Industry chamber Ficci and CII on Thursday said though auction was the “most preferable” way for allocating natural resources for commercial purpose, the government could look at alternatives.
The submissions came in response to questions by the Supreme court on the presidential reference moved by the Centre seeking the court’s opinion on issues arising out of the 2G spectrum allocation judgement, including whether auctioning of natural resources in all sectors was mandatory.
SC had sought response from industry chambers to Federation of Indian Chambers of Commerce and Industry (Ficci) and Confedeartions of Indian Industry (CII) in May on the questions, including whether auctioning of natural resources across all sector is mandatory.
In its response, Ficci said, “While auctions are a valuable method,they are not the only methods and can be complemented with various other methods such as, the first-come-first-serve preferential method of grant, concessions based on nominations, private negotiations/ treaties, discretion by the State entities, draw of lots, and even the creation of state sponsored monopolies (such as in the case of forests).” CII echoed similar views on considering other options.