DAILY CURRENT AFFAIRS (OCTOBER 31, 2022)

INDIAN POLITY

1. THE DOCTRINE OF PLEASURE

THE CONTEXT: Kerala Governor and the State government have major differences over multiple issues. The latest controversy has arisen after he sought the resignation of several vice-chancellors following a Supreme Court judgment setting aside the appointment of the Vice-Chancellor of a technology university.

THE EXPLANATION:

What is the concept?

  • The pleasure doctrine is a concept derived from English common law, under which the crown can dispense with the services of anyone in its employ at any time. In India, Article 310 of the Constitution says every person in the defence or civil service of the Union holds office during the pleasure of the President, and every member of the civil service in the States holds office during the pleasure of the Governor.
  • However, Article 311 imposes restrictions on the removal of a civil servant. It provides for civil servants being given a reasonable opportunity for a hearing on the charges against them. There is also a provision to dispense with the inquiry if it is not practicable to hold one, or if it is not expedient to do so in the interest of national security. In practical terms, the pleasure of the President referred to here is that of the Union government, and the Governor’s pleasure is that of the State government.
  • Under Article 164, the Chief Minister is appointed by the Governor; and the other Ministers are appointed by the Governor on the CM’s advice. It adds that Ministers hold office during the pleasure of the Governor. In a constitutional scheme in which they are appointed solely on the CM’s advice, the ‘pleasure’ referred to is also taken to mean the right of the Chief Minister to dismiss a Minister, and not that of the Governor.

Role of University Grants Commission:

  • Although Education comes under the Concurrent List, but entry 66 of the Union List — “coordination and determination of standards in institutions for higher education or research and scientific and technical institutions” — gives the Centre substantial authority over higher education.
  • According to the UGC Regulations, 2018, the “Visitor/Chancellor” — mostly the Governor in states — shall appoint the VC out of the panel of names recommended by search-cum-selection committees.
  • Higher educational institutions, particularly those that get UGC funds, are mandated to follow its regulations.
  • These are usually followed without friction in the case of central universities but are sometimes resisted by the states in the case of state universities.

About Vice-Chancellor:

  • Vice chancellors lead the university’s academic and administrative departments.
  • They may serve on several university councils, assist with policy development and academic planning, prepare budgets, and maintain the institution’s positive image.
  • As per the University Grants Commission (UGC) Guidelines, the Visitor/Chancellor shall appoint the Vice Chancellor out of the panel of names recommended by the search-cum-selection committee.
  • The Governor of the state is the honorary chancellor of all State owned universities.

2. ARE THERE ANTI-SUPERSTITION LAWS IN INDIA?

THE CONTEXT: The recent brutal murders of two women as part of “ritualistic human sacrifices” in Pathanamthitta district of Kerala have left the country in shock. The murders have sparked a debate about the prevalence of superstitious beliefs, black magic and witchcraft in India.

THE EXPLANATION:

How prevalent are superstitious killings in India?

  • As per the 2021 report of the National Crime Records Bureau (NCRB), six deaths were linked to human sacrifices, while witchcraft was the motive for 68 killings.
  • The maximum number of witchcraft cases were reported from Chhattisgarh (20), followed by Madhya Pradesh (18) and Telangana (11).
  • In 2020, India saw 88 deaths due to witchcraft and 11 died as part of ‘human sacrifices’, the NCRB report states.

Legal provisions against superstition

  • In India, there is no central law that exclusively deals with crimes related to witchcraft, superstition, or occult-inspired activities.
  • Article 51A (h) of the Indian Constitution makes it a fundamental duty for Indian citizens to develop the scientific temper, humanism and the spirit of inquiry and reform.
  • In the absence of a nationwide legislation, a few States have enacted laws to counter witchcraft and protect women from deadly ‘witch-hunting’.

Precedence set by States

  • Bihar was the first State to enact a law to prevent witchcraft, identification of a woman as a witch and eliminate torture, humiliation and killing of women.
  • The Prevention of Witch (Daain) Practices Act came into force in October 1999.
  • A similar law was passed in Jharkhand in 2001 — the Prevention of Witch (Daain) Practices Act.
  • In Maharashtra, the Maharashtra Prevention and Eradication of Human Sacrifice and other Inhuman, Evil and Aghori Practices and Black Magic Act, 2013.
  • It was passed after the murder of anti-superstition activist Dr. Narendra Dabholkar.

What about Central Legislation?

  • Certain sections of the Indian Penal Code enlist penalties applicable for such incidents.
  • Section 302 (punishment for murder) takes cognisance of human sacrifice, but only after the murder is committed.
  • Section 295A (Deliberate and malicious acts, intended to outrage religious feelings of any class by insulting its religion or religious beliefs) works to discourage such practices.
  • Other provisions under the Drugs and Magic Remedies Act of 1954 also aim to tackle the debilitating impact of various superstitious activities prevalent in India.

HEALTH ISSUES

3. WHAT IS MYOSITIS?

THE CONTEXT: Recently,Samantha Ruth Prabhu- Southern film actress revealed that she has been diagnosed with an autoimmune condition called Myositis.

THE EXPLANATION:

What is myositis?

It is a rare condition that causes muscles to become weak, painful and tired. Myo means muscle, itis means inflammation. When muscles are inflamed, they may be swollen and susceptible to pain.

Causes: It is usually caused by a problem with the immune system, where it mistakenly attacks healthy tissue. In most cases, the exact cause of myositis is unknown and therefore considered idiopathic.

Prevalence: Around 4-22 cases per one lakh population. Myositis can affect both children and adults. With the exception of one type of myositis, women are more likely to be affected by this disease than men.

Types of myositis:

  • Dermatomyositis
  • Inclusion-body myositis
  • Juvenile myositis
  • Polymyositis
  • Toxic myositis

Symptoms: The general symptoms may include muscle pain and soreness, fatigue, trouble swallowing, and difficulty breathing.

Treatment: Since there is no one medical treatment that fits all, immunosuppressant drugs are recommended along with physical therapy, exercise, stretching, and yoga which can help keep muscles strong and flexible and prevent muscle atrophy.

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

4. CENTRE’S NOD TO TERAI ELEPHANT RESERVE

THE CONTEXT: The Centre has approved the setting up of the Terai Elephant Reserve (TER) at Dudhwa-Pilibhit in Uttar Pradesh. The Terai Elephant Reserve is the 3rd Elephant Reserve in India.

THE EXPLANATION:

About Terai Elephant Reserve

  • The Terai Elephant Reserve will be established in Dudhwa-Pilibhit in Uttar Pradesh. It will span across 3,049 sq km area. It will be the 33rd elephant reserve to be set up in India. It will be in the joint forest regions of Dudhwa and Piliphit tiger reserves that are involved in the conservation of tiger, Asian elephant, swamp deer and one-horned rhinoceros.
  • It is the third elephant reserve to get approval from the Union Environment Ministry in the past three months under Project Elephant, with the other two being Lemru in Chhattisgarh and Agasthymalai in Tamil Nadu.

Why is TER significant?

  • The establishment of the new elephant reserve will help conserve the trans-boundary migration of elephant populations. It will help protect the neighbouring villages in the Indo-Nepal border area of Uttar Pradesh.
  • It will also help in the management of grassland and elephant corridor in Dudhwa and Piliphit tiger reserves. Tiger reserves’ conservation efforts and the elephant reserve plans will supplement each other, making activities like drinking water management, maintenance and renovation of wildlife corridors, capacity building of forest personnel, mitigation of human-animal conflict and others more economical.
  • Due to the absence of financial constraints, forest officials of the tiger reserves can compensate villagers for the damages of crops and houses caused by elephants without requiring state government’s funding. This will ensure the welfare of both the wildlife in protected areas and residents of nearby villages.

VALUE ADDITION:

What is Project Elephant?

  • Project Elephant was launched by the Central Government in 1992 to provide financial and technical aid to states for the protection of free-ranging population of wild Asian elephants.
  • This centrally sponsored scheme aims to ensure long-term survival of Asian elephants in their natural habitats by protecting them, their habitats and migration corridors.

SCIENCE AND TECHNOLOGY

5. A NEW TARGET FOUND TO COMBAT AMR SALMONELLA

THE CONTEXT: Recent studies have found the emergence of multi-drug resistant Salmonella typhimurium DT104 that causes infections in humans and cattle.

THE EXPLANATION:

  • The rapid and unselective use of traditional antibiotics gives rise to the emergence of drug resistant phenotype in typhoidal and non-typhoidal Salmonella serovars, which has increased the difficulties in curing Salmonella-induced food-borne illnesses (majorly typhoid or paratyphoid fever, gastroenteritis, and diarrhoea) worldwide.

What is Salmonella typhimurium?

  • Salmonella typhimurium ST313, an invasive non-typhoidal Salmonella serovar, causes bloodstream infection in the malnourished and immunocompromised population of sub-Saharan Africa.
  • Recent studies have reported the emergence of multi-drug resistant (MDR) phenotype in Salmonella tphimurium DT104, which causes infection in humans and cattle.

Conferring protection

  • The MDR phenotype in this pathogen was provided by Salmonella Genomic Island-1 (SGI-1), which confers protection against a wide range of antibiotics, including ampicillin (pse-1), chloramphenicol/florfenicol (floR), streptomycin/spectinomycin (aadA2), sulphonamides (sul1), and tetracycline (tetG) (ACSSuT).
  • Further emergence of extensively drug-resistant (XDR) S. Typhimurium ST313 (having multi-drug resistant (MDR) and resistance against extended-spectrum beta-lactamase and azithromycin) in Africa posed a significant threat to global health.

Recent studies reported an annual incidence of as many as 360 cases of typhoid fever per 1,00,000 people, with an annual estimate of 4.5 million cases and 8,930 deaths (0.2% fatality rate) in India.

PRELIMS PERSPECTIVE

6. KALANAMAK RICE, ‘BUDDHA’S GIFT TO PEOPLE’

THE CONTEXT: Recently, Indian Agriculture Research Institute has successfully tested two new dwarf varieties — Pusa Narendra Kalanamak 1638 and Pusa Narendra Kalanamak 1652 — in Uttar Pradesh that give double the yield.

THE EXPLANATION:

What is Kalanamak Rice?

  • Kalanamak, a traditional variety of paddy with a black husk and a strong fragrance, which is considered a gift from Lord Buddha to the people of the Sravasti when he visited the region after enlightenment, is all set to get a new look and name. Grown in 11 districts of the Terai region of northeastern Uttar Pradesh and in Nepal, the traditional variety has been prone to lodging, a reason for its low yield.
  • The traditional Kalanamak rice is protected under the Geographical Indication (GI) tag system. It’s recorded in the GI application that Lord Budhha gifted Kalanamak paddy to the people of Sravasti so that they remembered him by its fragrance.
  • It has also been featured in the book ‘Speciality Rices of the World’ by the Food and Agriculture Organization of the United Nations.

A tall problem

The problem with the traditional variety of Kalanamak paddy is that it’s tall and prone to lodging, which badly impacted grain filling and quality. The yield, as a result, fell drastically, and the market for the rice dwindled, too. The traditional Kalanamak paddy’s yield is barely two to 2.5 tonnes per hectare.

PRELIMS PRACTICE QUESTION

QUESTION OF THE DAY

Q1. ‘Bio-Village 2’ recently seen in news, gives emphasis on –

a) How to minimise the damage caused by natural disasters

b) Use of renewable energy sources in village

c) Use of biogas for cooking purpose in villages

d) Use of biomass in sustainable manner in villages

Answer: A

Explanation:

  • In collaboration with the Bio-Technology department, the Tripura Renewable Energy Development Authority (TREDA) has established the country’s first bio-village at Daspara, Tripura.
  • Solar power is used to meet the energy needs of 64 Daspara families. The Bio-Technology department has encouraged villagers who were previously solely reliant on agriculture and fishing to establish piggeries and begin goat-rearing.
  • Some villages of Tripura have ascended to the level of Bio-Village 2. Bio-Village 2 emphasizes how to minimize the damage caused by natural disasters. In this, full attention is given to improve the quality of life of the people through various measures. There is complete focus on Solar Energy, Biogas, Bee Keeping and Bio Fertilizers. Overall, Bio-Village 2 is going to lend a lot of strength to the campaign against climate change.



TOPIC : POLITICS OF FREEBIES – A PASSPORT TO FISCAL DISASTER

THE CONTEXT: Fifteenth Finance Commission Chairperson NK Singh on 19 April 2022 delivered a lecture in Delhi School of Economics and warned about how the politics of freebies could lead to fiscal disasters. Over the years the politics of freebies has become an integral part of the electoral battles in India and the scenario was no different in the recently held assembly polls in five states, Uttar Pradesh, Uttarakhand, Goa, Punjab and Manipur. This article analyzes the socio-economic costs of freebies by distinguishing it from the concept of “expenditure on the public good, having overall benefits.”

THE IDEA OF FREEBIES

  • The literal meaning of freebie is something that is given free of charge or cost.
  • Political parties are outdoing each other in promising free electricity and water supply, laptops, cycles, electronic appliances, etc. These are called ‘freebies’ and are characterized as unwise for long term fiscal stability.
  • However, during the pandemic, governments (both Union and states), as well as the RBI, took several measures to mitigate pandemic effects. This included expansion of the food security scheme for two full years; cash transfer schemes for farmers, expansion of the jobs scheme etc.

THE COMPLEX ISSUE OF FREEBIES

  • There is great ambiguity in what “freebies” mean.
  • Merit goods Vs. Public goods: We need to distinguish between the concept of merit goods and public goods on which expenditure outlays have overall benefits such as the strengthening and deepening of the public distribution system, employment guarantee schemes, support to education and enhanced outlays for health, particularly during the pandemic.
  • Around the world, these are considered to be desirable expenditures.
  • It is important to analyse, not how cheap the freebies are but how expensive they are for the economy, life quality and social cohesion in the long run.

Merit goods: are those public goods which results in interference with consumer choices. Here the government will be providing the goods (merit) to specific section of the society because of their backward status, poverty etc (depending on their merit, like the Sarva Shiksha Abhiyan).

Public goods: refer to those goods which satisfy public wants. The main attribute of public good is that they are supplied by the government jointly for the entire public.Examples for public goods are defense services, pollution control, streetlight etc.

REASONS FOR THE RISE OF FREEBIE CULTURE DURING ELECTIONS

CONSTITUTIONAL MANDATE FOR THE WELFARE OF THE CITIZENS

  • It is based on the principles of equality and is keen to provide equal opportunity to all. It also aims to ensure equitable distribution of wealth.The 4th century BC treatise on the art of statecraft laid out a framework for good governance and welfare, however in present times it is imperative to draw a line between dole or a handout and spending on the public good having greater benefits.

POLITICAL MANDATE

  • Political parties contesting the polls release their manifesto stating their aims and plans for every section of the society albeit having much of the focus on announcing schemes for their largest chunk of the votebank i.e. the lower strata of the society.
  • Freebies are often used as a tool to conceal the poor performance of the incumbent government on the socio-economic parameters and provide an opportunity to alter the voter’s mindset from real issues to short term gains.

HISTORICAL BAGGAGE

  • Since independence, parties have been promising some form of freebies to attract voters.
  • Even if a new party comes to power, then also it can’t rationalize or outrightly abolish the freebie commitments of prior governments.
  • For e.g., Several State Governments have been forced to continue power and irrigation subsidies due to political pressure. Governments fear that discontinuance will antagonize their voter base.

COMPETITIVE POLITICS AND DOMINO EFFECT

  • The rise in coalition era politics since the 1990s has witnessed a rise of new political parties. These small and new parties have to offer more freebies than larger parties to lure the voters. Moreover the increase in competition among the parties to seek the votes, each party tries to outdo the others in terms of populist promises.

ARGUMENTS IN SUPPORT OF FREEBIES

WELFARE STATE

  • The Constitution places an obligation on the State to take proactive measures for the welfare of the poor and downtrodden.
  • For instance, Art. 39(b) of The Constitution of India calls for resource distribution for achieving a common good.

GLARING INEQUALITY IN THE SOCIETY

  • In India, there is a wide inequality between the rich and the poor in terms of income and wealth. The OXFAM report 2021 showed that the income of 84% of households in the country declined in 2021, but at the same time the number of Indian billionaires grew from 102 to 142.

STRUCTURAL HURDLES AND MAKING THE BENEFITS OF GROWTH TO REACH THE LOWEST LEVEL

  • They gave up land for cities, roads, factories and dams. However, they largely became landless workers and slum dwellers. Several economists argue that the gains of development have hardly trickled down to the most marginalized section of the society, especially after 1991. The cost of freebies offered is a fraction of what the poor lose.
  • The World Bank recognized in the 1980s that the prevalent policies marginalize the poor and a ‘safety net’ (freebies) is needed.

ECONOMIC PUSH

  • They help increase the demand that prevents the rate of growth from declining further. Free education and health are anyway justified because they are cases of ‘merit wants’ and increase the productivity of labour.

SOCIAL STABILITY

  • Freebies enable the government to release the growing discontent in the marginalized section. They keep a lid on societal disruption which would be far more expensive.

INCENTIVES FOR THE RICH

  • The well-off and businesses get ‘freebies’ that are euphemistically called ‘incentives’. Since 2006, the Union Budget estimates these to be between Rs 4-6 lakh crore each year. If the well-off who don’t really need freebies can get so much, why can’t the marginalized (especially women and youth) get a fraction of it?

CUSHION DURING EMERGENCIES

  • COVID-19 has been one of the biggest health emergencies in the world for over a century. Such extreme events warrant state support to prevent chaos and disruption in society e.g., the free COVID-19 vaccination for every individual in India led to more prudent management of the pandemic.

ARGUMENTS AGAINST FREEBIES

UNDERMINES THE SPIRIT OF DEMOCRACY

  • This is the primary concern as many people tend to vote for parties based on the free incentives offered by them. They fail to judge them on their performance and don’t utilize their franchise as per merit. Even the Supreme Court has observed that freebies shake the root of free and fair elections.

FALL IN PRODUCTIVITY

  • Freebies create a feeling in the masses that they can live with minimal effort. This decreases their productivity towards work e.g., a trend has been created that whoever avail loan from banks does not repay them, expecting a waiver of loans during the election. This gives rise to moral hazard and an incentive to default.

FISCAL STRESS

  • Freebies generally form part of revenue expenditure. Excess allocation towards them leaves little to spend on capital expenditure which is a prerequisite for achieving long-term growth.
  • A case in point is the states which have been rolling out freebies in keeping with poll promises and ended up increased public debt with unsustainable fiscal conditions.

DISCOURAGES THE HONEST TAXPAYER

  • It creates a sense of discontentment in the mind of an honest taxpayer whose money is used to fund the freebie expenditure. This feeling is more dominant especially when the State is unable to improve the public services due to freebie commitments.

SECTORAL COLLAPSE

  • The populist measures of loan waivers have put significant pressure on the banking sector.
  • Similarly, rising power subsidies have enhanced pressures on Discoms who are failing to sustain themselves.

WASTAGE OF RESOURCES

  • Promises of free water and electricity create severe stress on the water table and lead to over-exploitation as seen in the states of Punjab and Haryana.
  • NITI Aayog has cautioned that 21 major cities of India are on the verge of running out of groundwater in a few years.

ALLEGED INFRINGEMENT OF CONSTITUTIONAL PROVISIONS

  • Promise/distribution of irrational freebies from the public fund before election unduly influences the voters, shakes the roots of the free-fair election, disturbs level playing field, vitiates the purity of election process and also allegedly violates Articles 14, 162, 266(3) and 282.

LANGUOR AMONG THE MASSES

  • Recurring nature of the freebies in Indian socio-political scenario also make the masses develop the habit of acting irresponsibly and dampen their spirit to work hard.

THE ANALYSIS OF THE ISSUE

  • India could face the prospect of sub-national bankruptcies if States continued to dole out freebies to influence the electorate, Fifteenth Finance Commission Chairperson NK Singh cautioned, terming the political competition over such sops a “quick passport to fiscal disaster”.
  • We must strive instead, for a race to efficiency through laboratories of democracy and sanguine federalism where states use their authority to harness innovative ideas and solutions to common problems which other states can emulate.
  • If the political parties go for effective economic policies where the welfare policies or government schemes have good reach without any leakages or corruption and it is targeted at the right audience, then infrastructure and development will take care of itself and the people will not require such kinds of freebies.
  • Central government’s debt-to-GDP ratio is supposed to be 40% but now it has crossed 90%of the GDP, while the states have managed to keep their debt-to-GDP ratio at almost 27% in FY2020. Hence the problem of fiscal stability is more pressing at the level of the centre.
  • Political parties shall also provide the roadmap for achieving the targets mentioned in the manifesto and also the rationale behind for enlisting such targets.
  • Certain freebies are important to cushion or safeguard the socio-economic fabric such as the basic healthcare facilities, school education, subsidized ration etc. Such interventions by the government, guide the economy in the long term growth by strengthening the human capital.
  • Freebies during the crises situation also help in sustaining the economic cycle through demand pull growth such as in COVID times.
  • Qualified freebies such as the ascribed conditions of creating public assets through MGNREGA also contribute in more than one way in economic growth by increasing the productive capacity of the population.

THE WAY FORWARD:

  • There should be a strengthening of internal party democracy so that promises of development and not freebies are made in the elections. This would also reduce the magnitude of the criminalization of politics.
  • The Election Commission should be given greater powers like the power to deregister a political party, power of contempt etc. This would curtail the distribution of liquor and other goods during elections and ensure expenditure as per the desired limit.
  • The Government should use the money spent on freebies towards job creation and infrastructure development as advised by Madras HC in 2021. This will lead to social upliftment and progression of the State.
  • The focus should now be tilted on improving the efficiency of public expenditure. This requires focusing on outcomes and not merely outlays. One good example is the Pradhan Mantri Ujjwala Yojana:
  • Arresting the health hazards associated with cooking based on fossil fuels thereby reducing the out of the pocket expenditure on health.
  • Employment for rural youth in the supply chain of cooking gas.
  • Improving India’s performance on Sustainable Development Goals-SDG 3 (Good Health and Well-being) and SDG 5 (gender equality) and specially SDG 7, which aims to ensure access to affordable, reliable, sustainable, and modern energy for all.
  • Distribution of LPG subsidy through direct benefit transfer (DBT) also led to a decline in the subsidy bill.
  • In the long run, eradication of unnecessary freebie culture requires an attitudinal change in the masses. It is high time that the ruling government should be made accountable for using tax revenue because freebies always prove to be a burden on taxpayers.
  • The idea rendered by Vice President M Venkaiah Naidu has called for a wider debate on the freebies promised during polls and the possibility of making election manifestos legally binding. This will restrict the poll parties from making extravagant promises.

THE CONCLUSION: India has experienced the politics of freebies for a long time and the outcome of those policies has been sub-optimal, inefficient, and unsustainable. Therefore rather than doling out money, the focus should be on spending it efficiently. It is high time the discourse on improving public expenditure efficiency should take centre stage while discussing the role of fiscal policy in India. However, until that is achieved, reliance on acceptable freebies like health, education etc. can’t be completely stopped.




DAILY CURRENT AFFAIRS (OCTOBER 29, 2022)

INDIAN POLITY

1. ‘ONE NATION, ONE UNIFORM’ FOR POLICE

THE CONTEXT: Addressing the first Chintan Shivir (brainstorming session) of state home ministers and top police officers Prime Minister pitched the idea of “One Nation, One Uniform” for Indian police forces.

THE EXPLANATION:

Prime Minister’s push for unity

  • Prime Minister’s suggestion “One Nation, One Uniform” is in line with his broader attempt to introduce a uniform set of policies across the country. In August 2022 the Ministry of Chemicals and Fertilisers announced that it had implemented the “One Nation One Fertiliser” The Government of India in August 2019 had introduced the “One Nation One Ration Card” scheme.
  • The Indian Prime Minister has also repeatedly suggested the implementation of “One Nation, One Election”, and adopting a single voter list for all polls.
  • While pitching his new uniform scheme, he said, “There is one important issue for our nation. Currently in our country, there is a ‘one nation, one ration’ card; ‘one nation, one mobility’ card;one nation, one grid’ and a ‘one nation, one sign language’. Just like this, all the states should think of a ‘one nation, one uniform’ policy.”

Law and order is a State Subject

  • The Indian Constitution puts police forces under the jurisdiction of state governments, and each of the 28 states have their own police force. Both ‘public order’ and the ‘police’ are placed in List II (State List) of the Seventh Schedule of the Constitution, which deals with the division of powers between the Union and States.
  • In the circumstances, it is unclear how the PM’s suggestion, if the government were to take it up seriously, might be implemented.
  • While police personnel in India are often associated with the colour khaki, their uniforms do differ in varying degrees in different regions. Since state governments and even an individual force can decide the uniform their personnel wear, there are at times inconsistencies in their official attire. For example:
  • The Kolkata Police wear white uniforms.
  • Puducherry Police constables wear a bright red cap with their khaki uniforms.
  • Delhi Traffic Police personnel wear white and blue uniforms.

INTERNATIONAL RELATIONS

2. WHAT IS ANTI-SEMITISM AND WHY IS IT FINDING A NEW VOICE ACROSS THE GLOBE?

THE CONTEXT: Recently the clothing giant Adidas announced that it would be cutting all ties with Kanye West, now known as Ye, following a series of concerning comments that were that were widely deemed to be anti-Semitic.

THE EXPLANATION:

What is anti-Semitism?

  • The term anti-Semitism refers to any form of prejudice against the Jewish people. However, the term itself is a misnomer as Semitic designates a language group, not a race. Though anti-Semitism can linguistically be used to describe a prejudice against speakers of the Semitic languages (including Arabs and Ethiopians,) in practical terms, it is commonly used specifically to pertain to Jews.
  • According to the International Holocaust Remembrance Alliance, an intergovernmental organisation formed in 1998, the following should be used as a working definition of anti-Semitism:
    • “Anti-semitism is a certain perception of Jews, which may be expressed as hatred toward Jews. Rhetorical and physical manifestations of anti-semitism are directed toward Jewish or non-Jewish individuals and/or their property, toward Jewish community institutions and religious facilities.”
  • Racial anti-Semitism, most commonly associated with the Nazis, stems from a belief that Jews are a distinct, inferior race with inherent genetic traits. This form usually manifests in the belief that Jews need to be exterminated altogether.
  • Religious anti-Semitism traces its roots to the early days of Christianity and is accompanied by a notion that Jews should be converted to other faiths.

Current instances of anti-Semitism

  • From far-right demonstrators in the US, attacks on synagogues in Sweden, arson attacks on kosher restaurants in France and an increase in crimes against Jews in the UK, globally, anti-Semitism is exploding once again.
  • According to the Anti-Defamation League (ADL), an annual audit of anti-Semitic incidents in the US showed a 34 per cent increase from 2020 to 2021. In Germany, the number of violent anti-semitic attacks surged by more than 60 per cent in 2018 from the year before, while anti-Semitic acts in France that year increased by more than 70 per cent. Reports from Australia and Canada reflect a similar trend.

HEALTH ISSUES

3. WHO GLOBAL TB REPORT 2022

THE CONTEXT: Recently, the WHO released the Global TB Report 2022. The Report notes the impact of the COVID-19 pandemic on the diagnosis, treatment and burden of disease for TB all over the world.

THE EXPLANATION:

  • According to the Report, India was among the eight countries accounting for more than two-third of the total TB patient count. The other seven countries were China, Pakistan, Indonesia, the Philippines, Nigeria & the Democratic Republic of the Congo.
  • However, prior to the publication of the Global Report, India’s Ministry of Health and Family Welfare had communicated to WHO that the Ministry has already initiated domestic studies to arrive at a more accurate estimate. India’s data will be provided after the conclusion of studies by 2023. India is also conducting its own National Prevalence Survey to assess the true TB burden. The WHO Report also noted that India is the only country to have such a survey.
  • The Ministry of Health and Family Welfare has stated that India’s TB incidence for the year 2021 is 210 per 100,000 population, compared to the baseline year of 2015 (incidence was 256 per lakh of population in India). In 2021, over 22 crore people were screened for TB in India. The Ministry says that the aim has been to find and detect more cases to arrest onward transmission of the disease in the community which has contributed to the decline in incidence.

Campaigns by India to end the infectious disease:

  • The reported number of people newly diagnosed with TB fell from 7.1 million in 2019 to 5.8 million in 2020. Experts have noted that TB services, among many other services, were disrupted by the Covid-19 pandemic in 2021. Many people with TB were not diagnosed and treated.
  • But in India, even during the pandemic, various measures were taken which led to the National TB Elimination Programme notifying over 21.4 lakh TB cases. The Ministry attributed the success in the detection of disease to the mandatory notification policy to ensure all cases are reported to the government. Further, intensified door-to-door active case finding drives were conducted to screen patients and ensure no household is missed.

Several Initiatives by the government for TB eradication

  • ‘Pradhan Mantri TB Mukt Bharat Abhiyaan’ to eliminate TB by 2025.
  • National Strategic Plan for Tuberculosis Elimination 2017-2025.
  • National Tuberculosis Elimination Program (NTEP)- Centrally Sponsored Scheme.
  • TB Harega Desh Jeetega Campaign.
  • Bacillus Calmette–Guérin (BCG) vaccine included in the Indradhanush program.
  • National TB Elimination Programme to meet the goal of ending the TB epidemic by 2025 the country, five years ahead of the Sustainable Development Goals (SDG) for 2030
  • Two vaccines VPM (Vaccine Projekt Management) 1002 and MIP (Mycobacterium Indicus Pranii) have been developed and are under Phase-3 clinical trial.
  • Ni-kshayPoshan Yojana: It provides Rs 500 support through direct benefit transfer to the patients.
  • The government has also focused on utilizing technology and creating digital health IDs for TB patients under the Ayushman Bharat Digital Health Mission to ensure proper diagnostics and treatment are available.

VALUE ADDITION:

  • TB is caused by a bacterium (mycobacterium tuberculosis) that mostly affect the lungs. It can spread when people with TB expel bacteria into the air, for example, by coughing. According to the Report, most people who develop the disease are adults. In 2021, men accounted for 56.5% of the TB burden, adult women (32.5%) and children (11%).
  • TB is preventable and curable and around 85% of people who develop the disease can be successfully treated with a 4 to 6 months drug treatment.

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

4. FOREST DECLARATION ASSESSMENT 2022

THE CONTEXT: According to the 2022 Forest Declaration Assessment report, Deforestation rates worldwide declined only modestly in 2021 by 6.3 per cent compared to the 2018-20 baseline.

KEY FINDINGS OF THE ASSESSMENT

  • The report highlighted that, Global Forest loss decreased in 2021, but the crucial climate goal of stopping deforestation by 2030 would still be missed.
  • Deforestation rates worldwide declined only modestly in 2021 by 6.3 per cent compared to the 2018-20 baseline, according to the 2022 Forest Declaration Assessment published October 24, 2022.
  • Some 145 countries affirmed their commitment to halt and reverse forest loss and land degradation by 2030 at the 26th UN Climate Change Conference of the Parties (COP26) in Glasgow (2021).
  • According to report, Brazil was the world’s largest contributor to deforestation in 2021. The country marked a 3 per cent rise in the rate of deforestation in 2021 compared to the baseline 2018-2020.
  • Bolivia and the Democratic Republic of the Congo underwent deforestation at 6 per cent and 3 per cent, Although Brazil didn’t show a large increase, its total deforestation rates each year remained high — making it the world’s largest contributor.
  • Global tree cover increased by 130.9 million hectares over the past two decades. Three-quarters of the global gain was concentrated in 13 countries. The most significant improvements were observed in Russia (28.4 per cent), Canada (13.0 per cent), the United States (10.7 per cent), Brazil (6.2 per cent), and China (5 per cent).
  • China showed the largest net gain in tree cover — 2.1 million hectares (Mha). India also marked a gain of 0.87 Mha in tree cover.
  • Indonesia reduced deforestation after implementing the forest moratorium and improved enforcement measures.
  • Currently, domestic and international mitigation finance for forests averages $2.3 billion per year — less than 1 per cent of the required. Forest funding must increase by up to 200 times to meet 2030 goals.

Environment- As a Living Being:

  • Recent years have seen legal interventions in the European Union, Ecuador and India to protect forests.
  • In 2021, a constitutional court in Ecuador upheld the rights of nature enshrined in the country’s constitution. The court said mining in protected areas violated the constitutional rights of nature and that the government should revoke the mining licenses.
  • In April 2022, the Madras High Court declared nature as a living being with all rights and duties of a living being.

THE GLIMPSES OF INDIA STATE OF FOREST REPORT, 2021

  • ISFR 2021 has found that there is an increase of 1,540 square kilometres (0.22%) of forest cover and 721 sq km (0.76%) of tree cover compared to the 2019 report.
  • The total forest cover of the country is 21.71% of the geographical area; the tree cover is estimated at 2.91% of the geographical area. Thus, the total forest and tree cover comes to 24.62% of the geographical area of the country.
  • Forest cover inside the recorded forest areas/greenwash (RFA/GW) has shown a slight increase of 31 sq km, whereas there is an increase of 1509 sq km of forest cover outside the RFA/GW as compared to the previous assessment of 2019.
  • The states with the highest increase in the forest cover are Andhra Pradesh (647 sq km), Telangana (632 sq km), Odisha (537 sq km), Karnataka (155 sq km) and Jharkhand (110 sq km). The reason for the increase in the forest cover in states like Andhra Pradesh is plantation and agroforestry.
  • The ISFR 2021 report attributed the improvement in forest cover to “better conservation measures, protection, afforestation activities, tree plantation drives and agroforestry”.

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

5. SAFAL (SIMPLIFIED APPLICATION FOR AGRICULTURAL LOANS)

THE CONTEXT: Recently, Odisha Chief Minister launched the common credit portal SAFAL to increase farmers’ access to loans.

THE EXPLANATION:

What is SAFAL?

SAFAL (Simplified Application for Agricultural Loans) is India’s first online agricultural credit facilitation portal. This common credit portal eases access to over 300 term loan products provided for farmers and agri-entrepreneurs. These term loan products will be provided by more than 40 partner banks.

What are the benefits of the SAFAL portal?

  • The portal acts as a one-stop solution for farmers and agri-entrepreneurs to access loans offered by public and private sector banks, regional rural banks, state cooperative banks and small finance banks. It can simplify the loan application process, benefiting both the banks and farmers. It will minimise information asymmetry by sending real-time notification about the status of the loan to farmers at every stage of the loan application.
  • It will also benefit the government by providing complete visibility of demand and disbursal of formal agricultural credit across states. This information will help create a data-backed government policies and schemes in the future. The portal will increase access to agricultural loans, which in turn will boost the farmers’ productivity and growth of agri-businesses. This portal has been integrated with Krushak Odisha. It has access to more than 70 model project reports.

What is Krushak Odisha portal?

  • Krushak Odisha is an authentic database of farmers in the state, including small, marginal, and landless cultivators and agricultural labourers. It provides information related to the farmers’ residence, land, crops cultivated, livestock reared, and fisheries practiced. This information has been verified by government extension workers.
  • The database aims to reduce paperwork for farmers and ease access to government services and schemes. The integration of Krushak Odisha portal with SAFAL portal will ensure that the banks get authentic information about farmers who are applying for credit facilities.

PRELIMS PERSPECTIVE

6. GARUDA JOINT AIR FORCE EXERCISE

THE CONTEXT: Recently, the Indian and French air forces are undertaking an 18-day military exercise in Jodhpur involving a significant number of combat jets such as Rafale, Tejas, Jaguar and Sukhoi-30s to further enhance operational cooperation.

THE EXPLANATION:

About Garuda joint Air force exercise

  • AIM: “This joint exercise will provide a platform for both the countries to enhance operational capability and interoperability, while also sharing best practices”.
  • It is the seventh edition of the bilateral exercise, being hosted by India for the fourth time so far. The first, third and fifth editions were conducted in India in 2003, 2006 and 2014 at Air Force stations Gwalior, Kalaikunda and Jodhpur, respectively. The second, fourth and sixth editions were conducted in France in 2005, 2010 and 2019.

India-France military cooperation

  • The military cooperation between India and France has witnessed a major expansion in the last few years.
  • In August, a French Air and Space Force contingent, including three Rafale jets, made a strategically crucial stopover at the IAF’s Sulur base in Tamil Nadu as part of a mega military operation it carried out in the Pacific Ocean.
  • In March, the Indian and French navies carried out a five-day mega wargame in the Arabian Sea, involving frontline ships, submarines, maritime patrol aircraft, fighter aircraft and helicopters.



Ethics Through Current Development (29-10-2022)

  1. Tuning in to self-reflection for peace sake READ MORE
  2. Police Cynicism READ MORE
  3. Scientific and conscious READ MORE



Today’s Important Articles for Geography (29-10-2022)

  1. Fewer cyclones in Bay of Bengal but frequency increased in Arabian Sea: Report READ MORE
  2. Emissions Gap Report 2022: Pledges to cut greenhouse gas emissions way off track READ MORE
  3. The world needs more urgent climate action READ MORE
  4. If India wants to fulfil its 2030 climate promises, it must take stronger steps: UN report READ MORE



Today’s Important Articles for Sociology (29-10-2022)

  1. UNDP’s latest report on poverty highlights India’s great leap upward READ MORE  
  2. Awareness needed to fight cleft lip problem READ MORE



Today’s Important Articles for Pub Ad (29-10-2022)

  1. The death penalty and humanising criminal justice READ MORE
  2. Variations in Acts of universities pose problems READ MORE
  3. Rule of Law waning: The government’s the world over are becoming autocratic and less responsive to people’s needs READ MORE



WSDP Bulletin (29-10-2022)

(Newspapers, PIB and other important sources)

Prelim and Main

  1. TB cases notified in India in 2021 18% higher than 2020: Health Ministry READ MORE
  2. SP leader Azam Khan disqualified from U.P. Assembly after conviction in hate speech case READ MORE
  3. Tulu, Kodava speakers demand priority for their languages too in Kannada development Bill READ MORE
  4. Hawaii Officials Warn World’s Largest Active Volcano Could Erupt READ MORE
  5. Failing to meet the inflation target: Why is RBI panel holding a special meeting on November 3? READ MORE
  6. Two more Indian beaches given prestigious Blue Flag certification READ MORE
  7. Uttar Pradesh’s 27 ‘sugarcane tigers’ to find forest home soon READ MORE
  8. Lebanon and Israel sign US-mediated sea border deal, deliver them to UN READ MORE

Main Exam

GS Paper- 1

  1. Colonialism and its discontents today READ MORE
  2. ‘Divide and rule’ does not work Making sense of an outreach to Pasmanda Muslims READ MORE
  3. ‘Women, Life. Freedom’ READ MORE

GS Paper- 2

POLITY AND GOVERNANCE

  1. The death penalty and humanising criminal justice READ MORE
  2. Variations in Acts of universities pose problems READ MORE
  3. Rule of Law waning: The government’s the world over are becoming autocratic and less responsive to people’s needs READ MORE

SOCIAL ISSUES

  1. UNDP’s latest report on poverty highlights India’s great leap upward READ MORE  
  2. Awareness needed to fight cleft lip problem READ MORE

INTERNATIONAL ISSUES

  1. Central Asia: The new battleground for US and China READ MORE
  2. Xi envisions China-centric world order READ MORE

GS Paper- 3

ECONOMIC DEVELOPMENT

  1. The US and China are battling for semiconductor supremacy READ MORE
  2. GM mustard crop: Green nod a step towards making farmers future-ready READ MORE

ENVIRONMENT AND ECOLOGY

  1. Fewer cyclones in Bay of Bengal but frequency increased in Arabian Sea: Report READ MORE
  2. Emissions Gap Report 2022: Pledges to cut greenhouse gas emissions way off track READ MORE
  3. The world needs more urgent climate action READ MORE
  4. If India wants to fulfil its 2030 climate promises, it must take stronger steps: UN report READ MORE

DISASTER MANAGEMENT

  1. There are no ‘natural disasters’ READ MORE

GS Paper- 4

ETHICS EXAMPLES AND CASE STUDY

  1. Tuning in to self-reflection for peace sake READ MORE
  2. Police Cynicism READ MORE
  3. Scientific and conscious READ MORE

Questions for the MAIN exam

  1. ‘The battle against internal terror cannot be fought without the help of the people’. Discuss, why development projects are critical for rooting out extremism?
  2. How far do you agree with this view that recent supreme court concern against hate speech is good move, but this is the administration and executive that can work effective against the propagation of hate? Justify your view.

QUOTATIONS AND CAPTIONS

  • Multiculturalism isn’t about culture, it’s about power.
  • The Global Hunger Index exposes the falsity of poverty estimates that do not take into account the true rise in cost of living.
  • Grazing by mammalian herbivores can be a climate mitigation strategy.
  • The quest for Atmanirbharta has to be an ongoing and long-term endeavour that must take due note of its adverse impact on the military’s short and mid-term operational effectiveness.
  • Water resources are essential for economic development. India has 4 per cent of global water resources for its use. India’s water resources are under immense pressure.
  • India needs to embark on export-led growth to create high-income jobs with a big role of MSMEs.
  • The Government should identify better alternatives and encourage innovation that can eventually lead to the betterment of public health. It is essential for the government to take on a multidimensional and unprejudiced stance in adopting harm reduction alternatives for the betterment of its citizens.
  • Consensus among political parties is needed to avert the financial disaster that freebies will lead to in the long run.
  • Fostering peaceful coexistence of the diverse sects and sections of society is crucial for India’s image globally, too, as its voice gains credence in diplomatic and geopolitical affairs.
  • The Supreme Court’s intervention in the matter is welcome. Now, political and legal action must follow in case of hate speech.
  • Development projects bolster internal security and help policing become more focused and result-oriented, ensuring a government-people bond.
  • Administrative bias on the one hand and the spread of social prejudice on the other cannot be allowed to vitiate the national mood. the Court must do everything possible to nudge authorities to enforce the law against the propagation of hate.

ESSAY TOPIC

  • Multiculturalism isn’t about culture, it’s about power.

50-WORD TALK

  • It’s good that Delhi politicians are talking about garbage, sewage and Yamuna water pollution. They should go beyond poll-time whataboutery and join their heads to find solutions. Mountains of garbage surrounding the national capital are a disgrace. They’re a blot on Swachh Bharat. They must disappear from the city’s skyline.

Things to Remember:

  • For prelims-related news try to understand the context of the news and relate with its concepts so that it will be easier for you to answer (or eliminate) from given options.
  • Whenever any international place will be in news, you should do map work (marking those areas in maps and exploring other geographical locations nearby including mountains, rivers, etc. same applies to the national places.)
  • For economy-related news (banking, agriculture, etc.) you should focus on terms and how these are related to various economic aspects, for example, if inflation has been mentioned, try to relate with prevailing price rises, shortage of essential supplies, banking rates, etc.
  • For main exam-related topics, you should focus on the various dimensions of the given topic, the most important topics which occur frequently and are important from the mains point of view will be covered in ED.
  • Try to use the given content in your answer. Regular use of this content will bring more enrichment to your writing.



TOPIC : NATIONAL MONETISATION PIPELINE

THE CONTEXT: On August 23rd 2021, Union Minister for Finance and Corporate Affairs launched the asset monetisation pipeline of Central ministries and public sector entities – National Monetization Pipeline.

WHAT IS MONETISATION?

  • In a monetisation transaction, the Government transfers revenue rights to private parties for a specified transaction period in return for upfront money, a revenue share, and commitment of investments in the assets. On the other hand, Disinvestment is pulling out the money invested in the company by selling the stake, either partially or fully. Disinvestment involves dilution of ownership of the business / PSU.
  • Real estate investment trusts (REITs) and infrastructure investment trusts (InvITs), for instance, are the key structures used to monetise assets in the roads and power sectors.
  • These are also listed on stock exchanges, providing investors liquidity through secondary markets as well.
  • While these are structured financing vehicles, other monetisation models on PPP (Public Private Partnership) basis include: Operate Maintain Transfer (OMT), Toll Operate Transfer (TOT), and Operations, Maintenance & Development (OMD). OMT and TOT have been used in the highways sector, while OMD is being deployed in the case of airports.

 

ALL YOU NEED TO KNOW ABOUT THE NATIONAL MONETISATION PIPELINE

INTRODUCTION

  • Union Budget 2021-22 has identified the monetisation of operating public infrastructure assets as a key means for sustainable infrastructure financing.
  • The Budget provided for the preparation of a ‘National Monetisation Pipeline (NMP)’ of potential brownfield infrastructure assets. NITI Aayog, in consultation with infra line ministries, has prepared the report on NMP.
  • NMP aims to provide a medium-term programme roadmap for public asset owners, along with visibility on potential assets to the private sector.
  • The end objective of this initiative is to enable ‘Infrastructure Creation through Monetisation’ wherein the public and private sector collaborate, each excelling in their core areas of competence, to deliver socio-economic growth and quality of life to the country’s citizens.
  • The report on NMP has been organised into two volumes.

ü  Volume I is structured as a guidebook, detailing the conceptual approaches and potential models for asset monetisation.

ü  Volume II is the actual roadmap for monetisation, including the pipeline of core infrastructure assets under Central Govt.

FRAMEWORK

  • The framework for monetisation of core asset monetisation has three key imperatives.

ESTIMATED POTENTIAL

  • Considering that infrastructure creation is inextricably linked to monetisation, the period for NMP has been decided to be co-terminus with the balance period under National Infrastructure Pipeline (NIP).
  • The aggregate asset pipeline under NMP over the four years, FY 2022-2025, is indicatively valued at Rs 6.0 lakh crore.
  • The estimated value corresponds to ~14% of the proposed outlay for the Centre under NIP (Rs 43 lakh crore).
  • This includes more than 12 line ministries and more than 20 asset classes. The sectors included are roads, ports, airports, railways, warehousing, gas & product pipeline, power generation and transmission, mining, telecom, stadium, hospitality and housing.
  • Sector-wise Monetisation Pipeline over FY 2022-25 (Rs crore):

  • The top 5 sectors (by estimated value) capture ~83% of the aggregate pipeline value. These top 5 sectors include Roads (27%) followed by Railways (25%), Power (15%), oil & gas pipelines (8%) and telecom (6%).
  • Regarding annual phasing by value, 15% of assets with an indicative value of Rs 0.88 lakh crore are envisaged to be rolled out in the current financial year (FY 2021-22).

Indicative value of the monetisation pipeline year-wise (Rs crore):

IMPLEMENTATION & MONITORING MECHANISM

  • The programme is envisaged to be supported through necessary policy and regulatory interventions by the Government to ensure an efficient and effective asset monetisation process.
  • These will include streamlining operational modalities, encouraging investor participation and facilitating commercial efficiency, among others.
  • Real-time monitoring will be undertaken through the asset monetisation dashboard, as envisaged under Union Budget 2021-22, to be rolled out shortly.
  • The assets and transactions identified under the NMP are expected to be rolled out through various instruments. These include direct contractual instruments such as public-private partnership concessions and capital market instruments such as Infrastructure Investment Trusts (InvIT).
  • The sector will determine the choice of instrument, nature of the asset, the timing of transactions (including market considerations), target investor profile, the level of operational/investment control envisaged to be retained by the asset owner, etc.
  • The monetisation value that is expected to be realised by the public asset owner through the asset monetisation process may either be in the form of upfront accruals or by way of private sector investment.
  • The potential value assessed under NMP is only an indicative high-level estimate based on thumb rules. This is based on various approaches such as market or cost or the book or enterprise value etc., as applicable and available for respective sectors.

BENEFITS

  • Ensures resource efficiency in infrastructure operations and maintenance by creating capital assets and addressing the country’s infrastructure needs.
  • It aims to provide a transparent system that allows public authorities to monitor private players’ performance and investors to plan their future actions.
  • Because these are brownfield initiatives, there is less risk for the private sector. As a result, there will be no significant delays due to land and environmental approvals.
  • Globally, government-led capital creation has been a vital force in overcoming the COVID-19 pandemic-induced economic slump.
  • NITI Aayog’s efforts to add coherence to contracts will improve the ease of doing business, particularly in contract enforcement.
  • Assist in the creation of high-quality jobs in the various industries as envisioned by the programme.

 

CHALLENGES

ASSET-SPECIFIC CHALLENGES

  • The MNP framework notes that other critical impediments to the monetisation process are asset-specific challenges, such as an identifiable revenue stream. This is specifically relevant to the railway sector, which has seen limited PPP success as a project delivery model.
  • Konkan Railway, for instance, has multiple stakeholders, including state governments, which own a stake in the entity. Creating an effective monetisation transaction structure could be a bit challenging in this case.
  • Other Asset-specific Challenges are:

ü  Low level of capacity utilisation in gas and petroleum pipeline networks.

ü  Regulated tariffs in power sector assets.

ü  Low interest among investors in national highways below four lanes.

SLOW PACE OF PRIVATISATION

  • The slow pace of privatisation in government companies including Air India and BPCL. Further, less-than-encouraging bids in the recently launched PPP initiative in trains indicate that attracting private investors’ interest is not that easy.

REALISING ADEQUATE VALUE

  • The other challenge is whether the adequate value from the assets will be realised or not. This depends on the quality of the bidding process and whether enough private players are attracted to bid.

MONOPOLISTIC OUTLOOK

  • The only way of ensuring that asset monetisation doesn’t lead to cronyism is to make the bidding conditions such that the people eligible to bid are not a minor, predetermined set.  However, because of the project’s capital intensity, not everybody is going to be able to bid.

EXECUTION RISK

  • There will be execution risk in such a large programme. However, this is exactly why NMP is not adopting a one-size-fits-all approach.

TAXPAYERS’ MONEY

  • The taxpayers have already paid for these public assets — and, so, why should they pay again to a private party to use them.

THE LACK OF CLEAR THINKING ON SOME OF THE DEEPER ISSUES

  • A greater problem is the lack of clear thinking on some of the deeper issues that may arise as a result of such monetisation. Take the monetisation of hill /mountain railways sought to be done through the Operate, Maintain and Develop (OMD) based PPP model for a period of 30-50 years, which may be extended.
  • While the concessionaire is required to maintain the heritage nature of project assets, they would not just get the right to earn fare and non-fare revenues for 30-50 years through train operations but would also be allowed to charge user charges and sub-lease rights on the station and adjoining real estate on railway land for 30-50 years.
  • This has the potential to jeopardise the rights of the locals living in these areas and cause protests.

A DROP IN THE OCEAN

  • Such monetisation, however well-intentioned, is a drop in the ocean. It is expected to finance no more than 5-6% of the CAPEX (of Rs. 111 lakh crore) under the National Infrastructure Pipeline over the period.
  • More importantly, 13 sectors, each with multiple assets, are sought to be monetised over the next four years—when the Government has been missing its disinvestment targets year on year, even when it involves blue-chip companies like BPCL.

LITTLE CLARITY ON USE PROCEEDS

  • There is a larger question of where within the Budget will such proceeds from monetisation be accounted for and how these proceeds will be spent.
  • The NMP document does speak about these proceeds being used to finance further infrastructure. There are no specific guidelines/rules, however, on how these proceeds could be used. Could they be used (more importantly not used) for paying salaries, giving pensions and subsidies, etc., thereby incurring revenue expenditure?

THE LITTLE ATTENTION ON IMPLEMENTATION

  • The big miss is the little attention paid to the issue of how the NMP would be implemented and a precise scenario planning based on the Government’s experience in Disinvestment.
  • The 101-page Volume II document with only one page devoted to an Implementation Plan, in a nutshell, maybe the biggest challenge of the NMP.

EMPLOYMENT

  • The document has been silent on maintaining the current level of jobs in assets that will be monetised.

THE WAY FORWARD

  • EXECUTION IS THE KEY TO SUCCESS: While the Government has attempted to solve several difficulties due to the NMP framework’s infrastructure development, the plan’s execution remains critical to its success.
  • APPROACH WITH MULTI-STAKEHOLDER: Other stakeholders must do their part if the infrastructure expansion plan is to succeed. State governments and their public-sector enterprises, as well as the private sector, are among them. In this regard, the Fifteenth Finance Commission has advocated the formation of a High-Powered Intergovernmental Group to re-examine the Centre’s and States’ fiscal responsibility legislation.
  • OTHER METHODS OF RAISING RESOURCES: Other strategies for raising funds include establishing a development finance institution (DFI) and increasing the percentage of infrastructure investment in the federal and state budgets.
  • DISPUTE RESOLUTION MECHANISM: The importance of strengthening judicial systems cannot be overstated. The design and implementation of NMP will naturally and automatically benefit from efficient and effective conflict resolution processes.
  • STREAMLINE PPP: Based on recent experience, public-private partnerships (PPPs) now feature transparent auctions, a clear understanding of the risks and payoffs, and an open field for all interested parties. As a result, the value of PPP in greenfield projects should not be overlooked.
  • TRANSPARENT BIDDING: Maintaining transparency is critical to achieving a sufficient realisation of asset value.
  • NITI AAYOG RECOMMENDATIONS:
    • Bringing InvITs Under Insolvency and Bankruptcy Code (IBC):Extending IBC provisions to InvITs would help lenders access a faster and more effective debt restructuring and resolution option.
    • Tax Breaks:Tax-efficient and user-friendly mechanisms like allowing tax benefits in InvITs would attract retail investors (individual/non-professional investors).

THE CONCLUSION: Raising financial resources upfront is a bold, proactive, and confident policy statement when global economic conditions remain unpredictable and uncertain. It sends a strong message to the rest of the world that India is open to business while protecting the public purse and its inhabitants.




DAILY CURRENT AFFAIRS (OCTOBER 28, 2022)

INDIAN HISTORY

1. COINAGE WITH IMAGES OF GODS AND GODDESSES’ DATES BACK TO KUSHANS

THE CONTEXT: Amid tensions surrounding the Delhi Chief Minister’s request to the Centre to print pictures of Hindu deities Lakshmi and Ganesh on currency notes according to historians, India has a long tradition of coinage with images of gods and goddesses.

THE EXPLANATION:

  • According to historians, the Kushans, who hailed from the Central Asian region and ruled till 3rd century AD, were the first to use the image of Goddess Lakshmi on their coins, along with Ardochsho, the Iranic Goddess of wealth.
  • “The Kushans also depicted Oesho [Shiva], moon deity Miro and Buddha in their coinage.
  • About the coins with Goddess Lakshmi issued by Mohammed bin Sam, known to us as Mohammed Ghori after defeating Prithviraj Chauhan in the battle of Terrain in 1192 AD.
  • Also, the Vijayanagara kings used coinage with Hindu idols. Harihara –II (1377-1404) introduced coins that had Brahma-Saraswati, Vishnu-Lakshmi and Shiva-Parvati.

About Kushanas:

  • The Kushan Empire (c. First–Third Centuries) reached its cultural zenith circa 105 – 250 C.E., extended from Tajikistan to Afghanistan, Pakistan and into the Ganges River valley in northern India
  • The Kushan tribe of the Yuezhi confederation, believed to be Indo-European people from the eastern Tarim Basin, China, possibly related to the Tocharians, created the empire.
  • They were the furthest eastern Indo-European speaking people.
  • The emergence of the vast Kushan Empire from the first century AD until its decline in the third century saw the political unification of much of Central Asia, from modern day India and Pakistan to the Iranian borders.

INDIAN POLITY

2. GOVT WILL INTRODUCE NEW DRAFTS FOR IPC, CRPC IN PARLIAMENT SOON: UNION HOME MINISTER

THE CONTEXT: Recently, the union home minister said that Government will soon introduce new draft bills for the Code of Criminal Procedure and the Indian Penal Code in the Parliament.

THE EXPLANATION:

  • It may be noted in March 2020, the Central Government had constituted a Criminal Law Reforms Committee to make suggestions to revise IPC, CrPC and the Indian Evidence Act 1872. The Committee was headed by Professor Dr Ranbir Singh, the then VC of National Law University Delhi and other legal experts.
  • In February 2022, the Committee submitted a report to the Government, after taking suggestions from the public. In April 2022, the Law Ministry had told the Rajya Sabha that the Government has undertaken a process of comprehensive review of the criminal laws.

Criminal law in India:

  • The Criminal law in India is contained in a number of sources – The Indian Penal Code of 1860, the Protection of Civil Rights Act, 1955, Dowry Prohibition Act, 1961 and the Scheduled Castes and Scheduled Tribes (Prevention of Atrocities) Act, 1989.
  • Criminal Justice System can impose penalties on those who violate the established laws.
  • The criminal law and criminal procedure are in the concurrent list of the seventh schedule of the constitution.
  • Lord Thomas Babington Macaulay is said to be the chief architect of codifications of criminal laws in India.

Current concerns/challenges:

  • The delay in disposal of cases was leading to human rights violations of the under-trials and convicts.
  • Despite the Supreme Court’s directions on police reforms, there had been hardly any changes on the ground.
  • Court orders convicting a person are also taking years to implement.

INTERNATIONAL RELATIONS

3. WHAT IS TURKEY’S LATEST ‘DISINFORMATION’ LAW?

THE CONTEXT: Recently, Turkey’s parliament adopted the much-critiqued ‘disinformation law’ that accords jail terms of up to three years to social media users and journalists for spreading ‘disinformation’.

THE EXPLANATION:

What does the law entail?

  • Cumulatively known as ‘the disinformation law’, it comprises about 40 articles that would amend about 23 different laws. It designates it an offence to publicly disseminate misleading information about the country’s internal and external security, public order and general well-being for the purpose of causing fear or panic among the populace.
  • The Turkish government has argued that the law would combat cases where the internet is used to share illegal content under false names and where anonymous accounts slander and defame individuals of differing political thought, religion or ethnicity. The article introduces a jail term between one and three years for any violation with the extension of an additional half of the initially stipulated term if the actions are done in anonymity.
  • To implement this law, social media platforms could now be asked to hand over user data to Turkish courts. This is an extension of the law passed in 2020 that required social media intermediaries to remove or render inaccessible certain flagged content on their platforms. Failure would lead to losing 90% of bandwidth reserved for the platform, effectively implying, being rendered inoperable in Turkey.

India’s Laws and Regulation to Curb Fake News in India

  • There is no specific law against fake news in India. Free publication of news flows from Article 19 of the Constitution guaranteeing freedom of speech.
  • Press Council of India, a regulatory body, can warn, admonish or censure the newspaper, the news agency, the editor or the journalist or disapprove the conduct of the editor or the journalist if it finds that a newspaper or a news agency has violated journalistic ethics.
  • Indian Penal Code (IPC) has certain sections which could curb fake news: Sections 153 (wantonly giving provocation with intent to cause riot) and 295 (injuring or defiling place of worship with intent to insult the religion of any class) can be invoked to guard against fake news.
  • Section 66 in The Information Technology Act, 2000: If any person, dishonestly or fraudulently, does any act referred to in section 43 (damage to computer, computer system), he shall be punishable with imprisonment for a term which may extend to three years or with fine which may extend to five lakh rupees or with both.
  • Civil or Criminal Case for Defamation is another resort against fake news for individuals and groups hurt by the fake news. IPC Section 499 (defamation) and 500 (whoever defames another shall be punished with simple imprisonment for a term which may extend to two years, or with fine, or with both) provide for a defamation suit.

4. ISRAEL, LEBANON SIGN MARITIME BORDER DEAL

THE CONTEXT: Recently, Israel and Lebanon signed a U.S.-brokered maritime border deal which paves the way for lucrative offshore gas extraction by the neighbours that remain technically at war.

THE EXPLANATION:

  • The deal, signed separately by Lebanon’s President in Beirut and Israel’s Prime Minister in Jerusalem, comes as Lebanon hopes to extract itself from what the World Bank calls one of the worst economic crises in modern world history.

A long history of conflict

  • Israel and Lebanon have been at war for decades since 1948, with both countries staking claim over a swathe of territory in the Mediterranean Sea, which contains part of the Karish gas field and Qana, a prospective gas field.
  • Negotiations pertaining to the Israeli-Lebanese border dispute over gas-rich waters off the countries’ Mediterranean coasts have been ongoing since October 2020.
  • The Karish gas field, which is being developed by Israel, has come under threat from Hezbollah, Lebanon’s powerful political and militant group backed by Iran.

What the agreement does:

  • While Israel is already producing natural gas at nearby fields, what this agreement does is that it resolves a territorial dispute in the eastern Mediterranean sea, in an area that Lebanon wants to explore for natural gas.
  • The gas field in question is located on the maritime boundary between the two countries and this agreement would allow both countries to get royalties from the gas. It also sets a border between the maritime waters of Lebanon and Israel for the first time.
  • According to a New York Times report, the agreement is also expected to avert the immediate threat of conflict between Israel and Hezbollah militants in Lebanon, after fears of escalation if negotiations fell apart.
  • The report states that analysts hope that the agreement will create new sources of energy and income for both countries, particularly important for Lebanon, which is facing a crippling energy and financial crises.
  • It could also have a potentially wider impact: it would likely provide Europe with a potential new source of gas amid energy shortages caused by the Russian invasion of Ukraine.

Crucial gas exports

  • As for what the deal looks like, the U.S. proposal essentially divides the sea border in two, with the first 3 miles from the shore marked as Israel’s border, which has been treated as such for several years. Beyond that, the border will track along a line demarcated by Lebanon, called Line 23, meaning that each country’s exclusive economic zone (EEZ) will be clearly outlined.

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

5. WHAT IS FLOATING TRASH BARRIER (FTB)?

THE CONTEXT: Recently, the Bengaluru firm, AlphaMERS Ltd., received a communication from the Office of the Principal Scientific Advisor (PSA) announcing that the FTB was selected as one of the winners of the challenge.

THE EXPLANATION:

FLOATING TRASH BARRIER (FTB):

  • Floating barriers, also referred to as boom, are devices placed in the water to control and contain oil, floating debris, invasive aquatic plants, trash, silt, sediment, and turbidity. A floating barrier can be installed either temporarily or permanently.
  • Floating barriers, also referred to as boom, are devices placed in the water to control and contain oil, floating debris, invasive aquatic plants, trash, silt, sediment, and turbidity.

Restoring India’s Water Bodies Challenge

  • It was developed by a Bengaluru firm and deployed in eight cities across India to trap trash in water bodies, has won the Cleaning and Restoring India’s Water Bodies Challenge conducted by the Office of the Principal Scientific Advisor (PSA).
  • The challenge was conducted by the Waste to Wealth Mission — Swachh Bharat Unnat Bharat Mission.
  • The FTB uses the natural flow of water to bring the trash to the riverbank where it is deployed and from there the trash is manually or mechanically removed.
  • The FTB is deployed in eight cities — Bengaluru, Chennai, Puducherry, Hyderabad, Mysuru, Thanjavur, Tuticorin and Coimbatore.
  • The FTB is said to be successful in cleaning up the Cooum in Chennai and the Musi in Hyderabad. In Bengaluru, it has been deployed in some storm-water drains, and Nagawara and Dasarahalli lakes.

PRELIMS PERSPECTIVE

6. SINGAPORE-INDIA MARITIME BILATERAL EXERCISE ‘SIMBEX’ – 2022

THE CONTEXT: The Indian Navy is hosting the 29th edition of the Singapore-India Maritime Bilateral Exercise (SIMBEX) from 26 to 30 October, 2022 at Visakhapatnam.

THE EXPLANATION:

  • SIMBEX-2022 is being conducted in two phases – Harbour Phase at Visakhapatnam from 26 to 27 October 2022 followed by the Sea Phase in Bay of Bengal from 28 to 30 October 2022. Two ships from Republic of Singapore Navy, RSS Stalwart (a Formidable Class Frigate) and RSS Vigilance (a Victory Class Corvette) arrived Visakhapatnam on 25 October 2022 for participation in the exercise.

AIM:

  • SIMBEX series of exercises began in 1994 and were initially known as Exercise Lion King. The scope and complexity of the exercise has risen substantially over the past two decades to include advanced naval drills covering a wide spectrum of maritime operations.
  • The exercise exemplifies the high level of cooperation between India and Singapore in the maritime domain. It also highlights the commitment and contribution of the two nations towards enhancing maritime security in the Indian Ocean Region.

Other Exercises:

  • Bold Kurukshetra (Army)
  • Joint Military Training (Air Force)
  • Trilateral Maritime Exercise SIMTEX (with Thailand).



Day-317 | Daily MCQs | UPSC Prelims | HISTORY OF MODERN INDIA

[WpProQuiz 362]




TOPIC : MONETISATION OF GOVERNMENT DEFICIT

THE CONTEXT: Given a very poor and pessimistic fiscal situation in the economy a discussion was doing the round as to the use of ‘monetisation of deficit’. Even the finance minister of India remarked that the government is keeping this option too in its mind.

Usually, market borrowing is resorted to by the government to tide over its fiscal deficit. We need to understand if we have reached the point where borrowings are no longer a viable and feasible option.

PRESENT DEFICIT SCENARIO

  • Indian economy is passing through an unprecedented phase, and so is the fiscal health of the country.
  • Apparently, the government will not be able to achieve its FY21 fiscal deficit target of 3.5% of GDP.
  • The exchequer is facing a revenue crunch due to falling tax revenue post the lockdown.
  • There is also difficulty in realising the disinvestment target in an uncertain market.
  • Adding to it, the RBI has projected a negative GDP growth rate for the Indian economy in FY21.
  • The Government has even raised its gross market borrowing for FY21 by 54% (Rs 7.8 – 12 lakh crore).
  • Given these, the fiscal deficit as a percentage of GDP may even cross the double-digit mark.
  • The government stimulus package of Rs 20 lakh crore also seems to be inadequate to revive the economy.
  • As is seen, a large part of it accounts for liquidity-boosting measures by the RBI.
  • Because, the weak fiscal position has forced the government to restrict the stimulus.
  • It is in this scenario, that the need for monetisation of deficit has been widely felt.

WHAT IS MONETISATION OF DEFICIT?

  • Monetising of deficit is also called deficit financing in India. It simply refers to printing of new currencies by the RBI equal to help the government meet its expenditure. In other words, this means printing more money by the central bank, in order to give them to the government for its expenditure.
  • In other way, deficit monetisation happens when the RBI buys government securities directly from the primary market to fund government’s expenses.

HOW HAVE THE MODES EVOLVED?

  • Monetisation of deficit was in practice in India since 1955.
  • It remained in force till 1997.
  • Monetisation of debt or deficit is also known as deficit financing in India.
  • Back then, the central bank automatically monetised government deficit.
  • It does it through the issuance of ad-hoc treasury bills.
  • However, two agreements were signed between the government and RBI in 1994 and 1997.
  • This was to completely phase-out funding through ad-hoc treasury bills.
  • Later on, with the enactment of FRBM Act, 2003, RBI was completely barred from subscribing to the primary issuances of the government from April 1, 2006.
  • It was agreed that henceforth, the RBI would operate only in the secondary market through the OMO (open market operations) route.
  • [OMOs involve the sale and purchase of government securities to and from the market by the RBI to adjust the rupee liquidity conditions.]
  • The implied understanding was that the RBI would use the OMO route not so much to support government borrowing.
  • Instead, it would be used as a liquidity instrument.
  • This was to manage the balance between the policy objectives of supporting growth, checking inflation and preserving financial stability.

HOW DOES IT WORK?

  • Government issues ad-hoc T-Bills which are subscribed by the central bank in the primary market. The government gets money directly from the central bank against those bills.
  • Direct monetisation (or simply ‘monetisation’) of the deficit does not mean the government is getting free money from the RBI. However, the interest rate could be much lower as compared to market rate of interest.

DOWNSIDE OF MONETIZATION OF DEFICIT

  • Since monetisation of deficit increases money supply, the move is replete with the danger of causing inflation.
  • The central bank looses its control over money supply and finds it difficult to ensure stability of price.
  • Monetisation of deficit puts a downward pressure on domestic currency leading to its depreciation.
  • The government has no incentives to check its unnecessary expenditure.
  • If, despite these, the government decides to go ahead, markets will fear that the constraints on fiscal policy are being abandoned.
  • They may see the government as planning to solve its fiscal problems by inflating away its debt.
  • If that occurs, yields on government bonds will shoot up, which is the opposite of what is sought to be achieved.
  • If in fact bond yields shoot up in real terms, there might be a case for monetisation, strictly as a one-time measure.

WHAT GOES IN FAVOUR OF MONETISATION OF DEFICIT?

  • The strongest argument given against ‘monetisation of deficit’ is that it causes expansion in money supply which could be inflationary. As long as inflation is kept under control, it is hard to argue against monetisation of the deficit in a situation such as the one we are now confronted with. For this, the RBI can issue bonds in the market to absorb excess liquidity.
  • Secondly, this objection has little substance in a situation where aggregate demand has fallen sharply and there is an increase in unemployment. In such a situation, monetisation of the deficit is more likely to raise actual output closer to potential output without any great increase in inflation.
  • Debt to GDP ratio would remain unchanged as a result of monetisation. Rating agencies will not downgrade our rating if we are able to control inflation and engender growth.
  • It is a cost-effective way of overcoming deficit.

CONCLUSION:

The idea of monetising government deficit by the central bank is not a new one. We were using this before 1997 when this was put to an end following an agreement between the government and the RBI. Later on, FRBM Act, 2003 took this power of the RBI to subscribe to the government bonds in primary market since 2006. The economy experienced an enormous benefits of doing away with direct monetisation of government deficit by the RBI.

Then what is the reasoning for jeopardising the hard-won gains of this move? Has India exhausted its entire option and left with only monetisation of deficit?

The Fiscal Responsibility and Budget Management Act as amended in 2017 contains an escape clause which permits monetisation of the deficit under special circumstances. The case for invoking this escape clause is that there just aren’t enough savings in the economy to finance government borrowing of such a large size.

The situation on the ground is not that grim. There is no reason to believe that we are anywhere close to the above-mentioned situation. At present, India is a saving surplus economy with no so strong demand for funds by the private sector. The government can borrow at around the same rate as inflation, implying a real rate (at current inflation) of 0 per cent.

If in fact bond yields shoot up in real terms, there might be a case for monetisation, strictly as a one-time measure for specific purpose.

With the economy now showing positive vibes, coming on track and realization of GST increasing, monetisation of deficit is looking like a distant probability.




DAILY CURRENT AFFAIRS (OCTOBER 27, 2022)

INDIAN POLITY

1. MULLAPERIYAR: TECHNICAL PANEL FOR PREPARING EMERGENCY ACTION PLAN

THE CONTEXT: Recently, Kerala government has constituted a technical committee for preparing an Emergency Action Plan (EAP) for the downstream part of the Mullaperiyar dam in Idukki district.

THE EXPLANATION:

  • Earlier Water Resources department issued orders creating the technical committee for preparing the EAP ”downstream of the Mullaperiyar dam (Kerala part) in line with the provisions of the Dam Safety Act, 2021 and guidelines issued by the Central Water Commission for developing EAP for dams.”

Mullaperiyar dam: The current dispute

The Supreme Court order came after a court-appointed supervisory committee had suggested 139.50 ft as the permissible level. The court has directed both states to go by the committee’s recommendation. Tamil Nadu had wanted the level increased to 142 ft as fixed by the Supreme Court in 2014, while Kerala wanted it within 139 ft as per a rule curve fixed until the end of the month.

ABOUT MULLAPERIYAR DAM

  • It is a masonry gravity dam on the Periyar River in the Indian state of Kerala.
  • It was constructed between 1887 and 1895 and also reached an agreement to divert water eastwards to the Madras Presidency area.
  • The dam created the Periyar Thekkady reservoir, from which water was diverted eastwards via a tunnel to augment the small flow of the Vaigai River.
  • It originates from the Sivagiri hills of Western Ghats and flows through the Periyar National Park.
  • The main tributaries of Periyar are Muthirapuzha, Mullayar, Cheruthoni, Perinjankutti.
  • According to a 999-year lease agreement made during British rule, the operational rights were handed over to Tamil Nadu.

Image Courtesy: The Hindu

Kerala’s stance:

The state governments of Kerala have pointed out the unfairness of the 1886 lease agreement and its validity itself. Its core issue is the safety of the Mullaperiyar Dam. Kerala wants to decommission the 100+ year old dam and construct a new one in its place, as not doing so will endanger many lives in the process.

  • The Kerala Government stated that it did not object to giving water to Tamil Nadu but pointed out that raising its level would add more pressure than the dam could take. The dams, as pointed out by Kerala, were leaking and had many structural faults.
  • In addition, the Kerala government has accused Tamil Nadu of adopting an “obsolete” gate operation schedule dating back to 1939.

Tamil Nadu’s Stance:

  • For Tamil Nadu, the Mullaperiyar dam and the diverted Periyar waters act as a lifeline for Theni, Madurai, Sivaganga, Dindigul and Ramnad districts, providing water for irrigation and drinking, and also for the generation of power in Lower Periyar Power Station.
  • Tamil Nadu argues that building a new dam is for gaining unfair tax revenues from developing states.
  • Tamil Nadu is not able to access data that is in Kerala’s terrain. There is no road built, the power supply has not been restored, although Tamil Nadu has paid for it.

HEALTH ISSUES

2. WHO RELEASES FIRST-EVER LIST OF HEALTH-THREATENING FUNGI

THE CONTEXT: Recently, WHO published a report highlighting the first-ever list of fungal “priority pathogens” – a catalogue of the 19 fungi that represent the greatest threat to public health.

THE EXPLANATION:

  • The WHO fungal priority pathogens list (FPPL) is the first global effort to systematically prioritize fungal pathogens, considering the unmet research and development (R&D) needs and the perceived public health importance. The WHO FPPL aims to focus and drive further research and policy interventions to strengthen the global response to fungal infections and antifungal resistance.
  • It has been divided into three categories — critical, high and medium priority.
  • This classification is based on the pathogen’s public health impact or emerging antifungal resistance risk. The WHO urges a geography-wise close reading of these lists is key for assessing and tackling the threat.

What is the need?

  • Fungal pathogens are a major threat to public health as they are becoming increasingly common and resistant to treatment with only four classes of antifungal medicines currently available, and few candidates in the clinical pipeline. Most fungal pathogens lack rapid and sensitive diagnostics and those that exist are not widely available or affordable globally.
  • The invasive forms of these fungal infections often affect severely ill patients and those with significant underlying immune system related conditions. Populations at greatest risk of invasive fungal infections include those with cancer, HIV/AIDS, organ transplants, chronic respiratory disease, and post-primary tuberculosis infection.
  • Emerging evidence indicates that the incidence and geographic range of fungal diseases are both expanding worldwide due to global warming and the increase of international travel and trade. During the COVID-19 pandemic, the reported incidence of invasive fungal infections increased significantly among hospitalized patients. As the fungi that cause common infections (such as candida oral and vaginal thrush) become increasingly resistant to treatment, risks for the development of more invasive forms of infections in the general population are also growing.

INTERNATIONAL RELATIONS

3. WHY IS ASEAN HOLDING A SPECIAL MEETING ON MYANMAR?

THE CONTEXT: Foreign ministers from member countries of the Association of Southeast Asian Nations (ASEAN) held a discussion recently over intensifying crisis in Myanmar, 18 months after agreeing a peace plan with its military rulers.

THE EXPLANATION:

Why is the meeting happening?

  • ASEAN’s peace effort is the only official diplomatic process in play, but it has so far been a failure, with the junta unwilling to implement a so-called “five-point consensus” that it agreed to with ASEAN in April 2021.
  • ASEAN holds its annual summit next month (November 2022) and will be joined by numerous world leaders. The United Nations has backed the ASEAN plan, but international patience is wearing thin, with suspicion the generals are paying lip service and buying time to consolidate power and crush opponents before a 2023 election, knowing they could then control the outcome.
  • For ASEAN to remain credible as a mediator, it may need to present a new strategy before the summit.

What is the consensus?

  • The agreement includes an immediate end of hostilities, all parties engaging in constructive dialogue, allowing an ASEAN envoy to mediate and meet all stakeholders, and for ASEAN to provide humanitarian assistance.
  • So far, the only success cited by ASEAN chair Cambodia has been allowing some humanitarian access, but that has been limited and conditional.

VALUE ADDITION:

ASIAN GROUPING:

The Association of Southeast Asian Nations is a regional organization which was established to promote political and social stability amid rising tensions among the Asia-Pacific’s post-colonial states. The motto of ASEAN is “One Vision, One Identity, One Community”. ASEAN Secretariat – Indonesia, Jakarta.

Genesis: Established in 1967 with the signing of the ASEAN Declaration (Bangkok Declaration) by its founding fathers. Founding Fathers of ASEAN are: Indonesia, Malaysia, Philippines, Singapore and Thailand.

Institution Mechanism: Chairmanship of ASEAN rotates annually, based on the alphabetical order of the English names of Member States.

ASEAN Summit: The supreme policy making body of ASEAN. As the highest level of authority in ASEAN, the Summit sets the direction for ASEAN policies and objectives. Under the Charter, the Summit meets twice a year.

ASEAN Ministerial Councils: The Charter established four important new Ministerial bodies to support the Summit.

  • ASEAN Coordinating Council (ACC).
  • ASEAN Political-Security Community Council.
  • ASEAN Economic Community Council.
  • ASEAN Socio-Cultural Community Council.

INDIAN AGRICULTURE

4. GENETIC ENGINEERING APPRAISAL COMMITTEE APPROVES COMMERCIAL CULTIVATION OF GENETICALLY MODIFIED MUSTARD

THE CONTEXT: The Genetic Engineering Appraisal Committee (GEAC) has yet again cleared the proposal for the commercial cultivation of genetically modified (GM) mustard.

THE EXPLANATION:

  • The recommendation will now again go for the approval of the Environment Ministry. Though the GEAC had cleared the proposal in 2017, the Ministry had vetoed it and suggested that the GEAC hold more studies on the GM crop.
  • A GEAC recent meeting allowed the environmental release of two varieties of genetically engineered mustard, so that it can be used for developing new parental lines and hybrids under the supervision of the Indian Council of Agriculture Research (ICAR). “The environmental release of mustard hybrid Dhara Mustard Hybrid (DMH-11) for its seed production and testing as per existing ICAR guidelines and other extant rules/regulations prior
  • to commercial release”. The field demonstration studies on the effect of GE mustard on honey bees and other pollinators was also allowed to be conducted.

VALUE ADDITION:

Genetic Engineering Appraisal Committee (GEAC) :

  • The Genetic Engineering Appraisal Committee (GEAC) functions in the Ministry of Environment, Forest and Climate Change (MoEF&CC).
  • It is responsible for appraisal of activities involving large scale use of hazardous microorganisms and recombinants in research and industrial production from the environmental angle.
  • The committee is also responsible for appraisal of proposals relating to release of genetically engineered (GE) organisms and products into the environment including experimental field trials.
  • GEAC is chaired by the Special Secretary/Additional Secretary of MoEF& CC and co-chaired by a representative from the Department of Biotechnology (DBT). Presently, it has 24 members and meets every month to review the applications in the areas indicated above

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

5. TWO MORE INDIAN BEACHES ENTER THE COVETED LIST OF BLUE FLAG BEACHES

THE CONTEXT: The internationally renowned and coveted International eco-label “Blue Flag” has been accorded to two new beaches — Minicoy Thundi Beach and Kadmat Beach — both in Lakshadweep.

THE EXPLANATION:

  • This is yet another acknowledgement of India’s commitment to protect and conserve the pristine coastal and marine ecosystems through holistic management of the resources. With this, there are now twelve beaches that have earned the Blue Flag designation.
  • One of the Lakshadweep archipelago’s most beautiful and unspoiled beaches, Thundi Beach features white sand and turquoise lagoon water. Both swimmers and tourists will find it to be a heaven. In particular, cruise visitors who come to the island for water activities enjoy the Kadmat Beach.
  • With its pearl white beaches, azure lagoon waters, comfortable atmosphere, and welcoming residents, it is a heaven for nature lovers. Both beaches have personnel assigned to beach upkeep and cleanliness as well as to swimmer security.

ABOUT BLUE FLAG BEACHES:

  • The Blue Flag certification is awarded by a non-profit organization called the Foundation for Environmental Education (FEE).
  • The Blue Flag programme was started in France in 1985 and in areas out of Europe in 2001.
  • To qualify for the Blue Flag certificate, a series of stringent requirements or criteria should be satisfied. The criteria are environmental, educational, access, and safety-related. There are a total of 33 criteria.
  • The program promotes sustainable development in freshwater and marine areas through four main criteria: water quality, environmental management, environmental education, and safety.
  • The certification is awarded to beaches, marinas (which are small ports or harbours designed for pleasure yachts or boats), and sustainable boat tourism operators in FEE member countries.
  • The Blue Flag is an eco-label and blue flag beaches should provide clean and hygienic bathing water, along with basic infrastructure for tourists.
  • Operators of beaches or boating tourism that have been awarded the ‘blue flag’ are allowed to display the blue flag logo.
  • This is awarded to local authorities or private operators only of the member countries.
  • Blue Flag also advocates against inequality, disparity, unemployment, depletion of natural resources, health and environmental threats, pollution as well as general environmental degradation.
  • Blue Flag is accorded by the international jury composed of eminent members – United Nations Environment Programme (UNEP), United Nations World Tourism Organisation (UNWTO), Denmark-based NGO Foundation for Environmental Education (FEE) and International Union for Conservation of Nature (IUCN).
  • There are more than 4000 blue flag beaches worldwide with Spain leading the number of beaches per country with this certification.

As of October 2022, Twelve Beaches in India have been awarded the prestigious certification, namely:
1. Golden Beach – Odisha
2. Shivrajpur Beach – Gujarat
3. Kappad Beach – Kerala
4. Ghoghla Beach – Diu
5. Radhanagar Beach – Andaman and Nicobar
6. Kasarkod Beach – Karnataka
7. Padubidri Beach – Karnataka
8. Rushikonda Beach – Andhra Pradesh
9. Kovalam Beach – Tamil Nadu
10. Eden Beach – Puducherry
11. Thundi Beach – Lakshadweep
12. Kadmat Beach -Lakshadweep

PRELIMS PERSPECTIVE

6. WHAT IS NIHONSHU?

THE CONTEXT: The Embassy of Japan applied for a GI tag for nihonshu, also known as Japanese sake.

THE EXPLANATION:

  • Recently, Japan sought a Geographical Indication (GI) tag for the first time in India. The Japanese Embassy in New Delhi applied for a GI tag for nihonshu (Japanese sake) at the Geographical Indication Registry in Chennai.
  • Japanese sake is a valuable beverage made from the fermentation of rice. It is made using three main raw materials – rice, a type of fungal spore known as koji-kin, and water.
  • The rice and Koji used in the beverage must originate from Japan. It is made using an alcoholic fermentation method called parallel multiple fermentation.
  • Other tasks involved in its creation include koji making, starter culture-making, mash-making, pressing, heat sterilization, and bottling. It is consumed mainly during special occasions like festivals, weddings, or funerals, besides being used for daily consumption. This alcoholic beverage is an integral part of Japanese culture and lifestyle.

Background

  • Since the Japanese economy was historically based on rice, it was partly used as a medium of exchange before the constitution of the monetary economy during the Meiji period (1869-1912). Hence, nihonshu production was fully under the control of the government.
  • With the production of Japanese sake becoming industrialized during the Edo period (1603-1868), those having special licenses to produce nihonshu hired farmers during the agricultural off-season and gained a reputation as craftsmen. This resulted in the establishment of the hierarchical Toii system, similar to the apprenticeship and guild system.
  • Toii (the person responsible for brewing the sake) has full authority for the production of nihonshu at breweries. Toii is also involved in the training of apprentices and passing on the traditional brewing technique to the next generation.

About GI tag

The GI tag is given to those products with specific geographical origins and characteristics that are closely associated with the geographical origin. In India, a GI tag is granted based on the provisions of the Geographical Indications of Goods (Registration and Protection) Act, 1999.




Ethics Through Current Development (27-10-2022)

  1. Punya as GPS orients us to right directions READ MORE
  2. The human endeavour READ MORE



Today’s Important Articles for Geography (27-10-2022)

  1. An unkind hike: Amid sticky inflation, small savings rates should have been pegged higher READ MORE
  2. The climate crisis and the urgent need for global cooperation READ MORE
  3. Rising temperatures hold a dire warning READ MORE



Today’s Important Articles for Sociology (27-10-2022)

  1. Bridging the gender digital divide to get women into the workforce READ MORE
  2. POVERTY MAKING KIDS DROP OUT OF SCHOOLS READ MORE
  3. ‘Women, Life. Freedom’ READ MORE



Today’s Important Articles for Pub Ad (27-10-2022)

  1. Protecting competition: The Competition Commission of India’s action will open up the Android space READ MORE
  2. After Union govt, states obfuscating budgets. India needs true bond market more than CAG audits READ MORE
  3. Rule of Law Globally Under Assault READ MORE
  4. Supreme Court’s exasperation against hate speech is just the tip of the iceberg READ MORE



WSDP Bulletin (27-10-2022)

(Newspapers, PIB and other important sources)

Prelim and Main

  1. Bats evicted from prehistoric Manipur cave for tourism: Study READ MORE
  2. ISRO to boost NavIC, widen user base of location system READ MORE
  3. India’s imports from China surge to record high in first nine months of year READ MORE
  4. Genetic Engineering Appraisal Committee approves commercial cultivation of genetically modified mustard yet again READ MORE
  5. Liquidity in system tightens on rising credit demand, RBI forex intervention READ MORE
  6. Understanding GM mustard: what is it, and how has it been achieved? READ MORE
  7. Anti-trust cases against Google, how regulator decided fine READ MORE
  8. Biotech regulator approves GM mustard, now Centre to take a call READ MORE

Main Exam

GS Paper- 1

  1. Colonialism and its discontents today READ MORE
  2. ‘Divide and rule’ does not work Making sense of an outreach to Pasmanda Muslims READ MORE
  3. ‘Women, Life. Freedom’ READ MORE

GS Paper- 2

POLITY AND GOVERNANCE

  1. Protecting competition: The Competition Commission of India’s action will open up the Android space READ MORE
  2. After Union govt, states obfuscating budgets. India needs true bond market more than CAG audits READ MORE
  3. Rule of Law Globally Under Assault READ MORE
  4. Supreme Court’s exasperation against hate speech is just the tip of the iceberg READ MORE

SOCIAL ISSUES

  1. Bridging the gender digital divide to get women into the workforce READ MORE
  2. POVERTY MAKING KIDS DROP OUT OF SCHOOLS READ MORE

INTERNATIONAL ISSUES

  1. Pakistan’s exit from FATF Grey List and India’s challenge READ MORE
  2. Xi envisions China-centric world order READ MORE

GS Paper- 3

ECONOMIC DEVELOPMENT

  1. Daylight data robbery READ MORE
  2. Income is not the right gage of poverty READ MORE
  3. PM Kisan’s direct transfers can help food distribution. But there are four challenges READ MORE

ENVIRONMENT AND ECOLOGY

  1. An unkind hike: Amid sticky inflation, small savings rates should have been pegged higher READ MORE
  2. The climate crisis and the urgent need for global cooperation READ MORE
  3. Rising temperatures hold a dire warning READ MORE

SECURITY

  1. Why development projects are critical for rooting out extremism READ MORE

GS Paper- 4

ETHICS EXAMPLES AND CASE STUDY

  1. Punya as GPS orients us to right directions READ MORE
  2. The human endeavour READ MORE

Questions for the MAIN exam

  1. ‘The battle against internal terror cannot be fought without the help of the people’. Discuss, why development projects are critical for rooting out extremism?
  2. How far do you agree with this view that recent supreme court concern against hate speech is good move, but this is the administration and executive that can work effective against the propagation of hate? Justify your view.

QUOTATIONS AND CAPTIONS

  • Instability is the repetition of tactics without a strategy.
  • The Global Hunger Index exposes the falsity of poverty estimates that do not take into account the true rise in cost of living.
  • Grazing by mammalian herbivores can be a climate mitigation strategy.
  • The quest for Atmanirbharta has to be an ongoing and long-term endeavour that must take due note of its adverse impact on the military’s short and mid-term operational effectiveness.
  • Water resources are essential for economic development. India has 4 per cent of global water resources for its use. India’s water resources are under immense pressure.
  • India needs to embark on export-led growth to create high-income jobs with a big role of MSMEs.
  • The Government should identify better alternatives and encourage innovation that can eventually lead to the betterment of public health. It is essential for the government to take on a multidimensional and unprejudiced stance in adopting harm reduction alternatives for the betterment of its citizens.
  • Consensus among political parties is needed to avert the financial disaster that freebies will lead to in the long run.
  • Fostering peaceful coexistence of the diverse sects and sections of society is crucial for India’s image globally, too, as its voice gains credence in diplomatic and geopolitical affairs.
  • The Supreme Court’s intervention in the matter is welcome. Now, political and legal action must follow in case of hate speech.
  • Development projects bolster internal security and help policing become more focused and result-oriented, ensuring a government-people bond.
  • Administrative bias on the one hand and the spread of social prejudice on the other cannot be allowed to vitiate the national mood. the Court must do everything possible to nudge authorities to enforce the law against the propagation of hate.

50-WORD TALK

  • Appointing a new career-diplomat to run the US embassy in India is just a band-aid for a festering wound. Thirty-nine US embassies—including Saudi Arabia, the UAE, and Brazil—have no ambassador, because political feuding has blocked nominees. Leadership summits can’t replace effective ambassadors who manage everyday irritants and challenges.
  • AAP chief Arvind Kejriwal’s demand for images of deities Lakshmi and Ganesh on currency notes has just raised the bar for competitive Hindutva politics. From being called BJP’s ‘B-team”, he’s now out to outdo BJP. But Delhi CM should leave our gods and goddesses out of temporal issues like economy.

Things to Remember:

  • For prelims-related news try to understand the context of the news and relate with its concepts so that it will be easier for you to answer (or eliminate) from given options.
  • Whenever any international place will be in news, you should do map work (marking those areas in maps and exploring other geographical locations nearby including mountains, rivers, etc. same applies to the national places.)
  • For economy-related news (banking, agriculture, etc.) you should focus on terms and how these are related to various economic aspects, for example, if inflation has been mentioned, try to relate with prevailing price rises, shortage of essential supplies, banking rates, etc.
  • For main exam-related topics, you should focus on the various dimensions of the given topic, the most important topics which occur frequently and are important from the mains point of view will be covered in ED.
  • Try to use the given content in your answer. Regular use of this content will bring more enrichment to your writing.



Day-316 | Daily MCQs | UPSC Prelims | GEOGRAPHY

[WpProQuiz 361]




TOPIC : TIME TO SHUN FISCAL ORTHODOXY

THE CONTEXT: Unprecedented fall in GDP in the first quarter of current financial year has brought back the importance of fiscal policy into limelight. With monetary policy not producing the desired result; consumption and private investment expenditure remaining subdued, the onus of reviving the economy rests on the fiscal policy. The expansionary fiscal policy (huge government expenditure or a cut in tax rate) can bring about a visible and concrete change in the status of Indian economy.

The government is expected to shun the path of fiscal orthodoxy and make a meaningful expenditure to arrest the decline in GDP or income. Fiscal stimulus seems to be the need of the hour.

The present article analyses the rationale and feasibility of fiscal support that the economy needs to mitigate the impact of covid-induced recession.

REASONS FOR A FISCAL BOOST

  • The unprecedented 23.9% decline in the gross domestic product (GDP) in the first quarter of 2020–21, mainly due to the stringent lockdown enforced after the COVID-19 outbreak, is the main reason demand for a massive fiscal stimulus has arisen.
  • Taking into consideration the activities in the informal sector of the economy, the decline could be much larger than reported. This is because quarterly estimation of GDP does not capture informal sector which accounts for almost half of our GDP.
  • The largest decline was in manufacturing, construction, and trade, hotels, transport, and communication where output fell by 39.3%, 50.3% and 47%, respectively. These three segments ­account for almost three-fourths of the total workers employed outside of agriculture and the sharp fall in output would have wiped out millions of jobs.
  • Similarly, the expenditure-side numbers indicate a sharp fall in both consumption and investments. While private consumption, the biggest component, has declined by almost a quarter, the gross fixed capital formation or investment has almost halved. This urgently necessitates huge government stimulus.
  • The economy had already slipped into a crisis even before the pandemic struck. In fact, the quarterly GDP has steadily decelerated for nineth consecutive quarters and brought down growth rates from a high of 8.1% in the last quarter of 2017–18 to a low of -23.9% in the first quarter of 2020-21. And, given the current trends, it can now be safely assumed that the GDP will shrink substantially, maybe even by double digits, in the fiscal year 2020–21.
  • Historically, India’s GDP has shrunk four times since the early 1950s, with the sharpest and the most recent one being in 1979–80 when GDP declined by 5.2%. But, the current decline is both much more extensive and severe. There is a simultaneous fall in consumption, investments, and exports and only concerted and radical interventions by the government can ensure that the growth bounces back closer to double digits.
  • The pandemic has also exposed many lacunae in the economy, especially in the health and social security network. very few informal workers in the economy, who account for around 92.4% of the total workforce, have any social security benefits like paid leave or other non-wage benefits that will help them tide over a crisis.
  • International commitments towards SDG should also be reasons for enlarging government expenditure.

FISCAL RESPONSE SO FAR

The government’s response to the pandemic so far has been slow and inadequate.

Despite the havoc heaped by the pandemic, on both business and employment, and the millions of migrants fleeing to the safety of their villages, the government delayed any substantial relief till the third week of May. And, though the stimulus package announced in May 2020 was as large as `20 lakh crore, or around 10% of the GDP, most measures were focused on monetary policy interventions. Fiscal support was only a little more than 1% of the GDP. The government clung on to fiscal orthodoxy even as the economy suffered one of the biggest hits ever.

So, the burden of recovery was shifted largely on to the central bank, which steadily cut rates and pumped up credit flows to productive sectors. But, as consumer inflation steadily rose to exceed the central bank’s targets, mainly due to high taxes on fuel and bottlenecks in food supply, the Reserve Bank of India was soon forced to pause the rate cuts.

Many economists and commentators have mentioned that Government announcement on the stimulus of Rs 20 lakh crores tries to resolve only supply-side issues. There is nothing to bring in an additional demand.

INDIA’S FISCAL STIMULUS IS INADEQUATE AS COMPARED WITH DEVELOPED AS WELL AS ITS DEVELOPING PEERS

Across the world, country stimulus responses vary from 1 percent of GDP to 12 percent of GDP as of now. Rich countries seem to have announced larger stimulus packages (5 to 10 percent) and poor countries have announced smaller packages (2 to 5 percent). In case of India, it is a bit more than only 1 per cent of its GDP.

DO WE HAVE A FISCAL SPACE?

There is no denying the fact that the fiscal space with the government to deal with recession is limited. Corporate tax has already been cut and, now, with growth slumping into negative territory, the ability of the government to raise tax revenue in coming months would further get hampered.

In this dire situation, the increased expenditure on fiscal stimulus can be dealt with by raising market borrowings. India has already raised its estimated fiscal deficit from 7.8 lakh cr to 12 lakh cr.

DOES THE CENTRAL GOVERNMENT HAVE MORE CAPACITY TO BORROW?

Yes. The following points illustrate this;

  • Surplus liquidity and limited private credit demand will ensure that government bond auctions remain well subscribed.
  • India is running a current account surplus. That’s compounded by strong capital flows. So we have the pool of savings. Banks don’t want to lend to the real economy. There is a presumption here that those resources will ultimately be channelled into government bonds.
  • In addition, the government can choose to roll-over the treasury bills issued in the first half of the year. The government has borrowed and issued close to Rs 5 lakh crore in treasury bills already. One way the government can finance more of its deficit is by rolling over those treasury bills.

Eventually, the extent to which the government can allow its debt burden to build up during the pandemic will depend on the expected trend growth in the economy.

If India’s growth is at 7% over the next five years, India can absorb a much larger stimulus this year and in the medium term, debt-to-GDP come down. If India’s trend growth settles at 5%, even a muted fiscal response this year will result in debt to GDP rising enormously. So we should not lose sight of the fact that trend growth matters a lot.

WAY FORWARD:

Government can carve out more fiscal space to boost spending without any downside risks. It must release funds through a multi-year asset sale programme.The public authorities in India have a good amount of shares in public sector undertakings (PSUs), public land, and foreign exchange reserves. There is scope and anyway a need for reducing public holdings of these assets.

Disinvestment:

The market return on investments in PSUs is very low and it is doubtful if even the social returns are large; there is a rationale for disinvestment or privatisation (Dutta 2010). Indeed, the GOI has been engaged in a disinvestment programme for quite some time.

Monetising Public Land:

public authorities in India hold excess land; 13 major port trusts have 100,000 hectares of land, the International Airports Authority of India has 20,400 hectares of (additional) land, the Ministry of Defence has 283,280 hectares of land, and the Indian Railways has 43,000 hectares that is valued roughly at a whopping Rs. 3 trillion, which is significantly more than the true fiscal component of the big financial package of about Rs. 21 trillion announced in May 2020. So, here again, we have a way to mobilise funds by selling excess land – more so when the market price of land in India is more than the fundamental value of land.

Forex Reserve:

Finally, let us come to the foreign exchange reserves with the RBI. These stand at US$ 560 billion or Rs. 42.5 trillion as on 30 October 2021 (this is about 2 times the size of the relief package announced by the GOI in May 2021). It has been argued that these reserves can be reduced significantly without endangering macro-financial stability.

All this suggests that the public authorities have considerable fiscal space if we consider their assets.

CONCLUSION:

Nobody is advocating that India does the kind of stimulus that the UK or Germany or other developed countries are able to adopt, because we don’t have the kind of hard currency that they have. However, a meaningful demand-driven expenditure could be made to turn the course of the economy.

  • Basic income in terms of cash transfer to a selected group of people, like women, will go a long way in addressing the demand side .
  • Government should spend on creation of social and economic infrastructure which will not only generate employment abut also crowd-in private investment.
  • Building an efficient social security network to protect all workers from economic instabilities.
  • Rolling out programmes to scale up medical coverage across the country to ensure better protection from future pandemics.

Clearly, the government’s efforts to provide relief and revive the economy have now reached a dead end, and the only way to kick-start a steady recovery is to launch a massive fiscal stimulus package to stem the fall and ensure a quick recovery.




DAILY CURRENT AFFAIRS (OCTOBER 26, 2022)

POLITY AND CONSTITUTION

WHAT IS FCRA, AND WHEN CAN AN NGO’S REGISTRATION BE CANCELLED?

THE CONTEXT: Recently, the Ministry of Home Affairs has cancelled the Foreign Contribution (Regulation) Act (FCRA) licence of Rajiv Gandhi Foundation (RGF) and Rajiv Gandhi Charitable Trust (RGCT), organisations that are associated with the Nehru-Gandhi family, for alleged violations of the provisions of the Act.

THE EXPLANATION:  

What is the FCRA?

  • The FCRA was enacted during the Emergency in 1976 amid apprehensions that foreign powers were interfering in India’s affairs by pumping money into the country through independent organisations.
  • These concerns were, in fact, even older; they had been expressed in Parliament as early as in 1969.

Aim: The law sought to regulate foreign donations to individuals and associations so that they functioned in a manner consistent with the values of a sovereign democratic republic.

Prohibition:

The Act prohibits the receipt of foreign funds by candidates for elections, journalists or newspaper and media broadcast companies, judges and government servants, members of legislature and political parties or their office-bearers, and organisations of a political nature.

New guidelines to banks on Foreign Contribution (Regulation) Act rules

  • State Bank of India’s New Delhi branch: A new provision that makes it mandatory for all NGOs to receive foreign funds in a designated bank account at the State Bank of India’s New Delhi branch was inserted.
  • Designated FCRA account: All NGOs seeking foreign donations have to open a designated FCRA account at the SBI branch.
  • The NGOs can retain their existing FCRA account in any other bank but it will have to be mandatorily linked to the SBI branch in New Delhi.
  • Only banking channels allowed: Foreign contribution has to be received only through banking channels and it has to be accounted for in the manner prescribed.
  • OCI or PIO: Donations are given in Indian rupees by any foreign source including foreigners of Indian origin like OCI or PIO cardholders” should also be treated as foreign contributions.
  • Sovereignty and integrity: It requires NGOs to give an undertaking that the acceptance of foreign funds is not likely to prejudicially affect the sovereignty and integrity of India or impact friendly relations with any foreign state and does not disrupt communal harmony.

SATELLITE PHONES: WHAT ARE THEY, AND WHY IS THEIR USE RESTRICTED IN INDIA?

THE CONTEXT: A senior executive of Saudi Arabian oil company Saudi Aramco spent several days in prison in Chamoli district of Uttarakhand after he was arrested by police in July with an unauthorised satellite phone.

THE EXPLANATION:

What’s wrong with carrying a satellite phone?

  • It’s not legal to carry one in India unless you have permission. Visitors to the country are specifically advised not to carry a satellite phone without permission. Restrictions on the possession and use of these phones were tightened after the Pakistani terrorists who attacked Mumbai in November 2008 used these devices to keep in touch with their Lashkar-e-Taiba handlers.
  • The person was arrested under sections of the Indian Telegraph Act and the Indian Wireless Telegraphy Act.

What do these rules say?

  • Section 6 of The Indian Wireless Telegraphy Act, 1933 makes it illegal to possess “any wireless telegraphy apparatus, other than a wireless transmitter, in contravention of the provisions of section 3 [of the Act]”.
  • Section 3 says “no person shall possess wireless telegraphy apparatus” without a licence “save as provided by Section 4”.
  • Section 4 of the Act allows the central government to make rules under the Act to “exempt any person or any class of persons from the provisions of this Act either generally or subject to prescribed conditions, or in respect of specified wireless telegraphy apparatus”.

According to the Department of Telecommunications says: “Satellite phones are permitted: (i) With specific permission/ NOC from Department of Telecommunications, Government of India; or (ii) As provisioned by M/s BSNL in accordance with license granted to M/s BSNL for provision and operation of satellite-based service using Gateway installed in India.”

 

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

DELHI BREATHES ITS CLEANEST POST-DEEPAVALI AIR IN 8 YEARS

THE CONTEXT: According to Central Pollution Control Board (CPCB) data, the national capital breathed the cleanest post-Deepavali air in eight years.

THE EXPLANATION:

  • Though violations of the ban imposed on bursting crackers were reported from across the city leading to a spike in PM2.5 levels (particulate matter 2.5), the air quality improved with time due to favourable meteorological conditions, according to experts. PM2.5 are fine inhalable particles which can get into the bloodstream through the lungs leading to a number of respiratory illnesses.
  • Experts also attributed better air quality in the city a day after Deepavali to the festival occurring earlier this year when conditions are comparatively warmer and windier, aiding in the dispersion of the pollutants.
  • Every year, Delhi experiences extreme air pollution in winter due to internal and external factors, including stubble burning in the neighbouring States.

Why better?

  • Explaining the meteorological factors behind the fall in PM2.5 levels, experts say when Deepavali occurs later in the year “temperature drops and wind speed also drops. As wind speed drops, pollutants are not effectively dispersed and this leads to their accumulation”.
  • As temperature drops, the mixing height (the height measured from the surface of the earth up to which pollutants can be dispersed in the atmosphere) also reduces.
  • “When wind speed falls and mixing height lowers at the same time, the air gets trapped and this leads to higher pollution. But this year it was warmer, the wind speed was better and the mixing height was also not so low.
  • That is why though firecrackers were burst, there was a dispersion of pollutants and it did not lead to a build-up”.

VALUE ADDITION:

Why Delhi air pollution rises in October?

  • Northwesterly Winds: Month of October marks the withdrawal of Monsoon winds (South-West) from North India, leading to the arrival of North-Easterly winds.
    • Monsoon winds carry Moisture and rainfall all over the country, whereas northwesterly winds carry dust from dust storms originating in Rajasthan and sometimes Pakistan and Afghanistan.
    • As per the study conducted by scientists at the National Physical Laboratory, 72 per cent of Delhi’s wind in winters comes from the northwest, while the remaining 28 per cent comes from the Indo-Gangetic plains.
    • One of such examples is a storm of 2017, originated from Iraq, Saudi Arabia and Kuwait that led to a drastic dip in Delhi’s air quality in a couple of days.
  • Low-level inversion: Another factor is the temperature dip in the month of October. Low-temperature results in low-level inversion i.e. the layer that stops the upward movement of air from the layers below. It leads to the concentration of pollutants in the air at the lower heights.
  • Wind speed: High wind speed in summers facilitates the faster movement of particulate matters in the air. As the wind speed decreases in winters, the air is not able to draw the pollutant away from a region.
  • Industrial chimney wastes: There are a number of industries which are source of pollution. The chief gases are SO2 and NO2. There are many food and fertilizers industries which emit acid vapours in air.
  • Automobiles pollution: The Toxic vehicular exhausts are a source of considerable air pollution. In all the major cities of the country about 800 to 1000 tonnes of pollutants are being emitted into the air daily, of which 50% come from automobile exhausts. According to the IIT Kanpur study, 20 % of PM 2.5 in winters comes from vehicular pollution.
The Central Pollution Control Board (CPCB)

  • It is a statutory organisation under the Ministry of Environment, Forest and Climate Change. It was established in 1974 under the Water (Prevention and Control of pollution) Act, 1974.
  • It is also entrusted with the powers and functions under the Air (Prevention and Control of Pollution) Act, 1981.
  • It provides technical services to the Ministry of Environment and Forests under the provisions of the Environment (Protection) Act, 1986.
  • It Co-ordinates the activities of the State Pollution Control Boards by providing technical assistance and guidance and also resolves disputes among them.
  • It is the apex organisation in country in the field of pollution control.

 

THE PRELIMS PERSPECTIVE

THIS WORD MEANS: HAWK AIR DEFENCE EQUIPMENT

THE CONTEXT: The United States is considering retrieving older HAWK air defence equipment from storage to send to Ukraine which is facing a heavy barrage of Russian drone-fired and cruise missiles.

THE EXPLANATION:  

HAWK after Stinger

  • The HAWK interceptor missiles would be an upgrade to the Stinger missile system, which is a smaller, shorter-range air defence system. The US sent the shoulder-fired anti-aircraft Stingers to Ukraine early on in the war, and then placed orders for more stocks of the missiles with Raytheon Technologies Corp. after they demonstrated great success in stopping Russian air assaults.
  • The US would likely initially send interceptor missiles for the HAWK system to Ukraine because it was unclear if enough US launchers — in storage for decades — were in good repairs.

PATRIOT predecessor

  • HAWK, short for ‘Homing All the Way Killer’, entered service with the US Army in 1959, during the Vietnam war. It underwent upgrades over the decades that followed, including a major one in 1971 that produced the so-called I-HAWK (or improved HAWK), with a kill probability of 85%.
  • The HAWK system was the predecessor to the PATRIOT missile defence system that Raytheon built in the 1990s. US forces largely stopped using HAWK from the early years of the new century. PATRIOT remains off the table for Ukraine.

 

 

THE CONTROVERSY AROUND BHOOTA KOLA RITUAL DEPICTED IN KANTARA

THE CONTEXT: Kannada film Kantara is being appreciated from all corners for its visual storytelling as well as compelling music and performances. However, the movie has also garnered controversies regarding the cultural practice of Bhoota Kola depicted in the movie.

THE EXPLANATION:  

What is Bhoota Kola?

Bhoota Kola is an annual folk ritual of Tulu-speaking people in Dakshina Kannada, Uttara Kannada and Udupi in Karnataka where local spirits or deities are worshiped.

  • As per Tulu Adivasi tradition, Bhoota Kola or Daiva Kola is a “non-vedic” ritual where Bhootas or Daivas (guardians and ancestors) are worshipped, reports The Quint.
  • “Idols representing ‘bhoothas’ are taken out in a procession to the beating of drums and bursting of firecrackers.

Performance: Bhootada Kola is performed by a trained person who is believed to have temporarily become a god himself.

  • The performer displays an aggressive outlook, dances fiercely and performs multiple rituals.
  • This performer is feared and respected in the community and is believed to give answers to people’s problems on behalf of god. Drums and music give company to the dancing and pooja rituals.

Popular Bhootas: Panjurli, Bobbarya, Pilipoota, Kalkuda, Kalburti, Pilichamundi, Koti Chennaya are some of the popular gods (Bhootas) worshipped as part of Bhootada Kola.

Influence: Bhootada Kola is said to have some influence from Yakshagana, a more popular and widely performed folk dance in coastal Karnataka. Some of the Bhootada Kola rituals also involve walking on a bed of hot coal.

 

CYCLONE SITRANG’

THE CONTEXT: According to the India Meteorological Department (IMD) the developing cyclonic storm in the Bay of Bengal — Cyclone Sitrang — will bypass Odisha and make landfall near West Bengal-Bangladesh coasts.

THE EXPLANATION:

  • The India Meteorological Department forecasted that a low-pressure area is likely to form over the southeast and adjoining east-central Bay of Bengal.
  • The low-pressure area in turn could intensify into a cyclonic storm that could affect Odisha, West Bengal, the northern part of Andhra Pradesh and adjoining areas.

The name Sitrang

  • The name Sitrang has been given by
  • Sitrang will follow cyclone Asani, which developed in the Bay of Bengal in early May this year. This will be the second cyclonic storm of 2022.
  • The cyclones that are forming over the north Indian Ocean, including the Arabian Sea and Bay of Bengal, are given names by IMD. Thirteen members—Bangladesh, India, Iran, Maldives, Myanmar, Oman, Pakistan, Qatar, Saudi Arabia, Sri Lanka, Thailand, United Arab Emirates, and Yemen—are given warnings about tropical cyclones and storm surges by the IMD.

 

 

 

 

 

 




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