The All India Consumer Price Index Number for February, 1998 had decreased by 2 points.
 

    The point to point rate of inflation, based upon the CPI-IW has decreased from 9.4 per cent in January, 1999, to 8.6 per cent in February, 1999. In February, 1998 it was 9.1 per cent.

    The Rise/Fall in the index varies from centre to centre. In 59 centres the decrease in index was noticed between 1 to 23 points, in 3 centres it remained constant and in 8 centres it recorded an increase of 1 to 26 points when compared to previous month.

    The index in respect of six main centres for February, 1999 stood at the following level:-

        1.         Ahmedabad         410

        2.         Bangalore             397

        3.         Calcutta                 419

        4.         Chennai                 438

        5.         Delhi                     472

        6.         Mumbai                 462
 
 

    The Report mentions that during the decade 1988-89 to 1997-98 the telephone exchanges have shown a marked increase from 13,725 to 23,406. There has also been nearly a five-fold increase in the number of telephones direct exchange lines (DELs) from 41.74 lakhs to 178.02 lakhs, thus making India's telecom network the 12^th largest in the world and the third largest among the emerging economies. The number of villages provided with telephone facility during the same period has also gone up from 27,316 to 3,10,687.

    During 1998-99 (upto 30^th November 1998) with further addition, the number of telephone exchanges and the direct exchange lines (DELs) have increased to 23,624 and 194.5 lakhs respectively. The total number of public telephones stood at 4.75 lakhs and the franchisees of Public Call Offices (PCOs) have been given the permission of conference facility.

    As on 31^st December 1998 the tele-density in the country has reached to two DELs per hundred persons. There were 16,976 NSD/ISD stations and all the district headquarters have been covered with STD connectivity. It is planned to further extend the services with long distance connectivity to all the sub-divisional headquarters subsequently with a greater thrust on rural, hilly and north-eastern areas.

    In the field of customer satisfaction weekly open public meetings have been started by the Minister of Communications to expedite solution to the problems of billing and on the spot redressal of customer grievances. Pagers are also being provided to the field officials for promptly attending to and repairing of faults.

    The Report states that the doubling of leased line charges for Close User Groups (CUGs) and other value added customers has been withdrawn. Access to the nearest Internet node is being progressively provided on local call basis.

    With the commencement of Short Distance Calling Area (SDCA) as local area w.e.f. 15.8.98, the callers have been facilitated with a five minute Intra-SDCA calling rate and three-minute basic call duration for adjoining inter-SDCA. Calls and the rural subscribers have been benefitted further. A new service facility namely Call Line Identification Processing (CLIP) has been introduced w.e.f. 1.1.99 to benefit the customers.

    According to the Report the Department has drawn up a Tribal Sub-Plan (TSP) as part of the 9^th Five Year Plan for providing rapid telecom facilities in tribal areas. The main objectives of the Tribal Sub-Plan are to provide telephone facilities practically on demand, to provide NSD facility in all the exchanges, and to provide public telephones in all the tribal villages by the end of 9^th Five Year Plan period.

    The Report states that DoT has been giving special attention to the speedy development of telecom facilities in the North-Eastern region of the country. During 1997-98 there was net addition of 78,614 lines of Telephone switching capacity, 59507 DELs and 2977 village public telephones (VPTs). As on 31.3.98, all the 7 North Eastern States namely Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Tripura and Assam had 100 per cent electronic telephone exchanges. During 1998-99, 1,13,200 lines of net switching capacity, 82000 DELs and 3,900 VPTs are planned to be provided in the North-Eastern region.

    The Report says to improve the telecom facilities of the National Capital Region (NCR) all efforts would be made during the 9^th Plan to introduce various value added services to make it at par with Delhi, which is one of the demands of the NCR Planning Board. It is aimed to make the telephone available on demand at the earliest during the 9^th Plan in the entire NCR region
 
 

    This High Powered Committee will have the following terms of reference:-

To examine the transaction costs incurred by exporters in terms of additional time and resources invested in non-production factors arising out of the procedural complexities and obstacles associated with both administrative process and procedural bottlenecks in relation to foreign trade licensing, the customs clearances, and refunds of duty drawback;

To examine the transaction costs in terms of additional time and money incurred in infrastructure constraints at ports, airports, inland container depots, warehousing, inland transportation etc;

To examine the administrative procedures, conditionalities and problems faced by the exporters in getting the timely, adequate and competitive export finance including working capital from banks and other institutions;

To suggest measures and make concrete recommendations for reduction of such transaction costs and improving the implementation processes;

Any other issue which the Committee feels relevant for reducing the transaction costs in general or for a particular sector.

    The two-day Session, under the Chairmanship of Union Labour Minister, Dr. Satyanarayan Jatiya will be attended by the Labour Ministers and the Secretaries of the States and Union Territories, Senior Officials of the Central Ministries and Departments and Representatives of Employers and Employees Organisation.

    While discussing industrial sickness, the ILC may consider the steps for making Board for Industrial and Financial Restructuring (BIFR) more effective, improving formulation of rehabilitation scheme and to ensure that workers dues get the necessary priority and centrality. With regard to other barriers to restructuring, ILC may deliberate upon the provisions under Chapter-V B of the Industrial Dispute Act. The participants may also discuss what constitutes an attractive VRS/Separation Scheme so that restructuring of labour force can be faster and not related to winding up or liquidation of companies. The Unions and Managements, may also like to share their experience regarding participation in management, investment in HRD, adoption of new management practices etc. as means of avoidance of wastage and leakage of resources, optimal harnessing of scare resources with a view to increasing production and productivity which is the final solution for industrial sickness.

    Regarding employment scenario, the ILC will discuss recent policy initiatives influencing employment opportunities and simplification of Labour Laws for stimulating employment in small and medium enterprises.
 
 

    Shri Yashwant Sinha also informed the delegation that the Government is taking all possible measures to streamline the system to eliminate hassle factors for attracting more foreign investments to core sectors, high technology and infrastructure. Procedures are being made more transparent and policy is shifting towards the automatic regime for foreign investments. He mentioned the recent initiatives taken by the Government like opening up of Insurance Sector, Coal and Lignite, announcement of new Telecom Policy and measures initiated in Ports and Roads and in Power Sector. He invited American investments in capital, technology and core sectors in India. Shri Yashwant Sinha also informed the delegation that India is committed to abide by the international trading obligations including WTO. Shri Sinha mentioned that the Intellectual Property Rights and Copy Rights Acts would be further amended to help facilitate more liberal regime in trade and commerce.

    Answering the questions of the American delegates, the Finance Minister said that the majority of the measures initiated by the Government bear a stamp of political consensus and the policies on reforms encompass the aspirations of common people who live in centuries across the country. He also apprised the delegation about the steps taken by the Government to control prices of essential commodities, inflation and the rural thrust given in the Budget 1999-2000.
 
 

    The metre gauge railway line on Agra Fort-Bharatpur section was working since 1873. A rail route from Bharatpur to Jaipur via Bandikui was opened to traffic in 1874 and Jaipur was connected with Delhi via Bandikui and Rewari.

    It has been decided now to convert this 125 year old metre gauge railway line into broad gauge. Bandikui-Bharatpur-Agra Fort (150.50 kms. long) rail route is the shortest route between Western states like Rajasthan, Gujarat on the one hand and Uttar Pradesh, West Bengal and northeast states like Assam, Nagaland etc. on the other hand. This route was isolated after the conversion of Rewari-Bandikui-Jaipur-Ajmer-Ahemedabad metre gauge line into broad gauge under the gauge conversion project. This has necessitated its conversion into broad gauge. After the conversion, the distance between Jaipur and Agra will be reduced by 107 kms than the existing route via Sawaimadhopur-Bayana.

    The conversion of Bandikui-Agra Fort railway line will also help in decongesting the busy route between Sawai Madhopur and Bayana. The conversion will help in developing the economy and tourism of the area. It will reduce the distances between the important historical tourist places like Agra, Bharatpur, Jaipur and Ajmer.

    Agra Fort-Bandikui Gauge conversion project has been sanctioned and the earthwork and work on bridges shall be taken up with the availability of funds. The cost of the project has been estimated at Rs.161 crore. It involves 23 stations, 101 level crossings. 11 major and 177 minor bridges.
 
 

    The central government is regularly monitoring the action taken by State Governments and UT Administrations to implement the provisions of Essential Commodities Act, 1955. During 1998 up to the end of December, 62,433 raids were conducted and 5033 persons were arrested for various offences under the Act. Of these, 4606 persons were prosecuted and 3700 convicted. The value of goods confiscated is Rs. 2208.57 lakhs.

    Under Prevention of Blackmarketing and Maintenance of Supplies of Essential Commodities Act 1980, a total of 131 persons were detained during 1998.

    The Report further states that the annual rate of inflation based on the wholesale price index for all commodities is estimated lower at 5% as on January 2, 1999 as against 5.6% during the corresponding period of 1998. The prices and availability of Essential Commodities are being monitored by the Ministry on a daily and weekly basis and suitable measures had been taken to avoid shortages and check price rise. A high level Committee, the "Cabinet Committee on Prices" (CCP) and Special Action Committee of Secretaries on Monitoring of Prices (SACP) have been set up with a view to review the price situation and to provide relief to consumers. The Department of Consumer Affairs monitors the prices of 12 Essential Commodities of mass consumption namely, rice, wheat, gram, arhar, potatoes, onion, tea, sugar, salt, vanaspati, groudnut oil and mustard oil on a daily basis. Essential Commodities are also being supplied through the cooperative outlets of Super Bazar, Kendriya Bhandar, Retail/Mobile Outlets of State Civil Supplies Corporation.
 
 

• Building an advanced information technology framework to support rural development administration.

• Creation of management, decision & planning support systems at all the levels for effective on-line planning, monitoring and management of wide spectrum of schemes and programmes.

• Employing information technology interface in poverty alleviation programmes.

• Utilisation of information technology for awareness generation among people.

    The target for crude oil processing by Indian Oil refineries has been raised by about 7% during the current fiscal as compared to 1998-99. The product pipelines, including the 1440 km Kandla-Bhatinda pipeline, have also been set higher throughput targets. In marketing operations, weightage has been given to reseller operations as well as the levels of customer satisfaction achieved in various sales functions.

    Project implementation has been given pride of place in the MOU after financial performance in view of the urgent need to augment infrastructure to meet the growing POL demand. Four of the five major projects identified in the MOU are scheduled for completion during the current fiscal. These are: diesel hydro-desulphurisation units at Gujarat, Haldia, Mathura and Panipat refineries; matching secondary processing facilities at Mathura; Gujarat refinery expansion by 3 million tonnes and augmentation of the Salaya-Viramgam-Koyali section of the Salaya-Mathura crude oil pipeline. The combined cost of the above projects is Rs.3870 crore. The progress of the Haldia-Barauni crude oil pipeline augmentation to 7.5 million tonnes at a cost of Rs.472 crore will also be monitored till its scheduled completion in February 2002.

    As part of the MOU, Indian Oil’s R&D centre is to develop 80 new product formulations during 1999-2000. In addition, it will also take up special projects for developing a long-life turbine oil, a hydraulic oil for small excavators, a 4T oil for 4-stroke bikes and a process package for conversion of olefinic petroleum fractions to LPG and aromatics.
 
 

    The MOU sets targets for the company under three major criteria, viz. Static Operational efficiency, Financial Performance and dynamic Efficiency.

    The target for the crude oil production for the year 1999-2000 has been set at 3.30 MMT which will be the highest ever to be achieved by OIL in its history. Similarly, the gas production target of 1740 MMSCM and gas sale target of 1175 MMSCM also will be the highest ever to be achieved by OIL.

    The year 1998-99 had been a successful year for OIL. The company estimates to record highest ever crude oil production of 3.29 MMT and highest ever gas production of 1700 MMSCM during the year. OIL’s exploratory effort also led to discovery of six new structures in Assam during 1998-99. Exploratory drilling work in Ganga Valley Basin was started during the year and the first well is being drilled. The 16" spur line from its Naharkatiya-Guwahati-Barauni trunk line for supply of crude oil to Numaligarh Refinery was successfully commissioned on 26.2.99. OIL entered into farm-out agreement with foreign company M/s TOTAL of France for an exploration block in the Sultanate of Oman. OIL has 20% participation in the block. Exploratory drilling operation in this block has already started.

    OIL has already done the spade work for participating in the bidding rounds announced by Government under the regime of New Exploration Licensing Policy. Actions to have equity participation for hydrocarbon exploration overseas for additional blocks are also being vigorously pursued.
 
 

    Shri A.V. Gokak, Secretary, Department of Fertilizers, signed on behalf of Government and Shri N.Y. Mahajan, CMD – MFL signed on behalf of Madras Fertilizers Limited, Chennai.

    The Company has completed in March 1998 major Revamp of its 26 year old plants at Rs. 601 crore project cost. During 1998-99, the first year after the Revamp, the Company could stabilise operation of its plants and achieved production of about 9.95 lakh MT, and provisional sales of 10.8 lakh MT of fertilizers with turnover of Rs.1,070 crore.

    As per the MOU for 1999-2000, Company would produce 10.85 lakh MT of fertilizers and sell 11.85 lakh MT of fertilizers including 1 lakh MT of Imported DAP & MOP. The Company has agreed to further improve production performance and energy efficiency. The Government has agreed to consider the Company’s proposal for financial Restructuring and assist in expeditious release of outstanding subsidy claims.
 
 

    The Government have also approved increase in the Authorized Capital of the Corporation from Rs.385 crore to Rs.1250 crore divided in to Rs.1,25,00,000 ( One crore twenty five lakh) equity shares of Rs.1000/- each.
 
 

    Its area of jurisdiction comprise Talcher and IB Valley Coalfields in Orissa. MCL comprises of 9 underground and 13 opencast mines. It has undertaken implementation of 6 Advance Action Projects and one re-organisation project for which Rs.6000 crore would be invested to raise its production to 88 million tonnes by the year 2006-7. The projects taken up in the 9^th Plan would spill-over to the 10^th Five Year Plan.

    MCL is at present the second largest coal producing company under CIL. During the year 1997-98 the company earned a gross profit of Rs.654.11 crores. Production of the subsidiary is increasing every year. The figures are 1993-94 (24.30 mt), 94-95 (27.33 mt), 95-96 (32.70 mt), 96-97 (37.36 mt), 97-98 (42.17 mt). The targets for these years were 23.80 mt, 25 mt, 30.75 mt, 36 mt & 39.50 mt respectively. The Coy has produced 32.68 mt of coal against the target of 29.13 mt during the period Apr-Dec 1998 which is 8.57 per cent more than 31.8 mt produced during the same period last year.

    Coal despatches have also registered a steady growth from 23.99 mt in 1993-94, 26.91 in 94-95, 34.31 mt in 95-96, 37.22 mt in 96-97 and 43.30 mt in 97-98. The despatches during Apr-December period of 1998-99 has been 31.01 mt against target of 30.04 mt. MCL has been maintaining an excellent record of coal production, despatches and overburden removal since its inception.

    MCL has been conferred with a Gold Award by the International Green Land Society, Hyderabad for commendable work done to control pollution.
 
 

    For the year 1995 Baragolai NEC is the winner under Coal Mines – below ground with difficult mining conditions group, Khandra ECL won under Coal Mines – below ground group. Under Coal Mines – opencast group Neyveli No. 1 NLC are the winner and Kargali OCP CCL are the runnerup.

    Bargolai, NEC, Khandra ECL, Kargali OCP CCL are the winner and Satpura No. 2 WCL. Kurasia SECL, Karkata CCL are the runner up under lowest injury frequency rate group. Neeljay opencast No. II WCL are the winner and Karkat CCL are runners up under per million cubic metre of output group.

    For the year 1996 Lodna BCCL, Duman Hill SECL, Neyveli No. 1 NLC are the winners and Moonidih Project BCCL, Neyveli No. 2 NLC are the runners up in longest accident free period group. Ledo NEC, Duman Hill SECL, Kurasia Opencast SECL are the winners and Kurasia SECL, Kabribad Reorganised CCL are runners up is lowest injury frequency rate group. Neeljay No.II WCL has won and Kurasia Opencast SECL is runners up in per million cubic metre of output group.
 
 

    Minister of State for Rural Areas & employment, Shri Baba Gouda Patil addressed letters in March, 1999 to all the Chief Ministers and Administrators of States & UTs urging the need for creating conditions for self governance in real terms at the village level throughout the country so that people can have a real feel of freedom and manage their elections as in a true democracy. The Government had earlier requested the State Governments to ensure that Gram Sabhas should meet at least once in each quarter preferably on 26^th January – Republic Day, 1^st May-Labour Day, 15^th August-Independence Day and 2^nd October-Gandhi Jayanti. In these meetings, development work plans should be prepared, final selection of beneficiaries should be made, social audit should be effectively exercised and also integrate the marginalised section of the village community.

    In his letter to the Chief Ministers and Administrators of States and UTs, the Minister, Shri Baba Gouda Patil has called upon them to take the following steps during the year of Gram Sabha:

• Each habitation or a group of habitations may be designated as a ‘village’ for the purpose of constituting Gram Sabha. This alone can enable the people to interact in a face-to-face situation with clear understanding of the issues involved. The Gram Panchayat may, therefore, have one or more Gram Sabhas for the area under its jurisdiction.
• The relationship between the Gram Sabha and the Gram Panchayat may be the same as between the Legislature and the Government. The panchayat should be accountable to the Gram Sabha in unequivocal terms. The members of the panchayat should hold office only so long as they enjoy the confidence of Gram Sabha.
• The Gram Sabha should have full powers for determining the priorities for various programmes in the village and approval of budget. Prior approval of Gram Sabha should be made mandatory for taking up any programme in the village. Certification of expenditure and also about proprietary in financial dealings should be made mandatory responsibility of the Gram Sabha.

• The management of natural resource including land, water and forest by any authority whatsoever should be made subject to the concurrence of the Gram Sabha. Consultation with the Gram Sabha should be made mandatory before acquisition of land for public purpose and other forms of land transfer.
• The Gram Sabha should be vested with full authority to manage all affairs concerning intoxicants including their manufacture, sale, transport and consumption of intoxicants and also enforcement of total prohibition, if the Gram Sabha so desires.
• Participation of women, SC and ST members in the Gram Sabha should be made mandatory with suitable provision for their presence in the quorum of Gram Sabha meetings.
• The Gram Sabha should have the power to evolve its own procedure for conducting its business including decision-making, following the principles of natural justice. The rules and regulations which may be issued by the Government in this regard from time to time should be deemed to be as guidelines.

    The Group will be chaired by the Finance Minis-ter. Its other Members will be the Minister of Petroleum and Natural Gas, Minister of External Affairs, Deputy Chairman, Planning Commission and representatives of the Tata Energy Research Institute, New Delhi and the Indian Institute of Petroleum, Dehradun. Secretary to the Prime Minister will be the Member-Secretary of the Group. Secretary, Ministry of Petroleum and Natural Gas, Finance Secretary, Commerce Secretary and Secretary, Ministry of Surface Transport would be Special Invitees.

    The principal Terms of Reference of the Group are: identification of short-term and long-term measures for exploration, production and transportation of hydrocarbons in India with a view to optimising domestic resources; formulating a credible plan for restructuring of oil  sector PSUs including disinvestment; formulating a time-bound frame work for price and tariff reform in Petroleum & Natural Gas sector; identification of measures and policies for marketing and refining of hydrocarbons for rapid development of the industry;formulating a prospective plan for development of non-conventional alternatives including import of Natural Gas and development of Coal Bed Methane;assessment of infrastructure requirements in respect of ports, shipping tonnage, railways, product pipelines and tankage and policy measures necessary to upgrade the infrastructure and;formulating a strategy for India's external interfacein respect of upstream and downstream operations, trade and transportation of hydrocarbons.
 
 

    Speaking on the occasion, Sushree Uma Bharti said that she has faith that the youth of the country will come forward in large numbers to work as volunteers under the National Reconstruction Core Scheme. She called upon the Nehru Yuva Kendra Sangathan to form a group of at least 80,000 volunteers by 30^th of June 1999 and to start work for the development of the country by then. She cautioned that the volunteers should only be genuine people with the urge to serve the country.

    Earlier, the Director General, Nehru Yuva Kendra Sangathan, Shri Prahlad Singh Patel said that the aim of the National Youth Cooperative Committee is to encourage youth cooperatives in the country. This will help in building the organisational power of the youth and enhance income earning capacity will give rise to self-reliance in them. This multi State Youth Committee will be specially useful for rural youth. Shri Prahlad informed that the Nehru Yuva Kendra has already started work of building houses for the earth quake affected families in Chamoli district. They have adopted a village to give concentrated attention in this respect.