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Distribution: weekly

  • Risks involved in Indian tech unicorns gaining at China’s expense

    Context

    Investment firms with a reputation for tracking and hunting unicorns — startups with billion-dollar-plus valuations are shifting their attention to India from China. While this cannot be good for China, the question remains over whether or not it is good for India either.

    China’s crackdown on tech industry

    • Beijing has decided to crack down on the tech industry, wiping out $1.5 trillion in market value.
    •  The crackdown began with the abrupt suspension of the much-anticipated initial public offering (IPO) of Ant Group last November.
    •  China’s regulators stopped the ride-hailing company, Didi Chuxing, from accepting new users, as soon as it went public on the New York Stock Exchange.
    • There have been sweeping industry-wide changes, from anti-monopoly legislation to new rules governing data collection and use.
    • All of this has investors spooked.

    How India can benefit from China’s crackdown on the tech industry?

    • Due to China’s crackdown, for the first time since 2013, the value of venture deals in India surpassed that of China.
    • Converging factors in India: If this keeps up, India will experience a veritable blessing of unicorns, thanks not only to the fact that the money fleeing China needs refuge, but to many converging forces within India itself.
    • India is the world’s second largest digital market.
    • The use of the United Payment Interface has made digital payments easier in a society that was — and still is — so tied to cash.
    • The pandemic lockdowns have driven an unusually large proportion of that digital population to spend an unusually large amount of time and spend money online.
    • This means that in a very short time, the need to serve this digital population has exploded.
    • The Chinese crackdown could not have come at a more opportune time.
    • Many startups are in a hurry to capitalise on the boom with many investors looking to capitalise them.

    Concern: the risk of tech-bubble

    • When investors rush in to seek refuge because they are fleeing risk elsewhere, even if the refuge looks promising, they can contribute to a self-reinforcing cycle that ends up destroying the refuge.
    • Eager to get a piece of the action, each investor may over-value a company, far exceeding what is justifiable based on market fundamentals.
    • The stampede builds and soon you have the makings of a tech bubble.

    Way forward for investors

    • Instead of reflexively chasing the next shiny startup in India, investors ought to ask a few questions.
    • Do the startups and the markets they serve have the capacity to scale up and do they justify sticking with them for a long period?
    • Has the Indian initial public offerings market really proven itself?
    • Are there enough large corporations that might buy these startups?
    • Can the under-investment in essentials, such as education, health and job market readiness, clog the talent pipeline?
    • Can the Indian government be trusted not to borrow a page from the government it would like to emulate — the Chinese state — and attempt a crackdown of its own?

    Consider the question “Indian tech start-ups are dealing with the gush of capital owing to the convergence of certain factors. Examine these factors and also the concerns with such influx of capital.”

    Conclusion

    India desperately needs patient capital, skilled talent and appropriate technology to solve the country’s numerous fundamental problems laid bare by the pandemic. The last thing India can afford is a bubble that bursts and for all three to take flight and seek refuge in yet another country because no one wants to pick up the pieces of a popped bubble.

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    Back2Basics: IPO

    • An initial public offering (IPO) refers to the process of offering shares of a private corporation to the public in a new stock issuance.
    • An IPO allows a company to raise capital from public investors.
    • The transition from a private to a public company can be an important time for private investors to fully realize gains from their investment as it typically includes a share premium for current private investors.
    • Meanwhile, it also allows public investors to participate in the offering.

  • Complex count: On caste census

    These days, many states are urging the Centre to include a caste-wise census in the Census of India to have substantial data for reservations of certain dominant caste groups.

    Background

    Caste census of Backward Classes difficult: Centre

    Reaction by the Centre

    • In this backdrop, the Union government’s assertion in the Supreme Court that a census of the backward castes is “administratively difficult and cumbersome” may evoke varying responses.
    • There are two components to the Government’s stand:
    1. Jeopardizing the Census: It asserts that it is a policy decision not to have caste as part of the regular census and that, administratively, the enumeration would be rendered so complex that it may jeopardise the decennial census itself.
    2. Adding more vagueness: It cites the difficulties and complexities inherent in getting an accurate count of castes, given the mind-boggling numbers of castes and sub-castes, with phonetic variations and similarities.

    This is the reason that the data from the 2011 SECC were not acted upon because of “several infirmities” that rendered them unusable.

    Why is caste census not feasible?

    • Hurdle to casteless society: The idea of a national caste census is abhorrent when the stated policy is to strive for a casteless society.
    • Political polarization: Political parties with their base in particular social groups may find a caste enumeration useful, if their favoured groups are established as dominant in specific geographies.
    • Electoral impact: Politicians may find the outcome inconvenient, if the precise count turns out to be lower and has a negative bearing on perceptions about their electoral importance.

    Limitations of SECC, 2011

    • Completeness and Accuracy: Even in the Censuses up to 1931, when caste details were collected, they were wanting in completeness and accuracy.
    • Lakhs of Caste: Further, the data contained 46 lakh different caste names, and if subcastes were considered, the ultimate number may be exponentially high.

    Need for such census

    • Quantifiable data: It may also be a legal imperative, considering that courts want ‘quantifiable data’ to support the existing levels of reservation.
    • Basis for Affirmative actions: It will be useful to establish statistical justification for preserving caste-based affirmative action programmes.

    These points do merit consideration, and even those clamouring for a caste census cannot easily brush them aside.

    Way forward

    • A caste census need not necessarily mean caste in the census.
    • It may be an independent exercise, but one that needs adequate thought and preparation, if its ultimate goal is not for political or electoral purposes, but for equity in distribution of opportunities.
    • A preliminary socio-anthropological study can be done at the State and district levels to establish all sects and sub-castes present in the population.
    • These can be tabulated under caste names that have wider recognition based on synonymity and equivalence among the appellations that people use to denote themselves.
    • Thereafter, it may be possible to do a field enumeration that can mark any group under castes found in the available OBC/BC lists.

    Conclusion

    • A caste census may not sit well with the goal of a casteless society, but it may serve, in the interim, as a useful, even if not entirely flawless, means of addressing inequities in society.

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  • Naga Peace Accord

     

    Tamil Nadu Governor has resigned as interlocutor for the Naga peace talks.

    What is the Naga Peace Process?

    (A) Issue

    • It refers to ongoing talks between the Indian government and Naga insurgent groups, in particular the NSCN(IM), since 1997 with the aim to sign a Naga Peace Accord.
    • The Naga insurgency, rooted in Naga nationalism, is one of the oldest insurgencies in the country.
    • The Naga-inhabited areas of the Northeast never considered themselves part of British India, and on August 14, 1947, the Naga National Council (NNC) declared independence for Nagaland.
    • It formed an underground Government (NFG) and an Army in 1952, in response to which the Centre sent in the Army and enacted the Armed Forces (Special) Powers Act, or AFSPA.

    (B) Shillong Agreement

    • After years of talks, the Shillong Accord was signed in 1976 with underground groups of Nagaland.
    • But it was rejected by many top NNC leaders on the ground that it did not address the issue of Naga sovereignty and forced Nagas to accept the Indian Constitution.
    • Since then the Naga groups have split into various factions.

    (C) The Peace Accord

    • There have been nearly 100 rounds of talks.
    • In August 2015, the group signed a framework agreement with the Indian government for the Naga Peace Accord.

    How did things go wrong?

    • Sources say even the various competencies of the accord had been agreed upon, although a few bones of contention remained.
    • The groups were insistent on a Naga constitution and were pushing for a Greater Nagalim stretching beyond the boundaries of the present Nagaland state.
    • The state panel rejected the demand for a separate flag and constitution outright, and warned that “any misadventure to disintegrate this great nation shall not be tolerated”.

    Amid all this, what are the real issues?

    • The enthusiasm with which the framework agreement was announced led to unreasonable expectations of an imminent Accord.
    • There is no way the government would accept a separate constitution for Nagaland. This was never under discussion.
    • There was, indeed, an opinion that the flag could be given.
    • But that went off the table after August 5, 2019 when the Kashmiri flag was taken away.

    Best way forward

    • It is important to understand that there cannot be an accord without the militant factions.
    • Some demands that need ironing out include one for a bicameral Assembly with at least 40 nominated members representing different tribes; absorption of cadres as local armed forces or in the Indian paramilitary.
    • There is a need for setting up of autonomous councils in Naga-dominated areas of neighbouring states; and the use of the Naga flag for at least customary events.

    Must read:

    [Burning Issue] Naga Peace Talks

     

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  • In news: Battle of Chamkaur (1704)

    The new Punjab CM represents the Assembly constituency of Chamkaur Sahib, which is of significance in Sikh history.

    For such history-related topics, one must not forget to note the contemporaries of a particular period.

    The Battle of Chamkaur

    • The coalition forces of Mughals and hill rajas led by Wazir Khan, the Nawab of Sirhind, had laid siege to Anandpur Sahib in the hope of capturing Guru Gobind Singh in May 1704.
    • After seven months of fighting and heavy losses, the coalition forces offered a safe passage to the Guru and his followers.
    • The heads of the coalition pledged they would not harm the Guru, his family, or his soldiers.
    • The peace treaty was sent in the name of Emperor Aurangzeb himself.
    • But when Gobind Singh and his followers stepped out of the Anandpur Sahib fort on the night of December 20, they were attacked.
    • Historically, this was where that Guru Gobind Singh lost two of his elder sons in a battle with the coalition forces of Mughals and the hill rajas.

    What happened at Chamkaur Sahib?

    • The Guru, accompanied by panj piaras (the five Sikhs he had initially baptised), his elder sons and around 40 soldiers, regrouped in a fortress-like two-storey house, with high compound walls made of mud.
    • They were surrounded by an army commandeered by Wazir Khan and Sher Mohammed Khan, the younger brother of Malerkotla’s chieftain.
    • The Guru sent out soldiers in small squads for hand-to-hand combat. Two such attacks were led by his sons, both of whom died fighting.
    • Three of the panj piaras — Mohkam Singh, Himmat Singh and Sahib Singh — too died fighting.

    How did the battle conclude?

    • When very few soldiers were left, they decided the Guru should leave so that he could carry on his mission.
    • It was at the Chamkaur fort that panj piaras issued an edict (hukumnama) ordering the Guru to leave.
    • This was the first edict issued by panj piaras after the formation of the Khalsa on April 13, 1699.
    • Before leaving, the Guru gave his attire and distinguishing kalgi to Sangat Singh, a Mazhabi Sikh who resembled him.
    • Three other soldiers too left the fort, and went in separate directions. The following day, the enemy forced their way inside to find only two soldiers who fought till their last breath.
    • Five days later, Guru Gobind Singh’s two younger sons, aged nine and seven, were bricked alive for refusing to convert.

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  • [pib] SAUBHAGYA Scheme completes 4 years

    The Pradhan Mantri Sahaj Bijli Har Ghar Yojana – SAUBHAGYA Scheme has successfully completed four years of its implementation.

    Progress till date

    • 82 crore households have been electrified since the launch of SAUBHAGYA till 31st March, 2021.

    About SAUBHAGYA Scheme

    • The Saubhagya is a scheme to ensure electrification of all willing households in the country in rural as well as urban areas.
    • It was launched in September 2017.
    • The Rural Electrification Corporation Limited (REC) is the nodal agency for the operationalization of the scheme throughout the country.

    Objective

    • To provide energy access to all by last mile connectivity and electricity connections to all remaining un-electrified households in rural as well as urban areas
    • To achieve universal household electrification in the country

    Beneficiaries of the project

    • The beneficiaries for free electricity connections would be identified using Socio-Economic and Caste Census (SECC) 2011 data.
    • However, un-electrified households not covered under the SECC data would also be provided electricity connections under the scheme on payment of Rs. 500 which shall be recovered by DISCOMs in 10 installments through electricity bill.
    • The solar power packs of 200 to 300 Wp with battery bank for un-electrified households located in remote and inaccessible areas, comprises Five LED lights, One DC fan, One DC power plug.
    • It also includes Repair and Maintenance (R&M) for 5 years.

    Implementation process

    • For the easy and accelerated implementation of the Scheme, modern technology shall be used for household surveys by using Mobile App.
    • Beneficiaries shall be identified and their application for electricity connection along with applicant photograph and identity proof shall be registered on spot.
    • The Gram Panchayat/Public institutions in the rural areas may be authorised to collect application forms along with complete documentation, distribute bills and collect revenue in consultation with the Panchayat Raj Institutions and Urban Local Bodies.

    Expected outcomes of the scheme

    The expected outcome of the Scheme is as follows:

    • Environmental upgradation by substitution of Kerosene for lighting purposes
    • Improvement education services
    • Better health services
    • Enhanced connectivity through radio, television, mobiles, etc.
    • Increased economic activities and jobs
    • Improved quality of life especially for women

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  • Disease surveillance system

    Context

    A well-functioning system can reduce the impact of diseases and outbreaks.

    Importance of disease surveillance system

    • Successful tackling of cholera in 1854 in London by use of the health statistics and death registration data from the General Registrar Office (GRO) started the beginning of a new era in epidemiology.
    • Importance of data: The application of principles of epidemiology is possible through systematic collection and timely analysis, and dissemination of data on the diseases.
    • This is to initiate action to either prevent or stop further spread, a process termed as disease surveillance.
    • Subsequently, the high-income countries invested in disease surveillance systems but low- and middle-income countries used limited resources for medical care.
    • Then, in the second half of the Twentieth century, as part of the global efforts for smallpox eradication and then to tackle many emerging and re-emerging diseases, many countries recognised the importance and started to invest in and strengthen the diseases surveillance system.
    • These efforts received a further boost with the emergence of Avian flu in 1997 and the Severe Acute Respiratory Syndrome (SARS) outbreak in 2002-04.

    Surveillance in India

    • The Government of India launched the National Surveillance Programme for Communicable Diseases in 1997.
    • However, this initiative remained rudimentary.
    • In wake of the SARS outbreak, in 2004, India launched the Integrated Disease Surveillance Project (IDSP).
    • The focus under the IDSP was to increase government funding for disease surveillance, strengthen laboratory capacity, train the health workforce and have at least one trained epidemiologist in every district of India.

    Issues with surveillance: Interstate variation

    • Variation among states: The disease surveillance system and health data recording and reporting systems are key tools in epidemiology.
    • In the fourth round of serosurvey, Kerala and Maharashtra States could identify one in every six and 12 infections, respectively; while in States such as Madhya Pradesh, Uttar Pradesh and Bihar, only one in every 100 COVID-19 infections could be detected.
    • This points towards a weak disease surveillance system.
    • In a well-functioning disease surveillance system, an increase in cases of any illness would be identified very quickly.
    • While Kerala is picking the maximum COVID-19 cases; it could pick the first case of the Nipah virus in early September 2021. 
    • On the contrary, cases of dengue, malaria, leptospirosis and scrub typhus received attention only when more than three dozen deaths were reported and health facilities in multiple districts of Uttar Pradesh, began to be overwhelmed.

    Way forward

    • A review of the IDSP in 2015, conducted jointly by the Ministry of Health and Family Welfare, the Government of India and World Health Organization India had made a few concrete recommendations to strengthen disease surveillance systems.
    • These included increasing financial resource allocation, ensuring an adequate number of trained human resources, strengthening laboratories, and zoonosis, influenza and vaccine-preventable diseases surveillance.
    • Increase allocation: The government resources allocated to preventive and promotive health services and disease surveillance need to be increased by the Union and State governments.
    • Trained workforce: The workforce in the primary healthcare system in both rural and urban areas needs to be retrained in disease surveillance and public health actions.
    • The vacancies of surveillance staff at all levels need to be urgently filled in.
    • Capacity increase: The laboratory capacity for COVID-19 needs to be planned and repurposed to increase the ability to conduct testing for other public health challenges and infections.
    • The interconnectedness of human and animal health: The emerging outbreaks of zoonotic diseases, be it the Nipah virus in Kerala or avian flu in other States as well as scrub typhus in Uttar Pradesh, are a reminder of the interconnectedness of human and animal health.
    • The ‘One Health’ approach has to be promoted beyond policy discourses and made functional on the ground.
    • Strengthening registration system: There has to be a dedicated focus on strengthening the civil registration and vital statistics (CRVS) systems and medical certification of cause of death (MCCD).
    • Coordination: It is also time to ensure coordinated actions between the State government and municipal corporation to develop joint action plans and assume responsibility for public health and disease surveillance.
    • The allocation made by the 15th Finance Commission to corporations for health should be used to activate this process.

    Consider the question “Examine the measure for disease surveillance in India? How it can help reduce the impact of the diseases?”

    Conclusion

    We cannot prevent every single outbreak but with a well-functioning disease surveillance system and with the application of principles of epidemiology, we can reduce their impact.

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  • Caste census of Backward Classes difficult: Centre

    The government has made it clear in the Supreme Court that a caste census of the Backward Classes is “administratively difficult and cumbersome”.

    About Socio-Economic and Caste Census

    • The SECC 2011 was conducted for the 2011 Census of India.
    • Then government approved the Socio Economic and Caste Census 2011 to be carried out after discussion in both houses of Parliament in 2010.
    • The SECC 2011 was conducted in all states and union territories of India and the first findings were revealed in July 2015.
    • SECC 2011 is also the first paperless census in India conducted on hand-held electronic devices by the government in 640 districts.
    • SECC 2011 was the first caste-based census since 1931 Census of India and it was launched on 29 June 2011 from the Sankhola village of Hazemara block in West Tripura district.

    Issues with SECC

    Ans. Data NOT available

    • The SECC data is stored in the Office of the Registrar General and had not been made official.
    • It cannot be used as a source of information for population data in any official document.

    What did the Centre say?

    • The Centre reasoned that even when the census of castes were taken in the pre-Independence period, the data suffered in respect of “completeness and accuracy”.
    • It said the caste data enumerated in the Socio-Economic and Caste Census (SECC) of 2011 is “unusable” for official purposes as they are “replete with technical flaws”.
    • The infirmities of the SECC 2011 data makes it unusable for any official purposes and cannot be mentioned as a source of information for population data in any official document.
    • Besides, the Centre said, it was too late now to enumerate caste into the Census 2021.

    Why not OBCs?

    • Unlike the constitutional mandate for collection of census data on SCs and STs, there is no obligation to provide the census figures of OBCs.
    • The census data on SCs and STs are used for delimitation of electoral constituencies as well as for reservation of seats, as mandated under the Constitution.

    Reason: Official discouragement of Caste

    • The center was replying to a writ petition filed by the State of Maharashtra to gather Backward Classes’ caste data in the State while conducting Census 2021.
    • The Centre clarified that exclusion of information regarding any other caste — other than SCs and STs — from the purview of the census is a “conscious policy decision”.
    • The government said caste-wise enumeration in the Census was given up as a matter of policy from 1951.
    • It said there was a policy of “official discouragement of caste”.

    What is the plea about?

    • To Maharashtra’s plea to reveal the SECC 2011 “raw caste data” of Other Backward Classes (OBC), the Centre said the 2011 Census was not an “OBC survey”.
    • It was, on the other hand, a comprehensive exercise to enumerate the caste status of all households in the country in order to use their socio-economic data to identify poor households.

    Why is the Centre reluctant?

    • The Centre explained that a population census was not the “ideal instrument” for the collection of details on caste.
    • There is a “grave danger” that the “basic integrity” of census data would be compromised.
    • Even the fundamental population count may get “distorted”.

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  • SC introduces FASTER system to send records

    The Supreme Court has given its nod for e-transfer of orders to jails through the FASTER system for quick prisoner release.

    What is the FASTER system?

    • FASTER is an acronym form Fast and Secured Transmission of Electronic Records.
    • The system is meant to ensure that undertrials are not made to wait for days on end behind bars to be released because the certified hard copies of their bail orders took time to reach the prison.
    • It is conceived for delivery of orders to concerned prisons, District Courts, High Courts, as the case may be, for instantaneous delivery of orders passed by apex court through a secure communication channel.
    • The process to develop the FASTER system began with the CJI’s observations in court on July 16 this year.

    Benefits offered

    • With FASTER, crucial decisions, including orders on bail and stay of arrest, can be communicated electronically to prison authorities and investigating agencies through a secure channel.
    • The system would also prevent unnecessary arrests and custody of people even after the court had already granted them its protection.
    • It may even communicate a stay on an execution ordered by the final court on time.

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  • Service Exports from India Scheme (SEIS)

    The Directorate General of Foreign Trade has imposed a cap on the total entitlement under the Services Exports from India Scheme (SEIS) at Rs 5 crore per exporter for shipments done in 2019-20 (FY20). The move is expected to benefit small businesses in the services sector.

    About SEIS

    • Service Exports from India Scheme (SEIS) aims to promote export of services from India by providing duty scrip credit for eligible exports.
    • Under the scheme, service providers, located in India, would be rewarded under the SEIS scheme, for all eligible export of services from India.
    • SEIS was earlier termed as Served from India Scheme (SFIS).

    Eligibility

    • Service Providers of notified services, located in India are eligible for the Service Exports from India Scheme.
    • To be eligible, a service provider (Company / LLP / Partnership Firm) should have a minimum net free foreign exchange earnings of USD 15000 in the preceding financial year to be eligible for duty credit scrips.
    • For proprietorships or individual service providers, minimum net foreign exchange earnings of USD10,000 in the preceding financial year is required to be eligible for the scheme.
    • Also, in order to claim reward under the SEIS scheme, the service provider shall have to have an active Import Export Code (IE Code) at the time of rendering such services for which rewards are claimed.

    Back2Basics: Merchandise Exports from India Scheme (MEIS)

    • MEIS was launched with an objective to enhance the export of notified goods manufactured in a country.
    • This scheme came into effect on 1 April 2015 through the Foreign Trade Policy and was in existence till 2020.
    • It intended to incentivize exports of goods manufactured in India or produced in India.
    • The incentives were for goods widely exported from India, industries producing or manufacturing such goods with a view to making Indian exports competitive.
    • The MEIS covered almost 5000 goods notified for the purpose of the scheme.

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  • [pib] International Hydropower Association (IHA)

    NHPC’s 510 MW Teesta-V Power Station located in the Himalayan State of Sikkim has been conferred with the prestigious Blue Planet Prize by International Hydropower Association (IHA).

    Teesta-V Power Station

    • The power station has been built, owned and being operated by NHPC.
    • The award has been conferred for its sustainability assessment undertaken by Hydropower Sustainability Assessment Protocol (HSAP) of IHA.

    About IHA

    • IHA is a London based non-profit membership association operating in 120 countries.
    • The IHA membership includes leading hydropower owners and operators, developers, designers, suppliers and consultants.
    • The IHA Blue Planet Prize is awarded to hydropower projects that demonstrate excellence in sustainable development.
    • The Hydropower Sustainability Assessment Protocol (HSAP) is the leading international tool for measuring the sustainability of hydropower projects.
    • It offers a way to benchmark the performance of a hydropower project against a comprehensive range of environmental, social, technical and governance criteria.

    Back2Basics: Teesta River

    • Teesta River is a 414 km long river that rises in the Pauhunri Mountain of eastern Himalayas, flows through the Indian states of Sikkim and West Bengal through Bangladesh and enters the Bay of Bengal.
    • It drains an area of 12,540 sq km.
    • In India, it flows through North Sikkim, East Sikkim, Pakyong District, Kalimpong district, Darjeeling District, Jalpaiguri District, Cooch Behar districts and the cities of Rangpo, Jalpaiguri and Mekhliganj.
    • It joins River Brahmaputra at Fulchhari in Bangladesh. 315 km portion of the river lies in India and rest in Bangladesh.
    • Teesta is the largest river of Sikkim and the second largest river of West Bengal after Ganges.

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