The Federation of Indian Chambers of Commerce and Industry (FICCI) has welcomed the Supreme Courts judgement on presidential reference in the 2G case.
In a statement, Sidharth Birla, vice-president, FICCI, says, While we have yet to read the full judgement, but prima facie FICCIs stand on allocation of natural resources is today vindicated by the Supreme Court. We are now looking forward to a more predictable policy environment for allocation of natural resources as many projects were pending for the want of clear direction on allocation principles for natural resources in the wake of this judgement
In the affidavit filed in the Supreme Court, FICCI has submitted that auctions can play a valuable role in the price discovery process when price discovery is the sole consideration while selling such resources. Birla adds, However, we had also said that while an auction is indeed a valuable method of allocating natural resources, it is not the only method and can be complemented with various other allocation methods.
FICCI is hopeful that subsequent to this judgement, irrespective of the method followed, essential criteria namely transparency, a clear regulatory and licensing framework and non-discretionary procedures are adhered to so as to obtain the maximum benefit arising from the allocation of nation’s wealth of natural resources.
