By IANS,
New Delhi : The government’s policy of privatizing mineral resources should be reversed, the CPI-M said Friday, adding these must not be handed over to private companies and MNCs.
“The real issue is whether the mineral resources of the country should be handed over to private companies and MNCs at all,” the Communist Party of India-Marxist said.
The statement followed a Supreme Court ruling on the presidential reference on how to allocate natural resources.
“The present policy of privatizing mineral resources should be reversed. They should remain in the nationalized sector. The same should apply to water resources.”
The CPI-M said the Supreme Court judgment had reiterated its opposition to the distribution of natural resources as largesse “through an opaque and arbitrary exercise of discretion by the government.
“It in no way exonerates the government for its policy of allocation of resources like spectrum and coal when there have been largescale malpractices and windfall profits illegally made by some private companies.”
It said the apex court judgment had clarified that auction was not the only permissible method of allocating natural resources across all sectors. “It will depend from sector to sector.
“Further, the five-member bench has clarified that it is for the executive to make the policy regarding disposal of natural resources but this should always be done keeping in mind the public good.
“The UPA government and the Congress leadership cannot claim vindication for its policy as the court has refused to review the judgement of the 2G spectrum case where it invalidated the `first come – first serve’ policy and ordered the cancellation of the 122 licences.
“As far as coal mining is concerned, it said that going for competitive bidding for coal blocks would only further heighten the privatisation of the industry, undermining the national law.
“The CPI-M advocates an alternative mechanism whereby allocations and mining for steel, power and cement producers should be routed through the Coal India Ltd.”