THE ECONOMIC DEVELOPMENTS

1. ‘WORLD FOOD PRICES ROSE TO A NEW RECORD IN MARCH 2022’: FAO

THE CONTEXT: World food prices jumped to a new record high in March 2022 as the war in Ukraine caused turmoil in markets for staple grains and edible oils, the U.N. food agency.

THE EXPLANATION:

• The Food and Agriculture Organization’s (FAO) food price index, which tracks the most globally-traded food commodities, averaged 159.3 points last month versus an upwardly revised 141.4 for February 2022.
• FAO said Russia was the world’s largest exporter of wheat and Ukraine was the fifth largest. Together, they provide 19% of the world’s barley supply, 14% of wheat, and 4% of maize, making up more than one-third of global cereal exports.
• They both are major exporters of sunflower oil via the Black Sea, and Moscow’s six-week-old invasion of its neighbour has stalled Ukrainian exports.
• FAO warned last month (March 2022)that food and feed prices could rise by up to 20% as a result of the conflict in Ukraine, triggering a jump in global mal nourishment.
• FAO also cut its estimate of world wheat production in 2022 to 784 million tonnes from a forecast of 790 million last month (March 2022) as it factored in the possibility that at least 20% of Ukraine’s winter crop area would not be harvested. It also lowered its projection of global cereals trade in the 2021/22 marketing year.
• Also, the UN agency highlighted the fact, Russia is also a world leader in fertilizer exports.”The likely disruptions to agricultural activities of these two major exporters of staple commodities could seriously escalate food insecurity globally.

 2. CENTRE SETS UP TASK FORCE TO PROMOTE ANIMATION, GAMING

THE CONTEXT: The Information and Broadcasting Ministry has constituted an Animation, Visual Effects, Gaming and Comics (AVGC) promotion task force. Headed by the I&B Secretary, the task force will submit its first action plan within 90 days.

THE EXPLANATION:

• It has representation from the industry, academia and State governments.Earlier, Union Finance in her Budget speech, had announced the creation of AVGC promotion task force.
• The body will frame a national AVGC policy; recommend national curriculum framework for graduation, post-graduation and doctoral courses in AVGC-related sectors; and facilitate skilling initiatives in collaboration with academic institutions, vocational training centres and industry.
• It will boost employment opportunities and help in the promotion and market development activities to extend global reach. of the Indian industry; enhance exports and recommend incentives to attract foreign direct investment in the sector.
• The I&B Ministry said the AVGC sector in the country had the potential to become the torch bearer of “Create in India” and “Brand India”. “India has the potential to capture 5% of the global market share by 2025, with an annual growth of around 25-30% and creating over 1,60,000 new jobs annually”.
• The task force comprises Secretaries of the Ministry of Skill Development and Entrepreneurship, Department of Higher Education, Ministry of Education, Ministry of Electronics and Information Technology, and the Department for Promotion of Industry and Internal Trade.

 3. SC UPHOLDS NEW RESTRICTIONS ON RECEIVING FOREIGN FUNDS

THE CONTEXT: The Supreme Court upheld amendments introducing restrictions in the Foreign Contribution (Regulation) Act (FCRA) while holding that no one has a fundamental or absolute right to receive foreign contributions.

THE EXPLANATION:

• In a judgment that may hit non-governmental organisations (NGOs) working at the grass-root level with no direct link to foreign donors, the court reasoned that unbridled inflow of foreign funds may destabilise the sovereignty of the nation.
• The restrictions involve a bar on using operational FCRA accounts to get foreign contributions and mandatory production of the Aadhaar card for registration under the FCRA. They require NGOs and recipients to open a new FCRA account at a specified branch of the State Bank of India in New Delhi as a “one-point entry” for foreign donations.
• The petitioners, including individuals and NGOs engaged in cultural, educational, religious activities, argued that the amendments suffered from the “vice of ambiguity, over-breadth or over-governance” and violated their fundamental rights. They said the new regime amounts to a blanket ban on the capacity of intermediary organisations in India to distribute foreign donations to smaller and less visible NGOs. But the court countered that the amendments only provide a strict regulatory framework to moderate the inflow of foreign funds.

‘No absolute right’

• According to the three bench judge, “No one can be heard to claim a vested right to accept foreign donations, much less an absolute right”.
• Free and uncontrolled inflow of foreign funds has the potential to impact the socio-economic structure and polity of the country. “Philosophically, foreign contribution (donation) is akin to gratifying intoxicant replete with medicinal properties and may work like a nectar,” the ruling said.

Value Addition:

Foreign Contribution (Regulation) Act:

• It is an act of Parliament enacted in 1976 and amended in 2010. It was to regulate foreign donations and to ensure that such contributions do not adversely affect internal security.
• Coverage: It is applicable to all associations, groups, and NGOs which intend to receive foreign donations.
• Registration: It is mandatory for all such NGOs to register themselves under the FCRA. The registration is initially valid for five years. Further, it can be renewed subsequently if they comply with all norms.
• Registered NGOs can receive foreign contributions for five purposes — social, educational, religious, economic, and cultural. There are 22,591 FCRA registered NGOs.

Foreign Contribution Regulation (Amendment) Rules 2020:

• New rules require any organization that wants to register itself under the FCRA to have existed for at least three years. Further, it should have spent a minimum of Rs. 15 lakh on its core activities during the last three financial years for the benefit of society.
• Office bearers of the NGOs seeking registration under the Foreign Contribution (Regulation) Act must submit a specific commitment letter from the donor. It should indicate the amount of foreign contribution and the purpose for which it is proposed to be given.
• Any NGO or person making an application for obtaining prior permission to receive foreign funds shall have an FCRA Account.

 4. RBI TO ‘FOCUS’ ON INFLATION

THE CONTEXT: The Reserve Bank of India’s Monetary Policy Committee raised its estimate for inflation in FY23 to 5.7%, from the 4.5% forecast in February 2022 before Russia invaded Ukraine, and stressed that it would now turn its focus to the “withdrawal of accommodation to ensure that inflation remains within the target going forward”.

THE EXPLANATION:

• According to RBI Governor, “For the last three years growth was ahead of inflation in sequence. This time we have reversed it because we thought the time is appropriate.

 ‘War-induced factors’

• Also the Governor noted, MPC had decided to revise the inflation projections for FY23 upwards with the estimate for Q1 at 6.3%; Q2 at 5.8%; Q3 at 5.4%; and Q4 at 5.1% due to “war-induced factors”.
• He pointed to the sharp increase in crude oil, edible oil and wheat prices, and the cost of feed — which has pushed prices of poultry, egg and dairy products — as reason for the higher estimates.
• Earlier, the MPC voted unanimously to keep the policy repo rate unchanged at 4%.
• He also noted, the escalating geopolitical tensions had cast a shadow on India’s economic outlook. As a result, real GDP growth for FY23 has been projected at 7.2%, compared with 7.8% estimated earlier.

VALUE ADDITION:

What is Monetary Policy Committee?

The Monetary Policy Committee (MPC) is a committee constituted by the Central Government and led by the Governor of RBI. Monetary Policy Committee was formed with the mission of fixing the benchmark policy interest rate (repo rate) to restrain inflation within the particular target level. The RBI governor controls the monetary policy decisions with the support and advice of the internal team and the technical advisory committee.

Initially, the main decisions related to interest rates were taken by the Governor of RBI alone before the establishment of the committee. MPC was constituted under the Reserve Bank of India Act, 1934 as an initiative to bring more transparency and accountability in fixing the Monetary Policy of India. MPC conducts meetings at least 4 times a year and the monetary policy is published after every meeting with each member explaining his opinions.

Instruments of Monetary Policy

There are both direct and indirect instruments used for implementing monetary policy. Few include:

• Repo rate
• Reverse Repo rate
• Liquidity Adjustment Facility (LAF)
• Marginal Standing Facility (MSF)
• Corridor
• Bank Rate
• Cash Reserve Ratio (CRR)
• Statutory Liquidity Ratio (SLR)
• Open Market Operations (OMOs)
• Market Stabilisation Scheme (MSS)

 THE SCIENCE AND TECHNOLOGY

5. INDIA SUCCESSFULLY FLIGHT TESTS MISSILE SYSTEM SFDR BOOSTER

THE CONTEXT: The Defence Research and Development Organisation (DRDO) achieved yet another feat by successfully testing the solid fuel ducted ramjet (SFDR) booster from a defence facility off the Odisha coast. The new technology will help develop long-range air-to-air missiles.

THE EXPLANATION:

• The test has successfully demonstrated the reliable functioning of all critical components involved in the complex missile system and met all the mission objectives.
• According to DRDO, “After the ground booster phase the missile was guided to high altitude to simulate aircraft release conditions. Subsequently, the nozzle-less booster was ignited and it accelerated the system to the required Mach number for ramjet operation.”
• The performance of the system has been confirmed from the data captured by a number of range instruments like telemetry, radar and electro optical tracking systems (EOTS) deployed by ITR.
• Developed by Hyderabad-based Defence Research and Development Laboratory (DRDL) in collaboration with other DRDO laboratories, the SFDR based propulsion enables the missile to intercept aerial threats at supersonic speeds at very long range.
• All the subsystems including the booster and nozzle-less motor performed as expected. So far, the technology was available only with a handful of countries in the world. The successful validation of the technology will enable DRDO to develop
  long range air-to-air missiles.
• The air breathing ramjet technology will propel long range air-to-air missiles to engage with targets at supersonic speed and high accuracy. The missiles will provide a multi-layered aerial protection to important establishments from hostile.

Value Addition:

Solid Fuel Ducted Ramjet (SFDR)

• The Solid Fuel Ducted Ramjet (SFDR) developed under a joint Indo-Russian R&D project achieved a speed of Mach 3 on its first flight.
• The ramjet propulsion system used in the SFDR acts as an oxidizer and the solid propellant reacts as air flows through a solid propellant duct.
• Unlike conventional rockets that carry propellant and oxidizer, Ramjet uses the air as an oxidizer just like a jet engine.
• Possible usage of SFDR: These are to be used in the future variants of missiles, including an advanced version of the ASTRA, Beyond Visual Range AAM (BVRAAM) expected to extend the range to 150 km in the Mk-3 version.
• According to the DRDO, the SFDR has a range of 120 km with a speed range of 2.3-2.5 Mach.
• Unbound by the diameter of aerial weapons, a ground-launched SFDR would accelerate a missile over 250 km. A potential application of the Indo-Russian SFDR is extended range SAM – such as the futuristic Indian SAM-X.

 THE PRELIMS PRACTICE QUESTIONS

QUESTION OF THE DAY

Q. Consider the following statements about Standing Deposit Facility (SDF):

1. It is a tool available with RBI to inject liquidity in the economy.
2. It replaces the earlier Marginal Standing Facility (MSF).

Which of the statements given above is/are incorrect?

a) 1 only

b) 2 only

c) Both 1 and 2

d) Neither 1 nor 2

ANSWER FOR 8TH APRIL 2022

Answer: B

Explanation:

• The Human Rights Council is an inter-governmental body within the United Nations system made up of 47 States responsible for the promotion and protection of all human rights around the globe.
• The Council was created by the United Nations General Assembly on 15 March 2006.
• It meets at the UN Office at Geneva.
• The Council is made up of 47 United Nations Member States which are elected by the UN General Assembly. Each elected member serves for a term of three years. (Statement 1 is correct and 2 is incorrect).
• Countries are disallowed from occupying a seat for more than two consecutive terms.(Statement 3 is correct).
• Human Rights Council replaced the former United Nations Commission on Human Rights.The UNHRC passes non-binding resolutions on human rights issues through a periodic review of all 193 UN member states called the Universal Periodic Review (UPR).

THE INTERNATIONAL RELATIONS

1. INDIA-NETHERLANDS BILATERAL RELATIONS

THE CONTEXT: The three-day visit of President to the Netherlands is also significant as the two nations celebrate 75 years of diplomatic relations. President during his visit to the Netherlands also visited Keukenh of- the world’s largest flower garden.

THE EXPLANATION:

Celebration of 75 years of India’s Independence in Netherlands

The President also met the members of the Indian community living in the Netherlands. As part of the 75 years of India’s Independence celebrations, President hosted a cultural performance which will be graced by Queen Maxima and King Willem-Alexander of the Netherlands. The performance will be by Kalakshetra Foundation and a 25 member troop will enact a piece from Ramayan.

India-Netherlands relations: Background

In 2022, the diplomatic relations between India and Netherlands will complete 75 years which were established back in 1947. As India developed into a rapidly expanding economy, the bilateral trade between India and Netherlands continued to gather momentum. This was despite the slow economic growth of the Netherlands. The Netherlands is also among the top 10 partners of India in terms of trade volume.

Trade and Commercial Relations: The Netherlands was the fifth largest investor in India for FY 2020-21 with FDI inflows of USD 2.8 billion. For the same period, the Netherlands was the third largest destination for overseas direct investment from India (approx. USD 1.22 billion). The Netherlands was India’s 3rd largest trading partner in the Europe in FY 2020-2021. During FY 2020-2021, total two-way trade stood at US$13 billion with export from India amounting to US$ 8.85 billion and imports from the Netherlands at US$ 4.1 billion.

Indian Community and Diaspora: The Netherlands hosts the largest Indian Diaspora on mainland Europe, including 2,00,000 strong Surinami-Hindustani community of Indian origin. Descendants up to sixth generation of the original Indian immigrants who had arrived in Suriname and later migrated to the Netherlands can avail OCI facility. The approximate 48,000 NRIs/PIOs are mainly businessmen, knowledge workers, professionals and students. Indian students are amongst the top 3 in terms of numbers amongst non-EU foreign students in the Netherlands.

Renewable Energy: The Netherlands signed the Framework Agreement of the International Solar Alliance (ISA) in May 2018. India is one of the convening countries of the Global Commission on Adaptation. The Netherlands joined the Coalition for Disaster Resilient Infrastructure (CDRI) in 2021. India invited the Netherlands to support CDRI’s Technical Assistance Facility (TAF) for Small Island Developing States. Cooperation in the area of renewable energy continues under an MoU singed in 2014. In the virtual Dutch Trade Mission held in February 2021 solar energy, hydrogen, biofuels, energy transition and e-mobility were a core theme.

THE HEALTH AND SOCIAL ISSUES

2. INDIA’S FIRST CASE OF CORONAVIRUS VARIANT XE REPORTED FROM MUMBAI

THE CONTEXT: India’s first case of Coronavirus variant XE was reported in Mumbai, also one case of the Kappa variant has also been detected.

THE EXPLANATION:

The Brihanmumbai Municipal Corporation (BMC) announced that a 50-year-old woman with a travel history to South Africa may have been infected with the newly discovered ‘XE’ variant of the coronavirus.

What is the XE variant of coronavirus?

• The Omicron variant, which is responsible for over 90 percent of the infections detected this year, has two prominent sub-variants, called BA.1 and BA.2. There is a BA.3 sub-variant as well, but that is less common.
• During the initial phase, the BA.1 sub-variant was the most widespread. In India, however, it was the BA.2 that was the most dominant during the third wave.
• 2 was found to be slightly more transmissible than BA.1, even though it was not more dangerous. In the last couple of months, the BA.2 variety has become the most widespread across the globe, accounting for almost 94 percent of all Omicron infections in the last month, according to the World Health Organisation (WHO). The incidence of the BA.1 variety is declining sharply.

Also known as Recombinant:

• The XE variant is what is called a ‘recombinant’. This means it contains the mutations found in BA.1 as well as BA.2 varieties of Omicron. This was first discovered in the United Kingdom in January, and so far more than 600 samples of XE have been found in different countries.
• Recombinant variants are not uncommon. Variants that contain mutations characteristics of two or more known variants occur all the time. In fact, variants that contain the characteristic mutations of Delta and Omicron have also been identified.
• The random process of genetic mutations in viruses and other organisms keeps happening continuously. But only a small fraction of these mutations significantly alter the abilities of the virus to infect, or to cause severe diseases.

Will the XE variant of Covid-19 come to India?

• It would not be surprising if the XE variant is indeed found in India — in the Mumbai woman, or in some other patient at a later stage. Travel restrictions have been mostly done away with, and international air travel is back to almost where it was in the pre-pandemic period.
• Also, the possibility of XE, or any other recombinant variety of Omicron, developing within the Indian population cannot be ruled out. It is also possible that the XE variant is already circulating in the Indian population, but is yet to be detected.

3. THE MANACLES OF CASTE IN SANITATION WORK

THE CONTEXT: According to the Social Justice and Empowerment Ministry, a total of 971 people lost their lives while cleaning sewers or septic tanks since 1993, the year law prohibiting the employment of manual scavengers was enacted.

THE EXPLANATION:

• Even in 2020, the Indian government and our civil society continue to grapple with the inhuman nature of manual scavenging. While civil society started a movement in the 1990s to abolish dry latrines, the focus now is on manhole deaths and the provision of safety equipment to sanitation workers.
• The movement has been demanding the abolition of the dehumanizing practice of the manual removal of human excreta and calls for the introduction of mechanization for handling waste. Various State governments and the previous Central governments have responded to these civil society demands by introducing different laws to stop manual scavenging and provide incentives to build toilets.
• If, on the one hand, the civil society has tended to approach this issue as a collective problem that needs to be addressed by the State, on the other, the current ruling dispensation seems to be framing the issue as a spectacle in the form of Swachh Bharat Abhiyan and is addressing the problem in terms of an obstacle in the way of tourism promotion.

Background:

Manual Scavenging

• It is defined as the removal of human excrement from public streets and dry latrines, cleaning septic tanks, gutters and sewers.
• In the past, this referred to the practice of removing excreta from dry latrines.
• However, new modern sanitation technologies brought new forms of manual scavenging work, which include manual and unsafe cleaning of drains, sewer lines, septic tanks and latrine pits.

Concerns 

• Scavenging is mostly carried out by a subgroup of the Dalits, an outcast community also known as “untouchables” within India’s ancient system of caste hierarchies.
  • “Untouchables” are often impoverished, shunned by society and forbidden from touching Indians of other castes, or even their food.
• Scavenging continues in parts of India largely due to governmental indifference and social prejudice.
• There is a complete absence of planning for the maintenance of sewerage, septic tanks, and waste disposal systems in the urban policies made for the city by the state and private companies.
• The number of people killed while cleaning sewers and septic tanks has increased over the last few years.
• 2019 saw the highest number of manual scavenging deaths in the past five years.

Measures to tackle the Manual Scavenging:

Employment of Manual Scavengers and Construction of Dry Latrines (Prohibition) Act in 1993

• The  Act prohibited the construction of unsanitary dry latrines and employing manual scavengers.
• The Act had defined ‘manual scavenger’ as a person engaged in or employed for manually carrying human excreta.
• However, the government’s description of the dry latrine was a problem, as it defined dry latrine as “latrine other than a water-seal latrine”.
• Manual scavenging was not just a practice related to dry latrines, but also to insanitary latrines and open defecation.

Safai Karamchari Andolan

• The Safai Karamchari Andolan, a social movement that campaigned against manual scavenging, along with other organizations, filed public interest litigation(PIL) in the Supreme Court.
• The demand was to direct State governments and Union Territories to strictly enforce the law to stop the practice of manual removal of human excreta.

Prohibition of Employment as Manual Scavengers and their Rehabilitation Act,2013

• Though the construction of dry latrines has drastically reduced, thenumber of deaths in manholes, sewers and septic tanks continues to remain high.
• The Indian government had plans to amend the 2013 Act to completely mechanize the cleaning of sewers and manholes and build new sewers.
• However,neither the past nor the present amendment addresses the issue of labor safety.

Swachh Bharat Abhiyan

• The same is the case with the Swachh Bharat Abhiyan, which skirts the issue of labor rights and the stigma attached to sanitation.
• Also, not only toilets but even cleaning work is seen as a lowly job in India.
• Most sanitation contracts are given to private contractors or self-help groups, and such staff hardly have ID cards, leave alone the protection of medical insurance policies.

What lies ahead?

• The Swachh Bharat Abhiyan should make expansion of the sewer network a top priority and come up with a scheme for scientific maintenance that will end the manual cleaning of septic tanks.
• The laws should be enforced vigorously to eliminate manual scavenging in its entirety.
• There should be trials and testing of protective gears and provisions for better healthcare facilities, insurance cover, pension plans and regulations on preventive and social medicine education for the manual scavengers.

THE ECONOMIC DEVELOPMENTS

4. EXPLAINED: WHAT IS SDF, THE RBI’S NEW TOOL TO ABSORB EXCESS LIQUIDITY TO CONTROL INFLATION?

THE CONTEXT: While retaining the reverse repo rate at 3.35 per cent, the Reserve Bank of India (RBI) introduced the Standing Deposit Facility (SDF), an additional tool for absorbing liquidity, at an interest rate of 3.75 per cent.

THE EXPLANATION:

What is a Standing Deposit Facility (SDF)?

A Standing Deposit Facility or SDF allows the RBI to absorb liquidity (deposit) from commercial banks without giving government securities in return to the banks.

Role of SDF

• The main purpose of SDF is to reduce the excess liquidity of Rs 8.5 lakh crore in the system, and control inflation.
• In 2018, the amended Section 17 of the RBI Act empowered the Reserve Bank to introduce the SDF – an additional tool for absorbing liquidity without any collateral. By removing the binding collateral constraint on the RBI, the SDF strengthens the operating framework of monetary policy. The SDF is also a financial stability tool in addition to its role in liquidity management.

The SDF will replace the fixed rate reverse repo (FRRR) as the floor of the liquidity adjustment facility corridor. Both the standing facilities — the MSF (marginal standing facility) and the SDF will be available on all days of the week, throughout the year.

How it will operate

The SDF rate will be 25 bps below the policy rate (Repo rate), and it will be applicable to overnight deposits at this stage. It would, however, retain the flexibility to absorb liquidity of longer tenors as and when the need arises, with appropriate pricing. The RBI’s plan is to restore the size of the liquidity surplus in the system to a level consistent with the prevailing stance of monetary policy.

Reverse repo rate

The fixed rate reverse repo (FRRR) rate which is retained at 3.35 per cent will remain part of the RBI’s toolkit, and its operation will be at the discretion of the RBI for purposes specified from time to time. The FRRR along with the SDF will impart flexibility to the RBI’s liquidity management framework, the RBI said.

Question of liquidity

• The “extraordinary” liquidity measures undertaken in the wake of the pandemic, combined with the liquidity injected through various other operations of the RBI, have left a liquidity overhang of the order of Rs 8.5 lakh crore in the system.
• This has pushed up the retail inflation level in the system. “The RBI will engage in a gradual and calibrated withdrawal of this liquidity over a multi-year time frame in a non-disruptive manner beginning this year.

5. EXPLAINED: INDONESIA’S PALM OIL CRISIS, AND ITS IMPLICATIONS FOR INDIA

THE CONTEXT: The world’s largest producer and exporter of palm oil is facing domestic shortages, leading to price controls and export curbs.

THE EXPLANATION:

• It’s rare for any country that is the largest producer and exporter of a product to experience domestic shortages of the same product — so much so as to force its government to introduce price controls and curbs on shipments.
• But that is precisely the story of Indonesia vis-à-vis palm oil. The US Department of Agriculture (USDA) has estimated the archipelago’s palm oil production for 2021-22 (October-September) at 45.5 million tonnes (mt). That’s almost 60% of the total global output and way ahead of the next bigger producer: Malaysia (18.7 mt). It is also the world’s No. 1 exporter of the commodity, at 29 mt, followed by Malaysia (16.22 mt).

Plausible factors

How does one explain this conundrum — consumers unable to access or paying through the nose for a commodity in which their country is the preeminent producer and exporter?

There are two possible reasons.

The first has to do supply disruptions — man made and natural — in other cooking oils, especially sunflower and soyabean.

• Ukraine and Russia together account for nearly 80% of the global trade in sunflower oil, quite comparable to the 90% share of Indonesia and Malaysia in palm. Russia’s invasion of Ukraine which is ongoing, has resulted in port closures and exporters avoiding Black Sea shipping routes.
• Sanctions against Russia have further curtailed trade in sunflower oil, the world’s third most exported vegetable oil (12.17 mt, according to USDA estimates for 2021-22) after palm (49.63 mt) and soyabean (12.39 mt).
• Soyabean oil, too, is facing supply issues due to dry weather in South America. The USDA has projected the combined soyabean output of Brazil, Argentina and Paraguay for 2021-22 to fall by 9.4%, translating into the continent’s lowest harvest in six years. Supply tightness in sunflower and soyabean — from war and drought, respectively — has, in turn, transmitted to palm oil.

The second factor is linked to petroleum, more specifically the use of palm oil as a bio-fuel.

• The Indonesian government has, since 2020, made 30% blending of diesel with palm oil mandatory as part of a plan to slash fossil fuel imports. The country’s domestic consumption of palm oil is forecast at 17.1 mt, of which 7.5 mt is for bio-diesel and the balance 9.6 mt towards household and other use.

Impact on India

• India is the world’s biggest vegetable oils importer. Out of its annual imports of 14-15 mt, the lion’s share is of palm oil (8-9 mt), followed by soyabean (3-3.5 mt) and sunflower (2.5). Indonesia has been India’s top supplier of palm oil, though it was overtaken by Malaysia in 2021-22 (see table).
• On March 2022, the Indonesian government lifted its retail price caps on palm oil along with the 30% domestic market sale obligation on exporters. At the same time, it levied a progressive tax on exports, linked to a reference price for CPO. These rates range from $175 per tonne (when the reference export price is $1,000-1,050) to $375 (when prices are above $1,500).

The restrictions on exports, even in the form of levy, take into cognizance Indonesia’s higher population (27.5 crore, against Malaysia’s 3.25 crore) as well as its ambitious bio-fuel programme (Malaysia is still to fully implement even 20% palm oil admixture in diesel). To that extent, the world – more so, the bigger importer India – will have to get used to lower supplies from Indonesia.

Meanwhile, import prices of edible oils have eased from March 2022  peaks, although higher than one year back. That should provide some relief, both for households and industrial consumers (including soap and cosmetic makers) in India.

Landed prices of CPO (cost plus freight, Mumbai) are currently ruling around $1,750 per tonne, as against $2,000 and $1,175 in March 2021, respectively. The corresponding import prices (current versus month-ago and year-ago) stood at $1,690 ($1,960 and $1,115) for RBD palmolein and $1,800 ($1,925 and $1,290) for crude de-gummed soyabean oil.

THE PRELIMS PRACTICE QUESTIONS

QUESTION OF THE DAY

Q. Consider the following statements about UNHRC:

1. 1. It is made up of 47 United Nations Member States elected by the UN General Assembly.
   2. Each elected member serves for a term of two years.
   3. Countries are disallowed from occupying a seat for more than two consecutive terms.

Which of the statements given above is/are correct?

a) 1 only

b) 1 and 3

c) 2 and 3

d) 1, 2 and 3

ANSWER FOR 7TH APRIL 2022

Answer: B

Explanation:

The Lokpal and Lokayuktas Act (2013) amended the Delhi Special Police Establishment Act (1946) and made the following changes to the composition of CBI:

The Central Government shall appoint the Director of CBI on the recommendation of a three-member committee consisting of the Prime Minister as Chairperson, the Leader of Opposition in the Lok Sabha and the Chief Justice of India or Judge of the Supreme Court nominated by him.

THE CONTEXT: Recently in March 2022, the concerns have been raised that consumers may have to pay more for medicines and medical devices if the National Pharmaceutical Pricing Authority (NPPA) allows a price hike of over 10% in the drugs and devices listed under the National List of Essential Medicines (NLEM). The following article explains everything about the pricing of essential drugs in India.

WORKING OF PRICING MECHANISM

• All medicines under the NLEM are under price regulation. The NLEM lists drugs used to treat fever, infection, heart disease, hypertension, anemia, etc, and includes commonly used medicines like paracetamol, azithromycin, Cardiac Stents, Knee implants, etc.
• The Health Ministry prepares a list of drugs eligible for price regulation, following which the Department of Pharmaceuticals incorporates them into Schedule 1 of DPCO.
• The Standing Committee on Affordable Medicines and Health Products (SCAMHP) will advise the drug price regulator the National Pharmaceutical Pricing Authority (NPPA) on vetting the list. The NPPA then fixes the prices of drugs in this Schedule.
• As per the Drugs (Prices) Control Order 2013, scheduled drugs, about 15% of the pharma market, are allowed an increase by the government as per the WPI (Wholesale Price Index) while the rest 85% are allowed an automatic increase of 10% every year.
• The annual change in prices of scheduled drugs is controlled and rarely crosses 5%.
• Under the Drugs and Cosmetics Act 1940, the drugs are classified in schedules, and regulations are laid down for their storage, display, sale, dispensing, leveling, prescribing, etc.

Essential Medicines List:

• As per the World Health Organisation (WHO), Essential Medicines are those that satisfy the priority health care needs of the population. The list is made with consideration of disease prevalence, efficacy, safety, and comparative cost-effectiveness of the medicines.
• Such medicines are intended to be available in adequate amounts, inappropriate dosage forms, and strengths with assured quality. They should be available in such a way that an individual or community can afford them.

National List of Essential Medicines of India:

• The WHO EML is a model list, the decision about which medicines are essential and remains a national responsibility based on the country’s disease burden, priority health concerns, affordability concerns, etc.
• Ministry of Health and Family Welfare, Government of India hence prepared and released the first National List of Essential Medicines of India in 1996 consisting of 279 medicines. This list was subsequently revised in 2003, 2011, and 2021.

ABOUT THE NATIONAL PHARMACEUTICAL PRICING AUTHORITY

The National Pharmaceutical Pricing Authority (NPPA) is a government regulatory agency that controls the prices of pharmaceutical drugs in India. It was constituted by a Government of India Resolution dated 29th August 1997 as an attached office of the Department of Pharmaceuticals (DoP), Ministry of Chemicals and Fertilizers as an independent regulator for pricing of drugs and to ensure availability and accessibility of medicines at affordable prices with Headquarter at New Delhi, India.

Drugs (Prices) Control Order 2013:

• The Drugs Prices Control Order is an order issued by the Government of India under Sec. 3 of Essential Commodities Act, 1955 to regulate the prices of drugs.
• The Order provides the list of price-controlled drugs, procedures for fixation of prices of drugs, method of implementation of prices fixed by Govt., penalties for contravention of provisions, etc.
• For the purpose of implementing provisions of DPCO, powers of Govt. have been vested in NPPA.
• The DPCO 2013 contains more than 600 scheduled drug formulations spread across 27 therapeutic groups. However, the prices of other drugs can be regulated, if warranted in the public interest.

KEY FUNCTIONS OF NPPA

NPPA INITIATIVES

• The National Pharmaceutical Pricing Authority (NPPA) is headquartered in New Delhi and to increase its reach across the country, NPPA has set up a Price Monitoring and Resource Unit (PMRU) in the various Indian States and Union Territories.
• These PMRUs have been set up under the Consumer Awareness, Publicity, and Price Monitoring (CAPPM) scheme.
• As of March 2022, there are 23 states/UTs with the most recent addition of Himachal Pradesh on 23^rd March 2022 as the 23rd Price Monitoring and Resource Unit (PMRU). The pharmaceutical authority aims to set up a price monitoring unit in each and every state and union territory across India.

SIGNIFICANCE OF NPPA

• It is important to fix the prices of certain important drugs so that they are affordable and accessible to every citizen of the county and the National Pharmaceutical Pricing Authority ensures the same.
• It mandates that no supplier can sell a drug for more than its Maximum Retail Price (MRP).
• NPPA also played a crucial role during the pandemic time in the country by either fixing or regulating the prices of essential drugs and devices.

 AN ANALYSIS OF THE ISSUE

• The pharma lobby is asking for at least a 10% increase for scheduled drugs too rather than going by the WPI. Over the past few years, input costs have flared up and one of the reasons being 60%-70% of the country’s medical needs, are dependent on China.
• NPPA has been receiving applications for upward price revision under para 19 of DPCO, 2013, for the last two years citing reasons like “increase in Active Pharmaceutical Ingredient – API (key ingredient) cost, increase in the cost of production, exchange rates, etc. resulting in unavailability in sustainable production and marketing of the drugs.
• India is dependent on China for over 60% of its API requirement; higher API costs for price-controlled medicines reduce profits and sometimes even make the production of these drugs unviable in India.

THE WAY FORWARD

• We all are aware of the shortage of Remdevisir injections in May 2021 and black marketing and hoarding which led to skyrocketing prices. In this context, Bombay HC has asked the Centre to include Remdesivir in the list of Scheduled Drugs and regulate its price. Such steps should be proactively taken by the government with the foresight of emerging situations.
• The interests of pharmaceutical companies shall not be put ahead of the lives of ordinary citizens. As of 23^rd March 2022, only 14% of people in low-income countries have received at least one vaccine dose against COVID-19. India and South Africa have thus, taken a firm position that when lives are at stake, such essential products should be treated as global public goods and IPRs under TRIPS Agreement must be waived.
• NPPA shall also revise the list of essential medicines at short and regular intervals to have a positive impact on the availability and rational use of medicines.
• In the longer term, India needs to build capabilities to manufacture the key ingredients for these medicines.

THE CONCLUSION: Having an Essential Medicines List (EML) results in a better quality of medical care, better management of medicines, and cost-effective use of health care resources. This is especially important for a resource-limited country like India. The decision is to ensure, that life-saving essential drugs remain available to the general public at all times. To avoid a situation where drugs become unavailable in the market and the public is forced to switch to costly alternatives this is the first time the NPPA, known to slash prices of essential and life-saving medicines, is increasing prices in the public interest.

MAINS QUESTIONS:

1. Elaborate on the role of the National Pharmaceutical Pricing Authority (NPPA) in ensuring the availability of life-saving essential drugs to the general public at all times.

1. Fill yourself with Ram Naam to be in bliss READ MORE
2. A few good officers: There are still some dedicated men & women who are keeping IPS flag flying READ MORE

1. With India’s geographical diversity, states must tailor climate change plans to localised concerns READ MORE
2. Thazhampettai: Climate change, erratic ocean currents make fishing in this Tamil Nadu village unpredictable READ MORE

1. Parliament has just passed a dangerous bill READ MORE
2. Ensuring no migrant worker goes hungry READ MORE
3. In solving crime, the false promise of technology READ MORE
4. The Slow Poison of Hate Speech Harms in Obvious and Insidious Ways READ MORE
5. Faulty Biometrics, Duplication, Errors: What CAG Audit Report Says About Aadhaar Regime READ MORE
6. Unravelling Concerns Over the Criminal Procedure (Identification) Bill, 2022 READ MORE

1. Ending extreme poverty in India READ MORE
2. Roadblocks to social cohesion and amity READ MORE
3. Rethinking agrarian suicides in India READ MORE

(Newspapers, PIB and other important sources)

Prelim and Main

1. Budget session of Parliament ends on productive note READ MORE
2. Russia suspended from UN Human Rights Council over Ukraine READ MORE
3. India-US 2+2 dialogue will provide opportunity to discuss key issues: MEA READ MORE
4. Explained: What is SDF, the RBI’s new tool to absorb excess liquidity to control inflation? READ MORE
5. Explained: Indonesia’s palm oil crisis, and its implications for India READ MORE
6. What Is Hybrid Immunity and Why Is it ‘the Best Kind of Immunity to Have’? READ MORE
7. RBI stays accomodative, warns of ‘tectonic shifts’ READ MORE

Main Exam

GS Paper- 1

1. Ending extreme poverty in India READ MORE
2. Roadblocks to social cohesion and amity READ MORE
3. Rethinking agrarian suicides in India READ MORE
4. Bankim Chandra Chatterjee gave India the means to express itself. Sri Aurobindo echoed him READ MORE
5. With India’s geographical diversity, states must tailor climate change plans to localised concerns READ MORE

GS Paper- 2

POLITY AND GOVERNANCE

1. Parliament has just passed a dangerous bill READ MORE
2. Ensuring no migrant worker goes hungry READ MORE
3. In solving crime, the false promise of technology READ MORE
4. The Slow Poison of Hate Speech Harms in Obvious and Insidious Ways READ MORE
5. Faulty Biometrics, Duplication, Errors: What CAG Audit Report Says About Aadhaar Regime READ MORE
6. Unravelling Concerns Over the Criminal Procedure (Identification) Bill, 2022 READ MORE

INTERNATIONAL ISSUES

1. Ukraine and the anatomy of India’s neutrality READ MORE
2. Is India’s position on Russia affecting its relationship with the U.S.? READ MORE
3. BRICS and the creation of a multipolar world READ MORE

GS Paper- 3

ECONOMIC DEVELOPMENT

1. Beyond Border-Gavaskar: Periodic reappraisal of the economic gains from the trade pact with Australia is pragmatic READ MORE
2. Driving monetary policy in troubled times READ MORE
3. The future of Indian trade deals READ MORE

ENVIRONMENT AND ECOLOGY 

1. Thazhampettai: Climate change, erratic ocean currents make fishing in this Tamil Nadu village unpredictable READ MORE

SECURITY

1. Not just AFSPA, India must reboot its counter-insurgency strategy & free its Army from it READ MORE

GS Paper- 4

ETHICS EXAMPLES AND CASE STUDY

1. Fill yourself with Ram Naam to be in bliss READ MORE
2. A few good officers: There are still some dedicated men & women who are keeping IPS flag flying READ MORE

Questions for the MAIN exam

1. ‘Recent Russia-Ukraine war is challenge for India’s strategic autonomy and maintaining a balance between Russia and West is not as easy as was in recent past’. In the light of statement discuss whether the NAM like initiative is still relevant for India’s foreign policy?
2. Instead of joining multilateral trade pacts like RCEP, India is focusing on bilateral trade pacts, that shows India is choosing its interests over the regional interests. In the light of the statement discuss how bilateral trade pacts are more beneficial for India?

QUOTATIONS AND CAPTIONS

• Integrity, the choice between what’s convenient and what’s right.
• The India-Australia Economic Cooperation and Trade Agreement (ECTA) signed last week is a key step in enhancing bilateral economic ties between the two major Indian Ocean littoral states and reflects the growing strategic alignment between New Delhi and Canberra.
• Ukraine crisis could catapult India to the centre of a diplomatic and economic triangle, with Russia and China, in Indo-Pacific.
• New Delhi is basking in its well-deserved spotlight with well-crafted diplomacy. India could be looking at a new dawn. After all, RIC controls 22 per cent of the global GDP and 16 per cent of global exports of goods and services.
• The right against self-incrimination is at the heart of protection against police excess and torture. Record-keeping as mandated by the Bill violates this right.
• The Monetary Policy Committee must give priority to reviving growth. Inflation threat can be addressed through non-monetary measures.
• The Criminal Procedure (Identification) Bill creates a system with virtually no fetters on processing measurements from any arrestee, detainee, convicted offender, or any person whose measurement may be considered “expedient” for any investigation.
• The role played by subsidised foodgrain programmes in eliminating extreme hunger in the country has an all-round stamp of approval. Their impact on reducing the level of poverty, however, cannot be considered a foregone conclusion since poverty is not just a measure of hunger.
• The government must carry out a holistic review of India’s counter-insurgency strategy, transform the CRPF (if not done in the last 8 years) and relieve the armed forces for their primary mission.
• The vacancies raise questions on the justice delivery system as tribunals are institutions that play an important role in discharging judicial or quasi-judicial duties.

Essay Topic

• The future belongs to nations with grains, not guns.

50-WORD TALK

• The third positive indigenisation list released by the defence ministry with some big-ticket items like naval utility helicopters, light tanks and anti-drone systems is a major step forward. However, a mere list isn’t enough. Indian private industry should be better integrated and emphasis should be on spending more on R&D.

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.

[WpProQuiz 197]

THE CONTEXT: The Centre constituted the Ken-Betwa Link Project Authority to implement the first initiative under the national river interlinking policy, which seeks to bring nearly 11 lakh hectares of land under irrigation in the parched Bundelkhand region straddling Uttar Pradesh and Madhya Pradesh. Earlier, the finance minister allocated Rs 44,605 crore for the implementation of the Ken-Betwa River link project for irrigation of the Bundle Khand region in the Union Budget 2022-23.

KEN BETWA LINK PROJECT: OVERVIEW

• It is a river-interlinking project that aims to transfer surplus water from the Ken river in Madhya Pradesh to Betwa in Uttar Pradesh to irrigate the drought-prone Bundelkhand region. Both Ken and Betwa are the tributaries of the Yamuna.
• It is the first river interlinking project, among the 16 similar projects planned under the Peninsular Rivers Development of the National Perspective Plan (NPP).
• The main objective of the NPP is the transfer of water from river basins with surplus water to those with scarce water, for tackling the problem of water scarcity. The NPP comprises the Himalayan Rivers Development and Peninsular Rivers Development.
• The Ken Betwa River linking project, the construction schedule for which has been planned for eight years, will be executed in two phases:
• Phase-I: In the first phase, the Daudhan dam complex and its appurtenances, such as low-level tunnel, high-level tunnel, 221-kilometre Ken-Betwa link canal, and powerhouses will be completed.
• Phase-II: In the second phase, the Ken Betwa link project development works will be started for the lower Orr dam, Bina complex project, and Kotha barrage.

KEN BETWA RIVER LINKING PROJECT TIMELINE

• August 1980: The National Perspective Plan(NPP) is formulated.
• August 2005: MoU signed by state governments of MP, UP, and the ce
• central government to prepare the DPR for the project.
• April 2010: The National Water Development Agency (NWDA) completes the DPR for phase-I of the KBLP.
• January 2014: The NWDA completes the DPR for phase II of the project.
• September 2014: Special Committee on interlinking of rivers (ILR) was constituted, for implementing the ILR program.
• April 2015: A task force for interlinking of rivers was constituted by MoWR, River Development, and Ganga Rejuvenation.
• March 2021: Governments of UP and MP sign an MoU with the Jal Shakti Ministry for implementing the Ken betwa river linking project.
• February 2022: Government announces budget allocation of Rs 44,605 crore for the project during the Union Budget 2022-23.

KEN BETWA PROJECT COST

• The project will be completed at an estimated cost of around Rs 44,605 crores. The Ken-Betwa Link Project Authority, a special purpose vehicle (SPV) for implementing the project will be formed and the central government will bear 90% of the total project cost, while the states will bear the rest (UP and MP).

A Special Purpose Vehicle (SPV) for the project:

• A Special Purpose Vehicle (SPV) called Ken-Betwa Link Project Authority (KBLPA) will be set up to implement the project. In fact, the Centre has set in motion the process of creation of the National Interlinking of Rivers Authority (NIRA), an independent, autonomous body for planning, investigation, financing, and implementation of the interlinking of river (ILR) projects in the country.
• The NIRA will have powers to set up SPV for individual link projects.

KEN BETWA RIVER LINKING PROJECT: BENEFITS AND IMPACT

• The government envisions the interlinking of rivers as a top priority towards sustainable development of water resources in India. The Ken Betwa link project has been planned as a multi-purpose project for providing several benefits in terms of better utilisation of water resources and addressing the water scarcity in several parts of the Bundelkhand region.
• The region is prone to recurring drought conditions that have impacted socio-economic development in the area. Moreover, the location is not rich in groundwater due to the hard rock and marginal alluvium terrain. Hence, the project will help in utilising the floodwater during monsoon and stabilise the availability of water during lean months, especially in drought years.
• The Ken and Betwa river project will also provide annual irrigation and hydropower generation. The districts that will benefit from the Ken Betwa link pariyojna include Chhatarpur, Tikamgarh, Sagar, Damoh, Datia, Vidisha, Shivpuri, and Raisen and Panna in Madhya Pradesh and Jhansi, Mahoba, Banda and Lalitpur in Uttar Pradesh. Due to the project, as many as 62 lakh people in the Bundelkhand region will also experience an improved drinking water supply.

SOCIAL, ECONOMIC, AND ENVIRONMENTAL IMPACTS OF THE PROJECT

Social Impact: A major goal of the project is to provide irrigation to the water-scarce Bundelkhand region. According to the Water Resources Ministry, a total of 10 villages consisting of 1,585 families are likely to be affected by this project.

• Loss of Land: In all 6422.62 ha of private lands would be lost by the project affected families for the construction of the Daudhan dam and other project components along with the canal network under the project. Besides, as per the project design, about 5339.00 ha of forest lands would also be brought under various project components. This indicates that the landowners would lose their landed properties.
• Loss of Livelihood: About 72 percent of households would become landless, nearly 21 percent would become marginal farmers and almost 7 percent will fall under the small farmer category. As a result of land acquisition, the project affected big farmers who would lose their big farmer status.
• Loss of Employment: Due to land acquisition, several families, who become landless, would lose their total self-employment, who otherwise have been engaged in their farming activity.
• Loss of Income: Project-affected household’s socio-economic environment will affect their family life due to loss of land, livelihood, and employment resulting in reduced family income.

Economic Impact:

• This project will prove several economic benefits like the development of agro-based industries, and transportation and storage facilities.
• Increased farm supplies, production, and consumption of fertilizer, pesticide, farm equipment, and employment generation.
• Economic benefits of irrigation water supply include various benefits on, crop production; recharges groundwater, animal husbandry, farm equipment, and agro-processing.
• Livestock production, especially milk, is a major part of the agricultural economy in the Bundelkhand region. Under the project, a large water body will be coming up by constructing a dam and will certainly recharge and increase the groundwater levels in the project area. This will help the farming community as well as other water users who depended on groundwater facilities.
• The project has good potential, particularly because of the close proximity of the Daudhan dam site to Khajurao for recreation and tourism development.
• Provision for the development of tourist huts, and picnic spots has been made on the periphery of Rangwan reservoir (about 9 km from the Daudhan dam site).
• The negative part of the KBLP project is crop and livestock production loss due to the submergence of the crop area upstream of the reservoir.

Environmental Impact:

• This project would submerge an area of 9,000 hectares. Of which 5,258 hectares are forest land (including 4,141 hectares of Panna Tiger Reserve).
• River diversion would bring drastic changes in the physical and chemical compositions of the sediment load, river morphology, and the shape of the delta formed at the river mouth. All these have serious economic and livelihood implications that are merely ignored by the project.
• The project may also lead to a loss of two million trees.
• The land use land cover and vegetation data show that tree density and diversity are comparatively higher in the submerged area.
• The regeneration pattern also shows that the seedling diversity and richness and sapling density diversity and richness are high in the submerged area.
• Minimum flow in the Ken River is adequate to dilute the untreated sewage. Hence the impact on the surface water quality is negligible, which will still be reduced by sewage treatment measures.
• There are valuable timber trees that are going to be submerged.

WILL THE PROJECT AFFECT THE PANNA TIGER RESERVE?

• Panna Tiger Reserve is one of the country’s important and successful tiger recovery reserves.
• A species recovery plan was developed to reinforce the tiger population, because of which the tiger population has increased from 0 in 2009 to 54 in 2019.
• Panna Tiger Reserve was included in the global network of biosphere reserves by the United Nations Educational, Scientific, and Cultural Organisation (UNESCO) in 2020.
• The UNESCO cited PTR as a critical tiger habitat.
• The Project will lead to the submergence of a major portion of the core area of the Panna Tiger Reserve in Madhya Pradesh, triggering a major loss of the tiger and its major prey species such as chital and sambar.
• The project may incur an estimated loss of 58.03 square kilometers (10.07 percent) of critical tiger habitat (CTH) in the reserve.
• There will be an indirect loss of 105.23 sq km of CTH because of habitat fragmentation and loss of connectivity due to submergence.
• The total area submerged would be 86.50 sq km, of which 57.21 sq km lies within Panna Tiger Reserve. This will account for 65.50 percent of total submergence.

THE INTERLINKING OF RIVERS

The National Perspective Plan (NPP) presented the development of water resources through the inter-basin transfer and the transfer of water from water surplus basins to water-deficit basins. The interlinking of rivers is a large-scale civil engineering project that aims to effectively manage water resources in India under the NPP.

Positives of interlinking of rivers for multi-dimensional inter-related problems

Droughts: The drought-prone regions like Vidharbha face perennial droughts. The interlinking of seasonal peninsular rivers with their Himalayan counterparts may be a gamechanger for this region’s agriculture and food security prospects.

Floods: Interlinking of rivers will contribute to flood and drought hazard mitigation for India. It will most likely eradicate the flooding problems which recur in the northeast and the north every year. For example, floodwaters of the Kosi river could be diverted to other east-flowing rivers.

Improve the inland navigation:

• Interlinking of rivers will create a network of navigation channels. Water transport is cheaper, less-polluting compare to road and railways.
• Further, the interlinking of rivers can ease the pressure on railways and roads also.
• More importantly, India has the huge untapped potential of inland water transport, which can be a game-changer in the logistics aspect and, thus, overall costs of goods & services.

Negatives of interlinking of rivers for multi-dimensional inter-related problems:

• Ecological challenges: The ambitious project will divert forest areas and submergence fertile land leading to deforestation and soil- erosion. For example, the Ken-Betwa link projects have reduced 8% of the forest land of Panna National Park. Also, river diversion may bring significant changes in the physical and chemical compositions of the sediment load, river morphology, and the shape of the delta formed in the river basin.
• Social challenges: Reconstruction and rehabilitation of millions of people in and around the river catchments could face significant psychological damage, resulting in social unrest and protests in the initial stages.
• Political challenges: India’s inter-state river doesn’t have a bright history (for example, the Cauvery River dispute). Further, water being a state subject demands sustained inter-state cooperation which may be a challenge given the diversity India offers.

THE WAY FORWARD:

• The interlinking of rivers in India has both pros and cons. Implementing the project in its entirety may be a challenge in present times. Therefore, the government must opt for a decentralized method of implementation instead of a centralized one.
• Inter-linking projects should receive the nod only after appropriate EIA and environmental clearances.
• Further, we must look for alternatives for efficient water use in India. For instance, measures like efficient water use in agriculture (per drop more crop), resourceful rainwater harvesting in drought-prone areas, and so on can be looked upon to liberate India from the persistent water stress.
• Adopt Alternative measures: A case study of Jakhni village of Banda district
• A 2019 NITI Aayog report mentioned Jakhni village of Banda district in Bundelkhand, one of the most water-scarce regions of India. The area witnessed heavy out-migration in search of water and better livelihood opportunities.
• However, through rigorous water conservation efforts such as the construction of farm ponds, restoration of water bodies, collection and utilization of greywater, raising of farm bunds, and intensive plantation of trees since 2014, the water situation has improved. Jakhni village, for example, has become a self-sufficient water village.
• Once a drought-prone village, it now produces nearly 23,000 quintals of basmati rice. The production of other crops has also increased manifold.

THE CONCLUSION: In the era of climate change; river networking is the need of time for development. Successful implementation of the Ken- Betwa link project largely looms upon the timely release of water from the surplus basin to the deficit basin. The problem of providing domestic water supplies in areas away from the rivers will largely remain unsolved. Some of the project’s major criticisms are its socioeconomic viability, environmental impacts, displacement and rehabilitation of affected people, the challenge of resource mobilization, geopolitical constraints, and domestic political dynamics. There is an urgent need to take Socio-environmental concerns related to the link Project so a very detailed hydrological, geological, meteorological, and environmental analysis of the project would be imperative for the benefit of India.

THE PARLIAMENTARY PROCEEDINGS: BUDGET SESSION 2022

1. PARLIAMENT PASSES CONSTITUTION (SCHEDULED TRIBES) ORDER (AMENDMENT) BILL, 2022

THE CONTEXT: Both the houses of the Parliament has passed the Constitution (Scheduled Tribes) Order (Amendment) Bill, 2022.

THE EXPLANATION:

• The Bill seeks to amend the Constitution (Scheduled Tribes) Order, 1950, which specifies the tribes and tribal communities deemed to be Scheduled Tribes (STs) in various states and union territories.

• Inclusion of certain community in the list of STs in Tripura: The Bill seeks to amend Part XV of the Schedule to the 1950 Order, which specifies the STs in Tripura.  It includes the Darlong community as a sub-tribe of the Kuki tribe in the list of STs in Tripura.

Value Addition:

• Darlongs is a small community of around 11,000 people in Tripura.
• Despite its small population, the community has a high prevalence of education, cultural activities and members of the community are serving in different high positions in the local administration.
• Tribal musicologist and Rosem (tribal instrument) maestro Thanga Darlong was conferred the prestigious Padma Shri award a few years back for his contribution to culture.
• Darlongs, despite being Scheduled Tribes, were never given ST certificates.
• Since they were considered a generic tribe under the Kuki community, they were handed their tribal certificates as members of ‘Kuki’ community.
• The subsequent identity crisis among them, especially Darlong youths, who were equipped with modern education, culminated in the demand for a separate statutory identity of their own in 1995.

Tribes of Tripura-

• Tripura, the tiny Northeast state of 37 lakh people houses 19 tribal communities. 
• These include Tripuri or Debbarma, Reangs or Brus, Jamatia, Noatia, Uchoi, Chakma, Mog, Lushai, Kuki, Munda, Kour, Oram, Santhal, Bhil, Bhutia, Chaimar or Sermai, Garo, Khasi, Lepcha and Halam.
• Many of these communities are further divided into sub-tribes. For example, Kuki’s have nearly 17-18 sub-tribes within the community.
• It is an umbrella tribal community including many smaller clans like Khasi, Lushai, Hmars and other generic clans.
• In course of time, Lushai, Hmar, Garo etc. came out of Kuki as separate communities.
• Halam community also has several sub-tribes such as Rangkhawl, Ranglong, Dab, Chaimar or Sermai, Bong, Korbong, Harbong, Bongcher etc.
• Out of 37 lakh people of Tripura, nearly 30 per cent are tribals, who mostly live in areas under jurisdiction of the Tripura Tribal Areas Autonomous District Council (TTAADC), spread in patches across all eight districts and covering 70 per cent of the state’s geographical area.
• The state, which was ruled by tribal kings for over 500 years till 1949, when it merged into the Indian Union, saw tribals become minority in their own state due to arrival of East Pakistani refugees who fled their country.

2. RESERVATION TO OBCS

THE CONTEXT: According to the Ministry of Social Justice and Empowerment,

(i) The following States have provided 27% to OBCs: –

Assam, NCT of Delhi, Goa, Gujarat, Haryana (27% in Class III & IV posts, 10% in Class I & II posts), Odisha, Uttar Pradesh, Chandigarh, Daman & Diu.

(ii) The following States have given more than 27% reservation to OBCs:-

Andhara Pradesh (29%), Bihar (33%), Karnataka (32%), Kerala (40%),Tamil Nadu (50%),Andaman & Nicobar (38%), Puducherry (34%).

(iii) The following States have given less than 27% reservation to OBCs:-

Chhattisgarh (14%), Himachal Pradesh (12% in Category-I posts & 18% in Category-II posts), Jharkhand (14%), Madhya Pradesh (14%), Manipur (17%), Punjab (12%), Rajasthan (21%), Sikkim (21%), Uttarakhand (14%), West Bengal (17%), Dadra & Nagar Haveli (5%).

(iv) The following States have not given any reservation to OBCs:-

Arunachal Pradesh, Meghalaya, Mizoram, Nagaland, Tripura and Lakshadweep.

The reservation policy in State/UT Government services etc. is decided and implemented by the concerned Governments, while keeping in view the interests of the citizens of the State/UT. The Central Government has no role in deciding the reservation policy of State Government.

THE ECONOMIC DEVELOPMENTS

3. INVESTMENT AND EXPORT IN STEEL SECTOR

THE CONTEXT: According to the Union Ministry of Steel, the investment and export in steel sector as follows:

THE EXPLANATION:

1. Notification of the following policies having impact on investment and export in the steel sector:-

a. National Steel Policy 2017 which envisages inter-alia domestically meeting the entire demand of steel and high-grade automotive steel, electrical steel, special steel and alloys for strategic applications.

b. Domestically Manufactured Iron & Steel Products (DMI&SP) Policy for promoting procurement of Made in India steel.

c. Steel Scrap Recycling Policy to enhance the availability of domestically generated scrap for making steel at competitive prices.

d. Steel Import Monitoring System (SIMS)in order to enhance production through disseminating advance information regarding grades of the imports for enhancing investment and import substitution.

e. Production-Linked Incentive (PLI) Scheme for Specialty Steel with an outlay of Rs 6,322 Crore to promote the manufacturing of specialty steel within the country for domestic use and export by attracting Capital investments.

2. Establishment of Project Development Cell in the Ministry to attract and facilitate investment in the steel sector.

3. ‘Make in India’ initiative and the PM Gati Shakti National Master Plan, with further engagement with potential users, including from Railways, Defence, Petroleum and Natural Gas, Housing, Civil Aviation, Road Transport and Highways, Agriculture and Rural Development sectors to enhance the steel usage, overall demand for steel and investment in steel sector in the country.

4. Adjustments in basic custom duty on steel products and trade remedial measures like Anti-dumping duty (ADD), Countervailing duty (CVD) on certain raw materials and steel products to enhance competitiveness of India’s steel sector.

5. Other measures to improve Ease of Doing Business and Reducing Compliance burden, Market Access Initiatives (MAI), Startup India initiative etc. to help domestic industry in capacity creation, providing level playing field and creating a conducive business environment to attract investments and promote exports.

4. ADB PROJECTS INDIA’S ECONOMY TO GROW BY 7.5% IN FY23

THE CONTEXT: Asian Development Bank projected a 7 per cent collective growth for South Asian economies in 2022 with the subregion’s largest economy India growing by 7.5 per cent in the current fiscal year before picking up to eight per cent the next year.

THE EXPLANATION:

The Manila-based multilateral funding agency, Asian Development Bank (ADB) has projected the GDP growth rate of the Indian economy, in its flagship Asian Development Outlook (ADO) 2022, as follows:

• 2022-23 (FY23): 7.5 per cent
• 2023-24 (FY24): 8.0 per cent

ADB said developing Asia’s economies are forecast to grow 5.2% this year and 5.3% in 2023, thanks to a robust recovery in domestic demand and continued expansion in exports.

VALUE ADDITION:

Asian Development Bank (ADB)

• ADB is a regional development bank established in 1966, Headquartered at Manila, Philippines
• It has 68 members. India is a founding member. Forty-nine are from within Asia and the Pacific and 19 outside.
• It aims to promote social and economic development in Asia and the Pacific.

Voting rights:

• It is modelled closely on the World Bank and has a similar weighted voting system where votes are distributed in proportion with members’ capital subscriptions.
• As of 31 December 2020, ADB’s five largest shareholders are Japan and the United States (each with 15.6% of total shares), the People’s Republic of China (6.4%), India (6.3%), and Australia (5.8%).

Roles and functions:

• Dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration.
• This is carried out through investments – in the form of loans, grants and information sharing – in infrastructure, health care services, financial and public administration systems, helping nations prepare for the impact of climate change or better manage their natural resources, as well as other areas.

THE SCIENCE AND TECHNOLOGY

5. GROSS EXPENDITURE ON RESEARCH AND DEVELOPMENT (GERD)

THE CONTEXT: According the Department of Science and Technology, that the Gross Expenditure on Research and Development (GERD), in absolute terms, has been consistently increasing over the years and has increased 3 times during the last 10 years.

THE EXPLANATION:

• According the department, some of the key efforts made by Government include the successive increase in plan allocations for Scientific Departments, incentivizing investment by private sector to increase their share in GERD, improving the ease of doing  business in the Science, Technology and Innovation (STI) activities; introducing flexible tools for public procurement; creating avenues for collaborative STI funding through portfolio-based funding mechanisms such as Public-Private-Partnerships and other innovative hybrid funding mechanisms.
• It also noted that, the Government has allowed corporate sector to make R&D investments under the provision of Corporate Social Responsibility (CSR). Corporates can invest in technology business incubators or contribute in research efforts carried out by institutions and national research laboratories as a part of their CSR.
• Also the Department noted that as part of the new draft Science, Technology and Innovation (STI) policy, several provisions have been included with the focus to increase GERD. Some of the key provisions include; greater participation of central, state, local governments and public sector enterprises; fiscal incentives to attract private sector; fiscal and non-fiscal incentives to attract Foreign Direct Investment; Micro-financing through crowdfunding and philanthropic sources; linking public procurement with domestic industries; Public Private Partnerships (PPPs) and industry led mission oriented joint initiatives; etc.

Value Addition:

• According to UNESCO’s stats, the global expenditure on research and development (R&D) has crossed $1.7 trillion. The most used indicator to measure country-wise investments in R&D is the gross domestic expenditure on R&D (GERD) as the percentage of gross domestic product (GDP).
• A comparison of the R&D spending of some of the countries representing different regions of the world and India in terms of GERD as a percentage of GDP shows India to be a low spender (only 0.66 per cent of the GDP) in comparison to the developed countries and emerging economic powers of East Asia.
• Worst still, the percentage expenditure for the last couple of years is showing a downward trend. A quick analysis of the allocations to various R&D organisations in the recently presented 2022-23 budget shows continued stagnation.

THE PRELIMS PERSPECTIVE

6. EXPLAINED: WHY CENTRE HAS OPPOSED ODISHA’S PLANS FOR LANDMARK LINGARAJ TEMPLE

THE CONTEXT: The Ministry of Home Affairs has said several sections of the proposed ordinance are in conflict with the Ancient Monuments and Archaeological Sites and Remains Act.

THE EXPLANATION:

The Central government has told the Odisha government that its ordinance to bring the 11th-century Lingaraj temple in Bhubaneswar and its associated temples under a special law is outside the legislative competence of the state legislature. It also said the ordinance is in conflict with the rules laid down under the Ancient Monuments and Archaeological Sites and Remains Act, 1958 (AMASR Act).

What is the Lingaraj Temple Ordinance, 2020?

• Lingaraj temple, the largest in Bhubaneswar, was constructed by King Jajati Keshari in the 10th Century and completed by King Lalatendu Keshari in the 11th Century.
• In December 2019, the Odisha Government had announced a development plan for the temple and its peripheral area in Bhubaneshwar. The 66-acre “Ekamra Kshetra” development plan was launched to preserve the heritage and development of the nine sites and their nearby areas at a cost of around Rs 700 crore.

Why has the Centre opposed the ordinance?

The Ministry of Home Affairs has said several sections of the proposed ordinance conflicted with the Ancient Monuments and Archaeological Sites and Remains (AMASR) Act. The AMASR Act provides for preservation of ancient and historical monuments and archaeological sites and remains of national importance.

Value Addition:

Ancient Monuments and Archaeological Sites and Remains Act, 1958

• The AMASR Act provides for the preservation of ancient and historical monuments and archaeological sites and remains of national importance. It also provides for the regulation of archaeological excavations and for the protection of sculptures, carvings and other like objects.

• The Archaeological Survey of India functions under the provisions of this act. It was founded in 1861 by Alexander Cunningham- the first Director-General of ASI. Alexander Cunningham is also known as the “Father of Indian Archaeology”.

• The Act prohibits construction in a ‘prohibited area’, an area of 100 meters around a protected monument was amended in 2010 to declare the 100-metre radius of protected monuments as prohibited areas and the next 300-metre radius as regulated areas.
• It does not permit construction in such prohibited areas even if it is for public purposes, except under certain conditions. The iconic monuments in India, Taj Mahal, Ajanta Caves, The Great Stupa at Sanchi and the Sun Temple of Konark, among others are designated as “ancient monuments of national importance” and protected under the AMASR Act.
• The Archaeological Survey of India is the custodian of these monuments.

THE PRELIMS PRACTICE QUESTIONS

QUESTION OF THE DAY

Q1. Director of CBI is appointed by Central Government on the recommendation of a committee consisting of which of the following?

1. The Prime Minister as Chairperson
2. The Leader of Opposition in the Lok Sabha
3. The Chief Justice of India or Judge of the Supreme Court nominated by him
4. The union home minister

Select the correct answer using the code given below:

a) 1 and 3 only

b) 1, 2 and 3 only

c) 1, 3 and 4 only

d) All of them

ANSWER FOR 6TH APRIL 2022

Answer: C

Explanation:

• Antarctic Treaty signed in 1959 — India joined the Treaty System in 1983.
• The Antarctic Treaty came into force on June 23, 1961, after ratification by the 12 countries that were then active in Antarctic science. (Statement 1 is correct and statement 2 is incorrect).
• The Treaty covers the area south of 60°S latitude. (Statement 3 is correct).
• Its key objectives are to demilitarize Antarctica, to establish it as a zone free of nuclear tests and the disposal of radioactive waste, and to ensure that it is used for peaceful purposes only; to promote international scientific cooperation in Antarctica and to set aside disputes over territorial sovereignty. (Statement 4 is correct).
• Of the 54 signatory countries, 29 have ‘consultative’ status that give them voting rights. The Treaty parties meet each year at the Antarctic Treaty Consultative Meeting.

1. We Need Climate Action – But It Shouldn’t Be at the Expense of Social Justice READ MORE
2. The hijab case and the struggle for the right to be and remain different READ MORE

1. A moment of moral awakening READ MORE
2. Beauty, body and soul READ MORE

1. Safety first: The Dam Safety Authority might be able to monitor safety aspects of Mullaperiyar dam READ MORE
2. 10 Reasons Why Hydropower Dams Are a False Climate Solution READ MORE
3. IPCC report shows a greater need for increased climate action READ MORE

1. Explained: How electoral bonds work, and why they face criticism READ MORE
2. A candid conversation about the ‘caged parrot’ READ MORE
3. The hijab case and the struggle for the right to be and remain different READ MORE
4. Has IAS failed the nation? Not really: Critiques of the service should also recognise its immense strengths & many constraints READ MORE
5. Criminal Identification Bill: A good step, but more needs to be done READ MORE

(Newspapers, PIB and other important sources)

Prelim and Main

1. Rajnath Singh launches second edition of swarm drone competition for start-ups READ MORE
2. Explained: Why Centre has opposed Odisha’s plans for landmark Lingaraj Temple READ MORE
3. Sri Lankan President Gotabaya Rajapaksa revokes state of emergency declared on April 1 READ MORE
4. Union Bank launches super-app UnionNXT, digital project SMBHAV READ MORE
5. Parliament passes Constitution (Scheduled Tribes) Order (Amendment) Bill, 2022 READ MORE
6. Pahwa Plastics: The Judgement That Endangers India’s Environmental Jurisprudence READ MORE
7. ADB projects India’s economy to grow by 7.5% in FY23 READ MORE

Main Exam   

GS Paper- 1

1. Safety first: The Dam Safety Authority might be able to monitor safety aspects of Mullaperiyar dam READ MORE

GS Paper- 2

POLITY AND GOVERNANCE

1. Explained: How electoral bonds work, and why they face criticism READ MORE
2. A candid conversation about the ‘caged parrot’ READ MORE
3. The hijab case and the struggle for the right to be and remain different READ MORE
4. Has IAS failed the nation? Not really: Critiques of the service should also recognise its immense strengths & many constraints READ MORE
5. Criminal Identification Bill: A good step, but more needs to be done READ MORE

SOCIAL ISSUES AND SOCIAL JUSTICE

1. We Need Climate Action – But It Shouldn’t Be at the Expense of Social Justice READ MORE

INTERNATIONAL ISSUES

1. Repairing the complex India-Nepal relationship READ MORE
2. Neutrality dissonance READ MORE
3. Amid Sanctions Against Russia, BRICS Can Lead the Change Towards National Currency Payments READ MORE
4. India’s Dilemma Over West vs Russia READ MORE

GS Paper- 3

ECONOMIC DEVELOPMENT

1. India-Australia trade pact promises significant economic, strategic gains READ MORE
2. Economic well-being key to social stability READ MORE
3. Sri Lankan economic crisis and India READ MORE
4. Export opportunity: India can become a reliable grain exporter READ MORE

ENVIRONMENT AND ECOLOGY  

1. 10 Reasons Why Hydropower Dams Are a False Climate Solution READ MORE
2. IPCC report shows a greater need for increased climate action READ MORE

SECURITY

1. Not just AFSPA, India must reboot counter-insurgency strategy & free Army from it READ MORE

GS Paper- 4

ETHICS EXAMPLES AND CASE STUDY

1. A moment of moral awakening READ MORE
2. Beauty, body and soul READ MORE

Questions for the MAIN exam

1. ‘India needs to be a sensitive and generous partner for the “neighbourhood first” policy to take root’. In the light of the statement discuss the need for revival of relations between India and Nepal.
2. ‘If the CBI is to tread the path of virtue, it should have a strong leader with a distinct belief in the law and ethics’. Comment on the statement in the light of recent criticism facing by CBI in its working.

QUOTATIONS AND CAPTIONS

• Every heart to love will come, but like a refugee.
• India needs to be a sensitive and generous partner for the “neighbourhood first” policy to take root.
• Reforming the criminal justice system is the task of many years. In the immediate future, however, it is at least possible to curtail the manner in which the UAPA plays havoc with the lives of so many individuals.
• If the CBI is to tread the path of virtue, it should have a strong leader with a distinct belief in the law and ethics.
• The primary task of constitutional politics is to transmute a partisan controversy into a reasoned public debate.
• Constitutional governance entails rectitude, and responsibility, in the exercise of power.
• Ukraine’s plea at the UNSC should not be interpreted for solutions. It must be a moment to recognise the human costs of war.
• Regulation needs to find its way through the ‘efficiency vs equity’ argument, encouraging gains through technology to pay, via taxes, for traditional market inefficiency.
• Any laxity on grabbing this export opportunity would mean missing the golden chance to create the much-needed export outlet for the surplus grains.
• The government must carry out a holistic review of India’s counter-insurgency strategy, transform the CRPF (if not done in the last 8 years) and relieve the armed forces for their primary mission.
• Not only does hydel power fail to prevent catastrophic climate change, but it also renders countries more vulnerable to climate change while emitting significant amounts of methane.

50-WORD TALK

• Evidence shows Russian troops killed unarmed civilians in Bucha. True to type, the Kremlin’s claimed it’s the victim of disinformation, but survivor testimony is backed up by video and satellite imaging. The world must unite to demand punishment for this war crime. India has done well to strongly condemn it.
• The need today in order to increase the happiness quotient of people in India is to follow the economic policies of Scandinavian countries marked by social security and job market flexibility. This will raise incomes and reduce social tensions that result from income disparities. The Scandinavian societies are free of sectarian tensions. There is a strong sense of social responsibility which prompts these nations to opt for taking in refugees who are victims of ethnic conflict.

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.

[WpProQuiz 195]

THE CONTEXT: In February 2022, Elon Musk’s Starlink lost dozens of satellites that were caught in a geomagnetic storm a day after they were launched. The loss of over 40 satellites in a single solar event has been described as “unheard of” and “huge”.However, the satellites were designed to burn up on reentry into the Earth’s atmosphere and did not create debris in space. The following article explains the phenomenon of geomagnetic storms from a geographical perspective.

GEOMAGNETIC STORMS

A geomagnetic storm is a major and temporary disturbance of Earth’s magnetosphere. They occur when a surge of the solar wind (charged particles from the sun) interacts with Earth’s magnetic field and generates currents in Earth’s upper atmosphere.

The magnetosphere shields our planet from harmful solar and cosmic particle radiation, Solar Storms occur during the release of magnetic energy associated with sunspots (‘dark’ regions on the Sun that are cooler than the surrounding photosphere – the lowest layer of the solar atmosphere) and can last for a few minutes or hours.

A Solar Storm or a Coronal Mass Ejection (CME) as astronomers call it, is an ejection of highly magnetized particles from the sun. These particles can travel several million km per hour and can take about 13 hours to five days to reach Earth.

Earth is surrounded by an immense magnetic field called the magnetosphere. Generated by powerful, dynamic forces at the center of Earth, our magnetosphere shields us from erosion of our atmosphere by the solar wind, erosion and particle radiation from coronal mass ejections, and cosmic rays from deep space. Our magnetosphere plays the role of gatekeeper, repelling this unwanted energy that’s harmful to life on Earth.

• The Bow Shockoccurs when the magnetosphere of an astrophysical object interacts with the nearby flowing ambient plasma such as the solar wind. For Earth and other magnetized planets, it is the boundary at which the speed of the stellar wind abruptly drops as a result of its approach to magnetopause.
• The Polar Cuspsare near-zero magnetic field magnitude and funnel-shaped areas between field lines that map to the dayside and nightside of the magnetopause surface. They are the primary regions for direct entry of magnetosheath/solar wind plasma into the magnetosphere and may create the appearance of beautiful auroras when seen from the arctic regions of the Earth.
• Van Allen radiation belt, doughnut-shaped zones of highly energetic charged particles trapped at high altitudes in Earth’s magnetic field. The belts are most intense over the Equator and are effectively absent above the poles. The Van Allen radiation belt is a zone of energetic charged particles originating from the solar wind. The particles are captured and held around a planet by that planet’s magnetic field. It surrounds Earth, containing a nearly impenetrable barrier that prevents the fastest, most energetic electrons from reaching Earth.

IMPACT OF GEOMAGNETIC STORMS ON EARTH

ON SPACE WEATHER: Not all solar flares reach Earth, but solar flares/storms, Solar Energetic Particles (SEPs), high-speed solar winds, and Coronal Mass Ejections (CMEs) that come close can impact space weather in near-Earth space and the upper atmosphere.

ON  MAGNETOSPHERE: Coronal Mass Ejections (CMEs) significantly loaded with matter traveling at millions of miles an hour can potentially create disturbances in the magnetosphere. Geomagnetic storms result in intense currents in the magnetosphere, changes in the radiation belts, and changes in the ionosphere, including heating the ionosphere and the thermosphere.

ON SPACE-DEPENDENT SERVICES: Solar storms can hit operations of space-dependent services like Global Positioning Systems (GPS), radio, and satellite communications. Aircraft flights, power grids, and space exploration programs are also vulnerable to geomagnetic storms.

ON COMMUNICATION: Geomagnetic storms interfere with high-frequency radio communications that rely on the ionosphere for propagation.

ON POWER GRIDS, OIL, AND GAS PIPELINES: When the earth is in the direct path of such solar storms, these magnetized and charged solar particles will interact with the earth’s magnetic field and induce strong electric currents on the earth’s surface that can damage long-distance cables.

ON UNDERSEA INTERNET CABLES: Undersea cables have a higher risk of failure compared to land cables due to their large lengths as current is proportional to the area of the loop formed by the two grounds and the cable.

HEALTH RISKS FOR ASTRONAUTS: Astronauts on spacewalks face health risks from possible exposure to solar radiation outside the Earth’s protective atmosphere.

FORMATION OF AURORAS: These storms can create the appearance of beautiful auroras aurora borealis (the northern lights) and aurora australis (the southern lights.)

LINK BETWEEN SOLAR STORMS AND ANIMAL BEACHINGS: Researchers from a cross-section of fields pooled massive data sets to see if disturbances to the magnetic field around Earth could be what confuses these sea creatures, known as cetaceans. CETACEANS are thought to use Earth’s magnetic field to navigate. Since intense solar storms can disturb the magnetic field, scientists want to determine whether they could, by extension, actually interfere with animals’ internal compasses and lead them astray. However solar storms may not be the primary cause of animal beaching but the research continues.

LINK BETWEEN SOLAR STORMS AND MIGRATORY BIRDS: Birds possess a magnetic sense and rely on the Earth’s magnetic field for orientation during migration. However, the geomagnetic field can be altered by solar activity at relatively unpredictable intervals. How birds cope with the temporal geomagnetic variations caused by solar storms during migration is still unclear.

CONCERNS WITH GEOMAGNETIC STORMS

• The Sun goes through an 11-year cycle – cycles of high and low sunspots activity. It also has a longer 100-year cycle. During the last three decades, when the internet infrastructure was booming, it was a low period. And very soon, either in this cycle or the next cycle, we are going towards the peaks of the 100-year cycle. So it is highly likely that we might see one powerful solar storm during our lifetime
• The rapid development of technology took place in the last three decades when the Sun was in its period of low activity and there are very limited studies on whether our current infrastructure can withstand a powerful solar storm.

GEOMAGNETIC STORMS AND INDIA

• The countries in the lower latitudes are at a much lower risk but there is a need for more studies to fully understand the effects of geomagnetic storms and the regions of lower latitudes.
• Modelled and Simulation Studies to understand how connectivity will be affected on a country-scale, showed that the majority of cables connecting India will be unaffected.
• Even under the high-failure scenario, some international connectivity remains (e.g., India to Singapore, the Middle East, etc.). Unlike in China, the key cities of Mumbai and Chennai do not lose connectivity even with high failures
• Compared to the US, India is less vulnerable, but we still need to know more about the strength of solar storms and whether a powerful one can affect India.

THE WAY FORWARD

• Shutdown Strategy:‘Shutdown Strategy’ can help minimize the connectivity loss during and after a solar storm impact. Similar to how we power off power grids, a temporary internet shutdown can protect our equipment during a solar event and ensure the continuation of services.
• Systematic Protocols:
• We need a more systematic protocol for doing this. Both NASA and the European Space Agency have probes now that can detect a solar storm and can give about 13 hours of warning.
• Experts from different fields need to come together to design protocols for power companies and internet service providers.
• Also, today’s health care system depends on power and the internet and we need to have a fallback strategy.
• With the increasing global dependence on satellites for almost every activity, there is a need for better space weather forecasts and more effective ways to protect satellites.

THE CONCLUSION: Current models are capable of predicting a storm’s time of arrival and its speed. But we are still not able to predict the storm’s structure or orientation. Independent solar observations show that solar superstorms capable of large-scale damage may occur only a few times in a century. Nevertheless, given their potential to cause large-scale disruption to our modern society, research and studies are needed to help us prepare and take steps for reducing their impact.

MAINS QUESTIONS:

1. What are geomagnetic storms? What steps are needed to prepare for any possible cause of a powerful solar storm in the future?
2. Explain the possible consequences of a powerful solar storm on life and property on Earth.

ADDED INFORMATION: 5 categories measure geomagnetic storms given by National Oceanic and Atmospheric Administration, USA (NOAA).

THE PARLIAMENTARY PROCEEDINGS: BUDGET SESSION 2022

1. THE DELHI MUNICIPAL CORPORATION (AMENDMENT) BILL, 2022

THE CONTEXT: The Parliament passed Delhi Municipal Corporation (Amendment) Bill 2022 which seeks to merge three municipal corporations of Delhi into a single entity. 

THE EXPLANATION:

• The Bill seeks to amend the Delhi Municipal Corporation Act, 1957 passed by Parliament.  The Act was amended in 2011 by Delhi Legislative Assembly to trifurcate the erstwhile Municipal Corporation of Delhi into: (i) North Delhi Municipal Corporation, (ii) South Delhi Municipal Corporation, and (iii) East Delhi Municipal Corporation.  The Bill seeks to unify the three corporations.

• Unification of Municipal Corporations in Delhi:  The Bill replaces the three municipal corporations under the Act with one Corporation named the Municipal Corporation of Delhi.

• Powers of the Delhi government: The Act as amended in 2011 empowers the Delhi government to decide various matters under the Act. These include: (i) total number of seats of councillors and number of seats reserved for members of the Scheduled Castes, (ii) division of the area of corporations into zones and wards, (iii) delimitation of wards, (iv) matters such as salary and allowances, and leave of absence of the Commissioner, (v) sanctioning of consolidation of loans by a corporation, and (vi) sanctioning suits for compensation against the Commissioner for loss or waste or misapplication of Municipal Fund or property.  Similarly, the Act mandates that the Commissioner will exercise his powers regarding building regulations under the general superintendence and directions of the Delhi government.  The Bill instead empowers the central government to decide these matters.

• Number of Councillors: The Act provides that the number of seats in the three corporations taken together should not be more than 272.  The 14^th Schedule to the Act specifies 272 wards across the three Corporations.  The Bill states that the total number of seats in the new Corporation should not be more than 250.

• Removal of Director of Local Bodies: The Act provides for a Director of Local Bodies to assist the Delhi government and discharge certain functions which include: (i) coordinating between Corporations, (ii) framing recruitment Rules for various posts, and (iii) coordinating the collecting and sharing of toll tax collected by the respective Corporations.  The Bill omits the provision for a Director of Local Bodies.

• Special officer to be appointed by the central government: The Bill provides that the central government may appoint a Special Officer to exercise powers of the Corporation until the first meeting of the Corporation is held after the commencement of the Bill.

• E-governance system for citizens: The Bill adds that obligatory functions of the new Corporation will include establishing an e-governance system for citizen services on anytime-anywhere basis for better, accountable, and transparent administration.

• Conditions of service for sweepers: The Act provides that a sweeper employed for doing house scavenging of a building would be required to give a reasonable cause or a 14 day notice before discontinuing his service.   The Bill seeks to omit this provision.

2. THE CHARTERED ACCOUNTANTS, THE COST AND WORKS ACCOUNTANTS AND THE COMPANY SECRETARIES (AMENDMENT) BILL, 2021

THE CONTEXT: The Chartered Accountants, the Cost and Works Accountants and the Company Secretaries (Amendment) Bill, 2021 was passed by both the houses of the Parliament.

THE EXPLANATION:

• The Bill seeks to amend
  • The Chartered Accountants Act, 1949,
  • The Cost and Works Accountants Act, 1959, and
  • The Company Secretaries Act, 1980.
• The three Acts provide for the regulation of the professions of chartered accountants, cost accountants and company secretaries, respectively.  The Bill seeks to strengthen the disciplinary mechanism under these Acts, and provide for time bound disposal of cases against members of the Institute of Chartered Accountants of India, the Institute of Cost Accountants of India and the Institute of Company Secretaries of India.

Key features of the Bill include:

• Registration of firms: The Bill adds that firms must register with the Institutes by making an application to the respective Councils of the Institutes.  The Councils must maintain a register of firms containing details such as pendency of any actionable complaint or imposition of penalty against the firms.
• Disciplinary Directorate: Under the Acts, the respective Councils of the three Institutes must each constitute a Disciplinary Directorate, headed by Director (Discipline) who is an officer of the Institute.  The Bill adds that each Directorate must also include at least two Joint Directors.
• Under the Acts, on receiving a complaint, the Director arrives at a prima facie opinion on the alleged misconduct.  Depending on the misconduct, the Director places the matter before the Board of Discipline or the Disciplinary Committee.  The Bill amends this to empower the Directorate to independently initiate investigations against members or firms.  The Director must decide whether a complaint is actionable within 30 days of receiving such complaint.  If the complaint is actionable, the Director must submit a preliminary examination report to the Board or the Committee (as the case may be), within 30 days.  Under the Acts, a complaint may be withdrawn if permitted by the Board or Committee.  The Bill provides that a complaint filed with the Directorate will not be withdrawn under any circumstances.
• Board of Discipline: Under the three Acts, each Council constitutes a Board of Discipline.  Members of the Board include: (i) presiding officer (having experience in law and knowledge of disciplinary matters), (ii) two members and (iii) Director (Discipline) as secretary.  Under the Chartered Accountants Act, 1949, one of the two members is nominated by the central government while the other is a member of the Council.  As per the other two Acts, both the members are from the Councils or the Institutes.
• The Bill empowers the three Councils to constitute multiple Boards.  The presiding officer and one of the two members must not be a member of the institutes and will be nominated by the central government from a panel of persons provided by the Councils.  An officer of the Institute, of the rank of Deputy Secretary, will function as the Secretary of the Board.  After receiving the preliminary examination report, the Board must conclude its inquiry within 90 days.
• Disciplinary Committee: Under the three Acts, the Councils constitute Disciplinary Committees consisting of: (i) Presiding Officer (President or Vice-President of the Council), (ii) two members elected from the Council, and (ii) two members nominated by the central government.  The Bill amends the Acts to provide that the Presiding Officer must not be a member of the institutes and shall be nominated by the central government.  The Committee must conclude its inquiry in 180 days from the receipt of preliminary examination report.
• Penalties:  Under the Acts, in cases of professional or other misconduct the Committees may: (i) reprimand or remove the member from the register of the Institute, or (ii) impose a fine of up to five lakh rupees.  The Bill increases the maximum amount of fine to ten lakh rupees.  The Bill also adds that if a partner or owner of a firm is repeatedly found guilty of misconduct during last five years, the Committee may take certain actions against the firm.  The actions include: (i) prohibiting the firm from undertaking activities related to the profession of chartered account, cost accountant, or company secretary, as the case may be, for up to two years, or (ii) impose a fine of up to Rs 50 lakh.

Key Issues and Analysis

• The Bill proposes to change the composition of the two disciplinary entities to allow for more external representation.  However, these external members will be selected from a panel of persons prepared by the three Councils.  This may be against the objective of resolving conflict of interest between the disciplinary and administrative functions of the three professional Councils.
• The mandate of the proposed Coordination Committee may overlap with certain functions of the three Institutes.  Further, being chaired by the Secretary of the Ministry of Corporate Affairs, it may impinge on the independence of the three Institutes.
• The Bill provides for disclosure of pending complaints or actionable information against members and firms.  Disclosing details of pending complaints before finding guilt may tarnish their professional reputation.

• Though the President will have a non-executive role, he will be held responsible for implementation of decisions of the Councils.

 THE POLITY AND GOVERNANCE

3. MULLAPERIYAR SUPERVISORY PANEL CONTINUES FOR A YEAR WHILE AUTHORITY: CENTRE TO SUPREME COURT

THE CONTEXT: The Central Government suggested to the Supreme Court to let the Mullaperiyar dam supervisory committee continue for a year, by which time the National Dam Safety Authority under the new Dam Safety Act will become fully functional.

THE EXPLANATION:

• “According to the Government statement, during the period of one year, when the National Dam Safety Authority becomes fully functional, the Supervisory Committee on Mullaperiyar Dam may continue its functioning as per the existing mandate in regulating the operations of the Mullaperiyar dam”.
• The Centre suggested that the Chief Secretaries of Tamil Nadu and Kerala be made accountable in order to ensure that the decisions of the supervisory committee on the maintenance and safety of the dam are duly complied with by the two States.
• “To address the technical concerns of both the States, the Chief Secretaries of the States may be requested to nominate technical experts as members to participate in the meetings conducted by the supervisory committee. This would ensure accountability of the decisions/ action taken,” the Centre further recommended.

VALUE ADDITION:

ABOUT MULLAIPERIYAR 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, and Perinjankutti.
• According to a 999-year lease agreement made during British rule, the operational rights were handed over to Tamil Nadu.

Mullaiperiyar 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.

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.

THE GOVERNMENT SCHEMES IN THE NEWS

4. BUDGET FOR PRADHAN MANTRI ANNADATA AAY SANRAKSHAN ABHIYAN(PM-AASHA)

THE CONTEXT: Under PSS, Government has provided Government Guarantee amounting to Rs. 40,500/- cr. for extending cash credit facilities to Central Nodal Agencies i.e. NAFED & FCI for procurement of pulses, oilseeds & copra at Minimum Support Price (MSP). Central Nodal Agencies withdraw the required funds against the Government Guarantee for making payment of MSP value to farmers and other incidental costs involved in the PSS operations.

THE EXPLANATION:

Components of PM-AASHA

The new Umbrella Scheme includes the mechanism of ensuring remunerative prices to the farmers and is comprised of,

Price Support Scheme (PSS):

• In Price Support Scheme (PSS), physical procurement of pulses, oilseeds and Copra will be done by Central Nodal Agencies with proactive role of State governments. It is also decided that in addition to NAFED, Food Cooperation of India (FCI) will take up PSS operations in states /districts.
• The procurement expenditure and losses due to procurement will be borne by Central Government as per norms.

Price Deficiency Payment Scheme (PDPS):

• Under Price Deficiency Payment Scheme this scheme (PDPS), it is proposed to cover all oilseeds for which MSP is notified. In this direct payment of the difference between the MSP and the selling/modal price will be made to pre-registered farmers selling his produce in the notified market yard through a transparent auction process. All payments will be done directly into the registered bank account of the farmer.
• This scheme does not involve any physical procurement of crops as farmers are paid the difference between the MSP price and Sale/modal price on disposal in the notified market. The support of central government for PDPS will be given as per norms.

The pilot of the Private Procurement & Stockist Scheme (PPPS):

• Under this scheme, participation of the private sector in procurement operations will be piloted.
• States have the option to roll out the scheme on a pilot basis in selected districts/APMCs involving private stockists.

Need for PM-AASHA:

• A major issue with the MSP is its poor coverage. Further, there are certain problems with the implementation of MSP such as the procurement centres being far away resulting into heavy transportation cost, non-opening of Procurement centres timely, lack of covered storage/godowns facility for the temporary storage of produces, delays in payments, etc. Thus to address the gaps in the MSP system and give better returns to farmers, PM-AASHA is an important step.
• Increasing MSP is not adequate and it is more important that farmers should get full benefit of the announced MSP. Further, it is essential that if price of the agriculture produce market is less than MSP, then in that case State Government and Central Government should purchase either at MSP or work in a manner to provide MSP for the farmers through some other mechanism.
• A holistic approach of solving any issue is important rather than in fragments. Thus, to address issue of farmer’s income and enhancing livelihood, a compressive policy has been the need of the hour

Significance of PM-AASHA:

1. Income Security to farmers: The policy is an important step to achieve government’s commitment to double farmers’ income by 2022. If properly implemented, the scheme is expected to help revive the rural economy by assuring better income to farmers and thus address farmers’ distress
2. Stabilizing commodity markets: It will help in stabilising commodity markets and will also benefit the farmers by providing options to the state governments to compensate farmers when the market prices fall below MSP.
3. Better coverage of MSP: MSP procurement system has been very poor both in terms of geography and the crops covered. The new scheme would ensure better coverage of MSP and provision of crop-wise procurement is expected to benefit both farmers and states.
4. Reduce the need for physical procurement: The PDPS scheme under PM-AASHA will reduce the need for the government to physically procure food crops as the difference between the support and market prices can instead simply be paid in cash to the farmer.
5. Reduce storage and wastage: As the need for physical procurement will reduce, it will also reduce the consequent needs for transport and store them and then dispose of them under PDS. This would also reduce wastage of grains/crops.
6. Reduce food subsidy bill: In recent years, the government has been seeing the accumulation of large food grain stocks in its godowns over and above the buffer requirement. This entails storage and wastage costs that add on to the food subsidy bill. Thus the new policy would help in bringing down India’s food subsidy bill.

THE DATASHEET

5. THE CORPORATE DONATIONS TO POLITICAL PARTIES

VALUE ADDITION:

WHAT IS AN ELECTORAL BOND?

An electoral bond is like a promissory note that can be bought by any Indian citizen or company incorporated in India from select branches of State Bank of India. The citizen or corporate can then donate the same to any eligible political party of his/her choice. The bonds are similar to bank notes that are payable to the bearer on demand and are free of interest. An individual or party will be allowed to purchase these bonds digitally or through cheque.

How to use electoral bonds?

Using electoral bonds is quite simple. The bonds will be issued in multiples of Rs 1,000, Rs 10,000, Rs 100,000 and Rs 1 crore (the range of a bond is between Rs 1,000 to Rs 1 crore). These will be available at some branches of SBI. A donor with a KYC-compliant account can purchase the bonds and can then donate them to the party or individual of their choice. Now, the receiver can encash the bonds through the party’s verified account. The electoral bond will be valid only for fifteen days.

The 29 specified SBI branches are in cities such as New Delhi, Gandhinagar, Chandigarh, Bengaluru, Bhopal, Mumbai, Jaipur, Lucknow, Chennai, Kolkata and Guwahati.

When are the bonds available for purchase?

The electoral bonds are available for purchase for 10 days in the beginning of every quarter. The first 10 days of January, April, July and October has been specified by the government for purchase of electoral bonds. An additional period of 30 days shall be specified by the government in the year of Lok Sabha elections.

THE PRELIMS PRACTICE QUESTIONS

QUESTION OF THE DAY

Q1. Consider the following statements about Antarctic Treaty:

1. It was signed in 1959 and came into force in 1961.
2. India is the foundation member of this treaty.
3. The Treaty covers the area south of 60°S latitude.
4. Its one of the objective is to create a nuclear tests free zone.

Which of the statements given above is/are correct?

     a) 1 and 2 only

b) 2, 3 and 4 only

c) 1, 3 and 4 only

d) All of them

ANSWER FOR 5TH APRIL 2022

Answer: b)

Explanation:

• Statement 1 is incorrect: It is built by the kings of the Ganga dynasty.
• Statement 2 is correct: It is an example of Kalinga Architecture.

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