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Editorials/Opinions Analysis For UPSC 12 August 2024

CONTENTS Populism will not let Food Subsidy Reforms Take Off Implications of Upheaval in Bangladesh on its Trade Relations Relations with India Populism will not let Food Subsidy Reforms Take Off Context: In the Budget presented by Union Finance Minister on July 23, 2024, the government set the budget estimate (BE) for food subsidy in FY 2024-25 at Rs 205,250 crore, which aligns with the figure provided in the interim Budget. Over the last five years, the Central government’s expenditure on food subsidy has consistently exceeded Rs 200,000 crore each year: Rs 529,000 crore in 2020-21, Rs 372,000 crore in 2021-22, Rs 287,000 crore in 2022-23, Rs 211,394 crore in 2023-24, and Rs 205,250 crore (BE) in 2024-25. Relevance: GS3- Major Crops – Storage, Transport and Marketing of Agricultural Produce and Issues and Related Constraints Issues related to Direct and Indirect Farm Subsidies and Minimum Support Prices Public Distribution System – Objectives, Functioning, Limitations, Revamping Issues of Buffer Stocks and Food Security Mains Question: Over the last five years, the Central government’s expenditure on food subsidy has consistently exceeded Rs 200,000 crore each year. In this context, discuss the challenges associated with India’s food subsidy system and suggest a way forward strategy to deal with them. (15 Marks, 250 Words). Analysing the Estimate: Although budget estimate (BE) for food subsidy is slightly less than the revised estimate (RE) of Rs 211,394 crore for FY 2023-24, it offers little reassurance, as the RE for any financial year often exceeds the BE. For instance, while presenting the budget for FY 2023-24, the Finance Minister had initially allocated Rs 197,000 crore for food subsidy. However, the RE ended up being Rs 14,394 crore higher. For FY 2024-25, food subsidy will constitute 4.2 percent of the total budget (Rs 4,820,000 crore), 5.5 percent of revenue expenditure (Rs 3,709,000 crore), and nearly 8 percent of the estimated net tax receipts (Rs 2,583,000 crore). Controlling the Food Subsidy Expenditure: Controlling food subsidy expenditure is as crucial as achieving its primary objective, which is to ensure ‘food security.’ An unchecked increase in food subsidy can lead to an unsustainable rise in the fiscal deficit (the gap between total receipts and total expenditure), potentially harming the economy through high inflation, increased interest rates, slower growth, fewer jobs, and lower incomes. This could create a demand for more financial assistance, including food subsidies, thereby worsening the cycle. There is significant potential to reduce food subsidies. To evaluate this, it’s essential to first understand how the subsidy is administered. How is the Subsidy Administered? Under the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY), the Centre directs the Food Corporation of India (FCI) and other state agencies to procure food from farmers at the minimum support price (MSP) and distribute it for free to approximately 820 million people. The entire cost, which includes the MSP paid to farmers along with handling and distribution costs (HDC), is reimbursed to the FCI and other state agencies as a subsidy. This funding comes from the Union Budget’s allocation for ‘food subsidy.’ The PMGKAY has been in place since January 1, 2023, but before that, the Centre provided food to 820 million people (7 kg of cereals per person per month for 120 million of the poorest individuals under the Antyodaya Anna Yojana or AAY families, and 5 kg per person per month for the remaining 700 million) at highly subsidized rates of Rs 2/3/1 per kg for wheat/rice/coarse cereals under the National Food Security Act (NFSA). Additionally, from April 2020, the government distributed 5 kg of food per person per month for free to all 820 million beneficiaries under PMGKAY to mitigate the impact of the Covid-19 pandemic. Starting January 1, 2023, the free component of PMGKAY was merged with the regular food security programs under NFSA. Now, under the new version of the NFSA, food is available for free to all 820 million beneficiaries through PMGKAY. This arrangement will continue for five years until the end of 2028, as announced by Prime Minister Narendra Modi in November 2023. Potential Savings in Subsidy: Fundamentally, subsidized food is intended for the poor, who constitute no more than 15-20 percent of India’s population. However, the PMGKAY currently covers 820 million beneficiaries, which accounts for nearly 59 percent of the population. According to the Shanta Kumar Committee (2015), the number of people eligible for subsidized food under NFSA should not exceed 40 percent of the population. This excess coverage of 19 percent translates to around 270 million individuals. Additionally, according to a recent Niti Aayog report, 250 million people have risen out of poverty during the last nine-and-a-half years under the current government. These individuals could be removed from the list of beneficiaries. A rough calculation shows that providing free food to one million people requires a subsidy of Rs 200 crore annually. Excluding 250 million people could save Rs 50,000 crore. The current list of 820 million beneficiaries is based on the 2011 Census, but the Supreme Court (SC) has directed the Centre to consider the population as of 2021. On this basis, an additional 100 million people may need to be provided with free food. That would cost Rs 20,000 crore, but even after accounting for this, the government could still save Rs 30,000 crore annually. Associated Concerns: Should Every Beneficiary Receive Free Food? The Shanta Kumar Committee recommended that non-AAY beneficiaries should pay 50 percent of the MSP. Other than AAY beneficiaries, there are 700 million people. Subtracting the 250 million who shouldn’t receive a subsidy and adding 100 million as per the Supreme Court’s order, we have 550 million people. Charging them 50 percent of the MSP, or Rs 11.4 per kg (for wheat), would result in annual savings of Rs 37,600 crore. The NFSA legislation, enacted in 2013, required beneficiaries to pay Rs 2/3/1 per kg for wheat/rice/coarse cereals, with these rates frozen for three years. Since 2016, there has been no legal restriction on increasing these prices. However, rather than raising the prices, the government reduced them to zero. Are all 820 million beneficiaries so impoverished that they can’t afford even a fraction of the cost (Rs 2 per kg of wheat is only 1/15th of the actual cost)? Even charging a nominal Rs 1 per kg could save Rs 5,000 crore annually. ‘Open-Ended’ Procurement System: Fourth, the original intent of the scheme was for FCI and other agencies to purchase only the quantities needed to meet beneficiaries’ requirements under NFSA, plus maintain a ‘strategic’ buffer for emergencies. It was never intended to be an ‘open-ended’ procurement system, which it has become today. This approach has contributed to unnecessary increases in subsidies and storage issues. Avoiding open-ended purchases could result in significant savings. Other Issues: Currently, FCI and state agencies are reimbursed for handling and distribution costs (HDC) on an ‘actual’ basis, which allows for inefficiencies and cost padding. The stories of loaders receiving exorbitant salaries from FCI are still fresh in memory. Switching from ‘actual’ to ‘normative’ reimbursement could save a substantial amount in subsidies. The availability of around 60 million tons of food (the quantity distributed under PMGKAY) in the supply chain at zero cost is an open invitation for dubious operators to divert and sell it on the open market for profit. The PDS scam in West Bengal, involving the diversion of subsidized food grains worth tens of thousands of crores, currently under investigation by central agencies, is a prime example. This could be curbed by providing the subsidy directly to beneficiaries through the DBT (Direct Benefit Transfer) system. Conclusion: The potential for reducing food subsidies is vast. The government can implement any of these measures or all of them, depending on the level of savings it aims to achieve. However, under the current political climate, the government is unlikely to take even a small step like charging a nominal price of Rs 1 per kg. Implications of Upheaval in Bangladesh on its Trade Relations Relations with India Context: Since Sheikh Hasina assumed office as the Prime Minister of Bangladesh in 2009, the country has emerged as a crucial ally of India. Her leadership has brought about substantial progress in bilateral relations, particularly in areas such as infrastructure development, connectivity, and trade. However, the recent political turmoil in Bangladesh has sparked concerns regarding the future of this vital partnership. Relevance: GS2- India and its Neighborhood- Relations Mains Question: The sudden turn of events in Bangladesh have raised concerns about the potential impact on trade, economic stability, and the broader geopolitical dynamics in the context of India- Bangladesh ties. Discuss. (10 Marks, 150 Words). Political Crisis in Bangladesh: On January 8, 2024, Sheikh Hasina announced that her top priority for the next five years would be to boost Bangladesh’s economy. Despite these ambitions, by August 2024, the country was gripped by widespread and violent protests over a quota system for government jobs, which triggered a severe domestic political crisis. As the situation worsened, Sheikh Hasina stepped down from her position and sought refuge in India, raising serious questions about Bangladesh’s stability and the potential repercussions for Indo-Bangladesh relations. The Evolution of Indo-Bangladesh Relations: Over the past decade, India and Bangladesh have cultivated a robust economic partnership, with infrastructure and connectivity projects serving as the cornerstone of their relationship. Since 2016, India has provided Bangladesh with $8 billion in credit to support the development of critical infrastructure, including roadways, railways, shipping routes, and ports. These investments have been pivotal in enhancing connectivity and fostering closer ties between the two nations. In addition to infrastructure, the two countries have collaborated in various sectors, including medical tourism, business expansion, and the international garment trade. Bangladesh, a significant player in the global garment industry, depends heavily on cotton imports from India to sustain its production. The textile and garment sectors are especially important, accounting for 56% of Bangladesh’s total exports to India, underscoring the country’s role as a key trading partner in South Asia. The financial year 2023-24 saw bilateral trade between India and Bangladesh reach an impressive $13 billion, as reported by the Union Ministry of Commerce. This figure highlights the deep economic integration between the two countries and the mutual benefits derived from their close cooperation. However, the recent political instability in Bangladesh could pose a threat to this flourishing partnership, raising concerns about the future trajectory of Indo-Bangladesh relations.  As the situation unfolds, both nations will need to navigate these challenges carefully to preserve the gains made over the past decade and ensure continued collaboration in the years to come. The Impact on Trade: Under Sheikh Hasina’s leadership, trade between India and Bangladesh experienced significant growth, resulting in a substantial trade surplus for India. However, the ongoing political unrest in Bangladesh poses a serious threat to this economic partnership. The civil disturbances and deteriorating economic conditions have raised security concerns that could disrupt Indian exports, commercial activities, and infrastructure projects in Bangladesh. One of the major challenges lies in the area of bilateral trade. After reaching $12.21 billion in 2022-23, India’s exports to Bangladesh declined to $11 billion in 2023-24. Similarly, Bangladesh’s imports from India decreased from $2 billion in the previous fiscal year to $1.84 billion in the most recent year. Indian exporters are increasingly worried about the instability in Bangladesh, fearing that the ongoing crisis could have a detrimental effect on commerce between the two countries. A critical issue contributing to these trade disruptions is the severe dollar shortage in Bangladesh. According to the Global Trade Research Initiative (GTRI), this scarcity has already significantly limited Bangladesh’s ability to import goods, particularly from India. The reduced availability of foreign currency is straining the country’s capacity to meet its import needs, which in turn is affecting trade volumes between the two nations. Uncertainty Surrounding the Free Trade Agreement: In October 2023, India and Bangladesh explored the possibility of a free trade agreement (FTA) during a Joint Working Group (JWG) on Trade meeting held in Dhaka. An FTA could simplify regulations, encourage investment, and boost commerce by potentially removing customs tariffs, thereby enhancing trade between the two countries. According to a 2012 World Bank working paper, a full-product FTA could increase Bangladesh’s exports to India by as much as 182%, while a partial FTA might still achieve a 134% growth. Such an agreement would not only bolster Bangladesh’s trade and transport infrastructure but also significantly strengthen its commercial links, leading to a considerable rise in exports. However, the current political crisis has cast a shadow of uncertainty over the future of these FTA discussions. With Sheikh Hasina’s resignation, the momentum behind the FTA may slow down or even come to a halt. This could stall the expansion of trade and commerce between the two nations, particularly in new and emerging sectors. The potential benefits of the FTA, such as increased market access, reduced trade barriers, and enhanced economic cooperation, now hang in the balance as both countries navigate the uncertainties brought on by Bangladesh’s internal turmoil. The political instability in Bangladesh thus presents a dual challenge: not only does it threaten the immediate trade relations between India and Bangladesh, but it also puts at risk long-term strategic initiatives like the FTA that could have greatly benefited both economies. The outcome of this crisis will be crucial in determining the future trajectory of Indo-Bangladesh economic relations. Challenges for the Textile and Garment Industry: The ongoing political crisis in Bangladesh threatens to severely impact several key sectors, with the textile and garment industry being one of the most vulnerable. In the fiscal year 2021-2022, Bangladesh exported garments worth $42.613 billion, establishing itself as the second-largest apparel exporter in the world. However, recent incidents, including the burning of factories, have cast a shadow over the future of this critical industry. Many of these textile units are owned by traders with ties to the Awami League Party, making them prime targets amidst the current political unrest. The disruption in Bangladesh’s garment sector could have far-reaching consequences, not just for the country but also for global supply chains. The instability is creating uncertainty for international buyers who rely on Bangladesh’s vast garment manufacturing capabilities. This could lead to delays, cancellations, and a loss of confidence among global retailers who have long depended on Bangladesh for affordable and high-quality apparel. India, with its robust textile and garment industry, could potentially step in to fill the gap left by Bangladesh. As a neighboring country with a well-established manufacturing base, India is well-positioned to supply garments to developed economies if Bangladesh’s production falters. However, there are significant challenges to this shift. Bangladesh enjoys the benefits of being classified as a Least Developed Country (LDC), which allows its exports to enter many markets with zero-duty advantages. In contrast, Indian goods often face tariff barriers, making them less competitive in the global market. If the political situation in Bangladesh leads to prolonged border closures or the suspension of duty-free export-import activities, there could be an increased demand for Indian garments. However, the complexities of global trade mean that any shift in demand may not be immediate or straightforward. Indian exporters would need to navigate tariff barriers, establish new supply chains, and possibly adjust pricing strategies to remain competitive in markets that have been dominated by Bangladesh. Moreover, while India could benefit from increased demand in the short term, the long-term implications are uncertain. The instability in Bangladesh could also lead to shifts in global sourcing strategies, with buyers diversifying their supplier base to reduce dependence on any single country. This could create opportunities for other garment-producing nations as well, further complicating the landscape for Indian exporters. Conclusion: While there is potential for India to capitalize on the disruptions in Bangladesh’s textile and garment industry, the situation remains fluid. The advantages that Bangladesh currently enjoys as an LDC, coupled with the uncertainties surrounding the crisis, make it difficult to predict the exact opportunities and gains that might emerge. The coming months will be crucial in determining how the textile and garment industry in South Asia evolves in response to these challenges.

Daily Current Affairs

Current Affairs 12 August 2024

CONTENTS India Names Underwater Structures in the Indian Ocean Mahatma Gandhi National Rural Employment Guarantee Scheme Great Barrier Reef Clean Plant Programme Allegations of Conflict of Interest at SEBI Amid Adani Investigation Ceropegia Shivrayiana Hoverflies India Names Underwater Structures in the Indian Ocean Context: India has recently named three significant underwater structures in the Indian Ocean as Ashoka, Chandragupt, and Kalpataru. These names reflect the nation’s expanding role in marine science and its dedication to exploring and understanding this crucial body of water. The proposal for these names came from India and received approval from the International Hydrographic Organization (IHO) and UNESCO’s Intergovernmental Oceanographic Commission (IOC), highlighting a collaborative effort in maritime naming and research. This move underscores India’s strategic interest and active participation in oceanographic studies. Relevance: GS I: Geography Dimensions of the Article: Underwater Structures Related to the Indian Southern Ocean Research Programme: Historical Figures – Ashoka and Chandragupta Maurya: International Hydrographic Organization (IHO) UNESCO’s Intergovernmental Oceanographic Commission (IOC) Underwater Structures Related to the Indian Southern Ocean Research Programme: Initiation and Oversight: Launched in 2004, this research is coordinated by the National Centre for Polar and Ocean Research (NCPOR). Research Focus: It investigates bio-geochemistry, biodiversity, and hydrodynamics among other oceanic phenomena. Structure Names: A total of seven underwater structures, including recent additions in the Indian Ocean, bear names predominantly derived from notable Indian scientists or other names suggested by India. Previously Identified Structures: Raman Ridge: Identified in 1951 by a US oil vessel and recognized in 1992, this ridge honors Physicist and Nobel Laureate Sir CV Raman. Panikkar Seamount: Discovered by the research vessel Sagar Kanya in 1992 and named in 1993, this feature is dedicated to NK Panikkar, a distinguished oceanographer. Sagar Kanya Seamount: Named following its discovery during the 22nd cruise of the research vessel Sagar Kanya in 1986. DN Wadia Guyot: Named in 1993 after geologist DN Wadia following its discovery in 1992. Recently Designated Structures: Ashoka Seamount: Found in 2012 and mapped as an oval structure covering about 180 sq km, this was identified with assistance from the Russian vessel Akademik Nikolay Strakhov. Kalpataru Ridge: Discovered in 2012, this ridge spans approximately 430 sq km and is recognized for its potential contribution to marine biodiversity. Chandragupt Ridge: A long structure covering 675 sq km, discovered in 2020 by the Indian research vessel MGS Sagar. Historical Figures – Ashoka and Chandragupta Maurya: Chandragupta Maurya (350–295 BCE): Founder of the Maurya dynasty, he established a vast empire based in Magadha, utilizing strategic guidance from his advisor Chanakya (Kautilya) to overthrow the Nandas. Later, he renounced his throne to follow Jain teachings under Bhadrabahu. Ashoka: Known as the third monarch of the Mauryan dynasty, ruling around 269 BC, Ashoka is celebrated for his propagation of Dhamma and the expansion of Buddhism. His reign is distinctly marked by his edicts engraved on rocks and pillars, identifying him as Priyadasi and Devanampiya. International Hydrographic Organization (IHO) Established in 1921, the IHO serves as an intergovernmental body focusing on improving navigation safety and marine environmental protection. India is an active member of the IHO, contributing to its various initiatives. Primary Objectives: Coordination: Oversees the activities of national hydrographic offices to ensure coherence and cooperation. Standardization: Aims for the highest uniformity in nautical charts and documents. Methodological Advancements: Promotes the use of reliable and efficient methods in hydrographic surveys. Scientific Progression: Advances the field of hydrography and descriptive oceanography techniques. UNESCO’s Intergovernmental Oceanographic Commission (IOC) The IOC enhances global cooperation in marine sciences and supports developments in ocean observation, science, tsunami warnings, and promotes ocean literacy. With 150 member states including India (a member since 1946), the IOC plays a crucial role in forwarding UNESCO’s mission to foster science and its applications towards societal benefits. Coordinates the United Nations Decade of Ocean Science for Sustainable Development (2021-2030), also known as the “Ocean Decade,” aiming to bolster ocean science and sustainability. -Source: Indian Express Mahatma Gandhi National Rural Employment Guarantee Scheme Context: According to the Ministry of Rural Development, work demand under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) fell sharply in July 2024. Relevance: GS III: Indian Economy Dimensions of the Article: Implications of Reduced Demand for MGNREGS Work Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) Implications of Reduced Demand for MGNREGS Work Overview of Trends: In July 2024, about 22.80 million individuals registered for work under MGNREGS, marking a 21.6% decrease from July 2023. This group represented 18.90 million households, showing a 19.5% annual reduction and a 28.4% drop from the previous month, June 2024. Geographical Variation: Notably, states like Tamil Nadu, Andhra Pradesh, Karnataka, and Telangana observed lower work demand submissions in July 2024. Economic Growth Influence: A decline in MGNREGS work demand typically indicates improved employment opportunities elsewhere, correlating with robust economic performance. FY 2023-24 recorded a higher-than-expected economic growth of 8.2%. Global Economic Position: The IMF forecasts India to be the fastest-growing significant economy with projected growth rates of 7% for FY 2024-25 and 6.5% for 2025-26, surpassing global averages. Agricultural Factors: The monsoon season generally prompts a mass migration of rural workers back to agricultural activities, thus decreasing reliance on MGNREGS during good rainfall periods. In July 2024, abundant rains compensated for a prior 11% rainfall deficit experienced in June, further reducing the demand for MGNREGS-driven employment. Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) Mahatma Gandhi National Rural Employment Guarantee Act, MGNREGA, is an Indian labour law and social security measure that aims to guarantee the ‘right to work’. This act was passed in September 2005. It aims to enhance livelihood security in rural areas by providing at least 100 days of wage employment in a financial year to every household whose adult members volunteer to do unskilled manual work. It covers all districts of India except the ones with 100% urban population. MGNREGA is to be implemented mainly by gram panchayats (GPs). The involvement of contractors is banned. Apart from providing economic security and creating rural assets, NREGA can help in protecting the environment, empowering rural women, reducing rural-urban migration and fostering social equity, among others. How MGNREGA came to be? In 1991, the P.V Narashima Rao government proposed a pilot scheme for generating employment in rural areas with the following goals: Employment Generation for agricultural labour during the lean season. Infrastructure Development Enhanced Food Security This scheme was called the Employment Assurance Scheme which later evolved into the MGNREGA after the merger with the Food for Work Programme in the early 2000s. Features of MGNREGA It gives a significant amount of control to the Gram Panchayats for managing public works, strengthening Panchayati Raj Institutions. Gram Sabhas are free to accept or reject recommendations from Intermediate and District Panchayats. It incorporates accountability in its operational guidelines and ensures compliance and transparency at all levels. Objectives of MGNREGA Provide 100 days of guaranteed wage employment to rural unskilled labour Increase economic security Decrease migration of labour from rural to urban areas. -Source: Economic Times Great Barrier Reef Context: Ocean temperatures in the Great Barrier Reef hit their highest level in 400 years over the past decade. The reef suffered mass coral bleaching events between 2016 and 2024. Relevance: Environment and Ecology (Conservation of Environment and Ecology, Environmental Pollution and Degradation) Dimensions of the Article: Research Findings on Coral Reefs Great Barrier Reef About Coral Reefs Research Findings on Coral Reefs: Extent of Bleaching: Aerial assessments identified significant bleaching across two-thirds of over 300 reefs surveyed along Australia’s northeast coast, particularly in shallow water regions. Global Threat to Coral Reefs: Even with adherence to the Paris Agreement’s objectives, an estimated 70% to 90% of coral reefs worldwide remain at risk. Adaptation and Loss: Over the last 25 years, coral reefs have adapted to increasing temperatures by evolving more heat-resistant varieties. Despite these adaptations, there’s a looming threat of substantial decreases in both the diversity and the spatial extent of these crucial marine ecosystems. Great Barrier Reef The Great Barrier Reef, located in the Coral Sea (North-East Coast), off the coast of Queensland, Australia, is the world’s most extensive and spectacular coral reef ecosystem composed of over 2,900 individual reefs and 900 islands. This reef structure is composed of and built by billions of tiny organisms, known as coral polyps which are tiny, soft-bodied organisms and their base which is a hard, protective limestone skeleton called a calicle, forms the structure of coral reefs. It was selected as a World Heritage Site in 1981. About Coral Reefs Indonesia has the largest coral reef area in the world and the Great Barrier Reef of the Queensland coast of Australia is the largest aggregation of coral reefs. India, Maldives, Sri Lanka and Chagos have the maximum coral reefs in South Asia. Coral Reefs protect humanity from natural calamities acting as a barrier, provide revenue and employment through tourism and recreation and also provide habitats for fishes, starfish and sea anemones. Coral blocks are used for buildings and road construction, the lime supplied by corals is used in cement industries and coral reefs may also be used in jewellery. India has four coral reef areas: Gulf of Mannar, Andaman and Nicobar Islands, Lakshadweep islands Gulf of Kutch. Risks and threats to coral reefs Due to anthropogenic activities such as coastal development, destructive fishing methods and pollution from domestic and industrial sewage. Due to increased sedimentation, over-exploitation and recurring cyclones. Coral diseases such as black band and white band due to infectious microorganisms introduced by the human population that live on the coastal regions. -Source: The Hindu Clean Plant Programme Context: The Cabinet has approved the Clean Plant Programme (CPP), with an outlay of Rs 1,766 crore, under the Mission for Integrated Development of Horticulture (MIDH). Relevance: GS III: Environment and Ecology Dimensions of the Article: Clean Plant Programme for Enhancing Horticulture Mission for Integrated Development of Horticulture (MIDH) The Horticulture Sector in India: An Overview Clean Plant Programme for Enhancing Horticulture Under Prime Minister Modi’s leadership, the Union Cabinet sanctioned the Clean Plant Programme (CPP) with a financial commitment of Rs 1,766 crore. This initiative is designed by the Ministry of Agriculture and Farmers Welfare to significantly advance the quality and productivity of India’s fruit crops. The programme was initially disclosed during the budget presentation by the Finance Minister in February 2023, highlighting its focus on addressing viral infections in horticultural crops to improve both yield and quality. Implementation Strategy: The National Horticulture Board, in collaboration with the Indian Council of Agricultural Research (ICAR), will oversee the execution of the CPP. Primary Components: Development of nine state-of-the-art Clean Plant Centres (CPCs) throughout India, featuring sophisticated diagnostic and tissue culture laboratories. Establishment of a stringent certification system as per the Seeds Act 1966. Additional Features: The CPP will extend substantial infrastructure support to large-scale nurseries to promote the efficient propagation of disease-free planting materials. Ensuring equitable access to these clean plant materials for all farmers, irrespective of their farm size or economic background, is a priority. The initiative will include active participation from women farmers in both planning and execution phases. Anticipated Benefits: Farmers, nurseries, and consumers are expected to benefit significantly from the program, potentially boosting India’s agricultural exports. The availability of virus-free, superior-quality planting materials is projected to enhance farm yields and increase agricultural income. The CPP aims to reinforce India’s stature as a prominent fruit exporter globally, building on a decade of substantial growth in horticultural exports, which now exceed Rs 50,000 crore. This programme is aligned with the Mission LiFE and One Health initiatives, advocating for sustainable and eco-friendly farming practices while diminishing reliance on imported planting resources. Mission for Integrated Development of Horticulture (MIDH) Framework and Coverage: Initiated in 2014-15, MIDH is a centrally sponsored initiative aimed at fostering comprehensive growth in the horticulture sector. It encompasses a wide array of horticultural commodities including fruits, vegetables, root and tuber crops, as well as non-traditional categories such as mushrooms, spices, flowers, and certain cash crops like coconut, cashew, and cocoa. Support and Collaboration: MIDH offers technical guidance and administrative assistance to State Governments and State Horticulture Missions (SHMs) specifically for projects like the Saffron Mission and integrates with broader agricultural initiatives like the Rashtriya Krishi Vikas Yojana (RKVY) and the National Mission for Sustainable Agriculture (NMSA). Goals and Objectives: The mission is dedicated to improving crop yields and quality through superior planting materials and advanced resource management techniques. It aims to mitigate post-harvest losses by enhancing infrastructure for storage, processing, and marketing to secure better returns for farmers. MIDH promotes sustainable agricultural practices, including organic farming and integrated pest management, to foster eco-friendly farming. The initiative includes extensive training and support for farmers to upgrade horticultural practices and boost economic outcomes. It seeks to reinforce the agricultural supply chain to ensure more robust market access both domestically and internationally. The Horticulture Sector in India: An Overview Scope and Contribution: Horticulture in India encompasses the cultivation of a vast array of produce including fruits, vegetables, spices, and ornamental as well as medicinal and aromatic plants. This sector contributes approximately 33% to the Agricultural Gross Value Added (AGVA) of the Indian economy, making India the second-largest producer of fruits and vegetables globally, next to China. Production Insights for 2023-24: The total horticultural output for the year is projected at 352.23 million tonnes, marking a slight decline of 0.91% from the previous year. Despite the overall decrease, there has been notable production growth in specific categories such as fruits, honey, flowers, and other plantation crops. Detailed figures include: Fruits: Estimated production of 112.63 million tonnes with increases observed in bananas, lime/lemon, mango, guava, and grapes. Vegetables: Production tallied at 204.96 million tonnes. Tomatoes: Recorded a production of 208.19 lakh tonnes, up by 1.93% from the previous year. -Source: Indian Express Allegations of Conflict of Interest at SEBI Amid Adani Investigation Context: Hindenburg Research has raised allegations suggesting that the chairperson of the Securities and Exchange Board of India (SEBI), Madhabi Puri Buch, held stakes in offshore companies allegedly involved in the Adani money syphoning scandal. This revelation comes at a time when Buch is tasked with investigating claims of malfeasance and stock price manipulation within the Adani group, initially flagged by Hindenburg Research 18 months ago. These developments have sparked concerns about potential conflicts of interest at the helm of India’s securities regulator, adding layers of complexity to the ongoing investigation into the Adani group. Relevance: GS III: Indian Economy Dimensions of the Article: Hindenburg Research 2023 Hindenburg Research Report on Adani Group SEBI’s Scrutiny of Adani Group Hindenburg Research’s Observations on SEBI Conflict of Interest Discussion Hindenburg Research Nature and Origin: Hindenburg Research is an investment research entity based in the U.S., established by Nathan Anderson in 2017. The organization draws its name from the infamous 1937 Hindenburg disaster, symbolizing its focus on uncovering man-made financial disasters. It specializes in forensic financial analysis, investigating accounting discrepancies, unethical business operations, and non-disclosed financial activities. Notable Investigations: Their scrutiny into Nikola, an electric vehicle manufacturer, resulted in a legal consequence where a U.S. jury imposed a $125 million fine on the company for misleading practices. 2023 Hindenburg Research Report on Adani Group Key Allegations: The report accuses Gautam Adani of inflating stock prices across seven listed companies, adding $100 billion to the group’s market valuation since 2020. It claims Gautam Adani’s brother, Rajesh Adani, despite previous arrests for forgery and tax fraud, ascended to the position of managing director. Allegations extend to another brother, Vinod Ambani, purportedly managing 37 shell companies integral to alleged money laundering operations. SEBI’s Scrutiny of Adani Group Progress and Controversy: SEBI’s probes into Adani Group’s financial dealings have been inconclusive. Reports emerged of Hindenburg Research sharing its findings with a New York-based hedge fund manager, which SEBI critiqued as potentially stifling legitimate queries about corruption. Hindenburg denied these allegations, asserting their independence. Supreme Court’s Stance: India’s Supreme Court declared that it wouldn’t interfere with SEBI’s jurisdiction concerning the Hindenburg allegations against Adani. Hindenburg Research’s Observations on SEBI Accusations Against SEBI Leadership: The report implicates SEBI Chief Madhabi Buch and her spouse, suggesting prior investments in offshore entities connected to Vinod Ambani, hinting at potential conflicts of interest that may affect impartial regulatory actions. Both Madhabi Buch and her husband countered these claims, maintaining their innocence and ethical integrity. Conflict of Interest Discussion Government and Public Response: Opposition demands underscore the urgency for the government to eradicate all potential conflicts of interest within SEBI’s operations concerning the Adani case. Conflicts of interest are flagged when personal benefits potentially skew professional judgment or decision-making. Strategies for Managing Conflicts of Interest: Proactive establishment of processes to handle potential conflicts, transparent disclosure, and comprehensive training for directors are advocated to maintain ethical governance. According to the Companies Act 2013, directors are obliged to avoid any situation that might lead to a direct or indirect conflict of interest, ensuring integrity and accountability in corporate governance. -Source: The Hindu Ceropegia Shivrayiana Context: Recently, a new flowering plant species from the ‘ceropegia’ genus has been discovered inside the Vishalgad premises in Maharashtra and named it as Ceropegia Shivrayiana. Relevance: Facts for Prelims Ceropegia Shivrayiana Overview Named in honor of Chhatrapati Shivaji Maharaj, this flowering plant species was found at the historic Vishalgad Fort. The plant features distinctive tubular flowers designed to attract moths for pollination. Thrives in rocky terrains and can grow in soils with low nutritional content. Part of the Asclepiadaceae family, which includes several medicinal plants with notable ecological benefits. Conservation Status: Threatened by habitat loss, making its conservation critical. Vishalgad Fort Insights Located in Vishalgad village, Kolhapur district, Maharashtra, this fort was a strategic asset of the Maratha Empire. Locally known as Khelna or Khilna, originally named Khilgil. Built in 1058 by Shilahara king Marsinh, it has been ruled by Seuna Yadavas, Allauddin Khilji of the Vijayanagar Empire, and later by the Adil Shahi dynasty. Captured by Shivaji in 1659, who renamed it ‘Vishalgad’. Notable Structures: Includes the revered Dargah of Hazrat Sayed Malik Rehan Meera Saheb and significant temples such as Amruteshwar Temple, Shri Nrusinha Temple, and Sati’s Vrindavan, making it a site of both historical and spiritual interest. -Source: Times of India Hoverflies Context: Three Kashmiri scientists recently discovered a new species of hoverfly that mimics the wasp in the high-altitude alpine forests. Relevance: Facts for Prelims Hoverflies Hoverflies, also known as ‘flower flies’ or ‘syrphid flies’, belong to a family comprising about 6,000 species within the Diptera order. These insects are known for their ability to hover around flowers, which is a trait reflected in their common names. Hoverflies are ubiquitous, inhabiting diverse environments from temperate to tropical regions. Despite their yellow markings that mimic wasps or bees, hoverflies are harmless as they do not bite or sting. They are uniquely identified by a single pair of wings. They possess a spurious vein that runs parallel to the fourth longitudinal wing vein, varying in size from small and elongated to large, hairy forms. Hoverflies typically exhibit a fly-like head structure, equipped with short antennae and pronounced bulbous eyes. Ecological Role of Hoverflies Pollination: Adult hoverflies contribute significantly to pollination through their consumption of nectar and pollen across various habitats. Pest Control: Hoverfly larvae play a crucial role in managing pest populations by preying on aphids, mites, and other small insects, which are known for their destructive impact on vegetation. Nutrient Cycling: Some hoverflies are also noted for their efficiency in recycling nutrients, further underscoring their ecological importance. -Source: The Hindu

Daily PIB Summaries

PIB Summaries 10 August 2024

CONTENTS Kasturi Cotton Bharat Programme Nandini Sahakar Yojana Kasturi Cotton Bharat Programme Context: The Kasturi Cotton Bharat programme of the Ministry of Textiles is a pioneering effort in traceability, certification and branding of Indian cotton. Relevance: GS II: Government Policies and Intervention Kasturi Cotton Bharat Initiative: The Kasturi Cotton Bharat program, initiated by the Ministry of Textiles, is focused on improving the traceability, certification, and branding of Indian cotton. This initiative is a joint effort between the Government of India, specifically the Cotton Corporation of India, along with various trade organizations and industry stakeholders, to enhance the traceability and certification processes of cotton. A specialized microsite featuring QR code verification and a blockchain platform has been established to ensure comprehensive traceability and secure transaction certification. The program receives national-level funding and is promoted globally, rather than being restricted to specific states. Implementation and Impact: The initiative has successfully registered approximately 343 modernized ginning and pressing units, with 15 of these units located in Andhra Pradesh. Notably, about 100 cotton bales from Andhra Pradesh have achieved certification under the Kasturi Cotton Bharat brand. Cotton, a crucial agricultural commodity in India, accounts for 25% of the global cotton production and is often referred to as “White-Gold” due to its significant economic importance. It is ideally suited for growth in hot, sunny environments and diverse soil conditions, although it is prone to damage from waterlogging. Nandini Sahakar Yojana Context: Recently, the Minister of Cooperation informed the Rajya Sabha about the Nandini Sahakar Scheme. Relevance: GS II: Government Policies and Intervention Nandini Sahakar Yojana: The Nandini Sahakar Yojana is designed to support women cooperatives in initiating business model-based activities under the oversight of the National Cooperative Development Corporation (NCDC). The program centers on women, offering a structured approach to financial aid, project planning, mentoring, and enhancing capacities. Financial Framework: The scheme does not stipulate a minimum or maximum financial limit for projects undertaken by women’s cooperatives. Interest Subvention: Offers a 2% reduction on the interest rate for term loans on new and innovative initiatives and 1% on other activities, thereby reducing the cost of borrowing for women-led cooperatives. Eligibility Criteria: Cooperatives must be operational for at least three months to qualify for assistance, which is provided as credit linkage for infrastructure term loans. Eligible cooperatives must be officially registered as women cooperatives with at least 50% of membership comprising women, under any State or Central Act. Significance and Impact: Aims to uplift the socio-economic conditions of women by fostering entrepreneurial skills and financial independence through cooperatives. Enhances the capabilities of women’s enterprises by integrating essential components such as business planning, capacity building, credit facilities, and the benefits of other subsidy and interest subvention schemes.

Editorials/Opinions Analysis For UPSC 10 August 2024

CONTENTS Addressing Retail Inflation No Population Census — in the Dark Without Vital Data Addressing Retail Inflation Context: The RBI’s Monetary Policy Committee (MPC) has decided for the ninth consecutive meeting to maintain the benchmark interest rates, as it continues to address retail inflation that has remained above the medium-term target of 4% for 57 months, eroding consumer confidence. Relevance: GS3- Fiscal Policy Inclusive Growth Public Distribution System (PDS) Mains Question: What are the factors contributing to India’s elevated food inflation despite falling overall inflation? What can be done to effectively manage the rising food prices? (15 Marks, 250 Words). Consumer Food Price Inflation (CFPI): CFPI is a part of the larger Consumer Price Index (CPI), which the Reserve Bank of India (RBI) uses through the CPI-Combined (CPI-C). It tracks the price changes of a specific set of food items commonly consumed by households, such as cereals, vegetables, fruits, dairy products, meat, and other essential staples. Elevated Food Prices: RBI Governor Shaktikanta Das emphasized that complacency is not an option, given the persistent risks posed by elevated food prices to households’ inflation expectations and the credibility of broader monetary policy. He pointed out that high food prices not only slowed disinflation during the April-June quarter but also maintained their momentum into July, with key vegetable prices showing significant month-on-month increases according to high-frequency food price data. Specifically, Department of Consumer Affairs data indicated that tomato prices surged by 62% sequentially, onions became almost 23% more expensive than in June, and potato prices rose by 18%. With food prices accounting for about 46% of the overall Consumer Price Index, they cannot be ignored—not only for their impact on headline inflation but more importantly because consumers are most affected by the influence of food prices on their monthly household budgets. While not directly mentioned, he suggested that the proposal in the Economic Survey to consider removing food prices from the inflation-targeting framework is not a practical solution given the current circumstances. Factors Contributing to India’s Elevated Food Inflation Despite Falling Overall Inflation: Temperature and Weather Challenges: Adverse weather conditions, such as the prediction of a weak monsoon and heatwaves, have negatively impacted crop yields, especially for water-intensive crops like cereals, pulses, and sugar. This has led to supply shortages and higher domestic prices. Fuel Prices: The rising cost of fuel, which is a crucial input in agriculture, has significantly contributed to food inflation. Supply Chain Disruptions: Disruptions in the supply chain, caused by transportation constraints, labor shortages, and logistical challenges, have decreased the availability of food products, driving up prices. Global Impact: Although global food prices have decreased, India’s food prices remain high due to the limited transmission of international prices to domestic markets. The Russia-Ukraine war has further exacerbated this issue. While India is largely self-sufficient or an exporter for most agricultural commodities like cereals, sugar, dairy, fruits, and vegetables, it relies heavily on imports for edible oils (60% of consumption) and pulses, making these items more susceptible to global price fluctuations. Decisions Made: The MPC, with a 4-2 majority vote, decided to maintain interest rates and keep its policy stance focused on withdrawing accommodation to ensure inflation aligns with the target. The committee also raised its projection for headline retail inflation in the July-September quarter to 4.4%, which is 60 basis points higher than the 3.8% predicted in June. Additionally, the panel projected slightly higher inflation in the third fiscal quarter, increasing the estimate by 10 basis points to 4.7%, signaling that the near-term inflation outlook is less reassuring than it was two months ago. Mr. Das noted that in June, vegetable prices contributed about 35% to headline inflation, and the Centre for Monitoring Indian Economy (CMIE) predicted that price pressures on vegetables would likely persist through the festive season until early November, adding to retail inflation. Conclusion: The MPC also suggested that core inflation may have bottomed out, highlighting risks from the spillover of food prices and the potential impact of mobile tariff revisions on broader non-food inflation. Policymakers emphasized that without ensuring sustained price stability, economic growth may remain fragile. No Population Census — in the Dark Without Vital Data Context: The Indian decadal Census has been delayed by over three years, raising significant concerns about the repercussions of not having this vital data. There is a widespread misconception among officials that the Census can be replaced with alternative methods of counting the population. However, the Census provides far more than just a population count. It collects a broad range of locational, familial, and individual data crucial for understanding the complete dynamics of a changing population. Relevance: GS1- Population and Associated Issues GS2- Government Policies & Interventions Mains Question: The Census is not limited to being a mere population count; it includes a wide range of crucial locational, familial and individual information. In this context, analyse the repercussions of a delay in census. (10 Marks, 150 words). Associated Issues: One of the primary issues with skipping the Census is the reliability of large-scale surveys, such as the National Family Health Survey and the Periodic Labour Force Survey, which are based on a Census framework that is now 15 years old. The past decade and a half has likely seen significant changes not only in population size and composition but also in areas such as education, occupation, employment, health (including the impact of COVID-19), and livelihoods. Delaying the Census, therefore, seems highly irresponsible, and considering alternatives to it is shortsighted. Moreover, there is growing demand for a caste Census, driven more by political motivations than by a genuine need for development planning. This demand highlights a limited understanding of the Census’s importance for refining strategies aimed at human welfare. Missing the 2021 Census is inexcusable, especially considering that a general election was held during the same period despite numerous uncertainties. The logistics required for a Census are comparable to those of an election, which suggests that the delay might be more about avoidance than logistical challenges. Without up-to-date Census data, evaluating the effectiveness of government schemes and programs will be misleading, as there will be no accurate baseline for comparison. The Urgency of Conducting a Population Census: The need for an immediate population Census is crucial, especially given India’s rapid demographic transition and the resulting demographic dividend. A Census is essential for accurately capturing changes in population structure, including familial arrangements, locational distribution, and occupational composition. Without a current Census, surveys become less reliable and representative, which undermines the generation of Sustainable Development Goal (SDG) indicators. Consequently, any claims of progress based on these indicators may be questioned due to their statistical shortcomings. Accurate demographic data, as revealed by global population projections, are particularly important for large countries like India and China, where population dynamics significantly influence global trends. Relying on estimates based on outdated trends and projections is insufficient; the Census provides the necessary reality check for understanding these changes. Reducing the Census to merely a population count is a misunderstanding that must be corrected. In the context of the SDGs, there is a strong emphasis on generating a wide array of indicators, disaggregated to levels below the national average. These indicators require standardization based on detailed population data, segmented by age, sex, and other attributes. Without a recent Census, approximations or survey-based estimates are inadequate for representing the evolving realities of the population. The Caste Census Debate: While the urgency of conducting a population Census seems distant, political leaders are increasingly calling for a caste Census to further their agendas. A caste audit in India, especially when everything is portrayed as positive, seems misplaced. Historically, the Census included caste data in its early stages, but its discontinuation suggests there was a valid reason for this change. It’s important not to be misled into thinking that a caste audit is driven by a genuine desire to understand the inclusion of different caste groups. Instead, it is largely aimed at establishing differential entitlements by citing a lack of representation and deprivation. However, focusing solely on tangible assets is a limited way to assess deprivation, especially when there is no systematic evaluation of mobility in education and occupation, despite long-standing affirmative action. Conclusion: Delaying the Census may benefit the state, allowing it to claim progress based on numerical data without the proper denominator needed to calculate accurate indicators. The scientific community must advocate for the immediate resumption of the Census to dispel the illusion that surveys and other administrative statistics can replace it. This raises the key concern: is the Census simply delayed, or is there an intentional effort to avoid it altogether?

Daily Current Affairs

Current Affairs 10 August 2024

CONTENTS RBI’s 50th MPC Meeting: Emphasizing Flexible Inflation Targeting New Transit-Oriented Development Plan for Major Indian Cities Himalayan Towns Need a Different Kind of Development Concerns Over New Broadcasting Services Regulation Bill 2024 First Information Report Homo Floresiensis Gout RBI’s 50th MPC Meeting: Emphasizing Flexible Inflation Targeting Context: The Reserve Bank of India’s 50th Monetary Policy Committee (MPC) meeting has introduced significant updates regarding interest rates and broader economic policies. Marking the eighth anniversary of the flexible inflation targeting (FIT) framework, this milestone meeting focused on evaluating and enhancing measures designed to control inflation and improve economic efficiency. The emphasis on FIT highlights its central role in the country’s economic strategy and its impact on monetary policy decision-making. Relevance: GS III: Indian Economy Dimensions of the Article: Key Decisions of the 50th Monetary Policy Committee Meeting Flexible Inflation Targeting Framework Instruments of Monetary Policy About Monetary Policy Committee (MPC) Key Decisions of the 50th Monetary Policy Committee Meeting The MPC has maintained the repo rate at 6.50% to manage inflation effectively and support economic growth. The Standing Deposit Facility Rate is held at 6.25%, and the Marginal Standing Facility and Bank Rate are both maintained at 6.75%, helping to manage the economy’s liquidity and borrowing costs. The committee continues to aim for a 4.0% inflation target, emphasizing the importance of controlling inflation while fostering economic growth. Global Economic Insights Global Economic Trends: There is consistent but varied growth worldwide, with manufacturing slowing and services remaining robust. Inflation Trends: A gradual reduction in inflation is noted globally, with the price of services remaining persistent. Monetary Policy Variations: Across the globe, monetary policies vary, with some central banks reducing rates and others increasing them. Challenges: Demographic changes, climate change, geopolitical tensions, rising public debt, and technological advancements like AI are driving uncertainties in global economic prospects. Domestic Economic Performance Economic Resilience: India’s economy shows resilience, buoyed by effective monsoon seasons and robust kharif crop production. Sector Performance: The manufacturing and service sectors are showing robust growth, evidenced by a rise in the Industrial Production Index. Consumer Spending: There is strong consumption growth driven by increased rural demand and sustained urban spending. Inflation Dynamics Headline inflation rose to 5.1% in June 2024, primarily due to rising food prices, while core inflation has moderated. Food costs significantly influence overall inflation, with vegetable prices notably impacting the Consumer Price Index. Food inflation is expected to remain high, although some relief may come from favorable weather conditions. Financial Market Stability Market Volatility: Global financial markets have shown volatility, impacted by economic downturns, geopolitical unrest, and shifting trade dynamics. Stability of Indian Markets: Despite global challenges, Indian financial markets remain stable, supported by solid macroeconomic fundamentals. Regulatory Updates and Digital Initiatives The RBI is setting up a public registry of digital lending apps to increase transparency and combat unauthorized practices, following discoveries of numerous illegal apps. UPI Enhancements: The transaction limit for UPI payments will increase from Rs 1 lakh to Rs 5 lakh to facilitate smoother tax payments, and new features will allow delegated payment capabilities, enhancing the utility for a broader user base. Cheque Processing Improvement: The RBI is moving to a ‘real-time settlement’ Cheque Truncation System to expedite cheque processing, aiming to clear cheques on the day of presentation to improve transaction efficiency. Flexible Inflation Targeting Framework Implementation Date: Launched in February 2015, the Flexible Inflation Targeting (FIT) Framework is designed to maintain inflation around a 4% target, with a permissible range of ±2%, enabling occasional deviations to bolster economic growth. Collaborative Establishment: Formulated through a collaborative agreement between the Reserve Bank of India (RBI) and the Ministry of Finance, this framework aims to balance inflation management with economic growth, based on insights from the Urjit Patel Committee Report. Objective of FIT: The primary goal is to solidify inflation expectations, thereby promoting macroeconomic stability and contributing to sustainable economic growth. Legislative Support: In 2016, an amendment to the RBI Act of 1934 was enacted to establish a formal monetary policy framework, mandating that the inflation targets be determined by the government in consultation with the RBI every five years. Framework Goals: The FIT is structured to enhance the transparency and predictability of monetary policy, which aids in improving the synergy between the RBI’s monetary policy operations and governmental economic strategies. Instruments of Monetary Policy There are several direct and indirect instruments that are used for implementing monetary policy. Repo Rate: The (fixed) interest rate at which the Reserve Bank provides overnight liquidity to banks against the collateral of government and other approved securities under the liquidity adjustment facility (LAF). Reverse Repo Rate: The (fixed) interest rate at which the Reserve Bank absorbs liquidity, on an overnight basis, from banks against the collateral of eligible government securities under the LAF. Liquidity Adjustment Facility (LAF): The LAF consists of overnight as well as term repo auctions. Progressively, the Reserve Bank has increased the proportion of liquidity injected under fine-tuning variable rate repo auctions of range of tenors. The aim of term repo is to help develop the inter-bank term money market, which in turn can set market based benchmarks for pricing of loans and deposits, and hence improve transmission of monetary policy. The Reserve Bank also conducts variable interest rate reverse repo auctions, as necessitated under the market conditions. Marginal Standing Facility (MSF): A facility under which scheduled commercial banks can borrow additional amount of overnight money from the Reserve Bank by dipping into their Statutory Liquidity Ratio (SLR) portfolio up to a limit at a penal rate of interest. This provides a safety valve against unanticipated liquidity shocks to the banking system. Corridor: The MSF rate and reverse repo rate determine the corridor for the daily movement in the weighted average call money rate. Bank Rate: It is the rate at which the Reserve Bank is ready to buy or rediscount bills of exchange or other commercial papers. The Bank Rate is published under Section 49 of the Reserve Bank of India Act, 1934. This rate has been aligned to the MSF rate and, therefore, changes automatically as and when the MSF rate changes alongside policy repo rate changes. Cash Reserve Ratio (CRR): The average daily balance that a bank is required to maintain with the Reserve Bank as a share of such per cent of its Net demand and time liabilities (NDTL) that the Reserve Bank may notify from time to time in the Gazette of India. Statutory Liquidity Ratio (SLR): The share of NDTL that a bank is required to maintain in safe and liquid assets, such as, unencumbered government securities, cash and gold. Changes in SLR often influence the availability of resources in the banking system for lending to the private sector. Open Market Operations (OMOs): These include both, outright purchase and sale of government securities, for injection and absorption of durable liquidity, respectively. Market Stabilisation Scheme (MSS): This instrument for monetary management was introduced in 2004. Surplus liquidity of a more enduring nature arising from large capital inflows is absorbed through sale of short-dated government securities and treasury bills. The cash so mobilised is held in a separate government account with the Reserve Bank. About Monetary Policy Committee (MPC) The Monetary Policy Committee (MPC) is the body of the RBI, headed by the Governor, responsible for taking the important monetary policy decisions about setting the repo rate. Repo rate is ‘the policy instrument’ in monetary policy that helps to realize the set inflation target by the RBI (at present 4%). Membership of the MPC The Monetary Policy Committee (MPC) is formed under the RBI with six members. Three of the members are from the RBI while the other three members are appointed by the government. Members from the RBI are the Governor who is the chairman of the MPC, a Deputy Governor and one officer of the RBI. The government members are appointed by the Centre on the recommendations of a search-cum-selection committee which is to be headed by the Cabinet Secretary. Objectives of the MPC Monetary Policy was implemented with an initiative to provide reasonable price stability, high employment, and a faster economic growth rate. The major four objectives of the Monetary Policy are mentioned below: To stabilize the business cycle. To provide reasonable price stability. To provide faster economic growth. Exchange Rate Stability. -Source: Indian Express New Transit-Oriented Development Plan for Major Indian Cities Context: The union government has introduced a comprehensive transit-oriented development (TOD) plan targeting 14 large Indian cities, each with a population exceeding 30 lakh. This strategic initiative aims to transform these cities into dynamic “growth hubs” by integrating economic and transit planning with the structured development of peri-urban areas. Relevance: GS III: Indian Economy Dimensions of the Article: Transit-Oriented Development (TOD) Benefits of Transit-Oriented Development (TOD) Components of TOD Challenges Associated with Transit-Oriented Development (TOD) Transit-Oriented Development (TOD) TOD is a strategic urban planning approach that focuses on concentrating jobs, housing, and services around public transportation hubs. The goal is to foster environments that are pedestrian and cyclist-friendly, ensuring easy access to transit options. The strategy hinges on the synergistic relationship between economic growth, urban transportation, and land use, ensuring these elements are integrated efficiently for optimal urban development. Global Examples: Cities such as Stockholm, Copenhagen, Hong Kong, Tokyo, and Singapore have effectively implemented TOD, demonstrating its viability and benefits. World Bank 3V Framework for TOD: Node Value: Measures the significance of transit stations based on traffic, connectivity, and central location within the transit network. Place Value: Assesses the attractiveness and quality of the environment surrounding transit stations. Market Potential Value: Evaluates the economic potential surrounding transit areas, considering aspects like job availability, housing density, and market dynamics. Benefits of Transit-Oriented Development (TOD): Enhanced Urban Density and Competitiveness: TOD promotes the clustering of jobs in compact areas, which heightens urban competitiveness. Boost in Economic Productivity: Studies indicate that doubling job density can elevate economic productivity by between 5% and 10%. Creation of Vibrant Urban Spaces: TOD strategically locates jobs, housing, and amenities near transit stations, fostering lively communities with excellent public spaces and reduced commute times. Synergy Between Urban Planning and Transit: There is a mutual reinforcement between dense urban development and efficient public transit. This density increases ridership, which in turn makes transit systems economically viable and supports the broader urban infrastructure. Attractive Neighborhoods and Increased Property Values: Proximity to transit hubs enhances neighborhood appeal and boosts property values. Funding Opportunities for Urban Development: The increased property values can be leveraged to fund transit improvements, affordable housing projects, and sustainable urban growth initiatives. Success Stories: Hong Kong: From 1980 to 2005, the TOD model in Hong Kong generated 140 billion Hong Kong Dollars and supported the development of 600,000 public housing units. Stockholm: The implementation of TOD along transit routes in Stockholm from 1993 to 2010 led to a 41% increase in economic value per person and a 35% reduction in greenhouse gas emissions per capita. Affordable Housing Integration: By integrating affordable housing within new developments, the potential increase in property prices associated with TOD can be managed, ensuring access remains broad-based. Inclusivity and Accessibility: A well-implemented TOD strategy ensures that people of all income levels have access to essential services and employment opportunities. Reduction in Environmental Impact: By decreasing reliance on cars and shortening commutes, TOD significantly reduces carbon emissions and enhances overall urban sustainability. Disaster Resilient Development: Implementing TOD in areas less susceptible to natural hazards promotes safer, high-density living, which minimizes risk exposure. Components of TOD: Pedestrian-Centric Design: TOD prioritizes pedestrian-friendly environments where walking is a central element of the design. Mixed-Use Developments: Incorporates a diverse blend of uses including offices, residential areas, retail, and civic amenities within close proximity to each other. Transit System Integration: Includes comprehensive transit options like streetcars, light rail, and buses. Cycling and Scooting: Facilities are designed to accommodate bicycles and scooters as everyday transport modes. Reduced and Managed Parking: Parking is strategically reduced and confined to areas within a 10-minute walk from central transit hubs. Retail and Service Offerings: Transit stations offer specialized retail and service options catering to both commuters and local residents. Challenges Associated with Transit-Oriented Development (TOD): Fragmented Authority and Planning: The presence of multiple municipal and state authorities with differing priorities often results in fragmented and inefficient TOD planning. This fragmentation is compounded by separate processes for land use and transportation planning, which frequently lead to misaligned goals. Sector Integration Failures: TOD planning frequently neglects the requirements of crucial sectors like agriculture, affecting the comprehensive development of TOD areas. Regulatory and Infrastructure Overloads: Inadequate or overly restrictive regulations can result in uneven development—either overdevelopment or underutilization of certain areas. This often leads to high-density developments that can overburden existing infrastructure, rendering parts of cities underdeveloped and poorly connected. Pedestrian and Transit Accessibility: Many Indian cities suffer from poorly designed pedestrian infrastructures, making access to transit stations difficult and unsafe. This challenge is crucial as pedestrian accessibility is a core component of effective TOD. Cultural and Behavioral Barriers: Effective TOD requires significant behavioral changes, particularly in reducing reliance on private vehicles. Motivating such changes remains a challenge despite considerable investments in public transit infrastructure. Disaster Risk Enhancement: High concentrations of population in TOD zones can amplify the risk of casualties and overstretch emergency services during disasters, highlighting a need for disaster-resilient planning. Urban Sprawl and Rapid Urbanization: The rapid urbanization typical of many Indian cities complicates the creation of compact, walkable neighborhoods, which are essential for successful TOD. Inclusivity Concerns: Ensuring that TOD benefits all socio-economic groups equally is a persistent challenge, with a risk that new developments may disproportionately serve more affluent populations. Local Opposition and Financial Constraints: Implementation of effective TOD strategies is often hindered by local regulations, community resistance, and budgetary constraints, particularly in major cities like Bengaluru, Chennai, and Kolkata. Contextual Suitability: The success of TOD strategies employed in cities like Hong Kong or Singapore may not directly translate to Indian cities such as New Delhi or Bengaluru due to differing urban sprawl characteristics and local contexts. -Source: The Hindu Himalayan Towns Need a Different Kind of Development Context: The Indian Himalayan Range (IHR), comprising 11 States and two Union Territories, had a decadal urban growth rate of more than 40% from 2011 to 2021. Towns have expanded, and more urban settlements are developing. However, Himalayan towns require a different definition of urbanisation. Relevance: GS III: Indian Economy Dimensions of the Article: Overview of Current Challenges Causes of the Crisis Solutions and Recommendations Conclusion Overview of Current Challenges Almost every town in the Himalayan region, including prominent state capitals like Srinagar, Guwahati, Shillong, and Shimla, grapples with severe civic management challenges. The predominant issues include inefficient handling of sanitation, and the management of solid and liquid waste. Additionally, water management poses significant challenges. These issues are exacerbated by the adoption of planning models inappropriate for the unique geographical and ecological conditions of the Himalayas, combined with a critical shortage of skilled personnel in urban planning departments. Expansion and Environmental Impact Urban expansion is aggressively consuming surrounding rural lands, leading to the degradation of communal lands, forests, and watersheds. Notably, Srinagar witnessed a dramatic increase in built-up areas, which expanded by over 75% in two decades, severely impacting local water bodies and leading to unmanaged waste disposal. Causes of the Crisis The root causes of these environmental and civic challenges include: Rapid Urbanization and Poor Planning: Expansion is often uncontrolled, with little regard for sustainable practices. High-Intensity Tourism: Tourism, while beneficial economically, often replaces eco-friendly infrastructure with harmful constructions and inadequate waste management systems. Climatic Changes: Increasingly variable weather patterns contribute to water scarcity, deforestation, and biodiversity loss. Solutions and Recommendations Revised Planning Approaches: There is an urgent need for planning reforms tailored to the unique needs of the Himalayan towns, focusing on sustainable land use and incorporating local community insights. Infrastructure Financing: A dedicated financial strategy for urban infrastructure in the Himalayas is essential, recognizing the high costs and special requirements of these regions. The Finance Commission should consider a separate allocation for these towns to enhance sustainability. Community-Driven Planning: Moving away from consultant-driven models to community-centric planning can ensure that development aligns with the local socio-ecological context. Enhancing Central Support: Current financial transfers from central to local governments are insufficient, covering only a fraction of necessary expenditures. Increasing this support is crucial for sustainable urban development in the Himalayan regions. Conclusion For Himalayan towns to thrive amidst these challenges, a shift towards integrated, locally informed, and ecologically sensitive planning is critical. By fostering community involvement and ensuring adequate funding, these towns can aim to balance development needs with environmental sustainability. -Source: The Hindu Concerns Over New Broadcasting Services Regulation Bill 2024 Context: The Ministry of Information and Broadcasting (MIB) has released a draft version of the Broadcasting Services (Regulation) Bill 2024, targeting enhanced regulation within the broadcasting sector. This draft has been shared with select industry stakeholders for input and discussion. A significant aspect of the proposed legislation is the introduction of stricter guidelines for independent news content creators on digital platforms like YouTube, Instagram, and X. This move has sparked a debate regarding potential impacts on freedom of speech and expression, highlighting the delicate balance between regulatory oversight and individual liberties in the digital age. Relevance: GS II: Government Policies and Interventions Dimensions of the Article: Objective and Purpose of the Draft Broadcasting Services Regulation Bill 2024 Key Elements of the Bill Impacting Creative Freedom Challenges and Concerns with the Draft Bill Future Directions for Internet Regulation in India Objective and Purpose of the Draft Broadcasting Services Regulation Bill 2024: Digital media is recognized as a crucial platform for creators and commentators to scrutinize government actions and enforce accountability. The bill seeks to empower voices marginalized by mainstream media, fostering diverse narratives on critical issues. It aims to expand existing broadcast regulations to include internet platforms, enhancing accountability and regulatory oversight. Specifically targets prominent influencers, content creators, and political commentators to regulate their speech, which could severely restrict creative freedom and limit online expression, affecting the democratic vibrancy of India. Key Elements of the Bill Impacting Creative Freedom: Defines digital news broadcasters as entities systematically broadcasting news and current affairs online, whether through text, video, or audio on platforms like YouTube, Twitter, or podcasts. Mandates these digital broadcasters to register with the government, adhere to a specific Programme Code, establish grievance mechanisms, and comply with a structured regulatory framework. Requires non-news digital content to undergo pre-certification from a Content Evaluation Committee. Authorizes the government to impose penalties, demand cessation of broadcasts, or completely ban broadcasts based on national security, public order, or other state interests. Subjects global digital content creators and commentators to the same regulatory conditions. Imposes new responsibilities on social media platforms to monitor and report on broadcasters’ activities. Challenges and Concerns with the Draft Bill: Unlike traditional TV’s broad dissemination, internet content is individualized and interactive, raising concerns that the bill could disproportionately increase operational costs and hinder the agility of small-scale creators and independent journalists. Potential for severe censorship effects, risking a suppression of free speech. Difficulty in enforcing extraterritorial provisions due to the decentralized nature of the internet. Overlap and potential conflict with existing laws such as the IT Act 2000, which already governs social media platforms with similar provisions for grievance redressal and content management. Future Directions for Internet Regulation in India: The draft bill is seen as part of broader efforts to regulate digital content, paralleling challenges faced with the IT Rules 2021, which courts have temporarily blocked. Emphasizes the need for using existing laws like the IT Act 2000 to address concerns around misleading or harmful content. Stresses the importance of comprehensive consultations and discussions with a wide array of stakeholders before finalizing the legislation to ensure it aligns with democratic principles and protects individual freedoms. -Source: The Hindu First Information Report Context: The Delhi High Court has ruled that a first information report (FIR) must be mandatorily registered in cases of alleged fake encounters, reinforcing legal accountability for police actions. Relevance: GS II: Polity and Governance Dimensions  of the Article: What is an FIR? What are cognizable offence and non-cognizable offence? What is an FIR? An FIR is the document that has been prepared by the police after verifying the facts of the complaint. The FIR may contain details of the crime and the alleged criminal. The term first information report (FIR) is not defined in the Indian Penal Code (IPC), Code of Criminal Procedure (CrPC), 1973, or in any other law, but in police regulations or rules, information recorded under Section 154 of CrPC is known as First Information Report (FIR). Section 154 (“Information in cognizable cases”) says that “every information relating to the commission of a cognizable offence, if given orally to an officer in charge of a police station, shall be reduced to writing by him or under his direction, and be read over to the informant; and every such information, whether given in writing or reduced to writing as aforesaid, shall be signed by the person giving it, and the substance thereof shall be entered in a book to be kept by such officer in such form as the State Government may prescribe”. Also, “a copy of the information as recorded…shall be given forthwith, free of cost, to the informant”. Three important elements of an FIR: The information must relate to the commission of a cognizable offence, It should be given in writing or orally to the head of the police station It must be written down and signed by the informant, and its key points should be recorded in a daily diary. What happens after an FIR is filed? The police will investigate the case and will collect evidence in the form of statements of witnesses or other scientific materials. They can arrest the alleged persons as per law. If there is sufficient evidence to corroborate the allegations of the complainant, then a chargesheet will be filed. Or else, a Final Report mentioning that no evidence was found will be filed in court. If it is found that no offence has been committed, a cancellation report will be filed. If no trace of the accused persons is found, an ‘untraced’ report will be filed. What are cognizable offence and non-cognizable offence? A cognizable offence/case is one in which a police officer may, in accordance with the First Schedule of the CrPC, or under any other law for the time being in force, make an arrest without a warrant. In the First Schedule, “the word ‘cognizable’ stands for ‘a police officer may arrest without warrant’; and the word ‘non-cognizable’ stands for ‘a police officer shall not arrest without warrant’.” What is the difference between a complaint and an FIR? The CrPC defines a “complaint” as “any allegation made orally or in writing to a Magistrate, with a view to his taking action under this Code, that some person, whether known or unknown, has committed an offence, but does not include a police report.” However, an FIR is the document that has been prepared by the police after verifying the facts of the complaint. The FIR may contain details of the crime and the alleged criminal. If, on the basis of a complaint, it appears that a cognizable offence has been committed, then an FIR under Section 154 CrPC will be registered, and police will open an investigation. If no offence is found, the police will close the inquiry. Section 155 (“Information as to non-cognizable cases and investigation of such cases”) says: “When information is given to an officer in charge of a police station of the commission within the limits of such station of a non-cognizable offence, he shall enter or cause to be entered the substance of the information in a book…and refer the informant to the Magistrate. No police officer shall investigate a non-cognizable case without the order of a Magistrate having power to try such case or commit the case for trial.” -Source: Indian Express Homo Floresiensis Context: A microscopic analysis of a 700,000-year-old miniature human arm and dental fossils has put an end to the debate on the origins of Homo floresiensis. Relevance: Facts for Prelims Homo floresiensis: Homo floresiensis is an archaic human species that once inhabited Flores Island in Indonesia approximately 60,000 years ago. Commonly referred to as ‘Hobbit’ due to their diminutive stature. Fossils have been dated between 100,000 and 60,000 years ago, with stone tools dating from around 190,000 to 50,000 years ago. Physical and Behavioral Characteristics: Individuals stood about 3 feet 6 inches tall, characterized by tiny brains, large teeth relative to size, shoulders that slouched forward, no chins, and receding foreheads. They possessed disproportionately large feet compared to their short legs. They crafted and utilized stone tools, hunted small elephants and large rodents, managed threats from predators like the giant Komodo dragon, and possibly used fire. Their small size and reduced brain volume are believed to be adaptations to island dwarfism—a condition of evolutionary adjustment to limited resources and reduced threat levels on isolated islands. Both the smallest known species of Homo and the Stegodon elephant coexisted on Flores, highlighting the island’s unique biodiversity and evolutionary dynamics. -Source: The Print Gout Context: Recently, Lucknow based CSIR-NBRI has developed a herbal product called ‘NBRI-Gout Out’ which is a combination of five medicinal plants, to address the problem of Gout. Relevance: Facts for Prelims Overview of Gout: Gout is a prevalent and intricate form of arthritis that can affect anyone. The condition stems from elevated levels of uric acid in the bloodstream. Prevalence: It is more commonly observed in men, primarily because women generally have lower uric acid levels. Risk Factors: Factors that can increase uric acid levels, leading to gout, include obesity, certain medications like diuretics, and consumption of foods and beverages rich in purines such as alcohol and sugary drinks. Symptoms: Joint Pain: The most intense pain usually affects the big toe but can occur in any joint including the ankles, knees, elbows, wrists, and fingers. Inflammation: Affected joints become swollen, tender, warm, and red, showing visible signs of inflammation. Treatment: Medication: Treatment options include medications like allopurinol (Aloprim, Lopurin, Zyloprim) and febuxostat (Uloric), which are designed to reduce the body’s uric acid production. -Source: Indian Express, PIB

Daily PIB Summaries

PIB Summaries 09 August 2024

CONTENTS National Coastal Mission Scheme Metal-Air Batteries National Coastal Mission Scheme Context: Recently, the Minister of State for Environment, Forest and Climate Change informed the Lok Sabha about the National Coastal Scheme. Relevance: GS II: Government Policies and Interventions National Coastal Mission Scheme: Initiated in 2014, the National Coastal Mission (NCM) is part of India’s broader strategy under the National Action Plan on Climate Change (NAPCC) aimed at addressing the impacts of climate change on coastal and marine ecosystems, infrastructure, and communities. Key Components: Conservation Initiatives: Includes the Management Action Plan focused on the conservation of mangroves and coral reefs. Research and Development: Dedicated to enhancing the marine and coastal ecosystems. Sustainable Development: Targets the sustainable management of beaches under the Beach Environment & Aesthetic Management Service. Capacity Building and Outreach: Engages Coastal States and Union Territories (UTs) in programs aimed at conserving marine and coastal ecosystems, including initiatives like beach cleaning drives. Implementation: The scheme is implemented by State Governments of Coastal States and UT Administrations, ensuring localized and effective management and execution of the program’s objectives. National Action Plan on Climate Change (NAPCC): Launched on June 30, 2008, the NAPCC outlines India’s strategy to address climate change and achieve sustainable development by integrating climate change measures into national planning processes. Core Elements: The plan comprises eight National Missions which are central to its strategy: National Solar Mission National Mission for Enhanced Energy Efficiency National Mission on Sustainable Habitat National Water Mission National Mission for Sustaining the Himalayan Ecosystem National Mission for a Green India National Mission for Sustainable Agriculture National Mission on Strategic Knowledge for Climate Change Metal-Air Batteries Context: Researchers from CSIR-CMERI, Durgapur synthesised a cathode material which can be used as catalyst in Metal-air batteries. Relevance: Facts for Prelims Metal-Air Batteries: Metal-air batteries function through electrochemical reactions between an “Air Electrode” (cathode) and a “Metal Electrode” (anode). Common metals used for the anode include lithium, zinc, aluminum, iron, and sodium, paired with a porous carbon material and a catalyst at the cathode. Advantages: Higher Energy Density: These batteries offer greater energy density compared to traditional lithium-ion batteries. Accessibility: Utilizing metals that are readily available in India enhances accessibility and dependence on local resources. Cost-Effectiveness: Local production minimizes the need for imports, thus reducing costs. Eco-Friendly: Metal-air batteries are recyclable, posing fewer environmental hazards than their lithium-ion counterparts. Lightweight: The use of lightweight metals like aluminum allows these batteries to provide high energy density, making them especially suitable for various applications. Applications: Large-Scale Energy Storage: Ideal for stationary applications where large amounts of energy storage are required. Transportation: Can be used in electric vehicles due to their high energy efficiency and lighter weight. Renewable Energy Systems: Suitable for storing energy generated from renewable sources, aiding in managing supply and demand fluctuations.

Editorials/Opinions Analysis For UPSC 09 August 2024

CONTENTS Change in Bangladesh, the Challenges for India Why Himalayan Towns Need a Different Kind of Development Change in Bangladesh, the Challenges for India Context: As events unfold rapidly in Bangladesh, it is also time to reflect on February 2009, when then-new Prime Minister Sheikh Hasina faced a significant crisis shortly after taking office. The mutiny of the Bangladesh Rifles (BDR), a paramilitary force, ultimately failed, as Sheikh Hasina had just ascended to power through “clean” elections, enjoying strong support from women and youth without military interference. However, over her 15-year tenure, much of this support seemed squandered. Relevance: GS2- India and its Neighborhood- Relations Mains Question: India can capitalise on its strong development partnership with Bangladesh and work closely with the interim government, the army, and the people. Discuss in the context of the recent events in Bangladesh. (15 Marks, 250 Words). Growing Disconnect: A growing disconnect emerged with the 2024 elections, marked by the Opposition’s boycott, shrinking democratic space, erosion of human rights, economic downturn, and significant youth unemployment—a demographic that previously benefited from economic growth under Hasina. When student protests erupted, led by the Anti-Discrimination Student Movement, the government’s heavy-handed response, treating the protesters as enemies of the state and resorting to violence, marked a turning point for Hasina. Change in the Army’s Alignment: Considering public opinion and challenges, Bangladesh Army chief General Waker-uz-Zaman has stepped into a situation distinct from the 2007 coup led by General Moeen U. Ahmed. Back then, the army’s intervention was necessary to curb anarchy and violence instigated by major political parties, restore governance, and facilitate elections. In 2024, the army is perceived as aligning with public sentiment by removing a beleaguered Prime Minister and reinstating democratic processes. This shift has made the army more vulnerable and responsive to public opinion. Choice of the Head of the Interim Government: An indication of this vulnerability is the acceptance of Nobel laureate Muhammad Yunus as the head of the interim government chosen by the students. Typically, coup leaders appoint uninspiring technocrats to run the country under their strict control, rather than a popular leader who commands widespread respect both domestically and internationally. However, the army’s vulnerability may be the silver lining Bangladesh needs. Mr. Yunus is viewed as a strong advocate for democratic values and the rule of law. He has been critical of Hasina due to her treatment of him. While he once harbored political ambitions and wanted to form his own party, he is not aligned with the two main parties, the Awami League and the Bangladesh Nationalist Party. This situation might provide the opportunity he needs to establish a third force in Bangladesh. Persisting Challenges: However, forming the interim government is not the only challenge at present. There is also the serious issue of the students’ movement being co-opted by those oppressed under the previous regime, those who boycotted the elections, or those who supported from abroad. These include not only the Bangladesh Nationalist Party and the opposition but also the banned Bangladesh Jamaat-e-Islami, which had instigated Islamic jihadist violence in 2006-07. Violence against Awami League supporters and their properties continues, and symbols of Bangladesh’s liberation, including statues of Sheikh Mujibur Rehman, are being destroyed, with the Hindu minority community under attack. Incorporating such polarized forces into the interim government will weaken both Mr. Yunus and the army, inevitably boosting anti-India elements. Role of India: While India was the first country to highlight “contemporary forms of religiophobia against non-Abrahamic religions” in the United Nations Security Council in 2021 and in the UN General Assembly in 2022, it has hesitated to address this issue more assertively with its neighbors and the West, aside from the usual expressions of concern. Recent events in Bangladesh have demonstrated, once again, that if India does not take the lead, no one else will. Reflecting the situations in Myanmar and the Maldives, the events in Bangladesh are more similar to those in Myanmar than in Sri Lanka. After three consecutive elections in Myanmar, the coup leaders are struggling to maintain control over the people and ethnic groups, potentially facing collapse sooner rather than later. Similarly, after four consecutive elections in Bangladesh, where democratic aspirations have been heightened, the military will find its role significantly restricted. Conclusion: For India, the scenario resembles what happened in the Maldives, where it supported President Ibrahim Mohamed Solih without engaging with the opposition, leading to challenges when the opposition gained power. However, India’s advantage lies in its strong development partnerships and projects that benefit the people, whether in the Maldives, Afghanistan, Sri Lanka, or now in Bangladesh. India’s best strategy is to collaborate closely with Mr. Yunus, the military, and the people. Why Himalayan Towns Need a Different Kind of Development Context: The Indian Himalayan Range (IHR), which includes 11 states and two Union Territories, experienced an urban growth rate exceeding 40% from 2011 to 2021. Towns have expanded, and new urban settlements are developing. However, urbanization in Himalayan towns requires a unique approach. Relevance: GS3- Conservation, Environmental Pollution and Degradation, Environmental Impact Assessment Mains Question: Cities along the Indian Himalayan Range suffer from inadequate funds and resources to manage civic issues. Analyse. What can be done to ensure better management of Himalayan areas? (15 Marks, 250 Words). Challenges Faced by IHR Towns: Nearly all Himalayan towns, including state capitals, face significant challenges in managing civic issues. Cities like Srinagar, Guwahati, Shillong, and Shimla, along with smaller towns, struggle with sanitation, waste management, and water supply. The planning institutions in these states often fail because they rely on models designed for the plains, which have limited applicability in the Himalayas. City governments suffer from a shortage of human resources, with a deficit of nearly 75%. For example, in the Kashmir Valley, excluding the Srinagar Municipal Corporation, there are only 15 executive officers for over 40 urban local bodies. The expansion of cities into peripheral areas encroaches on village commons. Srinagar and Guwahati are examples of such expansion, resulting in the loss of open spaces, forests, and watersheds. In Srinagar, land use changes between 2000 and 2020 showed a 75.58% increase in built-up real estate, which rose from 34.53 square kilometers to 60.63 square kilometers, covering 23.44% of the total municipal area. Meanwhile, water bodies have shrunk by almost 25%, from 19.36 square kilometers to 14.44 square kilometers. Nearly 90% of liquid waste enters water bodies untreated. Reasons for the Challenges: The IHR faces growing pressure from urbanization and development, exacerbated by high-intensity tourism, unsustainable infrastructure, and resource use, along with climatic changes like altered precipitation patterns and rising temperatures. These factors result in water shortages, deforestation, land degradation, loss of biodiversity, and increased pollution, including plastic waste. These pressures pose significant threats to lives and livelihoods, affecting the socio-ecological balance of the Himalayas. Tourism in the IHR has grown and diversified, with an anticipated average annual growth rate of 7.9% from 2013 to 2023. However, current tourism practices often replace eco-friendly infrastructure with unsuitable, unsightly, and dangerous constructions, poorly planned roads, and inadequate waste management, leading to the depletion of natural resources and harm to biodiversity and ecosystem services. Promoting ecotourism, which focuses on environmentally friendly practices, is crucial for achieving long-term sustainability. Steps Needed for Improvement: Planning institutions in IHR cities still rely on traditional land-use principles. Each town needs to be mapped with layers that identify vulnerabilities from geological and hydrological perspectives. Climate-induced disasters annually damage infrastructure built without such mapping, emphasizing the need for a planning process that involves local communities and follows a bottom-up approach. Consultant-driven urban planning processes should be abandoned for Himalayan towns, with urban design focusing on climate resilience. Additionally, none of the cities in the IHR can generate the capital required for their infrastructure needs. The Finance Commission should include a separate chapter on urban financing for the IHR. The high costs of urban services and the lack of industrial corridors place these towns in a unique financial situation. Current intergovernmental transfers from the center to urban local bodies account for only 0.5% of GDP; this should be increased to at least 1%. Conclusion: Himalayan towns must engage in broader discussions about sustainability, focusing on urban futures through robust, eco-centric planning processes that involve public participation.

Daily Current Affairs

Current Affairs 09 August 2024

CONTENTS Preamble Removed from new NCERT Textbooks 5 Years after Removal of Article 370 Quit India Movement Rashtriya Vigyan Puraskar Pyrocumulonimbus Clouds Eta Carinae Preamble Removed from new NCERT Textbooks Context: The National Council of Educational Research and Training (NCERT) has recently removed the Preamble to the Constitution from select textbooks for Class 3 and 6, as issued in 2024. This decision aligns with NCERT’s broader educational strategy, which now prioritizes a comprehensive understanding of the Indian Constitution, encompassing its Preamble, fundamental duties, rights, and the National Anthem. This shift in focus is guided by the objectives of the National Education Policy 2020, aiming to promote holistic development in students. Relevance: GS II: Polity and Governance Dimensions of the Article: Basis and Amendment of Preamble Key Words in Preamble Overview of the Preamble’s Status Significance of the Preamble Amendment of the Preamble Basis and Amendment of Preamble The Preamble to the Indian Constitution is based on the ‘Objectives Resolution’, drafted and moved by Pandit Nehru, and adopted by the Constituent Assembly. It has been amended by the 42nd Constitutional Amendment Act (1976), which added three new words​—socialist, secular and integrity Ingredients of the Preamble The Preamble reveals four ingredients or components: Source of authority of the Constitution: The Preamble states that the Constitution derives its authority from the people of India. Nature of Indian State: It declares India to be of a sovereign, socialist, secular democratic and republican polity. Objectives of the Constitution: It specifies justice, liberty, equality and fraternity as the objectives. Date of adoption of the Constitution: It stipulates November 26, 1949 as the date. Key Words in Preamble Sovereign The word ‘sovereign’ implies that India is neither a dependency nor a dominion of any other nation, but an independent state. There is no authority above it, and it is free to conduct its own affairs (both internal and external). Socialist Even before the term was added by the 42nd Amendment in 1976, the Constitution had a socialist content in the form of certain Directive Principles of State Policy. In other words, what was hitherto implicit in the Constitution has now been made explicit. Moreover, the Congress party itself adopted a resolution to establish a ‘socialistic pattern of society’. Notably, the Indian brand of socialism is a ‘democratic socialism’ and not a ‘communistic socialism’ (also known as ‘state socialism’) which involves the nationalisation of all means of production and distribution and the abolition of private property. Democratic socialism, on the other hand, holds faith in a ‘mixed economy’ where both public and private sectors co-exist side by side Secular The term ‘secular’ too was added by the 42nd Constitutional Amendment Act of 1976. However, as the Supreme Court said in 1974, although the words ‘secular state’ were not expressedly mentioned in the Constitution, there can be no doubt that Constitution-makers wanted to establish such a state and accordingly Articles 25 to 28 (guaranteeing the fundamental right to freedom of religion) have been included in the constitution. The Indian Constitution embodies the positive concept of secularism that is, all religions in our country (irrespective of their strength) have the same status and support from the state Democratic A democratic polity, as stipulated in the Preamble, is based on the doctrine of popular sovereignty, that is, possession of supreme power by the people. Democracy is of two types Direct democracy People exercise their supreme power directly as is the case in Switzerland. There are four devices of direct democracy, namely, Referendum, Initiative, Recall and Plebiscite Indirect democracy In indirect democracy, on the other hand, the representatives elected by the people exercise the supreme power and thus carry on the government and make the laws. This type of democracy, also known as representative democracy, is of two kinds Parliamentary Presidential. The Indian Constitution provides for representative parliamentary democracy under which the executive is responsible to the legislature for all its policies and actions. Universal adult franchise, periodic elections, rule of law, independence of judiciary, and absence of discrimination on certain grounds are the manifestations of the democratic character of the Indian polity. Republic A democratic polity can be classified into two categories monarchy and republic. In a monarchy, the head of the state (usually king or queen) enjoys a hereditary position, that is, he comes into office through succession, eg, Britain. In a republic, on the other hand, the head of the state is always elected directly or indirectly for a fixed period, eg, USA. Therefore, the term ‘republic’ in our Preamble indicates that India has an elected head called the president. He is elected indirectly for a fixed period of five years. Justice The term ‘justice’ in the Preamble embraces three distinct forms social, economic and political, secured through various provisions of Fundamental Rights and Directive Principles. Social justice denotes the equal treatment of all citizens without any social distinction based on caste, colour, race, religion, sex and so on. It means absence of privileges being extended to any particular section of the society, and improvement in the conditions of backward classes (SCs, STs and OBCs) and women. Economic justice denotes the non-discrimination between people on the basis of economic factors. It involves the elimination of glaring inequalities in wealth, income and property. A combination of social justice and economic justice denotes what is known as ‘distributive justice’. Political justice implies that all citizens should have equal political rights, equal access to all political offices and equal voice in the government. The ideal of justice social, economic and political has been taken from the Russian Revolution (1917). Liberty The term ‘liberty’ means the absence of restraints on the activities of individuals, and at the same time, providing opportunities for the development of individual personalities. The Preamble secures to all citizens of India liberty of thought, expression, belief, faith and worship, through their Fundamental Rights, enforceable in court of law, in case of violation. The liberty conceived by the Preamble or fundamental rights is not absolute but qualified. The ideals of liberty, equality and fraternity in our Preamble have been taken from the French Revolution (1789–1799). Equality The term ‘equality’ means the absence of special privileges to any section of the society, and the provision of adequate opportunities for all individuals without any discrimination. Fraternity Fraternity means a sense of brotherhood. The Constitution promotes this feeling of fraternity by the system of single citizenship. Also, the Fundamental Duties (Article 51-A) say that it shall be the duty of every citizen of India to promote harmony and the spirit of common brotherhood amongst all the people of India transcending religious, linguistic, regional or sectional diversities. The Preamble declares that fraternity has to assure two things the dignity of the individual and the unity and integrity of the nation. The word ‘integrity’ has been added to the preamble by the 42nd Constitutional Amendment (1976). Overview of the Preamble’s Status The Preamble to the Constitution of India, while not a directly enforceable part of the document in terms of judicial proceedings, plays a crucial role in constitutional interpretation. Its significance and application have been elaborated upon through various landmark judgments. Key Judicial Interpretations Berubari Union Case (1960) Context: This case concerned the implementation of an agreement between India and Pakistan regarding the exchange of certain territories. Supreme Court’s View: The Court referenced the Preamble under Article 143(1) to understand the intentions of the framers of the Constitution. It concluded that the Preamble, while providing a key to the minds of the framers, does not itself constitute an enforceable part of the Constitution. Kesavananda Bharati Case (1973) Significance: This landmark decision involved the largest bench ever assembled at the time—a 13-judge bench—to adjudicate a writ petition. Ruling: The Court reversed earlier opinions by declaring that the Preamble is indeed a part of the Constitution. However, it emphasized that the Preamble does not confer supreme power, nor does it impose restrictions; rather, it serves a significant interpretative role for understanding the Constitution’s text. Union Government vs LIC of India Case (1995) The Court reaffirmed its position, recognizing the Preamble as an integral part of the Constitution. However, it maintained that the Preamble is not justiciable, meaning its provisions are not enforceable in courts as direct claims Significance of the Preamble The Preamble embodies the basic philosophy and fundamental values— political, moral and religious on which the Constitution is based. It contains the grand and noble vision of the Constituent Assembly, and reflects the dreams and aspirations of the founding fathers of the Constitution. Amendment of the Preamble The question as to whether the Preamble can be amended under Article 368 of the Constitution arose for the first time in the historic case of Kesavananda Bharati (1973). It was urged that the Preamble cannot be amended as it is not a part of the Constitution. The petitioner contended that the amending power in Article 368 cannot be used to destroy or damage the basic elements or the fundamental features of the Constitution, which are enshrined in the Preamble. The Supreme Court, however, held that the Preamble is a part of the Constitution. The Court stated that the opinion tendered by it in the Berubari Union (1960) in this regard was wrong, and held that the Preamble can be amended, subject to the condition that no amendment is done to the ‘basic features’. In other words, the Court held that the basic elements or the fundamental features of the Constitution as contained in the Preamble cannot be altered by an amendment under Article 368. The Preamble has been amended only once so far, in 1976, by the 42nd Constitutional Amendment Act, which has added three new words— Socialist, Secular and Integrity—to the Preamble. This amendment was held to be valid. -Source: The Hindu 5 Years after Removal of Article 370 Context: Recently, the fifth anniversary of the revocation of Article 370, which granted special status to Jammu and Kashmir, was observed. On 5th August 2019, the Government of India revoked Article 370. Relevance: GS II: Polity and Governance Dimensions of the Article: Understanding Article 370 of the Indian Constitution: Special Provisions for Jammu and Kashmir Removal of Special Status of Jammu and Kashmir: Article 370 and Subsequent Developments Impact of the Abrogation of Article 370 Challenges Ahead for Jammu and Kashmir: Addressing Key Concerns Understanding Article 370 of the Indian Constitution: Special Provisions for Jammu and Kashmir Context and Scope: Article 370 is the initial provision of Part XXI, titled ‘Temporary, Transitional and Special Provisions,’ in the Indian Constitution. It grants special provisions to Jammu and Kashmir (J&K), allowing the state to have its own constitution and offering exemptions from certain aspects of the Constitution of India. Exemptions and Legislative Restrictions: Article 370 exempts J&K from the application of the Indian Constitution, with the exception of Article 1 (which defines the territory of India) and Article 370 itself. It enables the state to draft its own constitution. Parliamentary legislative powers over J&K are restricted, necessitating “consultation” with the state government for extending central laws related to subjects listed in the Instrument of Accession (IoA). Instrument of Accession and Powers: The Instrument of Accession (IoA) was signed in 1947 by Raja Hari Singh of J&K and Governor General Lord Mountbatten. The IoA granted Parliament authority to legislate on Defence, External Affairs, and Communications for J&K. However, for extending these powers to other subjects, the “concurrence” of the state government is essential. Application and Transformation: Often described as a “tunnel,” Article 370 facilitated the gradual application of the Indian Constitution to J&K. Through a 1954 order, a significant portion of the Constitution, including numerous Constitutional amendments, was extended to J&K. Removal of Special Status of Jammu and Kashmir: Article 370 and Subsequent Developments Article 370(3) and Removal of Special Status: Article 370(3) allows for the removal of Jammu and Kashmir’s special status through a Presidential Order. Such an order requires prior concurrence from J&K’s Constituent Assembly, which was dissolved in 1957. Views on Removal: One perspective holds that since the Constituent Assembly was dissolved, the removal of special status is not possible. Another viewpoint suggests that removal can occur with the concurrence of the State Assembly. 2019 Developments: The Constitution (Application to Jammu and Kashmir) Order 2019, issued by the President, eliminated J&K’s special status and extended the Indian Constitution’s provisions to the region. The J&K (Reorganization) Act 2019 led to the division of J&K into two Union Territories: J&K with a Legislative Assembly and Ladakh without one. Legal Challenge and Supreme Court Hearing: The Supreme Court of India is presently hearing petitions challenging the 2019 abrogation of Article 370. These developments are significant in shaping the legal and constitutional landscape surrounding Jammu and Kashmir’s special status. Impact of the Abrogation of Article 370 Domicile Clause Implementation: Introduced in April 2020, redefining residency and eligibility for domicile certificates in J&K for individuals with 15 years of residency or 7 years of education culminating in 10th/12th exams in the region. Land Law Revisions: Fourteen land laws were amended, with 12 being repealed, altering land ownership rules that previously favored permanent residents over non-permanent ones. Rights to West Pakistan Refugees: Proprietary rights granted to West Pakistan Refugees and those displaced by the 1965 India-Pakistan war. Legal and Administrative Changes: Bharatiya Nyaya Sanhita (previously the Indian Penal Code) replaced the Ranbir Penal Code, making central laws enforceable. Establishment of the State Investigation Agency in November 2021 to synergize with the National Investigation Agency for efficient handling of terrorism cases. Security and Societal Impacts: Post-abrogation, marked decrease in terrorist activities, recruitment, and violent protests, leading to an enhanced peace and order scenario in the region. Challenges Ahead for Jammu and Kashmir: Addressing Key Concerns Grassroot Democracy and Development: Despite the establishment of District Development Councils (DDCs), genuine grassroot democracy remains a challenge. Development plans are often formulated by officials rather than by elected representatives, hampering effective local governance. Electoral Uncertainty and Protests: The delimitation process sparked speculation about early Assembly elections, but their timing is uncertain. Efforts to include new groups in the state’s Scheduled Tribes (ST) list led to protests from certain communities like the Gujjars and Bakerwals. Targeted Killings and Security Vulnerabilities: A series of targeted civilian killings, particularly of Kashmiri Hindus and non-Kashmiris, has exposed vulnerabilities despite improved security measures. The security situation is complicated by the use of small weapons dropped by drones and alleged “part-time” militants engaged by handlers from across the border. -Source: Indian Express Quit India Movement Context: August Kranti Day is observed on the 8th August annually in India. In 2024, India celebrates the 82nd anniversary of the Quit India Movement. Relevance: GS I- Modern History Dimensions of the Article: Build-up to August 1942 Extent of Mass Participation Brutal suppression of protests Build-up to August 1942 While factors leading to such a movement had been building up, matters came to a head with the failure of the Cripps Mission. With World War II raging, the beleaguered British government needed the cooperation of its colonial subjects. With this in mind, in March 1942, a mission led by Sir Stafford Cripps arrived in India to meet leaders of the Congress and the Muslim League. The idea was to secure India’s whole-hearted support in the war, and the return offer to Indians was the promise of self-governance. But things did not go that way. Despite the promise of “the earliest possible realisation of self-government in India”, Cripps only offered dominion status, not freedom. Also, there was a provision for the partition of India, which was not acceptable to the Congress. The failure of the Cripps Mission made Gandhi realise that freedom would come only if Indians fought tooth and nail for it. The Congress was initially reluctant to launch a movement that could hamper Britain’s efforts to defeat the fascist forces. But it eventually decided on mass civil disobedience. At the Working Committee meeting in Wardha in July 1942, it was decided the time had come for the movement to move into an active phase. Gandhi made a call to Do or Die in his Quit India speech, followed by the launch of a mass protest demanding what Gandhi called “An Orderly British Withdrawal” from India. Almost the entire leadership of the Indian National Congress was imprisoned without trial within hours of Gandhi’s speech. The slogan ‘Quit India’ While Gandhi gave the clarion call of Quit India, the slogan was coined by Yusuf Meherally, a socialist and trade unionist who also served as Mayor of Bombay. A few years ago, in 1928, it was Meherally who had coined the slogan “Simon Go Back”. Extent of Mass Participation The participation was on many levels. Youth, especially the students of schools and colleges, remained in the forefront. Women, especially school and college girls, actively participated, and included Aruna Asaf Ali, Sucheta Kripalani and Usha Mehta. Workers went on strikes and faced repression. Peasants of all strata were at the heart of the movement. Even some zamindars participated. These peasants concentrated their offensive on symbols of authority and there was complete absence of anti-zamindar violence. Government officials, especially those belonging to lower levels in police and administration, participated resulting in erosion of government loyalty. Muslims helped by giving shelter to underground activists. There were no communal clashes during the movement. The Communists did not join the movement; in the wake of Russia (where the communists were in power) being attacked by Nazi Germany, the communists began to support the British war against Germany and the ‘Imperialist War’ became the ‘People’s War’ The Muslim League opposed the movement, fearing that if the British left India at that time, the minorities would be oppressed by the Hindus. The Hindu Mahasabha boycotted the movement. The Princely states showed a low-key response. Lack of Unity The British had the support of the Viceroy’s Council (which had a majority of Indians), of the All India Muslim League, the princely states, the Indian Imperial Police, the British Indian Army, the Hindu Mahasabha and the Indian Civil Service. Many Indian businessmen profiting from heavy wartime spending did NOT support the Quit India Movement. Brutal suppression of protests The Quit India movement was violently suppressed by the British — people were shot and lathicharged, villages were burnt, and backbreaking fines were imposed. In the five months up to December 1942, an estimated 60,000 people had been thrown into jail. However, though the movement was quelled, it changed the character of the Indian freedom struggle, with the masses rising up to demand with a passion and intensity like never before: that the British masters would have to Quit India. -Source: Indian Express Rashtriya Vigyan Puraskar Context: The Indian government has introduced the Rashtriya Vigyan Puraskar (RVP) awards for the year 2024, establishing a new precedent in acknowledging scientific contributions. This initiative marks a transformative step in the country’s strategy towards celebrating scientific achievements. The inaugural presentation of these awards is scheduled for August 23rd, coinciding with India’s first National Space Day, which commemorates the successful moon landing of Chandrayaan-3. Relevance: GS II: Government Policies and Interventions Dimensions of the Article: Overview of Rashtriya Vigyan Puraskar Special Recognitions of 2024 Overview of Rashtriya Vigyan Puraskar The RVP was established in 2024, replacing the Shanti Swarup Bhatnagar Prize, aiming to offer a more inclusive and contemporary acknowledgment of achievements in science and technology. Open to scientists, technologists, and innovators of Indian origin, including Persons of Indian Origin (PIO), regardless of their location. Awards are distributed across several fields including Physical, Chemical, Biological, Mathematical, Earth & Atmospheric, and Engineering Sciences. Award Categories and Recognition Vigyan Ratna (VR): For lifetime achievements in science and technology, with up to 3 awardees each year. Vigyan Shri (VS): Recognizes significant contributions in any scientific or technological domain, with up to 25 awardees annually. Vigyan Yuva-Shanti Swarup Bhatnagar (VY-SSB): Focuses on young scientists under 45 who have shown exceptional innovation or research. Vigyan Team (VT): Honors collaborative efforts in science and technology, with up to 3 team awards each year. Special Recognitions of 2024 Vigyan Ratna: Awarded to G. Padmanabhan for his research on malaria parasites. Vigyan Team: The Chandrayaan-3 Team for their historical moon landing in 2023. Vigyan Shri: Awarded to Annapurni Subramaniam, Jayant Bhalchandra Udgaonkar, and Naba Kumar Mondal for their contributions to astrophysics, biology, and particle physics, respectively. Vigyan Yuva: Recognizes Vivek Polshettiwar for carbon capture technologies, Urbasi Sinha for quantum research, and Roxy Mathew Koll for climate science. Award Ceremony The awards are announced on May 11th, National Technology Day. Ceremony: Held on National Space Day, where each awardee receives a ‘Sanad’ (Certificate) from the President of India, and a brochure detailing their contributions is distributed. -Source: Indian Express Pyrocumulonimbus Clouds Context: The wildfires currently raging in the United States and Canada are so intense that they have created ‘pyrocumulonimbus’ clouds, which have the potential to spit out thunder and spark more fires. Relevance: GS I: Geography Pyrocumulonimbus Clouds Pyrocumulonimbus clouds, often formed during intense wildfires or volcanic eruptions, represent a dramatic and powerful natural phenomenon. Formation Pyrocumulonimbus clouds develop exclusively during extreme heat conditions like wildfires or volcanic activities. Process: The fire heats the surrounding air, causing it to rise rapidly. This hot, buoyant air carries water vapor along with smoke and ash upwards. As the air ascends and cools, the water vapor condenses on the particles of ash, forming a dense, grey or brown cloud initially known as a pyrocumulus or ‘fire cloud.’ With enough moisture and heat, these can develop into larger, more complex pyrocumulonimbus clouds. Characteristics and Impact These clouds can soar up to 50,000 feet, creating their own weather systems, including thunderstorms. Despite producing lightning, these clouds seldom bring significant rainfall. Secondary Effects: They can ignite new wildfires far from the original fire due to lightning strikes. They may generate strong winds that exacerbate fire spread, making containment efforts challenging and unpredictable. Environmental Concerns Climate Change Link: There is growing evidence that climate change, contributing to higher global temperatures, may be increasing the frequency and intensity of conditions favorable to the formation of pyrocumulonimbus clouds. Broader Implications: As global temperatures continue to rise, wildfires and consequently pyrocumulonimbus clouds are expected to become more frequent and intense, posing increased risks to ecosystems and human settlements. -Source: Indian Express Eta Carinae Context: Astronomers are closely monitoring Eta Carinae, as it may be on the verge of a spectacular explosion. Relevance: Facts for Prelims Eta Carinae: Eta Carinae is classified as a hypergiant star, with a mass around 100 times greater than that of the Sun. This star resides approximately 7,500 light-years away within the Carina Nebula, positioning it among the most massive and luminous stars known, making it a prime candidate for a future supernova event. About 170 years ago, Eta Carinae experienced a massive outburst known as the Great Eruption, which momentarily made it one of the brightest stars visible from the southern hemisphere. This event led to the formation of the Homunculus Nebula, an iconic hourglass-shaped cloud of gas and dust encircling the star. Unique Characteristics: Uniquely, Eta Carinae is the only star known to emit natural laser light, enhancing its mysterious nature. The Hubble Space Telescope has captured detailed imagery of the nebula surrounding Eta Carinae, featuring intriguing phenomena like diffraction spikes and radial streaks that remain unexplained. The eventual supernova of Eta Carinae is anticipated to be a monumental astronomical event, possibly surpassing the brilliance of any other recorded supernova, including SN 2006gy. The supernova of Eta Carinae, when it occurs, is expected to be a spectacular visual event from Earth, providing critical data for understanding the life cycles of massive stars. -Source: The Hindu

Daily PIB Summaries

PIB Summaries 08 August 2024

CONTENTS Ayushman Bharat National Handloom Day Ayushman Bharat Context: Beneficiaries aged 70 years and above made up over 12 per cent of all admissions under the government’s flagship Ayushman Bharat health insurance scheme, according to data presented in Parliament by the Union Ministry of Health and Family Welfare. Relevance: Focus:  GS II-  Issues relating to development and management of Social Sector/Services relating to Health, Education, Human Resources. Dimensions of the Article: Key Progress and Insights from the Ayushman Bharat Scheme Elderly Care Focus in Ayushman Bharat About Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY) About the National Health Authority (NHA) Key Progress and Insights from the Ayushman Bharat Scheme As of January 2024, the Ayushman Bharat scheme successfully issued over 30 crore Ayushman cards, with a notable app launch aimed at streamlining the card creation process. Uttar Pradesh leads with 4.83 crore cards, followed by Madhya Pradesh and Maharashtra with 3.78 crore and 2.39 crore cards, respectively. Notably, 48% of the treatments under this scheme have been utilized by women, showcasing the scheme’s commitment to gender equity. The scheme has facilitated over 6.2 crore hospital admissions, translating into more than Rs. 79,000 crores in medical treatments. Elderly Care Focus in Ayushman Bharat Senior Citizen Coverage: Elderly beneficiaries (aged 70 and above) represent over 12% of all admissions and nearly 14% of the total expenditure, reflecting the scheme’s targeted support towards aging populations. Government Expansion Plans: There are plans to extend benefits to all individuals over 70, potentially adding nearly 4 crore new beneficiaries, regardless of their economic status. State Expenditure on Elderly: States like Maharashtra, Kerala, and Haryana are among those with the highest expenditure on elderly care, indicating a focused allocation of resources towards aging populations. Policy Utilization and Costs: The inclusion of ASHA and Anganwadi workers in February’s interim budget, with a slight budget increase in July, aims to broaden the scheme’s reach and impact, particularly among India’s growing elderly population projected to reach 319 million by 2050. About Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY) Ayushman Bharat – Pradhan Mantri Jan Arogya Yojana (AB-PMJAY) is a Centrally Sponsored Scheme having central sector component under Ayushman Bharat Mission anchored in the Ministry of Health and Family Welfare (MoHFW). It is an umbrella of two major health initiatives, namely Health and wellness Centres and National  Health Protection Scheme. The PM Jan Arogya Yojana beneficiaries get an e-card that can be used to avail services at an empanelled hospital, public or private, anywhere in the country, with which they can walk into a hospital and obtain cashless treatment. The scheme has certain pre-conditions by which it picks who can avail of the health cover benefit. While in the rural areas the list is mostly categorized on lack of housing, meagre income and other deprivations, the urban list of PMJAY beneficiaries is drawn up on the basis of occupation. AB PM-JAY is the flagship scheme of the Union government as a part of the Indian government’s National Health Policy. National Health Protection Mission (AB-PMJAY) AB-PMJAY provides a defined insurance benefit cover of Rs. 5 lakh per family per year. This cover will take care of almost all secondary care and most of tertiary care procedures. To ensure that nobody is left out (especially women, children and elderly) there will be no cap on family size and age in the scheme. The beneficiaries can avail benefits in both public and empanelled private facilities. All public hospitals in the States implementing AB-PMJAY, will be deemed empanelled for the Scheme. Benefits of the scheme are portable across the country and a beneficiary covered under the scheme will be allowed to take cashless benefits from any public/private empanelled hospitals across the country. To control costs, the payments for treatment will be done on package rate (to be defined by the Government in advance) basis. Health and Wellness Centres (AB-PMJAY) Under this 1.5 lakh existing sub centres will bring health care system closer to the homes of people in the form of Health and wellness centres. These centres will provide comprehensive health care, including for non-communicable diseases and maternal and child health services. About the National Health Authority (NHA) National Health Authority (NHA) is the apex body responsible for implementing India’s flagship public health insurance/assurance scheme called “Ayushman Bharat Pradhan Mantri Jan Arogya Yojana”. The NHA been entrusted with the role of designing strategy, building technological infrastructure and implementation of “Ayushman Bharat Digital Mission” to create a National Digital Health Eco-system. National Health Authority (2019) is the successor of the National Health Agency, which was functioning as a registered society since 2018 (Not a Statutory body). NHA has been set-up to implement PM-JAY, as it is popularly known, at the national level. NHA is an attached office of the Ministry of Health and Family Welfare with full functional autonomy. NHA is also leading the implementation for Ayushman Bharat Digital Mission ABDM in coordination with different ministries/departments of the Government of India, State Governments, and private sector/civil society organizations. NHA is governed by a Governing Board chaired by the Union Minister for Health and Family Welfare and it is headed by a Chief Executive Officer (CEO), an officer of the rank of Secretary to the Government of India, who manages its affairs. National Handloom Day Context: Recently, the 10th National Handloom Day was celebrated on 7th August 2024. This day has been celebrated since 2015 and marks the launch of the Swadeshi Movement on 7th August 1905, part of the independence struggle promoting domestic handloom products. Relevance: GS-I Art and Culture Introduction Handloom sector is a symbol of the country’s glorious cultural heritage and an important source of livelihood in the country. The sector is key to women empowerment as over 70% of handloom weavers and allied workers is women. National Handloom Day 7th August was chosen as the National Handloom Day to commemorate the Swadeshi Movement which was launched on the same date in the year 1905. On this day, the handloom weaving community is honoured and the contribution of this sector in the socio-economic development of this country is highlighted. The objective is to generate awareness about Handloom Industry amongst public at large and its contribution to the socio-economic development. The objective is to generate awareness about Handloom Industry amongst public at large and its contribution to the socio-economic development. The more the world knows about the richness and diversity of these products, the greater our artisans and weavers will benefit.

Editorials/Opinions Analysis For UPSC 08 August 2024

CONTENTS Balancing Competition and Sustainability for India Powering India’s Future Balancing Competition and Sustainability for India Context: Markets are at the heart of the economy, having evolved from the barter system to today’s digital platforms. The dynamics of supply and demand largely dictate pricing and consumer preferences. Climate change disrupts the supply side, causing an imbalance between supply and demand, which affects consumer demand and the overall economy. Relevance: GS3- Inclusive Growth, Environmental Conservation Mains Question: For India, to reach its pledged state of net zero emissions, every economic sector must contribute to greener means of production. Discuss. (10 Marks, 150 Words). Corporate Sustainability Reporting: In 2023, the Securities and Exchange Board of India introduced a framework for corporate sustainability reporting. The updated Business Responsibility and Sustainability Report requires companies to account for the environmental impact of their value chains, promoting transparency, combating greenwashing, and ensuring that sustainability benefits extend throughout the value chain. The Competition and Sustainability Scale Globally: Globally, competition authorities have raised concerns about the need for competitors to offset potential drawbacks of being early adopters of change while also achieving sustainability goals. Many authorities were hesitant to incorporate sustainability considerations, fearing that competitors might use it as a pretext for collusion. Nevertheless, authorities should focus on encouraging companies to jointly pursue sustainability goals and assess cooperation where enterprises can demonstrate the aim of achieving sustainability objectives. Japan’s Anti-Monopoly Act introduced guidelines to assist private businesses in engaging in horizontal collaborations for a “green society.” These guidelines indicate that most activities aimed at environmental sustainability are unlikely to restrict competition, and they often have pro-competitive effects that can benefit consumers. The European Commission recently released a draft of revised guidelines on horizontal agreements, which now include a specific section on sustainability agreements. Concerns will only arise if these agreements impose serious competition restrictions by object or create significant negative effects on competition contrary to Article 101(1). The goals are to tackle climate change, reduce pollution, limit natural resource use, and promote resilient infrastructure and innovation. The Competition Commission of India (CCI) and Sustainability: While many countries worldwide are incorporating sustainability policies into competition law through cooperation among competitors and guidelines, the Competition Commission of India (CCI) might also consider integrating sustainability policies into its evaluations. India has committed to achieving net-zero emissions by 2070, but in 2023, it ranked fifth in global warming contributions. The CCI chairperson, Ravneet Kaur, recently mentioned that the CCI will explore sustainability policies for markets. During the pandemic, the CCI issued an advisory acknowledging that COVID-19 disrupted supply chains and noted that businesses might need to share information to ensure fair distribution of products and services. The Competition Act, 2002, has safeguards to protect businesses from sanctions, and the CCI only considered businesses necessary to address COVID-19 concerns. The CCI could release advisories exempting collaborations aimed at sustainable goals or greener technological innovations when necessary and proportionate. Under Section 49(3) of the Competition Act, 2002, the CCI can take measures to promote competition advocacy and awareness and participate in formulating economic policies related to competition and sustainability. The CCI could focus on sustainability policies and enterprise collaboration for greener innovations, releasing guidance notes on sustainability agreements and exemption methods under the Competition Act, 2002. In the U.K., the Competition and Markets Authority launched a market study into the electric vehicle charging sector to explore the development of competition alongside innovation, choice, lower prices, investment, and quality improvements. A similar comprehensive study on green initiatives and market feasibility would benefit the Indian market. In 2011, the TRAI released recommendations that sustainability practices be included in the proposed National Telecom Policy, promoting an environmentally friendly telecom sector. The CCI might consider incorporating sustainability practices into the National Competition Policy in the future. Way Forward: Competition cannot be separated from sustainability. Addressing climate change requires adopting new technologies that reduce resource consumption and promote innovation through sustainability policies. For India to achieve its goal of net-zero emissions, every economic sector must adopt greener production methods. The CCI can implement competition policies that enhance innovation while taking environmental concerns into account. Competition policy should incorporate sustainability economics while addressing market failures and collective action challenges. Conclusion: By issuing guidelines, the benefits of sustainability can outweigh potential negative impacts on competition. Including sustainability considerations in evaluating cooperation among competitors can significantly enhance sustainability in markets. Powering India’s Future Context: In her seventh consecutive budget speech, the Finance Minister outlined measures that underscore India’s dedication to transitioning to clean energy. These measures include developing policies for pumped hydro storage and creating energy transition pathways to support nuclear energy and improve energy efficiency. However, the recent record-breaking summer heatwaves, which increased power demand, highlight the challenges posed by a growing economy and a warming climate. Relevance: GS3- Environmental Conservation Mains Question: Discuss a roadmap for investing in a cleaner, flexible, and resilient power grid that will help our economy grow sustainably and create jobs in the clean energy sectors. (10 Marks, 150 Words). Milestones Achieved: For the current government, energy security and the clean energy transition have been priorities. This focus is evident from three significant milestones India has reached in the past decade. First, near-universal electrification was achieved through the Saubhagya scheme, with independent surveys by the Council on Energy, Environment, and Water (CEEW) indicating that about 97% of households were electrified by 2020. Second, the country experienced a five-fold increase in installed renewable energy (RE) capacity, making India the fourth-largest globally in RE capacity. Third, there was a 40% reduction in aggregate losses of power distribution companies (discoms), reaching an all-time low of about 15% in 2022-23. Associated Challenges: However, India faces challenges in rapidly decarbonizing its power system while ensuring quality and affordable power for consumers. Additionally, India’s power sector must brace for stronger headwinds. Annual electricity demand has been growing by 7-9% each year since the COVID-19 pandemic, with peak demand increasing even faster. Climate change-induced weather extremes exacerbate these challenges. Discoms find it difficult to meet unplanned surges using affordable options and existing network capacity, leading to power outages. Way Forward: Raise Targets for Renewable Energy and Storage: To address these concerns, the government must raise targets for renewable energy and storage systems beyond 500 GW by 2030. Despite past efforts to add renewable capacity, its share in India’s power generation mix is only 13%. Previous power supply shortages and anticipated rising energy demand have led policymakers to consider new coal capacity. Instead, we should aim to increase the share of renewables in India’s power generation mix and scale up storage solutions. Renewables and storage can support peak demand, are cost-competitive, and can be built more quickly. Accelerate the Deployment of a Diverse Range of Clean Energy Resources: Second, accelerate the deployment of a diverse range of clean energy resources. In 2023 alone, China added 300 GW of solar and wind capacity, while the European Union added 73 GW. As of March, India’s cumulative renewable capacity was 144 GW, with another 128 GW in progress. This comparison underscores the need to rapidly and extensively deploy clean resources. This requires tapping into the renewable energy potential in more states, speeding up grid connectivity, and ensuring access to suitable, conflict-free land for timely project commissioning. Diversifying from solar energy to other clean technologies would also help India meet its evolving demand. Improve Energy Availability: Third, implement measures to improve energy availability. During FY23, only 6.3% of India’s power generation was procured through power exchanges, with the rest sourced through bilateral agreements. The low liquidity (volume being traded) in the power exchange presents risks of price volatility. This limits both buyers and sellers from relying on the exchange for power procurement and value recovery, thus constraining our ability to integrate renewables at scale. India needs innovation in bid designs to attract renewable energy developers to sell power on the exchange, along with setting up capacities for long-term contracts. For example, under the RE Implementation Agency-led bidding process, RE developers might be required to allocate part of the project capacities for merchant sales, in addition to the bid quantum for long-term contracts. Effective Maintenance and Utilization of the Coal Fleet: Fourth, ensure effective maintenance and utilization of the coal fleet. Even as more renewables are added, coal continues to play an important role. CEEW’s analysis of MERIT data shows that in FY24, over 210 GW of coal capacity generated about 80% of the power during non-solar hours. However, more than 40 GW of coal capacity was unavailable for nearly 60% of the time that year due to planned maintenance or technical faults. State regulators must revise norms to enable timely maintenance of the coal fleet and compensate for investments to make select coal plants flexible. Accelerate Digitalization: Finally, accelerate digitalization to enable discoms and consumers to actively participate in India’s energy transition. Smart meters can help discoms accurately forecast power demand, improve network planning, and integrate renewables cost-effectively. Over 11 million smart meters have already been installed in India, with half located in Bihar and Assam. However, India is still far from its target of 250 million smart meters. Discoms need to overcome their hesitation and look to Bihar and Assam for inspiration, as they are already experiencing benefits such as reduced losses and timely bill delivery through smart metering. It is crucial to prioritize consumer privacy and system preparedness against cyberattacks in regulations and digitalization efforts. Conclusion: All eyes are on the Indian government to deliver in this critical decade. Investing in a cleaner, more flexible, and resilient power grid will help the economy grow sustainably and create jobs in the clean energy sectors