This story is from August 04, 2008

Privatization of many govt services soon

Privatization of many govt services soon
NEW DELHI: If you are tired ofknocking at one government counter before being rudely asked to move to the nextfor everything from licences to bills, respite could be on itsway.Getting a driving licence, paying various kinds of taxes andpaying bills for amenities that are yet to be privatized are set to becomeeasier as the government prepares to promote private competition in servicesthat interface with the public and consumers. It has accepted a recommendationof the Administrative Reforms Commission on opening up these "monopolistic"services bogged down by "departmental hegemony".The government'smove to promote private competition in services that interface with the publicand consumers is expected to bring down levels of corruption.Arecent meeting of the Core Group on Administrative Reforms chaired by thecabinet secretary took the crucial decision and the department of administrativereforms and public grievances has already issued directives to centralministries and state governments to formulate policies.
West Bengal
Tamil Nadu
Kerala
Assam
Puducherry
BJP LEADING
  • Party View
  • Alliance View

Seats88/294

Total: 294
Note: Repolling for the Falta assembly constituency in West Bengal has been scheduled for May 21.
L + W
Majority: 148
BJP
0
TMC
0
CONG
0
CPM
0
OTH
0
Source: PValue
Thegovernment wants the "opening up" to progress in a time-bound manner, withquarterly reports to the department on the status of work. It has directed thatthe first report for the July-September period be sent to the department byOctober 10.In its report titled 'Ethics in Governance' (chapter'Promoting Competition'), the ARC has recommended: "Every ministry/departmentmay undertake an immediate exercise to identify areas where the existing'monopoly of functions' can be tempered with competition.
A similar exercise maybe done at the level of state governments and local bodies."Althoughthe exact areas where such opening up would be allowed are yet to be identified,sources said these could include a "very wide" gamut of public services relatedto transport offices, the electricity department and the utility bill collectionsystem. The ARC called for restructuring some existing centrallysponsored schemes to allow states to act on their own to promote competition inservice delivery while stressing that new national policies be formulated withthis aspect in view.The commission had a fewwords of caution too. The panel said private participation must be accompaniedby a "regulatory mechanism" to ensure that consumers' interests are not hit.Besides, "opening up" would be distinct from "outsourcing" since it would meangovernment departments and organizations entering into a competition with newentrants. The Sixth Pay Commission has also recommended thedisbanding of 'Group D' services and the cooption of existing employees of thisgrade into 'Group C' after necessary training. It is a clear indicator towardsgovernment gradually withdrawing the provision of peons, safai karmacharis andeven drivers in offices.

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