hello 2011 aspirants,

as we all need notes on current affairs 2011, so let's help each other and post notes on this thread. Helping each other out will divide our burden, as we will share each other's burden. so, I will start with myself! U rock girl

(Great New Game as someone has said is not important, though it has geostrategy & pipeline politics so I would post here)

Great New Game

Historical Preview

The term "The Great Game" is usually attributed to Arthur Conolly (1807–1842), an intelligence officer of the British East India Company's Sixth Bengal Light Cavalry. It was introduced into mainstream consciousness by British novelist Rudyard Kipling in his novel Kim (1901).
From 1813 to 1907 Great Britain and Tsarist Russia were engaged in a strategic competition for domination of Central Asia, known in Britain as "The Great Game", and in Russia as the "Tournament of Shadows." The British sea power and base in the Indian subcontinent served as the platform for a push Northwest into Central Asia, while the Russian empire pushed into the region from the North. The powers eventually met, and the competition played out, in Afghanistan, although the two never went to war with one another.
The British feared that Russian control of Central Asia would create an ideal springboard for an invasion of Britain's territories in the subcontinent, and were especially concerned about Russia gaining a warm water port. They would fight the First and Second Anglo-Afghan Wars in an attempt to establish control over the region, and to counter the slowly creeping expansion of Russia. Losing badly both times, the British signed the 1907 Anglo-Russian Convention which divided Afghanistan between the two powers and outlined the framework for all future diplomatic relations.

Introduction

Recently there has been some use of the expression "the Great Game" to describe conflict between the United States, the United Kingdom and other NATO countries on the one hand; and Russia, the People's Republic of China and other Shanghai Cooperation Organisation countries on the other, over Central Asian natural resources.
Petroleum Policy and Geostrategy in Central Asia are the tools of The Great Game.

The New Great Game is a term used to describe the conceptualization of modern geopolitics in Central Eurasia as a competition between the United States, the United Kingdom and other NATO countries against Russia, the People's Republic of China and other Shanghai Cooperation Organisation countries for "influence, power, hegemony and profits in Central Asia and the Transcaucasus".

It is a reference to "The Great Game", the political rivalry between the British and Russian Empires in Central Asia during the 19th century.
Many authors and analysts view this new "game" as centering around regional petroleum politics. Now, instead of competing for actual control over a geographic area, "pipelines, tanker routes, petroleum consortiums, and contracts are the prizes of the new Great Game". The term has become prevalent throughout the literature about the region, appearing in book titles, academic journals, news articles, and government reports. Pakistani author Ahmed Rashid claims he coined the term in a self-described "seminal" magazine article published in 1997, however uses of the term can be found prior to the publication of his article.

Tools of Great New Game

 Geo-strategy
 Petroleum politics

Geo-strategy:

Strategic geography

Central Asia had both the advantage and disadvantage of a central location between four historical seats of power. From its central location, it has access to trade routes, or lines of attack, to all the regional powers. On the other hand, it has been continuously vulnerable to attack from all sides throughout its history, resulting in political fragmentation or outright power vacuum, as it is successively dominated.

To the north, the steppe allowed for rapid mobility, first for nomadic horseback warriors like the Huns and Mongols, and later for Russian traders, eventually supported by railroads. As the Russian Empire expanded to the east, it would also push down into Central Asia towards the sea, in a search for warm water ports. The USSR would reinforce dominance from the north, and attempt to project power as far south as Afghanistan.

To the east, the demographic and cultural weight of Chinese empires continually pushed outward into Central Asia. The Han, Tang, and Ming Dynasties would conquer parts of East Turkestan and Tibet, and the later Empire of the Great Qing of China consolidated Chinese control over this area. China would project power into Central Asia, most notably in the case of Afghanistan, to counter Russian dominance of the region.

To the southeast, the demographic and cultural influence of India was felt in Central Asia, notably in Tibet, the Hindu Kush, and slightly beyond. Several historical Indian dynasties, especially those seated along the Indus River would expand into Central Asia. India's ability to project power into Central Asia has been limited due to the mountain ranges in Pakistan, and the cultural differences between Hindu India, and what would become a mostly Muslim Central Asia.

To the southwest, Middle Eastern powers have expanded into the southern areas of Central Asia (usually, Uzbekistan, Afghanistan, and Pakistan). Several Persian empires would conquer and reconquer parts of Central Asia; Alexander the Great's Hellenistic empire would extend into Central Asia; two Arab Islamic empires would exert substantial influence throughout the region; and the modern state of Iran has projected influence throughout the region as well.

Strategic locations

In terms of strategic geography, Central Asia has several important routes through Eurasia, which conquerors would seek to dominate and utilize.
Passes:

Wakhan Corridor: In Afghanistan, with Tajikistan to the north, Pakistan to the south and China to the east
Khyber Pass: Between Afghanistan and the Pakistan
Torugart Pass: Between Kyrgyzstan and China
Nathula, Jelepla Pass: Between India and China
Khunjerab Pass: Between Pakistan and China

Areas
The Steppe
The Hindu Kush
Aksai Chin





Petroleum Politics:

Crude oil, once seen as a wealth-creating blessing for mankind, is fast turning into the “devil’s tears”. The struggle to control the world’s remaining energy reserves increasingly culminates in bloody conflicts and the killing of innocent civilians, with the war in Iraq only being the latest example.
A new battleground in the violent politics and passion of oil: Central Asia, known as the "black hole of the earth" for much of the last century. The Caspian Sea contains the world’s largest amount of untapped oil and gas resources. It is estimated that there might be as much as one hundred billion barrels of crude oil in the former Soviet republics of Kazakhstan and Azerbaijan alone.
Desperate to wean its dependence on the powerful OPEC cartel, the United States is pitted in this struggle against Russia, China, and Iran, all competing to dominate the Caspian region, its resources and pipeline routes. Complicating the playing field are transnational energy corporations with their own agendas and the brash new, Wild West-style entrepreneurs who have taken control after the collapse of the Soviet Union. Traveling thousands of miles, from the Caucasus peaks across the Central Asian plains down to the Afghan Hindu Kush, Kleveman met with the principal Great Game actors between Kabul and Moscow: oil barons, generals, diplomats, and warlords.

Pipeline Politics

The Baku–Tbilisi–Ceyhan pipeline was built to transport crude oil and the Baku-Tbilisi-Erzurum pipeline was built to transport natural gas from the western side (Azerbaijani sector) of the Caspian Sea to the Mediterranean Sea bypassing Russian pipelines and thus Russian control. Following the construction of the pipelines, the United States and the European Union proposed extending them by means of the proposed Trans-Caspian Oil Pipeline and the Trans-Caspian Gas Pipeline under the Caspian Sea to oil and gas fields on the eastern side (Kazakhstan and Turkmenistan sectors) of the Caspian Sea. In 2007, Russia signed agreements with Turkmenistan and Kazakhstan to connect their oil and gas fields to the Russian pipeline system effectively killing the undersea route.
China has completed the Kazakhstan–China oil pipeline from the Kazakhstan oil fields to the Chinese Alashankou-Dushanzi Crude Oil Pipeline in China. China is also working on the Kazakhstan-China gas pipeline from the Kazakhstan gas fields to the Chinese West-East Gas Pipeline in China.

WikiLeaks Cable on The Great New Game

In a leaked US Embassy cable released by WikiLeaks, it was reported that Prince Andrew, Duke of York, supports the concept of a New Great Game:
Addressing the Ambassador directly, Prince Andrew then turned to regional politics. He stated baldly that “the United Kingdom, Western Europe (and by extension you Americans too”) were now back in the thick of playing the Great Game.

More animated than ever, he stated cockily: “And this time we aim to win!”

19th Amendment

Introduction
Parliamentary Committee on Constitutional Reforms Chairman Senator Raza Rabbani presented a report with the draft of the 19th Amendment bill to incorporate Supreme Court’s recommendations in the mechanism of the appointment of judges in the superior courts in the National Assembly on 21st December, 2010.

Amendments proposed

By amending Article 182 of the constitution, the 19th Amendment has withdrawn powers from the chief justice of Pakistan for the appointment of ad hoc judges and transferred them to the Judicial Council of Pakistan (JCP). Under the proposed bill, the president will now carry out the appointments on the recommendation of the JCP.
The committee has also amended clause 2 of the Article 175-A and now under the proposed amendment, four instead of two most senior judges will be appointed in the JCP.
Speaking after presenting the report in the House, Rabbani said the committee’s unanimous report reflected political maturity and seriousness of all parliamentarians and those having representation in the reforms committee.

In draft the committee proposed 26 amendments in six articles of the constitution including articles 81, 175, 175-A, 182, 213 and 246.

By rectifying a disagreement in the 18th Amendment, the constitutional reforms committee made an amendment in Article 246 of the constitution in the proposed bill through which the Tribal Areas, adjoining Laki Marwat and Tank districts, have be declared a part of FATA.

The committee also proposed that the formerly called High Court for the Islamabad Capital Territory be now named the Islamabad High Court by introducing amendments in articles 81 and 175.

To remove the Supreme Court’s apprehensions on the future of the Parliamentary Committee for Appointment of Judges in case the National Assembly was dissolved, the constitutional reforms committee proposed an amendment in Article 175-A through which the parliamentary committee comprising senators will take decisions with regards to appointment of judges.

The 19th Amendment Bill also proposed an amendment in Article 175-A which binds the parliamentary committee to justify its decision in case it rejected any nominee of the Judicial Commission for the appointment of judges.

By amending clause 13 of the Article 175-A, the committee included the prime minister in the appointment of judges. Under the 19th amendment draft bill, the parliamentary committee shall send the name of the nominee confirmed by it or deemed to have been confirmed to the prime minister who shall forward it to the president.
Earlier, in the 18th Amendment, the prime minister had no role and the parliamentary committee had to forward the nominees to the president.

The 19th Amendment bill also proposed that committee meetings will be held in camera and a record of its proceedings shall be maintained.

The parliamentary committee will be allowed discuss and consider the conduct of judges but parliament would not be allowed to discuss the conduct of judges.

The criterion for the representation of the provincial bar councils in the Judicial Commission for the selection of the chief justices of high courts has also been explained.
The senior advocate of the provincial bar council with 15 years of experience will be included in the JC.

In the 19th Amendment bill, the constitutional reforms committee has also proposed amendments composition of judicial commission for the appointment of judges of the high court.

“A judge who happens to be a candidate for the post of chief justice won’t sit with the high court chief justice and two most senior judges in the JCP. The chief justice of Pakistan, in the absence of provincial chief justice, shall include a former chief justice or a judge in the JCP in consultation with the four senior-most judges included in the JCP,” the amendment says.

US relations with India, Pakistan, China, Afghanistan; India with China & Afghanistan; The dynamic Analysis of US foreign Policy in SA

Sino-US

Sino-American or China-United States relations refers to international relations between the People's Republic of China (PRC) and the United States of America (USA). Most analysts have characterized present Sino-American relations as complex and multi-faceted, with the United States and the People's Republic of China being neither allies nor enemies. Generally, the U.S. government and military establishment do not regard the Chinese as an adversary, but as a competitor in some areas and a partner in others.
As of 2010, the United States has the world's largest economy while China's economy is the second largest. China has the world's largest population while the United States' population is the third largest. The two countries are the two largest consumers of motor vehicles and oil. They are the two largest emitters of greenhouse gases.
Relations between the People's Republic of China and the United States have generally been stable with some periods of tension, especially after the breakup of the Soviet Union, which removed a common enemy and ushered in a world characterized by American dominance. There are also concerns which relate to human rights in the People's Republic of China and the political status of Taiwan.
While there are some irritants in Sino-American relations, there are also many stabilizing factors. The People's Republic of China and the United States are major trade partners and have common interests in the prevention and suppression of terrorism and in preventing nuclear proliferation. China and the US are each other largest trading partners excluding the European Union. China is also the U.S.'s largest foreign creditor. China's challenges and difficulties are also mainly internal, and therefore there is a desire on the part of the PRC to maintain stable relations with the United States. The Sino-American relationship has been described by top leaders and academics as the world's most important bilateral relationship of the 21st century.

Pak-US
In February 2010, Anne W. Patterson (U.S. Ambasador to Pakistan) said that the United States is committed to partnership with Pakistan and further said “Making this commitment to Pakistan while the U.S. is still recovering from the effects of the global recession reflects the strength of our vision. Yet we have made this commitment, because we see the success of Pakistan, its economy, its civil society and its democratic institutions as important for ourselves, for this region and for the world.”
In March, Richard Holbrooke U.S special envoy to Pakistan had said U.S.-Pakistani relations have seen 'significant improvement' under Obama. Furthermore he also said 'No government on earth has received more high-level attention' than Pakistan.
Pakistan is a major non-NATO ally as part of the War on Terrorism. A leading recipient of US military aid, Pakistan will expect to receive approximately 1.3 billion for 2010. 25% of the military is subsidized by the US government.
As on 8th February 2011, US administration is reported to suspend high level contacts with Pakistan and may also suspend economical aid]. All this happened when Davis, an alleged private security contractor, was on an American diplomatic mission in Pakistan shot dead two Pakistani locals last month in what he said was in self-defense after they attempted to rob him. Pakistan acted tough on him despite US demands that he be freed because he enjoys diplomatic immunity. But later the case took a strange turn. The two Pakistani locals who were shot dead by David came out to be the spies of ISI, Pakistan's intelligence agency.

India-Us
According to some foreign policy experts, there was a slight downturn in India-U.S. relations following the election of Barack Obama as the President of the United States in 2009. This was primarily due to Obama administration's desire to increase relations with China, and Barack Obama's protectionist views on dealing with the economic crisis. However, the leaders of the two countries have repeatedly dismissed these concerns.
In November 2010 Obama became the second U.S. President after Richard Nixon (in 1969) to undertake a visit to India in his first term in office. On November 8 Obama became the 2nd U.S. President ever to address a joint session of the Parliament of India. In a major policy shift Obama declared U.S. support for India's permanent membership of United Nations Security Council. Calling India-U.S. relationship a defining partnership of 21st century he also announced removal of export control restrictions on several Indian companies and concluded trade deals worth $10 billion which are expected to create/support 50,000 jobs in the U.S. during this visit.

Afghanistan-US
Exit Strategy:
Special US representative for Pakistan and Afghanistan, Richard Holbrooke, on Monday said there will be some drawdown of American troops in Afghanistan next year but the US combat mission will not end until 2014. Holbrooke said there was no exit strategy for Afghanistan but rather a transition plan, which will be presented at a NATO summit in Lisbon, Portugal, this weekend. Obama has set July 2011 as a target to begin drawing down US troops if conditions allow, but American officials expect troops to be in Afghanistan for some time after that. Afghan President Hamid Karzai has said he wants Afghan security forces to be able to take the lead in protecting and defending the nation by 2014. The US and its allies will keep troops in the country past that date but they will have a training role. “We do not have an exit strategy but a transition strategy. 2014 is not the end of international presence in Afghanistan, but to be sure there will be some drawdown of troops in July next year. The size and pace will be decided by the president,” he said. Holbrooke said Pakistan “must be part of a solution if there is going to be a solution.”

Afghan Insurgency:
During 2010, the Taliban were ousted from parts of Helmand Province by the ISAF Operation Moshtarak that started in February 2010. In the meantime the Taliban insurgency spread to the northern provinces of the country. The new policy of the Taliban was to shift militants from the south to the north, to show they exist "everywhere", according to Faryab ProvinceGovernor Abdul Haq Shafaq. With most Afghan and NATO troops stationed in the southern and eastern provinces, villagers in the once-peaceful north found themselves confronted with a rapid deterioration of security, as insurgents seized new territory in provinces such as Kunduz and Baghlan, and even infiltrated the mountains of Badakhshan Provincein the northeast.

Crux:

after analysing the above mentioned data, one should develop her own stance
on dynamics on US policy and interests in South Asia.

18th Amendment

Introduction:

Amendment XVIII (the Eighteenth Amendment) of the Constitution of Pakistan, was passed by the National Assembly of Pakistan on April 8, 2010, removing the power of the President of Pakistan to dissolve the Parliament unilaterally, turning Pakistan from a semi-presidential to a parliamentary republic, and renaming North-West Frontier Province to Khyber Pakhtunkhwa. The package is expected to counter the sweeping powers amassed by the Presidency under former Presidents General Pervez Musharraf and General Muhammad Zia-ul-Haq and to ease political instability in Pakistan.[2][3] The 'historic' bill reverses many infringements on Constitution of Pakistan over several decades by its military rulers. The amendment bill was passed by the Senate of Pakistan on April 15, 2010 and became an act of parliament when a smiling President Asif Ali Zardari put his signature on the bill on April 19, 2010. It was the first time in the history of Pakistan that a president relinquished a significant part of his powers willingly and transferred them to parliament and the office of the prime minister.

Background:
The power of the President to dissolve the Parliament was enacted by the Eighth Amendment to the Constitution of Pakistan during the presidency of Gen. Muhammad Zia-ul-Haq, before it was removed by then-Prime minister Nawaz Sharif during his second term by the Thirteenth Amendment. It was finally restored during the presidency of Gen. Pervez Musharraf by the Seventeenth Amendment. No elected government in Pakistan has ever completed its full term. This bill is the first bill since 1973 to decrease the powers of the President.

Major changes:

1.Change in the name of provinces (Article 1)
 Sind- Sindh
 Baluchistan-Balochistan
 NWFP- Khyber Pakhtunkhwa

2.“Whosoever abrogates and suspends the constitution will be guilty of high-treason.” (Article 6)

3.Balance of power between President & PM (“discretion” replaced by “advised”)

4.Balance of power between Centre and provinces
(Concurrent list deleted)

5.Appointment of judges
Earlier, judges of SC were appointed by President by the “binding” consultation of CJ.

Insertion of Article 175A in the Constitution.—In the Constitution, after Article 175, the following new Article shall be inserted, namely: —

“175A.Appointment of Judges to the Supreme Court, High Courts and the Federal Shariat Court.—
(1) There shall be a Judicial Commission of Pakistan, hereinafter in this Article referred to as the Commission, for appointment of Judges of the Supreme Court, High Courts and the Federal Shariat Court, as hereinafter provided.

(2) For appointment of Judges of the Supreme Court, the Commission shall consist of

(i) Chief Justice of Pakistan; Chairman

(ii) Two most senior Judges of the Supreme Court

(iii) a former Chief Justice or a former Judge of the Supreme Court of Pakistan to be nominated by the Chief Justice of Pakistan, in consultation with the two member Judges,
for a period of two years

(iv) Federal Minister for Law and Justice

(v) Attorney-General for Pakistan

(vi) A Senior Advocate of the Supreme Court of Pakistan nominated by the Pakistan Bar Council for a term of two years.

(3) Notwithstanding anything contained in clause (1) or clause (2), the President shall appoint the most senior Judge of the Supreme Court as the Chief Justice of Pakistan.

(4) The Commission may make rules regulating its procedure.

(5) For appointment of Judges of a High Court, the Commission in clause (2) shall also include the following, namely:—

(i) Chief Justice of the High Court to which the appointment is being made

(ii) The most senior Judge of that High Court

(iii) Provincial Minister for Law

(iv) A senior advocate to be nominated by the Provincial Bar Council for a term of two years:

Provided that for appointment of the Chief Justice of a High Court, the most senior Judge of the Court shall be substituted by a former Chief Justice or former Judge of that Court, to be nominated by the Chief Justice of Pakistan in consultation with the two member Judges of the Commission mentioned in clause (2):

Provided further that if for any reason the Chief Justice of High Court is not available, he shall also be substituted in the manner as provided in the foregoing proviso.

(6) For appointment of Judges of the Islamabad High Court, the Commission in clause (2) shall also include the following, namely:

(i) Chief Justice of the Islamabad High Court

(ii) the most senior Judge of that High Court

Provided that for initial appointment of the Judges of the Islamabad High Court, the Chief Justices of the four Provincial High Courts shall also be members of the Commission:

Provided further that subject to the foregoing proviso, in case of appointment of Chief Justice of Islamabad High Court, the provisos to clause (5) shall, mutatis mutandis, apply.

(7) For appointment of Judges of the Federal Shariat Court, the Commission in clause (2) shall also include the Chief Justice of the Federal Shariat Court and the most senior Judge of that Court as its members:

Provided that for appointment of Chief Justice of Federal Shariat Court, the provisos to clause (5) shall, mutatis mutandis, apply.

(8) The Commission by majority of its total-membership shall nominate to the Parliamentary Committee one person, for each vacancy of a Judge in the Supreme Court, a High Court or the Federal Shariat Court, as the case may be;

(9) The Parliamentary Committee, hereinafter in this Article referred to as the Committee, shall consist of the following eight members, namely: —

(i) four members from the Senate; and

(ii) four members from the National Assembly.

(10) Out of the eight members of the Committee, four shall be from the Treasury Benches, two from each House and four from the Opposition Benches, two from each House. The nomination of members from the Treasury Benches shall be made by the Leader of the House and from the Opposition Benches by the Leader of the Opposition.

(11) Secretary, Senate shall act as the Secretary of the Committee.

(12) The Committee on receipt of a nomination from the Commission may confirm the nominee by majority of its total membership within fourteen days, failing which the nomination shall be deemed to have been confirmed:

Provided that the Committee may not confirm the nomination by three-fourth majority of its total membership within the said period, in which case the Commission shall send another nomination.

(13) The Committee shall forward the name of the nominee confirmed by it or deemed to have been confirmed to the President for appointment.

(14) No action or decision taken by the Commission or a Committee shall be invalid or called in question only on the ground of the existence of a vacancy therein or of the absence of any member from any meeting thereof.

(15) The Committee may make rules for regulating its procedure.

Impact
292 of the 342 members of the National Assembly, the lower house of Parliament, voted in favour of the amendment, in a vote that was described as historic and shown live on television. The amendment turns the President into a ceremonial head of state and transfers power to the Prime Minister, and removes the limit on a Prime Minister serving more than two terms, opening the way for Nawaz Sharif to run again. The North-West Frontier Province is renamed Khyber-Pakhtoonkhwa, in accordance with the wishes of its Pashtun-majority population. Among other changes, courts will no longer be able to endorse suspensions of the constitution, a judicial commission will appoint judges, and the president will no longer be able to appoint the head of the Election Commission.The bill also enhances provincial autonomy. The President will no longer be able to declare emergency rule in any province unilaterally.

Response
Prime minister Yousaf Raza Gillani, speaking after the passage of the bill, stated that "it is dividend of the politics of reconciliation that the Nation and the Parliament are united today and we have repealed undemocratic laws inserted to Constitution by dictators." An editorial published in Dawn welcomed the amendment and urged to parliament to go further and undo the destructive legacy of General Zia's rule and re-examine the Hudood Ordinance and Blasphemy law in Pakistan. Ahmed Kurd, former president of Supreme Court Bar Association of Pakistan, said "We fully support the 18th Amendment. It is tantamount to the overhauling of the constitution, which had been subverted by military dictators since its inception. In the past, parliaments have just been 'rubber stamps', whereas the present parliament seemed to be well aware of its obligations, and therefore, was 'throwing out' the 'unconstitutional' amendments."
However violence broke out in the North West Frontier Province's Hazara Division where the Hindko-speaking population opposed the attempts to rename the province Khyber Pakhtoonkhwa.

NFC Awards

What is NFC Award?
The NFC award, National Finance Commission award, is the distribution of financial resources among the provinces of Pakistan by the federal government on annual basis.
Taxes are pooled and distributed: Certain types of taxes collected in each province are pooled, then redistributed according to the NFC formula. What taxes to include in the distribution pool and the distribution formula is a subject of debate.
Taxes included in the pool are (1) income taxes, (2) general sales tax, (3) wealth taxes, (4) capital gains taxes, and (5) custom duties.
Most Tax Receipts are collected from Punjab and Sindh. Almost all custom duties are collected at the Port of Karachi.
Background and History of NFC:
In 1971, Pakistan was cut into two by our enemies with the indirect support of our fellow Pakistani’s and hence we lost East Pakistan to Bangladesh. There are many reasons that can be attributed to the 1971 incident but one of the major one is the “Distribution of Resources” among the provinces i.e East Pakistan and West Pakistan. Since East Pakistan was responsible for majority of our output, it was its right to get the major portion of it as well, however, it was not allowed to take when it actually owned and most of it was used in West Pakistan. This infuriated the Bangladeshi people and contributed towards their final revolt against the Government owned by West Pakistan.

It is worth mentioning here for the ready reference of our readers that Bangladesh i.e East Pakistan before 1971, was more populous then West Pakistan but it was still discriminated by the West Pakistan i.e current day Pakistan. At that time, the distribution of resources based on population was never raised by anyone since it would have resulted in greater share of East Pakistan from the Federal Divisible Pool or in Federal Budget for East and West Pakistan.
Article 160(1) of 1973 Constitution:
NFC is constituted under Article 160(1) of the 1973 constitution (Annex I) and proposed to be held at the intervals of five years. Its members are Federal Finance Minister (Chairman), Provincial Finance Ministers and other concerning experts which the President may appoint after consultation with provincial Governors [Constitution of Pakistan (1973)]. The main charter of NFC is to recommend on the following [Pakistan (2006b)]:
(1) The distribution of specified taxes, duties between federation and provinces. (2) The disbursement of grants to provincial governments. (3) The borrowing powers exercised by federal and provincial governments. (4) Any other financial matter referred to commission.
There is a need for inclusion of other factors like infrastructure, poverty, backwardness, revenue generation, environment, etc. to be taken into account for justifiable of resource distribution. Even if we look at our neighbouring country India, various criteria are used for resource distribution from central to provincial governments. So, in order to achieve equity, such policies should be devised which take different aspects of development into its account while distributing the resources. The issue of resource distribution among federal and provincial governments never proved to be simple and is a much complex issue. But when we go through the history of NFC, it becomes obvious that the problem of resource distribution is never taken seriously.
Controversy on Sales Tax:
A peep into revenue distribution history of the sub continent reveals that sales tax was in exclusive domain of provincial governments before 1947. It was partly federalized to the extent of 50 per cent in 1948-49 budget, the first of independent Pakistan, to meet the impact of massive refugee influx in Karachi which was then the federal capital.
it was in 1974 NFC award that sales tax was completely federalized and the noises made in Karachi were ignored. It declared population as the only criterion for distribution of revenue.
Previous Awards:
SINCE 1973, after the promulgation of a consensus constitution by an elected and popular government, there have been three national finance commission awards enforced in 1974, 1991 and in 1997. But the three NFCs constituted in 1979, 1984 and 2,000 failed to reach consensus and ended in a deadlock.
Of the three commissions that failed, two were formed in 1979 and in 1984 during the military rule of late General Zia-ul-Haq and the third one, the current NFC was formed in the year 2,000 after General Musharraf took over the government in October 1999. This NFC continued functioning after the October 2002 elections with some changes in its composition.
The first NFC award was given in 1974 by the elected government of late Z.A. Bhutto. This award set population as the only criterion for revenue distribution among the provinces. Custom duties, the main revenue earner was kept out of the divisible pool and the sales tax was completely federalized.
The second NFC award was given in 1991 by a political government of PML headed by Mian Nawaz Sharif. This NFC award recognised for the first time, the rights of the provinces on natural resources and the provinces were given royalty and gas development surcharge on oil and gas.
And the third NFC award was declared in February 1997 by a caretaker government of Farooq Ahmed Leghari and Prime Minister late Malik Meraj Khalid. It turned out to be the most controversial NFC award, though still operative, despite the expiry of its five- year term in 2002.
7th NFC Awards:
Location: Lahore Chairperson: Finance Minister Shaukat Train Duration of arguments: 3 days
Provincial share of the divisible pool would increase from the present 47.5 per cent to 56 per cent in the first year of NFC (2010-2011) and 57.5 per cent in the remaining years of the award under the vertical distribution of resources. He claimed that this share would virtually be over 60 per cent. During Musharraf regime, provinces were demanding for a 50% provincial share in the divisible pool.
The federal government has agreed to cut tax collection charges from 5.0 per cent to 1.0 per cent and this amount would also be added to the divisible pool. About the thorny issue of sales tax on services, he said the NFC recognised sales tax on services as a provincial subject and it mightbe collected by the respective provinces.
The multiple indicators under 7th NFC Award
Multiple Indicators Weights
1 Population 82.0%
2 Poverty/Backwardness 10.3%
3 Revenue Collection/Generation 5.0%
4 Inverse Population Density 2.7% (Urban-Rural)
Out of 56 % provincial share of total divisible pool, financial resources will be distributed among the provinces in following ration.
Punjab 51.74% Sindh 24.55% Khyber-Pakhtunkhwa 14.62% Balochistan 9.09%

Local Government System

Introduction:

In order to establish democracy at grassroots level, the regime of General Pervez Musharaf, introduced the Local Government System. This was not a new experiment in Pakistan. Ayub Khan had undertaken a similar effort in this direction by introducing the Basic Democracy System.
This new system of Local Government was installed on August 14, 2001, after holding of elections.
The new System provided a three-tier Local Government structure:

1. The District Government

2. The Tehsil Government

3. The Union Administration

Details:

In August 2000, local government reforms abolished the "Division" as an administrative tier and introduced a system of local government councils, with the first elections held in 2001. Following that there was radical restructuring of the local government system to implement "the principle of subsidiarity, whereby all functions that can be effectively performed at the local level are transferred to that level". This meant devolution of many functions to districts and tehsils, which were handled at the provincial and divisional levels. At abolition, there were twenty-six divisions in Pakistan proper - five in Sindh, six in Balochistan, seven in Khyber-Pakhtunkhwa and eight in Punjab. Abolition did not affect the two divisions of Azad Kashmir, which form the second tier of government.

However, after the approval of Local Govt. (Amendment) Bill 2010, the administrative system is restored again

2th January, 2010: KPK Governor Owais Ahmad Ghani signed the LG (amendment) Bill
3rd Feb, 2010: Punjab Assembly passed LG Amendment Bill 2010

According tot these approvals, the system of Distric,Tehsil and Union Council will be replaced again by the old Local Govt. System of Administrators.

Provincial Autonomy in Pakistan (in the light of 18th Amendment)

Introduction:
Complete provincial autonomy means absolute independence of provincial government.
Constitution in Pakistan is going through a major reshape under proposed 18th amendment and provincial autonomy is focus of this process and a buzzword in Pakistan now a day. Provincial autonomy means a system of provincial government independent and free from any external influence or reliance.

Provincial Autonomy in 18th amendment:
The 18th amendment to Pakistan’s constitution became law after country’s President signed it on April 19, 2010. This historic accomplishment was achieved after many rounds of discussions and compromises. The key achievement of endeavor was restore much of the original 1973 constitution and to shift away the massive power that was given to the Presidency under military dictators General Zia-ul-Haq and General Pervez Musharraf. However, the people of small provinces were once again cheated away and the promise of provincial autonomy was largely limited to cosmetic changes and use of buzz words such as abolition of the concurrent legislative list containing subjects where the Federal government and the four provincial had shared jurisdiction prior to the 18th amendment. Indeed, it was the long standing demand of provinces to do away with concurrent list and restore sole provincial jurisdiction as provinces had enjoyed under British before Pakistan was created. Deletion of concurrent list is the crux of the matter in this scenario.
1. Article 38 .Promotion of social and economic well-being of the people.- Added new paragraph (g) the shares of the Provinces in federal services, including autonomous bodies and corporations established by, or under the control of the Federal Government, shall be secured and any omission.
2. Article 156 – National Economic Council – 18th Amendment adds words “added “Balanced development and regional equity”.
3. Article 161 – Natural gas and hydro-electric power – 18th Amendment adds clauses that:
(a)• the net proceeds of Federal duty of excise on natural gas levied at well-head and collected by the Federal Government and of the royalty collected by the Federal Government, shall not form part of the Federal Consolidated Fund and shall be paid to the Province in which the well-head of natural gas is situated;
(b) the net proceeds of the Federal duty of excise on oil levied at well-head and collected by the Federal Government, shall not form part of the Federal Consolidated Fund and shall be paid to the Province in which the well-head of oil is situated.
4. Article 167 – Borrowing by Provincial Government — 18th Amendment: After clause (3) the following new clause shall be inserted, namely :”( 4) A Province may raise domestic’ or international loan, or give guarantees on the security of the Provincial Consolidated Fund”.
5. Article 172 – Reports of Auditor-General – 18th Amendment adds a provision that “Subject to. the existing commitments and obligations, mineral oil and natural gas within the Province or the territorial waters adjacent there to shall vest jointly and equally in that Province and the Federal Government”.
Although it was the demand of the provinces that they should have equal ownership in all mineral oil and natural gas fields including the existing ones which the above clause continues to keep under federal ownership. Nevertheless, it is a reasonable compromise.
6. Under the 18th amendment, the following matters are moved from PART I (where jurisdiction is strictly federal) to PART II (where Council of Common Interests advises):
* Electricity
* Major Ports
* Census
* National planning and national economic coordination
* Legal, medical and other professions
*Standards in institutions for higher education and research, scientific and technical institutions.
7. Other than some jurisdictions from Concurrent Legislative List and Part I of Federal Legislative list that have been moved to PART II of Federal Legislative list, the Concurrent List is abolished and the Provinces regained the jurisdictions on the following matters:
* Sales Tax on Services (The fact is in most democratic countries.
* Duties in respect of succession to property.
* Estate duty in respect of property.

Criticism:
Failed to include Baluchi, Pashto, Punjabi, and Sindhi as national languages of Pakistan.
Article 143: Inconsistency between Federal and Provincial laws
Fourth Schedule (Article 70(4) – Federal and Concurrent Legislative Lists – Provinces did not regain the right to impose sales tax on purchased goods as is the case in most democratic federal states such as Canada and the USA.
Necessary amendment should have been made for transparency in defense budget and ability for the members of the National Assembly and Senate to question military leaders in broad terms whether or not expenditures were being well spent.
A provision should have been made requiring all provinces to abide by Indus River Water Accord and other agreements.
Article 156 – National Economic Council – This article had a provision that “the President shall nominate one member from each Province on the recommendation of the Government of that Province.” The 18th amendment has removed the words “on the recommendation of the Government of that Province.” has been REMOVED as Prime Minister can now appoint 4 other members of the council.
The implication of this change is that Federal Government will solely determine who will be the members of the National Economic Council thereby further diminishing the participation of provincial governments in how national economics is handled – this is another serious attack against provincial autonomy.
Synthesis & Conclusion:
Provincial autonomy is our main national issue though there are constitutional provisions available to implement it. We as a nation are living under a system that was enacted to safe guard imperialist designs. But now we should emerge as an honorable and independent nation. For this, we must draft a new social contract. But do not have such social, economical and political factors which can cause in declarations of new social contract. Today only Balochistan is burning but what we can do if tribal areas of Pakistan directly contact America to stop drone attacks? We will have to satisfy our desperate people to keep these units united and keep Pakistan strong.

Floods 2010 & Disaster management

Pakistan is located in a region that is prone to a number of natural disasters. Due to its diverse range of terrain,the country is susceptible to wide-ranging hazards from droughts to floods to earthquakes to cyclones. Pakistan has been suffering from a major drought for the last four years, which is unfortunately continuing with varying degrees all over the country. With the exception of drought years, Pakistan has suffered almost every year from floods as monsoon rains cause rivers to overflow their banks. Almost all of Pakistan regularly experiences earthquakes ranging from moderate to severe in intensity.

In addition, the coastal areas of the country are prone to cyclones. There is no comprehensive, integrated disaster management policy at the national level, and the country also lacks a proper system for disaster prevention and preparedness. Such a system could ensure effective mitigation and greatly reduce the loss of life and material in case of natural disasters. Disaster management is unfortunately seen as the provision of relief rather than the management of all phases of a disaster situation or long-term management of risk. The situation strongly advocates the need for a disaster management structure, a comprehensive preparedness and mitigation strategy, as well as a mitigation policy in order to better manage and coordinate activities of the various line ministries and departments and civil society. There is also a need for research on traditional and current coping mechanisms and on sustainable community approaches to disaster reduction.


Food Security

The most immediate crisis in the flood disaster was providing cooked food and shelter to millions of displaced families. In September, the UN estimated 10 million people in KPK, Punjab, Balochistan and Sindh in need immediate food assistance. Various local and international relief agencies were successful in providing some 7.5 million people with food assistance in over 60 affected districts. In November 2010, over 75,000 metric tons of food was distributed to 5.7 million people across Pakistan through the World Food Program. The WFP plans to gradually reduce the amount of food aid over a six-month period; 6.1 million people will be provided with food during the December-January period and thereafter recipient numbers will reduce to 4.2 million in February and to 2.1 million by July 2011.

The Watan card: cash transfers

Out of the 18.1 million people affected by the floods, the National Disaster Management Authority identified 1.5 million to receive cash-transfer ATM cards that would provide a first tranche of Rs.20,000 (about $233) to each selected individual, and subsequent tranches of up to Rs.100,000. As of December 21st, NDMA reported that 1.3 million cards and approximately Rs.25 bn disbursed. In spite of promises of future tranches, newspapers reported in November that many people were selling their Watan cards for anywhere between Rs.30,000 to Rs.50,000. While some instances of mismanagement were reported (the NDMA set up a complaints cell for beneficiaries), many instance of successful disbursement were reported as well. Without a full assessment it is difficult to judge how effective these cash transfers have been, however, the Watan card scheme proves that existing infrastructure in rural areas (such as the successful mobile banking model) can be used to facilitate reconstruction and rehabilitation processes.

Humanitarian aid and commitments

As of 28th December 2010, the UN Office for Coordination of Humanitarian Affairs (UNOCHA) reports that 51% of Pakistan’s total humanitarian aid requirements have been contributed or committed by various donors. Amongst the most poorly-funded sectors are Camp coordination and management, at 8%, Education, at 9 %, Shelter and non-food items at 20% and WASH (Water, Sanitation and Hygiene) at 29%. These figures were updated to show a revised need of 1.9bn US dollars, against a commitment of $979 million. Nearly all of the ask amount has been committed through bilateral aid but it is evident that about half of it has yet to come through. For example, while UNOCHA reports $651 million currently committed by the United States’ development agency, USAID’s own figures report that over $203 million will be disbursed in the next fiscal year.

Relief Camps and IDPs

The UNHCR reports approximately 128,000 people who remain displaced across 234 relief camps in Sindh. A majority of the affected population in Sindh (upto 88%) have returned to their homes. At the height of the floods more than 1 million people were living in camps in Sindh. These figures do not include spontaneous camps set up near towns and villages – what are termed “secondary displacement sites” by the UN agency. According to the Camp Coordination and Camp Management Cluster, many of Sindh’s secondary displacement sites will remain active throughout the winter months.

Current status: looking towards agricultural outputs, and weathering the winter

At the end of 2010, a full five months after the first banks burst in the north of Pakistan, some 421,000 hectares of land east of the Indus River in the south remain underwater. Assessments indicate that while soil fertility has increased in the north, farmers may be using inadequate amounts of fertilizer and have not repaired damaged canals and waterways. Agriculture experts are expecting a large degree of variation in the Spring wheat crop. To assist farmers in meeting the sowing deadline this year, the FAO distributed seeds and fertilizer to 0.4 million targeted households in KP, Baluchistan and Punjab. Additionally, cash-for-work programs are being initiated to facilitate the rehabilitation of irrigation infrastructure.

With the onset of winter, it is evident that millions of families remain without homes and shelter. For one thing, thousands of IDPs still living in makeshift shelters in Sindh will likely spend the cold months outdoors. As of December 21, only 47% of the 1.7 million families estimated to have severely damaged or destroyed homes had been provided with makeshift shelter. The USAID’s December 28th report states the priorities for the Shelter Cluster team are to provide emergency shelter to families in need of immediate assistance, transitional shelter to families unable to return home and one-room facilities for people who have returned to destroyed or severely damaged homes. The Shelter Cluster plans to build more than 85,000 early recovery structures in the coming months. Additionally, about a million blankets have been distributed countrywide by the IOM, in anticipation of the winter months.

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