological diversity, give bumper harvests, flush out silt from riverbeds to deltas, prevent intrusion of saline water from the Sea and most importantly wash out saline deposits on the top soil. So what has been termed as ‘surplus’ is not really surplus. It is performing salient functions which are extremely important for the preservation of ecological balance and is helpful for the farmers.
  6. The project aims at mitigating drought by transferring water from ‘surplus’ to ‘deficit’ areas. The problem of drought is something that we have a solution to already in the form of rainwater harvesting structures. Also, even if the Linking of rivers project is implemented, it will take water to only a fraction of the drought prone areas, large parts of rain fed areas will remain unaffected.
  7. The cost of the project has been estimated at 112 billion USD at 2002 prices. However, it is estimated and accepted widely that the cost may go up to 200 billion USD. Other sources cite that large projects have had cost overruns in the region of 400-500%.
  8. Apart from estimated cost, recurring expenditure would be incurred in maintenance of dams, de silting reservoirs, relining canals and creating artificial drainage where needed. External costs like those arising from harm done to the environment, ecology, wildlife and social costs have not been taken into account.
  9. This project will involve coordination between not just States but also countries. Dams will need to be built in Nepal and Bhutan, in order to store the surplus water and later divert it to deficit regions. Water that flows into Bangladesh will now be diverted from upstream by India. Both Nepal and Bangladesh have not been taken into confidence regarding the project as of now. This has the potential of future conflict with these countries. This could also lead to a conflict between India and China in the future as China controls the flow of water in the Brahmaputra, Indus and Sutlej Rivers. China is considering a proposal to build a dam on Yarlung Tsangpo (which becomes Brahma putra in India) which will generate 40000 megawatts of energy (more than twice generated by the Three Gorges dam). If this project goes through, the entire equation of ‘surplus’ and ‘deficit’ in India will change. This project and other similar grand projects being planned by China have the capacity to completely throw India’s plans off the mark. Within India, a number of inter- state conflicts over water, remain unresolved for decades now (for example the Cauvery Tribunal). The Interlinking project, which runs canal from almost every state of India, could become a major source of contention between the Sates rather than uniting them.
  10. From a humanitarian perspective, millions of people will be forcibly displaced by this project. A sound rehabilitation and resettlement program for these people needs to be put in place. It has been estimated that 21-56 million people have been displaced by large dams over the past 50 years in India, 40% of them tribal people. Less than 50% of those displaced were rehabilitated.
  11. The approach of this project is a centralized one where the government takes everything into its own hands and tries to come up with one solution for all problems. While this project has its projected benefits, there is no single benefit that cannot be achieved in an alternative way.
Supreme Court Ruling
On February 27, the Supreme Court asked the government to implement the ambitious interlinking of the rivers project in a time-bound manner to tackle drought and flood in various parts of the country. The court also appointed a high-powered committee for planning and implementation of the project.
A bench comprising Chief Justice SH Kapadia, Justice AK Patnaik and Justice Swatanter Kumar said the Centre and concerned state governments should participate for the effective implementation of the project "in a time bound manner".
It appointed a high-powered committee, comprising representatives of various government departments, ministries, experts and social activists to chart out and execute the project. The committee will comprise the water resources minister, secretary, environment secretary and four expert members appointed by the water resources ministry, finance ministry, Planning Commission and environment ministry. Representatives from state governments, two social activists and senior advocate Ranjit Kumar, who has been assisting the court in the case, will also be members of the committee.
The court had taken up the case on the basis of an 18 July 1994 Hindustan Times article.
Later, based on several discussions over the need for improved and better access to water, amicus curiae (friend of the court) Kumar filed an application to examine the possibility of river interlinking.
In 2002, Kumar made an application to the court in the Yamuna case based on the speech of then president A.P.J. Abdul Kalam on how India could possibly better manage its water re- sources.
The court converted Kumar's application into a full-scale petition and heard it out separately.

Saturday, June 16, 2012

Overseas energy resources: How can India make best use of them?

Energy Scenario in India: Insufficiency of domestic energy resources
Energy has been universally recognized as one of the most important inputs for economic growth and human development. There is a strong two-way relationship between economic development and energy consumption.
India is well-endowed with both exhaustible and renewable energy resources. Coal, oil, and natural gas are the three primary commercial energy sources. Despite increasing dependence on commercial fuels, a sizeable quantum of energy requirements (40% of total energy requirement), especially in the rural household sector, is met by non-commercial and traditional energy sources, which include wood, crop residue, biomass and animal waste, including human and draught animal power.


The Indian energy sector has lately witnessed a rapid growth. Areas like the resource exploration and exploitation, capacity additions, and energy sector reforms have been revolutionized. However, resource augmentation and growth in energy supply have failed to meet the ever increasing demands exerted by the multiplying population, rapid urbanization and progressing economy. An average Indian uses around 584.94 kg of energy, while in U.S.A., the corresponding figure is 7,778 kg of energy per capita. The World average of energy consumption is close to 1818 kg.
Driven by the rising population, expanding economy and a quest for improved quality of life, total primary energy consumption is going to almost double to 912 Kg over this decade.
India thus faces formidable hurdles in meeting its current and future energy needs, if it wants to maintain its current 8 percent per year economic growth rate.
More than half of India’s electricity is generated by burning poor-quality domestic coal, which is expected to exhaust in about 40 years.
India’s dependence on imported oil, which currently stands at 60 percent, is expected to grow to 90 percent by 2030.

Equity Oil and Gas from abroad
In view of an unfavourable demand-supply balance of hydrocarbons in India, acquiring equity oil and gas assets overseas is one of the important components of enhancing energy security. The government is encouraging national oil companies to aggressively pursue equity oil and gas opportunities overseas. Total availability of oil and gas through these overseas contracts is equivalent to around 10.5 per cent of domestic production.
The acquisition of overseas oil and gas has been primarily spearheaded by ONGC Videsh Limited (OVL), the wholly owned subsidiary of the ONGC. Apart from OVL (40 Projects in 15 Countries), the other oil public-sector units (PSUs), namely Indian Oil Corporation Limited (IOCL) (9 Projects in 6 Countries), Oil India Limited (OIL) (12 Projects in 8 Countries), Bharat Petroleum Corporation Limited (BPCL) (12 Projects in 7 Countries), GAIL India Limited (4 Projects in 2 Countries), and Hindustan Petroleum Corporation Limited (HPCL) (2 Projects in 2 Countries), have acquired overseas exploration acreages. Among other government companies, the Gujarat State Petroleum Corporation (GSPC), a Government of Gujarat enterprise, has also acquired overseas hydrocarbon-bearing assets.
The total investment by oil PSUs (OVL, OIL, GAIL, IOCL, BPCL & HPCL) overseas is more than Rs. 64,832 crore, which includes two pipeline projects in Sudan and Myanmar.
OVL's total oil and gas production from its overseas assets in Sudan, Vietnam, Venezuela, Russia, Syria, Colombia, and Brazil during 2010-11was about 9.45 million metric tonnes of oil equivalent (MMTOE) .
In 2011, the consortium of OVL (OVL-25per cent) and KazMunaiGas (KMG- 75per cent) has acquired stake in Satpayev block, Kazakhstan.
The production from the OVL assets abroad in Sudan, Sudan south, Vietnam, Venezuela, Russia, Syria, Colombia, and Brazil was about 6.76 MMTOE during April-December 2011 as against 7.06 MMTOE in the corresponding period of the previous year.
The reason for the shortfall is mainly geopolitical upheavals in Sudan and Syria.

Import of Liquefied Natural Gas (LNG)
To cater to the country's growing gas demand, Petronet LNG Limited (PLL) is constantly engaged with various LNG producers/suppliers as well as upcoming conventional and non-conventional LNG projects especially in Western Australia. During 2010-11, PLL imported 8.64 million metric tonnes  (MMT) of LNG at its Dahej Terminal. Total LNG imports during April-December 2011 were to the tune of 8.17 MMT against the total import of 8.95 MMT during 2010-11.
In 2011, PLL has also entered into an MoU with Gazprom Marketing and Trading Singapore Pte. Ltd. (affiliate of OAO Gazprom, Russia) for sourcing up to 2.5 million metric tonnes per annum (MMTPA) of LNG on long-term basis and pursuing discussions on a sale and purchase agreement.
Possibilities are also being explored for availability of any diversion of gas available in the US market on account of shale gas finds. PLL is developing another green-field project of 5.0 MMTPA capacity at Kochi in the State of Kerala. The construction is going on full swing and the terminal is scheduled to be commissioned by the last quarter of 2012. PLL is planning to expand its Dahej terminal capacity from 10 MMTPA to 15 MMTPA. In addition to this, it is exploring the possibility of setting up an LNG terminal on the east coast of India and has shortlisted certain ports. A preliminary market demand assessment study has been carried out and preparation of a Detailed Feasibility Report has been initiated.

India’s overseas explorations: Emerging Issues

India's oil and gas explorations in South China Sea
Oil exploration activities by India's ONGC Videsh in the waters off Vietnam had recently irked China and the two countries had differences over the issue. South China Sea, which Beijing claims almost in its entirety, is thought to be rich in oil and gas and is one of the world's most important shipping routes. Recently, Beijing warned that it did not want foreign companies engage in activities in the disputed waters, saying such acts undermine its sovereignty.
India has already said that exploration of oil and gas in the South China Sea is purely a commercial activity and the dispute should be sorted out under the international laws and practices.

Energy relations with countries in South Asia, the CIS countries and Europe
For India, access to elusive Central Asian energy reserves and countering the expanding presence of China in Central Asia (Kazakhstan and Turkmenistan) could be factors stimulating Indian interest in Turkmenistan.  Turkmenistan has already finalized the Gas Sale Purchase Agreement (GSPA) with all the participating countries for the $7.6 billion TAPI gas pipeline that will pave the way for the supply of 3.2 billion cubic feet of natural gas per day from South Yolotan /Osman and adjacent gas fields to South Asian states through the pipeline.
For Turkmenistan’s part, enhancing ties with a growing economic power like India and the need to find alternative markets for its gas could be the main-driver for strengthening relations between the two countries.  There is declining gas consumption in Russia, and an abundance of natural gas across the rest of Europe due to the availability of competitively-priced LNG.
For India too, the TAPI project could serve as the strategic link it has long sought within Central Asia, which it sees as its strategic neighborhood, and South Asia.  The project could lead to, or even expand, existing trade, electricity and transit networks across Eurasia and allow Turkmenistan and India to diversify their trade and energy relations with countries in South Asia, the CIS countries and Europe.

India’s energy partnerships with African Countries
Among African Countries, South Sudan has the largest oil reserve after Angola. It walked away with 75% of the oil fields of the undivided country after South Sudan was carved out last year. However, in the absence of any processing infrastructure, its authorities are seeking help from OVL to build pipelines, oil stores and refineries.
Responding to the ongoing conflict between Sudan and South Sudan, India has appointed a special envoy to broker peace between the two countries that holds the key to India's pursuit of oil and other hydrocarbon resources in Africa including ONGC Videsh Limited's (OVL) investments of close to $3 billion into the undivided country.

Concluding remarks
With the Indian economy poised for a robust growth in the next few years, energy security has become the focal point of policy formulation. From domestic finds in oil and gas to acquiring hydrocarbon assets abroad, dealing with foreign investors and negotiating transnational pipelines — all these issues have emerged as key points in India's quest to secure its energy future.
In light of this, India should engage in aggressive oil diplomacy. What we also need is a national energy policy and national energy security adviser to secure our future. We need an explorer-friendly exploration policy if domestic natural gas output is to surge. There is very active energy diplomacy called for.

Wednesday, June 13, 2012

S&P warns India on losing investment grade rating

The US based Credit Rating Agency Standard & Poor’s (S&P) recently warned India on its investment rating being downgraded to junk status.  India’s current rating is BBB-, the last rung among investment grade ratings. Among other BRIC countries, S&P has rated Russia and Brazil as BBB, and China AA-.
Such a harsh observation has been made by S&P due to worsening growth of the Indian economy in the recent months. Additionally, other indicators have also been worrisome. They include:
  • Significantly high levels of inflation, which led the RBI to follow a tight monetary policy for more than a year, eventually causing a slowdown in the industrial sector
  • Continuously sliding rates of industrial growth during the last three quarters
  • A continuous decline in the value of Rupee against the US Dollar which is making imports costlier
  • An ongoing declining trend in exports and widening trade deficit
  • Slowdown in FDI inflows
  • A general stagnation in the performance of companies’ stocks in the capital markets
  • Widening fiscal deficit
Reasons cited by S&P
S&P has been sharply critical of the policy stagnation in the country which has prevailed for almost two years now. It has found the following factors to be mainly responsible.
  • Policy delays due to coalition and populist pressures  
  • Continually increasing government expenses
  • Slowing down of exports and widening trade deficit
  • High subsidies and welfare schemes have led to fiscal deficit rising to 5.9% last fiscal
  • Doubts whether this year’s target of 5.1% could be achieved
  • Current account deficit is running at dangerous levels of 4% of GDP
  • Quarterly economic growth has fallen to a nine-year low.
Likely impact
There is already a general perception that the Indian economy is not doing well lately.
Global investors, rating companies and economists are now turning cautious about India as inertia in policymaking due to allegations of corruption and lack of leadership are diminishing hopes of any early economic recovery.
Now with the latest warning issued by the S&P, investor confidence is certainly going to be adversely affected. The Sensex fell 0.3% in the very next trading session after the S&P warning.

The response of the Government
The Union Ministry of Finance has expressed surprise at S&P’s pronouncements, pointing out that no substantive developments had occurred since April 25 when the rating agency reaffirmed its sovereign credit rating.
The Government of India has assured that it is continuing with its efforts to fix the economy. The Government is optimistic that there will be a turnaround in India’s growth prospects in the coming months. The main reasons behind this optimism are the following.
  • The RBI has reversed the interest rate cycle.
  • The mining sector growth has turned around.
  • Remarkable progress has been made on fuel linkage for coal-based power projects.
  • There is a turnaround in the quarterly investment growth rate.

Thursday, February 2, 2012

A landmark Judgement!

This refers to the recent Supreme court judgement on the allocation of 2G spectrum, cancelling all 122 telecom licences allotted on or after January 10, 2008. In the landmark piece of judgement, the SC has declared the allocation of spectrum by UPA govt as illegal and contrary to public interest.

In doing so, the SC has, in a single stroke, dashed all government efforts to vindicate their act which was a blatant example of arbitrary exercise of power.

Indeed a wonderful lesson to those who think they can pay bribes and work hand in glove with corrupt officials and politicians and get away scot free once the deal has been secured! The nation stood to be reduced to a comical farce of epic proportions. I hope all the aggrieved parties get together and demand that the bribes they paid and the favours they dished out now be returned by the corrupt!

Credit goes to SC for displaying integrity and clarity in the matter.

Saturday, January 21, 2012

A Real Shame!

This refers to the recent event of Salman Rushdie cancelling his trip on India, following the threats to his life on account of his attending the Jaipur Literature Festival.

I'm extremely disappointed at the way the government has caved in and surrendered to the naked politics of religious fanaticism, in order to gain a few political points for the coming State Elections.

The fact that the voice of religious fundamentalists has once again prevailed over the secular forces, casts a deep shadow over our secular image, and is indeed a sordid commentary on the pluralistic culture and ethos of our vibrant democracy.

The government, by not ensuring protection to Rushdie for his visit, has lost a golden opportunity to demonstrate our religious tolerance to the world.




Monday, January 16, 2012

Standard and Poor’s lower the credit rating of 9 Eurozone countries

The Credit Rating company Standard & Poor's on Jan 13, 2012 lowered its ratings on nine euro-zone nations, citing insufficient policy initiatives taken by European leaders to address ongoing systemic stresses in the euro zone.

Essentially, S&P found that the Eurozone policymakers have not done enough to resolve the region's broadening and deepening financial crisis. It criticised the latest talks as failing to come up with a breakthrough of sufficient size and scope to fully address the Eurozone's financial problems.

The most high-profile casualties were France and Austria, which lost their prized AAA ratings – the top grade, held by only 14 countries worldwide.

Sharp downgrades were applied to Cyprus and Portugal leaving them with "junk" ratings on their debt – ranking them as very risky investments.

S&P has given nearly all the countries it downgraded a negative outlook, meaning there is a one in three chance of a further cut in 2012 or 2013. It says refinancing costs for some countries will stay high, credit will be hard to come by and growth will slow.

A handful of countries escaped the downgrading, notably Germany, which has a track record of prudent fiscal policies and expenditure discipline.

What are the possible outcomes of this downgrade?

The downgrades will increase borrowing costs for the affected countries when they try to raise hundreds of billions of dollars on international bond markets in 2012. France alone needs to borrow about $240 billion to finance its existing debts and annual deficit.

Italy and Spain, two large nations that are facing escalating debt problems, were also among the countries downgraded.

This development is also likely make bailouts harder to fund. The Eurozone's rescue fund, the European Financial Stability Facility (EFSF), uses guarantees from its member countries to raise funds in financial markets. If those backer countries are seen as less creditworthy, so is the fund – and it could well be downgraded too. That will make it more difficult and more expensive to raise money from financial markets and other countries outside the Eurozone.

The rising borrowing costs that many countries will face in the wake of these downgrades will have repercussions across the Eurozone. There are worries, for example, that rising borrowing costs for Italy mean it will sooner or later need to apply for help from the EFSF. If it does – and drops out of the fund as a backer – there are serious implications for key guarantors Germany and France. Their obligations to the rescue fund would rise – and put fresh pressure on their credit ratings.

Conclusion
While the downgrades did not come as much of a surprise they served as a sharp reminder that Europe's ongoing sovereign-debt crisis is far from being resolved and raised questions over the sustainability of triple-A status of the European Financial Stability Facility.

Thursday, January 5, 2012

Food Security in India

With the Food Security Bill presented in Lok Sabha recently, there is an interesting debate going on concerning different dimensions of the issue. Ensuring food security is a long-unresolved problem in India, which houses the world’s largest number of undernourished children. The Government runs a number of special programmes to ensure food security and has a truly massive subsidy burden on this account. With a humongous population, a large proportion of which is truly living in penury, a broken PDS and fiscal limitations of the state, ensuring food security to all Indians is going to be a gargantuan task.