The Hindu Business Line : Budget session, a testing time for UPA

The Budget session of Parliament, beginning today (Friday), comes at a trying time for the Congress-led United Progressive Alliance Government, which is three-fifth through its term. Though the Samajwadi Party, with some 40 Lok Sabha members, has withdrawn support to the government, there is no immediate danger to its stability as the SP's support was from outside.

But surely, what is at stake is the UPA's credibility to perform true to its pre-poll promises. One of the two key issues facing the Government is the economic situation, especially its failure to stem the price rise. The second is the security environment that has been badly vitiated by the terror attack on the Samjhauta Express. On both these issues the Government will draw heavy opposition flak. It will be on the defensive in the gruelling, three-month-long session that ends late in May.

The BJP-led National Democratic Alliance opposition has made it clear that the two issues would form its main plank of attack. The BJP will use the Samjhauta Express attacks to press for the re-introduction of the POTA (Prevention of Terrorist Activities) legislation. Blaming the blasts on "intelligence failure," the party and its sister organisations have underscored the need for a tough anti-terror law.

Double discomfiture

On the price rise issue, the Government could face double discomfiture. Not only the Opposition but even its allies and some within the Congress too have shown their displeasure at the way the problem has been handled. Apart from the flak he faced from the NDA and the Left allies, the Finance Minister, Mr P. Chidambaram, came under attack from some members of the Congress Working Committee on the issue earlier this week.

In inflation, the opposition has at last an issue that answers the Government charge that it (the opposition) is not worried about the common man. Anxious to fully leverage the issue, the NDA is believed to be working on an adjournment motion as the first salvo. It also plans to give notice for a discussion on the motion, hoping to see some UPA allies, especially the Left, siding with the opposition, causing acute embarrassment for the Government.

Pending Bills

Only after these two key issues and the Budget, will the Government be able to turn to the more than 50 Bills pending before Parliament. The Government is also to introduce several new Bills, cleared by the Cabinet during the inter-session.

Notable among the pending Bills are the Securities Contracts (Regulation) Amendment Bill, the Warehousing (Development and Regulation) Bill, the Labour Laws (Exemption) Bill, the Forward Contracts (Regulation) Amendment Bill, and the Pension Fund Regulatory and Development Authority Bill. The Warehousing (Development and Regulation) Bill is keenly awaited by the retail sector and the processed foods segment.

Election anxiety

Already up against a tough session, the Government faces added anxiety from the elections to the three Congress-ruled States of Punjab, Uttarkhand and Manipur where the incumbency factor, among other things, is said to reduce its chances of retaining power. And, finally, the announcement of an unprecedented seven-phase polling to elect a new Assembly in Uttar Pradesh is bound to push up the political mercury both within and outside Parliament.

(The author, a former Deputy Editor of PTI, is a New Delhi-based freelance journalist.)