Common sense answers (rooted in political economy) to things people have been saying about #demonetization

In November 2016, the Indian government announced a radical plan to immediately invalidate Rs. 500 and Rs. 1,000 notes. This rapid move happened without any real democratic debate. The government, as per usual, acted like everything would be OK and told Indians they needed to sacrifice a bit more the greater good. 

And chaos reigned.

Much debate has since been infused with typical jingoist arguments about giving the government the benefit of the doubt for acting in the good of the nation. This has highlighted stark divides between the minority of the country who participates in faux public discourse in traditional and social media, and who often lead the charge to put the nation first, and the actual majority of the nation who is largely left out of this conversation and are also the most marginalized by this great monetary transformation. 

Here in, various commentaries on various arguments re: demonetization all at once. This started as a short response to a few small points raised by a friend of my family. Then I didn’t stop writing for about 45 minutes.

Taken as a whole, these constitute a “common sense” reply to the utter gobar (cow shit) ideology floating around as economic justification for demonetization. These claims rooted in basic economics and, more importantly, political economy. Which is what I study/research.

 

I’ve since made a few copy edits or clarifications, but this remains more a working draft than a final argument. I also admit upfront that perhaps I have things wrong or that time will change what we know. I’ll continue to make updates when someone points out where I’m wrong. I’ll also add some citations later. Maybe.

One final note: I’m trying to write in a something of a common language wielding what hopefully seems like common sense to make it easier for others to engage this topic without falling back on pure ideology.

  1. Statistics vary on just how many people (or how many households) are unbanked. But the number isn’t inconsequential. Some estimates say half. Some say a third. Some say two-thirds. Whatever proportion of our nation is unbanked, those people — who are almost exclusively poor and more likely to be rural — do not have the same access to banking services as the folks who are largely of the urban middle class who also assume themselves to be “regular people.” Documents needed to get a bank account are not universal for many people in rural areas as well as migrants to urban areas. Production of a PAN card, ID proof, address proof, etc., is not something everyone can do. As a (quasi) dual citizen, it took me many years to cobble together the needed paper trail to get my own bank account. Full stop. So the assumption by the government that everyone who has cash can easily move it into a bank account is willfully ignorant.
  2. Forcing previously unbanked into the banking system exposes them to the potential for severe risks. It opens the door to financialization, greater debt, complex banking products, shadow banking, derivatives, etc. While certainly some numbers of the unbanked need access to banking, not all do at this time. One of the main effects of this policy will be to force the unbanked into the banking system (or else they may lose what cash value they have), which is forcing them into risk. Full stop.
  3. There’s a notion floating around that this is a temporary inconvenience. To people who have sufficient safety nets, who participate in a plastic economy using cards, who consume through the Internet and large stores (where prices for some goods are invariably higher), perhaps this is indeed only a short-term annoyance. I dispute that it’s only trivial hardship even for the middle class (especially the poorer parts of that wide ranging category). Note the long, long lines of people who are attempting to move their money into banks. Or who wish to exchange their money for new valid cash. Daily limits on exchange complicate the matter and many people will for some time be stuck with large bills that are legally nothing more than pretty paper. Meanwhile, many are finding out how difficult it is to pay some bills in cash today even if a hospital or a particular service provider is legally required to accept the bill. In urgent scenarios, even people with substantial means may ultimately lose money by operating through grey-market or black-market changers for additional fees just to get their money converted quickly. Banks simply do not have a enough Rs. 100 notes to hand out to people to absorb the currency space previously occupied by larger notes in transactions. So yes, for the better-off portions of the middle class and for the upper class (i.e. folks who are even better off than the aam admi  farmer or laborer or construction worker or school teacher), this will still probably be more than minimal, temporary pain.
  4. I have watched this debate play out on social media among supposed “regular” people. But we on Facebook are not regular people. Full stop. A large majority of the country is poor. A large majority of the country is rural. A large majority of the country does not debate things in English on the Internet. Still today. But many people in official positions (such as media commentators) or unofficial positions (such as Facebook commentators) are applying their personal economic experience and ideas to the majority of the nation, which remains largely rural. That is folly.
  5. For anyone whose life and livelihood depends on cash transactions, even a few days of disruption is enough to trigger a debt and poverty trap. Consider a hypothetical: If I am sabzi wallah, I likely cannot afford to continue to make various payments in my economic circuit nor can my customers who now have great cash shortages. The lack of large bills creates the shortage of Rs. 100 notes which creates a shortage of even smaller bills. As this disruption drags on due to banking unpreparedness, dithering and changing of the rules by the government, refusal to follow the rules by some sectors (i.e. the hospital that doesn’t continue to accept the Rs. 500 notes), there are mounting hardships felt by me (sabzi wallah) and people like me (the actual aam admi) working in cash economy livelihoods. If I (sabzi wallah) must take a loan to make ends meet, I may be permanently indebted (especially as another effect of this will be to permanently reduce cash business). If I expend my savings to cover my lack of business, I am also more precarious. Maybe not in debt now, but my safety net is gone. This applies to me, the sabzi wallah, as well as many other cash-only livelihoods. Think of the autorickshaw driver, who most likely does not own his own rickshaw outright. He largely works on a commission basis to pay back a kind of debt to the vehicle owner. But his customers can’t easily pay him in plastic and they don’t have small bills. A lack of small bills also likely makes it more difficult to buy petrol, whatever his rights might be. The cash economy worker is both losing income and losing the currency needed to maintain his him. In short, there will be people who previously operated in the cash economy who will see their livelihoods evaporate, permanently.
  6. Why permanently? That is because this move will force a transition to a plastic economy. That might not seem like such an issue for people like me (PhD student) who already order many things on Amazon and BigBasket and travel by Uber. But this is a HUGE sop to e-commerce and larger-scale credit card-based vendors. Consider our corner store in Sanjay Nagar that does not have a credit card processing machine. We may still return to him if this debacle eventually clears (i.e. if there are enough small bills one day put into circulation). Some people certainly will. But a healthy percentage of his customers have been forced into plastic transactions — people who now turn to netbanking and credit cards and so on — and they will be less likely to return to the corner store. The same holds for the sabzi wallah or the auto-rickshaw driver or the dhaba. Meanwhile Amazon and BigBasket and Uber (and their competitors) will see business boom. The point is that it’s not just cash economy livelihoods that are phased out or temporarily asked to sacrifice. There are also clear economic winners, and that is a huge injustice.
  7. Now, I finally get to the government’s supposed rationale for this. Let’s start with the idea that there are fake bills endangering the economy through fraud and inflation. Maybe some folks are counterfeiting bills. If the Rs. 2,000 notes are drastically more technologically complex, this could tamp down some fraud temporarily. But if fraud can occur at one level of technology it can almost certainly occur at another. Of course, our Rs. 500 and Rs. 1,000 were already relatively high tech with watermarks, embedded security strips, etc. So we are right to be skeptical that this will slow down counterfeiters drastically. Furthermore, I’d like to see convincing evidence that it’s widespread. The existence of “black money” doesn’t automatically mean that counterfeit bills are a massive problem. I’ve encountered two fake bills, both Rs. 50 notes they’re really, really poor forgeries. And changing out the bills for higher-tech ones by itself won’t change an economic system that overlooks cheating and has a thriving money laundering sector. I hear the argument that terrorists are massively trading in counterfeit bills. I am skeptical that this is true, but perhaps policy/police should target the laundering systems that allows them to legitimize fraudulent currency, rather than just targeting all people who use currency.
  8. On the subject of terrorism… As I understand it, another justification for this demonetization is that terrorists will lose whatever amount of rupees they have stockpiled in Rs. 500 and Rs. 1,000 denominations because they don’t want to risk being ID’d when they try to change out that money. First of all, I ask for some definitive proof of this before subjecting the entire country to a debacle such as this one. Second, a terrorist like anyone else go through the painful process of changing small amounts at a time. An inconvenience, maybe. But remember, the government believes that everyone in the nation can endure this inconvenience. So also could a terrorist. Third, if terrorists are really, truly were willing to commit terrorism, it seems like they also probably are willing to commit other crimes and coerce or pay people to change money for them.
  9. I’ve seen scant instances of serious evidence that economy altering forms of black money are held in cash as a “stock.” Can a non-political entity (I realize there isn’t actually one) give me a percentage? A lot of this “stock” is in property. A lot is in gold. A lot is out of the country in other currencies. Can the government really justify all the hardship I’ve outlined above to pursue some amount of black money that is perhaps unknown and also perhaps not significant? Are there not other ways — i.e. actual investigation of illicit revenues and improving financial bureaucracy — that don’t punish all of us in order to punish some of us. But, for the sake of argument, let’s suppose I do have a substantial amount of black money that I was intending to put to some nefarious purpose. At the very least, I don’t wish to pay taxes so I keep my money sitting around in cash. If I’m that chalu, don’t you think I’ll still try to work around demonetization in the same way that a terrorist could? What’s more, if I’m rolling in that much black money, then it’s probably very little skin off my nose to employ enough people to help me get around it. Or I turn to the grey market for money changing. Or I work through a temple or a hospital or another service that is required to accept cash in a way that may very well become a money laundering window. Those folks who support the government on this are tacitly saying that the holder of black money in cash will simply say, “Oh, you got me. Here are those back taxes, and I’ll be a good person from now on.” Does that strike you as reasonable?
  10. A related point is that this move (and illogical justifications for it) would seem to misunderstand black money. Demonetization does absolutely nothing to address the system that generates black money. Black money is not a “stock.” It is a “flow.” Black money is really the output of a black business (or a white business with a black accounting system). These businesses are a separate problem not addressed by this. Sure, as the owner of said “flow” of black money, I may lose some money on trading my black bills in through elaborate measures, but I can continue to operate my under the radar enterprise easily with the new Rs. 2,000 bills. As outlined above, this is unlikely to get someone who benefits from a black money stream to straighten up and fly right.
  11. I hear the word “corruption” thrown around. As though this will stop making people pay bribes. (I’m not sure that anyone argues this will stem a deeper version of corruption that comes from legal manipulation of the system or corruption enterprise as a stream of black money). It seems like this really is meant to address a cartoon character of someone with a briefcase of cash (ostensibly black money) that changes hands illicitly. First question, which is easier to pay as a bribe: four Rs. 500 or one Rs. 2,000? As with counterfeiting, it seems like this might be at best a temporary disruption in such trade. But briefcases can still be configured to carry Rs. 2,000 notes.
  12. A more complex justification says that perhaps property buying via hordes of black money cash will be curtailed if the cash economy is constricted. But it seems I’ve laid out a way around the black money rationale of the government, which then suggests I can still figure out how to buy property. Also, when Rs. 2,000 notes are back in circulation, won’t cash purchase of houses return to business as usual?
  13. There’s been a justification that there is no perfect solution to a huge complex problem like this one — Multiple tentacles. Corruption, lack of tax paying, corruption, exploitation, cheating, lots of sectors that need to be regulated differently, hugely diverse economy, etc. This logic says, the Indian economy itself is a huge “problem” and therefore the government must take “surgical strike” action to fix it without the hindrance of democracy. A follow-up point is usually that, yes, there is likely to be some collateral damage but we need action. This viewpoint is naive. Huge problems are not solved by autocratic, magic bullet solutions. They’re just not. Complex systems require careful, reasoned recalibration (if even that is possible) with adequate protection and consideration lest the react unpredictably. Based on the logic above, it seems like we could predict that this anti-democratic magic bullet option wouldn’t work.
  14. Which suggests that all the popular justifications, which I have tried to dispense with above, are not actually the real justification. I don’t honestly think that Modi et al. are this stupid (i.e. that they actually thought this would just “fix” things), which really makes me think more a collective change to give a massive sop to the financial and credit-based economic sectors. When a solution doesn’t bring benefits or answers to supposed problem, perhaps there are other people/sectors/issues it was intended to benefit all along.
  15. I have to address the idea that this is something good and we have to give the government benefit of the doubt. Simply put, that’s not how it works in a democracy. In a democracy, which we sometimes pretend we still are, large decisions that will have large impacts are discussed, debated, reasoned. Yes, that means that sometimes “decisive” action can’t be taken. Sometimes that discussion leads to gridlock or causes them to be turned down or subjects them to mob rule. OK. That’s how democracy goes. Because it’s still better to have wide participation and general consensus about the way we all move ahead in this world than to have a few experts making decisions at the expense of the many.
  16. A related charge — and one of the most scary — is that people who dissent are unreasonable. That we’re anti-national. Yeh sabse bada gobar hei. Dissent in a democracy is healthy; it’s the essence of participation in the setting of the collective will and agenda of a democratic country. But then we barely live in a democracy. We’re headed toward fascism, and I have no problem saying that. It’s one thing to have faith in a nation or the ideal of a nation. But it’s also very democratic to criticize a government or a politician or a leader. Dissenting over a policy a core principle of democracy. Calling someone an anti-national because they dissent? Suggesting that we must support the government for the good of nation? That’s drifting toward fascism. The other side of the “aren’t people too worked up” coin is “people shouldn’t be worked up at all.” And, what is that? Fascist.
  17. More on that point. Some folks seem to argue that critics of demonetization are really just anti-BJP and pro-Congress. Well Congress flirted with this idea and it was a bad idea then, too. And the BJP said so at the time. Congress made stupid policy, too. And deserved criticism. But the BJP bhakts seem to not take criticism well. Worse, some often interpret criticism of BJP as criticism of Hindus or being “anti-national.” Which sucks us back into that rabbit hole of the previous point and tacitly argues that the nation can only be represented by Hindu politicians (i.e. the BJP).

Look, I study political economy and with it some economics. I’m not going to claim to be an expert in all matters of economics or monetary policy. There’s a lot more nuance to the all of the above and maybe I’ve overstated or understated some things. But I’ve also tried to reason in common sense terms that are understandable to most folks.

That’s because — and I say this with the gravest of faces — this is an anti-democractic, strong-arm tactic that will have few of its supposed benefits. But it will cause a lot of people long-term pain and an even larger number of people short-term pain. And almost no one had a say it whether it happened.

Who thinks that’s what government in a democracy should do?

<small>Note: I made some style, copy and organizational changes on Friday, 18 Nov. No change in the argument.</small>

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Minerals from the sea: Problem closure, neoliberalism and ocean grabbing in the Indian EEZ and beyond

jadhav-oceanminerals-india-cover

For much of the past 18 months, I have worked part-time on a large review of ocean mineral extraction in Indian national waters as well as by India in the high seas. The present is oil but the future are a host of other minerals that often fall under the rubric of “seabed mining.”

In this mini-book, I propose that by framing development questions as an urgent race for resources (minerals, in this case) the government problem closes and narrows simply to the “next frontier” of mineral extraction: the ocean. This problem closure (i.e. narrowing the definition of the problem that also narrows the solution set) is problematic on its own, but it is further compounded by a penchant for neoliberal policy and ideology that has essentially set off another kind of ocean grab.

The subject matter is at times arcane, dense and, well, boring. But the way ocean mineral extraction fits into India’s larger development-at-all-costs narrative raises serious questions about the undemocratic nature of minerals governance.

So enjoy (if possible).

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M. K. Gandhi: No one can claim a “monopoly of right judgment”

I have repeatedly observed that no school of thought can claim a monopoly of right judgment. We are all liable to err and are often obliged to revise our judgments. In a vast country like this, there must be room for all schools of honest thought. And the least, therefore, that we owe to ourselves as to others is to try to understand the opponent’s view-point and, if we cannot accept it, respect it as fully as we expect him to respect ours. Its is one of the indispensable tests of a healthy public life and, therefore fitness for Swaraj. If we have no charity, and no tolerance, we shall never settle our differences amicably and must, therefore, always submit to the arbitration of a third party, i.e., to foreign domination.

Source: Young Indian, April 17, 1924, p. 130.

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Dear Mr. President: What does it say when historical foes march together, hand-in-hand against your indecision on #nokxl?

I’ll be brief. Maybe.

Dear President Obama: I sorely missed being in Washington, DC, this week. The Reject and Protect protests by the Cowboy Indian Alliance (and thousands of other supporters) against the Keystone XL pipeline wraps up today. The big show was yesterday and the pictures are fantastic, symbolic and powerful. Check the video above of the opening ceremony earlier in the week. I hope you heard them. They mean business and you should listen.

My views on this are hardly a secret. #NOKXL. But I’m still a little in awe of how many people have come together, from very different subject positions, despite what I consider to be an adverse environment for environmental politics.

Consider the context: U.S. politics are poisoned/paralyzed by a hypocritical, psuedo-”freedom from government” movement; the Democratic leadership is focused on public relations damage control over its greatest achievement (which I still support); the Republican-controlled House hates nature; the uber-rich Koch brothers live and breathe climate change denial* and bankroll idiocy* on the matter; some scholars say as national governments are unable/unwilling/less necessary to lead in global environmental governance, cities may/can step up in their place.

Such gridlock, political distractions, misinformation (lies, you giant Kochs*) and city-scale momentum might suggest that a national environmental movement would have trouble gathering steam.

Yet somehow, Mr. President, you have managed to repeatedly draw large crowds of protest very near to your doorstep. More than 1,200 got themselves arrested in 2011 in a massive display of civil disobedience, and tens of thousands have again and again crowded downtown DC to tell you to take a moral stand and reject this pipeline.

In the latest action, Obama-sir, you’ve managed to convince historical foes — ranchers and indigenous tribes — that they have something important in common that would trump even the grave injustices and conflict of the past. In case you haven’t figured it out, that common interest is telling you where you ought to shove the pipeline.

As you well know, Mr. President, climate change is real and scary. We’re on a runaway train of oil addiction; stopping said train will be painful, to be sure. But the whole planet is headed for an even worse fate if tar sands crude goes up in so much smoke. If Keystone XL is approved, the United States will be aiding and abetting the consumption of immoral, uber-dirty (like, Koch Bros.-dirty*) tar sands crude.

Perhaps I should be thankful that your indecision on the looming threat of this pipeline has galvanized a new environmental movement that bridges some serious political gulfs. Perhaps I could be thankful, Mr. Obama, if I wasn’t still so damn flustered that you and your administration are politically punting (again) on environmental protection.

* For you prickly Koch Bros. fanboys, my angst about your money-grubbing heroes is of course my opinion, no matter how many other people (or facts) share said opinion. No need to line up the libel suits.

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Mr. Obama, reject this pipeline! #nokxl

There’s only about two weeks left to make comments on the final State Department Environmental Impact Statement of the proposed Keystone XL pipeline. This is the pipeline that more than a million of us have opposed from D.C. to Nebraska to Alberta to countries across the globe, large and small. This is the pipeline that I was protesting when arrested in 2011. My views on this are no secret.

Anyone wishing to comment can do so directly on the Regulations.gov or through a proxy such as 350.org, an organization I support.

My own comment is below, which anyone is free to use.

President Obama boldly claimed he would reject the Keystone XL pipeline if it significantly affected the climate. More to the point, he linked our own national interest with the global climate. Time and again, the president has called for accepting the reality of climate change and attempting to do all we can to mitigate (or adapt to) its impacts, particularly for the most vulnerable communities. Kudos to him for strong words.

I hope this translates into strong action that resolutely rejects the pipeline. This pipeline will allow 830,000 barrel per day of the worst oil to reach market. This will only lower marginal costs for companies to extract and sell more tar sands crude than they could otherwise. This will only increase our economic path dependency on dirty oil. Any claims to the contrary — and even parts of the final Keystone XL EIS — are based on faulty assumptions, poor models (essentially accepting a 6 degree temperature rise, for example) and an unhealthy amount of industry involvement in what was supposed to be an unbiased accounting.

However, beyond the dithering over details and quibbling over accounting, I have a larger concern. The president has repeatedly suggested that we as a country have the moral obligation of right action. In my favorite Obama moment, he claimed in 2004 that he believes that we are our brother’s keeper, that the fates of those less fortunate and the misery of people elsewhere still make our own lives poorer. We must then recognize that we are members of a global community and climate change continues to make people in that community suffer. And that suffering happens at home and abroad. And that suffering is caused by our misuse of resources.

This is a moral issue; the president must not duck it as a fiscal, balance-of-numbers question. Nor can it be sidestepped as part of any political calculus. The practical nature and political expediency of the president’s “all-of-the-above” energy policy must be discarded, at least this time.

Simply put, this test has no “all-of-the-above” bubble to mark. The cost — financial, yes, but also human and environmental — of some forms of energy is too great. Keeping Keystone XL on the table is simply not a moral option. Doing so aides and abets climate destruction and contributes to global suffering.

Mr. President, you now have the findings of the State Department, as problematic as they are. Now it is your turn to act, and act rightly.

Please, Mr. President, reject this pipeline.

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India’s democracy needs an asterisk when it comes to development

A random bit of news filtered through PTI (government press and re-write bureau): An environmental impact assessment (EIA) of a hydropower project in northeast India is hopelessly flawed. The South Asia Network on Dams, Rivers and People has followed this process and continues to point out irregularities and poor performance in evaluating the effects the dam will have.

From the Business Standard:

A Delhi-based NGO has alleged that the environment impact assessment (EIA) study for 1200 mega watt Kalai II Hydroelectric Project (HEP) in Anjaw district is “incomplete, inadequate and shoddy”.

A recent document released by South Asia Network on Dams Rivers and People (SANDRP) has revealed that the “EIA cannot clearly state whether Kalai II is a storage project or a run of the river project and it is also not clear about the height of the dam.”

It might be tempting to see this only as another case of anti-dam activism. SANDRP is likely to oppose most dams, with good reason, and India has a long history of troubling dam building. Sardar Sarovar became the flashpoint for an international movement against both megadams and the World Bank.

But I’m not actually concerned so much with the dam itself (though dams are problematic and we should be skeptical) as opposed to the process of evaluating development. This botched EIA is symptomatic of a much larger problem that is well-known in Indian environmental activist circles:

In terms of environmental protection, the essence India’s democratic credentials are questionable at best.

Let’s start, briefly, with what a democracy actually might be. It’s much more than what your average high school civics class might teach. Democracy is not a binary condition. It’s not a “yes-or-no” decision on whether a country is democratic or not. It’s inherently complex and multidimensional.

Consider that one widely accepted international index of democracy, Polity IV, scores states on six metrics: regulation of the chief executive “recruitment,” competitiveness of executive recruitment, openness of executive recruitment, constraints on executive authority, regulation of participation in elections and competitiveness of participation in elections. In the composite index, states are ranked a continuum from completely autocratic (-10) to completely democratic (+10).

What’s more, we can see examples of democracy and autocracy actually coexisting. After all, the U.S. likes to consider itself a gold standard of democracy and yet this happened.

Of course, India’s sycophants like to point to the “hyper competitive” electoral atmosphere and call India the world’s largest or most vibrant democracy. And, to an extent, they’re backed by Polity IV, which scores India a 9 overall, placing it in roughly the same level of democracy as most of Latin America and parts of Europe. However, the latest Polity Global assessment also suggests that India suffers from “serious” state fragility considerably worse than many other countries with its level of democracy.

Yet we know that even the Polity calculation of democracy is far from comprehensive. Other scholars suggest that democracy requires much and more to function. Paul Collier, a relatively conservative development researcher who isn’t always right but has spent a considerable amount of time looking at democracy, strays far from the classic “free and fair elections” description in his popular development treatise (which has its problems), Bottom Billion. Essentially, Collier writes, elections are easy to put together. But, he says, democracy fundamentally requires elaborate checks and balances — what Douglass North or Acemoglu and Robinson might call “institutions.” Though the institutions might look different in different geographies, it’s clear: They are not overnight creations.

Collier goes further to suggest that often elections are all the ruling elite want; they’re easy to compromise and capture. Patronage and vote buying can easily win out (as it does in India). Affinity and class bias frequently overrule debate in the informed consent process (as it does in India and the U.S.). True checks and balances — from a free, fair and thoughtful media (India still doesn’t have free radio journalism despite its usefulness to a widespread village populace) to campaign finance controls — are often not in the interest of power, so they are particularly difficult items to institutionalize (Acemoglu and Robinson have similar conclusions about institutions).

Which brings me back to the check-and-balance system in environmental governance. One key combination for reining in both the de jure ruling political elite or the de facto ruling corporate elite are the joint institutions of public hearings and fair environmental impact assessment (EIA). However, if the latter is a sham, so is the former. And in India’s case, unbiased environmental impact assessment is largely fiction.

The process, boiled down, goes like this: Big developers (often working with/at the best of government) come up with big ideas. They commission and pay for EIAs. EIAs are submitted to Ministry of Environment and Forests (MOEF). MOEF brings these to the Environmental Appraisal Committee (EAC). EAC is to make recommendations on the projects and the politically appointed minister signs off.

Projects are generally cleared, though sometimes with stipulations. Of course, politicking makes it seem as though India’s development is constantly stalled because of clearance; when environment ministers occasionally are shuffled, the new boss has been known to clear a spate of projects to give the impression s/he is working.

Of course, since EIAs are bought by companies who want their developments approved, they generally skew the facts. And because the government desperately wants big construction and neoclassical capital development and FDI and such, officials face all kinds of political pressure to clear projects, despite serious environmental and social concerns (insert something about POSCO and human rights).

The regularly off-the-cuff Jairam Ramesh, when he was environment minister, called the EIA process a farce..

Environmental impact assessment report is a bit of joke. I admit it publicly. In our system, the person who is putting up the project will be preparing the assessment report. I have been very concerned about this. The Supreme Court has also expressed its concern.

And just last month, the Hindustan Times reported that the EIA process has been revised 100 times in about seven years, reflecting political whims, fancies and, sometimes, the desire to squeeze projects through.

Governments even know this but the pressure to approve “development” is great. Here’s a report commissioned by the state of Goa:

The EIAs, ECs and EMPs were found to be highly deficient in information pertaining to major environmental parameters such as land use pattern, water resources, biodiversity, demographic profile, dependency of people on agriculture, air quality and impact of air pollution on people’s health.

A few years ago, activists even found that parts of the EIA for a proposed bauxite mine in Maharashtra were literally cut and pasted from an EIA on a Russian mine. Site specific variables were the same.

I could go on and on. If you’re still interested, try reading here and here and here.

Or consider the facts the dam assessment in Arunachal Pradesh. The report doesn’t even declare the most basic specifics of the project — dam height or whether the dam will actually block the river flow. Perhaps the assessment isn’t sure whether the dam is a dam.

How then do we expect a legitimate public hearing? What happens to informed consent.

That these kind of basics can be left out of the process is laughable. Except that no one should be laughing.

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One hand tied behind our back

I only spent a summer living in Boston, yet that brief connection to people and a place left me completely enrapt this week with the incredible, horrifying tumult that turned a wonderful American city into a police state of fear.

The ordeal has made me want to hug loved ones. We, watching and listening from the distanced gallery that is INTERNETNEWSPAPERSTWITTERPOLICESCANNERTV, first and foremost can be thankful that it didn’t happen to us.

But as life restarts now, big questions, drama and arguments lie ahead as a nation focuses on the fate of Dzhokhar Tsarnaev. We must all pray for healing for victims; we must also pray for sanity in whatever comes next.

And something will come. I hope it is true justice. Not angry mob vengeance, but sober, encompassing, compassionate, holistic justice. As others deliberate what justice will look like, I have one quote from Aharon Barak, former president of the Israeli Supreme Court, ringing in my ears:

This is the destiny of democracy, as not all means are acceptable to it, and not all practices employed by its enemies are open before it. Although a democracy must often fight with one hand tied behind its back, it nonetheless has the upper hand. Preserving the Rule of Law and recognition of an individual’s liberty constitutes an important component in its understanding of security. At the end of the day, they strengthen its spirit and its strength and allow it to overcome its difficulties.

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Sometimes I forget this about India…

At the Wagah border with Pakistan

I love India for her so-called faults as much as anything else. I revel in my adopted country’s chaotic, imprecise, ad hoc, ecumenical, communal, fraternal, bureaucratic, inefficient, relaxed, whimsical, anything goes, nothing goes nature.

I can argue they’re not really faults at all. Yes, India has a load of problems. And, yes, some of them are exacerbated by the above characteristics.

But perhaps these character flaws, these rough edges — that’s what I’ll call them — may very well be completely, inevitably, undeniably unavoidable when you have 1.2 billion people trying sort out their lives, both individually and as a group.

There are plenty who will say India’s democracy is a sham, that it’s broken, that it’s a hoax, that it needs to go. I’ve said such things in passing and those are certainly arguable, if not truly defensible, viewpoints.

But whatever needs or doesn’t need to happen in India, we must remember she constitutes the biggest experiment in self governance and actualization in the history of sentience. To that alone, I say Jai Hind!

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