INDIA POLITICS-20131224-MOSL-6PG.p65 - Money Control

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Dec 24, 2013 ... The governing philosophy of AAP is based on the concept of Swaraj (self .... Mr Arvind Kejriwal who floated the AAP with an objective to bring ...
24 December 2013 | Sector: Strategy

India Politics The 'AAP-rising' Youngest political start-up stakes claim to form Delhi government, close scrutiny on promises    







Ending a rather prolonged period of speculation, the Aam Aadmi Party (AAP) finally staked claim to form the government in Delhi. This follows BJP's refusal to form the government despite being the single largest party. AAP won 28 of the 70 seats in Delhi elections, with 30% vote share. Besides it occupied the second slot in as many as 20 seats, although the margin of victory was relatively smaller for them in an essentially tripolar contest. The party that is essentially an offshoot of the Jan Lokpal movement, emerged out of the prolonged delay in passing the Lokpal bill, that stoked a section of the movement to float a political alternative. The governing philosophy of AAP is based on the concept of Swaraj (self rule) that makes the Gram Sabha (local body) the supreme center of political authority and free the administrative control over the panchayats. The Gram Sabha is envisaged to have wide ranging powers relating to funding and spending, oversight over government functionaries, permission for industrial and mining rights, land acquisition and records and even taxes and law making process of the upper tiers of government. AAP's manifesto promised, among other things, i) passing of Jan Lokpal bill within 15 days of assuming office, ii) reduction in power bill by 50%, iii) provision of free water of 700 liter (per day) to every family, iv) build 0.2m community and public toilets, v) regularization of unauthorized colonies based on rates decided in the notification of March 24, 2008, vi) rehabilitation of people living in slums; till rehabilitation is done, no slums will be demolished, vii) provision for high quality education and health etc. In the coming days, it would be intensively scrutinized for the promises made. The unique strategy adopted by AAP to garner peoples mindshare include i) symbol of broom to suggest a clean-up, ii) online donation and stopping to accept donations once the mobilization reached the target of INR200m, iii) 70 manifestos dedicated to each constituency along with a general manifesto, iv) a transparent and participative candidate selection process. Behind the party's success lie the voluntary actions of a swarm of people. A screening of successful candidates revealed a common character including i) involvement in the Jan Lokpal movement, ii) no criminal record, iii) youth and iv) history of social actions.

I. AAP to form government in Delhi on the back of impressive electoral success 



  Investors are advised to refer through disclosures made at the end of the Research Report.

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Ending days of speculation, the youngest political start-up in the country, Aam Aadmi Party (AAP), finally staked claim to form the government in Delhi with outside support from the Congress. The development follows a relatively uncertain phase of political developments post poll when BJP, the single largest party refused to form the government as they fell short of the requisite majority. The post poll phase also saw communication from AAP to BJP/Cong with 18 conditions for accepting support and finally eliciting views from the general public in Delhi regarding their opinion on the appropriateness of AAP in forming the government. This follows the spectacular electoral success of the year old AAP in Delhi Assembly elections that won 28 of the 70 seats. It has also eaten away 15% of 30% vote share of Congress, 3% of BJP's 37% vote share and almost BSP's entire 14% vote share. The success exceeded the expectations of most experts who were dismissive of its emergence in the first place. AAP also finished second in as many as 20 seats. However, its margin of victory was relatively less in an essentially tripolar contest.

Dipankar Mitra ([email protected]); Tel: +91 22 3982 5405 Ashish Gupta ([email protected]); Tel: +91 22 3982 5544

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AAP's performance exceeded most common expectations States/ Parties

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AAP has betrayed Delhi, since the vote was antiCongress. AAP has compromised on its principles. Dr Harsh Vardhan, CM Candidate, BJP

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Exit Polls Avg of Assembly ABP News - CNN-IBN Times Now - India Today's Exit polls (2013) Nielsen Week C Voter Today-ORG Chanakya (A) (B) Total seats 70 70 70 70 70 70 70 BJP 37 37 31 41 29 35 32 Congress 16 13 24 20 10 17 8 AAP 15 17 11 6 31 16 28 Others 2 3 4 3 0 2 2

Swing (B-A) 0 -3 -9 12 0

AAP ate vote share largely from Congress and BSP and also in part from BJP Party BJP Congress AAP Others

Vote share (%) 2003 2008 (A) 35 37 48 40 0 0 17 23

1998 36 48 0 16

2013 (B) 33 25 30 13

Swing (B-A) -4 -16 30 -10

AAP got runners up position in 20 seats Party (Seats won) BJP BJP (31) AAP (28) INC (8) SAD (1) JD (U) (1) Ind (1) Total (2nd position)

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I hope Kejriwal as a chief minister, taking the support of Congress, would show the courage to take action. Otherwise it would prove, as apprehended earlier, that the AAP is team B of the Congress. Ravi Shankar Prasad BJP leader

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Runner up seats AAP 18

INC 14 5

2 1 1

1 29

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However, the margin of victory was relatively less for AAP in a tripolar contest

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II. Behind the spectacular success - formation, philosophy, strategy, people An offspring of the Jan Lokpal movement  AAP has its origin in the 'Jan Lokpal' (anti-corruption) movement spearheaded by social crusader Mr Anna Hazare under the banner 'India Against Corruption' during 2011 through a series of protest rallies in New Delhi and other parts of the country.  The non-partisan and non-violent movement witnessed a series of peaceful protesting, courting arrest, indefinite fasting and several rounds of negotiations with the government to enact a strong anti-corruption law and institution in its wake.  However, despite many rounds of iteration, the bill did not see the light of the day for long. The movement later on catapulted into two directions - one led by Mr Arvind Kejriwal who floated the AAP with an objective to bring "political power back into the people's hands" and the other led by Mr Anna Hazare, continuing with peaceful resistance to bring the Lokpal Bill.

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Swaraj (self rule) - the governing philosophy of AAP

We will be very tough on the public servants who do not comply and Arvind is there to crack the whip. There will be complete transparency and less scope for mischief," "There is a lot to manage; our task is daunting .For instance, we have to set the Delhi equation right. It is a tough one and quite unstable. We are going to remove all the ''MLA-giri'' and turn it into "Sevagiri" Shazia Ilmi, AAP Spokesperson

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Disaffection with the current governance structure: The present system does not allow people to have any control over i) government employees, ii) public funds that have been trapped into BPL politics, iii) government policies and laws, iv) natural resources.  Shortcomings of the Panchayati Raj: Panchayats are merely implementation agencies for the schemes proposed by the central and state governments, rather than a body of self-administration. Within panchayat, the gram sabha (local body) can only advise the head (pradhan or sarpanch). However, oddly the collector (district administrator) can even suspend the sarpanch who is elected by the people! Thus, the collector has unlimited power to interfere, leaving chances of huge corruption between him and the sarpanch where they act in cohort and even alone where the sarpanch is not corrupt but is powerless to do anything.  Country experiences: In sharp contrast, the local government is very powerful in the US, Switzerland or even Brazil. In the US, in the town in Oregon State, Walmart was prevented entry as the people there in a town hall meeting decided that this would make many smaller shops to shut down. In Brazil's small town of Porto Alegre, budgets were prepared by people where 30-40% of the people were slum dwellers. In Switzerland, recognized as the best democracy in the world, if 50,000 people sign a petition and ask for a law, it has to be presented as an Act in parliament, and if 100,000 people sign a petition, it has to be presented as an amendment in the parliament.  Misgivings about swaraj and direct democracy: There are many misgivings about giving power to the gram sabhas including the following: i) precedence before: The fact is direct democracy is not alien to India and has indeed been practiced in ancient India (Vaishali is the earliest example of democracy in the world); ii) more corruption: The fear of corruption when money reaches directly to people is misplaced as people would have requirement to satisfy different facets of life: e.g. everyone would most likely to opt for a school and health centre for their own children rather than pocket the money among themselves, 

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I have already wished him well. Anna Hazare

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Arvind Kejriwal is taking a huge risk by joining hands with the Congress. If Kejriwal orders probe in the CWG scam he will face trouble from the Congress. Kiran Bedi

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iii) khap panchayats: All panchayats would have to work within the constitution of India and no one would have a right to kill anyone, iv) more fights: This fear is contrary to experience. But even if it happens, the concerned gram sabha would have only themselves to blame for their own lack of development.  Success stories in experimental swaraj: Few examples include i) Hivre Bazzar, nearly 100 km from Pune, faced innumerable droughts between 1972 and 1989, resulting in 90% of the people to fall below poverty line, with rampant alcoholism and rise in crime. A student of the village, studying MCom in Mumbai, Prataprao Pawar was called back by the young boys to become the sarpanch. He took all the decisions based on the suggestions from gram sabha which enumerated all the problems and solutions. They built schools, have done away with government schemes, did water harvesting and caused an all round transformation. ii) The amendment to Panchayati Raj Law 2002 in Madhya Pradesh empowered the gram sabha to stop salaries of teachers if they did not attend the class. Few villages in Chhindwara district resorted to stopping of salary for the absentee teachers, resulting in the latter to get back within a period of three months.  AAP's recommendations: These include i) the gram sabha should be supreme center of political authority and the sarpanch liberated from district collector, ii) it should have control over the type of work, government workers, funds etc, iii) gram sabhas should have the control over the upper tiers and should have some degree of control over the lawmaking process in the legislative assemblies as also right to information from any government official up to the state level, iv) industrial and mining rights would require the consent of gram sabha, which would have a right to lay down conditions and withdraw permission on violation, v) similarly, the gram sabha would decide through a well laid down and consultative procedure on the beneficial impact and then accord permission for any land acquisition, vi) all land records and transfers to be maintained by the panchayat office, vii) the gram sabha would be the owner of all natural resources -- water sources, small minerals and small forest produce, viii) panchayats should issue certificates pertaining to caste, income, domicile etc, ix) delegate most tax collections to panchayats and in some cases allow them to act as collection agency for the taxes imposed by the higher levels, x) completely transparent functioning of panchayats, whereby anyone can ask for any documents and receive it in a time bound manner. Manifesto - the selling point and deliverable benchmark  Delhi Jan Lokpal Bill: Commitment to pass Delhi Jan Lokpal Bill within 15 days of coming to power.  Swaraj (self rule): Mohalla sabhas to be made the center of political power for development decisions in the locality. Demand for full statehood to Delhi, so that MCD, DDA and Delhi Police are directly controlled by the Delhi government .  Electricity bill: To be reduced by 50% through audit of discoms, checking bills and meters, promotion of solar power.  Water availability: Households using up to 700 litres of water (per day) would be given free water. Transparency to be introduced and privatization to be stopped in Delhi Jal Board. 4

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I am nobody to give advice to Arvind Kejriwal, but I wish him well. They are ones who will have to fulfill the promises. Stability comes from them. How can we provide a stable government to Delhi? …People have got carried away by AAP's promises. Sheila Dikshit Former Chief Minister

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Sanitation and waste management: Promise to build 0.2m toilets as nearly 1.5m people in Delhi do not have toilets. To connect all households to the sewage network. Women's security: Citizens' security forces would be formed with a branch in each ward. Special fast track courts for crimes against women. Education: Commitment to high quality education to all, regulate high fees and donations in private schools, expansion of higher education and regularization of temporary posts. Health: Quality healthcare to all, to reach five beds per 1,000 people as per international norm, generic medicines to be promoted, alternative low cost medicines promoted, focus on public health and environment. Delhi's villages: Gram sabhas would be empowered, land acquisition in these villages would be possible only with the permission of gram sabha. Unauthorized colonies: Regularization of unauthorized colonies based on rates decided in the notification of March 24, 2008 to be conducted by the mohalla sabhas. Slums: Flats/plots would be provided on site or as near as possible to existing location of slums through a consultative process. Till rehabilitation no demolition and improvement in living conditions. Inflation and unemployment: Basic provisioning to protect people from inflation. For unemployment, government posts to be filled up, better facilities to be provided at industrial areas and low interest loans for young entrepreneurs. Other economic issues: Simplified VAT structure, licensing procedure and opposition to FDI in retail for traders. Other target groups' measures include stopping of contract labors for 365 days jobs, enforcement of minimum wages, social security for unorganized sector, regulation of wage and working hours of domestic workers, improvement in conditions of rag pickers and licences and fixed locations for street vendors. Transport: Unified Transport Authority, expansion of DTC bus service and Delhi Metro, making pavements and cycle tracks on all possible roads, preventing police harassment and revising auto fares in an ongoing manner etc. Environment: Prevent polluted water from flowing into Yamuna and encroachment on the river bed, protecting Delhi Ridge by clamping down on encroachment etc. Social justice: For scheduled castes, ensure welfare spend and implementation of reservation; for Valmikis, end contractualization in safai karamchari posts; for muslims, ending harassment by police and prosecution of muslim youth in false cases; for sikhs, providing justice to victims of 1984 riots; status of Punjabi and Urdu as second language; end discrimination against and improve living conditions of nomadic communities (NT/DNT), trans-genders and other marginalized communities.

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It is between AAP and the Delhi Congress. I congratulate him. I appreciate his courage. He needs to fulfill his promises. By entering politics, he has strengthened democracy. Digvijaya Singh, Senior Congress leader

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Thank you for offering me security. But as I have already informed earlier, I don't need any security. I don't need any escort of PSO. God is my biggest security. However, I would be grateful if some help is provided for crowd management or screening at a few places where I get mobbed. Arvind Kejriwal's letter to Delhi Police

Capturing imagination of the people - unique strategies followed by AAP  Symbol: The "broom" signifies their way to clean up the polity of the country. It also symbolizes dignity of labor.  Donations: Party donations were made online. Secondly, elections were fought with only donation money. Third, in an unprecedented measure, the party stopped accepting donations once the mobilization reached the target of INR200m.  Manifestos: 71 manifestos were released (including that of 70 candidates each and one general manifesto for the party). Citizens participated in the preparation of manifesto.  Candidate selection: Was done through a process and was open to all. The detailed information collected through a mandatory form of the aspiring candidates was published on the website for public comments that were taken into consideration for final selection. The party claimed not to entertain criminals at all. People behind the success  Behind the success stories of AAP lies a swarm of volunteers, including those working behind the scenes.  A profile of successful candidates in the Delhi elections revealed that indeed criminals were kept off the race for candidature. Few cases involving police actions were political in nature.  Almost all the candidates were related to the Jan Lokpal movement in some capacity or the other. Most of them also have a track record of social work for a variety of causes.  A few of them were also associated with the Congress and BJP earlier, with some in leadership positions.

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Track record of winning candidates - emphasis on no criminal record, youth, strong voluntary action and engagement with Jan Lokpal movement

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Track record of winning candidates - emphasis on no criminal record, youth, strong voluntary action and engagement with Jan Lokpal movement

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N O T E S

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