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  • How to manage India’s Solar PV waste problem?

    solar pv

    Central idea: India is rapidly expanding its solar photovoltaic (PV) sector, but effective waste management strategies for this sector are still lacking. This article explores the challenges and gaps in solar PV waste management in India.

    solar

    Solar PV Waste in India

    • India has the world’s fourth-highest solar PV deployment, and the installed solar capacity was nearly 62 GW in November 2022.
    • A 2016 report by the International Renewable Energy Agency estimates that India could generate 50,000-3,25,000 tonnes of PV waste by 2030 and more than four million tonnes by 2050.
    • India’s solar PV installations are dominated by crystalline silicon (c-Si) technology, which mainly consists of a glass sheet, an aluminium frame, an encapsulant, a backsheet, copper wires, and silicon wafers.
    • A typical PV panel is made of c-Si modules (93%) and cadmium telluride thin-film modules (7%).

    Hazards posed by PV waste

    Some of the hazards of solar PV waste are:

    • Environmental pollution: The accumulation of solar PV waste in landfills can lead to environmental pollution, as the waste contains hazardous materials such as lead, cadmium, and other toxic chemicals. Incinerating the encapsulate also releases sulphur dioxide, hydrogen fluoride, and hydrogen cyanide into the atmosphere.
    • Health hazards: Improper handling and disposal of solar PV waste can lead to health hazards for workers and people living near the waste disposal sites. The toxic chemicals in the waste can cause respiratory problems, skin irritation, and other health issues.

    Economy behind PV waste

    • Financial losses: Improper management of solar PV waste can lead to financial losses for the companies involved in waste collection and treatment. The lack of suitable incentives and schemes in which businesses can invest leads to a small market for repurposing or reusing recycled PV waste in India.
    • Resource depletion: The disposal of solar PV waste leads to the loss of valuable resources such as silicon, silver, and other critical materials, which can lead to resource depletion.

    Recovery and Recycling of PV Waste

    • As PV panels near expiration, some portions of the frame are extracted and sold as scrap; junctions and cables are recycled according to e-waste guidelines; the glass laminate is partly recycled, and the rest is disposed of as general waste.
    • Silicon and silver can be extracted by burning the module in cement furnaces.
    • According to a 2021 report, approximately 50% of the total materials can be recovered.

    Challenges particular to India

    • India faces challenges in the collection, storage, recycling, and repurposing of PV waste.
    • Only about 20% of the waste is recovered in general, and the rest is treated informally, leading to pollution of the surroundings.
    • Gaps in PV Waste Management-
    1. Generalized as e-waste: The clubbing of PV waste with other e-waste could lead to confusion, and there is a need for specific provisions for PV waste treatment within the ambit of e-waste guidelines.
    2. Hazards are ignored: PV waste is classified as hazardous waste in India, and there is a need for pan-India sensitisation drives and awareness programmes on PV waste management.

    Why does India need to act now?

    • Considering the rate at which these panels are being installed around the country, India is expected to generate an enormous amount of waste over the next 20 years.
    • India is expected to become one of the top five leading photovoltaic waste producers worldwide by 2050.
    • Therefore, India needs to install clear policy directives, well-established recycling strategies, and greater collaboration, so that it doesn’t find itself caught unprepared against a new problem in the future.

    Key recommendations

    Policymakers should:

    • Introduce a ban on dumping of waste modules by different entities in the landfills.
    • Formulate a dedicated PV module waste management regulation.
    • Introduce incentives like green certificates to provide a level-playing field and encourage recycling and mineral recovery by the industry.

    Industries should:

    • Improve the PV module design to minimise the waste at the disposal stage. This can include sustainable design with reduced use of toxic minerals or adopting a ‘design to disassemble’ approach.
    • Invest in the second-life use of sub-standard modules to delay waste creation.
    • Collaborate with research institutes to develop recycling techniques and support pilot demonstrations.
    • Conceptualise new business models to manage and finance the waste disposal.

    Way forward

    • India needs to pay more attention to domestic R&D efforts as depending on a single module type will dis-uniformly deplete certain natural resources.
    • It is important to boost capacity for recycling and recover critical materials.
    • This can be achieved by-
    1. Formulating specific provisions for PV waste treatment,
    2. Pan-India sensitisation drives, and awareness programmes,
    3. Promoting domestic R&D efforts, and
    4. Providing appropriate infrastructure facilities and adequate funding.

     

  • [Sansad TV] Mudda Aapka: Victory over Left-Wing Extremism

    [Sansad TV] Mudda Aapka: Victory over Left-Wing Extremism

    Central idea

    • In the last eight years, there has been a historic success in curbing Left Wing Extremism violence and the credit for this goes to the CRPF.
    • Union Home Minister has informed that there has been a 76 per cent decline in the incidents of LWE violence in the country and the fight against Naxalities is in the final stages.
    • In 2022, the number of deaths of civilians and security forces drastically reduced, with only 98 deaths as compared to 1005 deaths in 2010.

    Left vs. Right: Behind the Political Dichotomy

    • In politics, left refers to people and groups that have liberal views.
    • That generally means they support progressive reforms, especially those seeking greater social and economic equality.
    • The far left is often used for what is considered more extreme, revolutionary views, such as communism and socialism.
    • Collectively, people and groups, as well as the positions they hold, are referred to as the Left or the left wing.

    Being ‘Right’ means

    • The word right, in contrast, refers to people or groups that have conservative views.
    • It generally means they are disposed to preserve existing conditions and institutions.
    • They often want to restore traditional ones and limit change.
    • The far right is often used for more extreme, nationalistic viewpoints, including fascism and some oppressive ideologies.

    People and groups, as well as their positions, are collectively referred to as the Right or the right wing.

    Confused between Maoists and Naxalities?

    • Usually, people confuse themselves over Maoists and Naxalities and cannot exactly trace the difference between the two terminologies.
    • Media seems to be confused with the terms and uses Maoists and Naxalities quite inter-changeably. 
    • This creates confusion in the readers’ minds over the actual meaning of individual terms. 

    The actual difference between the terms is as follows: 

    • The difference between Maoists’ struggle and the Naxalite movement is that both trace their origin to the Naxalbari uprising of 1967.
    • But while the Naxalite movement thrives on the original spirit of Naxalbari; the Maoist struggle is an outcome of the 1967 uprising.
    • Maoists work with an agenda and use weapons to achieve their aims. 
    • Naxalism focuses on mass organisations while the Maoism relies mainly on arms.

    (1) Naxalism

    • Naxalism originated as a rebellion against the marginalisation of the poor forest dwellers and gradually against the lack of development and poverty at the local level in rural parts of eastern India.
    • It began in 1967 with an armed peasant uprising in Naxalbari village of Darjeeling district in West Bengal.
    • The term ‘Naxal’ came from the name of the village. 
    • The origin of the Naxals was a result of the split that took place in the Communist Party of India (Marxist) in 1967.
    • It led to the formation of Communist Party of India (Marxist and Leninist).

    (2) Maoism

    • Maoism originated in China as a form of communist theory derived from the teachings of Chinese political leader Mao Zedong.
    • Maoists were the loyal believers of the Chairman Mao’s philosophy that “Power flows from the barrel of the gun.”
    • When the Communist Party of India (Marxist-Leninist) was born out of the Naxalbari uprising, a section of communist rebels retained a distinct identity.
    • Along with Marxism and Leninism, a new concept, which is of Maoism, started emerging in India.
    • Around 1966, Maoist Communist Centre (MCC) was formed in West Bengal.

    History and evolution

    left
    • Russian Revolution: Naxalism in India, like any other leftist movement around the globe, draws its ideological basis from the Russian revolution.
    • Overthrowing Tsarist Regime: Lenin successfully fought against the Czarist Rule through a combination of the peasant movement and an armed struggle.
    • Marxian ideology of class struggle: The prime intent was to bestow power in the hands of the exploited and marginalized and enforce societal control over governance and nation building.
    • Neo-Marxism: After the success of the Lenin-led revolution in Russia, the intellectual class in many countries got inspired. Prominent amongst them were Fidel Castro and Mao Zedong.

    Root cause of origin in India

    • Corporate exploitation: Since Eastern India is rich in natural resources including forests, minerals and mines, tribal face exploitation and harassment from government and corporate bodies targeting to extract those resources.
    • Tribal alienation: Tribal communities have been systematically alienated from their traditional rights over natural resources after independence.
    • Livelihood losses: Tribal livelihood is at stake due to depletion of natural resource base.
    • Forceful displacement: Forceful displacement from their homeland destroys their traditional governance system.
    • Absence of governance: In such exploited areas, the absence of governance becomes a self-fulfilling prophecy since the delivery systems are extinguished through killings and intimidation.
    • Foreign provocations: Many of LWE outfits are supported by external forces inimical to India and the Maoists consider such alliances as strategic assets.

    Other factors:

    1. Oppression and HR violations by Security Forces e.g. AFSPA
    2. Violation of Constitutional Protections under PESA and FRA
    3. Prevalence of Acute Poverty

    Impact of LWE

    • Romanticism without a cause: Some sections of society, especially the younger generation, have romantic illusions about the Maoists, arising out of an incomplete understanding of their ideology of Class –Struggle.
    • Extreme violence: Their doctrine glorifies violence as the primary means to overwhelm the existing socio-economic and political structures.
    • Destruction of governance mechanism: LWEs aims at creating a vacuum at the grassroots level of the existing governance structures by killing lower-level government officials, police personnel of the local police stations and the people’s representatives of the PRIs.
    • Radicalization of youths: After creating a political and governance vacuum, they coerce the local population to join the movement.
    • Urban-Maoism: Many extremists have facilitated mass mobilization in semi-urban and urban areas through ostensibly democratic means often led by well-educated intellectuals.

    Outcomes of perpetrating LWE

    The Leftist organizations skilfully use state structures and legal processes to further the Maoist agenda and weaken the enforcement regime through:

    1. Recruitment of ‘professional revolutionaries’
    2. Raising funds for the insurgency
    3. Creating urban shelters for underground cadres
    4. Providing legal assistance to arrested cadres and
    5. Mass- mobilization by agitating over issues of relevance/ convenience

    Govt initiatives for LWE-affected areas

    • Aspirational Districts: The MHA has been tasked with the monitoring of the Aspirational district’s programme in 35 LWE affected districts.
    • HRD measures: Building of schools under the Eklavya model.
    • Road Connectivity Project for LWE affected areas (RRP-II): This aims for improving road connectivity in LWE affected States. Under this, 9279 km of roads and 392 bridges are sanctioned.
    • Naxal Surrender Policy: It aims to wean away misguided youth and hardcore naxalites who have strayed into the fold of the naxal movement and cannot find a way back.
    • National Policy Action Plan: To address Left Wing Extremism approved in 2015, has development as one of the most important component.

    SAMADHAN doctrine: It encompasses the entire strategy of government from short-term policy to long-term policy formulated at different levels. SAMADHAN stands for-

    • S- Smart Leadership
    • A- Aggressive Strategy
    • M- Motivation and Training
    • A- Actionable Intelligence
    • D- Dashboard Based KPIs (Key Performance Indicators) and KRAs (Key Result Areas)
    • H- Harnessing Technology
    • A- Action plan for each Theatre
    • N- No access to Financing

    Way forward

    • Indian counterinsurgency has to work with a dual objective of defeating the insurgents militarily and fully quell the insurgent impulses.
    • This will need institutional overhauls.
    • States must do more to synergize their efforts by launching coordinated operations, thereby denying Maoists any space for manoeuvrability.
    • On parallel grounds, it is also important to segregate the population from the insurgents both operationally and ideologically.
    • The conflict over the distribution of resources can be mended with economic development.

    
    
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  • What is Model Code of Conduct?

    model

    The Election Commission of India announced the date for Karnataka Assembly elections.  Hence the model code of conduct comes into the picture.

    Model Code of Conduct

    • It is a set of guidelines issued by ECI to regulate political parties and candidates before elections.
    • The rules range from issues related to speeches, polling day, polling booths, portfolios, content of election manifestos, processions and general conduct so that free and fair elections are conducted.

    When does it come into effect?

    • According to the PIB, a version of the MCC was first introduced in the state assembly elections in Kerala in 1960.
    • It was largely followed by all parties in the 1962 elections and continued to be followed in subsequent general elections.
    • In October 1979, the EC added a section to regulate the ‘party in power’ and prevent it from gaining an unfair advantage at the time of elections.
    • The MCC comes into force from the date the election schedule is announced until the date that results are out.

    Restrictions imposed under MCC

    The MCC contains eight provisions dealing with general conduct, meetings, processions, polling day, polling booths, observers, the party in power, and election manifestos.

    For Governments

    • As soon as the code kicks in, the party in power whether at the Centre or in the States should ensure that it does not use its official position for campaigning.
    • Hence, no policy, project or scheme can be announced that can influence the voting behaviour.
    • The code also states that the ministers must not combine official visits with election work or use official machinery for the same.
    • The ruling government cannot make any ad-hoc appointments in Government, Public Undertakings etc. which may influence the voters.
    • Political parties or candidates can be criticised based only on their work record and no caste and communal sentiments can be used to lure voters.

    For Political Parties

    • The party must also avoid advertising at the cost of the public exchequer or using official mass media for publicity on achievements to improve chances of victory in the elections.
    • The ruling party also cannot use government transport or machinery for campaigning.
    • It should also ensure that public places such as maidans etc., for holding election meetings, and facilities like the use of helipads are provided to the opposition parties on the same terms and conditions on which they are used by the party in power.

    Campaigning

    • Holding public meetings during the 48-hour period before the hour fixed for the closing of the poll is also prohibited.
    • The 48-hour period is known as “election silence”.
    • The idea is to allow a voter a campaign-free environment to reflect on events before casting her vote
    • The issue of advertisement at the cost of public exchequer in the newspapers and other media is also considered an offence.
    • Mosques, Churches, Temples or any other places of worship should not be used for election propaganda. Bribing, intimidating or impersonation of voters is also barred.

    Is it legally binding?

    • The fact is the MCC evolved as part of the ECI’s drive to ensure free and fair elections and was the result of a consensus among major political parties.
    • It has no statutory backing. Simply put, this means anybody breaching the MCC can’t be proceeded against under any clause of the Code..
    • The EC uses moral sanction or censure for its enforcement.

    What if violated?

    • The ECI can issue a notice to a politician or a party for alleged breach of the MCC either on its own or based on a complaint by another party or individual.
    • Once a notice is issued, the person or party must reply in writing either accepting fault and tendering an unconditional apology or rebutting the allegation.
    • In the latter case, if the person or party is found guilty subsequently, he/it can attract a written censure from the ECI — something that many see as a mere slap on the wrist.
    • However, in extreme cases, like a candidate using money/liquor to influence votes or trying to divide voters in the name of religion or caste, the ECI can also order registration of a criminal case under IPC or IT Act.
    • In case of a hate speech, a complaint can be filed under the IPC and CrPC; there are laws against the misuse of a religious place for seeking votes, etc.

    Using powers under Art. 324

    • The Commission rarely resorts to punitive action to enforce MCC, there is one recent example when unabated violations forced EC’s hand.
    • During the 2014 Lok Sabha polls, the EC had banned a leader and now party president from campaigning to prevent them from further vitiating the poll atmosphere with their speeches.
    • The Commission resorted to its extraordinary powers under Article 324 of the Constitution to impose the ban.
    • It was only lifted once the leaders apologised and promised to operate within the Code.

    What if given Statutory Backing?

    • Both the ECI and several independent experts, believe that giving statutory backing to the MCC would only make the job of the Commission more difficult.
    • This is because every alleged offence will then have to go to an appropriate court, and right up to the Supreme Court.
    • Given the flaws of our legal system, election petitions filed decades ago are still pending before many High Courts — it is anybody’s guess what that situation might lead to.
  • Z-Morh tunnel to be ready in April

    tunnel

    The crucial Z-Morh tunnel that connects Gagangir and Sonamarg on the Srinagar-Leh highway will be inaugurated next month in April.

    What is Z-Morh tunnel?

    • Z-Morh tunnel, also known as the Zoji-Morh Tunnel, is an under-construction tunnel located in the Indian state of Jammu and Kashmir.
    • The tunnel is being constructed at an elevation of 11,578 feet and is expected to provide all-weather connectivity to the Kashmir Valley.

    Location

    • The Z-Morh tunnel is located on National Highway 1D, which is the only road that connects the Kashmir Valley to the rest of India.
    • The tunnel is being constructed in the Zoji-Morh region, which is a high-altitude mountain pass located on the Srinagar-Leh Highway.

    It’s Construction

    • The Z-Morh tunnel is being constructed at a length of 6.5 km and is expected to be completed at a cost of around Rs. 2,000 crore.
    • The tunnel will have a two-lane carriageway and will be constructed using the latest tunnelling technology.
    • The project is being executed by the National Highways and Infrastructure Development Corporation Limited (NHIDCL).

    Significance

    • The tunnel is expected to provide all-weather connectivity to the Kashmir Valley, which is currently cut off from the rest of India for several months during the winter season due to heavy snowfall and avalanches.
    • The tunnel will also reduce the travel time between Srinagar and Leh by around four hours, as it will eliminate the need to cross the Zoji-Morh pass.

     


  • Digital Public Infrastructure (DPI): New Backbone of India’s Economy

    DPI

    Central Idea

    • India’s digital public infrastructure (DPI) is a unique marvel of our times that has brought together the government, regulators, private sector, volunteers, startups, and academia to create a superstructure that delivers consistent, affordable, and across-the-board value to citizens, government, and corporate sector alike.

    What is India’s digital public infrastructure (DPI)

    • India’s digital public infrastructure (DPI) refers to the collection of technological systems, platforms, and services that enable the Indian government, businesses, and citizens to interact digitally.
    • The DPI is often referred to as the India Stack, which was built through a unique partnership between the government, regulators, the private sector, selfless volunteers, startups, and academia/think tanks.
    • India Stack includes a number of building blocks such as Aadhaar (a biometric identification system), e-KYC (electronic know your customer), UPI (Unified Payments Interface), and DigiLocker (a cloud-based document storage system).

    DPI

    DPI in India

    • India, first country to develop all three foundational DPIs: India through India Stack became the first country to develop all three foundational DPIs digital identity (Aadhar), real-time fast payment (UPI) and a platform to safely share personal data without compromising privacy (Account Aggregator built on the Data Empowerment Protection Architecture or DEPA)
    • Techno-legal regulatory frameworks in India: Techno-legal regulatory frameworks are used to achieve policy objectives through public-technology design.
    • For example: India’s DEPA offers technological tools for people to invoke the rights made available to them under applicable privacy laws. Framed differently, this techno-legal governance regime embeds data protection principles into a public-technology stack.
    • DPI most feasible model: DPI has emerged as the most feasible model due to its low cost, interoperability and scalable design, and because of its safeguards against monopolies and digital colonisation.

    Aadhaar and the private sector

    • Rebirth of Aadhaar: Prime Minister Narendra Modi’s vision enabled Aadhaar to become the rocket ship for launching good governance in India. Currently, over 1,700 Union and State government schemes use Aadhaar.
    • Aadhaar and the private sector: After the Supreme Court’s affirmation of privacy rights, Aadhaar is gradually being opened to the private sector. Aadhaar holders can voluntarily use their Aadhaar for private sector purposes, and regulated entities can store Aadhaar numbers using secure vaults. These changes are leading to the next leapfrogging of India Stack.
    • Three changes: The next leapfrogging of the India Stack, with a dynamic political executive and inspired volunteers, will happen with three changes, voluntary usage of Aadhaar for private sector purposes, sharing of Aadhaar data between government departments, and the creation of a new private sector-friendly UIDAI.

    DigiYatra and DigiLocker

    • India Stack’s greenfield market innovation potential can unlock various services such as DigiYatra, which offers a free biometric-enabled seamless travel experience through facial recognition systems, and DigiLocker, which has 150 million users and six billion stored documents.
    • Plans are afoot to expand DigiLocker to many countries around the world.

    Facts for prelims

    Initiative Description Launched by
    DigiLocker Cloud-based document storage platform for citizens Ministry of Electronics and Information Technology
    DigiYatra Digital travel experience initiative for air travellers Ministry of Civil Aviation
    DigiSeva Digital service delivery platform for government services Ministry of Electronics and Information Technology
    DigiGaon Digital village initiative to provide digital infrastructure Ministry of Electronics and Information Technology
    DigiShala Digital classroom initiative to promote digital education Ministry of Human Resource Development
    DigiPay Digital payments platform for government services National Payments Corporation of India
    DigiSaksham Digital literacy initiative to empower citizens Ministry of Electronics and Information Technology
    DigiDhan Digital payments and financial inclusion initiative Ministry of Electronics and Information Technology
    DigiSangrah Digital repository of cultural resources for citizens Ministry of Culture
    DigiMuseums Digital initiative to showcase Indian museums online Ministry of Culture

    Impact of unified payment interface (UPI)

    • The unified payment interface UPI which is breaking records under the visionary leadership at the National Payments Corporation of India
    • UPI has now crossed eight billion transactions per month and transacts a value of $180 billion a month, or about a staggering 65% of India’s GDP per annum.

    DPI

    Conclusion

    • India’s Digital Public Infrastructure (DPI) can be seen as India’s second war for independence, this time for economic freedom from the daily struggles of transactions and bureaucracy. DPI has emerged as the new backbone of India’s economy, propelling it towards the goal of achieving a $25 trillion economy by the 100th year of India’s political independence. With the convergence of ChatGPT and India Stack, we can only imagine the tremendous progress and innovations that could spark a new era of economic growth and development, much like the Cambrian explosion in evolutionary history.

    Mains question

    Q. What is India’s digital public infrastructure (DPI)? Explain the building blocks of the India Stack and their significance.

  • India’s WTO Challenge on MSP Programs for Food Grain

    wto

    Central idea: India has been criticized at the World Trade Organization (WTO) for not adequately addressing questions raised by members regarding its Minimum Support Price (MSP) programs for food grain, particularly rice.

    Minimum Support Price (MSP)

    • MSP is the price at which the government buys crops from farmers to support them against any sharp fall in farm prices.
    • It is announced by the Government of India for 23 crops ahead of each sowing season based on the recommendations of the Commission for Agricultural Costs and Prices (CACP).
    • It is an important tool to protect farmers from any sharp fall in farm prices.

     Genesis of the row

    • WTO members such as the US, Australia, Canada, the EU, and Thailand have alleged that India did not provide sufficient responses during consultations.
    • The MSP programs have breached prescribed subsidy limits and are under scrutiny at the WTO argued these countries.
    • With this, India became the first country to invoke the Bali ‘peace clause’ to justify exceeding its 10% ceiling for rice support in 2018-2019 and 2019-2020.

    What is ‘Bali Peace Clause’?

    • India’s minimum support price (MSP) falls under the amber box subsidies category.
    • India has exceeded its limits for amber box subsidies for rice for two consecutive years, which is why it has been challenged at the WTO.
    • The Bali ‘peace clause’ allows developing countries to exceed their 10% ceiling without facing legal action by other members.
    • However, it is subject to numerous conditions, such as not distorting global trade and not affecting food security of other members.
    • India’s MSP programs are subject to the ‘peace clause’, but some WTO members have accused India of habitually not including all required information in its notifications.

    Allegations of Inadequate Reporting by India

    • WTO members have been accusing India of not reporting all public stockholding programs under the ‘peace clause’.
    • Some members have pointed out that India also lacks an adequate monitoring mechanism to ensure that no stocks are exported.
    • India, on the other hand, argues that it is not obligated to notify any public stockholding programs other than for the crop where the subsidy limits were breached.

    Impact on India’s MSP Programs

    • The criticism from WTO members could have an impact on India’s MSP programs for food grain, particularly rice.
    • The conditions set under the ‘peace clause’ could limit India’s ability to exceed the subsidy limits and support its farmers.
    • India may have to provide more detailed notifications and monitoring mechanisms to address the concerns of other members and ensure compliance with WTO regulations.

    Why is India defending its stance on MSPs?

    • India faces several challenges in the agricultural sector, including climate change, soil degradation, and water scarcity.
    • The country also has to deal with farmers’ distress due to low prices for their produce, which is why the MSP program was introduced in the first place.
    • The challenge posed by the WTO to the MSP program could further exacerbate the problems faced by Indian farmers.

    Back2Basics: WTO and its Subsidies Boxes

    The World Trade Organization (WTO) is an intergovernmental organization that is responsible for regulating international trade between nations.

    • Establishment: It was established on January 1, 1995, and currently has 164 member countries.
    • Objective: To ensure that trade flows as smoothly, predictably, and freely as possible.
    • Frameworks: Negotiating and formalizing trade agreements, resolving trade disputes between member countries, and monitoring national trade policies.
    • Working principles: Non-discrimination, transparency, and fairness in international trade.

    The WTO has three types of subsidy boxes – green, blue, and amber. Each box represents a different level of trade-distorting subsidies.

    1. Green box subsidies: These subsidies are considered non-trade-distorting and are allowed under WTO rules. They include measures such as research, disease control, and infrastructure development.
    2. Blue box subsidies: These subsidies are considered less trade-distorting than amber box subsidies but can still distort trade to some extent. They include measures such as direct payments to farmers to reduce production, provided that certain conditions are met, such as the use of fixed areas or yields.
    3. Amber box subsidies: These subsidies are considered the most trade-distorting and are subject to reduction commitments under the WTO Agreement on Agriculture. They include measures such as price support, input subsidies, and direct payments that are not subject to certain conditions.

     


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  • Prices of Essential Medicines set to hike

    medicine

    Prices of 384 essential drugs and over 1,000 formulations are set to see a hike of over 11%, due to a sharp rise in the Wholesale Price Index (WPI).

    Implications for customers

    • Annual hikes in the prices of drugs listed in the National List of Essential Medicines (NLEM) are based on the WPI.
    • The price surge will mean that consumers have to pay more for routine and essential drugs, including painkillers, anti-infection drugs, cardiac drugs, and antibiotics.

    What are Essential Medicines?

    • As per the World Health Organisation (WHO), Essential Medicines are those that satisfy the priority healthcare needs of the population.
    • Ministry of Health and Family Welfare hence prepared and released the first National List of Essential Medicines (NLEM) of India in 1996 consisting of 279 medicines.
    • The list is made with consideration to disease prevalence, efficacy, safety and comparative cost-effectiveness of the medicines.
    • Such medicines are intended to be available in adequate amounts, in appropriate dosage forms and strengths with assured quality.
    • They should be available in such a way that an individual or community can afford.

    NLEM in India

    • Drugs listed under NLEM — also known as scheduled drugs — will be cheaper because the National Pharmaceutical Pricing Authority (NPPA) caps medicine prices and changes only based on wholesale price index-based inflation.
    • The list includes anti-infectives medicines to treat diabetes such as insulin — HIV, tuberculosis, cancer, contraceptives, hormonal medicines and anaesthetics.
    • They account for 17-18 per cent of the estimated Rs 1.6-trillion domestic pharmaceutical market.
    • Companies selling non-scheduled drugs can hike prices by up to 10 per cent every year.
    • Typically, once NLEM is released, the department of pharmaceuticals under the ministry of chemicals and fertilisers adds them in the Drug Price Control Order, after which NPPA fixes the price.

    Who regulates Drugs prices?

    • The NPPA was set up in 1997 to fix/revise prices of controlled bulk drugs and formulations and to enforce price and availability of the medicines in the country, under the Drugs (Prices Control) Order, 1995-2013.
    • Its mandate is:
    1. To implement and enforce the provisions of the DPCO in accordance with the powers delegated to it
    2. To deal with all legal matters arising out of the decisions of the NPPA
    3. To monitor the availability of drugs, identify shortages and to take remedial steps
    • The NPPA is also mandated to collect/maintain data on production, exports and imports, market share of individual companies, profitability of companies etc., for bulk drugs and formulations and undertake and/ or sponsor relevant studies in respect of pricing of drugs/ pharmaceuticals.

    How does the pricing mechanism work?

    • Prices of Scheduled Drugs are allowed an increase each year by the drug regulator in line with the Wholesale Price Index (WPI) and the annual change is controlled and rarely crosses 5%.
    • But the pharmaceutical players pointed out that over the past few years, input costs have flared up.
    • The hike has been a long-standing demand by the pharma industry lobby.
    • All medicines under the NLEM are under price regulation.

     

    Try this MCQ

    Q. Which of the following is not a mandate of the National Pharmaceutical Pricing Authority (NPPA)?

    A) Fixing and revising prices of controlled bulk drugs and formulations

    B) Enforcing price and availability of medicines in the country

    C) Monitoring the availability of drugs and taking remedial steps

    D) Regulating the import and export of pharmaceutical products

     

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  • What is the Wildlife Protection Act, 1972?

    wild

    A person in UP was booked under the Wildlife Protection Act, 1972, for “illegally” keeping and nursing an injured Sarus crane (Grus Antigone) he found in his village.

    About Sarus

    • The Sarus crane is usually found in wetlands and is the state bird of Uttar Pradesh.
    • Standing at 152-156 centimetres, it is the world’s tallest flying bird.

    What is Wildlife (Protection) Act, of 1972?

    • WPA provides for the protection of the country’s wild animals, birds and plant species, in order to ensure environmental and ecological security.
    • It provides for the protection of a listed species of animals, birds and plants, and also for the establishment of a network of ecologically-important protected areas in the country.
    • It provides for various types of protected areas such as Wildlife Sanctuaries, National Parks etc.

    There are six schedules provided in the WPA for the protection of wildlife species which can be concisely summarized as under:

    Schedule I: These species need rigorous protection and therefore, the harshest penalties for violation of the law are for species under this Schedule.
    Schedule II: Animals under this list are accorded high protection. They cannot be hunted except under threat to human life.
    Schedule III & IV: This list is for species that are not endangered. This includes protected species but the penalty for any violation is less compared to the first two schedules.
    Schedule V: This schedule contains animals which can be hunted.
    Schedule VI: This list contains plants that are forbidden from cultivation.

     

    What is the law on animals and birds under Schedule IV?

    • Species mentioned under Schedules III and IV relate to the prohibition on dealings in trophy and animal articles without a license, purchase of animals by a licensee, and restriction on transportation of wildlife.
    • Section 48 of the Act specifically states that any wild animal or animal article can be transported only after obtaining permission from the Chief Wildlife Warden or any other officer authorised by the state.
    • Section 44 provides for issuing licenses to taxidermists, eating houses (hotels or restaurants), and dealers in animal articles, preserved animal parts or trophies, uncured trophies (whole or any unpreserved part of an animal), captive animals, and snake venom of such species.

     

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  • Type 1 and Type 2 Diabetes among Children

    diabetes

    The National Commission for Protection of Child Rights (NCPCR) has written to Education Boards of all States/UTs, stating schools must ensure proper care/facilities for children with Type 1 diabetes (T1D).

    What is Diabetes?

    • Diabetes is a chronic medical condition that occurs when the body cannot regulate blood sugar levels properly.
    • Blood sugar, also known as blood glucose, is the main source of energy for the body’s cells.
    • Insulin, a hormone produced by the pancreas, helps the body use and store glucose from food.
    • In diabetes, the body either does not produce enough insulin or cannot use the insulin it produces effectively, resulting in high blood sugar levels.
    • Over time, high blood sugar levels can cause serious health problems, such as damage to the heart, blood vessels, eyes, kidneys, and nerves.

    Types of Diabetes

    There are two main types of diabetes: Type 1 and Type 2.

    • Type 1 diabetes: It is an autoimmune disease in which the immune system attacks and destroys insulin-producing cells in the pancreas, resulting in a lack of insulin. This type of diabetes is typically diagnosed in children and young adults, although it can occur at any age. It requires insulin injections or pump therapy for survival.
    • Type 2 diabetes: It is a metabolic disorder in which the body becomes resistant to the effects of insulin or doesn’t produce enough insulin to maintain normal glucose levels. This type of diabetes is often associated with lifestyle factors such as obesity, physical inactivity, and poor diet. It is typically diagnosed in adults, but it is becoming increasingly common in children and adolescents as well. Treatment for Type 2 diabetes may include lifestyle changes, oral medications, or insulin therapy.

    Menace of diabetes in India

    • According to data from the International Diabetes Federation Atlas 2021, India has the world’s highest number of children and adolescents living with Type I Diabetes Mellitus (TIDM).
    • There are over 2.4 lakh TID patients in the Southeast Asia region.

    Measures to mitigate TID impact on students

    • CBSE circular in 2017 allowed students with T1D in Classes X and XII to carry certain eatables to board exam hall to avoid low sugar episodes.
    • They are permitted to carry medicines, snacks, water, a glucometer, and testing strips.
    • NCPCR suggests states allow students to use smartphones to monitor sugar levels.
    • Tamil Nadu has been providing free insulin to children with T1D since 1988.

    Back2Basics: National Commission for Protection of Child Rights (NCPCR)

    • NCPCR is a statutory body established in India under the Commissions for Protection of Child Rights Act, 2005.
    • Its objective is to protect, promote and defend the rights of children in India.
    • It functions as a watchdog to prevent child rights violations, as well as to take action against those responsible for such violations.
    • The NCPCR also advocates for the implementation of laws, policies and programs aimed at promoting child welfare and development.

     


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  • Scrapping Tax Benefit for Debt Mutual Funds: Analysis

    Central Idea

    • The Finance Bill 2023, passed by the Lok Sabha with 64 amendments, includes the controversial decision to remove the tax benefit for debt mutual funds. While the aim is to remove the advantage of debt funds over bank deposits, this decision will have far-reaching consequences that need to be examined.

    Mutual Funds

    • Investment decisions on behalf of the investors: Mutual funds are investment vehicles that pool money from multiple investors to purchase a diversified portfolio of stocks, bonds, or other securities. Mutual funds are managed by professional fund managers who make investment decisions on behalf of the investors in the fund.
    • Diversified portfolio of securities: Investors in a mutual fund own a proportional share of the fund’s underlying assets, and the value of their investment rises or falls in response to changes in the value of the securities held by the fund. Mutual funds can provide investors with access to a diversified portfolio of securities, which can help to mitigate the risk of investing in individual securities.

    Key differences between Mutual funds and debt mutual funds

    • Mutual funds and debt mutual funds are both types of investment funds, but there are some key differences between them
    Comparison Mutual Funds Debt Mutual Funds
    Types of Investments Stocks, bonds, commodities, and other asset classes Fixed-income securities such as bonds, debentures, treasury bills, and commercial papers
    Risk Generally higher risk due to the inclusion of stocks and other volatile assets Generally lower risk due to the focus on fixed-income securities
    Returns Potentially higher returns over the long term, but subject to more volatility Lower returns compared to equity mutual funds, but also come with lower risk
    Investment Objective Can vary widely depending on the type of fund Provide regular income to investors while preserving capital
    Liquidity Can be less liquid than debt mutual funds due to volatility in underlying securities Generally considered more liquid due to less volatility in underlying securities

    The Debate Over Scrapping Tax Benefit for Debt Mutual Funds

    • Removal of the tax benefit for debt mutual funds: The Finance Bill 2023 passed by voice vote in the Lok Sabha last week with 64 amendments, including the removal of the tax benefit for debt mutual funds.
    • What it means: This change means that investors in debt mutual funds cannot avail the benefit of indexation for the calculation of long-term capital gains. From April 1, such investments will now be taxed at income tax rates applicable to an individual’s tax slab.
    • Motive: This move aims to remove the advantage that such debt funds have over bank deposits. However, the consequences of this decision need to be carefully examined.

    The Impact of Removing Tax Benefit

    • Impact on flow of funds: The removal of the tax benefit will lead to investors reassessing their allocations to debt mutual funds, which may impact flows into these funds.
    • Impact on bond market: This, in turn, may impact the growth and development of the bond market in India since debt mutual funds channel funds into the bond market.
    • For instance: According to a report by Crisil, 70% of the investment in debt funds flows from institutional investors, while individual investors, including high net worth individuals, accounted for 27% as of December 2022.
    • Impact on corporate debt: This change in rule may trigger a shift in investments away from debt mutual funds to other instruments, which will possibly affect flows to the corporate bond market, and demand for corporate debt is likely to be impacted.

    The Need for Rationalization

    • There is a need to acknowledge the finer points of differentiation between bank deposits and debt funds since bank deposits are insured up to Rs 5 lakh while debt mutual funds carry risk depending on the risk profile of the bonds they hold.
    • It has been argued that the capital gains architecture in India needs to be reexamined and reconfigured.
    • Not only are there different rates of taxation for different asset classes, but even the holding period for differentiating between short- and long-term capital gains varies across assets. Thus, rationalisation with regard to the tax rate and/or the holding period is desirable.

    Conclusion

    • While the removal of the tax benefit for debt mutual funds may remove the advantage of such funds over bank deposits, its far-reaching consequences need to be carefully examined. There is a need to acknowledge the finer points of differentiation between bank deposits and debt funds, as well as rationalisation of the tax architecture in India. Therefore, there is a need for broader discussions and debates on these issues.

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