Something, finally

Was extremely busy during Chaos, but had a great time too. I hope to write something about the week soon. I have fallen prey to the sleeping sickness though - slept at midnight yesterday, yet am slightly sleepy now :)

I will write about a long-awaited and welcome step though. After endless political wrangling and diversions, the Bombay and Delhi airport modernisation projects were finally awarded to two private consortia today (GMR-Fraport for Delhi and GVK-ACSA for Bombay). I have never been abroad, but everyone seems to feel that Bombay's airport pales in comparison to those in even cities like Shanghai and Bangkok, let alone those in Singapore and HK. I, of course, always dream of Bombay being the best city in the world. A world class airport, and perhaps a new airport in New Bombay, could match the splendour of yesteryears when the Gateway of India greeted passengers arriving at Bombay harbour. Here's to a splendid airport in 2010!

Today's decision was larger than just the modernisation of two airports though. As the Indian Express editorial commented, this is the first serious attempt by the UPA government at reducing the state's role in the economy. The Left and AAI employees fought this proposal tooth and nail, delaying the awarding of the contracts by many months. If they had succeeded in scuttling the project, a signal would have been sent out that nothing that antagonised PSU employees/trade unions would be implemented by Singh's government. Praful Patel needs to congratulated for shepherding the project through. I suppose the PM had an important role to play too.

I hope I'm not being too optimistic in assuming that everything is set in stone. There are reports that Anil Ambani's company, whose bid was rejected, has protested. AAI employees have threatened to go on strike. The Left will surely launch into a lecture on the evils of privatisation.

The government must see this through though, whatever the course required. The two-year mark is closing in, and save for the introduction of VAT, Singh and Chidambaram have nothing to back their reputation as the Dream Team. The current sunny environment may not last very long, if reforms are not carried further. More sectors have to be liberalised, foreign investment has to be made easier, oil prices have to be decontrolled, cities have to be made habitable, and human capital has to be developed. The airport modernisation project is an indicator of more substantial changes which will affect the lives of people, rich and poor, in urban and rural India. If the Congress hopes to come back to power in 2009, Sonia and co better think about what they want discussed on TV screens and newpapers - a gleaming airport in Bombay and 6-laned highways in Rajasthan or court rulings denouncing unconstitutional behaviour in Bihar and illegal colonies in Delhi.