Friday, September 5, 2008

Promote competition to reduce corruption in public services : Govt

New Delhi, Sep 7 Buoyed by the success of competition in Indian Telecom Sector leading to reduction in corruption in the erstwhile state monopoly, government wants to take forward the experience to all layers of administration across the country to benefit its people.


With the government-appointed administrative reforms commission having concluded that government monopoly on public services provides scope for corruption, the government, having accepted the observation, has suggested promoting competition in public services, wherever possible, to check corruption.

Referring to the successful example of the Telecom Sector, the government has asked all the ministries and departments of the Central government, state governments and Union Territory administrations to formulate appropriate policies, inorder to achieve the objective of promoting competition to reduce corruption in public services in a ''time bound'' manner, official sources said.

All those directed, have been asked to inform the Department of Administrative Reforms and Public Grievances, the steps taken on a quarterly basis, urging them to send the first report of the quarter ending September 30, by October 10, the sources added.

Besides the Telecom Sector, the government memorandum listed another success story in Madhya Pradesh, where farmers have been allowed to market their produce directly to traders instead in the officially designated 'mandis'.

The success in Madhya Pradesh was achieved by amending the Agricultural Produce Marketing Act, 1972, which permitted only the traders in government-approved 'mandis' to buy farmers' produce. But when it was found that 'mandi' officials and traders colluded to cheat the farmers by paying them less than the fair price of their produce by forming a ''monopolistic nexus'', the government amended the Act.

With farmers and traders no longer obliged to trade only in the designated 'mandis', the amendment led to the reduction in corruption in such regulated markets to the benefit of farmers.

Like the marketing act, The Indian Telegraph Act, 1885, too, was a monopolistic act under which only the Department of Telecommunication (DoT) operated as a policy maker, service provider and licensor.

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