Prime Minister Narendra Modi’s decision to spend a working Diwali with soldiers in Siachen and with a section of the flood-affected citizens of Srinagar has, predictably, drawn both praise and derision. Those inclined to endorse a proactive Prime Minister have viewed the visit as evidence of his tireless dedication while his critics have dismissed it as a publicity stunt aimed at keeping him in the news. This is a debate that is unlikely to be conclusive since the faultlines are intensely political.
Yet, regardless of how the visit is perceived, it is a commentary on the churlishness of some Kashmiri politicians that a visit of any Prime Minister is viewed as an affront to God knows what. These days, in hindsight, Atal Bihari Vajpayee is viewed as the “good” Prime Minister, a man who rose above all sectarian considerations. Yet, it is useful to recall that when Vajpayee visited Srinagar and delivered his famous insaniyat speech, the separatists had also called a bandh — just as they did to commemorate Modi’s visit last Thursday.
Maybe the separatists have their commitment to paymasters across the border and have to show their displeasure. But that can’t explain Chief Minister Omar Abdullah’s frostiness and the astonishing decision of the State Congress to boycott Modi. The floods that devastated large parts of the Kashmir Valley and resulted in huge monetary losses to the people of Srinagar have, quite rightly, been treated as a national calamity and the initial sanction of `570 crore for reconstruction and `175 crore for the rebuilding and upgradation of hospitals was a reflection of that. Pretending we-don’t-need-your-money and at the same time insisting that much more money must be forthcoming is cussed politics and leaves a bitter taste in the rest of the country.
I guess all Chief Ministers are inclined to make exaggerated demands on the national exchequer and the National Conference incumbent is no exception. However, it is interesting that none of the Valley politicians took care to heed the Prime Minister’s suggestion that the devastation should be seen as an opportunity. Modi wasn’t mouthing homilies. He specifically referred to the transformation of Kutch in the aftermath of the Republic Day earthquake of 2001. The manner in which devastation spurred a bout of energetic reconstruction in, say, Bhuj should have appealed to any politicians’ sense of challenge. Unfortunately, it may be some time before this opportunity is grasped by those who set the terms of political discourse in the Kashmir Valley. For the moment, Chief Minister Abdullah seems more intent on ensuring that the Assembly elections due in December are postponed till a time when the people are a little more forgiving of the State Government’s shoddy record during the floods.
However, it is not merely the familiar blame-the-Centre attitude that was responsible for the political posturing. Much more significant is the fact that the neither the political class nor the commentariat has cottoned on to the significant shifts in Indian federalism in the past five months. The Modi Government’s policy of empowering the States could well change the way India’s economic development proceeds in the coming years.
First, there was the abolition of the Planning Commission. What this meant in practice is that the Centre has significantly relaxed its right to dictate the architecture of development in the States. With more power likely to be vested in the Finance Commission, which follows a non-discretionary principle of apportioning fiscal resources, there will be less politics governing Centre-State relations. The one-size-fits-all approach favoured by the erstwhile UPA Government has been diluted to enable States to pursue their own priorities. This implies that while States such as Gujarat, Maharashtra, Tamil Nadu and Karnataka will attempt to accelerate their respective GDP growths, a State such as West Bengal will pursue the path of Gross National Happiness and the economy be damned.
Secondly, a facet of the new coal policy that was announced by the Centre that escaped both attention and comment suggests the new course of federalism. It was announced that the entire proceeds of the new auctions of coal blocks would accrue to the States where the mines are located. Read with the earlier announcement of the increase in the royalty payments to the States for mineral extraction, it suggests that the proceeds of the commodity boom will accrue to the localities. The claim that eastern India, for example, was being systematically pauperised by Delhi-sponsored drain of wealth may end up having fewer and fewer takers in the days to come.
What the Modi Government has embarked upon is a policy that puts the onus on developing a competitive edge on the States. The Centre can merely be a facilitator and create the environment for entrepreneurship to flourish. In the past, Gujarat was among the few States that took full advantage of the dismantling of the licence-permit-quota raj. The others were less enterprising. Now he has chosen to empower them financially to make a leap forward.
The politicians of Jammu & Kashmir, having become used to over-subsidies, appear to be slow in grasping the new realities. Madhya Pradesh and Rajasthan, for example, have responded energetically and may reap quick dividends. The rules governing politics and governance are fast changing — and hopefully for the better.