EC likely to take view on new bank licences on March 31
27 March 2014 11:23 PM GMT
‘I think most likely we will take up the issue on Monday,’ Election Commissioner H S Brahma said when asked if the EC had already taken a view on the request of RBI to allow the central bank to issue new bank licences.
He said that the RBI has already submitted clarifications sought by the Commission. “The letter (from the RBI) has come to us... It came to us about a week back. We have asked them
to clarify certain points. They have clarified,” Brahma said. About two dozen public and private sector applicants, including India Post, IFCI and large business houses such as the Anil Ambani group and the Aditya Birla group, have applied for bank licences.
On the concerns of EC with regard to issuance of licence, Brahma said, ‘Our concern is simple, if you have done your job properly... if they are very confident about their rules and regulations, why should they refer to us? Point is that, if they have done their job thoroughly, honestly, diligently, they should not have referred. He further said if everything with regard to new bank licences were decided on 2013, then what prevented the RBI from issuing them.
The model code of conduct has come into force with the announcement of general election earlier this month. Last month, the Bimal Jalan panel, which scrutinised applications for new bank licences, submitted its report along with shortlisted entities to the RBI. Guidelines for setting up new private banks were issued in February 2013 and the last day for applications was July 1.
After vetoing diesel rate dip, EC says won’t stop petrol price fall
New Delhi: Election Commissioner H S Brahma, who had earlier this month stated that the Government cannot discontinue the monthly increases in diesel prices as it would tantamount to populism, on Wednesday said that oil companies can revise petrol prices in line with the practice they have been following since June 2010. Oil companies can revise petrol prices without coming to the Election Commission, he said. ‘If they (oil companies) are going (for petrol price revision) under the market driven force, so they are welcome. I mean there is a certain area where the market takes precedence,’ Brahma told reporters on sidelines of a CII event here.
He said that the EC will not interfere if the oil companies operate under the stated policy. ‘Let them do their job properly. That’s all. We are here only to ensure that everybody does their job. The EC will do their job. The RBI will do their job. Petroleum ministry and oil companies will do their job. Decision is very simple and clear,” he added.
Petrol prices are likely to be cut by over one rupee a litre early next week as appreciation in value of rupee against dollar and fall in global oil rates has made imports cheaper. However, diesel rates will go up by 50 paisa a litre in line with the practice of raising prices by small quantum every month to wipe away subsidy on the fuel. State-owned oil firms are due to announce revised petrol and diesel prices on March 31. ‘The rupee has appreciated to Rs 60.50 to a dollar from Rs 61.44 and simultaneously international gasoline rates have dipped from 118.09 per barrel to 115.73. The twin factors will cause a cut in petrol price on Monday,’ a source said.
The government, in June 2010, had given oil firms freedom to fix petrol prices on 1st and 16th of every month based on average global oil prices and forex rates in the preceding fortnight. It had in January 2013 authorised oil firms to hike diesel prices by 40-50 paisa per litre every month till such time that the losses on the fuel are wiped out. Diesel prices have risen on 14 occasions since then.
He said that the RBI has already submitted clarifications sought by the Commission. “The letter (from the RBI) has come to us... It came to us about a week back. We have asked them
to clarify certain points. They have clarified,” Brahma said. About two dozen public and private sector applicants, including India Post, IFCI and large business houses such as the Anil Ambani group and the Aditya Birla group, have applied for bank licences.
On the concerns of EC with regard to issuance of licence, Brahma said, ‘Our concern is simple, if you have done your job properly... if they are very confident about their rules and regulations, why should they refer to us? Point is that, if they have done their job thoroughly, honestly, diligently, they should not have referred. He further said if everything with regard to new bank licences were decided on 2013, then what prevented the RBI from issuing them.
The model code of conduct has come into force with the announcement of general election earlier this month. Last month, the Bimal Jalan panel, which scrutinised applications for new bank licences, submitted its report along with shortlisted entities to the RBI. Guidelines for setting up new private banks were issued in February 2013 and the last day for applications was July 1.
After vetoing diesel rate dip, EC says won’t stop petrol price fall
New Delhi: Election Commissioner H S Brahma, who had earlier this month stated that the Government cannot discontinue the monthly increases in diesel prices as it would tantamount to populism, on Wednesday said that oil companies can revise petrol prices in line with the practice they have been following since June 2010. Oil companies can revise petrol prices without coming to the Election Commission, he said. ‘If they (oil companies) are going (for petrol price revision) under the market driven force, so they are welcome. I mean there is a certain area where the market takes precedence,’ Brahma told reporters on sidelines of a CII event here.
He said that the EC will not interfere if the oil companies operate under the stated policy. ‘Let them do their job properly. That’s all. We are here only to ensure that everybody does their job. The EC will do their job. The RBI will do their job. Petroleum ministry and oil companies will do their job. Decision is very simple and clear,” he added.
Petrol prices are likely to be cut by over one rupee a litre early next week as appreciation in value of rupee against dollar and fall in global oil rates has made imports cheaper. However, diesel rates will go up by 50 paisa a litre in line with the practice of raising prices by small quantum every month to wipe away subsidy on the fuel. State-owned oil firms are due to announce revised petrol and diesel prices on March 31. ‘The rupee has appreciated to Rs 60.50 to a dollar from Rs 61.44 and simultaneously international gasoline rates have dipped from 118.09 per barrel to 115.73. The twin factors will cause a cut in petrol price on Monday,’ a source said.
The government, in June 2010, had given oil firms freedom to fix petrol prices on 1st and 16th of every month based on average global oil prices and forex rates in the preceding fortnight. It had in January 2013 authorised oil firms to hike diesel prices by 40-50 paisa per litre every month till such time that the losses on the fuel are wiped out. Diesel prices have risen on 14 occasions since then.
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