ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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GSPC: A Controversial Case Study

While the Bharatiya Janata Party claims the Congress has been trying to deflect allegations of corruption against it by highlighting controversies relating to Gujarat State Petroleum Corporation, the many allegations levelled against the management of this state government company are serious. The Oil and Natural Gas Corporation should think hard before deciding to partner GSPC.

Power Tariff Scam Gets Bigger at Rs 50,000 crore

The dimension of the scam relating to inflation of power tariffs by, among other things, over-invoicing imported coal has become considerably bigger. It has now come to light that electricity generating companies are seeking to obtain compensatory tariffs from regulators. In addition, particular firms in the Adani and Essar Groups, have allegedly over-invoiced imports of equipment. The total size of the scam is currently estimated at Rs 50,000 crore, if not more.  

Steel : Hitting the Lows

The Indian steel industry is passing through difficult times with stagnant demand, overcapacity and poor price realisations. International prices of steel have dipped to rock-bottom levels, the lowest in 20 years. Following liberalisation and particularly during the high growth years of the economy the consumption of finished steel in the country grew at an average rate of 17 to 18 per cent per annum during 1994-95 and 1995-96 from 15.5 million tonnes to 22.2 million tonnes. However, the recessionary trend since then in most of the steel consuming segments like capital goods, consumer durables and housing construction, coupled with lack of investment in infrastructure segments has led to a virtual stagnation in domestic steel consumption.

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