💥Join UPSC 2027,2028 Mentorship (July Batch) + XFactor Notes & Microthemes PDF

Category: Burning Issues

  • [Burning issue] Draft Digital Personal Data Protection Bill, 2022

    [Burning issue] Draft Digital Personal Data Protection Bill, 2022

    data

    Context

    • The draft Digital Personal Data Protection Bill 2022 has now been released by the Ministry of Electronics and IT (MeitY), and the government is now asking for public comments and consultations on the bill.
    • In this context, this edition of the burning issue will discuss the evolution of privacy bills in India and analyse the current proposed draft data bill.

    Why do we need data protection?

    • Increasing internet use: India currently has over 750 million Internet users, with the number only expected to increase in the future.
    • Data breaches: At the same time, India has among the highest data breaches in the world. Without a data protection law in place, the data of millions of Indians continue to be at risk of being exploited, sold, and misused without their consent.
    • Individual privacy: Data monetization may happen at cost of individual privacy. The most sought-after datasets are those that contain sensitive personal data of individuals, ex. medical history, and financial data.
    • Lack of writ proceedings against corporate action: Unlike state action, corporate action or misconduct is not subject to writ proceedings in India. This is because fundamental rights are, by and large, not enforceable against private non-state entities. This leaves individuals with limited remedies against private actors.

    Background: Evolution of Demand for the data protection

    • The journey towards data protection legislation began in 2011 when the department of Personnel and Training initiated discussions on the Right to Privacy Bill, 2011.
    • The major fillip to the data protection case was given by the K. Puttuswamy judgment, 2017 where the supreme court held the “Right to privacy” as a fundamental right under Article 21- right to life and personal liberty.
    • After the Puttaswamy judgment, the government-appointed B.N Srikrishna committee the drafting of a law for data protection and privacy. This led to the Justice B.N. Srikrishna committee report which later on led to the Personal Data Protection Bill of 2019.

    The previous draft Personal Data Protection Bill, 2019

    The PDP Bill was introduced in Lok Sabha by the Minister of Electronics and Information Technology in 2019. The Bill seeks to provide for the protection of the personal data of individuals and establishes a Data Protection Authority for the same. Here are the key features:

    • Applicability: The Bill governs the processing of personal data by the government, companies incorporated in India and foreign companies dealing with the personaldata of individuals in India.
    • Categorization of data– Personal data is data that pertains to characteristics, traits or attributes of identity, which can be used to identify an individual. The Bill categorizes certain personal data as sensitive personal data. This includes financial data, biometric data, caste, religious or political beliefs, or any other category of data specified by the government, in consultation with the Authority and the concerned sectoral regulator.
    • Data fiduciary and his obligations– A data fiduciary is an entity or individual who decides the means and purpose of processing personal data. Such processing will be subject to a certain purpose, collection and storage limitations. For instance, personal data can be processed only for specific, clear and lawful purposes.
    • Rights of the individual- The Bill sets out certain rights of the individual (or data principal).  These include the right to Obtain confirmation from the fiduciary on whether their data has been processed, Seek correction of inaccurate, incomplete, or out-of-date personal data, Have personal data transferred to any other data fiduciary in certain circumstances and Restrict continuing disclosure of their data by a fiduciary, if it is no longer necessary or consent is withdrawn.
    • Grounds for processing personal data- The Bill allows the processing of data by fiduciaries only if consent is provided by the individual. However, in certain circumstances, personal data can be processed without consent.
    • Data Protection Authority– The Bill sets up a Data Protection Authority which may take steps to protect the interests of individuals, prevent misuse of personal data, and ensure compliance with the Bill. It will consist of a chairperson and six members, with at least 10 years of expertise in the field of data protection and information technology.
    • Transfer of data outside India– Sensitive personal data may be transferred outside India for processing if explicitly consented to by the individual, and subject to certain additional conditions. However, such sensitive personal data should continue to be stored in India. Certain personal data notified as critical personal data by the government can only be processed in India.
    • Exemptions to a government agency– The central government can exempt any of its agencies from the provisions of the Act: In the interest of the security of the state, public order, sovereignty and integrity of India and friendly relations with foreign states. 

    What were the issues with the 2019 Bill?

    • Power to exemption with the state: The Bill’s expansive exemptions allowed the state to exempt the entire application of the law simply as if it was “expedient” to do so in the interest of national security or public order.
    • Powers without accountability: The PDP Bill, 2019 as well as the JPC’s version established a strong regulator (the Data Protection Authority) with a lot of power, but very little independence or accountability.
    • Data localisation: The Bill imposed a strong data localisation mandate, requiring companies to store all sensitive personal data and critical personal data (which was not defined) in India.
    • Subsuming the personal and non-personal data: The JPC recommended subsuming the regulation of personal data and non-personal data within a single legislation, even though it undermined the Puttaswamy mandate to ensure the protection of personal data.

    Latest Draft Digital Data Protection Bill:

    The PDP Bill, 2019, prepared by MeitY, was referred to a Joint Parliamentary Committee (JPC) for review. JPC tabled the report of the JPC on the PDP Bill, 2019, as well as the draft Data Protection Bill 2021, in the parliament.

    On August 3 this year, MeitY withdrew the 2021 Bill, stating that a more “comprehensive legal framework” will be presented soon. This led to the current DPDP Bill, 2022.

    According to an explanatory note for the bill, it is based on seven principles:

    • Lawful use: The first is that “usage of personal data by organizations must be done in a manner that is lawful, fair to the individuals concerned and transparent to individuals.”
    • Purposeful dissemination: The second principle states that personal data must only be used for the purposes for which it was collected.
    • Data minimization: Bare minimum and only necessary data should be collected to fulfill a purpose.
    • Data accuracy: At the point of collection. There should not be any duplication.
    • Duration of storage: The fifth principle talks of how personal data that is collected cannot be “stored perpetually by default,” and storage should be limited to a fixed duration.
    • Authorized collection and processing: There should be reasonable safeguards to ensure there is “no unauthorized collection or processing of personal data.”
    • Accountability of users: The person who decides the purpose and means of the processing of personal data should be accountable for such processing.

    Key features of the bill

    Data Principal and Data Fiduciary

    • The bill uses the term “Data Principal” to denote the individual whose data is being collected.
    • The term “Data Fiduciary” the entity (can be an individual, company, firm, state etc.), which decides the “purpose and means of the processing of an individual’s personal data.”
    • The law also makes a recognition that in the case of children –defined as all users under the age of 18— their parents or lawful guardians will be considered their ‘Data Principals.’

    Defining personal data and its processing

    • Under the law, personal data is “any data by which or in relation to which an individual can be identified.”
    • Processing means “the entire cycle of operations that can be carried out in respect of personal data.”
    • So right from collection to storage of data would come under processing of data as per the bill.

    Individual’s informed consent

    • The bill also makes it clear that individual needs to give consent before their data is processed.
    • Every individual should know what items of personal data a Data Fiduciary wants to collect and the purpose of such collection and further processing.
    • Individuals also have the right to withdraw consent from a Data Fiduciary.
    • The bill also gives consumers the right to file a complaint against a ‘Data Fiduciary’ with the Data Protection Board in case they do not get a satisfactory response from the company.

    Language of information

    • The bill also ensures that individuals should be able to “access basic information” in languages specified in the eighth schedule of the Indian Constitution.
    • Further, the notice of data collection needs to be in clear and easy-to-understand language.

    Significant Data Fiduciaries

    • The bill also talks of ‘Significant Data Fiduciaries, who deal with a high volume of personal data.
    • The Central government will define who is designated under this category based on a number of factors ranging from the volume of personal data processed to the risk of harm to the potential impact on the sovereignty and integrity of India.

    Data protection officer & Data auditor

    • Such entities will have to appoint a ‘Data protection officer’ who will represent them.
    • They will be the point of contact for grievance redressal.
    • They will also have to appoint an independent Data auditor who shall evaluate their compliance with the act.

    Right to erase data, right to nominate

    • Data principals will have the right to demand the erasure and correction of data collected by the data fiduciary.
    • They will also have the right to nominate an individual who will exercise these rights in the event of death or incapacity of the data principal.

    Cross-border data transfer

    • The bill also allows for cross-border storage and transfer of data to “certain notified countries and territories.”
    • However, an assessment of relevant factors by the Central Government would precede such a notification.

    Financial penalties

    • The draft also proposes to impose significant penalties on businesses that undergo data breaches or fail to notify users when breaches happen.
    • Entities that fail to take “reasonable security safeguards” to prevent personal data breaches will be fined as high as Rs 250 crore.
    • As per the draft, the Data Protection Board — a new regulatory body to be set up by the government — can impose a penalty of up to ₹500 crore if non-compliance by a person is found to be significant.

    What distinguishes this bill from its earlier versions?

    • Gender neutrality:  Significantly, and for the first time in the country’s legislative history, the terms ‘her’ and ‘she’ have been used irrespective of an individual’s gender. This, as per the draft, is in line with the government’s philosophy of empowering women.
    • Imbibes best global practices: To prepare it, best global practices were considered, including a review of data protection legislations of Australia, the European Union (EU), Singapore, and a prospective one of the USA.
    • Comprehensiveness: The draft has outlined six ‘Chapters’ and a total of twenty-five points. The ‘Chapters’ are: ‘Preliminary,’ ‘Obligations of Data Fiduciary,’ ‘Rights and Duties of Data Principal,’ ‘Special Provisions,’ ‘Compliance Framework,’ and ‘Miscellaneous.’
    • Special emphasis for child protection: If personal data is likely to cause harm to a child, its processing will not be allowed.

    Positive aspects of the bill

    • Widening the scope of data: Narrowing the scope of the data protection regime to personal data protection is a welcome move, as it resonates with the concerns of various stakeholders.
    • Harnessing economic potential: Now non-personal data could be used to unlock social and economic value to benefit citizens, businesses, and communities in India with appropriate safeguards in place.
    • Doing away with an aggressive push for Data localisation:  Relaxing data localisation provisions to notify countries to which data can flow, could aid India in unlocking the comparative advantage of accessing innovative technological solutions from across the globe, which in turn helps domestic companies.
    • Free flow of data: In addition, the free flow of data will help startups access cost-effective technology and storage solutions, as our research shows.
    • Allowing data transfers: This will also ensure that India is not isolated from the global value chain, helping businesses stay resilient in production and supply chain management and fostering overseas collaboration.
    • Introduction of the concept of ‘Deemed Consent’: It enables the processing of the Personal Data of an individual without his/her explicit consent, where it is “reasonably expected that the Data owner would provide such Personal Data”.

    Some criticisms of the bill

    • Wordplay: There had been the use of open-ended language such as “as necessary” or “as may be prescribed”.
    • Govt monopoly: The Bill did not seem to work towards protecting people, but ensured that the government retains all power without any checks or balances.
    • Exemption provisions: The government has been given the power to exempt not only government agencies but any entity that is collecting user data, from having to comply with the provisions of this bill when it is signed into law.
    • No protection against data breach: The Executive in India has a track record of exploiting to expand its powers. There is no right for compensation to individuals in case of a data breach. They have no right to data portability.
    • Appointments to data protection board- The draft law leaves the appointment of the chairperson and members of the Data Protection Board entirely to the discretion of the central government. “While the Data Protection Authority was earlier envisaged to be a statutory authority (under the 2019 Bill), the Data Protection Board is now a central government set-up board.
    • Narrow Focus: It is focused on personal data and excludes non-personal data, which was a demand by the industry and civil society alike. It eliminates the categorisation of personal data into sensitive and critical.

    Global comparison: What other Nations data laws specify

    An estimated 137 out of 194 countries have put in place legislation to secure the protection of data and privacy, with Africa and Asia showing 61% (33 countries out of 54) and 57% adoption respectively, according to data from UNCTAD intergovernmental organisation within the United Nations Secretariat. 

    EU MODEL

    • The GDPR focuses on a comprehensive data protection law for the processing of personal data. It has been criticised for being excessively stringent and imposing many obligations on organisations processing data, but it is the template for most of the legislation drafted around the world.
    • There are certain exemptions such as national security, defence, public security, etc, but they are clearly defined and seen as exclusions on the periphery.

    US MODEL

    • Privacy protection is largely defined as “liberty protection” focused on the protection of the individual’s personal space from the government. It is viewed as being somewhat narrow in focus because it enables the collection of personal information as long as the individual is informed of such collection and use.
    • The US template has been viewed as inadequate in key respects of regulation. There is no comprehensive set of privacy rights or principles in the US that, like the EU’s GDPR, addresses the use, collection, and disclosure of data. Instead, there is limited sector-specific regulation.
    • The approach towards data protection is different for the public and private sectors. The activities and powers of the government vis-a-vis personal information are, however, sufficiently well-defined and addressed by broad legislation such as the Privacy Act, the Electronic Communications Privacy Act, etc. For the private sector, there are some sector-specific norms.

    CHINA MODEL

    • New Chinese laws on data privacy and security issued over the last 12 months include the Personal Information Protection Law (PIPL), which came into effect in November 2021.
    • It gives Chinese data principals new rights as it seeks to prevent the misuse of personal data. The Data Security Law (DSL), which came into force in September 2021, requires business data to be categorized by levels of importance and puts new restrictions on cross-border transfers. The law includes stringent penalties, with fines as high as RMB 50 million, or up to 5% of a company’s turnover in the previous financial year. 

    Way forward

    • Compensation for breach: A provision should be put in place in the law to compensate individuals in the event of a data breach as available in the EU’s GDPR.
    • Giving statutory status: to the proposed Data Protection Board for better functioning of the board and reduce executive interference. Appointments to the board should be done through a committee on similar lines to that of NHRC and other bodies.
    • More comprehensive: More provisions should be incorporated in the draft legislation rather than leaving it to the Executive to frame provisions.
    • Respecting privacy: Rights such as data portability and the right to opt-out of data collection must be included. The right to privacy must be respected which, critics argue, seems to be lacking in this case.

    Click and get your FREE Copy of CURRENT AFFAIRS Micro Notes

    (Click) FREE1-to-1 on-call Mentorship by IAS-IPS officers | Discuss doubts, strategy, sources, and more

  • [Burning issue] Outcomes of the COP-27

    [Burning issue] Outcomes of the COP-27

    (Click) FREE1-to-1 on-call Mentorship by IAS-IPS officers | Discuss doubts, strategy, sources, and more

    Context

    • The 27th Conference of Parties (COP-27) to the UN Framework Convention on Climate Change concluded on November 20 and the outcomes of the conference seem to be a mixed bag of achievements and failures.
    • In this context, this edition of The Burning Issue will expand on the outcomes of COP-27 and India’s steps and stand taken during the conference and finally a way forward.

    What is COP?

    • The word ‘COP’ is an acronym for ‘Conference of the Parties. The ‘parties’ are the governments around the world that have signed the UN Framework Convention on Climate Change (UNFCCC), a treaty agreed upon in 1994.
    • Every year, the COP is hosted by a different nation and the first such COP meeting – ‘COP1’ – took place in Germany in 1995. The conferences are attended by world leaders, negotiators, and ministers, and also by representatives from civil society, business, international organisations, and the media.
    • The latest COP-27 edition convened in Sharm el-Sheikh, Egypt with the theme  “Together for Implementation” and to renew and extend the agreements reached in the historic Paris Agreement.  

    Major Positive Outcomes of COP27

    • Loss and damage Fund: Developing countries have been seeking financial assistance for loss and damage – money needed to rescue and rebuild the physical and social infrastructure of countries devastated by extreme weather – for nearly three decades. Finally achieving agreement on a fund is a major milestone. Now comes the difficult part – the fund must be set up, and filled with cash. There is no agreement yet on how finance should be provided and where it should come from.
    • World Bank reform: A growing number of developed and developing countries are calling for urgent changes to the World Bank and other publicly funded finance institutions, which they say have failed to provide the funding needed to help poor countries cut their greenhouse gas emissions and adapt to the impacts of the climate crisis. Reform of this kind was widely discussed at Cop27 which could involve a recapitalisation of the development banks to allow them to provide far more assistance to the developing world.
    • Adaptation commitment reaffirmed: Building flood defences, preserving wetlands, restoring mangrove swamps and regrowing forests – these measures, and more, can help countries to become more resilient to the impacts of climate breakdown. But poor countries often struggle to gain funding for these efforts. Of the $100bn a year rich countries promised they would receive from 2020 – a promise still not fulfilled – only about $20bn goes to adaptation. In Glasgow, countries agreed to double that proportion, but at Cop27 some sought to remove that commitment. After some struggle, it was reaffirmed.
    • First High-Level Expert Group Report: The highlights of the meeting included the launch of the first report of the High-Level Expert Group on the Net-Zero Emissions Commitments of Non-State Entities. The report slammed ‘greenwashing’ – misleading the public to believe that a company or entity is doing more to protect the environment than it is – and weak net-zero pledges and provided a roadmap to bring integrity to net-zero commitments by industry, financial institutions, cities and regions and to support a global, equitable transition to a sustainable future.
    • Launch of Executive Early Warnings for All initiative: Also during the Conference, the UN announced the Executive Action Plan for the Early Warnings for All initiative, which calls for initial new targeted investments of $ 3.1 billion between 2023 and 2027, equivalent to a cost of just 50 cents per person per year.
    • Launch Master plans to accelerate decarbonization: Another highlight of the conference was a so-called master plan to accelerate the decarbonization of five major sectors – power, road transport, steel, hydrogen, and agriculture – presented by the COP27 Egyptian Presidency.
    • The FAST initiative: The Egyptian leadership also announced the launch of the Food and Agriculture for Sustainable Transformation initiative or FAST, to improve the quantity and quality of climate finance contributions to transform agriculture and food systems by 2030.
    • Tipping points and Health: Since Cop26, the IPCC has published the key parts of its latest vast assessment of climate science, warning of catastrophic impacts that can only be averted by sharp and urgent cuts in greenhouse gas emissions. A reference to the key finding of “tipping points” was put in. These include the heating of the Amazon, which could turn the rainforest into a savannah, transforming it from a carbon sink to a carbon source, and the melting of permafrost that releases the powerful greenhouse gas methane. Also inserted was a reference to “the right to a clean healthy and sustainable environment”

    Where did COP 27 Lack?

    • Lack of support for the 1.5C target: COP27 is widely condemned for failing to offer any strong language in support of 1.5C, the critical climate threshold for humanity. While realistic hope of reaching the target is all but exhausted, striving to get as close to it as possible remains imperative.
    • No structure defined: The loss and damage fund has been established but the funding source and scale of this financial facility and its operating procedures have been left to a transitional committee which will present its report at COP-28 next year.
    • Indirect Gas promotion? : The final text of Cop27 contained a provision to boost “low-emissions energy”. That could mean many things, from wind and solar farms to nuclear reactors, and coal-fired power stations fitted with carbon capture and storage. It could also be interpreted to mean gas, which has lower emissions than coal but is still a major fossil fuel. Many countries at Cop27, particularly those from Africa with large reserves to exploit, came to Sharm el-Sheikh hoping to strike lucrative gas deals.
    • A baseline of emission reduction not touched: There were many agreements in this COP 27, but the baseline of emission reduction fixed in Glasgow could hardly be touched. It discussed “low emission” energy sources with renewables as future energy sources. It is feared that the development of new fossil fuel technologies may start under the guise of an undefined term like this low emission.
    • Only Coal ‘phase down’: It is disappointing that COP27 did not build on the decisions of COP26. Failing this, a strong message on the phaseout of fossil fuels could not be delivered. COP 26 called on the parties, inter alia, to move towards low energy systems through an unabated phasedown of coal. By failing to agree to phase-out fossil fuels at COP27, leaders have failed to strengthen the signal that the fossil fuel era is coming to an end and are keeping us on course to climate catastrophe. The world cannot afford to reduce coal in the first phase and then turn to oil and gas. This year’s COP didn’t show much emphasis on moving away from fossil fuels, and that’s disappointing.

    India’s participation and stand

    India’s announcements at the 26th and 27th Conference Of Parties (COP) are now the pillars of its climate leadership.

    • Announcement of a long-term strategy (LTS) for low carbon development: If COP26 last year was a watershed moment because the Prime Minister announced the country’s plan to go net-zero by 2070, this year’s COP27 in Egypt will be remembered for the country’s path-breaking announcement of a long-term strategy (LTS) for low carbon development. With this, India joins the coveted list of 56 countries that have submitted their LTS documents to the United Nations Framework Convention on Climate Change (UNFCCC).
    • Addition of Carbon Dioxide in its LTS: There is a lot of scepticism about carbon dioxide removal (CDR), but India’s addition of CDR in its LTS shows we are open to new technology and will pilot these for climate change. The country has a strong forest policy and will continue to protect its forest and expand tree cover to act as a carbon sink.
    • India hails Loss and damage adoption: India has welcomed the adoption of the agenda item ‘Loss and Damage’ at COP27. India also expected action from rich countries in terms of climate finance, technology transfer and strengthening the capacity of poor and developing countries to combat climate change.
    • Sought clarity on the definition of climate finance: The 27th edition of the Conference of Parties (COP) to UNFCCC will also seek clarity on the definition of climate finance. The absence of a definition of climate finance allows developed countries to greenwash their finances and pass off loans as climate-related aid. India is very clear that the world needs a multilaterally agreed definition of climate finance.
    • India’s Long-term strategy (LTS) for Low Carbon Development: The key takeaways from this flagship strategy that will guide India’s actions in the coming five decades.
    • Prioritised six strategic sectors: electricity, transport, urban, industry, carbon dioxide removal and forests. Of these, electricity and industry sectors together account for over three-fourths of India’s CO2 emissions, while rapid changes are happening in the transport and urban systems.
    • Second, finance and investments. India has identified finance as a key enabler for its LTS vision. According to a Council on Energy, Environment and Water assessment, India will need $10 trillion to achieve the 2070 net-zero target. The LTS has moved beyond this high-level number and done a comprehensive assessment of the finance issue.
    • Third, changes to LiFE: LiFE is India’s call for citizens, communities, industry leaders, and policymakers of the world to adopt a lifestyle for the environment. The LTS nudges people to make simple yet effective sustainable choices, industries and markets to scale these, and government policies to support them. LiFE elevates the importance of individual contribution to the larger climate goal, giving it as much importance as industry and policy-level actions, an aspect largely missing from the climate discourse till now.
    • Fourth, invest in research and innovation. India’s LTS notes the relevance of research and innovation and identifies multiple technologies in the energy and industry sectors that need to be explored and scaled up. While the emphasis on innovation is great, it only focuses on technology-related innovations. Innovations in business models are equally important to push low-carbon technologies.
    • Fifth, adaptation, resilience and international cooperation. The LTS emphasises the need for strengthening basic infrastructure like irrigation systems and disaster-resilient buildings, institutional infrastructure for better disaster response, and raising incomes to bolster the capabilities of individuals and communities to adapt to the long-term impacts of climate change. This needs international cooperation, and multilateral initiatives and platforms.

    Some lacking in the strategy

    • Non-inclusion of Carbon pricing mechanism: A crucial element missing in India’s long-term strategy. It could have included carbon pricing through the emission-trading scheme as a key instrument. The Centre has already announced the creation of a domestic carbon market and the lok sabha has passed it. This is going to be an important element of India’s strategy, but the LTS is quiet about it.
    • Lack of mechanism to assess progress: India’s strategy should present a mechanism to assess progress towards its intermediate goals and course corrections if necessary.

    Way forward

    We know that drastic emissions cuts are now needed to keep up with the Paris Agreement goals and keep the 1.5°C temperature limit within reach. This means we urgently need a commitment to:

    • No new fossil fuel investments;
    • Concrete plans to reduce global production and consumption of coal, oil, and gas, and
    • Decisions to end government support for all of these fossil fuels.”
    • For India, The next iterations of the LTC document should add more actionable information by proposing the prioritisation of sectoral actions based on modelling studies, assessing implications for economic growth and jobs, and the feasibility of various sectoral actions.
    • It will help government policies and private markets to move in the desired direction and make the LTS a detailed road map building on the guidelines presented in Egypt.

    Conclusion

    • COP 27 is an important milestone for achieving concrete progress and moving the needle on the climate agenda. António Guterres, United Nations Secretary-General, set the tone of the Conference, stating, “We are on a highway to climate hell with our foot on the accelerator.”
    • There are also major opportunities for increasing energy security through enhancing energy efficiency. This too will contribute to addressing global climate change.
    • India did well to preserve its equities at COP27 and in supporting the constituency of developing countries. It is well placed to use its forthcoming chairmanship of the G20 and the Shanghai Cooperation Organisation to take the lead in tackling climate change through its example.
  • [Burning issue] Self-Reliance in Defence Manufacturing

    [Burning issue] Self-Reliance in Defence Manufacturing

    defence

    Context

    • Defence-Expo 2022 held in Gandhinagar, Gujarat in October drew attention to a major policy initiative, the need for India to acquire the appropriate degree of “Atma-nirbharata” (self-reliance) in the defence sector.
    • In this context, this edition of burning issue is will analyse the issues which ail the Indian defence industry, its present status and what all steps are needed to achieve “Atma-nirbharta” in the Defense sector.

    About the Indian defence industry

    • India has the third largest armed forces in the world.
    • India has one of the largest defence industrial complexes in the developing world. Currently, it consists of 39 ordnance factories, 9 defence public sector undertakings under the administrative control of the Ministry of Defence (MoD); and 150-odd companies in the private sector.
    • In addition, there are 50-odd dedicated research laboratories and establishments under the umbrella of the Defence Research and Development Organisation (DRDO), the premier research and development (R&D) wing of MoD.
    • Together, these entities, which employ over 200,000 people, produced arms and other stuff worth over Rs. 46,428 crore ($7.6 billion) in 2014-15.
    • It is the world’s fifth-largest spender on defence. India’s annual defence budget for Financial Year (FY) 2018-19 was about Rs 2,95,511 crore (at the BE stage). It spends approximately 35 per cent of its defence budget on capital acquisition.
    • India is one of the few countries to have designed and produced a fourth-plus generation fighter aircraft, nuclear submarine, main battle tank, and intercontinental ballistic missile with a range of more than 5000 km.
    • However, despite all these, the Indian defence sector faces several challenges

    Why self-reliance in defence is necessary?

    • Reducing import dependence: India was the world’s second-largest arms importer from 2014-18, ceding the long-held tag as the largest importer to Saudi Arabia, which accounted for 12% of the total imports during the period, says 2019 SIPRI report. Such higher import dependency leads to an increase in the fiscal deficit.
    • Security Imperative: Indigenization in defence is critical to national security also. It keeps intact the technological expertise and encourages spin-off technologies and innovation that often stem from it. India is surrounded by porous borders and hostile neighbours who need to be self-sufficient and self-reliant in defence production.
    • Economic boost: Indigenization in defence can help create a large industry which also includes small manufacturers. Example: the USA has a strong defence industry with companies like Lockheed martin contributing to economic growth as well.
    • Employment generation: Defence manufacturing will lead to the generation of satellite industries that in turn will pave the way for a generation of employment opportunities. As per government estimates, a reduction of 20-25% in defence-related imports could directly create an additional 100,000 to 120,000 highly skilled jobs in India.
    • Counter China: If India doesn’t develop its defence industry, China will emerge as the sole defence equipment manufacturer and supplier in the region.
    • Improve Global standing: India is striving for a permanent seat at the United Nations Security Council (UNSC), however, it cannot remain effectively a net importer of security from four out of five permanent members of the UNSC.

    Challenges in achieving self-reliance in the defence sector in India

    • High import dependence: India imports nearly 60 per cent of its military hardware requirements from global arms manufacturing countries. As per SIPRI data, the value of imports of defence systems by India for the period 2013-16 was approximately Rs 82,496 crore. India accounts for 14 per cent of all global arms imports and has the dubious distinction of being the largest importer of arms in the world.
    • Low self-sufficiency levels: Despite having a strong DIB, the long-cherished goal of achieving a minimum of 70 per cent self-sufficiency in defence procurement remains elusive. Currently, India’s self-reliance is hovering at around just 35- 40 per cent.
    • Technology transfer dependence: India is mostly involved in the licensed production or manufacturing of defence equipment based on the Transfer of Technologies (TOT) obtained through the purchase of main equipment/systems in the past from the Original Equipment Manufacturers (OEMs).
    • Dependency even for raw materials: The Comptroller and Auditor General of India (CAG) in a 2011 report to Parliament had expressed its displeasure at the 90 per cent import dependency of the state-owned Hindustan Aeronautics Ltd (HAL) for ‘raw materials and bought out items’ for production of what is touted as indigenously designed and developed Advanced Light Helicopter (ALH).
    • Lack of funding: There is a lack of funding, as the incremental increase in the country’s defence budget is not enough to undertake big-ticket modernisation plans for the armed forces. Further, there will be a need for capital for enhancing the capacity and capabilities of the DPSUs, Ord Fys and DRDO.

    Reasons for these lacking

    • Weak domestic industry: This is largely due to the non-availability of modern, hi-tech and advanced weapon systems through the domestic industry (public and private). Though such imports serve the immediate needs of the country, in the larger perspective, they delay the process of indigenisation. There has been very limited participation of the private sector (less than 5 per cent) in the overall defence acquisition.
    • Failure of DPSUs: The DPSUs/Ord Fys/DRDO were raised with the expectation to create self-reliance in the field of defence manufacturing, however, the same has remained elusive so far. Over the years, the contribution of the DPSUs/Ord Fys has been dismal, which is adequately mirrored in their decreasing stake in India’s capital budget.
    • Gaps in the capacity and capability: There are gaps in the capacity and capability of the DPSUs/Ord Fys/ DRDO vis-à-vis the requirements of the armed forces for modernisation/ upgradation of the equipment profile, which leads to the off-the-shelf procurement of arms/weapon systems ex-import.
    • Dismal participation in R&D: There is enormous scope for investment in defence R&D by the public as well as the private sector. As per a study carried out by Institute for Defence Studies and Analyses (IDSA), the OFB invests only 0.7 per cent of its budget in R&D against the minimum inescapable requirement of 3 per cent. It was also revealed that four of nine DPSUs do not own a single patent or copyright.
    • Low FDI inflows: There is a lack of Foreign Direct Investment (FDI) in the defence sector. The aspect of FDI has not received adequate importance so far and, hence, there has been very low FDI in the defence sector.

    Defence Industrialisation Phases in India

    India’s defence industrialisation can be divided into five different phases:

    • Phase 1: The Quest for Self-Sufficiency India’s defence industrialisation immediately after independence was influenced by the country’s socialistic and centralised planning system reflected in the first Industrial Policy Resolution adopted in 1948.
    • Phase 2: Self-Sufficiency to Self-Reliance The events of the 1960s, particularly the 1962 war with China and the India-Pakistan war of 1965 brought about a major change in India’s defence policy. Not only India’s defence budget as a percentage of GDP increased in the subsequent years but also the approach towards arms procurement policy and indigenous defence production changed.
    • Phase 3: Self-Reliance through Coproduction Beginning with the mid-1980s, the government pumped up resources on R&D to enable DRDO to undertake high-profile projects. A major beginning in this respect was made in 1983 with sanctioning of IGMDP, LCA Tejas project.
    • Phase 4: While co-development/co-production remains a distinct feature of India’s defence industrialisation process since the late 1990s, the approach towards self-reliance has taken a major turn since the early 2000s, when the government decided to allow 100 per cent participation of the private sector in defence production.
    • Phase 5: Self-Reliance through the Make in India Initiative. The Make in India initiative is not restricted to the defence industry; it covers 25 diverse sectors and constitutes a part of the Modi government’s larger economic plan to propel the share of manufacturing in GDP to 25 per cent (from 16 per cent at present) and create 100 million additional jobs by 2022

    International model: How Chinese defence industry grew up?

    • Initially used soviet technologies: The Chinese defense industry has undergone enormous changes in recent decades. Through much of the 1970s, China was primarily capable of producing weapons based on outdated Soviet technologies from the 1950s.
    • The Absorptive model: The Chinese defense industry has long relied heavily on an absorptive model in which firms acquire foreign military and dual-use technology and incorporate this into the design and development of products. This approach has significantly reduced the amount of time and money China has had to invest in R&D and sped up Chinese efforts to modernize its military.
    • Using Illegal ways: in addition to legally acquiring foreign know-how, China has also illegally copied and stolen foreign military and dual-use technology. In the 1990s, China purchased Russian Su-27 fighter jets and S-300 missile systems and reverse-engineered them to assist with designing its J-11 fighter jets and HQ-9 surface-to-air missiles.
    • Current thrust on innovation: Under President Xi Jinping, China has intensified its pursuit of MCF (junmin ronghe) as a means of making the defense industrial base more efficient and innovative. 

    Current scenario of India’s Defence exports

    With all the past efforts of the government, some positive developments have started taking place in the Indian defence sector.

    • Indian products on sale: India has put out a range of military hardware on sale which includes various missile systems, Light Combat Aircraft (LCA), helicopters, warship and patrol vessels, artillery guns, tanks, radars etc.
    • 700% growth in exports: From 2016-17 to 2018-19, the country’s defence exports have increased from ₹1,521 crore to ₹10,745 crores, a staggering 700% growth.
    • Exporting the defence material to 75 nations: India is exporting defence materials and equipment to more than 75 countries of the world. In 2021-22, defence exports from India reached $1.59 billion (about Rs 13,000 crore).
    • The target of $5 billion export: The government has now set a target of $5 billion (Rs 40,000 crore).” This is an ambitious target and will demand mission-mode resolve to be realised.
    • INS Vikrant: The commissioning of the indigenously-designed and built aircraft carrier INS Vikrant.
    • SLBM Missiles: The recent test fired SLBM (submarine-launched ballistic missile) from the INS Arihant is indigenously built.
    • LCH Prachand: The induction of the made-in-India Prachand LCH (light combat helicopter) is a significant leap.
    • Increased defence production: India’s defence manufacturing sector recorded increased production to US$ 11.85 billion in FY22 from US$ 10.9 billion in FY21. India’s defence production stood at Rs. 17, 885 crore (US$ 2.24 billion) in FY 2022-23 (until 1 August 2022). Defence production by PSUs stood at Rs. 10,831 crore (US$ 1.36 billion) in FY 2022-23 (until 1 August 2022)
    • Growth of startups: The Startup Incubation and Innovation Centre, IIT-Kanpur (SIIC IIT-Kanpur) recently signed an MoU with Defence Innovation Organisation (DIO) to nurture and support start ups and SMEs in the defence sector through its flagship programme iDEX Prime.
    • Improving defence procurements: Although progress from the Defence Procurement Procedure was modest at first, it has picked up in recent years; approximately $4.3 billion worth of offset contracts have been signed and launched since 2007.

     

    Steps taken by the Centre to boost defence production

    • Licensing relaxation: Measures announced to boost exports since 2014 include simplified defence industrial licensing, relaxation of export controls and grant of no-objection certificates.
    • Lines of Credit: Specific incentives were introduced under the foreign trade policy and the Ministry of External Affairs has facilitated Lines of Credit for countries to import defence products.
    • Policy boost: The Defence Ministry has also issued a draft Defence Production & Export Promotion Policy 2020.
    • Indigenization lists: On the domestic front, to boost indigenous manufacturing, the Government issued two “positive indigenization lists” consisting of 209 items that cannot be imported. Recently, the 4th indigenization list has been launched.
    • Budgetary allocation: In addition, a percentage of the capital outlay of the defence budget has been reserved for procurement from domestic industry.
    • Defence Industrial Corridors: The government has also announced 2 dedicated Corridors in the States of TN and UP to act as clusters of defence manufacturing that leverage existing infrastructure, and human capital.
    • Long-term vision: The vision of the government is to achieve a turnover of $25 bn including export of $5 bn in Aerospace and Defence goods and services by 2025.
    • Push for self-reliance: The govt has identified the Defence and Aerospace sector as a focus area for the ‘Aatmanirbhar Bharat’ or Self-Reliant India initiative.

    Way forward

    • Increasing the investment in R&D is necessary: At the heart of this challenge is the grim reality that historically, India has not invested enough in the national research and development (R&D) effort. As per data collated by the World Bank, India has been able to allocate only 0.66 per cent of GDP (2018) towards R&D, while the world average is 2.63 per cent.
    • Matching with the Global players in R&D: The comparable individual R&D allocation (per cent of GDP) for some other nations is as follows: Israel 5.44; USA 3.45; Japan 3.26; Germany 3.14; China 2.4; and Turkey 1.09.
    • Making the R&D prior national issue: Providing a sustained fillip to the national R&D effort across the board (state, corporate and academia) remains critical if India is to emerge as a credible military power and one would identify this as a high-priority issue for the national security apex the CCS (cabinet committee on security).

    Conclusion

    • India is in an unusual and perhaps unique position to build a vibrant local defence-industry ecosystem that could support both domestic and export demand, yielding material benefits to the industry and the nation. Self-reliance is the sine qua non in defence, in India and elsewhere, and developing a vital industry is a big step in that direction.
    • Meaningful indigenisation and credible “atma nirbharta” calls for sustained funding support, fortitude and an ecosystem that will nurture this effort.

    (Click) FREE1-to-1 on-call Mentorship by IAS-IPS officers | Discuss doubts, strategy, sources, and more

  • [Burning issue] Indian Judiciary: A Call for Reforms

    [Burning issue] Indian Judiciary: A Call for Reforms

    judiciary

    Context

    • Recently, a constitutional jurist and senior advocate to the Supreme Court, Fali S. Nariman, highlighted the need to finetune mechanisms of accountability within the judiciary, especially at the Supreme Court and High Court levels.
    • In this context, this edition of the burning issue will deal with the issue of accountability and other issues which ails the Indian Judiciary and suggest reforms to tackle these issues.

    Indian judiciary: Structure

    • The Judiciary is one of the three organs of the Indian government, and it is responsible for interpreting and applying the law. The Indian judiciary is an independent body that ensures the fair and impartial administration of justice in the country.
    • The judiciary has a hierarchical structure, with the Supreme Court at the top followed by the High Courts, and then the lower courts.
    • The Supreme Court is the highest court of appeals in India. It comprises the Chief Justice and 33 other judges appointed by the President of India. The Supreme Court has original, appellate, and advisory jurisdiction.
    • At the level below the Supreme Court, there are High Courts. They exercise control over a state or a union territory. Each High Court consists of a Chief Justice and such other number of judges as may be determined by Parliament.
    • At the lowest level, Subordinate courts include District Courts, Taluka Courts, Munsifs Magistrates’ Courts, and Village Panchayat Courts etc.

    Judicial Independence

    • For the prosperity and stability of the country, the rule of law is very important. An independent and impartial judiciary can establish a stable rule of law.
    • Independence of the judiciary means, the power of upholding the rule of law, without any fear or external influence, and maintaining effective control over the actions of the government.
    • The independence of the judiciary is part of the basic structure of the Constitution. The legal system does not have any ideology and political interests and is often rendered neutral. 
    • The independence of the judiciary starts with the appointment of judges in the courts. Article 124 to Article 147 deals with the appointment of the Supreme Court judges and, Article 214 to Article 231 deals with the appointment of judges in the High Courts.
    • However, such a high level of independence does not mean non-accountability of the judiciary.

    Judicial Accountability

    • Accountability is the sine qua non of democracy. The judiciary, an essential wing of the State, is also accountable.
    • The term judicial accountability means that the judges are responsible for the decisions they deliver all by themselves. It is the transparency in the decision-making process that helps in bringing accountability. 
    • The judiciary must be accountable to the law, in the sense that the decisions made are in accordance with the law and are not arbitrary. Like other branches of government, it must also be accountable to the general public it serves.

    Issue of Accountability and Transparency in the Indian Judiciary

    The Indian judiciary faces the challenge of lack of accountability at 3 levels-

    (A) Lack of accountability in Judicial appointments:

    • At present, the judges of the Supreme Court and the High Courts are appointed by a collegium system which includes CJI and 4 senior judges of the Supreme Court.
    • Although there have been many debates associated with this method of appointing judges, the collegium system is one where transparency is absent in totality.
    • The minutes of the collegium meetings deciding appointments and transfers of judges are not made public. The office of CJI has only recently been declared a public office.
    • There have been no appointments from the category of distinguished jurists as mentioned under Article 124 of the constitution.
    • It’s a non-constitutional body with no seat in the collegium for any non-judge neither from the executive, the Bar etc. This violates the principle of checks and balances.

    (B) Distribution of Cases- Master of the Roster mechanism:

    • The singular power of the CJI as the Master of the Roster – i.e., the vests exclusive discretion in the Chief Justice to constitute benches and allocate cases.
    • While the CJI’s other powers such as recommending appointments to constitutional courts are shared with other senior judges, the power of Master of the Roster is enjoyed without scrutiny.
    • From the standpoint of judicial independence, the Master of the Roster power makes the CJI’s office a high-stakes one. It makes the CJI the sole point of defence of the Court against executive interference.
    • With the CJI as the sole Master of the Roster, any executive seeking to influence the Supreme Court needs only a pliant CJI. Yet, the Supreme Court has been reluctant to dilute this power.
    • In Asok Pande v. Supreme Court of India (2018), a three-judge bench of the Court held that the Master of the Roster is the CJI’s exclusive power.
    • Thereafter, a two-judge bench in Shanti Bhushan v. Supreme Court of India (2018) rejected the plea that the Master of the Roster should be interpreted as the collegium.

    (C) The In-house Inquiry System:

    • The in-house procedure, crystallised in a 1995 Supreme Court judgment in the C. Ravichandran Iyer case, details the various stages of the investigation into complaints against sitting high court judges.
    • It requires the Chief Justice of India to constitute a three-member panel of Supreme Court judges to enquire into a complaint of misconduct received by the CJI against a sitting judge.
    • The procedure, however, does not expressly provide for a mechanism to constitute a committee when the complaint is against the CJI himself.
    • Controversy erupted when CJI constituted the bench by himself to probe a complaint against himself. The bench consisted of senior most judges of SC who will be CJI in near future. Since the current CJI will recommend the name of the next CJI, this raises the question of conflict of interest.
    • The committee lacked overall representation of all stakeholders of SC e.g bar council, employees etc. It also violates the principle of natural justice.

    Other Issues with the Indian judiciary

    • Large vacancies: When it comes to vacancies, the Supreme Court has three seats vacant (out of 34), High Courts have 380 seats vacant (out of 1,108) and district and subordinate courts have 5,342 vacant seats (out of 24,631). This causes delays in cases solving and denial of justice to citizens.
    • Large pendency of cases: According to an answer in the Rajya Sabha on August 4, the lower courts have around 4.1 crore pending cases while the High Courts have around 60 lakh pending cases. Further, the Supreme Court pendency is around 71,000 cases.
    • Uncle judge syndrome: The Law Commission of India in their 230th Report has mentioned the matter of appointment of ‘Uncle Judges’ in the High Courts, wherein it is said that the Judges, whose kith and kin are practicing in a High Court, should not be appointed in the same High Court. Chief Justice can recommend judges from the Bar to be appointed as the judge of the High Court. In this situation, kith and kin of those appointed as judges and practicing in the High Court are likely. To correct the situation, judicial standards are being prescribed for the judges in the Judicial Standards and Accountability Bill, 2012 which has been passed by Lok Sabha already.
    • Conflict with the executive: there have been rising conflicts between the executive and the judiciary wings over multiple matters such as delays in judicial appointment by the center, Tribunalisation of justice, open criticism of the executive during COVID times etc. this leads to the creation of tensions and mistrust between the two branches.
    • Judicial activism and overreach: “Judicial Activism” refers to the process in which the judiciary steps into the shoes of the legislature and comes up with new rules and regulations, which the legislature ought to have done earlier. Judicial Overreach refers to an extreme form of judicial activism where arbitrary, unreasonable and frequent interventions are made by the judiciary into the legislature’s domain, often to disrupt the balance of powers between the executive, legislature and judiciary. Both issues have led to the creation of friction between the two branches.
    • Post-retirement benefits: there have been several instances where several judges have been appointed to political and executive offices after their retirement. For example, former CJI Ranjan Gogoi was made a Rajya sabha member even before the end of his cooling-off period after retirement. This erodes the trust of people in the judiciary and affects judges neutrality.
    • Corruption in lower courts: Judicial corruption takes two forms: political interference in the judicial process by the legislative or executive branch, and bribery. In 2013, 36% of citizens reported paying a bribe to the judiciary, a sad reality validated by many senior judges themselves. A 2007 survey that disaggregated bribe recipients showed that 59% of respondents paid bribes to lawyers, 5% to judges, and 30% to court officials for speedy and favorable judgments.
    • Increasing Recusal of judges:  Recusal is the “removal of oneself as a judge or policymaker in a particular matter, especially because of a conflict of interest.In the Central Bureau of Investigation case, 3 Judges recused themselves from hearing the case challenging the appointment of M. Nageswara Rao as interim director of the Central Bureau of Investigation. Moreover, In the Ayodhya- Ramjanmabhoomi case, Justice U.U. Lalit recused him from hearing the dispute over land in Ayodhya after being pointed out that the judge had appeared for former Uttar Pradesh Chief Minister Kalyan Singh in a related contest.

    Thus, Reforms are needed

    • Balancing independence and accountability: One of the reasons for having stronger judicial accountability is to strike a balance between judicial accountability and judicial independence. They can be considered to be complementary to each other. Both these concepts aim to bring about judicial courage and judicial integrity is to be enforced together to increase the efficiency of the working of the judicial system.
    • Reform on case management: to reduce the frequency of adjournments and better case listing: A bench of three justices of the Supreme Court, in a judgment delivered in August 2005, had drawn up a fine blueprint on case management, on how to make recent amendments in our procedural laws work on the ground, and how to get more cases moving along: For instance, on three different tracks, fast track, normal track and slow track.
    • Supreme court should directly administer High courts: It is time that the Supreme Court be entrusted with direct responsibility for the functioning of the high courts: Only then can the highest court be an effective apex court, and only then can the Supreme Court be made answerable, as it should be, for judicial governance for the entire country.
    • Public disclosure of income by judges: Judges must make annual financial disclosure statements, not privately to their respective chief justices, but publicly. It is done by justices of the Supreme Court.
    • Removing the disparity between retirement ages of HC and SC judges: High Court judges now retire at 62 and Supreme Court judges at 65.  It is high time that we did away with the disparity between the retirement ages of the High Court and Supreme Court judges.
    • Create a cadre of public service for retired judges: It would be worthwhile reform to create a cadre of public service for retired judges and from this pool make appointments to the constitutional and statutory posts and special assignments. We should have a culture of public service for senior judges, and those who do not fit in such a culture should not be a part of senior ranks.
    • Reform in the process of appointment of Chief Justice of India: It is generally assumed that the senior judge of the Supreme Court should be the Chief Justice of India. The Constitution mandates no such thing. Article 124 merely states that the President will appoint every judge of the Supreme Court, and this includes the Chief Justice, and each of these judges shall hold office until they attain the age of 65 years. There is no good reason why any one particular person should have a vested interest in the top job, and we are better served by eliminating such expectations.
    • Creation of National Judicial Infrastructure Corporation (NJIC): The CJI has pitched to set up a National Judicial Infrastructure Corporation (NJIC) to develop judicial infrastructure in trial courts. Experience shows that budgetary allocation for state judiciary often lapses since there is no independent body to supervise and execute such works. NJIC is expected to fill this vacuum and overcome problems related to infrastructure.
    • Creation of a National Court of Appeal: The National Court Appeal with regional benches in Chennai, Mumbai and Kolkata is meant to act as the final court of justice in dealing with appeals from the decisions of the High Courts and tribunals within their region in civil, criminal, labor and revenue matters. In such a scenario, a much-relieved Supreme Court of India situated in Delhi would only hear matters of constitutional law and public law.
    • Creating All Indian Judiciary Services: It would be a landmark move to create a pan-India Service that would result in a wide pool of qualified and committed judges entering the system.
    • Technology infusion: The ethical and responsible use of AI and ML for the advancement of efficiency-enhancing can be increasingly embedded in legal and judicial processes.
    • Improving Legal education: This should be in alignment with the evolving dynamics of the law and must be propagated in trial and constitutional courts. This will improve the competence of the judicial system.
    • Promote Alternate Dispute Resolution (ADR): ADR mechanisms should be promoted for out-of-court settlements. Primary courts of appeal should be set up.
    • Dispensation in local languages: For making the entire judicial system more understandable to the common man, one way is the use of the local languages in courts.

    International Model: How judiciary in the USA maintain its credibility and accountability?

    • Judicial council act: In the United States, under the Judicial Councils Act, 1980, task of judicial independence has been gladly undertaken by the judges. But regrettably, so far, there is no law in India to guide our judges only “guidelines”. There is a felt need for a law.
    • Judges investigate the judges: The 1980 US Act confers powers on bodies comprised of judges to take such action against a federal judge “as is appropriate, short of removal.”
    • A case study of America: Under this law, some time ago, a committee of fellow judges had investigated complaints against a federal district judge, John McBryde; the Judicial Council reprimanded him and suspended him from hearing new cases for a year.
    • Corruption Investigation Not violating the judicial independence: McBryde challenged the decision. He argued that the 1980 law violated the judicial independence that the US Constitution had guaranteed to life-tenured federal judges, But a US Court of Appeals rejected all these pleas.
    • Oversight of judges is not interference: It accepted the argument of the US Solicitor-General that judicial independence, protected by Article III of the US Constitution, was meant to insulate judges from interference from other branches of government and not from oversight by other judges.

    Steps taken to Improve Judicial functioning

    • Legal: Enactment of the Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act 2015 To ensure speedy and fair disposal of ‘commercial disputes, especially those of high value.Also, Draft National Litigation Policy under formulation to make Government a responsible and efficient litigant.
    • Technological: A web portal Legal Information and Management Based System (LIMBS) set up for monitoring of Court Cases of the entire GOI.Also, theeCourts Mission Mode Project has been taken up for universal computerization of district and subordinate courts with an objective of providing designated services to litigants, lawyers and the judiciary. AI-powered SUPACE portal has also been launched.
    • Increased strength and appointments: Appointment of Judges in higher judiciary undertaken. 86 additional Judges made permanent, 51 newly appointed and the appointment of another 170 is being processed. Judges’ sanctioned strength of the High Courts increased from 906 on 01.06.2014 to 1065 as on 27.4.2016.
    • Development of Infrastructure facilities: Department of Justice has been implementing a Centrally Sponsored Scheme for the Development of Infrastructure Facilities for the Judiciary.
    • Promotion of alternate Dispute Resolution Mechanism: through the National Legal Services Authority (NALSA) at the national level and State Legal Services Authorities at the State level.

    Conclusion

    • Judicial challenges need to be tackled at multiple levels, instead of a single-pronged approach of merely looking at appointments or more courts. Judicial independence and Judicial accountability need to be balanced well.
    • It requires coordination and cooperation between the government, the Judiciary, the Bar, and the general public. Each is a stakeholder and is also responsible for ensuring that the system works. 

    “Like old clocks, our judicial institutions need to be oiled, wound up and set to true time” 

  • [Burning issue] Future of Reservations in India

    reservation

    Click and get your FREE Copy of CURRENT AFFAIRS Micro Notes

    Context

    • In the recent EWS judgment by the Supreme Court, Three judges on the Constitution Bench said the policy of reservation in education and employment cannot continue for an indefinite period.
    • The statement made highlights the issue of reservations in India. Therefore, this edition of the burning issue will analyze the issue of reservations in India, its future, challenges and way forward.

    About the Reservation Policy of India

    • Reservation is a system of affirmative action in India that provides for historically disadvantaged groups.
    • The legal origin of the Reservation Policy in India began with the lying down of the Government of India Act, of 1919, and the Communal award in 1932.
    • Post-independence, based on provisions in the Indian Constitution (Article 15, Article 16 and Article 335), it allows the Union Government and the States and Territories of India to set reserved quotas or seats, which lower the qualifications needed in exams, jobs openings, university admissions, scholarships, promotions, etc. for “socially and educationally backward citizens.
    • Reservation is primarily given to all 4 groups: Scheduled Castes, Scheduled Tribes, Other Backward Classes, and Economically Weaker Section, abbreviated as SC, ST, OBC, and EWS respectively. Originally only SC and ST communities were eligible for reservation.
    • In 1987, it was extended to include OBCs after the implementation of the Mandal Commission report. In 2019, the reservation was extended for the Economically Weaker Section within the General Category, however, all the categories mentioned receive different monetary values for their reservation: usually SC, and ST draws higher quota or benefits, then OBC, then EWS.

    Constitutional provisions regarding the reservation

    The Constitution of India lays down certain provisions regarding the reservation in India, namely:

    • Article 15(4) of the Indian Constitution states that the State has the right to make special provisions for the advancement of any socially and educationally backward classes of citizens or the Scheduled Castes and the Scheduled Tribes.
    • Article 15(5) of the Indian Constitution states provisions created for the reservation of SC, ST, and Backward classes in private educational institutions.
    • Article 16(4) of the Indian Constitution states that the State has the right to make provisions for the reservation to provide adequate representation of all the castes in Government services.
    • Article 330 and 332 of the Indian Constitution provides for specific representation through the reservation of seats for SCs and STs in the Parliament and the State Legislative Assemblies respectively.

    Current situation of reservations in India

    • Currently, Reservation is given to different categories of applicants in educational institutions or government jobs.
    • Scheduled Castes get 15%, Scheduled Tribe -7.5%, Other Backward Class (OBC) -27%, Economically Weaker Sections (EWS)-10%, and Persons with Benchmark Disabilities get 4% reservation.
    • From above, it is clear that 60% reservation is given to various categories such as SCs, STs, OBC, and EWS with respect to government jobs and educational institutions.
    • Initially, the reservation was provided based on social and educational backwardness. But, after the 103rd Constitutional Amendment of 2019, economic backwardness was also considered for reservation.
    • Every state has the right to reserve certain seats for underprivileged people. The state-wise distribution of reservations varies from state to state. For example, The total reservation in Maharashtra State was 52%, Tamil Nadu has 69% reservation etc.

    The biggest debate related to Reservations: Should reservations continue?

    Yes, it should!

    • The low representation of Reserved communities: According to data presented by the Education Minister in the Rajya Sabha, in Indian Institute of Science (IISc) Bengaluru, only 2.1 per cent of candidates admitted to the Ph.D. programs were from the ST category, 9 per cent were from SC and 8 per cent from OBC categories from 2016-2020. Most of the IITs do not have a single professor from the SC/ST community.
    • Still lack equal opportunity: Even though India is progressing, still there is a need to provide reservations to certain classes of society. It is the duty of the government to provide equal opportunity and status to unprivileged people. Even today many people belong to the lower caste and do not have access to equal opportunity and status.
    • Discrimination continuing: the real purpose of introducing reservation was to break the age-old caste prejudices and discrimination against the reserved communities. But, Even after years of independence, the lower caste people are looked upon in the same way they were some years ago. Great caste discrimination still exists in rural areas.
    • Gives a Level Playing field: Reservation provides a level playing field as it is difficult for the backward sections who were historically deprived of education, skills, and economic mobility to suddenly start competing with those who had access to those means for centuries.
    • Reducing opportunities for reserved community: since LPG reforms, the privatization of PSU and the education sector has led to reduced opportunities for the reserved communities due to a lack of reservation in the private sector hence reservations in public institutions seem to be a tool to compete with general category candidates.

    The flip side. Reservation should not continue!

    • Causing a “race to backwardness”: the reservation policy has led to race among several new communities, even dominant regional caste groups to demand reservations in government jobs and educational institutions.   
    • Becoming redundant: Reservation through a caste-based system has become redundant in the modern age and is taking away opportunities from those who are underprivileged in economical terms.
    • Strengthening casteism: Moreover, the reservation system only divides the society leading to discrimination and conflicts between different sections since it is oppressive and does not find its basis in casteism. It is promoting casteism in India.
    • Ever widening quotas: with new castes, categories and tribal communities being added to the list the beneficiaries of the reservations, the quantum of the reservation is increasing year by year, breaching the 50% quota limit set by SC in the Indira Sawney case.
    • Loss of original purpose of reservations: According to Surith Parthasarthy, Advocate Madras HC, the reservation policy today has lost its original purpose to end the prejudice against certain communities and correct historical injustice. But today it has become a tool to gain public employment and seats in public educational institutes.
    • Reservation is not a fundamental right: It is a settled law, time and again reiterated by the Supreme Court, that there is no fundamental right to reservation or promotion under Article 16(4) or Article 16(4 A) of the Constitution. Rather they are enabling provisions for providing reservation if the circumstances so warrant (Mukesh Kumar and Another vs State of Uttarakhand & Ors. 2020).
    • An inefficient system: TheJustice G. Rohini Commission’s report concluded that 97% of central OBC quota benefits go to just under 25% of its castes. As many as 983 OBC communities — 37% of the total — have zero representation in both central government jobs and admissions to central universities. Also, the report states that just 10% of the OBC communities have accrued 24.95% of jobs and admissions.
    • Opening pandora box: the reservation issue is giving rise to new challenges like the demand for caste census, the definition of creamy layers, reservation in the private sector, domicile-based reservations etc.

    Important Supreme Court cases related to Reservations

    Indra Sawhney Judgment (1992)

    • In the judgment, a nine-judge bench presided by CJI MH Kania upheld the constitutionality of the 27% reservation.
    • But it put a ceiling of 50% unless exceptional circumstances warranted the breach so that the constitutionally guaranteed right to equality under Article 14 would remain secure.
    • While Article 16(1) is a fundamental right, Article 16(4) is an enabling provision and not an exception.
    • Further, the Court directed the exclusion of the creamy layer by way of horizontal division of every other backward class into creamy layer and non-creamy layer.

    M. Nagaraj (2006) Case

    • A five-judge bench of the Supreme Court declared the 1995 amendment as not vocative of the basic structure of the Constitution.
    • It laid down certain conditions which included the collection of quantifiable data showing the backwardness of the class and inadequacy of representation of that class in public employment.
    • The bench held that the creamy layer among SCs and STs is to be excluded from the reservation.

    Jarnail Singh vs Lachhmi Narain Gupta (2018)

    • It was authored by Justice Rohinton Nariman and indicates a critical turn in the jurisprudence of reservation.
    • In this case, a constitutional bench of the Supreme Court was called on to examine the wisdom of the 2006 judgment.
    • This task was to examine the constitutionally recognized socio-economic backwardness of the SCs and STs which may not require any further substantiation.
    • It was also contended that the requirement to identify creamy lawyers among SC and STs fell foul of Indra Sawhney’s decision.
    • The constitution bench invalidated the requirement to collect quantifiable data in relation to SCs and STs.
    • It upheld the principle of applicability of creamy lawyers in relation to SCs and STs.

    Dr. Jaishri Laxmanrao Patil vs Chief Minister (2021)

    • Despite the Indra Sawhney ruling, there have been attempts on the part of many States to breach the rule by way of expanding reservation coverage.
    • The Maharashtra Socially and Educationally Backward Classes Act 2018, (Maratha reservation law) came under challenge before the Supreme Court.
    • This case was referred to a bench of five judges to question whether the 1992 judgment needs a relook.
    • Interestingly, the Supreme Court affirmed the Indra Sawhney decision and struck down Section 4(1)(a) and Section 4(1)(b) of the Act which provided 12% reservation for Marathas in educational institutions and 13% reservation in public employment respectively.
    • This judgment gave out a strong message that some State governments blatantly disregard the stipulated ceiling on electoral gains rather than any exceptional circumstances.

    What is needed right now- Reforms!

    • Evidence-based policy option: We need to develop a wide variety of context-sensitive, evidence-based policy options that can be tailored to meet the specific requirements of specific groups.
    • Institution: We need an institution like the Equal Opportunities Commission of the United States or the United Kingdom which can undertake two important but interrelated things: Make a deprivation index correlating data from the socio-economic-based census of different communities. And Undertake an audit on the performance of employers and educational institutions on non-discrimination and equal opportunity and issue codes of good practice in different sectors.
    • This will make the formulation of policy and its monitoring simpler at an institutional level.
    • Similar suggestions were made a decade ago in the recommendations that the expert committee for an Equal Opportunities Commission (2008) made in its comprehensive report that it submitted to the Ministry of Minority Affairs.

    Conclusion

    • The policy of reservation can be fair and effective if it acts as affirmative action for the benefit of the backward sections of society. To meet the aim of the reservation policy, its aid should reach the majority of the population which is considered an underprivileged section of society.
    • In the present time, there is a need to revise the reservation policy of India so that the benefit can reach the marginalized sections of the deprived classes. But while revising the reservation policy, we must ensure that the benefit of the reservation should reach the socially, economically, and educationally backward sections of society. Social, educational and economic criteria should be taken cumulatively to determine the backward classes of the society.

    As Justice Ravindran in the Ashok Kumar Thakur vs Union of India case rightly said, “When more people aspire for backwardness rather than of forwardness, the country itself stagnates”.

  • [Burning issue] World Energy Outlook Report 2022

    energy

    Click and get your FREE Copy of CURRENT AFFAIRS Micro Notes

    Context

    • Recently, the International Energy Agency released its flagship World energy outlook report. The report analyses the current and future energy of the world and specific regions.
    • In this context, this edition of the burning issue is highlighting the key observations made in the report about the energy scenario of the world and the relevant way forward.

    About the WEO Report

    • The World Energy Outlook report is the International Energy Agency’s annual publication
    • and is recognized as the authoritative source for global energy projections and analysis.
    • The report presents detailed projections of production, energy demand, trade and investment, and fuel by fuel region-wise.
    • It offers crucial insights into the world’s energy demand and supplies under various scenarios and the implications for energy security, climatic goals, and economic growth.

    Three Possible Scenarios

    The Outlook has explored three scenarios that provide a framework for thinking about the future of energy and exploring the implications of various policy choices, investment trends, and technology dynamics. The scenarios are:  

    • Stated Policies Scenario (STEPS): which looks not at what governments say they will achieve, but at what they are actually doing to achieve the targets and objectives they have set out, and assesses where this leads the energy sector.  
    • Announced Pledges Scenario (APS): which examines where all current announced energy and climate commitments – including net zero emissions pledges as well as commitments in areas such as energy access – would take the energy sector if implemented in full and on time.  
    • Net Zero Emissions by 2050 Scenario: which maps out a way to achieve a 1.5 °C stabilization in global average temperature and meet key energy‐related UN Sustainable Development Goals. 

    Key findings of the report – World View

    (A) Global energy crisis and the world economy:

    • Russia’s invasion of Ukraine has sparked a global energy crisis. According to the report, Russia’s actions have turned a rapid economic recovery from the pandemic into full‐blown energy turmoil.
    • The crisis has stoked inflationary pressures and created a looming risk of recession, as well as a huge USD 2 trillion windfalls for fossil fuel producers above their 2021 net income.

    (B) Is the crisis a boost, or a setback, for energy transitions?

    • With energy markets remaining extremely vulnerable, today’s energy shock is a reminder of the fragility and unsustainability of our current energy system. A key question for policymakers is whether the crisis will be a setback for clean energy transitions or will catalyze faster action.
    • Climate policies and net zero commitments were blamed in some quarters for contributing to the run‐up in energy prices, but there is scant evidence for this.
    • In the most affected regions, higher shares of renewables were correlated with lower electricity prices, and more efficient homes and electrified heat have provided an important buffer for some – but far from enough – consumers.

    (C) Policy responses are fast‐tracking the emergence of a clean energy economy

    • New policies in major energy markets help propel annual clean energy investment to more than USD 2 trillion by 2030.
    • Clean energy becomes a huge opportunity for growth and jobs, and a major arena for the international economy. As markets rebalance, renewables, supported by nuclear power, see sustained gains; the upside for coal from today’s crisis is temporary.
    • The increase in renewable electricity generation is sufficiently fast to outpace growth in total electricity generation, driving down the contribution of fossil fuels for power competition.

    (D) Fossil fuel peak into view now

    • For the first time, a WEO scenario based on prevailing policy settings has the global demand for each of the fossil fuels exhibiting a peak or plateau.
    • In the STEPS, coal use falls back within the next few years, natural gas demand reaches a plateau by the end of the decade, and rising sales of electric vehicles (EVs) mean that oil demand levels off in the mid‐2030s before ebbing slightly to mid‐century.
    • Global fossil fuel use has risen alongside GDP since the start of the Industrial Revolution in the 18th century: putting this rise into reverse while continuing to expand the global economy will be a pivotal moment in energy history.

    (E) Led by clean electricity, some sectors are poised for a faster transformation

    • Investments in clean electricity and electrification, along with expanded and modernized grids, offer clear and cost‐effective opportunities to cut emissions more rapidly while bringing electricity costs down from their current highs.
    • Today’s growth rates for the deployment of solar PV, wind, EVs and batteries, if maintained, would lead to a much faster transformation than projected in the STEPS, although this would require supportive policies not just in the leading markets for these technologies but across the world.
    • Supply chains for some key technologies – including batteries, solar PV and electrolyzers – are expanding at rates that support higher global ambition.

    (F) Efficiency and clean fuels get a competitive boost

    • Today’s high energy prices underscore the benefits of greater energy efficiency and are prompting behavioral and technology changes in some countries to reduce energy use.
    • Demand for cooling needs to be a particular focus for policymakers, as it makes the second‐ largest contribution to the overall rise in global electricity demand over the coming decades (after EVs).
    • In the STEPS, cooling demand in emerging and developing economies rises by 2 800 terawatt‐hours by 2050, which is the equivalent of adding another European Union to today’s global electricity demand.
    • This growth is reduced by half in the APS because of tighter efficiency standards and better building design and insulation bolstered by stronger policy support – which are brightening the prospects for many low‐emissions fuels.

    However, there is a FLIP SIDE too

    (A) Rapid transitions ultimately depend on investment

    • A huge increase in energy investment is essential to reduce the risks of future price spikes and volatility and to get on track for net zero emissions by 2050.
    • From USD 1.3 trillion today, clean energy investment rises above USD 2 trillion by 2030 in the STEPS, but it would have to be above USD 4 trillion by the same date in the NZE Scenario, highlighting the need to attract new investors to the energy sector.
    • Governments should take the lead and provide strong strategic direction, but the investments required are far beyond the reach of public finance. It is vital to harness the vast resources of markets and incentivize private actors to play their part.
    • Shortfalls in clean energy investment are largest in emerging and developing economies, a worrying signal given their rapid projected growth in demand for energy services.

    (B) What if transitions don’t pick up?

    • If clean energy investment does not accelerate as in the NZE Scenario then higher investment in oil and gas would be needed to avoid further fuel price volatility, but this would also mean putting the 1.5 °C goal in jeopardy.
    • In the STEPS, an average of almost USD 650 billion per year is spent on upstream oil and natural gas investment to 2030, a rise of more than 50% compared with recent years. This investment comes with risks, both commercial and environmental, and cannot be taken for granted.

    India-specific observations in the report

    • Coal and gas production to peak: India’s coal generation and oil imports are going to peak in 2030, while gas imports will double around the same time.
    • Challenge of electricity sufficiency: The primary challenge for the country is going to be about meeting its rising electricity demand. It said India will have to find out ways to meet this increasing demand with renewables and nuclear on a scale that is large enough to reduce the use of “unabated coal‐fired generation”, which provides nearly three‐quarters of the electricity supply currently.
    • 2nd Largest coal producer now: It revealed that India became the world’s second‐largest coal producer in 2021 (in energy terms), overtaking Australia and Indonesia, and that it plans to increase domestic production by more than 100 million tonnes of coal equivalent (Mtce) by 2025 from the current levels.
    • Again rise in coal demand: Coal demand in India rose rapidly between 2010 and 2019, mainly as increases in electricity demand were largely met through coal‐fired power. Coal use in India dropped by 7 percent in 2020 due to the pandemic, but increased by 13 percent in 2021, therefore already surpassing the 2019 levels.
    • Rising energy demand: India becomes the world’s most populous country by 2025 and, combined with the twin forces of urbanisation and industrialisation, this underpins rapid growth in energy demand, which rises by more than 3 percent per year in the stated policies scenario (STEPS) from 2021 to 2030. It sees the largest increase in energy demand of any country,
    • Possible energy security: Even though India continues to make great strides with renewables deployment and efficiency policies, the sheer scale of its development means that the combined import bill for fossil fuels doubles over the next two decades in the STEPS, with oil by far the largest component. This points to continued risks to energy security. 
    • Oil imports to peak soon: Coming to oil imports, the IEA found that in the APS, India’s oil imports will peak in the 2030s and fall below the current level by 2050.

    What should be done for a better energy transition

    • Affordable transition: A focus on affordable, secure transitions based on resilient supply chains from non-renewables to renewables should be made. A new energy security paradigm is needed to maintain reliability and affordability while reducing emissions. The Outlook includes ten principles that can help guide policymakers through the period when declining fossil fuel and expanding clean energy systems co‐exist.
    • Scale up clean energy technologies: Synchronise scaling up a range of clean energy technologies with scaling back fossil fuels.
    • Promote energy efficiency also: Tackle the demand side and prioritize energy efficiency. The energy crisis highlights the crucial role of energy efficiency and behavioral measures to help avoid mismatches between demand and supply.
    • Inclusive energy economy: Reverse the slide into energy poverty and give poor communities a lift into the new energy economy.
    • Bring down the cost: Collaborate to bring down the cost of capital in emerging markets and developing economies. The cost of capital is a signal of the real and perceived risks associated with the investment, and it is higher in many emerging markets and developing economies than elsewhere.
    • Promote supply chain resilience: Ensure diverse and resilient clean energy supply chains. High and volatile critical mineral prices and highly concentrated supply chains could delay energy transitions or make them more costly.
    • Foster the climate resilience of energy infrastructure: The growing frequency and intensity of extreme weather events present major risks to the security of energy supplies.

    Conclusion

    • The energy crisis promises to be a historic turning point towards a cleaner and more secure energy system. The alignment of economic, climate and security priorities has already started to move the dial toward a better outcome for the world’s people and the planet.
    • Much more remains to be done, and as these efforts gather momentum, it is essential to bring everyone on board, especially at a time when geopolitical fractures on energy and climate are all the more visible. This means redoubling efforts to ensure that a broad coalition of countries has a stake in the new energy economy.
    • The journey to a more secure and sustainable energy system may not be a smooth one. But today’s crisis makes it crystal clear why we need to press ahead.

    Click and get your FREE Copy of CURRENT AFFAIRS Micro Notes

  • [Burning Issue] The Case of Governor’s Activism

    governor

    Click and get your FREE copy of Current Affairs micro notes

    Context

    • A tweet put out recently by the office of the Kerala Governor evoked nationwide attention. The Governor sent a letter to the Kerala CM asking him to act against the State Finance Minister, who, according to the Governor, had “ceased to enjoy” the Governor’s “pleasure”. The Chief Minister declined to do so.
    • In the recent past, Indian parliamentary democracy has witnessed several examples of Governor’s activism from Maharashtra to west Bengal with this being the latest incident.
    • In this context, this edition of the Burning issue will analyze the issues related to the Governor’s office, and the governor’s Activism and suggest a way forward.

    About Governors Post in India

    • Parallel to President: The Governors of the states of India have similar powers and functions at the state level as those of the President of India at the Central level. The Governor’s post finds its origin in the Government of India Act, 1935.
    • Nominal head: The Governor acts as the nominal head whereas the real power lies with the Chief Ministers of the states and her/his councils of ministers.

    Constitutional Provisions related to the Governor

    • Article 154: The executive power of the state shall be vested in the
      Governor and shall be exercised by him either directly or through
      officers subordinate to him in accordance with this Constitution.
    • Article 163 (1): There shall be a council of ministers with the chief minister as the head to aid and advise the Governor in the exercise of his functions, except in so far as he is required to exercise his functions at his discretion.
    • Article 163 (2): If any question arises whether a matter falls within the Governor’s discretion or not, the decision of the Governor is final and the validity of anything done by him cannot be called in question on the ground that he ought or ought not to have acted in his discretion.

    Governor’s Constitutional and Situational Discretion

    Constitutional Discretion

    • Reservation of a bill for the consideration of the President (Articles 200 and 201).
    • Recommendation for the imposition of the President’s Rule in the state (Article 356).
      While exercising his functions as the administrator of an adjoining Union territory (in case of an additional charge).
    • Special responsibility for 5th and 6th schedule areas.
    • Seeking information from the chief minister with regard to the administrative and legislative matters of the state.

    Situational discretion

    • Appointment of the chief minister when no party has a clear-cut majority in the state legislative assembly or when the chief minister in office dies suddenly and there is no obvious successor.
    • Dismissal of the council of ministers when it cannot prove the confidence of the state legislative
      assembly.
    • Dissolution of the state legislative assembly if the council of ministers has lost its majority.

    Legislative Powers of the Governor

    • Governor summons the sessions of both houses of the state legislature and prorogues them.
    • The Governor can even dissolve the State Legislative Assembly.
    • These powers are formal and the Governor’s use of these powers must comply with the advice of the Council of Ministers headed by the Chief Minister.
    • He addresses the first session of the state legislature after the general elections in the state.

    Appointments to the legislature

    • He appoints 1/6th of members of the State Legislative Council in states wherever there is a bicameral legislature.
    • He nominates one member in the state legislative assembly from the Anglo-Indian Community if in view; the community is not well represented.
    • Governor is empowered under Article 192 to disqualify a member of the State legislature when the election commission recommends that the legislator is no longer complying with provisions of Article 191.

    Passing of Bills

    • All the bills passed by the state legislatures are sent to the Governor for assent.
    • Once a bill is sent to Governor for assent, he can give assent to the bill, Withhold the assent, Return the bill to the legislature for reconsideration if it is not a money bill or Reserve the bill for consideration of the President.
    • If the bill is re-passed by the legislature with or without amendment, the Governor has to give assent to the bill.

    When is the Bill sent to the President?

    • This is done under the circumstances when a bill:
    • Violates the constitution or against directive principles of state policy (DPSP)
    • Conflict with union powers
    • Against the larger interest of the country and people
    • May endanger the position of the high court in the state.

    Ordinance making power

    • When the state legislature is not in session and the Governor considers it necessary to have a law, then the Governor can promulgate ordinances.
    • These ordinances are submitted to the state legislature at its next session.
    • They remain valid for no more than six weeks from the date the state legislature is reconvened unless approved by it earlier.

    Executive functions of the Governor include

    • An important function of the Governor is to appoint the Chief Minister of the State.
    • Other ministers are also appointed by the Governor on the advice of the Chief Minister.
    • The ministers including the Chief Minister hold office at the pleasure of the Governor.
    • The Governor has the constitutional right to know the decisions of the Council of Ministers relating to the administrative affairs of the State and the proposals for legislation.

    Nani A. Palkhivala- “The Constitution intended that the Governor should be the instrument to maintain the fundamental equilibrium of the people of the State and to ensure that the mandates of the Constitution are respected in the State”. 

    Storm in news: Doctrine of pleasure

    • The Doctrine of Pleasure is a special prerogative of the British Crown where a servant of the Crown holds office during the pleasure of the Crown and he can be dismissed from the service of the Crown at pleasure.
    • The tenure of the office of a civil servant can be terminated at any time without assigning any cause. The justification for the rule is that the crown should not be bound to continue in public service for any person whose conduct is not satisfactory.
    • In India, Article 310 of the Constitution says every person in the defense or civil service of the Union holds office during the pleasure of the President, and every member of the civil service in the States holds office during the pleasure of the Governor. However, Article 311 imposes restrictions on the removal of a civil servant. 
    • Under Article 164, the Chief Minister is appointed by the Governor; and the other Ministers are appointed by the Governor on the CM’s advice. It adds that Ministers hold office during the pleasure of the Governor.
    • ISSUE: In a constitutional scheme in which they are appointed solely on the CM’s advice, the ‘pleasure’ referred to is also taken to mean the right of the Chief Minister to dismiss a Minister and not that of the Governor. This is what lies at the core of the Kerala Governor and Chief Minister’s current controversy.

    Other Issues with Governors in India

    • Appointment by Union Only: This often leads to the appointment of persons aligning with the party’s ideology to the post of Governor and he/she remains faithful to the Union government of the day rather than acting on the advice of the State Executive.
    • Arbitrary removal: Even after the Supreme Court Judgement in B.P. Singhal v. Union of India calling for a fixed tenure for Governors to encourage neutrality and fairness in the discharge of their duties, it is not being implemented on the ground.
    • Withholding or delaying assent to State bills: The question of whether a Governor is permitted by the Constitution to cause uncertainty in the matter of giving assent to the Bills passed by State legislatures assumes great importance, the best example of it being the NEET bill controversy in Tamil Nadu.
    • Presidential Assent: The provision concerned makes it clear that a Bill can be reserved for the consideration of the President only if the Governor forms an opinion that the Bill would endanger the position of the High Court by whittling away its powers. The Constitution does not mention any other type of Bill which is required to be reserved for the consideration of the President. Nevertheless, the courts have conceded a certain discretion to the Governors in the matter of sending Bills to the President.
    • Constitution ambiguity: The Constitution does not mention the grounds on which a Governor may withhold assent to a Bill.
    • No remedy: The Indian Constitution does not provide any such remedy to tackle the above issue. The courts too have more or less accepted the position that if the Governor withholds assent, the Bill will go. Thus, the whole legislative exercise will become fruitless. It does not square with the best practices in old and mature democracies.
    • Lack of a timeline: Since the Constitution does not fix any timeline for the Governor to decide the question of assent, he can wait for any length of time without doing anything. This is illogical and militates against the constitutional scheme in respect of law-making by the legislatures.
    • Misuse of discretionary powers: States allege that this provision has often been misused by the Governor who acts on the behest of the union government which is opposed to the basic scheme of the Indian Constitution.
    • Contradictory Aid and advise and Discretion: Article 163(1) says that the Council of Ministers must aid and advise the Governor. However, according to Article 163(2), the Governor can act at his discretion in certain matters as permitted by the Constitution
    • Apparatus of interaction missing: There are no provisions laid down for how the Governor and the state must engage publicly when there is a difference of opinion. The management
    • Political appointment: This is because Governors have become political appointees. Politicians become Governors and then resign to fight elections.
    • Nature of appointment: In the Constitution, there are no guidelines for the exercise of the Governor’s powers, including for appointing a CM or dissolving the Assembly.
    • Defying constituent assembly: The Constituent Assembly envisaged Governor to be apolitical.
    • Nature of appointment: The CM is answerable to the people. But the Governor is answerable to no one except the Centre.
    • Constitutional vacuum: One can relate it with ideas of constitutional morality and values, but the truth is there is a fundamental defect in the Constitution.
    • Security of Tenure: There is no provision for impeaching the Governor, who is appointed by the President on the Centre’s advice. While the Governor has 5-year a tenure, he can remain in office only until the pleasure of the President.
    • Powers in legislation: There is no limit set for how long a Governor can withhold assent to a Bill.

    SC judgments related to Governor’s post

    B.P. Singhal Vs Union of India

    • In the B.P. Singhal versus Union of India (2010) SC said “A Governor is neither an employee nor an agent of the Union Government… Like the President, Governors are expected to be apolitical, discharging purely constitutional functions, irrespective of their earlier political background.
    • “Governors cannot be politically active. While some of them may come from a political background, once they are appointed as Governors, they owe their allegiance and loyalty to the Constitution and not to any political party.”
    • It was also held that judicial review of withdrawal of pleasure was limited in the case of a Governor and that only when a prima facie case of the arbitrariness of mala fide was made out, could the court require the Centre to produce materials to satisfy itself that the withdrawal of pleasure was for good and compelling reasons.

    Nabam Rebia & others

    • The Nabam Rebia judgment was a consequence of the Arunachal Pradesh Governor J.P. Rajkhowa’s decision to advance the Assembly session, a move which led to unrest in the State and culminated in the President’s rule. The Constitution Bench held Mr. Rajkhowa’s decision to be a violation of the Constitution.
    • The SC said: “It is an accepted principle that in a parliamentary democracy with a responsible form of government, the powers of the Governor as Constitutional or formal head of the State should not be enlarged at the cost of the real executive, viz. the Council of Ministers.”
    • The Supreme Court highlighted how Article 163 of the Constitution does not give the Governor a “general discretionary power to act against or without the advice of his Council of Ministers”.

    Way forward

    • Recommendations of the Punchhi Commission and Sarkaria Commission: should be considered as guiding light for the appointment and conduct of the Governors.
    • Various Supreme Court Judgments should also serve as directions for the union and state governments to deal with the office of Governors.
    • Governor’s office should be apolitical. A collegium involving the CM, opposition, and the judiciary in the selection procedure of the Governor. Governor should be appointed only after consultation with the CM of the state where he/she will work.
    • Constitutional amendments should be done in relevant articles to curtail the Discretionary powers of the Governor, including setting a timeline for assent to bills in important matters.
    • The Governor should diligently follow the “Doctrine of neutrality” to be seen as a patron of the state rather as a ‘union’s agent.

    Conclusion

    • It is worth noting here that during the Constituent Assembly debates Dr. B. R. Ambedkar categorically stated: “If the Constitution remains in principle the same as we intend that it should be, The Governor should be a purely constitutional Governor, with no power of interference in the administration of the province…”

    Click and get your FREE copy of Current Affairs micro notes

  • [Burning issue] Indian Space Industry

    Click and Get your FREE copy of Current Affairs Micro notes             

    Context

    • The Indian Space Research Organisation recently launched a constellation of 36 broadband satellites developed by OneWeb to Low Earth Orbit.
    • This was the first commercial launch for LVM-3 and the mission is being conducted under an agreement between OneWeb and New Space India Limited (NSIL).
    • Also, the Principal Scientific Adviser Ajay Kumar Sood stated in July 2022 that the government would soon come up with a new space policy to increase private sector participation in the industry.
    • In this context, in this edition of the burning issue, we will be analyzing the Indian Space Industry in detail and suggest what more needs to be done to further improve the industry.

    Vision and Background of the Indian space industry

    • The Indian space program is driven by the vision of Vikram Sarabhai, considered the father of the Indian space program.
    • India’s interest in space travel began in the early 1960s, when scientists launched a Nike-Apache rocket from TERLS, Kerala.
    • The Indian National Committee for Space Research was subsequently set up, which later became the Indian Space Research Organisation (ISRO) functioning under a new independent Department of Space in the 1970s under the Prime Minister of India.
    • India’s space program has impressively evolved for the past 50 years. Throughout the years, ISRO has upheld its mission of bringing space to the service of the common man, and the service of the Nation.
    • Currently, India’s Space Industry is predominantly driven by the national Indian Space Research Organisation (ISRO). The industry includes over 500 private suppliers and other various bodies of the Department of Space in all commercial, research and arbitrary regards.

    Facts about the Indian space industry

    • Among Top 5 nations: In terms of technological capabilities, India ranks among the top 5 space-faring nations of the world.
    • Costing edge over others: India is globally recognized for building low-cost satellites and launch vehicles. The global space economy is estimated at ~US $440 billion.
    • 6th largest market player: As per SpaceTech Analytics, India is the sixth-largest player in the industry internationally having 3.6% of the world’s space-tech companies (as of 2021). The U.S. holds the leader’s spot housing 56.4% of all companies in the space-tech ecosystem. Other major players include the U.K. (6.5%), Canada (5.3%), China (4.7%) and Germany (4.1%).
    • Exponential growth ahead: In 2019, the space industry of India accounted for $7 billion or 2% of the global space industry. Antrix Corporation expects the industry to grow up to $50 billion by 2024 if provided with appropriate policy support.

    Achievements of the Indian space industry

    • Growing budget: India’s total budgetary allocation for FY2022-23 towards the Department of Space was ₹13,700 crore.
    • Startups boom: As per Tracxn data, funding into the sector’s start-ups (in India) nearly tripled to $67.2 million on a year-over-year basis in 2021. There were more than 40 startups in India in early 2021 in various stages of developing their launch vehicles, designing satellites and other allied activities
    • Reliable satellite launcher: By 2019, India had launched more than 300 satellites for various foreign states. ISRO has a record on its name of launching 104 satellites in one go. The recent LVM launch is a further extension of it.
    • Growing Private sector participation: Reforms liberalizing the space sector and nondisclosure agreements came in the late 2010s, leading to the emergence of various private spaceflight companies such as Larsen and Toubro, Godrej aerospace etc.
    • Successful Interplanetary missions: ISRO has launched several interplanetary missions such as the Mars orbiter mission, Chandrayaan 1 and 2. Ambitious missions like Gaganyaan, and Aditya L1 are in pipeline.

    Role of the private sector in the Indian Space Industry

    (A) Initial Growth

    • Over four decades, ISRO continued transferring technologies to small and medium enterprises (SMEs), leading to there being over 500 suppliers of various components in 2017.
    • During 1990’s, The Department of Space actively promoted the growth of the sector, leading to the establishment of the manufacturing of various systems. Large mapping projects for various civilian and military requirements were outsourced by the government, which drove the growth of India’s private space sector. However, the private sector still played a supporting role, while the government continued to dominate the space sector.

    (B) Emergence of startups

    • In the late 2010s, a large number of startups started to emerge throughout the country with their proposals and concepts to develop various satellite technologies and rockets.
    • A range of initiatives to deregulate the private space sector was introduced by Narendra Modi’s cabinet in June 2020, and the Indian National Space Promotion and Authorisation Centre (INSPACe) was established for incubating technology into private firms.
    • Throughout this time, various nondisclosure agreements and tech transfers have been taking place between ISRO and private entities. In February 2020, 35 startups came up in the space sector, of which three focused on designing rockets, 14 on designing satellites, and the rest on drone-based applications and services sector.
    • The number further grew to over 40 in January 2021. Two companies, Skyroot Aerospace and AgniKul Cosmos, have tested their engines and are in the advanced stages of developing their launch vehicles, while others have their launchers in the production pipeline and have launched satellites using ISRO rockets.

    Challenges to the Indian space industry

    • Absence of a framework: The reason for the lack of independent private participation in space includes the absence of a framework to provide transparency and clarity in-laws.
    • Brain drain: Another aspect to throw light on is the extensive brain drain in India, which has increased by 85% since 2005.
    • Policy bottlenecks: Brain drain can be linked to the bottlenecks in policies that create hindrances for private space ventures and founders to attract investors, making it virtually non-feasible to operate in India.
    • Security concerns from private activities: Government worries over knowledge sharing, launch methods, and satellite capabilities have led to a reluctance to allow private actors in the market due to security concerns.
    • Long gestation period: Many approval processes take a long time to complete. Approvals take around a year and a half. This comes at a time when the next three to four years are critical for the sector’s growth.
    • State control: The ISRO is directly controlled by the Department of Space (DOS), which is under the Prime Minister’s Office.
    • Licensing issues: Another regulatory worry is the licensing structure for satellite earth station gateways, which needs to be transformed to make it easier for any satellite operator to set one up.
    • Limited indigenization: Another challenge is promoting indigenous innovation. In the new global climate, the challenge for the country is to continue to benefit from this innovation.
    • Restricted FDI: Presently, FDI in space is allowed under government routes only for satellite establishment and operations. FDI in space is approved by the Government on a case-by-case basis and often this approval takes time.

    Criticisms of Space Programmes

    • For a long, India is known to be making investments in the space arena for social, scientific and security purposes. However, many fundamentalists see investment in space as a waste of money.
    • All previous missions of ISRO are about the race for planetary resources. Unfortunately, it has not planned for any missions to asteroids, an ideal bed for mineral mining.
    • After Chandrayaan-2 failure, there is a danger that future ambitious missions could also end up only as a ‘feel-good program’ with Gaganyaan coming ahead.

    Steps taken to promote the space industry

    • ANTRIX: ISRO’s business branch is called Antrix, which markets ISRO’s space products and technologies to a global audience.
    • Launching of the Indian Space Association (ISpA):  In 2021, the Government of India launched the Indian Space Association (ISpA) to open the Indian space industry to private sectors and start-ups. Several private companies like Larsen & Toubro, Nelco (Tata Group), OneWeb, MapmyIndia, Walchandnagar Industries are founding members of this organization.
    • Establishment of IN-SPACe: The Indian National Space Promotion and Authorisation Centre (IN-SPACe) was mandated with the task of promoting, authorizing and licensing private players to carry out space activities.
    • Establishment of NSIL: New Space India Ltd (NSIL), is mandated to transfer the matured technologies developed by the ISRO to Indian industries.
    • Boost to Atmanirbhar call: This will enhance the diffusion of space technology and boost the space economy within the country, for a resurgent, AatmaNirbhar Bharat. Additionally, it will enable the commercialization of space technology, boost private investments, and prepare the youth as space leaders, and innovations in the sector for the progress of humanity.
    • Increased FDI limit in certain cases: witnessing the change in the approach of the Indian Government towards private player’s involvement, Indian companies will be allowed to invest up to 100% and 70% through FDI with approval of the center in all the streams viz. Upstream, midstream and downstream segments.
    • New Space Activities Bill: As of 2021, a new Space Activities Bill and a space policy are being drafted by NALSAR Centre for Aerospace and Defence laws to regulate space manufacturing and the legal aspects of the industry in India.

    What more needs to be done?

    • Creating a policy and regulatory framework: that is predictable for both ISRO and private firms.
    • Renting ISRO’s facility: Allowing commercial enterprises to rent ISRO testing facilities to test their products and equipment.
    • Improved regulatory clarity: this would result in fewer hurdles to entry for private companies and better synergy between ISRO and private partners.
    • Private companies should be given more incentives: to develop satellites or test rockets, lowering costs and increasing incentives for enterprises to build operational spacecraft.
    • ISRO’s assistance: ISRO should assist the private sector in attracting both domestic and foreign direct investment by offering access to its satellite technology, facilities, and orbital slots (FDI).
    • Need for space legislation in India: India has invested enormous resources in its space program through the ISRO. We need space legislation enabling coherence across technical, legal, commercial, diplomatic and defense goals.

    Conclusion

    • Future readiness is the key to maintaining an edge in technology and ISRO endeavors to optimize and enhance its technologies as the needs and ambitions of the country evolve.
    • Indian space industry thus is at the cusp of major evolution. Strong government handholding and ISRO’s mentorship of startups could play a significant role in the socioeconomic and technological development of India.

    Click and Get your FREE copy of Current Affairs Micro notes             

  • [Burning Issue] China as India’s ‘Frenemy’

    Context

    • China has placed a hold on the proposal to designate Shahid Mahmood as a global terrorist under the 1267 Al Qaeda Sanctions Committee of the UN Security Council. It is the fourth time that China has blocked an India-US proposal in recent months.
    • Some analysts reckon that India and China are fated to remain “frenemies” — entities that share the characteristics of both friends and enemies – and for reasons that have puzzled observers around the world.
    • In this context, in this edition of the burning issue, we will analyze the ‘Frenemy’ relations between the two nations.

    Beginning of India-China Relations

    • The two countries have played up their cultural links-such through the importation of Buddhism into China by wandering Chinese monks more than 1,500 years ago.
    • India and China got independence from the British yoke at the almost same time in the late 1940s. India and China established diplomatic relations on 1st April 1950.
    • India was the first non-socialist country to establish relations with the People’s Republic of China and the catchphrase ‘Hindi Chini Bhai Bhai’ became famous.
    • Both countries attended the Asian-African Conference in which 29 countries participated in Bandung, Indonesia and jointly advocated the Bandung Spirit of solidarity, friendship and cooperation.

    Who is a frenemy?

    • When two countries share interests in multiple arenas such as economic prosperity, regional and global stability, counterterrorism, non-proliferation, energy security, and climate change, but they differ in the ways they pursue those common interests, which creates a constant tension in the relationship, such a pair of countries are called Frenemies in International Relations.
    • For example, India-China, China-Taiwan, China-Japan etc.

    China as a friend: Areas of Cooperation

    Political Relations

    • Border Peace agreement: In 1993, an Agreement on the Maintenance of Peace and Tranquility along the Line of Actual Control (LAC) on the India-China Border Areas was signed to bring stability and substance to bilateral ties. In 2008, the two countries have also extended their strategic and military relations.
    • High-Level Dialogue Mechanism: India and China have also established a High-Level Dialogue Mechanism on Counter-Terrorism and Security.
    • Provincial Leaders Forum: To facilitate exchanges between Indian states and Chinese provinces, States/Provincial Leaders Forum was established.

    Commercial and Economic Relations

    • Investments: China will establish two Industrial Parks in India and expressed its intention to enhance Chinese investment in India. In 2019, Chinese investors invested $6.68 billion in Indian start-ups across 232 deals.
    • Bilateral Trade: The India-China trade is on course to cross USD 100 billion for the second consecutive year as it has gone up to USD 67.08 billion in the first half of this year amid a big surge of Chinese exports.
    • Multiple economic dialogues: Trade and Economic Relationships are shaped through various dialogue mechanisms such as Joint Economic Groups led by the Commerce Ministers of both sides, Strategic Economic Dialogues led by the Vice Chairman of NITI Aayog and the Chairman of National Development and Reform Commission of China.
    • Asian infrastructure and investment bank: India also was a founding member of the China-backed Asian Infrastructure Investment Bank, which plans to be formally established by year’s end and seeks to emulate institutions such as the World Bank and International Monetary Fund. 

    Cultural Relations

    • Movies: India and China have entered into an agreement on the co-production of movies.
    • Kailash yatra ease: MoU was signed to open an additional route for Kailash Mansarovar Yatra through Nathu La.
    • Yoga promotion: Yoga is becoming increasingly popular in China. China was one of the co-sponsors of the UN resolution designating June 21 as the International Day of Yoga

    Education Relations:

    • Education Exchange Programme: India and China signed Education Exchange Programme (EEP), which is an umbrella agreement for educational cooperation between the two countries.
    • Hindi scholarship: Chinese students are also annually awarded scholarships to study Hindi at Kendriya Hindi Sansthan, to learn Hindi

    Indian Community

    • Students and professionals: Presently around 35,500 Indians are staying in China, and students and working professionals form a major part of it.
    • PICFA: Pondicherry India China friendship association is an NGO dedicated to developing people-to-people relations between India and China in the areas of education, culture and tourism.

    Multilateral cooperation

    • BRICS, SCO and RIC grouping: Both are members of the BRICS grouping of emerging economies, which is now establishing a formal lending arm, the New Development Bank. Also, both nations are members of the Shanghai Cooperation Organisation and Russia-India-China informal dialogue minilateral.
    • Voice for Developing nations: both nations serve as the voice of the developing countries at WTO and climate change negotiations.

    China as enemy

    • Arunachal affinity of China: Beijing recently renamed 15 places in Arunachal Pradesh, following the six it had done in 2017. China justifies the renaming as being done based on its historical, cultural and administrative jurisdiction. In January 2022, Beijing’s new land border law came into force, which provides the People’s Liberation Army (PLA) with full responsibility to take steps against “invasion, encroachment, infiltration, provocation” and safeguard Chinese territory.
    • Doklam and Galwan incidents: in 2017, where, for 70 days, Indian and Chinese troops faced off on the doklam plateau, it is that it has led Chinese President Xi Jinping and Indian Prime Minister Narendra Modi to institutionalize their informal summits to avoid a repeat performance of these types of confrontations.
    • Belt Road Initiative: India has objected to this, since its inception on grounds of violating its sovereignty pointing to China Pakistan Economic Corridor.
    • Beijing’s non-reciprocation of goodwill: India’s support to China on global issues has not led to Beijing’s reciprocation for instance: China opposed India’s permanent membership to the UN Security Council and entry into NSG, The U.N. Security Council as a permanent member.
    • UN Blockings: Blocking of U.N. listings of Pakistani terrorists at the UNSC and also bringing resolution in UNSC against India’s Article 370 abrogation move.
    • Huge Trade deficit: India faces a trade imbalance heavily in favor of China. In 2017-18, the trade deficit has gone wide to US$62.9 billion in China’s favor.
    • Border disputes: Two countries failed to resolve their border dispute and steadily established military infrastructure along border areas Indian media outlets have repeatedly reported Chinese military incursions into Indian territory
    • China’s presence in IOR: China has expressed concerns about Indian military and economic activities in the disputed South China Sea. The same way India is also concerned about rising Chinese activities in the Indian Ocean.
    • Pakistan’s all-weather support: China’s strong strategic bilateral relations with Pakistan and other neighboring countries like Nepal and Bhutan are the cause of concern as these countries act as buffer states.

    What are the options for India to ‘manage’ China: Way forward

    • Inevitable Race: The prevailing tension on the China-India border is a symptom of the broader strategic competition between the two Asian neighbors.
    • Quad grouping: Immediately after the clashes, India leaned toward the Quad a grouping of the United States, Australia, Japan, and India with multiple summit meetings and other engagements. Until that point, India was unwilling to refer to the Quad as the Quad, instead using the cumbersome India-Australia-Japan-United States grouping.
    • Equal seriousness: Both sides should treat the military escalation in eastern Ladakh with equal seriousness.
    • Armed coexistence: Even after the resolution of the present standoff in eastern Ladakh, both sides may be in a prolonged period of armed coexistence as a new normal. As the forces on both sides are likely to be relatively balanced, it would be advantageous for both to return to the agreements and understandings from 1993 onward and improve upon them. Clarifying the LAC is a crucial step in this effort.
    • Address trade imbalance: India has flagged the unsustainable trade imbalance at the front and center of the relationship, and this has gone unaddressed. China will need to work on resolving the trade deficit with India. At any rate, decoupling will happen selectively, in the same way, and for the same reasons that China is choosing to decouple from the United States. A balanced trade and economic relationship might lay a solid foundation for future relations, given the size of both economies.
    • Dialogue is necessary: Better understanding of each other’s regional initiatives through open dialogue is important to build trust. The Indo-Pacific vision is as much a developmental necessity for India as the BRI may be for China. Part of building trust must be an open discussion on each other’s intentions in key regions South Asia and the northern Indian Ocean and East Asia and the western Pacific as well as respect for each other’s special positions in the western Pacific and northern Indian Oceans.
    • Protect the core interest: The two sides would need to accommodate the legitimate interests of the other side on key partnerships: China’s with Pakistan and India’s with the United States. These may not be desirable, but in the current circumstances neither will give up its partners, and both India and China could talk through a modus vivendi on the red lines of concern.

    EAM S. Jaishankar’s Suggestion to deal with China

    The External Affairs Minister suggested “Three Mutuals” and “Eight Broad Propositions” as a way forward for the relationship.

    Three mutuals

    • Mutual Respect and Mutual Sensitivity to each other concerns and Mutual Interests to cooperate are the “determining factors” for India-China relations to grow.

    Eight Major propositions

    • Adhering to commitment: The first proposition was that agreements already reached must be adhered to in their entirety, both in letter and in spirit.
    • Respect for LAC: Both sides also needed to strictly observe and respect the LAC, and any attempt to unilaterally change the status quo was completely unacceptable.
    • Maintaining peace and tranquillity: Peace and tranquillity in border areas were the basis for the development of the relationship in other domains. If that was disturbed, he said, the rest of the relationship would be too.
    • Broader partnership: The fourth proposition was that while both remain committed to a multipolar world, they should recognize that a multipolar Asia was one of its essential constituents.
    • Reciprocity: While each state had its interests, concerns and priorities, sensitivities to them could not be one-sided and relations were reciprocal in nature. As rising powers, neither should ignore the other’s set of aspirations.
    • Divergences management: While both sides had made a common cause on development and economic issues and common membership of plurilateral groups was a meeting point, there were divergences when it came to interests and aspirations.
    • Civilizational ties: The last proposition was that as civilizational states, India and China must always take the long view.
    • Cooperation and competition: Even before the events of 2020, the relationship had reflected a duality of cooperation and competition.

    Conclusion

    • India-China relations, though occasionally showing signs of peace and cooperation, have often been afflicted by tension and mistrust. With the potential to make big contributions to regional peace and development, these two Asian powers have, by design or accident, themselves been the sources of regional tension and insecurity to some extent.
    • The two countries are standing at a crossroads, and this might be the final chance to take the path to the coexistence of cooperation and competition. If not, a new phase of antagonistic rivalry may be starting, with the countries sliding into possible confrontation as the strategic periphery of China collides with the strategic backyard of India in the Indian Ocean region.
    • Therefore, China and India should be “Good Neighbors, Good Friends,” as both countries are “important engines of the world economic growth.” By building on that theme, the two countries should “enhance dovetailing of the two countries’ development strategies” to build a “manufacturing partnership.”
    • As Kissinger once said: ‘There are no permanent friends or enemies in international relations, only interests. This is the single most important lesson India should keep in mind if it wants to keep its ‘frenemy’ in check.
  • [Burning Issue] India-Africa Relationship

    africa

    UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)

    Context

    • The India-Africa Defence Dialogue (IADD) was recently held on the sidelines of Defence Expo 2022 and successfully brought fifty African countries and India together on a single stage.
    • The IADD adopted a ‘Gandhinagar declaration’ as an outcome document. It proposes to enhance cooperation in the field of training in all areas of mutual interest.
    • In this context, in this edition of Burning issue, we will be analyzing the India-Africa relationship, its challenges to it and then the way forward.

    Importance of Africa

    [A] Geostrategic

    • Africa is critical to India’s security, especially the Horn of Africa region, because of its proximity to India. The threat of radicalism, piracy, and organized crime emerges from this region

    [B] Economic

    • Africa can help us in diversifying our energy sources, which is one of the stated objectives of our Integrated Energy Policy
    • Africa also contains a rich reservoir of valuable minerals, metals including gold and diamond
    • Africa provides a space for Indian investment
    • Africa has ample agricultural land which cab address India’s food security. India is looking at leasing land in Africa to overcome the land deficit that we face in terms of arable land

    [C] Geopolitical

    • Support of African countries is important for India’s aim of gaining a permanent seat in the UNSC
    • Africa provides a space for displaying both India’s soft and hard power
    • India has been actively involved in the peace and stability of African countries through UN Peacekeeping operations. India is involved in the capacity building of African countries. Africa is also the largest beneficiary of India’s ITEC programme

    History of India-Africa relations

    [A] Ancient Period

    • During the ancient period, Indian merchants were constant look out beyond the Arabian Sea towards the west for lucrative markets. Slowly, the increasing people-to-people contacts made them a part of the Indian Ocean circuit of trade’.
    • They sailed regularly to the Zenj coast (Zanzibar) for palm oil, gold, copper, spices, ivory, rhino horn etc.
    • Trade developed through the knowledge of favourable sea winds and the development of a suitable marine technology
    • Periplus of Erythrean Sea, a first-century AD merchants’ sailor guide throws light on the thriving trade between India and the Western Indian Ocean region
    • It also stated that India’s trading contacts were spread from Egypt to the coast of northern Somalia, the ancient land of Punt, the kingdom of Kush (Sudan) and Axum.

    [B] Medieval Era 

    • Venetian traveller Marco Polo mentioned explicitly the Gujarati and Saurashtrian merchants on Africa’s east coast
    • The use of the Indian system of weights and measures and Cowries as currency pointed to the fact that Indians were playing a key role in this area
    • Not only economic benefits, the trade also contributed to the development of internal links in the African continent even before the advent of Europeans
    • By the seventeenth century, the nature of Indian Ocean trade underwent a radical change due to demand for captives who could be sold as slaves.
    • A good example could be of ‘Malik Amber’ and the ‘Siddis’ who are still a part of the Indian population and are settled in parts of Gujarat, Karnataka and Hyderabad

    [C] Colonial period

    • With the advent of European colonial powers in India and Africa, the trade pattern underwent a significant change as Indo–African relations entered a new era of ‘colonialism’.
    • The Indians who went to Africa as slaves and post abolition of slavery, as indentured labourers, and the merchant class of Gujarat slowly settled down there
    • India’s link with the African continent dates back to the anti-apartheid struggle of Mahatma Gandhi with the colonial rulers in South Africa
    • India has been aggressively putting forward the issue of apartheid on multilateral forums such as UN, NAM And Commonwealth

    [D] Post-Colonial Period

    • The foundations were laid by Mahatma Gandhi. According to him, there will be a “commerce of ideas and services and not of raw materials and goods like imperialist powers”. All the governments continue to take this approach as the foundation of India’s Africa Policy.

    According to Vice President Hamid Ansari,“India shares Africa’s dreams and India-Africa cooperation is a genuine 2-way street partnership

    1st phase (till 1960)

    • Nehru talked about Afro-Asian solidarity. African countries provided strength to Nehru’s NAM. The policy in this phase is described as “ideational” and “pragmatic”

    2nd phase (1970s – 1990s):

    • There was neglect of Africa because of India’s attention on South Asia and India’s attention on inward-looking foreign policy. Though India in this phase continued to support Africa against Apartheid.

    3rd phase (1990s onwards):

    • This is the phase of re-engagement with Africa. However, the lead was taken by the private sector, rather than the government. The private sector of India should be given credit to push the attention of GoI towards the region of strategic and economic importance.

    Present status of Ties

    • The institutionalisation of relations: Since 2008, India and Africa’s relations have been institutionalized. The India-Africa Forum Summit constitutes the basic framework for the relations under the South-South Cooperation platform. So far 3 summits have been organized.
    • Opening of embassies: In July 2019, Finance Minister Nirmala Sitharaman announced that India would open embassies in 18 African countries. This would result in Indian embassies being located in 47 of 54 African countries.
    • Economic engagement: India’s economic engagement with Africa began intensifying in the early 2000s. India’s total trade with Africa grew from US$ 6.8 billion in 2003 to US$ 76.9 billion in 2018, and India is now Africa’s third-largest trade partner.
    • Investments: Indian investments in Africa have also grown rapidly in the last decade and the country is currently the seventh-largest investor in Africa. The scale of India’s development cooperation with Africa has also grown rapidly.
    • The flow of LoC: From 2003 onwards, India began to use concessional lines of credit (LoC) as one of its key development partnership instruments to fund the construction of railway lines, electrification and irrigation projects, farm mechanisation projects, among others. India has sanctioned 182 LoC projects in Africa of about US$ 10.5 billion
    • Bilateral cooperation: includes solar energy development, climate change talks, information technology, cyber security, maritime security, disaster relief, counter-terrorism and military training.
    • Soft power projection: India provides about 50,000 scholarships to African students each year under its ITEC programme. Also, the huge Indian diaspora is a major asset.

    10 guiding principles for India-Africa engagement

    In July 2018, Prime Minister Narendra Modi addressed the Ugandan Parliament during his state visit and outlined a vision for not just a bilateral partnership with Africa, but also a partnership in multilateral forums by espousing the ‘10 guiding principles for India-Africa engagement’

    • Africa will be at the top of our priorities. We will continue to intensify and deepen our engagement with Africa. As we have shown, it will be sustained and regular.
    • Our development partnership will be guided by your priorities. We will build as much local capacity and create local opportunities as possible. It will be on terms that are comfortable to you, that will liberate your potential and not constrain your future.
    • We will keep our markets open and make it easier and more attractive to trade with India. We will support our industry to invest in Africa.
    • We will harness India’s experience with the digital revolution to support Africa’s development; improve the delivery of public services; extend education and health; spread digital literacy; expand financial inclusion; and mainstream the marginalised.
    • Africa has 60 per cent of the world’s arable land, but produces just 10 percent of the global output. We will work with you to improve Africa’s agriculture.
    • Our partnership will address the challenges of climate change.
    • We will strengthen our cooperation and mutual capabilities in combating terrorism and extremism; keeping our cyberspace safe and secure; and, supporting the UN in advancing and keeping the peace.
    • We will work with African nations to keep the oceans open and free for the benefit of all nations. The world needs cooperation and competition in the eastern shores of Africa and the eastern Indian Ocean.
    • As global engagement in Africa increases, we must all work together to ensure that Africa does not once again turn into a theatre of rival ambitions, but becomes a nursery for the aspirations of Africa’s youth.
    • Just as India and Africa fought colonialism together, we will work together for a just, representative and democratic global order that has a voice for one-third of humanity that lives in Africa and India.

    Challenges

    • Declining trade: Bilateral trade was valued at $55.9 billion in 2020-21, fell by $10.8 billion compared to 2019-20, and $15.5 billion compared to the peak year of 2014-15.
    • Decline in investment: India’s investments in Africa too saw a decrease from $3.2 billion in 2019-20 to $2.9 billion in 2020-21.
    • Short-term focused: Indian LoCs have not been designed to achieve a larger development goal such as food security, health security, clean energy or education for all. LoCs are typically used by recipient countries to fund small development projects such as roads, bridges, railway lines, power transmission and water supply systems.
    • Competing powers in Africa: India is not the only external power engaging Africa, developed countries and other emerging powers like China, Brazil and Russia have also been involved in various activities across the continent.
    • Lack of synchronisation: there is no synchronisation between different development instruments. LoCs, grants and capacity-building initiatives operate as standalone instruments of development cooperation, with almost no links with each other. 
    • Racial attacks: Despite frequent references to Afro-Asian solidarity between the two nations, instances of violence against African students are common in India.

    Chinese challenge in Africa

    • China has been investing heavily across the African continent throughout the last decade.
    • China’s interests are related to four major areas: infrastructural projectsfinancial assistancenatural resources and maritime interests.
    • While access to Africa’s natural resources, its untapped markets and support for the ‘One China Policy’ are primary drivers of Chinese engagement with the region, there are other factors at play.

    What India should do?

    • A clear strategy for African development: India should prepare a focused Africa strategy for the next decade and identify a few areas for closer cooperation.
    • Continue the current focus on capacity building: A simple focus on building physical infrastructure and economic growth will not contribute to a stable and prosperous Africa. Investment in human capital is the key to development in Africa.
    • Harness Indian civil society organizations, NGOs, and Indian diaspora: The Government should explore greater collaboration with them to implement development projects in Africa at low costs. Some Indian organizations like Pratham and Barefoot College are already playing an important role in Africa.
    • Timely completion of projects: Efforts must be made to expedite the LoC projects. Lessons should be drawn from other countries that have a much better record in implementation.

    Steps taken so far

    • The ITEC programme: In 1964, India launched the Indian Technical and Economic Cooperation (ITEC) programme to provide technical assistance through human resource development to other developing countries. Africa is a key beneficiary of the programme with nearly 50 percent of the ITEC slots reserved for countries from the region.
    • Asia-Africa growth corridor: The Asia-Africa Growth Corridor or AAGC is an economic cooperation agreement between the governments of India, Japan and multiple African countries. India on 25 May 2017 launched a vision document for Asia-Africa Growth Corridor or AAGC at the African Development Bank meeting.
    • Pan African e-Network : The late Indian President APJ Abdul Kalam initiated the Pan African e-Network (PAeN) in 2004. Over the years, PAeN has significantly contributed to the advancement of tele-education and telemedicine in Africa.
    • Maritime cooperation: India’s maritime cooperation with African nations, particularly those in the East & Southern African region, is also growing. The Indian Navy took part in Exercise IBSAMAR-VI in South Africa in 2018 alongside the navies of Brazil and South Africa.
    • Peacekeeping operations: India participated in almost all UN peacekeeping operations (PKOs) in Africa. With 200,000 soldiers and police officers joining the blue helmets since independence, India is today Africa’s fourth-largest contributor of troops to PKO
    • Duty-free tariff preferential scheme: Launched in 2008, India’s duty-free tariff preferential scheme for Least Developed Nations has benefited 33 African states. The India–Africa Forum Summit- the official platform for African-Indian relations, is also contributing immensely to this building-up process.
    • India Africa Defence Ministers conclave: India has also launched several initiatives to develop closer relations, including the first-ever India Africa Defence Ministers conclave in February this year on the margins of the Defence Expo 2020.

    Way forward

    • For mutual benefit, Africa and India should remain optimally engaged. The third India-Africa Forum Summit was held in 2015. The fourth summit, pending since last year, should be held as soon as possible.
    • Fresh financial resources for grants and concessional loans to Africa must be allocated, as previous allocations stand almost fully exhausted. The promotion of economic relations demands a higher priority.
    • To impart a 21st-century complexion to the partnership, developing and deepening collaborations in health, space and digital technologies are essential.
    • India should continue its role in peacekeeping in Africa, in lending support to African counter-terrorism operations, and contributing to African institutions through training and capacity-enhancing assistance.
    • Improve the experiences of Africans in India. Indian government should ensure that Africans studying or working in India are safe and enjoy their stay in the country. Efforts should also be made to educate Indians about Africa so that people-to-people connections between India and Africa flourish.
    • Promote development-friendly private investments. The presence of Indian companies in Africa has grown rapidly in the last two decades. Given the emphasis on mutual benefit in its strategy, India’s development cooperation should be aligned with its commercial interests in Africa. Therefore, India should try to support Indian companies making the investment in development-friendly projects for mutual benefit.
    • To overcome the China challenge in Africa, increased cooperation between India and its international allies, rates a priority. The recent India-EU Summit has identified Africa as a region where a partnership-based approach will be followed.

    Conclusion

    • Africa is a continent on the move, characterised by rapid economic growth, rising educational and health standards, increasing gender parity, and expanding infrastructure and connectivity.
    • India has an intrinsic interest in helping Africa achieve progress. The spirit of “developing together as equals” defines this bilateral partnership. A resurging Africa and a rising India can give a strong impetus to South-South Cooperation.

    UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)