epilogue june 2010 issue

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EpilogueISSN : 0974-5653J&K S MON TH LY MAGAZIN EN E W S , C U R R E N T A F F A I R S , S O C I A L S C I E N C E S

Epilogue...talks of the state's many current issues without sounding grim

SEVANTI NINANMedia Analyst & Columnist

In her column Media Matters, May 23, 2010 The Hindu,

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Identity Politics and Regional Polarisation in J&K

POPULAR MOOD

(Startling results of new opinions poll in J&K)Options For Future Waiting for the Worst

J&Ks Ailing Power SystemP9P5 P32

REKHA CHOWDHARY VIKRAM GAUR

Jammu & KashmirStrengths

opprortunitiesWeaknesses

threatsAn ANALYSIS

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C O N T E N T

Vol. 4, Issue 6 Epilogue, June 2010www.epilogue.in

Epilogue because there is more to know

www.epilogue.in

I N FOCUSTowards Vibrant J&K

Strengths14 Towards Vibrant J&K15 Fertile Land15 Abundant Hydel Resources16 Upwards Cash Collections16 Growing GDP17 Basket Full of Fruits18 Impressive Forest Cover19 Favourite Tourist Destination20 Word Famous Handicrafts20 Populous Livestock21 Picking up Industrial Culture

Weaknesses22 Insufficient Connectivity23 Poor Domestic Share in Revenues25 Faster Population Growth26 Unexplored Power Potential27 Far from Main Market27 Huge Supply - Demand gap in Poultry,

Meat ProductOpportunities

28 Seizing the OpportunitiesThreats

31 Eliminating the Threats

Letters 3Prologue 4

CommentaryIdentity Politics and Regional 5Polarisation in J&KRekha Chowhdary

Policy ReformsWaiting for the Worst 9J&Ks Ailing Power SystemVikram Gaur

Opinion PollOptions for Future 32A new Survey on Kashmir Shows Opinions More Split Than Ever

ColumnWomens Initiatives or the Lack 44of them in KashmirManisha ShobarjaniLong Years of Injustice 45M Shamsur Rabb Khan

Exclusive SeriesAuchinleck : Af-Pak and Kashmir 47Rakesh Ankit

FeaturesDevelopment with a vengeance 50the only roadmap for BastarAsha ShuklaAn unlikely flood in Kashmir 51Naseer Ahmad Lone

EditorZafar Iqbal Choudhary

PublisherYogesh Pandoh

Consulting EditorD. Suba Chandran

Associate EditorsIrm Amin BaigTsewang Rigzin

General ManagerKartavya Pandoh

Art EditorKeshav Sharma

Research OfficerRaman Sharma

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1

EpilogueN E W S , C U R R E N T A F F A I R S , S O C I A L S C I E N C E S

REGIONAL IN CONTENTNATIONAL IN PROFILE

LettersReaders Write


he twin marginal districts of Rajouri and Poonch need an Tenhanced development strategy and at the same time care should be taken build bridges between castes and communities. In Social Structure and Perceptions of Regional Disparities by Mazammal Hussain Malik (Epilogue, May 2010), it is submitted that the enterprising author has microscopically dissected a dimension of the microcosm of Pir Panchal Range and generated sufficient light. The concept of socio-cultural and economic development has been discussed threadbare and the novel idea of an Autonomous Hill Development Council floated to infuse the element of accountability and transparency in the focused areas.

The idea of Hill Development Council is apparently appealing but in the long run it shall not broaden the outlook of already caste ridden society of Rajouri-Poonch belt. It was shocking to read that the religious communities were divided in to 54 sub castes. So far as Muslims are concerned, caste system militates against the true spirit of Islam. In Hinduism it has been a bane that did incalculable harm. A cosmopolitan and an international outlook is the hallmark of 21st century. Our politically incorrect leaders have always played the caste card for self-aggrandizement and the pathetically innocent loved to be exploited.

Anyhow, there is no harm in giving a trial to what Mr. Malik has penned down. Only intellectuals can come forth with novel ideas. The intention of the author regarding AHDC appears to be sincere but whether our political bosses display the genuine sincerity is a billion dollar question. The rehabilitation of disgruntled youth has also to be addressed to. This is a tall order.

Epilogues May 2010 issue focus on Rajouri and Poonch instills sense as also promises hope at the end of a dark tunnel. Your editorial efforts deserve compliments!

PROF. S.K. BHALLAPrincipal,

Government College, Mendhar Poonch

adakh has a long border with Western Tibet. Earlier Lthere were many trading routes from the Karakorum Pass, Lenak La, Dambu Guru, Spanggur Tso, Dumchulle La, Demchok, Hanle, Chumar and many more. Even today some of them are being used unofficially. However, this trade is technically illegal, and the Ladakhis who take out Indian goods and bring in Chinese ones can be and are harassed. This could be avoided if a Land Customs Station (LCS) is opened.

A Land Customs Station facilitates trade between two countries and makes it legal. It needs to be stressed that there is considerable cross border trade between Ladakh and Tibet, and yet it is all illegal. Till a Land Customs Station (LCS) is opened this illegal trade is likely to continue. Several proposals were sent to the Department of Revenue, Ministry of Finance, Government of India since 1996, but all have been either ignored or dismissed unjustly.

If Ladakhi's are not troubled by Customs Act, they are by a relatively innocuous Ingress and Egress Act of the State of Jammu and Kashmir.

If a Land Customs Station was opened up in Ladakh, like it is on Shipki la (at 4000 meters as precisely) in Himachal Pradesh's Kinnaur district, many people would benefit. From 2002, I had been trying to get people from Ladakh involved in the move to open an LCS there, but to no avail. The commercial advantages for the people of Ladakh are undeniable and immense.

In 2003, anticipating that the opening up of an LCS is imminent, a Ladakhi lady had sat through a test and given a Clearing Agent's License. But nothing has happened.

ROMESH BHATTACHARJI,New Friends Colony,

New Delhi

Developing Rajouri, Poonch

Commitment Honouredn behalf of the people of Rajouri and Poonch I wish to thank the Epilogue for covering this region in minute details O(Epilogue, May 2010). This region is perhaps home to a major readership segment of many a leading newspapers and

other media but no effort has ever been seen towards generating an understanding on the socio-political atmosphere of Rajouri and Poonch. I remember while responding to a letter, written about special issue on Ladakh in September 2009, Epilogues editor had promised exclusive issues on other marginal areas like Rajouri and Poonch. That commitment stands honoured but we would like to request that it should not end here.

A Case for Land Custom Station in Ladakh

SHAHZAD KHANRajouri

3

PROLOGUEFrom the Editor


under guidance of its director GA round ten years back when Qureshi, the cover focus of this issue India was in the middle of a s u g g e s t s t h a t s t r e n g t h s a n d ce l lphone revo lu t ion opportunities available in the state far people in Jammu and A outnumber the weaknesses and threats. Kashmir would turn to In normal discourse a thought of Jammu newspapers and magazines to know and Kashmir would immediately throw about the mobile phones and the whole up the politics and conflict as its system of their working. There was a weakness and threats and therefore no general perception that Jammu and strengths and opportunities to discuss Kashmir was unlikely to have the mobile but we believe that the other side of the telephony. Not only the security picture, mostly ignored, is often agencies had raised obstacles for the brighter. With this view we have kept usual obsessive concerns, the cellphone the politics out of the focus and treated operators were actually reluctant to economy as only term of analysis. Later operate in this remote, mountainous, in this issue, we have dealt with a sparsely populated, infrastructure recent opinion poll conducted by a deficient and conflict riddled state British Scholar Robert Bradnock looming under perpetual political associated with the internationally uncertainty. Any ugly word was no less

the times over past 60 years and they renowned think-tank Chatham House, suitable to define the situation. And in are not really willing to stay caged in based in London. The survey conducted late 2003 when first cellphone company the history. An overwhelming and on both sides of the Line of Control in opened shop to long and desperate almost near absolute majority of Jammu and Kashmir with funding queues of prospective subscribers, respondents to this survey have called support from Dr Saif al Islam al Gaddafi, others realized the mistake. Seven for moving beyond the status quo. In a progressive son of the Libyan leader years later half the population in response to another question again an Muammar al Gaddafi, throws up Jammu and Kashmir has cellphones and overwhelming majority has favoured startling results. Without going into the the demand is just growing. Some that for moving beyond status quo their question what attracted the young problems are more of the mindset. opinion should be taken on board. If this Gaddafi to Kashmir, the results of Jammu and Kashmir is seen more in survey is anything to go by, the general Bradnocks survey are something more perspective of its politics and conflict mood is for the better and its time that important to ponder upon. What and less in context of the opportunities India, Pakistan and the leadership of handful of leaders suggests as future of this state offers. In this issue we look at Kashmir seized the moment. Jammu and Kashmir has actually not the strengths and opportunities and

been endorsed by the public mood. It enlist the weaknesses. Primarily based Feedback :seems that peoples on both sides of the on the data compiled by the states [email protected] of Control have been traveling with Department of Economics and Statistics

ZAFAR CHOUDHARY

Seize the Moment

MAY 2010

4

COMMENTARYIdentity Politics

5


uring the recently concluded bud- high court gave verdict in a case - the qualification" bill in the state legisla-get session of the Jammu and Sushila Sawhney vs the State of J&K - ture. This bill got the full support of the DKashmir (J&K) legislature, two pending before it since 1979. This ver- National Conference (NC) and was unan-

issue generated a lot of furore both dict corrected an administrative anom- imously passed in the Legislative within a well a outside the house. Of aly, which restricted the rights of Assembly in 2004. However, as it cre-these, one issue emanated out of a pri- women married outside the state. As ated a lot of controversy, it was stalled vate member's bill in the Legislative per an administrative practice, which thereafter and could not be made into Council which was not supported by any provision of law. The issue, however, remained alive

the state constitution, PR certificates with the PDP vociferously arguing that a sought to disqualify women mar-issued to women were stamped "valid law is required to disqualify women mar-ried to people outside the state from till marriage".' Women married to peo- ried outside the state. The Permanent the status of permanent resident ple from outside the state could not get Resident (Disqualification) Bill, 2010 (PR). The second issue related to a a fresh PR certificate and were there- introduced in the Legislative Council by demand for introducing a bill to ban fore deprived of the privileges associ- Murtaza Khan of the PDP was an effort in inter-district recruitment in govern-ated with this status the right to pursue this direction. This bill was later ment job .What came to be focused, employment in state services, to vote dropped due to a "technical" flaw since through both the issues, was the sharp for the state legislature and to contest it pertained to a constitutional matter it inter-regional divide and emphasis on elections within the state. The full could not be initiated in the upper emotive identity politic on the one bench of the high court opined that the house. However, the issue remains alive hand, and the on laught on the right of daughter of a permanent resident of the as the PDP is committed to bring it again marginalised sections of society, on the J&K will not lose her status as a per- in the state legislature.other. In the first case, the discourse on manent resident if she marries a person the "rights of women" was subordinated The bill, as introduced in 2004 and who is not a PR of the state. It stated to the discourse on the Kashmiri versus as resurrected in 2010, has been used to that there is no provision in the existing regional/national/Hindu identity. In the generate political emotions in Kashmir. law dealing with the status of a female second case, the issue of the It has been argued that restrictions on PR who marries a non-permanent resi-marginalisation of backward districts women's rights are necessitated to pre-dent.was articulated in a manner which serve the political identity of Kashmir.

placed it in contradiction to the interest This decision was considered his- The right of women to marry outside the of other backward sections of society, toric because it did away with a discrim- state and retain their PR status is seen like the scheduled castes (SCS) and inatory practice and brought relief and as contradictory to the autonomy and scheduled tribes (STS), while also equality to women. A sense of justice special status of the state. There is a reducing it to a Jammu versus Kashmir and fairness prevailed after this deci- campaign that such a right, given to issue. sion. However, the then People's women, would ultimately lead to demo-

Democratic Party (PDP)-led government The Disqualification Bill graphic change in the state. The fear is sought to undo the high court's judg-The issue of disqualification of expressed that the right of women to ment by filing a' special leave petition in women from holding the PR status, if hold their PR status even when they are the Supreme Court. Later, it withdrew they are married outside the state, is an married outside the state would open the judicial appeal but introduced a "dis-ongoing one since 2003, when the state the floodgates for the non-permanent

REKHA CHOWDHARY

Identity Politics and RegionalPolarisation in J&K

residents to swamp the state and con- Jammu (BAJ) actually called for a the demand became intense, following trol the property and employment Jammu bandh to agitate against the the appointment of a few Jammu-based within the state. "anti-Jammu" and "anti-Hindu" nature of persons in that district. One of the most

the bill. According to Sunil Sethi, the backward border districts of the state, The political class in Kashmir, president of the BAJ, the bill is a con- Kupwara has suffered the maximum across party and ideological lines, spiracy against the people of Jammu. To brunt of militancy and with the emerg-whether belonging to the separatist or quote him: "This bill is discriminatory to ing scenario of relative peace, develop-the mainstream politics, supported the women of the state, particularly of ment and employment have become disqualification of women in 2004 in the Jammu region. It is anti-Jammu as most emotive. issues here. The general argu-interest of, what was termed the pres-of the girls here marry outside the state ment, in terms of employment, is that ervation of Kashmiri identity. Nothing with persons who are non-state subjects the district is too backward to compete unusual was seen in the subordination of (non-permanent residents of J-K)." with other better developed districts, women's rights to Kashmiri identity. This

and therefore, the appointment of "out-time too the general refrain has been In this whole context of competi-siders" will cut into the share of local that the bill does not concern women as tive identity politics, not only was the youth, who themselves cannot compete much as it concerns the Kashmiri iden- central issue of women's rights totally for jobs in other districts. Hence, the tity facing threats from external forces. demand for banning inter-district The concern for protection and preser-recruitment was forcefully made by the vation of Kashmiri identity therefore Kupwara Bachao Committee led by overrode the concerns for women's Engineer Rashid, an independentrights.

MLA from Langate, one of the five However, it was not only in Kashmir assembly constituencies of the Kupwara that the gender identity was subordi-district.nated to the political identity of the

community. Almost in the similar vein, It is important to note these the the discourse in Jammu was also based issue, as it was raised in Kupwara, was on the lines of regional, communal and located in the context of the national identity. The bill to disqualify marginalisation and underdevelopment married women from holding the PR sta- of the district. Hence, resentment was tus was opposed not as much from the expressed not only against the SCs seen perspective of women's rights as on the as outsiders, but also against the more grounds that it was "antiJammu", "anti- developed districts of Kashmir. While national" and "anti-Hindu". The cam- making the demand that recruitments

sidelined, but the politics of the state paign, both within as well as outside the be made only from within the district, was also polarised on dangerous legislature, against the bill was carried Kupwara's leaders talked about the regional and communal lines.out mainly by the forces of the Hindu marginalisation of the district within The Inter-District Recruitment Bill right whose major objection to the bill the state in general and Kashmir divi-

was its pro-Kashmir and anti-Jammu The other issue which generated a sion in particular and referred to the basis. lot of heat during the budget session low standards of education and under-

was related to a demand that inter- staffing of schools and colleges which Chaman Lal Gupta, senior district recruitment within the state be directly affect the employment and eco-Bharatiya Janata Party (BJP) leader thus banned. The demand was first articu- nomic prospects of the local youth. described the bill: "The Bill is anti-lated by the Jammu-based Jammu and They argued that north Kashmir has Jammu and antiwomen and will deprive Kashmir National Panthers Party been deprived of major opportunities our girls' ancestral rights to own land, (JKNPP) after a few people from provided to other parts of Kashmir. To property and jobs if they marry outside Kashmir, selected for the subordinate quote the representative of the the states Not only the BJP but many services, were posted in the Udhampur Kupwara bar association and district other organisations found in this bill district of Jammu. Later, it was in the president of the People's Conference:another instance of discrimination Kupwara district in north Kashmir that against Jammu. The bar association of There is a university in central

Politics in J&K has become very precari-ous with identity-related issues assum-ing importance and sensitivities increasing on Kashmir versus Jammu issues. Almost on every issue, one can witness a regionally polarised response.


6


Kashmir, a university in south Kashmir. ous disadvantages vis-a-vis the more had been able to negotiate for them-Yet the authorities chose to locate the developed districts of the state. selves. Since 2004, when the state gov-central university just 15 kilometres The regional connotations that the ernment had allowed inter-district from the existing University of Kashmir. demand for banning inter-district recruitment, a number of Gujjars from Train service was truncated at Varmul recruitment acquired, however, had Jammu division were able to get jobs in and all the administrative relief systems very critical implications. The demand the Kashmir division through reserva-seem to be scarce in this impoverished directly hit the interest of those sections.9 However, the Gujjar response district.6 tions of society which had been availing has been "politically managed" with the

However, the Kashmir-based par- the advantage of reservation, espe- help of two ministers belonging to this ties appropriated the demand by taking cially those belonging to the SC and ST community, who have assured "full sup-a position that the inter-district recruit- categories? The leadership of this sec- port" to the government from members ment hurts the interests of Kashmiris tion responded by opposing the of their community.since it allows the "outsiders" (meaning demand. On the lines of the Kupwara On the contrary, it is the response thereby the people from Jammu) to be Bachao Committee, the Anusuchit Jati from Kashmir that has acquired emotive appointed in Kashmir. More specifically, Arakshan Bachavo Manch [Scheduled overtones. Here a feeling has been gen-opinion was built up against the policy Caste Save Reservations Front] (AJABM) erated that, by allowing reservations of reservations for the SCs and the STS. was formed which demanded that the for SCs in all the districts of the state, Though the major beneficiaries of res- interest of the marginalised communi- the government has adopted an anti-ervation include the STS (located in the ties within the state be protected. Kashmir stance. PDP President whole state including Kashmir) along These organisations were supported by Mehbooba Mufti has come out openly with the SCs, reservations were por- the All India Con federation of against the reservation for SCs citing trayed as benefiting only the Jammu SC/ST/OBC Organisations and the All the "peculiarity" of the state. A PDP region, as Kashmir does not have any India Gujjar Mahasabha. leader from Kupwara reflected the opin-Hindu or dalit population. With one section of the marginal- ion of the party when he said, "the bill is

The Jammu-based political parties ised confronting another, and issues akin to stabbing the people of Kashmir complimented this discourse by por- gettting articulated in a regionally in their back. It is injustice with the peo-traying the demand as anti-Jammu com- polarised manner, the NC-Congress ple of Kashmir and we will continue to pletely underplaying the fact that the coalition came under extreme pressure. fight against it". The debate has been demand for such a ban on inter-district The PDP and other Kashmir-based par- joined by the separatists with Syed Ali recruitment had come, in the first ties demanded the introduction of a bill Shah Geelani stating that the 8% reser-instance, from Jammu itself. Using the to ban inter-district recruitment in the vation for SCs in Kashmir is "unjustified, issue of reservations for SCs, parties like current session and the Jammu-based illogical and wrong". Mirwaiz Umar the BJP portrayed it as opposed to the opposition, including the BJP, opposed Farooq, meanwhile, assailing the state interests of Hindus of the Jammu it. Finally; a consensus was brokered government for passing the bill in its region. Like the women's disqualifica- where the bill to ban inter-district amended form has stated that it harms tion bill, the discourse on this matter recruitment was passed, but with an the "interests of Muslims and especially was also articulated around the Kashmir amendment which stated, "Candidates Kashmiris..." He warned that "J&K is a versus Jammu identity, although it applying under sc category for any post Muslim majority state. If interests of entailed complex issues of the rights of in the divisional or district cadre shall, Muslims are harmed we won't remain socially and economically backward sec- irrespective of their place of residence silent."tions entitled to reservation on the one in the state, be eligible for selection Precarious Politicshand and the dilemmas of people living against the posts reserved for the said Politics in J&K has become very in underdeveloped districts on the category at such selection". precarious with identity-related issues other. The backward districts of Jammu This "consensus formula", however, assuming importance and sensitivities including Rajouri, poonch, Doda, generated more resentment as the STS, increasing on Kashmir versus Jammu Kishtwar and Ramban are similarly especially the Gujjars, were not issues. Almost on every issue, one can placed as Kupwara and suffer from vari- extended the advantage that the SCs witness a regionally polarised response.


7


Earlier, such a response could be seen change. It was the same fear that led to polarised politics has compelled the only in Jammu, where political mobili- mass mobilisation in 2008 against the centre to provide two central universi-sation was often based on regionally sen- government order transferring forest ties to this state - one each for Jammu sitive issues. "Kashmir-centric" power land to Shri Amarnath Shrine Board and for Kashmir.politics, "regional imbalances", "re- (SASB). The issue of demography has Regional polarisation does not gional discrimination" were the major been raised by the PDP and by Syed Ali remain limited to this form of divisive-idioms used by Jammubased parties and Shah Geelani even in the context of the ness, but often spills over and becomes organisations to mobilise local political presence of Bihari labour in Kashmir.) communalised in many ways. This has support. Regional sensitivities, though Regionally polarised politics tends been happening in both Kashmir as well important earlier, did not characterise to divert all political energies to divisive as Jammu. Jammu's regional politics has the identity politics of Kashmir, which positions and reduces substantial issues been, in any case, appropriated by the was mainly defined with reference to its to simplistic notions of regional discrim- Hindu right for fairly long and, there-relationship with India - whether ination. The important issues of "dis- fore, in the regional discourse here through the politics of autonomy, crimination" and "backwardness", Jammu get equated with Hindu and the demand for plebiscite or azadi (inde- two terms are often used interchange-pendence) politics. However, while this ably. Often regional politics is used to contestation remains, the regional stoke barely camouflaged communal dimension has also been added to the sentiments.identity politics of Kashmir. One can In Kashmir too, there is a growing often pick up voices raised against the trend to conflate the regional identity "discrimination" of Kashmir vis-a-vis with the religious. In general discus-Jammu region. (Often on such petty sions, the Muslim context of the issues as a comparison of the size of Kashmiri identity is a given fact - that is flyovers in Jammu and those in Kashmir the reason that arguments about the or to more important issues of employ- regional discrimination of Kashmir ment and the share of "Kashmiri often tend to be extended to the dis-Muslims" vis-a-vis that of "Jammu crimination of the Muslims. The idea Muslims" in state services.) which has come to define the identity

Much of this is the fallout of the politics of Kashmir is the "Muslim-increasing relevance of the politics of majority" character of the state and the governance and the intensity of compe- need to preserve it.tition between PDP and NC, the two For a socially and culturally diverse which often transcend these regional Kashmir-centric parties. With both of state like J&K, there is a fundamental boundaries, are pushed back from the them competing for the same political danger in the deepening of identity poli-public eye. This politics of region space, they tend to radicalise the politics polarised along regional and com-mainly emanates from the two larg-tics of Kashmir and in the process munal lines. It will not merely weaken est urban areas of Jammu and increase sensitivities about "KilShmiri the secular basis and plural ethos of the Srinagar and, at best, represent the identity". Since 2002, when the elec- state, but also endanger the very integ-interest of the urban middle class. They, toral space came to be fragmented in rity of the state by fracturing the rela-thus, do not leave much space for repre-Kashmir between these two parties, the tions between its constitutive regions senting the interest of socially and eco-politics around "crisis of Kashmiri iden- and communities. This danger was nomically backward sections of soci-tity" has been perpetuated - either clearly visible during the Amamath agi-ety. For example, for a state which through the issue of "regional dis- tation of 2008 when extremely acrimo-recorded one of the lowest literacy crimination" or that of "demographic nious relations emerged between the rates in 2001, there is a competition change". (The issue of women's disquali- publics of the two major regions of the for establishing colleges and universi-fication bill is not of singular nature in state and communal tensions surfaced ties in two regions, rather than focus-evoking the fear of demographic in many parts.ing on social schools. This regionally

For a socially and culturally diverse state like J&K, there is a fundamental danger in the deepening of identity poli-tics polarised along regional and com-munal lines. It will not merely weaken the secular basis and plural ethos of the state, but also endanger the very integ-rity of the state by fracturing the rela-tions between its constitutive regions and communities.


8


POLICY REFORMSPower Sector

iving the prevailing state of affairs, it may be embarrassing Gfor us, the citizens, but not

really shocking that private organiza-tion called Credit Rating Information Services of India Ltd (CRISIL) engaged in carrying out survey in all the states of the country in respect of the working of government/semi-government agen-cies, has placed Power Development Dept (PDD) of the J&K state at second position as for as theft of power is con-cerned and PDD holds 26th position in respect of Working Efficiency in the country. Its poor rating may not worry the PDD since it is used to working the way it has been working for decades now but the public is certainly worried about the dark future that PDD faces in the years to come. Although, this rating gives us the reason about the ever wors-ening power position in the state yet it does not indicate why PDD has been placed in such a pathetic position in the country.

Well the reasons could be political, administrative, managerial, and profes-sional or all these combined together and above all lack of genuine interest at all levels including the 'political will' in improving the system. It certainly needs to be investigated and rectified without any waste of time if the state is to be

VIKRAM GAUR

WAITING FOR THE WORST

J&K's Ailing Power System

Now when Jammu and Kashmir has been confirmed as second topper in the country in the notorious thlist of power thefts and the state's Power Development Department is ranked 26 in inefficiency,

there is hardly anything worst to come. Isn't there a need for the helmsmen to do and introspection?

9


saved from future catastrophe that may per the political exigency without any properly supplemented keeping in view fall if the conditions continue to be the accountability. the state's future requirements result-same in the power sector especially ing in lop-sided expansion of the sys-because Electric Power is the key to tem. At least in Jammu region the SOME RECOMMENDATIONS development of the state in all other increase in 220/132 KV grid stations The department as huge as PDD sectors. capacities that has been carried out that is directly connected with common

after a long time under forced condi-Some of the important factors man and his welfare, there is no inde-tions have completely been nullified by which are affecting the power system pendent Public Relation office (PR) to not matching the evacuation of power adversely, at least in Jammu region sort out the public problems. at 33-KV level to distribution stations are:- Consequently, the engineering cadre with the result that the 33kv lines are Non working of the power system wastes most of its time in dealing with getting over-loaded calling for forced on professional and scientific lines and public complaints and their professional shut downs of power supply in spit of the non-implementation of power reforms work of maintaining the power system sufficient availability of power. Some of as required under international/ suffers. the 33/11 KV stations in the urban areas national norms. The Power Development wing of are over loaded and at times even when Lop sided and unplanned develop- the government is being run on ad-hoc the power is available the stations have ment of power system. basis without any planning for the needs to be shut down because of overloading Existing power system from receiv- of the people and the state, present or of the individual transformer. ing end to the consumer end is in sham- the future. Even i f the pro-

About the existing power transmis-bles and does not conform even to the jects/proposals/ plans are framed and sion and distribution system, less said elementary Electricity Rules/ stan- submitted, they gather dust in the sec-the better. Starting from Major 220/132 dards. retariat and no action is taken to meet KV Grid Stations down to 33/11-kv and the existing need on emergent basis. Although the PDD has 6-7 distinct 11000/400 volts distribution stations The result is that the development suf-separate departments under as many and distribution network up to the con-fers and the state remains short of sup-numbers of Chief Engineers yet there sumer end everything is in precarious ply against the ever increasing demand. are no specialised cadre based service condition. Although, some 220/132-kv And consequently, the power cuts and conditions for the engineers in this mod-Grid Stations have been improved, the shut downs to manage the available ern age of specialization. existing condition of almost all other sta-power are resorted to. This affects all-In spite of repeated directions from tions does not conform to any standard, round development of the state includ-the CEA Energy Auditing has not been not even to the basic laid down ing industry, agriculture, business, com-taken seriously. Electricity Rules under the Act for mercial and domestic consumer etc. On the revenue realisation side the safety and security of workers of the The working of the PDD and entire work of revenue collection has been PDD not to talk of the public. The result Energy Management itself is extremely entrusted to the maintenance engi-is tremendous increase in T&D losses unprofessional. neers and not to an independent com-and poor quality of supply to the users The solution is to engage national mercial wing resulting in loss of revenue including unwanted interruptions due level consultants in the field to advise of several hundred crores. to the failures of the system. Loose hang-the government as how to effectively The age old practice of carrying out ing wires in the busiest of the streets, and efficiently run the PDD and its allied almost all works departmentally is still bent poles, no guard net under the high services to exploit the available power being followed. The PDD despises out voltage transmission lines, over loaded resources in the best possible manner. sourcing the construction works to the pole supports carrying even the TV Engage services of an extremely compe-specialised private agencies that would cables and boosters, unauthorised tent professional may be from outside tremendously improve the quality of advertisement boards, no LT switches at the state for a fixed tenure of at least work and save time involved in procure-the distribution transformer stations, for 5-years to make him accountable for ment of material etc. no cables, no fencing around the sta-what he does. Utilisation of Human Resource at all tions, improper earthing of the trans-Our power generation, transmis-levels is not as per the present estab-former stations and a lot more. There is sion and distribution system is not being lished standards of suitability but is as


10


of the power sector in the futuristic obvious from the results. And the ecently a leading English daily development of the state). They are results are not very heartening with of the state carried two inter-R certainly not acquainted with the an official T&D loss figure of 66.70% esting news items that technicalities of Power Production (although the T&D losses are more directly concern the general public. and the Energy Management which is than 72%) and the net consequential One saying 'T&D Losses in J&K high-a specialized subject of study for financial loss is much more than pro-est in the country' and the other

jected loss of Rs 2064-crores for the 'J&K Bank posts record Rs 512-cr net year 2010-11. profit'. Both the organizations Power

The PDC which is supposed to Development Department/Power handle, manage and exploit power Development Corporation and J&K potential (highest in the country) of Bank are professional, commercial the state and is in existence for the and government controlled organiza-last over 20-years, has till date, not tions. But while PDD/PDC is been able to create its own cadre of Government run, the J&K Bank is working experts and professionals. autonomous and run professionally, The entire work force from MD down-guided by a Board of Directors, 13 in wards is on deputation to the PDC number. The Board headed by expert which goes back to their parent professional like Dr. Haseeb Drabu is departments after completion of a mix of top professionals, men of their tenure posting. So much so experience in banking, known busi-that when the state took over nessmen of repute and men from the Baghliar Hydro Power Project after public life. But PDD/PDC supposed to completion of its first phase the PDC be autonomous is totally state-did not have its own work-force to controlled through its bureaucratic run the Power House and they had to setup. The Board of Directors of borrow services of the NHPC. Such PDC, 10 in number, is headed by CM conditions have prevailed in the and includes 8-IAS officers and only PDC/PDD since their inception.one 'absentee Professional member'

To make these organizations run from CEA and the PDD is all a totally effectively and efficiently and to government affair. achieve optimum benefit for the peo-Working under the guidance of ple of the state the government such formation of Board of directors must immediately go in for who may be expert administrators unbundling of the entire Power but lack professional or commercial Sector into three independent and back ground; they neither have pro-autonomous corporations e.g. Power fessional foresight and vision of the Development Corporation (PDC), future required growth of the power Power Transmission Corporation and infrastructure nor any idea about the Power Engineers. What heights can Power Supply Corporation and free power-needs of the common man (as the PDD/PDC achieve under the guid-the Power Sector from political and also over all idea of the importance ance of such a Board of Directors is

UNBUNDLE TO SURVIVE

Learn lessons from J&K Bank

The J&K Bank is autonomous and run professionally, guided by a Board of Directors, 13 in number. The Board headed by expert professional like Dr. Haseeb Drabu is a mix of top profession-als, men of experience in banking, known businessmen of repute and men from the public life. But PDD/PDC supposed to be autonomous is totally state-controlled through its bureaucratic setup. The Board of Directors of PDC, 10 in number, is headed by CM and includes 8-IAS officers and only one 'absentee Professional member' from CEA and the PDD is all a totally government affair.


11


no continuous running earth wire the better as it involves hundreds along the LT distribution network of crores of rupees of the state rev-which is mandatory under the enue. This wing can also look for Electricity Rules. other potential resources of reve-

nue generation like commercial In spite of repeated CEA direc-advertisement on electric poles tions since 1993 the PDD has not and buildings, rental charges from been able to introduce Energy cable operators for carrying their Auditing. Metering of electric cables on the electric supports, energy received from various advertisements on the electric sources by the PDD is not com-bills etc which has been com-plete. Similarly PDD have not been pletely ignored till now. able to completely meter the

energy supplied to the consumers. More than thirty five years DURING THE LAST MORE THAN 5- back in early seventies when Er. YEARS PDD has only been able to R.S. Gill, an eminent engineer was meter about 52% of its consumers. invited to head the then Electricity Meters worth crores of rupees are Department with only one Chief lying in stores and not installed for Engineer and requested to reor-reasons best known to the political ganise it he renamed the depart-bosses. The suburban and the rural ment as Power Development areas where theft is almost Department and created 6-7 inde-unchecked have been completely pendent wings under separate ignored as for as the E-metering is Chief Engineers. The wings concerned. included Generation, Planning,

On the revenue realisation Purchase and stores, Construction, side still the age old practice of M a i n t e n a n c e & r u r a l depending on line staff e.g. line- Electrification, etc with an idea to men, meter-readers, revenue- build separate independent cadres clerks, inspectors, etc under the of engineers in each wing who Maintenance Divisions, for recov- would get specialised in their ery of hundreds of crores of rupees respective cadres with time. After from the sale of electric energy, is

the departure of Er. Gill in 1976, being followed in spite of creation

the state engineers, for their of an Independent Commercial

vested interest, influenced the Wing under a separate Chief

political set up to dispense with Engineer. In fact the effort of the

the caderisation plan. And till PDD to separate the revenue reali-today, after 35-years we find our sation from the maintenance wings engineers are 'jacks of all trades was sabotaged by the vested inter-but masters of none'. This twenty-ests. And the government was a first century is age of specialisation party to it. It must be understood and to keep up with pace of devel-that unless the revenue collection opment in the modern world we is completely brought under inde-should immediately go in for com-pendent specialised wing or plete caderisation by unbundling handed over to some private the entire set up under PDD and agency, the pilferage, bungling and ban inter-wing transfers of engi-theft in revenue realisation cannot neers. This besides improving the be checked. And sooner it is done

beaurocratic hold. The state already has PDC; we need to create another two corpora-tions. All these Autonomous Corporations should have separate Boards of Directors who are experts/professionals and men of experi-ence who have sufficient experience in the field of handling power sector. Such commit-ted team of professionals can be picked up from with-in or out-side the state. And these professionals should have a fixed tenure to show results so that they can be made accountable for their success or failure.

People in the PDD have not still forgot-ten Er. R.S.Gill (father of KPS Gill) an emi-nent and well known hydro-electrical-engineer of great repute. It was for him that the state government created the post of Commissioner-Secretary to the Government for the first time as he wanted direct access to the Minister in-charge to personally explain to the minister his proposals for need to expand the Electricity Department into Power Development Department with more than six Chief Engineers. It was his vision and foresight that gave the PDD its present shape although a number of wings were eliminated after he left the state under the ill advice of the then top engineers in 1975. Er. Gill was invited from outside the state in 1972-73 to head the then Electricity Department with one Chief Electrical Engineer for J&K.

Presently, all top brass in the PDD/PDC including the Board of Directors and Administrative Head of PDD keep changing seats and no one is held or can be held accountable for any lapses or failures.

Such vitally important decisions can only be taken by an imaginative and dynamic political head who could understand the urgency and importance of running a com-pletely professional and commercial organi-zation on modern and commercially accept-able lines. We were hoping that with the change of Chief Minister such a change would possible but..

-Vikram Guar


12


work quality would also make every one either been made or placement is suffering a loss of over 70% and its sys-accountable for what ever he does dur- effected where it is needed most for run- tem is crumbling under its own weight, ing his service carrier. ning/maintaining the system. Whatever it must first set its own house in order.

The age old practice of carrying changes have been made these were To begin with, the Chief Minister should out all works departmentally is still under pressure either from unions or pol- have a full time Power Minister who com-being followed by the PDD. This has iticians. The result is steady deteriora- mitted to his work and he seriously think greatly affected the quality of works tion of the infrastructure which has fur- start thinking about taking PDD out of b e s i d e s d e l a y i n g t h e e x e c u- ther resulted in increase in the losses government control and make it as tion/completion of works because of suffered by the system. The immediate autonomous as possible even to the non-procurement of required material need is creation of an independent extent of privatising some of its wings in time coupled with other departmen- Human Resource Wing for the PDD under immediately. Any half hearted steps to tal constraints. Present practice all over qualified professionals. affect a change will not suffice. It also the country is to out-source the works to The department as huge as PDD needs to be kept in mind that more and private agencies and maintain strict which is directly concerned with public more generation or power alone shall quality control over works by the board for their day to day living, their com- not be able to solve the problem. 'Any engineers. But for reasons best known fort, their development in all spheres of storage tank with holes in the bottom to the PDD they have not found favour life including industry, agriculture, com- will never get filled-up, how so ever, with out-sourcing of the works. In fact merce, health, etc and has hundreds of large quantity of water you pour into it. the PDD should think of immediately pri- complaints every day, has no Public The holes have got to be plugged before vatising some of the maintenance works Relation wing to deal with the day to filling the tank'. as also the revenue collection works. day problems of the public. For educat-This will greatly improve the perfor- ing them and creating awareness among mance of the PDD in these sectors. them about proper and economic usage

Recruitment and Utilisation of of the scarcely available electric available Human Resource is not as per energy, its use and how best to conserve any of the standard norms or practices it, avoid wastage etc it is imperative followed at national/international level that a full fledged Public Relation wing for such huge commercial organisa- be created under an independent head tions. PDD with a work-force of about who takes care of the public problems. 25,000 has no department of Human This will allow the technical/ engineer-Resource to canalize the huge working wing to look after the power distri-force. The recruitment and or place- bution system exclusively to carry out ment are done not as per requirement the necessary improvement in the or suitability but more as per political power distribution system to run it effi-exigency. There is absolutely no prac- ciently. tice of training technicians or line staff. From all that has been said above it Absolutely raw hands are recruited for will be seen that the government has to 'system maintenance'. Hardly any engi- very seriously tackle the problem of neer is sent for any refresher power generation and its effective utili-course/short training anywhere to sation strictly as per the established equip him with the latest development principles and treat the PDD strictly as a in the field in spite of the fact that there professional/commercial wing which are several opportunities available at should under no circumstances be the national/international level. allowed to work under any extraneous

Although, large scale expansion considerations. If the government is seri-has taken place during the last three ous about taking the PDD out of the pres-decades yet no fresh recruitment has ent precarious situation where under it

EpilogueAvailable at

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NEW DELHI---

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University Center, ALLAHABAD


13


tOWARDS vIBRANT j&kStrengths

ammu and Kashmir's strategic location towards top of JSouth Asian region and geographical proximity with Central Asian region is perhaps its biggest strength. The State occupies a strategic place on the country's map with its borders touching Pakistan, Tibet and China. Geographically and climatically three distinct and different regions of the state Jammu, Kashmir Valley and Ladakh have their own specific resource basis and are best known for the richness of their resources. Barring some parts of Jammu region and Kashmir Valley, almost entire state is mountainous. Density of population in the state is 100 persons per sq. km against the corresponding figure of 325 persons at national level. As per density (persons per sq.km) the state is the 31st populous state among the states/UTs of India. The main working force in J&K constitutes 37.01 % of total population against the corresponding rate of 39.10% in the country. The state is neck and neck in respect of work force with national rate.

or success of a project, a fair understanding of its strengths, weakness, opportunities and threats is must. The pro-ject here, for purpose of the subject, is the Jammu and Kashmir State and the objective is peace and prosperity through developments. Points highlighted here are not the only aspects connected to the objective of a prosper-ous Jammu and Kashmir but outside the realm of politics they make key ingredients of the strategic understand-ing for achieving the target - an economically vibrant Jammu and KashmirF

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Towards Vibrant of J&KAN ANALYSIS OF STRENGTHS, WEAKNESS, OPPORTUNITIES AND THREATS

BAGLIHAR SHOWS THE WAYA World Bank appointed arbiter gave a verdict on the India-Pakistan dispute on Baglihar hydro-electric power project which was accepted by both countries amicably. In that backdrop, Epilogue's March 2007 issue talked about other disputes between both countries effecting progress of Jammu and Kashmir and discussed how each one of them can be resolved amicably

SUGGESTED READINGS

V O L . 1 , I S S U E 3 , M A R C H 2 0 0 7

14


tOWARDS vIBRANT j&k

he land of the State is highly fertile and water resources are also Tabundant. Rice, maize and wheat are the major farm produce. Agriculture constitutes an important sector of the state economy as around 70% of the population of J&K derives its income directly or indirectly from this sector. Agriculture absorbs 49% of the total working force of the state with 42% as cultivators and 7% as agriculture labourers depending directly on agriculture for their livelihood. Apart from direct impact of agriculture growth on generation of rural employment and incomes, its significant secondary linkages with development of rural non-farm sectors are more crucial. Trade in agricultural outputs and inputs and services required by it and processing of its products open up additional and more significant avenues for labour absorption. Agriculture, besides, has a significant contribution in the export of rare agriculture produce like saffron, honey and basmati from state and remains an important source of raw material demanded by many industries. Vegetables are grown all over the state and an area of 51 thousand hectares has been reported under vegetables during 2008-09. Production of vegetables during 2008-09 has been of the order of 13.92 lakh tonnes. Surplus vegetables are exported outside state every year. During 2008-09, 220 thousand tonnes of off-season vegetables have been exported outside the state generating an amount of Rs. 133.00 crore. Kashmir's agriculture has an international identity. The world's best saffron is grown in the valley and its major intensity is in district Pulwama and Budgam. Nearly 98% of total area in the state under the crop is cultivated in Kashmir Province only. Its cultivation in Jammu division is limited to district Kishtwar only.

Fertile Land

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POLICY FAILURES RESOURCE CONSTRAINTSJammu and Kashmir is one of the states richest in water resources but awfully deficient in availability of electricity. July 2007 issue of Epilogue went down the history to trace what went wrong over past 60 years in harnessing the resources. This issue became a referencer on the issue of power and politics behind it. An interview with Wajahat Habibullah brought in fresh suggestions on what Delhi needed to do on Kashmir

SUGGESTED READINGS

V O L . 1 , I S S U E 7 , J U L Y 2 0 0 7

he estimated hydropower potential of the State is 20,000 TMegawatts (MWs), of which 16480 MWs have been identified. During the year 2008-09 an amount of Rs. 628.00 crore was real-ized against the total target of Rs. 1105.00 crore, constituting 56.83 percent of the targeted revenue realization in the power sector. The revenue realization during 2008-09 has registered an

increase of RS.36.03 crore thereby registering a growth of 6.09 percent over the previous year (2007-08). During 2007-08, 879.35 MWs energy was gener-ated of the value of Rs. 81.42 crore and 1658.59 MUs power was generated, valued at Rs. 295.47 crore during 2008-09.

ABUNDANT Hydel Resources

Basin-Wise Potential Identified (MWs) Total 16480 MWs)

Chenab, 10360

Jehlum, 3560

Indus, 2060

Ravi, 500

15Strengths


tOWARDS vIBRANT j&k

he overall revenue receipts of the state have gone up from Rs.8866.00 crore in 2004-05 to RS.19077.00 Tcrore in 2008-09 registering a 115% increase. The current year's total receipts have been estimated at Rs 22739.00 crore. The revenue receipts of the Government from all sources over the years from 200405 to 2008-09 have registered a progressive growth. From growth percentage of 9.33% in 2004-05 over the previous year, the revenue receipts in 2008-9 have increased by 19.08% over the previous year. In the current fiscal Rs 19462.00 crore are expected as Revenue Receipts and Rs 3277.00 crore as Capital Receipts. States own Revenue Receipts (taxes as well as Non-taxes) have increased from 22.47% to 24.33% of total revenue receipts from 2004-05 to 2008-09. The total tax revenue of the state is estimated at Rs 3111.00 crore for the financial year 2009-10 as against Rs 2693.00 crore of the previous year. The non-tax revenue has been estimated at Rs 1219.00 crore as against the budgeted figure of Rs 1127.00 crore of last year. Revenue on account of Central tax transfers has also increased from 10.53% to 12.98% of total revenue receipts from 2004-05 to 2008-09. Jammu and Kashmir is receiving plan assistance from the central Government on 90% grant:10% loan basis as a special category state. The grants received are the major source of revenue to the state. Almost 60-65% of the revenue of the state is coming from this Source.

he Gross State Domestic Product (GSDP) of the J&K state Tis continuously growing. It has grown from Rs. 15659.81 crore to Rs 34805.18 crore during the period from 199900 to 2008-09 at current prices, registering an increase of 122.26%. At constant prices, the GDP has risen from RS.15659.81crore to Rs 24471.31 crore during the same period registering an increase of 56.27%. The growth rate of state GDP is also show-ing an upward trend. Annual growth rate of state GDP which was 3.53% in 199900 has risen to 6.12% in 2008-09. Annual growth rate of GDP at national level was 6.7% during 2008-09. Contribution of Primary sector to State GDP in 2008-09 was 25.82% (Agriculture & Allied Sectors) against 19.78% during 2007-08 at the national level. The individual share of agricul-ture has been estimated in the range of 8-9% for 2007-08 (ad-vance estimates). Contribution of Secondary sector to State GDP in 2008-09 was 28.92% against 24.71 % at the national level. Contribution of Tertiary Sector to State GDP in 2008-09

was 45.89% against 54.74% in 2006-07 at national level.

Per capita annual income of J&K State in 2008-09 was Rs.21561 at constant prices. The per capita income of the state has grown from Rs. 15988 in 1999-00 to Rs. 21561 in 2008-09 registering a per-centage growth of 34.85%.

UPWARDS Cash Collections

GROWING GDP

Per capita annual income of J&K State in 2008-09 was Rs.21561 at constant prices. The per capita income of the state has grown from Rs. 15988 in 1999-00 to Rs. 21561 in 2008-09 registering a percentage growth of 34.85%.Str

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LADAKH THE LAND OF MOONLocked in the Himalayan enclave, Ladakh region has often stayed away from the media reach and public debates. Epilogue's November 2007 issues reached out to the land and peoples of Ladakh to understand where the region stood on socio-economic landscape of Jammu and Kashmir and listed measures on what could be done for the better. Subsequently, there was another issue August 2009 exclusively devoted to Ladakh

SUGGESTED READINGS

VOL. 1, ISSUE 11, NOVEMBER 2007

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FORESTS FORESTERSIn the laps of Himalayas, a state like Jammu and Kashmir is expected to be greener than any other state in the country. However, things are not quite encouraging. December 2007 issue of Epilogue took the readers deep into forests to understand how rich our state is in the green wealth and what are the threats and challenges. This issue also dealt with the organizational structure of the Forest Department and suggested some policy measures for overhaul.

SUGGESTED READINGS

VOL. 1, ISSUE 12, DECEMBER 2007

orticulture makes one of the biggest economic strengths Hof Jammu and Kashmir. The State is largest producer of Apple, Walnut, Almond and many other temperate dry and fresh fruits. J&K holds top position in saffron production in India. J&K is a major exporter of superior quality carpets, wooden art, embroiderical clothes and many other valuable crafts. Horticulture is emerging as a fast growing sector in the state. Its importance can be visualized by its contribution to the state's economy, which is estimated to be 7-8%. Almost 45% economic returns in agriculture sector is accounted for by horticulture produce. 5 lakh families comprising of 30 lakh people are involved in horticulture t r a d e . A n

area of 3.06 lakh hectares was under horticulture during the year 2008-09 showing an increase of 3.73% over the previous year's area figures. In the area figures highest share of 43.30% is claimed by apple followed by 27.80% walnut. The production of fruit for the year 2008-09 was reported to be 16.91 lakh tonnes registering an increase of 3.36% over the fruit production figures for 2007-08. Out of total fruit production for 2008-09, 15.26 lakh tonnes constituting 90.24% were fresh fruit and the remaining 9.76% dry fruit. In the fruit production figures share of apple accounts for 81.18% and walnut with 8.97% share is the next major fruit. During 2008-09, 11.17 lakh tonnes of fruit were exported outside the state. Foreign exchange earnings on export of dry fruit for 2007-08 were Rs. 161.44 crore.

Basket Full of Fruits

Average population per Doctor during the period from 1950-2009 has decreased from 17683 to 2266.Population covered per school in the state is 469 in 2008-09 against 967

persons in (2001-02) at the national level.Pupil teacher ratio at upper primary level in the state in 2007-08 was 31

against 46 in 2004-05 at the national level.Pupil teacher ratio upper primary level in the state in 2007-08 was 20

against 35 in 200405 at the national level.The number of house less persons in India has come down from 2342354

in 1981 to 1943766 in 2001. Houseless population constitutes 0.19 percent of total Indian population. Similarly houseless population recorded by 2001 in J&K was 12751.The house less population in the state has come down from 0.18% in 1981

to 0.13% in 2001.

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tOWARDS vIBRANT j&k

orests play an important role in maintaining the ecological Fbalance by moderating the climate, maintaining the soil man-tle, improving soil fertility, minimizing soil erosion, purifying the air, preservation of wild life and in regulating the flow of water in rivers and streams. Forests are also main source of timber, fuel, fodder, medicines and other non timber minor products. Forests ensure good agriculture produce and offer considerable potential for industrial development of the State. The Sector provides graz-ing facilities for our livestock too. Per capita forest area accounts for 0.17 hectares as compared to 0.07 hectares in the country. Outturn of for-est for the year

2007-08 was 101.16 thousand cubic metres with 68.27 thou-sand cubic metre timber and 32.89 thousand cubic metre fire-wood. Export of timber during the year 2007-08 was 30.70 thou-sand cubic metres, the highest level achieved during the period 2000-01 to 2007-08. The state has 4 national parks, 16 sanctuaries and 35 conservation reserves covering an area of 15912 sq kms. During the year 2007-08, an income of Rs. 22.65 crore accrued from forestry to the state exchequer against the

corresponding figure of Rs. 16.92 crore for 2006-07 indi-cating an increase of 33.87%.

Jammu and Kashmir state has a sizeable irriga-tion potential available which requires to be har-nessed. The net area sown in the state during 200708 was

734 thousand hectares whereas the gross area sown (total area sown under different crops) was 1134 thousand hectares.

IMPRESSIVE Forest cover

Per capita forest area accounts for 0.17 hectares as compared to 0.07 hectares in the country.

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ECONOMY & OTHER IDEASIn a politically sensitive state like Jammu and Kashmir, economy is the least talked about subject. In January 2008 issue, just ahead of the presentation of state's annual budget, Epilogue met the incumbent and the former Finance Minister as also leading economists to list suggestions for turning around the economy. A freewheeling discussion with then Governor Lt Gen SK Sinha brought to the readers Raj Bhawan's perception about the state of affairs in the state.

SUGGESTED READINGS

VOL . 2 , I SSUE 1 , J ANUARY 2008

Crude Birth Rate of 18.9 of J&K State is lower than the national level birth rate of 23.8.Crude Death Rate of 5.5 of J&K State is also lower than the national

death rate of 7.6.Infant Mortality Rate of 50 of J&K state is lower than the national

infant mortality rate of 58.Institutional births rate of J&K State of 54.3% is higher than the

national rate of 40.7%.Average Population covered per Health Institution during the period from

1950-2009 has decreased from 26240 to 3121.

F A C T O I D S

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ourism generates employment, though it is difficult to Tmeasure or calculate the employment generation as these jobs are scattered across many sectors and cannot be identified without a proper survey. However, according to some rough estimates, 20% of people get direct and indirect employment from Tourism Sector. Tourism is one of the important revenue earners for people in the state, though the industry has suffered a lot due to law and order problems, but there are definite signs of its revival. The annual revenue earnings made under the Tourism sector during the last 4 years is about 103.62 crore. There has been substantial increase in the earnings during the last four years from Rs. 2072.26 lakh during 2004-05 to Rs. 2916.93 lakh during 2007-08. The percentage of earnings has been more by 40.76% during 2007-08 when put in comparison to the figures of 2004-05. The influx of tourists to J&K has increased from 28.35 lakh in 1988 to 77.18 lakh in 2008 showing an increase of 172.19% in tourist rush during the last two decades.

FAVOURITE Tourist Destination

TABLE : TOURISTS ARRIVAL FROM 2004 TO ENDING NOV. 2009Year Kashmir Valley Jammu Ladakh

Amarnathji Domestic Foreign Total (Mata Domestic Foreign Total GrandVaishno TotalDevi Ji)

1988 96055 662097 59938 818090 1992595 8608 16256 24864 28355492004 400000 358000 19000 777000 6100000 13000 22000 35000 69120002005 388000 585702 19680 993382 6251998 13781 2465 38446 72838262006 265000 412879 20009 697888 6950573 17822 26078 43900 76923612007 213565 417264 24576 655405 7222318 22102 28477 50579 79283022008 498075 550100 22000 1070175 6576000 39000 33000 72000 77181752009 373419 520454 20809 914682 7657000 47127 30446 78573 8650255

Domestic & Foreign Tourist Arrivals to Ladakh

'TOWARDS FOOD SECURE JAMMU AND KASHMIR'In Epilogue's April 2008 issue, the world famous Agriculture Scientist and father of green revolution in India, MS Swaminthan outlined the measures for making Jammu and Kashmir food surplus. Agriculture Minister Abdul Aziz Zargar made a detailed account of government policies and the Vice Chancellors of two Agriculture Universities SKUAST, Jammu and SKUAST, Kashmir outlined the research activities for promoting agriculture in Jammu and Kashmir. This issue is an important reading for understanding agriculture in J&K

SUGGESTED READINGS

V O L . 2 , I S S U E 4 , A P R I L 2 0 0 8

19Strengths


tOWARDS vIBRANT j&k

he industrial sector produced handicraft Tgoods for the year 2007-08 worth Rs. 1614.59 crore. The production figures for the year 2008-09 are RS.1100.00 crore approxi-mately. The Department has a target of pro-ducing handicraft goods worth Rs.1150.00 crore during 2009-10. Exports of handicrafts have also maintained upward trend during the years. Handicrafts goods valuing RS.12.00 crore were exported during the year 2007-08.

However, there was a decline of export sales to Rs.7.00 crore during the year 2008-09. Handloom industry also occupies a premier position in the State's economy. There are approxi-mately 37000 handlooms in the State, out of which Kashmir Valley is having a share of about 70%. In the cooperative sector during the year 2008-09 approximately 7.045 million meters of handloom fabrics valuing Rs.36.61 crore was produced.

WORD Famous Handicrafts

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TIME FOR TRANS LOC TRADE Jammu and Kashmir has suffered a huge cost of conflict. But there is always a time to turn the challenges into opportunities. June 2008 issue of Epilogue talked about Cross-LoC trade between two parts of Jammu and Kashmir as means of building not only peace but also strong economy. This issue was a sequel to our earlier issue on the subject in September 2007

SUGGESTED READINGS

V O L . 2 , I S S U E 6 , J U N E 2 0 0 8

ivestock sector engages a sizeable number of workforce Lnot only in rearing of animals but also in processing, transportation and sale of animal products. As per livestock census of 2003, total livestock in the state has increased from 91.75 lakh in 1997 to 98.99 lakh showing an increase of 7.9%. The number of livestock per 1000 of population as per 2003 livestock census was 926 animals while as at all India level the

number of livestock p e r 1 0 0 0 o f population works out to be only 457 animals. Average l i v e s t o c k p e r househo ld i s 6 animals in the state compared to 3 an imals at the national level.

POPULOUS Livestock

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she Industrial sector of the J&K State comprising of manufacturing sector (both registered & un-registered), TConstruction, Electricity, Water supply and Gas and Mining & Quarrying is growing slowly. Overall

contribution of Industrial Sector to GSDP has risen from 22.79% in 1999-00 to 27.43% in 2007-08. The slow growth in Industrial sector is mainly attributed to sluggish growth of manufacturing and construction activities within the secondary sector. The contribution of Manufacturing sector (both registered & un-registered) in GSDP of J&K is increasing day by day and has increased from 4.71% in 1999-00 to 6.56% in 2007-08. Taking individually, the manufacturing sector (Registered) contributes 3.09% and (un-registered contributes 3.46% to GSDP of the state. The contribution of Construction sector to GSDP of the J&K state is also increasing over the years and has increased from 7.59% in 1999-00 to 16.99% in 2007-08. The construction sector is growing significantly which is evident from the fact that its contribution to GSDP has more than doubled during the

p e r i o d f r o m 1999-00 to 2007-08. The small scale industries sector plays a pivotal role in J&K state in the absence of large scale industrial set-up. It has r e c o r d e d a constant growth rate. The number of small scale industrial units in the state has

increased from 43689 in 2001-02 to 50472 in 2007-08, registering an annual average growth rate of 2.44 percent. As a consequence of increase in SSI units, employment generation increased from 1.94 lacs in 2001-02 to 2.30 lacs in 2007-08, registering average annual growth rate of 2.98%.

PICKING Up Industrial Culture

SETTING OUT AGENDA FOR OMAR GOVERNMENTBarely a month after Omar Abdullah took over as youngest Chief Minister of Jammu and Kashmir, Epilogue reached out to an array of best brains across the country. February 2009 issue listed key suggestions from experts of their fields on what they wanted the young Chief Minister to do for making Jammu and Kashmir the best state to live in. Among the participants were Amb Salman Haider, Lt Gen Patankar, PR Chari, Balraj Puri and Madhu Kishwar

SUGGESTED READINGS

VOL. 3 , ISSUE 2 , FEBRUARY 2009

Census 2001 has revealed that 55% households live in permanent houses, 32.15% in semi-permanent houses and 12.85% were living in temporary houses, and the relative position in India was 51.80%, 30.04% and 18.16% respectively. Categorizing the households living in owned, rented and other categories

works out to be 93%, 5% and 2% for J&K and 87%, 11 % and 2% respectively for India.

F A C T O I D S

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s the saying goes, advantage never comes without a disadvantage or two. While Jammu and Kashmir's location at map is it biggest strength it is a Aweakness as well. For its remoteness and mountainous terrain, Jammu and

Kashmir faces special developmental challenges and is therefore known for a high cost mountain economy. Remoteness and isolation is a major drawback. It is landlocked and located far from the major markets. High transport costs make it harder to turn to the major markets to compensate for the drawbacks of the small size of its domestic markets. Despite 6 decades of planning, 1755 habitations are yet to be connected. The PWD road length per 100 Sq Kms of area for the state is 18.55 Kms which is lowest in the country. In many parts of the state, we have road density as low as 3.33 Kms (Leh) and just 6.84 Kms (Kargil) per 100 sq Kms of area. In rural areas with more than seventy percent population, road connectivity requires improvements. The Jammu-Srinagar Highway is the only lifeline that connects the state

to the rest of the country. The government has taken the initiative of creating an alternate highway via Shopian-Bufliaz popularly known as Mughal road. The construction of this road is presently going on at full swing and the project is expected to be completed by 2012 under the Prime Ministers Reconstruction Plan (PMRP). The topographical landscape of the State presents the alternates like civil aviation as a costly affair. However, commissioning of Sheikh-ul-Alam International Airport at Srinagar has opened the new vistas for enhancing connectivity at International level which will in-turn facilitate international tourism, promote international trade especially export which will provide a big push to the economy and generate avenues of better employment.

Jammu and Kashmir badly suffers from limited capacity in the public and private sectors. The access to national capital markets/external capital is very limited for J&K. Most private sector enterprises are still in the primitive stage of organization. The residents of J&K experience higher volatility in their incomes. Overall, the range of per capita income and rates of growth are not significantly different across Indian state economies. Because of its small domestic markets, J&K is relatively un-diversified in its production structure and exports.

Due to adverse climatic conditions during winters, agricultural activities remain suspended as a result of which, only one crop is sown during the year in most parts of the state.

INSUFFICIENT Connectivity

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BUILDING PEACE COUNTERING RADICALISATION Any state can progress only when people make united efforts. Bitterness between regions and religions can be the worst spoiler. Epilogue's December 2009 issue dealt with the agenda of countering radicalization for building peace. It was about launching a dialogue between three regions Jammu, Kashmir Valley and Ladakh

SUGGESTED READINGS

VOL. 3, ISSUE 12, DECEMBER 2009

Weaknesses22


he revenue from own resources to the state is very Tlow (around 25%) of the total revenue receipts. Comparing the revenue situation of the state viz-a-viz its expenditures for last 5 years, there always remains a deficit. This deficit has increased from Rs.1665.00 crore in 200-05 to Rs. 3386.00(E) crore in 2008-09. The fiscal deficit comes to around 9.7% of GSDP in 2008-09, which in the year 2006-07 was 6.6%. The Fiscal deficit of around 10% is unsustainable. It requires immediate corrective action. Multi-pronged strategy in terms of mobilization of additional resources, greater tax and non-tax collections, cost of recovery of use charges, full funding of Plan and expenditure compression, particularly establishment related, is required to be put in place. In terms of economic growth, Jammu & Kashmir is not placed at desired level having 21st place in the race at the India level. Among fast growing states/UTs economically, Chandigarh tops the list registering growth rate of 13.6% fol-lowed by Gujarat, Chattisgarh, Goa and Maharashtra. The bottom ranks are occupied by Jharkhand, Bihar and Manipur. If ranked in terms of per capita income at constant prices in 2005-06, Chandigarh has got the highest per capita income in the country. Goa, Delhi, Pondicherry, Haryana, Maharashtra and Punjab are also among the top ones. Jammu & Kashmir is placed at the lower 22nd place (total 35) which shows the state has not kept pace with the other States/UTs. The bot-tom ranks in per capita income are held by the States of Mizoram, Bihar and Uttar Pradesh. Growth in primary sector which include Agriculture & Allied activities is stagnant at 1.79%-2007 -08(A) as compared to growth rate of 3.95% in 2007-08 at the national level. Secondary sector is also stag-nant registering a growth of 11.18% against 11.45% at the national level in 2007-08. Tertiary sector is slated to grow at 6.15% as against a growth of 6.26% in 2007-08. The growth of tertiary sector at national level as compared to state is much higher at 11.08% in 2007-08. The annual average Growth rate of per capita income is not growing at the desired rate and hence is not able to keep pace with the national averages which results in poor purchasing capacity of the common masses. However, there is not much wide gap in income dis-tribution since the income is almost fairly distributed among the inhabitants of the state which has resulted into emer-gence of larger section of middle class society whileas in other parts of the country income distribution has wide gaps which results in inequitable wealth and welfare distribution resulting in poverty, illiteracy etc.

POOR Domestic Share in Revenues

If ranked in terms of per capita income at constant prices in 2005-06, Chandigarh has got the highest per capita income in the country. Goa, Delhi, Pondicherry, Haryana, Maharashtra and Punjab are also among the top ones. Jammu & Kashmir is placed at the lower 22nd place (total 35) which shows the state has not kept pace with the other States/UTs.

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CONNECTING JAMMU AND KASHMIR ROAD, RAIL, AIRFor any state, roads are the lifeline of economy. Poor communication network is one of the biggest disadvantages before Jammu and Kashmir. March 2009 issue of Epilogue discussed all means of communications in the state road, rail and air and suggested measures for improvement.

SUGGESTED READINGS

V O L . 3 , I S S U E 3 , M A R C H 2 0 0 9

23 tOWARDS vIBRANT j&kWeaknesses


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sThe Index of Industrial Production. (IIP) estimates of J&K State (1999-00) estimates were, 100.874 in 2004-

05, 109.462 in 200506 and 108.82. in 2006-07, whereas it has crossed 200 mark in many other states of the country. The low growth index reveals that industrial performance needs to be improved further which in turn will generate high quality employment in the nonagricultural sector.The share of agriculture and allied sectors towards GSDP has declined from 51.05% in 1980-81 to 31 % in

1999-2000 and around 25% in 2008-09 at constant prices. Less contribution of Agriculture towards state economy is attributed to the following factors:Low Seed Replacement Ratio (SRR) in case of High Yielding Verities (HYV) of major crops is less than 10% in

comparison to the national level SRR of 25%. To sustain continuous growth in productivity, seed manage-ment plays a vital role.Stagnation in the average yield rate of 16.5 quintals per hectare.Stagnated cultivable area (Le. 801 thousand Hectares). Stagnant net area sown percentage of 30% over the

years from 2003-4 to 2008-09.Availability of irrigation facility to only 42% of the net area

sown.Inadequate double cropping- due to lack of irrigation facil-

ity in some areas and climatic difficulty in others.Small size of land' holdings. 94% of the land holdings fall in

the size class of less than 2 hectare.Lack of irrigation, as around 58% of the net area sown is

rainfed.Inadequate research in the field of agriculture in the state.Inadequate Agricultural Finance facilities.

Horticulture is no doubt contributing substantially to the State GDP but there are certain problems/weaknesses, which are proving as hindrances for further growth of this sector. The problem areas are:

Absence of Post Harvest infrastructure non-establishment of cold storages has locked the growth of this sector. At present, post harvest losses are estimated about 2030%. Experts say that there are losses to the extent of 10% at field level, 5% at transportation level, 2% during packag-ing, 9% at storage, 4% at processing Le.30% in total. Surprisingly there is not even a single cold storage facility for apple preservation in the valley. The lack of this facility forces the farmers to sell their produce at cheaper rates.

There is inadequacy of agro-processing facility. 30% of apple produced in the state are of low grade which can be processed for value addition rather than direct sale. This requires processing capacity of about 3 lakh tonnes per annum. The current capacity approximately of 65000 tonnes is not adequate. Demands in horticulture products can be sustained by developments in agro processing. In fact, there is rising demand for new products like dried powder, fruit based milk mix, juice pouches etc. and under these circum-stances the private corporate sector can playa vital role in developing this aspect.

THE MICROCOSM OF PIR PANCHALThere are regions in the state which have always complained for poor development and growth. May 2010 issue of Epilogue discussed the issues before Pir Panchal region comprised of the twin border districts of Rajouri and Poonch. Dealing in detail with politics and economy of the region, there are suggestions for what needs to be done for putting the region in mainstream.

SUGGESTED READINGS

V O L . 4 , I S S U E 5 , M A Y 2 0 1 0

Weaknesses24


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she decadal Tpopulation growth of

29.43% was recorded between (1991-2001) for the state whereas at the all India level population between same period increased by only 21.11 %. The population of state is growing at much faster rate than national level rate. As per the Census 2001 there were 892 females per 1000 of males in J&K State. The sex-ratio prevalent in the state was lower than the sex-ratio at the all India level which was 933 females per 1000 of males in 2001. Urban Population constitutes 27.82% of total population of J&K State against the urban population percentage of 24.81 at all India level.

FASTER Population Growth

The mineral sector is one of the core sectors for the development of the state. It comprises both major and minor minerals. The contribution of this sector is 0.22% to the economy of the state. This sector is stagnant from the point of view of its contribution to state economy over the years.Adverse sex ratio of J&K of 892 females per thousand males against 933 females per thousand males at national level.The number of medical institutions have increased considerably over the years from 124 to 375 (1950-2009) but the dependence of

people per medical institution is still very high. The health infrastructure in the state at all levels suffers from shortages that are both qualitative and quantitative in nature.Overall Literacy Rate in the state in 2001 was 55.20% against the literacy rate of 64.84% at the national level.The Contribution of Electricity, Water supply and Gas Sector to GSDP of the state is decreasing day by day and has decreased from

7.59% in 1999-00 to 5.41% in 2007-08. This sector is on constant decline.Inadequate infrastructure in tourism.

F A C T O I D S

25 tOWARDS vIBRANT j&kWeaknesses


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sut of the identified potential, only 2318.70 MWs or 14 percent have been Oexploited so far, consisting of 758.70 MWs in State Sector from 20 power

projects and 1560 MWs from three power projects under Central Sector Le. 690 MWs (Salal Hydro Electric Project) and 480 MWs (Uri-I Hydro Electric Project) and 390 MWs (Dulhasti). The prestige Baglihar Hydro Electricity Project, with a capacity of 450 MWs was commissioned during 2008-09. The base load requirement of the State is about 716 MWs and peak demand is currently pegged at about 2120 MWs. The sixteenth All India Power Survey has projected an increase in power demand of Jammu and Kashmir from 1706 MWs i.e. 9640 MUs during 2004-05 to 2120 MWs i.e. 14750 MUs during 2008-09. By 2010-11, the demand is expected to touch 2441 MWs i.e. 14321 MUs and 4000 MWs i.e. 19500 MUs by 2020-21.

The total availability of power from all the sources is just around 9147 MUs; the State is under stress to purchase power from other sources. To meet the restricted requirement of 10238 MUs in the current year, the State may require to purchase additional 1091 MWs through U.I and short term purchases besides banking arrangements with Punjab, Haryana and Chattisgarh. While the Hydel projects constructed in the central sector allow the state only 12% of energy actually generated, even in the state sector 450 MW Baglihar Hydel Project commissioned recently, the state has to sell about 50% of the energy to outside buyers as a pre-condition imposed by the rendering institutions leaving its own consumers striving for energy. Owing to Indus Water treaty, the state has to choose less economic designs of Hydel projects.

Another area of concern has been the transmission and distribution losses which are far above the National level. Transmission and Distribution Losses under power sector are as high as 72% which includes Commercial losses as well. The reasons for such losses are more technical which include existing outdated system. To minimize such losses the system needs upgradation and improvement. Apart fro

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