posted by Rahul Chimanbhai Mehta Rrg

Directly depositing coal royalties vs subsidizing highways using coal royalties --- why first option is less inefficient and reduces conversion / poverty / naxalism etc . When coal royalties are spent to say subsidize roads, not everyone benefits equally. eg say toll to road from mubai to ahmedabad when coa royalties were not used to subsidize roads was Rs 500 for car and Rs 3000 for bus . Say coal royalties are used for roads and toll becomes zero for both. Now say car had on an average 4 passengers and bus had 60 passengers. Then benefit that car passengers got from coal royalties used to subsidize roads was Rs 125 per person, while benefit bus passenger got is Rs 3000 / 50 = Rs 60 only. And consider a much much poorer person who rarely travels out of his village. Benefit he got will be near zero. . The pro-subsidy will start showing indirect benefits. But that is all smoke and mirror. Take all items on which govt spends as subsidies . In all cases except food, the poor get LESS per head benefit than well off. . In case of direct deposit of mineral royalties , directly into accounts of citizens, all get same benefit. . And what is worse is that when direct deposit is removed, it gives opportunities to leaders to take bribes and give away coal mines to people like Jindal for as low as Rs 108 / tonne !! IOW, no real money comes. Only thing that comes is --- promise of cheap power. But again, even if Jindal gives power to cheap, then the person who consumes 1000 units a month will benefit more than those who consume 0 units or 100 units per month !! And Jindal isnt going to pass all the benefit to consumers anyway. . And how does GoI's decision that royalty should NOT be deposited uin citizens' account , but used to subsidize roads etc will increase naxalism / . Whether we like it or not, the naxal leaders as well as Missionaries will explain these facts to poor and will try to put poison in their minds that upper class and upper caste hindus are exploiting them by not giving them fair share of the coal's royalties to them. This enable them to increase naxalism and conversion. .. Solution I propose is that activists should force MPs to print law-drafts that will force PM / Coal Minister to deposit the coal royalties directly into citizens account. The draft is at http://ift.tt/1Dq6AFI . . I am trying to convince activists that all activosts should send following order to MP via SMS . ==== Dear MP , If and after majority voters from your area send this link to you via SMS , please implement this order of mine, to print Direct Deposit of Mineral Royalty into Citizens Accounts and Military draft in Gazette give at http://ift.tt/1Dq6AFI ================= . And IMO activists should try to reach 45 crore voters via newspaper advt and also convince them to send this order to MP via SMS

by Rahul Chimanbhai Mehta Rrg



from Right to Recall Group http://ift.tt/1Dq6AFI