Mr Kejriwal, private monopolies are evil, but are public monopolies any better?

The Aam Admi Party is actually not against privatisation, Aam Aadmi Party chief Arvind Kejriwal has clarified. The party is only against monopolies. His comment is significant given his actions during his brief chief ministership in Delhi had created a diametrically opposite impression. And the private sector has been looking at him with suspicion.

But, Kejriwal has now reiterated his stand and said that his party not against privatisation.

In an exclusive interviewwith Network18’s Sanjay Pugalia, Kejriwal said, “Privatisation shouldn’t be done with a sweeping brush. We should get private companies only where there is need for competition.”

However, Kejriwal said that private players should not be allowed in sectors where there is monopoly. “Private players will become a bigger evil than the government in those sectors,” he said.

Kejriwal said that the Aam Aadmi Party will support government’s disinvestment plan, but only selectively. Kejriwal said that the government has divested profit making entities instead of loss making ones.“All the profitable entities like Navaratna were disinveted,” he said. Kejriwal also said the divestment process in itself leads to corruption.

Asked about how the government should create jobs, Kejriwal said Indians are talented and instead of dampening their spirits they should be allowed to do the kind of business they want to.

“India is a country of entreprenuers. Even a rickshaw puller or a farmer is a businessman,” he said.Kejriwal said jobs can be created only when people are allowed to do what they want to. “There are many people who wants to do honest business,” he added.

He also clarified that he has nothing against the corporate sector but he is against the ’evils of the corporate sector.’ “We are against crony capitalism.”

With this interview, there seems to some light on the AAP’s economic agenda. Earlier, in an interview to Business Standard, AAP leader Prashant Bhushan said that in areas of food, education and health, government needs to be there as the poor may not be able to afford it at market price.

So, even if Kejriwal says that his party is not against privatisation, he clearly won’t let private players enter the public utility sectors.But thequestion is: if private monopolies are bad, are public monopolies good?