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  • How fiscal stimulus in the U.S. will impact emerging economies

    The article highlights how the faster recovery of the U.S. economy aided by the faster vaccination and stimulus packages may pose a policy challenge to the emerging economies.

    About the fiscal stimulus in the U.S.

    • With the recent passage of Biden’s $1.9 trillion coronavirus relief package, the cumulative fiscal stimulus amounts to 25 per cent of GDP. 
    • This reliance on fiscal stimulus is in sharp contrast to the policy response in the aftermath of the 2008 global financial crisis (GFC) when monetary policy was the main tool.
    • The over reliance on fiscal measures is because of the “liquidity trap” — interest rates are already treading close to zero.

    So, what does this mean for the US and emerging economies?

    • From the US perspective, this is good news.
    • The U.S. economy is expected to converge to the pre-pandemic GDP projection after the third quarter of 2021, exceeding it by 1 per cent in the fourth quarter.
    • The impact on emerging economies is less certain.
    • A booming US economy generally bodes well for global growth as higher demand “spills over” to the rest of the world.
    • However, the sectoral contribution to US growth presents a different picture this time.
    • Private consumption of goods (tradable) is already back to pre-pandemic levels, while consumption of services remains significantly below pre-pandemic levels.
    • As the vaccination drive gathers pace in the US and the economy slowly opens up, it should be fair to assume that the non-tradable sector would be driving growth.
    • But given the expected nature of the underlying growth, the positive impact on emerging economies will perhaps be softer.
    • With smaller fiscal stimulus in emerging economies and the slower vaccine roll, the US recovery largely being led by the non-tradable sector will result in a divergence in growth between the US and emerging countries.

    Policy challenge for emerging economies which is different from GFC

    • Post-GFC, a combination of zero interest rates and quantitative easing in advanced economies led to a significant surge in capital inflows to emerging countries in search of higher yield leading to an appreciation of their currencies.
    • Now, the situation is exactly the opposite.
    • The differential rate of recoveries has already led to capital outflow from emerging economies.
    • The rise in yield in the U.S. may further fuel capital outflows in coming days leading to tighter monetary conditions in emerging markets.

    What should be India’s policy response

    • As far as India is concerned, the macro-economic fundamentals are much stronger than during the taper-tantrum days.
    • The foreign exchange reserves remain at historically high levels, the current account situation is comfortable and the inflation rate remains within the target band of the RBI.
    • In the event of capital outflows, the RBI should let the currency depreciate as the first line of defence to preserve India’s external competitiveness and intervene only to smoothen out extreme volatility.
    • It should avoid the temptation to increase interest rates at the risk of hurting the pace of economic recovery.

    Consider the question “Uneven economic recovery on the global level poses a policy challenge to India. In this context, discuss the possible impact of uneven recovery and suggest the policy measures to deal with it.”

    Conclusion

    Uneven recovery at the global level demands an unconventional policy approach. The policy approach of India should be based on this premise.

    Back2Basics: Taper Tantrum

    • The phrase, taper tantrum, describes the 2013 surge in U.S. Treasury yields, resulting from the Federal Reserve’s (Fed) announcement of future tapering of its policy of quantitative easing.
    • The Fed announced that it would be reducing the pace of its purchases of Treasury bonds, to reduce the amount of money it was feeding into the economy.
    • The ensuing rise in bond yields in reaction to the announcement was referred to as a taper tantrum in financial media.

  • Why privatising public assets is poor economics

    The article highlights the issues with government expenditure driven by the selling of public sector assets.

    How public asset selling could affects private investment decisions

    • Public sector assets are not bought by reducing consumption or investment.
    • Current investment expenditure depends on decisions taken in the past and is more or less pre-determined.
    • Investment decisions that are taken today for fructification tomorrow that may be scaled down by such a purchase.
    • However, if investment decisions taken today are scaled-down, then it results in crowding out and such a strategy should be avoided anyway.
    • This implies that selling public sector assets therefore does not release any resources from private use for government spending.

    How selling public asset has same macroeconomic effect as fiscal deficit

    • In case of fiscal deficit, the government puts its bonds in private hands; in sale of a public asset, the government puts its equity held in public sector assets in private hands.
    • The macroeconomic consequences of a fiscal deficit on the economy are no different from those of selling public assets.
    • However, finance capital, and institutions like the IMF treat the sale of public assets on a different footing from a fiscal deficit, for ideological — not economic — reasons, because they ideologically favour a dismantling of the public sector.

    How fiscal deficit leads to wealth inequality

    • In a situation of demand-constraints, where unutilised capacity and unemployed workers exist aplenty, if an appropriate monetary policy is pursued, it can have no adverse effects whatsoever, except one: It increases wealth inequality.
    • The government expenditure financed by the fiscal deficit creates additional aggregate demand that increases output and incomes until the additional savings generated out of such incomes exactly match the fiscal deficit.
    • These additional savings accrue to the savers without their having to reduce their consumption, compared to the initial situation (that is, prior to government expenditure increase).
    • Since savings represent additions to wealth, this amounts to putting extra wealth into the hands of the rich.
    • Selling public assets puts into private hands public assets, and that too at prices well below the capitalised value of earnings.
    • This increases wealth inequality for two reasons:
    • First, it does so exactly as a fiscal deficit does.
    • Second, the public asset it puts in private hands is under-priced.

    Why tax financed government spending should be preferred

    • If the same government expenditure is financed by taxation, no matter who was taxed, then there would be no addition to private wealth and hence no increase in wealth inequality.
    • Which is why tax-financed government expenditure should always be preferred to fiscal-deficit-financed government expenditure.

    What alternative government have

    • The obvious one is wealth taxation.
    • Taxing away the private wealth created by a fiscal deficit leaves private wealth inequality unchanged at its initial level; it does not exacerbate it.
    • If the government is unwilling to impose higher wealth or profit taxes, it can raise GST rates on several luxury goods.

    Consider the question “How fiscal deficit financed government spending differs in its impact on weath inequality from the tax-financed government spending?”

    Conclusion

    Thus, selling public assets to finance government spending is both undesirable and unnecessary.

  • Justice NV Ramana set to take over as 48th CJI

    The Chief Justice of India Sharad Bobde has recommended Justice N.V. Ramana, the senior-most judge of the Supreme Court, as the next top judge from April 24.

    Chief Justice of India

    • The CJI is the chief judge of the Supreme Court of India as well as the highest-ranking officer of the Indian federal judiciary.

    Appointment

    • The Constitution of India grants power to the President to nominate, and with the advice and consent of the Parliament, appoint a chief justice, who serves until they reach the age of 65 or until removed by impeachment.
    • Earlier, it was a convention to appoint seniormost judges.
    • However, this has been broken twice. In 1973, Justice A. N. Ray was appointed superseding 3 senior judges.
    • Also, in 1977 Justice Mirza Hameedullah Beg was appointed as the chief justice superseding Justice Hans Raj Khanna.

    Qualifications to be a SC Judge

    The Indian Constitution says in Article 124 (3) that in order to be appointed as a judge in the Supreme Court of India, the person has to fit in the following criteria:

    • He/She is a citizen of India and
    • has been for at least five years a Judge of a High Court or of two or more such Courts in succession; or
    • has been for at least ten years an advocate of a High Court or of two or more such Courts in succession; or
    • is, in the opinion of the President, a distinguished jurist

    Also read:

    https://www.civilsdaily.com/news/explained-collegium-of-judges/

    Functions

    • As head of the Supreme Court, the CJI is responsible for the allocation of cases and appointment of constitutional benches which deal with important matters of law.
    • In accordance with Article 145 of the Constitution and the Supreme Court Rules of Procedure of 1966, the chief justice allocates all work to the other judges.

    On the administrative side, the CJI carries out the following functions:

    • maintenance of the roster; appointment of court officials and general and miscellaneous matters relating to the supervision and functioning of the Supreme Court

    Try this PYQ:

    Q. Who/Which of the following is the custodian of the Constitution of India?

    (a) The President of India

    (b) The Prime Minister of India

    (c) The Lok Sabha Secretariat

    (d) The Supreme Court of India

    Removal

    • Article 124(4) of the Constitution lays down the procedure for removal of a judge of the Supreme Court which is applicable to chief justices as well.
    • Once appointed, the chief justice remains in the office until the age of 65 years. He can be removed only through a process of removal by Parliament as follows:
    • He/She can be removed by an order of the President passed after an address by each House of Parliament supported by a majority of the total membership of that House and by a majority of not less than two-thirds of the members of that House present.
    • The voting has been presented to the President in the same session for such removal on the ground of proved misbehaviour or incapacity.

  • Sixth Schedule areas of Assam

    The Ministry of Home Affairs (MHA) has informed the Lok Sabha that presently, there is no proposal to implement the Panchayat system in the Sixth Schedule areas of Assam.

    Try this question from CSP 2015:

    Q.The provisions in Fifth Schedule and Sixth Schedule in the Constitution of India are made in order to-

    (a) protect the interests of Scheduled Tribes

    (b) determine the boundaries between States

    (c) determine the powers, authority and responsibilities of Panchayats

    (d) protect the interests of all the border States

    What is the Sixth Schedule?

    • The Sixth Schedule consists of provisions for the administration of tribal areas in Assam, Meghalaya, Tripura and Mizoram, according to Article 244 of the Indian Constitution.
    • Passed by the Constituent Assembly in 1949, it seeks to safeguard the rights of the tribal population through the formation of Autonomous District Councils (ADC).
    • ADCs are bodies representing a district to which the Constitution has given varying degrees of autonomy within the state legislature.
    • The governors of these states are empowered to reorganize the boundaries of the tribal areas.
    • In simpler terms, she or he can choose to include or exclude any area, increase or decrease the boundaries and unite two or more autonomous districts into one.
    • They can also alter or change the names of autonomous regions without separate legislation.

    Autonomous districts and regional councils

    • The ADCs are empowered with civil and judicial powers can constitute village courts within their jurisdiction to hear the trial of cases involving the tribes.
    • Governors of states that fall under the Sixth Schedule specify the jurisdiction of high courts for each of these cases.
    • Along with ADCs, the Sixth Schedule also provides for separate Regional Councils for each area constituted as an autonomous region.
    • In all, there are 10 areas in the Northeast that are registered as autonomous districts – three in Assam, Meghalaya and Mizoram and one in Tripura.

    The specified tribal areas are the North Cachar Hills, Karbi Anglong and the Bodoland Territorial Area in Assam, Khasi Hills, Jaintiya Hills and Garo Hills in Meghalaya, Tribal Areas in Tripura, Chakma, Mara and Lai districts in Mizoram.

    • These regions are named as district council of (name of district) and regional council of (name of region).
    • Each autonomous district and regional council consists of not more than 30 members, of which four are nominated by the governor and the rest via elections. All of them remain in power for a term of five years.

  • Inter-state Tiger Relocation Project

    Sundari — a tigress shifted as part of India’s first inter-state translocation project in 2018 from Madhya Pradesh to Odisha has returned home.

    What is the news?

    • The five-year-old tigress Sundari spent 28 months in captivity in Satkosia Tiger Reserve, Odisha.
    • The two states lingered on the process for her relocation despite the National Tiger Conservation Authority (NTCA) shelving off the much-vaunted inter-state tiger translocation drive.

    What was the Tiger Relocation Project?

    • The tiger relocation project was initiated in 2018 wherein two big cats, a male (Mahavir) from Kanha Tiger Reserve and a female (Sundari) from Bandhavgarh from MP were relocated to Satkosia Tiger Reserve in Odisha.
    • The relocation was meant to serve two purposes
    1. to reduce the tiger population in areas with excess tigers to majorly reduce territorial disputes and
    2. to reintroduce tigers in areas where the population has considerably reduced due to various reasons

    How were Mahavir and Sundari chosen for the project?

    • Both the big cats were selected for the translocation project as per the NTCA guidelines and in collaboration with the Wildlife Institute of India and the GoI.
    • Two key factors were considered for choosing the animal — first, a dispersing young animal which is to find a new and second, an adult transient which was yet to establish any territory.

    What is the Satkosia Tiger Reserve and why was it chosen?

    • Encompassing an area of 963.87 sq km, the Satkosia Tiger Reserve spreads across four districts and has as its core area 523 sq km.
    • According to NTCA, Satkosia falls under reserves where “there is a potential for increasing tiger populations”.
    • Declared as a Tiger Reserve in 2007, Satkosia had a population of 12 tigers then. The numbers reduced to two in 2018.
    • The purpose of the relocation was to repopulate tigers in the reserve areas.

    Try this PYQ from CSP 2020:

    Q.With reference to India’s Desert National Park, which of the following statements is correct?

    1. It is spread over two districts.
    2. There is no human habitation inside the Park.
    3. It is one of the natural habitats of Great Indian Bustard.

    Select the correct answer using the code given below:

    (a) 1 and 2 only

    (b) 2 and 3 only

    (c) 1 and 3 only

    (d) 1,2 and 3

    Unexpected outcomes of the project

    The project ran into trouble within weeks of initiation.

    • The arrival of the tigers was followed by severe protests by villagers living on the fringes of the reserve and the matter eventually snowballing into a poll issue.
    • Forest department officials were attacked and their offices burnt down by irate villagers most of whom were tribals.
    • The villagers feared the big cats would endanger their livelihoods, lives and livestocks. They also alleged that they were not consulted or informed prior to the translocation.
    • The major reason which contributed to the failure of the project was the lack of confidence and trust-building between the forest department and the villagers.
    • Within months of the translocation, Mahavir was found dead and was killed in poaching.

  • Traffic jam in the Suez Canal

    A massive cargo ship has turned sideways in Egypt’s Suez Canal, blocking traffic in a crucial East-West waterway for global shipping.

    Try this PYQ:

    Q.Between India and East Asia, the navigation time and distance can be greatly reduced by which of the following?

    1. Deepening the Malacca straits between Malaysia and Indonesia.
    2. Opening a new canal across the Kra isthmus between the Gulf of Siam and Andaman sea.

    Which of the statements given above is/are correct?

    (a) 1 only

    (b) 2 only

    (c) Both 1 and 2

    (d) Neither 1 nor 2

    Suez Canal

    • The Suez Canal is an artificial sea-level waterway in Egypt, connecting the Mediterranean Sea to the Red Sea through the Isthmus of Suez; and dividing Africa and Asia.
    • Constructed by the Suez Canal Company between 1859 and 1869, it officially opened on 17 November 1869.
    • The canal was earlier controlled by British and French interests in its initial years but was nationalized in 1956 by Egypt’s then leader Gamal Abdel Nasser.
    • It extends from the northern terminus of Port Said to the southern terminus of Port Tewfik at the city of Suez.
    • Its length is 193.30 km including its northern and southern access channels.

    Its significance

    • The Suez Canal provides a crucial link for oil, natural gas and cargo being shipping from East to West.
    • It provides a major shortcut for ships moving between Europe and Asia, who before its construction had to sail around Africa to complete the same journey.
    • Around 10 % of the world’s trade flows through the waterway and it remains one of Egypt’s top foreign currency earners.
    • As per a report, the canal is a major source of income for Egypt’s economy, with the African country earning $5.61 billion in revenues from it last year.

  • Why the MTP Bill is not progressive enough

    The article highlights key changes the Medical Termination of Pregnancy (Amendment) Bill, 2021 seeks to make in the 1971 Act and also deals with the issues with some of these changes.

    Key changes

    • The 1971 Act had moral biases against sexual relationships outside marriage, adopts an ableist approach and carries a strong eugenic emphasis.
    • In addition to preventing danger to the life or risk to physical or mental health of the woman, “eugenic grounds” were recognised as a specific category for legally permissible abortions.
    • To deal with these issues the Medical Termination of Pregnancy (Amendment) Bill, 2021 was passed by the parliament.
    • The bill is being hailed for two reasons:
    • First, the bill replaces “any married woman or her husband” with “any woman or her partner” while contemplating termination of pregnancies resulting from contraception failures, thus ostensibly destigmatising pregnancies outside marriage.
    • Second, the time limit within which pregnancies are legally terminable is increased.

    Issues with the Bill

    1) Scope for executive overreach

    • The bill raises the upper gestational limits for the two categories of permissible abortions envisioned in Section 3(2) of the 1971 Act.
    • Limit for the first category in which pregnancies are terminable subject to the opinion of one medical practitioner is raised from 12 weeks to 20 weeks.
    • The limit for the second category in which pregnancies are terminable subject to the opinion of two medical practitioners is raised to include those exceeding 20 but not exceeding 24 weeks, instead of the present category of cases exceeding 12 but not exceeding 20 weeks.
    • However, the second category is left ambiguous and open to potential executive overreach insofar as it may be further narrowed down by rules made by the executive.

    2) Rejection of the bodily autonomy of women

    • Pregnancies are allowed to be terminated only where:
    • 1) Continuance of the pregnancy would “prejudice the life of the pregnant woman.
    • 2) Or cause grave injury to her mental or physical health”
    • 3) Or “if the child were born it would suffer from any serious physical or mental abnormality.”
    • As such, the bill seeks to cater to women “who need to terminate pregnancy” as against “women who want to terminate pregnancy.”
    •  By not accounting for the right to abortion at will the Bill effectively cripples women’s bodily autonomy.

    3) Ableist approach

    • A woman’s right to terminate the pregnancy of a child likely to suffer from physical or mental anomalies or one diagnosed with foetal abnormalities, on socio-economic grounds or otherwise, merits recognition.
    • However, in treating “physical or mental disability” or “foetal abnormalities” as separate categories amounting to heightened circumstances for termination of pregnancies, the bill reveals its ableist approach.
    • This evidences a presumption that certain people are by default societally unproductive, undesirable and somehow more justifiably eliminable than others.
    • This ableism becomes stark when the said 24-week limit, which is purportedly dictated by scientific and legislative wisdom, is completely lifted where the termination of a pregnancy involves “substantial foetal abnormalities”.

    4) Dichotomy in allowing termination beyond 24 weeks

    • When read together with Section 3(2B) of the bill, a strange dichotomy emerges:
    • 1) It is either the case that medical advancement is such that a safe abortion is possible at any point in the term of pregnancy, and hence, the bill allows it in case of “substantial foetal abnormalities” .
    • Or that, a 24-week ceiling is scientifically essential and abortions beyond the said limit would pose risks to the health of the pregnant woman or the foetus.
    • If it is the former, then allowing termination only in cases of “substantial foetal abnormalities” is a fictitious and moralistic classification.
    • If it is the latter, then the secondary status of women’s safety and the dominant eugenic tenor of the bill once again becomes evident.

    Need to sensitise healthcare provider

    • Access to abortion facilities is limited not just by legislative barriers but also the fear of judgment from medical practitioners.
    • It is imperative that healthcare providers be sensitised towards being scientific, objective and compassionate in their approach to abortions notwithstanding the woman’s marital status.

    Consider the question “What are the changes the Medical Termination of Pregnancy (Amendment) Bill, 2021 seeks to make in the 1971 Act. Discuss the issues with the changed provision in the Act.

    Conclusion

    In KS Puttaswamy v Union of India, the Supreme Court recognised women’s constitutional right to “abstain from procreating” was read into the right to privacy, dignity and bodily autonomy. The MTPA Bill falls short of meeting this constitutional standard and its own stated objectives.

  • Applying the policy of self-reliance to health, infrastructure and green technologies

    The article highlights how Atmanirbhar Bharat policies can play important role in India’s post-pandemic recovery.

    Decline of trade-led catch-up growth

    • The Asian Development Bank identifies India as an outlier, with the country’s GDP growth likely to range between eight and 10 per cent — as against 7.7 per cent for China and seven per cent for the Asian region.
    • The convergence between the rich and poor countries in the 1990s and 2000s was founded on high relative growth rates driven by globalisation and export-led growth.
    • The World Bank and many international think tanks are now projecting a process of de-globalisation, reduction in exports, and reduced service exports from the tourism, travel and hospitality sector in response to COVID.
    • So, the phenomenon of trade-led catch-up growth is declining.

    How Atmanirbhar Bharat is different from past strategies

    • India’s import substituting growth strategy of the 1960s did not succeed because the high protective customs barriers led to the growth of non-competitive industries.
    • The current Atmanirbhar Bharat project is different because tariffs are low and public investment is focused on non-tradable infrastructure rather than commodity production.

    1) Atmanirbhar in heath: Atmirbhar Swasth Bharat

    • Atmanirbhar Swasth Bharat is a domestic non-trade dependent initiative which will invest over Rs 64,000 crore in setting up 17,800 rural and 11,000 urban health and wellness centres and 602 critical care hospitals in the country’s districts.
    • Today India has 29 health workers per 10,000 population, while we need 60 such professionals per 10,000 people, as per WHO norms.
    • Creating such a cadre will mean nearly four million new jobs, which can be self-paying.

    2) Infrastructure

    • China and emerging markets like Russia and Brazil have a fairly advanced transport and energy infrastructure.
    • India has a huge potential to renew its railways and highways and shift to solar energy from its current dependence on coal.
    • In fact, the country’s long-neglected fourth largest rail network in the world is undergoing rapid transformation.
    • While rail track coverage expanded by 5,000 km during 2010 to 2014-15, nearly 7,000 km of tracks were added between 2015 and 2020.
    • The Railways now aim to lay 9.5 km of track daily and have raised adequate capital for the same by leveraging domestic insurance funds.
    • Railways are also aiming for 100 per cent electrification and zero carbon footprint by 2024.
    • Electrified track has doubled from 20,000 km in 2012/13 to nearly 40,000 km in 2020.
    • The Centre’s decision to invest heavily in urban mass transit systems since 2014 has led to the rapid expansion of such services.
    • The resolution of financial problems of blocked PPP projects and smooth land acquisition process has increased the pace of construction of national highways.
    • Pace of construction of the national highway increased from 3,330 km per year during 2009-20014 to nearly 9,450 km in 2020-21.

    3) Renewable energy

    • Today over 55 per cent of India’s energy comes from coal but the share of renewable has been steadly increasing.
    • Starting with only 10 MW of solar power in 2010, India has installed nearly 35 GW of solar power by 2020.
    • This has been propelled by economic reforms which drove solar power prices down from Rs 17 per unit in 2010 to Rs 2.44 per unit in 2020.
    • The target of reaching 100 GW by 2022 can drive growth further.
    • Currently nearly 25 per cent of India’s electricity is used for pumping underground water for irrigation.
    • Providing irrigation energy from decentralised solar grids — solar power can be generated at the points on consumption.
    • This will reduce huge transmission losses and the associated carbon footprint of non-renewable energy sources.

    4) Privatising public sector outfits

    • The Centre’s shift towards privatising public sector outfits including banks, insurance companies and other PSUs can fund the growth of rail, road and energy infrastructure.
    • This will also foster efficiency in India’s credit system.
    • China achieved supernormal growth in infrastructure without access to international financing in the initial decades.
    • Recent studies have revealed that China’s financial decentralisation and commercial exploitation of state-owned lands was critical for the success.
    • In India, too, regional development authorities like the Mumbai Metropolitan Regional Development Authority and Maharashtra Industries Development Corporation have financed the metro, trans-harbour links and industrial infrastructure through a similar commercial land allocation model.
    • This model can be extended throughout the country to finance infrastructure expansion.

    Consider the question “How Atmanirbhar Bharat policies differ from the past import-substituting growth strategy? Examine the role Atmanirbhar Bharat can play in the post-pandemic recovery?” 

    Conclusion

    In such a way, Atmanirbharta with its various facets will pave the road of post-pandemic recovery.

  • Ken-Betwa Link Project (KBLP)

    In the presence of PM and Jal Shakti Minister, the CMs of Madhya Pradesh and Uttar Pradesh have signed an agreement to implement the Ken Betwa Link Project (KBLP).

    Must read:

    Interlinking of rivers: Significance & Challenges

    What is the Ken Betwa Link Project?

    • The Ken-Betwa Link Project is the first project under the National Perspective Plan for the interlinking of rivers.
    • Under this project, water from the Ken River will be transferred to the Betwa river. Both these rivers are tributaries of the river Yamuna.
    • The project is expected to provide annual irrigation of 10.62 lakh hectares, drinking water supply to about 62 lakh people and also generate 103 MW of hydropower.

    The Project has two phases:

    • Under Phase-I, one of the components — Daudhan dam complex and its appurtenances like Low Level Tunnel, High Level Tunnel, Ken-Betwa link canal and Power houses — will be completed.
    • While in the Phase-II, three components — Lower Orr dam, Bina complex project and Kotha barrage — will be constructed.

    Regions benefitting from KBLP

    • The project lies in Bundelkhand, a drought-prone region, which spreads across 13 districts of Uttar Pradesh and Madhya Pradesh.
    • It will be of immense benefit to the water-starved region of Bundelkhand, especially in the districts of Panna, Tikamgarh, Chhatarpur, Sagar, Damoh, Datia, Vidisha, Shivpuri and Raisen of Madhya Pradesh and Banda, Mahoba, Jhansi and Lalitpur of Uttar Pradesh.
    • It will pave the way for more interlinking of river projects to ensure that scarcity of water does not become an inhibitor to development in the country.

    What about the Panna tiger reserve?

    • Out of the 6,017 ha of forest area coming under submergence of Daudhan dam of Ken Betwa Link Project, 4,206 ha of the area lies within the core tiger habitat of Panna Tiger Reserve.

    Previous examples of river-linking

    • In the past, several river linking projects have been taken up. For instance, under the Periyar Project, the transfer of water from the Periyar basin to the Vaigai basin was envisaged.
    • It was commissioned in 1895.
    • Similarly, other projects such as Parambikulam Aliyar, Kurnool Cudappah Canal, Telugu Ganga Project, and Ravi-Beas-Sutlej were undertaken.

    Recent developments on the interlinking of rivers in India

    • In the 1970s, the idea of transferring surplus water from a river to a water-deficit area was mooted by the then Union Irrigation Minister Dr K L Rao.
    • Rao, who himself was an engineer, suggested the construction of a National Water Grid for transferring water from water-rich areas to water-deficit areas.
    • Similarly, Captain Dinshaw J Dastur proposed the Garland Canal to redistribute water from one area to another.
    • However, the government did not pursue these two ideas further.

    The National Perspective Plan

    • It was in August, 1980 that the Ministry of Irrigation prepared a National Perspective Plan (NNP) for water resources development envisaging inter-basin water transfer in the country.
    • The NPP comprised two components: (i) Himalayan Rivers Development; and (ii) Peninsular Rivers Development.
    • Based on the NPP, the National Water Development Agency (NWDA) identified 30 river links—16 under the Peninsular component and 14 under the Himalayan Component.
    • Later, the river linking idea was revived under the then Vajpayee Government.

    Ken Betwa Link Project is one of the 16 river linking projects under the Peninsular component.

    Clearances required for a river-linking project

    • Generally, 4-5 types of clearances are required for the interlinking of river projects.
    • These are Techno-economic (given by the Central Water Commission); Forest Clearance and Environmental clearance (Ministry of Environment & Forests); Resettlement and Rehabilitation (R&R) Plan of Tribal Population (Ministry of Tribal Affairs) and Wildlife clearance (Central Empowered Committee).

  • Mizoram’s bond with people fleeing Myanmar

    Mizoram CM has expressed his sympathies for the people fleeing areas bordering Mizoram. These areas are inhabited by Chin communities who are ethnically Mizo.

    Map reading: Note all NE states bordering Myanmar.

    Who are the Chin communities?

    • The Chin Hills, or the Indo-Chin hill ranges as they are often called, are a mountainous region in north-western Myanmar.
    • At an elevation of 2100-3000 metres, this heavily- forested mountain region was the home of numerous tribes that fall under the Zo umbrella.
    • The Zo people include all the tribes that come under the Chin-Kuki-Mizo ethnic group spread across Myanmar, India and Bangladesh.
    • They include a host of tribes, sub-tribes and clans such as Chin, Kuki, Mizo, Zomi, Paitei, Hmar, Lushei, Ralte, Pawi, Lai, Mara, Gangte, Thadou etc.

    Their ethnic origin

    • Believed to have originated in China, the tribes migrated through Tibet to settle in Myanmar, and speak a group of the Tibeto-Burman languages.
    • But constant feuds among clans of different tribes and their kings (chieftains), drove many of the clans westwards, towards Mizoram and some parts of Manipur, in the 17th century.
    • Here the tribes set up new villages and colonies, but even with their new identities, they remain socially and emotionally tied with the Chin tribes of Myanmar.
    • When British rule extended towards the Northeast, Mizoram was denoted an “excluded area” and remained outside the administration of the British, governed only by the Scheduled District Act.

    Nature of the bond with Mizos

    • While they are separated by a 510-km India-Myanmar border, they consider themselves “one people’’ despite past conflicts: the Indo-Chin people.
    • Besides the shared ethnicity, what binds these two peoples together is a shared religion.
    • Mizoram is predominantly Christian, as are the Chin people of Buddhist-majority Myanmar.
    • Mizoram officials refer to the refugees’ status as a Christian minority people in seeking asylum for them, and also the fear of persecution by the junta.
    • Rih Dil in Chin state, Myanmar, is a cultural and spiritual lake for the Mizos, deeply revered in folklore, shaping pre-Christian belief of traditional Mizo views of life after death.

    How well are the two sides connected?

    India’s Look East, Act East policy and greater interactions on the border have strengthened an already strong connection between the people on either side of the border.

    • The Mizoram-Myanmar border is porous, with very little fencing, if any.
    • While the latest influx has been driven by the coup, Myanmar residents have been crossing this open border for decades.
    • It is understood that the actual number of refugees is much higher, with more arriving every day.
    • In the early 20th century, Mizos from Champhai district and elsewhere migrated to Myanmar, setting up villages in the Kalay-Kabaw valley.
    • Many are believed to have joined the Myanmar army for lucrative employment.
    • Many Mizo families also migrated to Myanmar in 1966 and 1986, when the Mizo National Front sought secession from India, to escape counter-insurgency operations from the Indian government.

    The Free Movement Regime

    • The Mizo social fabric spans across the border, which now separates families.
    • The two countries have an arrangement called the Free Movement Regime (FMR) that allows locals on either side to go up to 16 km on the other side and stay up to 14 days.
    • Thousands regularly cross over on either side for work and to meet relatives, often unofficially and for extended periods.
    • Marriages are often arranged across the border.

    Trade dependency on Myanmar

    • In border trade, Mizoram depends to a large extent on Myanmar for many essential commodities including beef, pork, good quality rice, fruits, and household utensils.
    • Mizoram sends across items scarce in Myanmar such as medicines or fertilisers.

    What is India’s policy on asylum seekers?

    • India is not a signatory to the 1951 United Nations Convention and 1967 Protocol Relating to the Status of Refugees, and it does not currently have a national law on refugees.
    • In 2011, the Centre circulated to all states and UTs a Standard Operating Procedure to deal with foreign nationals who claimed to be refugees.
    • An illegal immigrant can be a foreign national who enters India on valid travel documents and stays beyond their validity or a foreign national who enters without valid travel documents.
    • Cases can be justified on grounds of well-founded fears of persecution on account of race, religion, sex, nationality, ethnic identity, membership of a particular social group or political opinion.
    • They can be recommended by states or UTs to the Home Ministry for a long-term visa (LTV) after due security verification.

    Note: LTV-holders are allowed to take up private-sector employment and enrol in any academic institution.

    What is happening in Mizoram right now?

    • The Mizo Zirlai Pawl, the apex Mizo students body, on February 3 held a sit-in demonstration in Aizawl in solidarity with the people of Myanmar.
    • Several Mizo village council authorities have issued letters and statements affirming their willingness to accommodate Chin refugees.
    • The CM gave an assurance in the Assembly that the state government would be ready to provide assistance to civilians fleeing the Myanmar regime.

    Way ahead

    • With the swell of sympathy among Mizos for the fleeing Chin people and increasing pressure on the state government, it is unlikely that Mizoram will back down any time soon — unless the Centre devises a way out.