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THE law ministry has overturned a decision by the National Highways Authority of India (NHAI) which would have allowed GMR Infrastructure Ltd to collect toll now but pay the government later. Allowing rescheduling of payment would open a Pandoras box of similar requests from other companies, the law ministry wrote to the Ministry of Road Transport and Highways under which NHAI functions on May 9. ...When the agreement has been made, signed by both the parties, it is not advisable for renegotiation of the contract which is neither desirable nor permitted in the normal course and to make change in it at the belated stage, the law ministry wrote. It may open a Pandoras Box to the other equally-situated persons who have agreement with the NHAI. Further, making change now in favour of the concessionaire (GMR) may affect other parties who did not participate in the tenders due to this clause, it added. Despite objections raised
by Finance Secretary R S Gujral and Planning Commission Secretary Sindhushree Khullar, NHAIs board had on March 26 approved GMRs proposal for staggering a payment of Rs 32,508 crore so that the company would pay less in the initial years of the concession period and higher sums later while keeping the net present value of the premium unchanged. Gujral told the NHAI board that the quantum and schedule of premium to be paid by GMR as laid down in the contract signed after the open bidding was a clear bidding parameter. Varying the payment schedule at this belated stage implies departure from the legally binding contract and there could well be a series of requests for rescheduling premia payable so as to make schedules back-loaded, he said. Khullar observed that any change would mean all existing contracts will be open to review and renegotiation. Such whimsical changes in legally binding contracts are a poor reflection on the credibility of government and its agencies. Moreover, reopening a legally binding contract
mitigates against the principle of sanctity of contracts and should not be resorted to on a case-to-case basis, she added. The NHAI board later sought an appropriate public policy from the road transport ministry. The ministry, while asking the law ministry for an opinion, was of the view that any change in policy should only be made prospectively. Highway developers are sitting on 25 unfinished projects that are to yield Rs 98,115 crore in gross premium to NHAI. Besides GMR, NHAI received similar requests for staggered payment from GVK, IRB Infrastructure and Ashoka Buildcon among others. Road Transport objected saying these were done deals and should not be renegotiated. NHAI argued that this would mean the termination of most projects. The projects of GMR, GVK and IRB involve six-laning where toll collection starts from the four-lane stage. Staggering the premium over the concession period helps companies by reducing their cash outgo in the initial years when they incur construction costs.
PRIME Minister Manmohan Singh arrived here on Wednesday to submit his nomination papers seeking reelection to the Rajya Sabha for the fourth consecutive time amid protests by opposition political parties and the All Assam Students Union (AASU). While the AGP and BJP staged demonstrations opposing Singhs re-nomination from Assam, the AASU demonstrated by parading 15 persons with Manmohan Singh masks, each holding a placard saying I am responsible for the burning problems of Assam. There were also protests outside the legislative assembly secretariat, where Singh submitted his nomination papers, by mediapersons who were debarred from entering the premises. Several attempts made by different ministers of the state government to pacify the media
yielded no result. Chief Minister Tarun Gogoi himself came out to meet the media, and assured that the Prime Minister would interact with the media at the assembly gate itself. But all that Singh did was to make a statement of three or four sentences, and hurriedly boarded his car, leaving no scope for the media to ask any question. I thank the people of Assam for having sent me to the Rajya Sabha for the past 22 years. I am indebted to the people and will never be able to repay this debt, Singh said. He said he would continue his efforts to accelerate the pace of economic development of his adopted home state. Interestingly, several leading intellectuals of the state have come down heavily on the Prime Minister. Manmohan Singhs continuing as an MP from Assam for more than two decades has not served any purpose. Instead it has only demeaned the democratic system. He is in no way associated with the society in Assam, said Prof Udaditya
I HEREBY DECLARE
MANMOHAN SINGH
CONGRESS, ASSAM
TOTAL ASSETS
` 11.60 crore
MOVABLE ASSETS
` Rs 4. 08 crore
CASH IN HAND: ` 20,000 (self nil, wife ` 20,000) DEPOSITS & SAVINGS: ` 37 lakh (self ` 20,31,385, wife ` 16,62,570)
IMMOVABLE ASSETS
` 7.52 crore
AGRICULTURAL LAND: Nil NON-AGRICULTURAL LAND: Nil RESIDENTIAL PROPERTY: House in Chandigarh, flat in south Delhi, self, ` 7.52 crore
Bharali, an intellectual and historian. In an article in a local daily, Bharali also said, Most people in Assam had never heard of him till he was first sent to Rajya Sabha in 1991. Moreover, the manner in which he proved his residential status in Assam way back in 1991 was not proper. He has
not lived even for 22 days in his rented house in Guwahati in the past 22 years. Another leading intellectual Prof Deven Dutta said Singh comes to Assam only on specific occasions. While the cuckoo comes to Assam only during spring, Dr Singh comes to Assam only to renew his Rajya Sabha seat, he said.
CM, Sonia discuss 98 phantom vessels could pose real threat team today
KARNATAKA Focus on clean image,
Passengers will be charged only if they prefer a particular seat although it is not clear whether this applies only at the time of booking a ticket or even at the check-in counter. Jet and Air India have also reduced the free check-in baggage allowance for domestic passengers and Air India is contemplating charging for food on both domestic and international flights. But the airlines have not cut their base fares and claim fares should fall in due course after they get a clearer picture of the revenue potential from unbundling of services. Civil aviation ministry officials said that airlines are likely to be told to be more transparent about the new charges during its quarterly meeting with airlines scheduled to take place by the end of this month.
EXPENSIVE RIDE
IndiGo:
Seats in first two and last two rows: Rs 500 (domestic) Rs 800 (international) Window and aisle seats: Rs 200 (domestic) Rs 300 (international) Middle seats: Rs 100 (domestic) Rs 200 (international)
Window and aisle seats till row 10: Rs 500 (international) Window and aisle seats on rows 11 to 15: Rs 250 (international) Free Luggage: Reduced from 20 kg to 15 kg. Rs 250 per extra kg (only domestic)
Jet Airways:
Air India:
Free Luggage: Reduced from 25 kg to 15 kg. Rs 250 per extra kg (only domestic)
There has to be a limit to the number of seats an airline can put a price tag on. If you are charging for all seats then there is a problem somewhere, said a senior ministry official. IndiGo said it is being transparent and seats are chargeable only if a passenger opts for it. The seats are not chargeable if the passen-
ger does not opt for it. In case there is only a window seat left and the passenger does not offer any choice of seat, he/she will be provided the seat without any charge, an IndiGo spokesperson said. Jet Airways did not respond to questions emailed to it. The Air Passengers Association of India, which has
opposed unbundling of services, is not convinced and demanded more transparency in the manner these levies are being imposed. I fear that airlines will start charging extra families or groups who want to get seats together and face the prospect of being allotted separate seats. All this is nothing but attempts to raise fares indirectly, said D Sudhakara Reddy, national president of the Air Passengers Association of India. The Directorate General of Civil Aviation (DGCA), which is monitoring the situation, has asked IndiGo to make the system more transparent on its website. The DGCA has also asked IndiGo to put a condition in their ad on the website clarifying that the charges are levied only if one opts for it, said a senior DGCA official.
FIVE years after it set up a permanent research stationintheArctic,Indiahasbeeninductedintothe ArcticCouncilwithanobserverstatus,allowingitto have a greater say in managing the activities and resources in the Arctic region. The eighth ministerial meeting of the eightmember Arctic Council, held in Kiruna, Sweden, has inducted six countries, including India and China, to join the council as observers. The other countries to have been given the observer status are Italy, Japan, Republic of Korea and Singapore. The application of European Union has been kept on hold. The council, that has the US, Canada, Norway, Russia, Finland, Denmark, Iceland and Sweden aspermanentmembers,isahigh-levelforumfordiscussions on issues relevant to the Arctic and the people who live there. It is concerned with issues of climate change, preserving polar environment, sustainable use of natural resources of the region and promotion of scientific research in harmony with natural surroundings. Its decisions have limited legal backing.The Arctic region is rich in mineral resources, and in oil and gas. Indias induction into the council is the fulfilment of its diplomatic efforts for some time to get this status.We welcome this consensus decision admitting India as an observer state of the Arctic Council and affirm our commitment to contribute our proven scientific expertise, particularly in polar research capabilities, to the work of the Arctic Council and to support its objectives, Syed Akbaruddin, official spokesperson of the Ministry of External Affairs, said in a statement.
THE intent of the new Congress governmentledbyChiefMinisterSiddaramaiah to appoint ministers with clean images in order to set the ground for a good Congress performance in Karnataka in the parliamentary polls next year has put several legislators with priorexperienceingovernmentonthin ice. Siddaramaiah and state Congress president G Parameshwara began an exercise on Wednesday in New Delhi with the party leadership to finalise a list of ministers to fill up the 33 available positions in the new ministry even as several prominent party leaders lobbiedagainstbeingleftoutofthegovernment. Siddaramaiah paid a courtesy call to Congress president Sonia Gandhi Wednesday evening but a more detailed meeting is expected on Thursdayonceheisabletofinaliseatentative list with those involved in the exercise. He also called on President Pranab Mukherjee and is scheduled to meet Prime Minister Manmohan Singh on Thursday. According to Congress sources, among the basic criteria being used for shortlisting the new Karnataka min-
istryarecleanrecords,peoplewhohave won elections more than once on Congressticketsandabalancemixofpeople with prior knowledge of administration and young upcoming leaders. Thesourcessaidtheinitialaimisto bring in party seniors into the government to balance caste equations and consolidate the government before moving for an expansion later on involving fresh faces and youngsters. Siddaramaiah has stated that he is striving for a well-balanced ministry in termsofcastesandageandwhereclean records are a priority. Before leaving for New Delhi, he had stated that he expects to have a ministry in place by Thursday or Friday. HVishwanath,CongressMPfrom Mysore, has already said that those involved in the real estate business, mining business and those with tainted records should not be allowed to becomeministersinthenewgovernment. A campaign has also been launched, spearheaded by nonagenarian freedom fighter H S Doreswamy, requestingSiddaramaiahandtheCongress to refrain from appointing a bunch of MLAs allegedly having tainted records, including former minister D K Shivakumar and mining baron Anil Lad.
WITH ENS, DELHI
supposed to check the vessels papers and equipment. The Coast Guard has also informed the Maharashtra government that it has found, during a separate exercise, that only one of the innumerable dhows sailing up and down the coast MSV Padmavati was fitted with the mandatory security equipment, Automatic Identification System (AIS). From the Coast Guards perspective, until the whereabouts of the 98 dhows plying between Middle Eastern waters and India are confirmed, they re-
main security threats, a security official said. Maharashtra DGP Sanjeev Dayal confirmed that the issues had been flagged, and that multiple agencies were working on them. MMD officials have told the government that AIS equipment should be offered at subsidised prices to the owners of dhows. A small sailing vessel without an AIS poses serious security and terror concerns. It is a moving vessel with no information, and is considered a floating threat, an official said. The Yusufi had no AIS and claimed it was headed
to Sri Lanka, even as it approached Mumbai. A functioning AIS provides all information about a vessel, including its identity, type, position, course, speed and navigational status. Following a coastal security review after the November 26, 2008 terror attacks in which an Indian fishing trawler was used by terrorists, the Directorate General of Shipping had issued mandatory guidelines on AIS. In May 2009, the directorate general asked all vessels longer than 20 metres to obtain Maritime Mobile Station Identification
(MMSI) numbers for AIS. Neither order has been complied with, Coast Guard officials said. According to the Coast Guard, it was in 2003 that the last sailing vessel was registered with the Mumbai MMD. Captain L K Panda, principal officer, said most of the dhows now exist only on paper. We wrote to all the dhow owners registered with us. We have waited for three months, and no one has responded from 98 vessels. We will cancel their registrations and send the details to the Coast Guard, Captain Panda said.
to IMD scientists, there is hardly any correlation between the setting of the