Today’s Important Articles for Pub Ad (06-01-2022)

  1. Supreme Court must ensure hate speech guilty are punished READ MORE
  2. Age & agility READ MORE
  3. Opinion: The electoral bonds act akin to a ‘token’ in the hawala model READ MORE



Today’s Important Articles for Sociology (06-01-2022)

  1. What the targeting of Muslim women really means READ MORE
  2. Food insecurity and child malnutrition: New empirical evidence from India READ MORE



Today’s Important Articles for Geography (06-01-2022)

  1. Protect the Aravalli range: Thar desert can creep towards the east READ MORE  
  2. Climate funds: Developed nations must step up READ MORE
  3. Moving beyond a zero-sum approach: In many situations, acting for oneself as well as the group gets the best results READ MORE



Ethics Through Current Developments (06-01-2022)

  1. Message from Mumbai: Online mobs spreading hate should not be allowed to continue their work with impunity READ MORE
  2. Great ecstasy comes from doing something useless READ MORE



WSDP Bulletin (06-01-2022)

(Newspapers, PIB and other important sources)

Prelim and Main

  1. Write-offs in Covid year helped banks reduce bad loans: RBI READ MORE
  2. Bhojeshwara temple: A hidden living gem READ MORE
  3. Six One District One Product brands launched under the PMFME scheme of the Ministry of Food Processing Industries READ MORE
  4. UJALA completes 7 years of energy-efficient and affordable LED distribution READ MORE
  5. 74 lakh birds flock to Chilika, the largest wintering ground in the Indian subcontinent READ MORE

Main Exam    

GS Paper- 1

  1. Protect the Aravalli range: Thar desert can creep towards the east READ MORE  
  2. What the targeting of Muslim women really means READ MORE

GS Paper- 1

POLITY AND GOVERNANCE

  1. Supreme Court must ensure hate speech guilty are punished READ MORE
  2. Age & agility READ MORE
  3. Opinion: The electoral bonds act akin to a ‘token’ in the hawala model READ MORE

SOCIAL JUSTICE

  1. Food insecurity and child malnutrition: New empirical evidence from India READ MORE

INTERNATIONAL ISSUES

  1. The Chinese challenge uncovers India’s fragilities: The border crisis has laid bare political, economic and diplomatic problems — the result of choices made after 2014 READ MORE
  2. China: An abiding challenge for India READ MORE

GS Paper- 1

ECONOMIC DEVELOPMENT

  1. The infrastructure push: Higher expenditure will be needed to sustain recovery READ MORE
  2. Missing: Bank Credit Engine in India’s Economic Growth READ MORE
  3. To achieve $ 5 trillion GDP goal, India needs to revamp its regulatory frameworks READ MORE

ENVIRONMENT AND ECOLOGY

  1. Climate funds: Developed nations must step up READ MORE
  2. Moving beyond a zero-sum approach: In many situations, acting for oneself as well as the group gets the best results READ MORE

DISASTER MANAGEMENT

  1. Why short-termism is a recipe for disaster READ MORE
  2. Thailand’s new early warning technology to protect 70 million from disasters READ MORE

GS Paper- 1

ETHICS EXAMPLES AND CASE STUDY

  1. Message from Mumbai: Online mobs spreading hate should not be allowed to continue their work with impunity READ MORE
  2. Great ecstasy comes from doing something useless READ MORE

Questions for the MAIN exam

  1. ‘The judiciary has an absolute obligation and duty to step in when the executive fails in the enforcement of the fundamental rights of citizens’. Substantiate the statement.
  2. ‘The principle of constitutionalism is now a legal principle that requires control over the exercise of governmental power to ensure that it does not destroy the democratic principles upon which it is based’. Analyse.
  3. ‘Without transforming society from a neutral or contentious to a collaborative stance, expecting public-private-partnerships to work is unrealistic’. Critically examine.

QUOTATIONS AND CAPTIONS

  • In the midst of chaos, there is also opportunity.
  • Quick, appropriate regulatory frameworks that respond to technological changes and innovations are in themselves a significant source of value creation in an economy.
  • The targeting of Muslim women is not just a one-off thing; it is well ideated and deliberated. This is not just an attack on Muslim women alone; it’s an attack on religious identity, a normalisation of the ‘othering’ and dehumanisation of Muslims.
  • The electoral bonds scheme seems to be a systematic design to route the black money of the ruling political party at the Centre through its crony corporates.
  • Prompt reporting of cases, well-trained investigators and prosecutors, fast and fair trial are essential to control cyber crimes against women.
  • The rule of law is a basic structure and basic feature of the Constitution. It clearly obliges the executive to enforce the law, without fear or favour.
  • The judiciary has an absolute obligation and duty to step in when the executive fails in the enforcement of the fundamental rights of citizens.
  • The principle of constitutionalism is now a legal principle that requires control over the exercise of governmental power to ensure that it does not destroy the democratic principles upon which it is based.
  • A distinction between development and climate finance is vital. More funds are needed for climate adaptation projects.
  • As the LAC challenge heightens, India must evolve a resolute and effective holding strategy to prevent further salami-slicing by PLA.
  • Without transforming society from a neutral or contentious to a collaborative stance, expecting public-private partnerships to work is unrealistic.
  • While latest data signals nascent signs of recovery, it will be misleading to accept it at face value without accounting for the headwinds that lie in wait in the Indian macroeconomic scene.

50-WORD TALK

  • PM Modi cancelling the Ferozepur rally due to a ‘security lapse’ is disturbing. His safety is of prime concern. Its politicization is deplorable. What’s equally disconcerting is how politicians are holding meetings and rallies in poll-bound states as the third wave of the pandemic hits India. They are setting a terrible example.
  • India’s first Omicron case was in November, but we are still quoting data from South Africa and the UK to plan strategy. Without India-specific data about mortality, hospitalisation and demography of cases – Mumbai is an exception — we are shooting in the dark. Data transparency is a casualty of the pandemic.

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 also 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 main point of view will be covered in ED.
  • Try to use the given content in your answer. Regular use of this content will bring more enrichment to your writing.



Day-120 | Daily MCQs | UPSC Prelims | POLITY

[WpProQuiz 130]




RBI REVISED PCA FRAMEWORK FOR BANKS

THE CONTEXT: In November 2021, RBI issued a revised Prompt Corrective Action (PCA) Framework for Scheduled Commercial Banks (SCBs) excluding Small Finance Banks, Payment Banks, and Regional Rural Banks to enable intervention at the appropriate time and require the SCB to initiate and implement remedial measures in a timely manner. The provisions of the revised PCA framework will be effective from January 1, 2022. The detailed analysis of the development is as follows.

THE DEVELOPMENT

  • The revised framework excludes return on assets as a parameter that may trigger action under the framework.
  • Payments banks and small finance banks (SFBs) have also been removed from the list of lenders where prompt corrective action can be initiated. Capital, asset quality, and leverage will be the key areas for monitoring in the revised framework.
  • Indicators to be tracked for capital, asset quality, and leverage would be CRAR/ common equity tier I ratio, net NPA ratio, and Tier I leverage ratio, respectively.
  • In governance-related actions, the RBI can supersede the board under Section 36ACA of the BR Act, 1949.
  • The framework will apply to all banks operating in India, including foreign banks operating through branches or subsidiaries based on breach of risk thresholds of identified indicators.

WHAT HAS CHANGED?

Key Monitoring areas:

  • 2017 (Revised) Framework: Capital, asset quality, and profitability, while leverage would be monitored additionally.
  • New Framework: Capital, Asset Quality and Leverage.

Indicators to be tracked: 

  • 2017 (Revised) Framework: Capital, asset quality, and profitability would be CRAR/ Common Equity Tier I ratio, Net NPA ratio, and Return on Assets, respectively.
  • New Framework: Capital, Asset Quality, and Leverage would be CRAR/ Common Equity Tier I Ratio, Net NPA Ratio, and Tier I Leverage Ratio, respectively.

Profitability – ROA:

  • 2017 (Revised) Framework: Negative ROA for 2/3/4 consecutive years
  • New Framework: Has been removed from the New Framework.

Capital – Risk Threshold 3: 

  • New Framework: RBI has specifically included this level of 400 bps below CRAR as a monitorable.

Leverage:

  • 2017 (Revised) Framework: Tier 1 Leverage ratio: Threshold 1: <=4.0% but > = 3.5% (leverage is over 25 times Tier 1 capital). Threshold 2: < 3.5% (leverage is over 28.6 times Tier 1 capital)
  • New Framework: Monitoring of leverage has been made explicit and levels have been made explicit across thresholds Threshold 1: Up to 50 bps below the regulatory minimum Threshold 2: More than 50 bps but not exceeding 100 bps below the regulatory minimum Threshold 3: More than 100 bps below the regulatory minimum.

Expense monitoring: 

  • 2017 (Revised) Framework: The following points were mandatory: Threshold 2: Higher provisions as part of the coverage regime. Threshold 3: Restriction on management compensation and directors’ fees, as applicable.
  • New Framework: These actions have been included in discretionary activities and have been made applicable across all thresholds. They have been combined and made more stringent by restriction/ reduction on variable operating costs, outsourcing activities, and restriction/reduction of outsourcing activities. Further restrictions on capital expenditure, other than for technological up-gradation within board-approved limits, have been made mandatory in risk threshold 3.

Discretionary Corrective Actions – Special Supervisory Actions:

  • 2017 (Revised) Framework: RBI could amalgamate/ reconstruct a bank under extant regulations.
  • New Framework: The RBI has specifically included resolution of the bank by Amalgamation or Reconstruction (Ref. Section 45 of Banking Regulation Act 1949) under the revised framework.

Exit from PCA and Withdrawal of Restrictions under PCA: 

  • 2017 (Revised) Framework: Exit of a bank from the PCA framework was based on RBI’s assessment on multiple parameters based on the financials of the bank.
  • New Framework: The new framework has laid down an explicit framework for a bank to exit the PCA framework as follows: Once a bank is placed under PCA, taking the bank out of PCA Framework and/or withdrawal of restrictions imposed under the PCA Framework will be considered: a) if no breaches in risk thresholds in any of the parameters are observed as per four continuous quarterly financial statements, one of which should be Audited Annual Financial Statement (subject to assessment by RBI); and b) based on Supervisory comfort of the RBI, including an assessment on sustainability of profitability of the bank.

WHAT IS PCA FRAMEWORK?

  • Prompt Corrective Action or PCA is a framework under which banks with weak financial metrics are put under watch by the RBI. The PCA framework deems banks as risky if they slip below certain norms on three parameters — capital ratios, asset quality, and profitability.
  • Based on where a bank stands on these ratios, it has three risk threshold levels (1 being the lowest and 3 the highest). Banks with capital to risk-weighted assets ratio (CRAR) of less than 10.25 percent but more than 7.75 percent fall under threshold 1.
  • Those with CRAR of more than 6.25 percent but less than 7.75 percent fall in the second threshold. In case a bank’s common equity Tier 1 (the bare minimum capital under CRAR) falls below 3.625 percent, it gets categorized under the third threshold level.
  • Banks that have a net NPA of 6 percent or more but less than 9 percent fall under threshold 1, and those with 12 percent or more fall under the third threshold level.
  • On profitability, banks with negative return on assets for two, three, and four years fall under threshold 1, threshold 2, and threshold 3, respectively.

WHAT IS THE PURPOSE OF THE PCA FRAMEWORK?

  • The objective of the PCA framework is to enable supervisory intervention at the appropriate time and require the supervised entity to initiate and implement remedial measures in a timely manner to restore its financial health.
  • Act as a tool for effective market discipline.
  • It does not preclude the Reserve Bank of India from taking any other action as it deems fit at any time, in addition to the corrective actions prescribed in the framework”.
  • In the last almost two decades — the PCA was first notified in December 2002 — several banks have been placed under the framework, with their operations restricted. In 2021, UCO Bank, IDBI Bank, and Indian Overseas Bank exited the framework on improved performance. Only the Central Bank of India remains under it now.

HOW DO BANKS BENEFIT FROM PCA?

  • One of the objectives of PCA is to amend a bank’s mistakes before they lead to a crisis.
  • RBI controls the loan disbursal of banks belonging to the PCA watchlist. That said, note that the regulator does not entirely prohibit PCA banks from disbursing loans.
  • RBI’s PCA framework has been designed to improve a bank’s financial performance by tracking vital metrics. In other words, it involves the RBI taking remedial measures.
  • PCA banks cannot enter a new line of business, which improves their core financials.
  • In some rare cases, RBI might choose to close non-compliant banks or initiate amalgamation for them.

WHEN DOES RBI INVOKE PROMPT CORRECTIVE ACTION?

RBI considers four factors to determine whether it needs to put a bank under the PCA framework. These include profitability, asset quality, capital ratios, and debt level. The central bank grades each of these factors based on actions depending upon the grade/threshold level, categorized from one to three, where 1 is the lowest of the lot and 3 is the highest based on how banks stand with respective frameworks.

Following is a look at these factors and their grades:

CAPITAL ADEQUACY RATIO (CRAR): The CRAR is the capital needed for a bank measured in assets (mostly loans) disbursed by the banks. The higher the assets, the higher should be the capital retained by the bank. This measures how much debt and equity capital banks possess to cover their asset book risk. If CRAR is less than 10.25%, but above 7.75%, the bank falls in the first grade. Banks having a CRAR of over 6.25%, but below 7.75%, fall under grade 2. However, if a bank’s capital adequacy ratio is less than 3.625%, it is categorized under grade 3.

ASSET QUALITY: This parameter refers to the non-performing assets of a bank. If the net NPA of a bank is more than 6%, but less than 9%, it falls under the first threshold. If Net NPA crosses the 9% mark, it triggers the second grade. That said, if this metric is 12% or more, the bank will fall in the third grade of PCA.

PROFITABILITY: The regulator considers the bank’s return on assets (ROA) as the key measure for profitability. Note that if a bank’s ROA is negative for two, three, and four years in a row, it will be categorized as grade 1, grade 2, and grade 3, respectively.

DEBT LEVEL/LEVERAGE: The last factor that RBI considers to measure the financial risk of any bank is its overall debt level/leverage. The regulator triggers grade 1 if the overall leverage is more than 25 times its Tier 1 capital. However, when total leverage is over 28.5 times its core capital (including disclosed reserves), RBI acts according to grade 2 of PCA.

WHAT HAPPENS WHEN RBI PUTS A BANK UNDER PCA?

When RBI puts a bank on its PCA watchlist, it imposes two types of limitations on it – mandatory and discretionary. These include restrictions related to the expansion of a branch, dividend, and director’s remuneration, and so on.

Nevertheless, the Central Bank may choose to take these actions at their discretion, where the RBI can:

  • Ask the bank’s board to reassess its business model and evaluate the profitability of the business line and operations.
  • Advise banks to reassess their business plans and strategy to take remedial measures, including dismissing certain officials from employment.
  • Ask a Bank’s board to implement a resolution plan after seeking approval from the supervisor.
  • Advise banks to gauge their viability over the medium to long term besides evaluating balance sheet estimates.
  • PCA banks might not be able to hire more employees or fill up vacant positions.
  • Lastly, RBI may allow PCA banks to incur capital expenditure only to upgrade technology. However, the allocation of funds for the same has to be within pre-approved limits.

ANALYSIS OF NEW FRAMEWORK

The revised rules propose changes on three fronts:

  1. The triggers to invoke PCA against a bank,
  2. The mandatory actions RBI may take after it
  3. Conditions for a bank to exit it.
  • Rules currently allow RBI to invoke PCA if a bank’s capital-to-risk weighted assets ratio and Tier 1 capital ratio, Return on Assets (ROA), net Non-Performing Assets, and leverage fall well short of statutory thresholds.
  • Under the new regime, a negative ROA will no longer trigger a bank to invite corrective action. This appears sensible because the accounting profit for a bank is the residual sum left over after provisioning for bad and doubtful loans.
  • A bank that proactively provisions for possible NPAs and maintains high provision coverage may report losses but is better protecting the interests of its stakeholders than a bank that skimps provisioning to show a profit.
  • Some of the corrective actions to be taken by RBI once a bank falls under PCA, have been left to its discretion instead of being mandated.
  • PCA rules require RBI to enforce higher provisioning norms and cap management compensation. The new rules allow it to take a discretionary call, perhaps to avoid denting depositor confidence.
  • The existing curbs placed by the RBI on PCA banks lending to lower-rated or unsecured borrowers have been diluted and replaced with more generic powers, which is a good step.

 THE CONCLUSION

While the new framework rightly affords RBI greater flexibility in resolving stressed banks on a case-to-case basis, the roadmap it offers for a bank’s exit from PCA appears to run counter to this. While such exit was earlier left to RBI’s discretion, the new regime requires a bank to stay above-mandated capital, NPA, and leverage thresholds for four consecutive quarters to apply for the exit. This may be a rather high bar. A troubled bank can mend its capital adequacy or leverage quickly with an infusion from its promoter. But resolving legacy NPAs often requires it to pursue business growth or margin-improving strategies that may not be possible while PCA ties its hands.




Today’s Important Articles for Pub Ad (05-01-2022)

  1. The hint of a ‘one nation one NGO’ regime READ MORE
  2. FCRA Denial to Missionaries of Charity Holds Lessons on Federalism READ MORE
  3. Poshan Abhiyaan: It’s time for national self-reflection READ MORE
  4. Institutionalising the bane of manual scavenging must end READ MORE



Today’s Important Articles for Sociology (05-01-2022)

  1. Poshan Abhiyaan: It’s time for national self-reflection READ MORE
  2. Institutionalising the bane of manual scavenging must end READ MORE
  3. Urbanisation of rituals: Durga Puja won UNESCO recognition because it moved from rural to urban Bengal READ MORE



Ethics Through Current Developments (05-01-2022)

  1. Saint Kuriakose Elias Chavara: a true karma yogi READ MORE
  2. Right time to Start Preparing for Life’s Exams READ MORE
  3. Cultivate Positive Thoughts in the Mind READ MORE



Today’s Important Articles for Geography (05-01-2022)

  1. A partnership to carry India into net-zero future READ MORE  
  2. Like Japan and Singapore, why doesn’t India burn plastic waste to produce energy? READ MORE
  3. Significant increase in rainfall in north, central Africa: Study READ MORE
  4. A Green Route READ MORE




WSDP Bulletin (05-01-2022)

(Newspapers, PIB and other important sources)

Prelim and Main

  1. Home Ministry push to Intelligence Bureau’s counter-terrorism grid READ MORE
  2. Extending the GST compensation READ MORE
  3. ICMR approves India-made kit to detect Omicron READ MORE
  4. India’s old dams: Gandhi Sagar in MP needs immediate repair, says CAG report India to acquire lithium, cobalt mines in South America, Australia READ MORE
  5. Moody’s assigns Baa2 rating to RIL’s $5 billion bonds issue READ MORE

Main Exam   

GS Paper- 1

  1. Urbanisation of rituals: Durga Puja won UNESCO recognition because it moved from rural to urban Bengal READ MORE

GS Paper- 1

POLITY AND GOVERNANCE

  1. The hint of a ‘one nation one NGO’ regime READ MORE
  2. FCRA Denial to Missionaries of Charity Holds Lessons on Federalism READ MORE

SOCIAL JUSTICE

  1. Poshan Abhiyaan: It’s time for national self-reflection READ MORE
  2. Institutionalising the bane of manual scavenging must end READ MORE

INTERNATIONAL ISSUES

  1. The bottom line in Blinken’s foray into Southeast Asia READ MORE
  2. The TRIPS waiver is needed more than ever READ MORE
  3. Delhi-Dhaka ties have a long way to go READ MORE

GS Paper- 1

ECONOMIC DEVELOPMENT

  1. The eligible denied benefits READ MORE
  2. Agriculture needs a separate budget READ MORE
  3. The uneven nature of India’s export growth READ MORE
  4. The limits of MSP: Farm sector needs intervention at multiple levels READ MORE

 ENVIRONMENT AND ECOLOGY

  1. A partnership to carry India into net-zero future READ MORE  
  2. Like Japan and Singapore, why doesn’t India burn plastic waste to produce energy? READ MORE
  3. Significant increase in rainfall in north, central Africa: Study READ MORE
  4. A Green Route READ MORE

GS Paper- 1

ETHICS EXAMPLES AND CASE STUDY

  1. Saint Kuriakose Elias Chavara: a true karma yogi READ MORE
  2. Right time to Start Preparing for Life’s Exams READ MORE
  3. Cultivate Positive Thoughts in the Mind READ MORE

Questions for the MAIN exam

  1. ‘To achieve net-zero target by 2070, India needs and active cooperation from the private sector’. Discuss how the private sector can help India to achieve net-zero?
  2. ‘India’s deficit in nutrition care can be bridged with systemic reforms for better maternal and child care’. Examine.
  3. ‘Agriculture is too diverse a subject for it to be compressed into a sub-section of the regular budgets of the Centre and States’. In light of the statement, whether do you think there should be separate budget for agriculture?

QUOTATIONS AND CAPTIONS

  • The increasing level of surveillance type of data sought has resulted in many organisations losing people on their governance structure and resulting in problems in funding.
  • The depth and the variety of the work of a civil society organisation cannot be captured in the annual returns filed on the FCRA portal, where there is no scope for explaining something beyond the binary.
  • With active cooperation from the private sector, India will be able to help build a more sustainable world.
  • India’s journey on the low-carbon pathway towards net-zero requires the active participation of all stakeholders. Sustainable lifestyles and climate justice are at the core of this journey.
  • With cooperation from the private sector, India will be able to responsibly use its fair share of the global carbon space and contribute to reaching the global net-zero goal to build a more environmentally sustainable planet.
  • India’s deficit in nutrition care can be bridged with systemic reforms for better maternal and child care.
  • Agriculture is too diverse a subject for it to be compressed into a sub-section of the regular budgets of the Centre and States.
  • The government will need a multi-pronged approach to address concerns in the farm sector. Guaranteed prices would only increase complications.
  • To succeed with necessary and rapid technology transfer and development, increased global cooperation is needed. No single country can complete the entire value chain for hydrogen and thus there is a need for cooperation among countries to secure markets and make green energy available at the earliest opportunity.

50-WORD TALK

  • A parliamentary panel with 30 men and one woman examining marriage age bill is inexcusable. Women parliamentarians are right in questioning why men should decide women’s rights. Their demand for better participation in scrutinising it is justified. RS chairman must look into skewed gender representation in standing committee on women.
  • China’s new bridge across the Pangong lake will give the PLA improved logistics in a region where India has enjoyed tactical advantages. This isn’t a game-changer, but it shows China is anticipating a long military face-off. The crisis on the LAC doesn’t seem likely to melt away any time soon.
  • The announcement of weekend curfew in Delhi is a knee-jerk, unimaginative reaction to the Covid surge. Much like night-time restrictions. The antidote to Covid is well established and simple – vaccines and masks. Governments should stop window dressing and creating alarm but should tell citizens how they are improving hospital infrastructure.

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 also 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.



DAILY CURRENT AFFAIRS (JANUARY 05, 2022)

THE GEOGRAPHY

1. INDIA TO ACQUIRE LITHIUM, COBALT MINES IN SOUTH AMERICA, AUSTRALIA

THE CONTEXT: The Mines Ministry has created a joint venture (JV) company — Khanij Bidesh India (KABIL) — with participating interest from National Aluminium Company (NALCO), Hindustan Copper (HCL) and Mineral Exploration Corporation (MECL).

THE EXPLANATION:

  • India is working on acquiring mines of strategic minerals such as lithium and cobalt in producing countries like Australia, Argentina, Bolivia and Chile. The government’s move is aimed at ensuring a committed supply of raw materials especially for renewable energy (RE) and e-mobility sectors.
  • To ensure India’s mineral security as well as to attain self-reliance in the area of critical and strategic minerals, KABIL is mandated to identify and acquire overseas mineral assets of critical and strategic nature such as Lithium, Cobalt etc.
  • This initiative, aimed at giving further fillip to Atmanirbhar Bharat, will cater to the requirements of crucial sectors such as e-mobility, renewable energy, medicine, aerospace, aviation among others.
  • In the country, the Atomic Minerals Directorate (AMD) conducted preliminary surveys on the surface and limited subsurface exploration, which revealed the presence of Lithium resources of 1,600 tonnes (inferred category) in the pegmatites of Marlagalla–Allapatna area in Mandya district of Karnataka.
  • Presently, there is no production of cobalt in the country from primary cobalt resources. The demand for cobalt is usually met through imports. The refining capacity of cobalt in India is estimated at about 2,060 tonnes per year.

 

Importance of Cobalt and Lithium:

  • Cobalt is key for boosting energy density and battery life because it keeps the layered structure stable as lithium ions get reversibly stuffed into and extracted from the cathode during battery operation.
  • Lithium has the lowest density of all metals. It reacts vigorously with water.

THE INDIAN ECONOMY

2. NBBL UNVEILS UPMS TO SIMPLIFY BILL PAYMENTS

THE CONTEXT: NPCI Bharat BillPay (NBBL), the wholly-owned subsidiary of National Payments Corporation of India (NPCI), has introduced the ‘Unified Presentment Management System’ (UPMS) to simplify bill payments in the country.

THE EXPLANATION:

  • According to NPCI, the UPMS provides a great opportunity for the service providers and fintechs of the digital payments ecosystem to run through this innovative feature in the sandbox environment of BBPS. Several Operating Units (OUs) and Technical Service Providers (TSPs) are actively coming forward in the rapid deployment of UPMS.

UNIFIED PRESENTMENT MANAGEMENT SYSTEM (UPMS)

  • UPMS will help the customers to set up standing instructions, for any mode and from any channel on their recurring bill payments.
  • Bills will be fetched automatically from the billers and will be presented to customers for their action, in terms of bill payment and auto-debit management.
  • With the launch of UPMS, the motive is to enable all the Bharat BillPay Operating Units (BBPOU) to extend the facility for their customers or corporate clients with minimal effort by means of centralized infrastructure as well as application support provided by Bharat BillPay Central Unit (BBPCU).
  • UPMS will also help in democratizing recurring bill payments and making them convenient for customers.
  • It provides a great opportunity for fintech and service providers of the digital payments ecosystem for running through this innovative feature in the sandbox environment of BBPS.
  • UPMS will enable a common repository of bills. It will ensure that the entire bill payment ecosystem gets updated in real-time.

DEPLOYMENT OF UPMS

  • Technical Service Providers (TSPs) and Several Operating Units (OUs) are actively helping in the rapid deployment of UPMS. Ecosystem partners like IDFC FIRST Bank and Axis Bank are amongst Private Banks and PhonePe are actively engaged in taking UPMS services for their Billers and Consumers.

SIGNIFICANCE OF UPMS

  • UPMS service assumes criticality with undergoing category expansion, as a majority of the transactions in new categories under BBPS such as mutual fund, subscriptions, insurance, school fee payments, presently happen through presentment and standing instructions.

ABOUT NPCI

  • The National Payments Corporation of India (NPCI) is an initiative taken by the Reserve Bank of India (RBI) and the Indian Bank’s Association (IBA) to operate the retail payments and settlement systems in India. This organization was founded in the year 2008 under the Payment and Settlement Systems Act, 2007. NPCI has been incorporated as a ‘not for profit company under section 8 of the Companies Act 2013.

PRODUCTS OF NPCI

  • RuPay
  • National Common Mobility Card
  • Bharat Interface for Money (BHIM)
  • Unified Payments Interface (UPI)
  • Bharat Bill Payment System

 

THE ENVIRONMENT ECOLOGY AND CLIMATE CHANGE

3. THE LARGEST WINTERING GROUND OF THE INDIAN SUBCONTINENT

THE CONTEXT: Chilika Lake, the largest brackish water lake and wintering ground of the birds in the Indian subcontinent saw a million birds, including uncommon Mongolian gull, visiting the waterbody.

THE EXPLANATION:

  • Chilika lake hosts birds migrating from thousands of miles away from the Caspian Sea, Lake Baikal, Aral Sea, remote parts of Russia, Kirghiz steppes of Mongolia, Central and Southeast Asia, Ladakh and the Himalayas. The winged guests find the vast mud-field and abundant fish stock here suitable to congregate.
  • As per the waterbird status survey-2022 conducted in the Chilika, a total of 10,74,173 birds of the 107 waterbird species and 37,953 individuals of 76 wetland-dependent species were counted at the entire lagoon. In the year 2021, the count in Chilika was over 12 lakh. Bird census members reported rare sightings of the uncommon Mongolian gull.
  • The census was undertaken jointly by the Odisha State Wildlife Organisation, the Chilika Development Authority (CDA) and the Bombay Natural History Society. The Chilika Lagoon was divided strategically into 21 segments for the census.
  • A total of 3,58,889 birds (97 species) were counted in the Nalabana Bird Sanctuary inside Chilika – a decrease of 65,899 from the year 2021. The decrease is attributed to high water levels and the presence of water in cultivated fields in adjoining areas.
  • “Among the three pintail species of ducks, the northern pintail (1,72,285), gadwall (1,53,985), Eurasian wigeon (1,50,843) accounted for over one lakh in this year’s count,” says the report. However, the population of gadwall and Eurasian wigeon was less than that of the year 2021.
  • There was a marginal decrease in the number of species such as the northern shoveler, tufted duck and red-crested pochard. An increase in the population of northern pintail, common coot and common pochard was noticed.
  • “The increase in numbers for the greater flamingo at Nalabana mudflat indicates that the restoration at Nalabana is effective. This year’s greater flamingo count was the highest in the last one decade. It is largely due to appropriate management of mudflats”. Overall, the local resident species such as purple swamp-hen, purple heron, Indian moorhen, and jacanas were found in higher numbers.

VALUE ADDITION:

SIGNIFICANCE OF CHILIKA LAKE:

  • After the New Caledonian barrier reef, it is Asia’s largest and world’s second-largest brackish water lagoon.
  • A lagoon is a shallow body of water that is isolated from a larger body of water by a narrow landform like reefs, barrier islands, barrier peninsulas, or isthmuses.
  • It has been designated as a Ramsar Site and a possible UNESCO World Heritage Site.
  • Chilika Lake was declared as the first Ramsar Convention wetland of international importance in India in 1981.
  • Satapada Island, Irrawaddy dolphins are frequently seen.
  • In 1987, Nalabana Island (Forest of Reeds), a 16-square-kilometer island in the lagoon, was designated as a bird sanctuary.
  • It covers an area of nearly 1,100 km2 and is located at the mouth of the Daya River, which flows into the Bay of Bengal.

ABOUT BNHS:

  • The Bombay Natural History Society (BNHS), founded on 15 September 1883, is one of the largest non-governmental organisations in India engaged in conservation and biodiversity research
  • BNHS is the partner of Birdlife International in India, it has been designated “Scientific and Industrial Research Organization” by the Department of Science and Technology.

4. INCREASE IN RAINFALL IN NORTH AND CENTRAL AFRICA: STUDY

THE CONTEXT: Rainfall trend analysis of Africa published in the journal Remote Sensing showed a significant increase in annual rainfall at the national level from 1983 to 2020 in almost all regions of the continent, except those in the south and the east.

THE EXPLANATION:

  • Country-level annual rainfall variability indicated that after 2000, the annual rainfall in most of the countries in the Central African region exceeded 1,700 mm. However, Algeria, Tunisia, Mali, Niger and Western Sahara in the Northern and Eastern African regions showed an apparent increase in annual average rainfall from 1983 to 2020.
  • The highest annual rainfall trends were recorded in Rwanda (11.97 millimeters per year), the Gulf of Guinea (river basin 8.71 mm/year), the tropical rainforest climate zone (8.21 mm/year) and the Central African region (6.84 mm/year).
  • The lowest annual rainfall trends were recorded in Mozambique (−0.437 mm/year), the subtropical northern desert (0.80 mm/year), the west coast river basin of South Africa (−0.360 mm/year) and the Northern Africa region (1.07 mm/year).
  • In the tropical northern desert climates, tropical northern peninsulas and tropical grasslands, there was a significant increase in rainfall over the entire timeframe of the month, season and year.
  • Climate variability directly impacts agriculture and poses a significant threat to food security and livelihoods, especially in poor or developing countries.
  • A slight variation in climatic conditions can subject a large number of the rural poor to increased poverty and misery as their ability to earn their livelihoods is compromised.
  • Adverse impacts of climate variability and change are making it difficult for the poor rural populations to continue engaging in meaningful agriculture and obtain secure livelihoods. This is because agricultural productivity is highly dependent on rainfall.

BACKGROUND:

  • Africa receives rainfall over two major monsoons — the west African monsoon and East African monsoon. The Intergovernmental Panel on Climate Change Atlas introduced four other rainfall seasons, March-April-May, June-July-August, September-October-November, and December-January-February to study and compare the climate variability across geographies.
  • Rainfall in Africa is sensitive to large-scale climatic variables such as El Niño-Southern Oscillation, La Niña-Southern Oscillation, Indian Ocean Depot and Intertropical Convergence Zone. 

THE INTERNAL SECURITY AFFAIRS

5. INTELLIGENCE BUREAU’S COUNTER-TERRORISM GRID: MAC

THE CONTEXT: The Centre wants the States to share more intelligence inputs through the Multi-Agency Centre (MAC), a common counter-terrorism grid under the Intelligence Bureau (IB) that was made operational in 2001 post-Kargil war.

THE EXPLANATION:

  • Union Home Ministry asked the Director’s General of Police to share adequate information and actionable inputs through the MAC.
  • As many as 28 organizations, including the Research and Analysis Wing (R&AW), armed forces and State police are part of the platform and various security agencies share real-time intelligence inputs on the MAC. Plans are afoot for more than a decade to link the system up to the district level.
  • According to the Home Ministry, though the system existed to share information among various agencies, it was not being implemented effectively. “States are often reluctant to share information on the platform.
  • There are around 400 secured sites connected with the MAC headquarters. The reluctance on the part of the States was also stated in a parliamentary standing committee report in 2020.
  • The committee had observed that the contribution made over the years by State agencies is lower in the overall inputs that had been received at the MAC. The IB had informed the committee that all organizations that are in any way involved in the counter-terrorism effort is a member of this center. All the States have a subsidiary multi-agency center (SMAC) located in all State capitals. The IB informed the panel that the Ministry of Home Affairs (MHA), along with the IB, was contemplating extending the connectivity of SMAC to the districts.

WHAT IS THE NEED?

According to the Home Ministry, “It is highlighting the continued threats of terrorism and global terror groups, terror financing, narco-terrorism, organized crime-terror nexus, illicit use of cyberspace, movement of foreign terrorist fighters, it also stressed upon the need for better coordination and synergy among the central and state security agencies in countering the ever-changing counter-terrorism and security challenges.

ABOUT THE CENTRE

  • MAC was formed in December 2001 following the Kargil intrusion and the subsequent overhaul of the Indian national security apparatus suggested by the Kargil Review Committee report and GoM report.
  • Accordingly, the Intelligence Bureau (IB) was authorized to create a multi-agency center (MAC) in New Delhi.
  • Now functioning 24/7 as the nodal body for sharing intelligence inputs, MAC coordinates with representatives from numerous agencies, different ministries, both central and state.
  • As noted in a 2016 parliamentary report the major contributors of intelligence inputs to the MAC were the Defence Intelligence Agency (DIA) and the Research and Analysis Wing (R&AW).

THE PRELIMS PRACTICE QUESTION 

Q1. Which one of the following ancient towns is well-known for its elaborate system of water harvesting and management by building a series of dams and channelizing water into connected reservoirs?

  1. Dholavira
  2. Kalibangan
  3. Rakhigarhi
  4. Ropar

ANSWER FOR 04TH JANUARY 2022

ANSWER: C




Day-119 | Daily MCQs | UPSC Prelims | CURRENT DEVELOPMENTS

[WpProQuiz 129]




SHOULD AFSPA BE REPEALED OR NOT?

THE CONTEXT:  After the killing of 13 civilians in Nagaland, many activists and states government of the North-East is demanding the repealing of the Armed Forces Special Powers Act (AFSPA) from the state. There have been different views and opinions over it. This article discusses various issues around Armed Forces Special Protection Act (AFSPA).

WHAT HAPPENED IN NAGALAND?

  • In Nagaland, the Indian Army’s 21 Para regiment responded to an insurgent group’s intel. The plan was to ambush the group, but Army shoot 6 civilians by mistake. When they were returning home in a vehicle from a coal mine, the incident took place.
  • After killing these people, the local resident had gathered at the scene, and a clash erupted. Seven more civilians and one soldier were killed in the scuffle. In total, 15 people (14 civilians and 1 soldier) lost their lives (so far).
  • The regiment is not often based in Nagaland and reports say they were brought in from Assam for the special op. The 21 paras are also an elite special forces unit, signifying that the operation was cleared at a high level.

WHY ARE PEOPLE DEMANDING FOR THE REPEALING AFSPA LAW?

  • Armed Forces Special Powers Act (AFSPA) is often referred to as a draconian colonial-era law.
  • In the North-East, it is in place in ‘disturbed’ parts of Assam, Nagaland, Manipur (except Imphal), Arunachal Pradesh and Meghalaya. It gives the Army sweeping powers to arrest, shoot or kill anyone based on suspicion. They don’t require a warrant to do so. And Army personnel involved are seldom charged with any crime in such cases.

ALL YOU NEED TO KNOW ABOUT AFSPA

THE ORIGIN:

  • The British promulgated the Armed Forces Special Powers Ordinance of 1942 on 15 August 1942 to suppress the Quit India Movement. Modeled on these lines, four ordinances were invoked by the central government to deal with the internal security situation in the country in 1947 which emerged due to the Partition of India.
  • Article 355 of the Constitution of India confers power to the Central Government to protect every state from internal disturbance.
  • In 1954, the Naga began an uprising for independence. At this point, Nehru’s government passed the “Armed Forces Special Powers Act” (1958) in the parliament.

FEATURES OF AFSPA:

  • Passed in 1958 for North East and in 1990 for Jammu and Kashmir, the law gives armed forces necessary powers to control disturbed areas that are designated by the government.
  • As of now, this act is in force in Jammu and Kashmir, Assam, Nagaland, and parts of Arunachal Pradesh and Manipur.

DISTURBED AREA:

  • A disturbed area is declared by notification under Section 3 of the AFSPA. An area can be disturbed due to differences or disputes between members of different religious, racial, language, or regional groups or castes or communities.
  • The Central Government or the Governor of the State or administrator of the Union Territory can declare the whole or part of the State or Union Territory as a disturbed area. A suitable notification would have to be made in the Official Gazette.

WHAT ARE THE SPECIAL POWERS GIVEN TO ARMY OFFICIALS?:

  • Under Section 4 of the AFSPA, an authorized officer in a disturbed area enjoys certain powers. The authorized officer has the power to open fire at any individual even if it results in death if the individual violates laws that prohibit (a) the assembly of five or more persons; or (b) the carrying of weapons. However, the officer has to give a warning before opening the fire.
  • The authorized officer has also been given the power to (a) arrest without a warrant; and (b) seize and search without any warrant any premise to make an arrest or recovery of hostages, arms, and ammunition.
  • Individuals who have been taken into custody have to be handed over to the nearest police station as soon as possible.
  • The prosecution of an authorized officer requires prior permission of the Central government.

AFSPA IN DIFFERENT STATES

SUCCESS STORIES

In 2015 Tripura repealed AFSPA. Under chief minister Manik Sarkar, the Tripura administration did a remarkable job of getting on top of insurgency. It was a combination predominantly of political will and the use of security forces to bring peace. Mizoram is another example. There, the greatest success lay in the central leadership under Rajiv Gandhi offering to make Laldenga the chief minister. The involvement of insurgent leaders in electoral politics can be an effective way to deal with the insurgency.

  • At present, it is in force in the States of Assam, Nagaland, Manipur {excluding Imphal Municipal Council Area}, Changlang, Longding, and Tirap districts of Arunachal Pradesh, and areas falling within the jurisdiction of the eight police stations of districts in Arunachal Pradesh bordering the State of Assam.
  • Assam was the first state where AFSPA was enforced. The whole State except the Guwahati Municipal Area is under AFSPA.
  • In 2018, The AFSPA has been removed completely from Meghalaya and partly in Arunachal Pradesh.
  • Nagaland is under the purview of AFSPA even before its formation in 1961.
  • The AFSPA is applicable in the whole state of Manipur except the Imphal Municipal Area.
  • Punjab state was declared disturbed and subject to the Armed Forces (Punjab and Chandigarh) Special Powers Act from 1983 to 1997.
  • The AFSPA is applicable in the whole state of Jammu and Kashmir. It was applied under the Armed Forces (Jammu and Kashmir) Special Powers Act, 1990.
  • Mizoram was declared a disturbed area in January 1967. Following the signing of a peace accord in June 1986, the AFSPA is no longer applied in Mizoram.
  • In 2015, the Tripura government had lifted AFSPA from the state after 18 years. The reason behind the removal of AFSPA in Tripura was that there has been a significant decline in militancy.

JUDICIAL PRONOUNCEMENTS ON AFSPA

NPMHR VS UOI:

  • The Supreme Court has upheld the constitutionality of AFSPA in a 1998 judgement-Naga People’s Movement of Human Rights v. Union of India.
  • In this judgment, the SC arrived at certain conclusions including
  1. A suo-motto declaration can be made by the Central government, however, the state government should be consulted by the central government before making the declaration.
  2. AFSPA does not confer arbitrary powers to declare an area as a ‘disturbed area’.
  3. The declaration has to be for a limited duration and there should be a periodic review of the declaration 6 months have expired.
  4. While exercising the powers conferred upon him by AFSPA, the authorized officer should use the minimal force necessary for effective action.

The authorized officer should strictly follow the army’s ‘Dos and Don’ts’ issues. Few ‘Dos and Don’ts’ are as follows :

DO’S

  • Act only in the area declared ‘Disturbed Area’ under Section 3 of the Act.
  • Arrest only those who have committed the cognizable offense.
  • Hand over the arrested persons to the nearest police station with the least possible delay.
  • Ensure medical relief to any person injured during the encounter.
  • Answer questions of the court politely and with dignity.
  • Maintain a detailed record of the entire operation correctly and explicitly.

DONT’S

  • Do not keep a person under custody for any period longer than the bare necessity for handing over to the nearest police station.
  • Do not use any force after having arrested a person except when he is trying to escape.
  • Do not use third-degree methods to extract information or to extract a confession or other involvement in unlawful activities.
  • After the arrest of a person by the member of the armed forces, he shall not be interrogated by the member of the armed force.
  • Do not release the person directly after apprehending on your own. If any person is to be released, he must be released through civil authorities.
  • Do not tamper with official records.

EEVFAM VS UOI:

In 2016, in a landmark ruling– Extra Judicial Execution Victim Families Association (EEVFAM) vs Union Of India, the Supreme Court of India ended the immunity of the armed forces from prosecution under AFSPA.

STAND TAKEN BY GOVERNMENT AND MILITARY

GOVERNMENT: In 2018, the government informed parliament that the government has taken no decision to repeal the controversial AFSPA as recommended by the Jeevan Reddy Committee Report.

MILITARY: The serving military establishment has fiercely stalled AFSPA’s repeal, as viciously as it would fight a war against an enemy. Senior officers even launched a Facebook campaign to “save AFSPA.” Without the AFSPA, the Army will not be able to stage counter-insurgency operations. AFSPA free enclaves will be magnets for insurgents.

REPEAL OR NOT?

REPEAL:

  • It has been dubbed as a license to kill. Human Rights Activists object to sections 4 and 6 of the act.
  • Critics say the act has failed to contain terrorism and restore normalcy in disturbed areas, as the number of armed groups has gone up after the act was established. Many even hold it responsible for the spiraling violence in areas it is in force.
  • The decision of the government to declare a particular area ‘disturbed’ cannot be challenged in a court of law. Hence, several cases of human rights violations go unnoticed.
  • AFSPA is inconsistent with the structure and spirit of our democracy and brings down India’s image at the global high table at a time when it is looking to be a permanent member of the U.N. Security Council.
  • The primary focus of a counter-insurgency operation should be WHAM (winning hearts and minds), and not liquidation or elimination. AFSPA lets troops get away with murder. Its frequent use encourages a culture of impunity that is counterproductive to WHAM; it increases the disconnection between the forces and the local population.
  • AFSPA leads to a sharp drop in professionalism and dehumanizes and corrupts the Army and paramilitary forces.
  • According to a few retired senior police officers involved in the thick of counter-insurgency operations, AFSPA is like having a shield for security apparatus when it is no longer required. After a certain amount of time, there is no correlation to controlling violence with AFSPA.

NOT TO REPEAL: 

  • Most of the arguments against AFSPA are idealistic i.e. the arguments do not include the concerns of the army. It selectively excludes the sensitivity of the issue.
  • Removal of the act will lead to demoralizing the armed forces and see militants motivating locals to file lawsuits against the army.
  • The absence of such a legal statute would adversely affect organizational flexibility and the utilization of the security capacity of the state. This would render the security forces incapable of fulfilling their assigned role.
  • Extraordinary situations require special handling. As the army does not have any police powers under the Constitution, it is in the national interest to give it special powers for operational purposes when it is called upon to undertake counter-insurgency operations in disturbed areas.
  • The first principle of security is to accept reality as it is and not what one wants it to be. Thus, Army has taken a pragmatic stand and advocated that AFSPA as the sine qua non for counter-insurgency operation in disturbed areas.
  • Jammu & Kashmir and the North-East region converge both India’s internal and external security. Thus given the strategic importance of these regions and the huge international porous border, AFSPA becomes the necessary tool in the hands of the Army. It is an evil but necessary one.

PROTECTIVE MEASURES PROVIDED:

  • Section 5 of the Act already mandates that arrested civilians must be handed over to the nearest police station, along with a report of ‘circumstances occasioning the arrest.’
  • Army HQ has also laid down that all suspects who are arrested will be handed over to civilian authorities within 24 hours.
  • Regarding firing on civilians, the army’s instructions are that fire may be opened in towns and villages only in self-defense and that too when the source of terrorist or militant fire can be identified.

RECOMMENDATIONS MADE BY EXPERTS

JEEVAN REDDY COMMITTEE: The committee found that the powers conferred under the Act are not absolute; it nevertheless concluded that the Act should be repealed. it recommended that essential provisions of the Act be inserted into the Unlawful Activities (Prevention) Act of 1967.

The key recommendations of the Reddy Committee were:

  • If the situation warrants, the state government may request the Union government to deploy the army for not more than six months.
  • The Union government may also deploy the armed forces without a request from the state. However, the situation should be reviewed after six months and Parliament’s approval should be sought for extending the deployment.
  • Non-commissioned officers may continue to have the power to fire.
  • The Union government should set up an independent grievances cell in each district where the Act is in force.

JUSTICE VERMA REPORT: Sexual violence against women by members of the armed forces or uniformed personnel must be brought under the purview of ordinary criminal law. There is an imminent need to review the continuance of AFSPA and AFSPA-like legal protocols in internal conflict areas as soon as possible.

THE SECOND ARC: It recommended that AFSPA should be repealed and its essential provisions should be incorporated in the UAPA.

SANTOSH HEGDE COMMISSION ON MANIPUR ENCOUNTER DEATHS: It suggested fixing a time frame of three months for the central government to decide whether to prosecute security personnel engaged in extrajudicial killings or unruly behavior in insurgency-hit regions. The commission noted that AFSPA was an impediment to achieving peace in regions such as Jammu and Kashmir and the North East. The commission also said the law needs to be reviewed every six months to see whether its implementation is necessary for states where it is being enforced. Section 6 of the act said that it is not that no action can be taken at all. Action can be taken but with prior sanction of the Central Government.

SARKARIA COMMISSION: It suggested the states develop their system of maintaining and dealing with public order.

THE NATIONAL POLICE COMMISSION: It recommends deploying the Central Reserve Police force for day-to-day policing instead of engaging the army and paramilitary forces.

UNITED NATIONS VIEW: In 2012, the UN asked India to revoke AFSPA saying it had no place in Indian democracy. Some UN treaty bodies have pronounced it to be in violation of International Law.

NON-GOVERNMENTAL ORGANIZATIONS’ ANALYSIS: Many human rights organizations such as Amnesty International and the Human Rights Watch (HRW) have condemned human rights abuses under AFPSA. According to Amnesty International India, AFPSA legitimizes impunity for sexual violence among women and opens up the floodgates to extrajudicial killings in the declared disturbed areas.

THE WAY FORWARD: HOW CAN COUNTER-INSURGENCY OPERATIONS BE IMPROVED IN INDIA?

BETTER WORKING OF THE AFSPA:

Some viable suggestions for better working of the AFSPA could be:

  • Section 4(a) should be repealed or amended as it is against be the right to live. It also violates the principles upheld by criminal justice: the assumption of innocence until one is proven to be the offender. It is also inconsistent with Article 246 and the 7th Schedule that places ‘Law and order’ under the State’s list. Therefore, it is Ultra vires.
  • Section 5 of the Act should be consistent with Article 22 of the constitution under which it is compulsory to present an arrested person in front of the Magistrate within 24 hours.
  • The scope of Section 6 should be increased. The sanction of the Central Government shouldn’t be waited for; maybe a special committee could be formed to begin inquiries straight away without any delays or prejudices against anyone.

SMARTER APPROACH: Repeal of AFSPA should be seen as the first step to create a smarter and more effective counter-insurgency capability that draws more on information technology, psychological operations, political persuasion, and conflict resolution.

COUNTER-INSURGENCY DOCTRINE: The government will have to evolve a counter-insurgency doctrine which will not only seek to keep the Army out of the “internal security” matrix to the extent possible and deploy other specifically trained and highly skilled forces that observe the principle of “minimum force” and demonstrate a respect for human rights and accountability in keeping with the letter and spirit of the Constitution.

TRANSPARENCY: Innovative measures must overcome the practical problems encountered in ensuring transparency in counter-insurgency operations. The army must be completely transparent in investigating violations of human rights violations and bringing the violators to speedy justice. Exemplary punishment must be meted out where the charges are proved.

GENDER-SENSITIVE TRAINING: The National Crime Records Bureau (NCRB) has been reporting not only high rates of crimes against women but disturbingly low rates of conviction. A study by the Centre for Social Research, New Delhi, has asked for greater emphasis on gender awareness and sensitivity in police training. The National Police Academy was advised to formulate a gender policy for police training. But unfortunately, the document titled ‘Integrated Police Training’ (2012) prepared by NPA is silent on the vital issue of sensitizing IPS officers to domestic violence against women, violence against women in public places, and so on.

THE CONCLUSION: India’s Act East policy will gain traction only if there is a committed road map for withdrawing AFSPA. The task of the army is to combat external aggression, not policing and internal security within the country. It is high time that both the Centre and state governments actively worked towards the withdrawal of AFSPA without narrow political gains in mind.




DAILY CURRENT AFFAIRS (JANUARY 04, 2022)

THE INTERNATIONAL RELATIONS

1. CHINA CONSTRUCTING BRIDGE ON PANGONG LAKE IN LADAKH

THE CONTEXT: China is constructing a bridge in eastern Ladakh connecting the north and south banks of Pangong Tso (lake), which will significantly bring down the time for the People’s Liberation Army (PLA) to move troops and equipment between the two sectors.

THE EXPLANATION:

  • “On the north bank, there is a PLA garrison at Karnak fort and on the south bank at Moldo, and the distance between the two is around 200 km. The new bridge between the closest points on two banks, which is around 500 m, will bring down the movement time between the two sectors from around 12 hours to three or four hours,” one of the sources said. The bridge is located around 25 km ahead of the Line of Actual Control (LAC), the source stated.

  • The construction had been going on for some time and it would reduce the overall distance by 140-150 km, the other source said.
  • Earlier, the PLA had to take a roundabout crossing Rudok county. But now the bridge would provide a direct axis, the first source said, adding that the biggest advantage with the new bridge was the inter-sector movement as the time would come down significantly. “They need to build piers for the bridge, which has been underway,” the source stated.
  • The bridge is in China’s territory and the Indian Army would have to now factor this in its operational plans, the source noted. India holds one-third of the 135-km-long boomerang-shaped lake located at an altitude of over 14,000 feet. The lake, a glacial melt, has mountain spurs of the Chang Chenmo range jutting down, referred to as fingers.
  • The north bank, which has much higher differences in perception of the LAC than the south bank, was the initial site of the clashes in early May 2020, while tensions on the south bank flared up later in August. The Indian Army got a tactical advantage over the PLA on the south bank in August-end by occupying several peaks lying vacant since 1962, gaining a dominating view of the Moldo area. On the north bank too, the Indian troops set up posts facing PLA positions on the ridge-lines of Finger 4.

About Pangong Lake

  • Pangong Tso is popular for its changing colour ability. Its colour changes from shades of blue to green to red.
  • It is one of the highest altitude lakes in the world that is filled with saline water. It is located at an altitude of 4350 m above sea level.
  • It is located in disputed territory. Approximately 60 percent of the lake, in terms of length, lies in China, and the eastern end of Pangong Tso lies in Tibet.

THE INDIAN ECONOMY

2. RBI APPROVES SMALL OFFLINE E-PAYMENTS

THE CONTEXT: The Reserve Bank of India (RBI) has come out with the framework for facilitating small-value digital payments in offline mode, a move that would promote digital payments in semi-urban and rural areas.

THE EXPLANATION:

  • The framework incorporates feedback received from the pilot experiments on offline transactions conducted in different parts of the country between September 2020 and June 2021.
  • Offline digital payment does not require Internet or telecom connectivity.
  • “Under this new framework, such payments can be carried out face-to-face (proximity mode) using any channel or instrument like cards, wallets and mobile devices,” the RBI said.
  • “Such transactions would not require an Additional Factor of Authentication. Since the transactions are offline, alerts (by way of SMS and/or e-mail) will be received by the customer after a time lag,” it added.
  • There is a limit of ₹200 per transaction and an overall limit of ₹2,000 until the balance in the account is replenished. The RBI said the framework took effect ‘immediately’.

3. INDIA’S INCOME INEQUALITY FELL POST-2020 LOCKDOWN AS RICH GOT POORER, US ECONOMIC STUDY SHOWS

THE CONTEXT: Millions of Indians were pushed into poverty during the Covid-19 pandemic, but the period post the initial strict lockdown also saw a decline in income inequality in the country.

THE EXPLANATION:

  • The paper, titled ‘Inequality in India declined during Covid’, published by the National Bureau of Economic Research (NBER) said the pandemic in India was associated with a decline in inequality in two senses.
  • Indians from higher income groups had larger relative reductions in income than the poor.
  • Consumption inequality also declined, albeit only marginally so.
  • The researchers’ main source of data was the Consumer Pyramids Household Survey (CPHS), conducted by the Centre for Monitoring Indian Economy, which comprises a sample of 1.97 lakh households, with monthly information on their finances available from January 2015 to July 2021.
  • The study’s most remarkable finding that income inequalities have declined in the months since the lockdown was lifted seems to stand in contrast with what other recent studies have said about income inequalities in India.
  • According to the World Inequality Report 2022, the top 10 percent of Indians had about 96 times more income on average than the bottom 50 percent. Similarly, Oxfam International claimed that in 2021 India’s top 1 percent owned about 77 percent of the country’s wealth.
  • The NBER paper, however, qualifies its findings by noting that Gini coefficients — a statistical measure of the amount of inequality that exists in a population.
  • The decline in inequality actually began in 2018, a trend that was “interrupted” by the lockdown, but which then resumed.

HOW DID THE GAP SHORTEN?

  • Income inequality is basically the average gap between the incomes of the rich and the poor. This ‘inequality’ falls if the incomes of the rich fall, or if the incomes of the poor rise.
  • The study shows that the reduction in income inequality in India could be attributed to incomes of upper-income households falling during the pandemic.
  • According to the study, income poverty in urban areas jumped from 40 percent before the pandemic to nearly 70 percent during the lockdowns. Poverty was defined, in this case, by the World Bank’s $1.9 a day (or less) benchmark. After the lockdown, poverty fell and income and consumption increased, “but it did not recover to pre-pandemic levels”, the researchers said.
  • However, despite the increase in poverty, income inequality fell in both urban and rural areas, largely because the earnings of richer households went down.

WHY DID THE INCOMES OF RICHER PEOPLE FALL?

  • The sources of income of India’s rich derive “disproportionately” from services and capital income (basically wealth derived from wealth, like dividends and interest), both of which were “disproportionately impacted during the pandemic”. Unlike for the rich, capital incomes do not form a major share in the incomes of poorer households.
  • A larger fraction of top-quartile income is from the service sector… and that sector experienced the largest drop in consumer expenditure during the pandemic.
  • Demand for the type of labour supplied by the rich also dropped more than for the poor.
  • The employment rate fell more for the poorer sections of society during the lockdown, but they also recovered more quickly.
  • The performance of the lower percentiles was “particularly remarkable” since India, unlike the US, had “little fiscal stimulus in the form of income transfers”.

4. ALL YOU NEED TO KNOW ABOUT GST COMPENSATION

THE CONTEXT: States are seeking an extension of GST compensation for five more years.

WHAT IS GST COMPENSATION?

  • The introduction of the Goods & Services Tax (GST) required States and Union Territories (with Legislature) to subsume their sovereignty in a GST Council, raising the issue of loss on account of migration from Value Added Tax/Sales Tax to GST. Any mechanism to remedy this should be backed by the legislature.
  • Keeping this in mind, Section 18 of the Constitution (One Hundred and First Amendment) Act, 2016 prescribes: “Parliament shall, by law, on the recommendation of the Goods and Services Tax Council, provide for compensation to the States for loss of revenue arising on account of implementation of the goods and services tax for a period of five years.”
  • Accordingly, the Parliament enacted a law — GST (Compensation to States) Act, 2017. The law prescribes that the financial year 2015-16 shall be taken as the base year for the purpose of calculating compensation and States were assured of a 14 percent growth in revenues every year.

HOW IS IT FUNDED?

  • In order to mobilize resources for compensation, a cess is being levied on such goods, as recommended by the Goods and Services Tax Council, over and above the GST on that item. It is called compensation cess.
  • As of date, compensation cess is levied on products such as pan masala, tobacco, aerated waters and motor cars apart from coal.

WHO PAYS COMPENSATION TO WHOM? WHEN?

  • The consumer is required to pay for compensation. It is collected by the Centre which releases it to States.
  • The proceeds of the compensation cess will be credited to a non-lapsable fund known as the Goods and Services Tax Compensation Fund in the public account.

 

 

FOR HOW LONG WILL IT BE PAID?

  • According to the law, it will be paid for five years from the date GST came into effect; i.e. till June 2022. However, a cess will continue to be levied for repayment of loans taken to compensate States during FY21 and FY22.

WHY ARE STATES DEMANDING AN EXTENSION OF THE COMPENSATION?

  • States say their revenue situation is yet to improve on two counts due to the introduction of the GST and because the pandemic has affected revenue collection.
  • At the same time, their expenses have gone up and they expect a higher deficit as revenue growth is low.
  • Considering all these, States are seeking an extension of compensation for five more years. Any decision, in this regard, has to be taken by GST Council.

THE SCIENCE AND TECHNOLOGY

5. ISRO GEARING UP FOR MULTIPLE SPACE MISSIONS IN 2022

THE CONTEXT: After a rather muted 2021 in terms of satellite launches, the Indian Space Research Organisation (ISRO) is gearing up for a number of missions in 2022 including the launch of the first unmanned mission of Gaganyaan, its Chairman, K. Sivan said.

  • In his New Year’s message for 2022, Mr. Sivan said ISRO had a number of missions to execute this year. These include
    • the launch of the Earth Observation Satellites,
    • EOS-4 and EOS-6 onboard the Polar Satellite Launch Vehicle (PSLV), and
    • the EOS-02 on board the maiden flight of the Small Satellite Launch Vehicle (SSLV).
    • “[ISRO has] many test flights for Crew Escape System of Gaganyaan and launch of the first unmanned mission of Gaganyaan. In addition, we also have Chandrayaan-03, Aditya Ll, XpoSat, IRNSS and technology demonstration missions with indigenously developed advanced technologies,” he said. Design changes on Chandrayaan-3 and testing have seen huge progress, he said.
    • Sivan said the hardware in loop test of Aditya L1 spacecraft and accommodation studies for XpoSat in the SSLV have been completed and ISRO has delivered the S-band SAR payload to NASA for NISAR [NASA-ISRO SAR] mission.
    • Three new space science missions are also in the pipeline, Mr. Sivan said. These include a Venus mission, DISHA –a twin aeronomy satellite mission and TRISHNA, an ISRO-CNES [Centre national d’étudesspatiales] mission in 2024.

THE DISASTER MANAGEMENT

6. INDIA’S OLD DAMS: GANDHI SAGAR IN MP NEEDS IMMEDIATE REPAIR, SAYS CAG REPORT

THE CONTEXT: Gandhi Sagar Dam on Chambal River in Madhya Pradesh is in need of immediate repair, warned a new CAG report. It is one of the five water reservoirs of national importance.

THE EXPLANATION:

  • The absence of regular checks, non-functional instruments and choked drains are the major problems plaguing the dam for years, the report by the Comptroller and Auditor General of India (CAG) released December 23, 2021.
  • Gandhi Sagar was put in Category II of the dam inspection report.
  • Dams with major deficiencies, which may lead to complete failure / partial failure and need attention at once, fall under Category I. Those with minor to medium deficiencies, which are rectifiable but need immediate attention fall under Category II.
  • The CAG report mentioned there is one dam in Category I but didn’t name it. As many as 27 other smaller dams of MP were in Category II.

ABOUT GANDHI SAGAR DAM

  • Gandhi Sagar Dam was constructed in 1960 to provide drinking water to several districts of Rajasthan and generate 115 megawatts of electricity. It has been breached several times in recent years, causing flooding in downstream areas.
  • Three districts in the state, Sheopur, Morena and Bhind, with an approximate collective population of 4.35 million (as per the 2011 Census), lie downstream the dam.
  • Gandhi Sagar Dam was among the few of national importance to be instrumented but many of the instruments have been non-functional for years, the CAG report observed.
  • The state dam safety organization (SDSO), the department responsible for its maintenance, did not comply with recommendations by the Central Water Commission (CWC) and Dam Safety Inspection Pane (DSIP) on remedial measures, according to the CAG.

THE PRELIMS PRACTICE QUESTION

Q1. With reference to Madanapalle of Andhra Pradesh, which one of the following statements is correct?

a) PingaliVenkayya designed the tricolor Indian National Flag here.

b) PattabhiSitaramaiah led the Quit India Movement of the Andhra region from here.

c) Rabindranath Tagore translated the National Anthem from Bengali to English here.

d) Madame Blavatsky and Colonel Olcott set up headquarters of Theosophical Society first here.

 

ANSWER FOR 31STDECEMBER 2021

Answer: D

Explanation:

Please refer to the following map of the Indus River System.




Today’s Important Articles for Geography (04-01-2022)

  1. Save the valuable Western Ghats READ MORE  
  2. Himalayan Glaciers Losing Ice 10x Faster Today Than They Did Until 1975 READ MORE



Ethics Through Current Developments (04-01-2022)

  1. Newton’s laws resonate with Indic philosophy READ MORE
  2. No relation is irreconcilable READ MORE
  3. Humanity is moving towards machine life READ MORE



Today’s Important Articles for Sociology (04-01-2022)

  1. India will come apart if secular contract is torn READ MORE
  2. Social media and the structural diminution of women READ MORE



Today’s Important Articles for Pub Ad (04-01-2022)

  1. A sobering reminder to the powers that be READ MORE
  2. Aiding in governance: The synergy of NGOs, Government and corporates is the holy grail of development READ MORE
  3. The 21st century challenge for democracy READ MORE
  4. Understanding the mediation bill READ MORE
  5. Fund of confusion: FCRA policy should benefit from transparency READ MORE
  6. Centre vs states: Exploring the historical roots of India’s distinctive form of federalism READ MORE



WSDP Bulletin (04-01-2022)

(Newspapers, PIB and other important sources)

Prelim and Main

  1. China constructing bridge on Pangong Tso READ MORE
  2. RBI approves small, offline e-payments READ MORE
  3. ‘ISRO gearing up for multiple space missions in 2022’ READ MORE
  4. India’s income inequality fell post 2020 lockdown as rich got poorer, US economic study shows READ MORE
  5. India’s old dams: Gandhi Sagar in MP needs immediate repair, says CAG report READ MORE
  6. All you need know about GST Compensation READ MORE

Main Exam    

GS Paper- 1

  1. India will come apart if secular contract is torn READ MORE
  2. Social media and the structural diminution of women READ MORE

GS Paper- 2

POLITY AND GOVERNANCE

  1. A sobering reminder to the powers that be READ MORE
  2. Aiding in governance: The synergy of NGOs, Government and corporates is the holy grail of development READ MORE
  3. The 21st century challenge for democracy READ MORE
  4. Understanding the mediation bill READ MORE
  5. Fund of confusion: FCRA policy should benefit from transparency READ MORE
  6. Centre vs states: Exploring the historical roots of India’s distinctive form of federalism READ MORE

INTERNATIONAL ISSUES

  1. What lessons does Ukraine offer South Asia? READ MORE
  2. Role of India, China and Russia in Central Asia READ MORE

GS Paper- 3

ECONOMIC DEVELOPMENT

  1. Is GDP data a reliable way to measure the health of the economy? READ MORE
  2. The tale behind putting off key power reforms READ MORE
  3. Key takeaways from RBI’s Financial Stability Report READ MORE

ENVIRONMENT AND ECOLOGY

  1. Save the valuable Western Ghats READ MORE  
  2. Himalayan Glaciers Losing Ice 10x Faster Today Than They Did Until 1975 READ MORE

GS Paper- 4

ETHICS EXAMPLES AND CASE STUDY

  1. Newton’s laws resonate with Indic philosophy READ MORE
  2. No relation is irreconcilable READ MORE
  3. Humanity is moving towards machine life READ MORE

Questions for the MAIN exam

  1. ‘Centre-state entanglements in the welfare field reflect the deliberate choices of the architects of the Constitution’. Examine the statement.
  2. As India needs Both the USA and Russia to save its interests, it should focus on balance rather than leaning to one side. Comment and suggest the way forward for India’s foreign policy.

QUOTATIONS AND CAPTIONS

  • A key pillar of democratic governance is citizens’ power to question the state. NGOs and voluntary groups/organisations have played a significant role in building capacities of citizens to hold governments accountable.
  • The tension between the tenets of liberty and equality is balanced by fraternity provided by the empathetic NGOs and CSOs in the journey towards a development state.
  • NGOs and CSOs in India, irrespective of the open hostility of the current dispensation, will play a major role in mobilising citizen action to right various wrongs.
  • Russia’s face-off with the West shows that spheres of influence are here to stay as instruments to regulate competition between great powers. But they endure only when the dominant power is wise and its neighbours are prudent.
  • There are serious problems with India’s GDP data. Any analysis of recovery or growth forecast based on this data must be taken with a handful of salt.
  • The states must recognise the dangers of destroying the ecosystem, especially when India has been facing the brunt of the climate crisis.
  • The Constitution of India, considered a progressive document if there ever was one, guarantees equal rights to all its citizens, and that presumably includes women.
  • The virtual world has twisted the terms of engagement giving an unknown quantum of humanity invested with a criminal mindset the licence to operate in public—with little consequence to themselves.
  • Centre-state entanglements in the welfare field reflect the deliberate choices of the architects of the Constitution.
  • Joint counter-terrorism exercises involving India, Russia and Central Asian nations have also been planned in the coming year. With other global players missing, it has been left to Russia and China to actively dominate Central Asia.
  • Democracy can remain alive at the intersection of politics and political criticism.

50-WORD TALK

  • Legislators enacted AFSPA in 1958, fearing Northeast insurgencies would burn down India. Those insurgencies are mostly dead, but AFSPA Raj lives on in Assam, Nagaland, Manipur. Experience — Punjab in 1997; Tripura, Meghalaya, Mizoram since 2014 — shows ending AFSPA can help heal post-insurgency societies. Lifting AFSPA will secure Northeast’s hard-won peace.
  • India’s long overdue vaccinations of adolescents is a welcome beginning. It is important for young people to understand its importance not just for resuming their normal life but also protecting older family members. They should not get carried away by a belief in their own invincibility, natural at that age.
  • Months after deplorable ‘Sulli Deals’, the emergence of a new app ‘Bulli Bai’ targeting Muslim women points to culture of impunity in a compromised system. Had arrests been made earlier, it wouldn’t have reappeared. Catching culprits cannot be difficult for an all-powerful government that knows how to deploy its agencies.

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 also exploring other geographical locations nearby including mountains, rivers, etc. same applies to the national places.)
  • For economy-related news (banking, agriculture, etc.) you should focus on terms and how these are related to various economic aspects, for example, if inflation has been mentioned, try to relate with prevailing price rises, shortage of essential supplies, banking rates, etc.
  • For main exam-related topics, you should focus on the various dimensions of the given topic, the most important topics which occur frequently and are important from the mains point of view will be covered in ED.
  • Try to use the given content in your answer. Regular use of this content will bring more enrichment to your writing.



Day-118 | Daily MCQs | UPSC Prelims | MODERN INDIAN HISTORY

[WpProQuiz 128]




NAGA PEACE TALKS- WHY THERE IS AN IMPASSE?

THE CONTEXT: After killing civilians by the arm forces in Naga is a major setback for a peace talk between Naga and Government. Earlier, in October 2021, the interlocutor for the Naga peace talks, Tamil Nadu former Governor R N Ravi, resigned from its post. This article analyses the issues in the talk and suggests a way forward for them.

HOW WILL THE PRESENT DEVELOPMENT IMPACT THE PEACE TALK?

  • The government is engaged in discussions with the Isak-Muivah faction of the National Socialist Council of Nagaland (NSCN-IM) and seven Naga National Political Groups (NNPGs) to find a solution to the Naga political issue.
  • But the Isak-Muivah faction, the key player in the Naga peace talks, described the recent incident killing as a “black day” for Nagas.
  • After that, they will strongly demand the formation of Greater Nagaland’.
  • The NSCN-IM, one of the largest Naga groups, has been demanding ‘Greater Nagaland’ or Nagalim, an extension of Nagaland’s borders by including Naga-dominated areas in neighboring Assam Manipur and Arunachal Pradesh and uniting 1.2 million Nagas.
  • The Centre has said there would be no disintegration of the States of Assam, Arunachal Pradesh, and Manipur to merge Naga-inhabited areas with the existing State of Nagaland.
  • More than a hundred rounds of talks spanning over 24 years have taken place so far. The NSCN(I-M) first signed a ceasefire agreement in 1997. The group was formed in 1980 to oppose the Shillong Accord signed by the then Naga National Council (NNC) with the Central Government to bring peace in Nagaland.

TIMELINE OF NAGA CONFLICT AND PEACE TALKS

  • 1826: The British had annexed Assam.
  • 1881: The Naga Hills district was created.
  • 1918: Various Naga Tribes united to form Naga Club.
  • 1929: The Naga Club famously told the Simon Commission “to leave us alone to determine for ourselves as in ancient times”.
  • 1946: The Club formed its political unit – the Naga National Council (NNC), thus beginning the fight for freedom from foreign rule.
  • 1947: On August 14, 1947, the NNC, under the leadership of Angami ZapuPhizo (called the Father of the Nagas), declared Nagaland an independent state.
  • 1951: NCC claimed to have conducted a referendum in which an overwhelming majority supported an independent Naga state. They even formed the Naga Federal Government (NFG) and the Naga Federal Army (NFA), which sparked the scuffle with the government.
  • 1958: The Government of India sent in the Army to crush the insurgency and enacted the Armed Forces (Special Powers) Act.
  • 1960: The A16-point agreement was arrived at whereby the Government of India recognized the formation of Nagaland as a full-fledged state within the Union of India.
  • 1963: Nagaland was formed out of the Naga Hills district of Assam and the then North-East Frontier Agency (NEFA) province (now Arunachal Pradesh).
  • 1975: A section of NNC leaders signed the Shillong Accord, under which this section of NNC and NFG agreed to give up arms. A group of about 140 members led by ThuingalengMuivah, who was at that time in China, refused to accept the Shillong Accord and formed the National Socialist Council of Nagaland (NSCN )in 1980.
  • 1988: The NSCN split into NSCN (Isak-Muivah)/(IM) and NSCN (Khaplang)/(K). The former faction was led by Isak ChishiSwu, ThuingalengMuivah, demanding to establish a Greater Nagalim based on Chinese communist revolutionary Mao Zedong’s model. The Khaplang offshoot wished to establish Greater Nagalim based on ethnicity and merging of Naga-dominated areas.
  • 1991: Phizo died, and the NSCN (IM) came to be seen as the “mother of all insurgencies” in the region.
  • 1995: Peace talks started with NSCN(IM), as then Prime Minister P V Narasimha Rao met Muivah, Swu, and others in Paris.
  • 1997: The NSCN (I-M) had signed a ceasefire agreement with the Centre. The group had assured that there would be no insurgent offensive against the Army, while the Centre agreed not to launch counter-insurgency operations against rebels.

2015 NAGA PEACE ACCORD

In 2014, the NDA government sought to fast-track the Naga political issue that had slackened since the NSCN-IM-declared truce in 1997.

ABOUT NAGAS

  • The Nagas are not a single tribe but an ethnic community that lives across the Naga Hills spanning the present-day Indian state of Nagaland, certain areas of Manipur, Arunachal Pradesh and Assam, along with the Naga hill areas of Myanmar.
  • Nagas belong to Indo-Mongoloid Family.
  • There are nineteen major Naga tribes, namely, Aos, Angamis, Changs, Chakesang, Kabuis, Kacharis, Khain-Mangas, Konyaks, Kukis, Lothas (Lothas), Maos, Mikirs, Phoms, Rengmas, Sangtams, Semas, Tankhuls, Yamchumgar, and Zeeland.
  • In August 2015, the Centre signed a framework agreement with the NSCN (I-M). The agreement paved the way for the ongoing peace talks by derecognizing the outfit as a militant organization. There was a broad understanding of a settlement within the Indian constitutional framework regarding the uniqueness of Naga history and tradition. However, both sides maintained secrecy about the contents of the accord.
  • On agenda for discussion issue on AFSPA, demographic changes due to cross-border migrations, a separate Naga flag, and constitution, etc.
  • In 2017, the Centre clubbed various divisions among the Nagas on tribal and geopolitical lines into the Naga National Political Groups (NNPGs) to smoothen the talks.
  • The Khaplang faction died down in its political significance with the death of its leader SS Khaplang in 2017. Isak ChishiSwu from the NSCN (I-M) also passed away in 2016, making Muivah the most senior Naga rebel leader.
  • The key demand of Naga groups has been a Greater Nagalim(sovereign statehood) i.e redrawing of boundaries to bring all Naga-inhabited areas in the Northeast under one administrative umbrella. It includes various parts of Arunachal Pradesh, Manipur, Assam, and Myanmar.
  • The demand also includes the separate Naga Yezabo(Constitution) and Naga national flag.

WHY HAVE THE NAGA PEACE TALKS STUMBLED?

NATURE OF DEMAND: The movement itself had two major strands: Recognition of Naga sovereignty and the integration of all Naga-speaking areas (particularly of Manipur) into a Greater Nagaland. These were demands that no government in Delhi could meet. The first — sovereignty — would undercut India’s claim over the region and the second — integration — would create a backlash in Manipur.

CONCERNS OF OTHER STATES: Assam, Arunachal Pradesh and Manipur are sceptical about the demand for the creation of Greater Nagalim because it could lead to the redrawing of their boundaries. The final outcome may affect the states in terms of trade and commerce and cultural and ethnic unity. In Manipur, Meiteis(form a majority in the Imphal Valley) and the Nagas and Kukis, dominate the tribal districts of the hills. Protests organized by Meitei groups echoed a long-running fear: that a solution to the Naga problem would come at the cost of Manipur’s integrity. The governments and civil society organizations in Arunachal Pradesh, Assam and Manipur, have made it clear that they would not compromise on their territorial integrity.

EXISTENCE OF ARTICLE 371A: Article 371A states that no act of Parliament shall apply to the State of Nagaland in respect of the religious or social practices of the Nagas, its customary law and procedure, administration of civil and criminal justice involving decisions according to Naga customary law and ownership and transfer of land and its resources. An amendment to this Article is critical to the ongoing Naga peace process in order to resolve another substantive issue of settling the question of whether Nagas have the right over land and resources, both above and beneath it.

DIVISIONS AMONG NAGAS: The optimism among a section of the Nagas over the 2015 peace accord eroded a bit when the Central government brought other Naga armed groups on board. On November 17, 2017, an agreement on the political parameters of the settlement was worked out with the working committee of these groups, clubbed the Naga National Political Groups (NNPGs). This agreement ostensibly made the peace process inclusive, but it bred suspicion about Delhi exploiting divisions within the Nagas on tribal and geopolitical lines. While the NNPGs want a solution for Nagas within Nagaland, the NSCN-IM seeks integration of Naga-inhabited areas beyond the geographical boundary of Nagaland.

SIMILAR DEMAND FROM OTHER GROUPS: Political instability has undermined the role of democracy in the state and has fuelled apprehensions leading to separate agendas and demands by various factions and organizations. In talks with the government, Kuki groups fear the Naga solution would carve up their imagined homeland.

THE WAY FORWARD

  • Providing autonomous Naga territorial councils for Arunachal and Manipur.
  • Common cultural body for Nagas across states.
  • Specific institutions for state’s development, integration, and rehabilitation of non-state Naga militia.
  • Removal of the Armed Forces Special Powers Act.
  • Special status on the lines of Article 371-A will be explored for Naga areas outside Nagaland.
  • A constitutional body to investigate issues related to Nagas in their whole territorial spread.

THE CONCLUSION: With a clever mix of engagement, coercion, co-option, and inducements, the Central government has managed to neutralize the Naga extremists. A peace agreement will be most welcome. Nagas are culturally heterogeneous groups of different communities/tribes with different problems from mainstream populations. To achieve the long-lasting solution, their cultural, historical and territorial extent must be taken into consideration. Therefore, any arrangement to be worked out should lead to social and political harmony, economic prosperity and protection of the life and property of all tribes and citizens of the states.