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GS Paper: GS3

  • Exercise Desert Flag 10

    Why in the News?

    Indian Air Force (IAF) contingent has recently departed for the Desert Flag-10 exercise, being held at the Al Dhafra air base in the UAE.

    About Exercise Desert Flag:

    • Exercise Desert Flag is a multi-nation air combat exercise held at Al Dhafra Air Base in the UAE.
    • It offers participating air forces the opportunity to engage in complex fighter operations and enhance combat capabilities in a collaborative environment.
    • Focus Areas: Fighter engagements, interoperability, and the exchange of operational knowledge.
    • Participants: Air forces from United States, United Kingdom, Australia, Germany, France, Bahrain, Qatar, Saudi Arabia, South Korea, Turkey, and India.

    Significance of the Exercise:

    • Improving Interoperability: Enhances the ability of air forces from different nations to work together seamlessly, sharing information and responding to regional security challenges.
    • Learning from Global Air Forces: Provides the IAF with exposure to advanced combat tactics and air defence technologies from the world’s top air forces.
    • Diplomatic and Strategic Influence: India’s participation underscores its role in global security and enhances its defence diplomacy.
    [UPSC 2008] Hand-in-Hand 2007’, a joint anti-terrorism military training was held by the officers of the Indian Army and officers of the Army of which one of the following countries?

    Options: (a) China * (b) Japan (c) Russia (d) USA

     

  • Why is Europe warming faster?

    Why in the News?

    The 2024 European State of the Climate Report shows Europe warming nearly twice as fast as the global average, with significant regional variations due to human-driven climate change.

    European State of the Climate Report: Key Highlights  

    • 2024 as the Warmest Year: The year 2024 was recorded as the warmest year ever, not just globally but for Europe as well, with Eastern Europe experiencing particularly high temperatures.
    • East-West Contrast: While Eastern Europe enjoyed sunny and warm conditions, Western Europe was cloudier and wetter, highlighting the regional differences in climate impact.
    • Southeastern Europe Heatwave: Countries like Bulgaria, Romania, Croatia, Kosovo, and Serbia faced their longest heatwave on record, adding to the already extreme conditions.

    Reasons Behind Europe’s Higher Rate of Warming:

    • Proximity to the Arctic Region: A large part of Europe lies within the Arctic region, where warming is three to four times faster than the global average, driving higher temperatures in Europe.
    • Albedo Effect: The melting of Arctic ice exposes darker surfaces (land and water) that absorb more solar radiation, accelerating warming in Europe.
    • Reduction in Aerosols: Decreasing aerosol emissions in Europe allow more solar radiation to reach the Earth’s surface, contributing to faster warming.
    • Land-Based Warming: Europe’s land areas warm faster than oceans, triggering extreme weather like heatwaves, heavy rainfall, and flooding.
    • Global Climate Dynamics: Europe’s geographical and atmospheric conditions make it more susceptible to climate change effects compared to other regions.
    [UPSC 2014] The scientific view is that the increase in global temperature should not exceed 2 0 C above pre-industrial level. If the global temperature increases beyond 30 C above the pre-industrial level, what can be its possible impact/impacts on the world?

    1. Terrestrial biosphere tends toward a net carbon source.

    2. Widespread coral mortality will occur.

    Select the correct answer using the code given below:

    (a) 1 only (b) 1 and 2 only * (c) 2, 3 and 4 only (d) 1, 2, 3 and 4

     

  • [21st April 2025] The Hindu Op-ed: Tackle heatwaves with short- and long-term measures

    PYQ Relevance:

    [UPSC 2024] What is disaster resilience? How is it determined? Describe various elements of a resilience framework. Also mention the global targets of the Sendai Framework for Disaster Risk Reduction (2015- 2030).

    Linkage: Heatwaves are increasingly recognized as severe weather events and fall under the purview of disaster management. This question directly asks about disaster resilience and its framework, which is crucial for tackling heatwaves. Building resilience to heatwaves involves both short-term preparedness (early warning systems, public awareness) and long-term adaptation (infrastructure changes, social safety nets) as highlighted in the article. The Sendai Framework’s targets are also relevant for setting goals in reducing heatwave-related mortality and morbidity.

     

    Mentor’s Comment:  According to the World Meteorological Organization, 2024 was the hottest year ever recorded, with global temperatures about 1.55°C higher than in pre-industrial times. In India, December 2022 was the hottest December since temperature records began in 1901. Overall, India has seen more heatwaves in the last 20 years compared to the 20 years before that.

    Today’s editorial talks about the current heatwave situation and its effects. This topic is useful for GS Paper 3 in the UPSC Mains exam.

    _

    Let’s learn!

    Why in the News?

    On March 15, some states and cities in India faced their first severe heatwave of 2025 — about 20 days earlier than the first severe heatwave in 2024.

    What are the key health and socio-economic effects of heatwaves in India?

    • Health Impacts (Heat Stress): Heatwaves in India lead to heat stress, which occurs when the outside temperature approaches the body’s normal temperature of 37°C. This hampers the body’s ability to release internal heat, leading to a range of health problems including kidney failure, liver damage, and brain-related issues, sometimes resulting in death. Eg, the 2015 heatwave in Andhra Pradesh and Telangana caused over 2,000 deaths due to extreme temperatures.
    • Impact on Agriculture and Livestock: Heatwaves negatively affect the farming sector, reducing crop yields and livestock production due to heat stress. Eg, the 2020 heatwaves led to significant crop damage, particularly in areas like Punjab and Haryana, where farmers saw a drop in wheat and paddy production, impacting food security.
    • Socio-Economic Consequences: Heatwaves result in loss of productivity, particularly in labor-intensive sectors like agriculture, construction, and outdoor work. This causes economic losses as workers lose work hours, and agricultural outputs decline. Eg, in 2023, heat stress led to an estimated loss of 6% of work hours in India, contributing to reduced personal incomes and affecting national GDP.

    Why is heat stress an equity issue for vulnerable groups?

    • Disproportionate Impact on the Poor: Vulnerable groups such as the poor face the worst effects of heat stress due to limited access to resources like cooling systems, healthcare, and safe working conditions. Eg, in urban slums with poor infrastructure, people are exposed to higher temperatures both indoors and outdoors, leading to greater health risks compared to wealthier populations with air-conditioned homes.
    • Gendered Impact: Women, especially in rural and lower-income areas, are more affected by heat stress due to cultural norms that restrict their mobility and tasks, such as working in kitchens or wearing heavy clothing. Eg, women in rural India may have to work in the kitchen during peak heat hours, further increasing their risk of heat-related illnesses.
    • Impact on Migrant Workers and Informal Sector Employees: Migrants and workers in the informal sector often lack access to benefits such as paid leave, healthcare, or workplace protections, making them more vulnerable to heat stress. Eg, construction workers in cities like Delhi and Mumbai suffer from heat-related illnesses as they work outdoors without proper protection, and they cannot afford to miss work, leading to further health deterioration.

    When did India begin implementing Heat Action Plans (HAPs), and how have they evolved over the years?

    • Initial Implementation in 2013: India began implementing Heat Action Plans (HAPs) in 2013 when Ahmedabad, Gujarat, became the first city in Asia to develop a municipal Heat Action Plan. The plan focused on early heatwave predictions, public awareness, and health system preparedness. Eg, Ahmedabad’s HAP helped reduce heat-related mortality by alerting vulnerable communities and healthcare systems ahead of heatwaves.
    • Expansion to Other Cities (2014-2018): After the success in Ahmedabad, other cities and states began developing their own heat action plans. By 2018, over 20 Indian cities and states had implemented their HAPs, adapting them based on local vulnerabilities. Eg, cities like Chennai and Hyderabad incorporated heat action strategies, including cooling shelters and awareness campaigns.
    • National Coordination (2018): In 2018, the National Programme on Climate Change and Human Health (NPCCHH) was introduced to provide a unified approach, coordinating heat advisories and other health-related information across the country. Eg, the National Disaster Management Authority (NDMA) began issuing nationwide heatwave alerts to help states and cities prepare for extreme heat events.
    • Focus on Long-Term Measures (2020-Present): Recent iterations of HAPs have emphasized long-term preventive measures, such as urban greening, reflective rooftops, and improved building materials to reduce heat retention. Eg, several cities, like Delhi, are promoting cool roof policies, encouraging the use of heat-reflective materials on buildings to reduce urban heat islands.

    How can India improve the effectiveness and implementation of Heat Action Plans at the state and city levels?

    • Tailor Plans Based on Local Vulnerability: India can improve HAP effectiveness by ensuring that each state and city develops plans based on specific local vulnerabilities such as geography, socio-economic factors, and infrastructure. Eg, coastal cities like Mumbai may need strategies focusing on humidity and high temperatures, while inland cities like Jaipur might need to focus more on extreme heat and dry conditions.
    • Incorporate Real-Time Data and Predictive Technology: HAPs can be enhanced by using real-time data on temperature, humidity, and wind speed to improve forecasting accuracy and timely alerts. Eg, the use of satellite data and ground-based sensors in cities like Pune has allowed for more accurate predictions of heat stress, enabling better preparedness and quicker responses during heatwaves.
    • Strengthen Collaboration Between Stakeholders: Successful implementation of HAPs requires coordination between government bodies, local authorities, public health institutions, NGOs, and community organizations. Eg, in Ahmedabad, the city’s HAP involved collaborations between municipal authorities, public health officials, and non-governmental organizations, which significantly contributed to the reduction in heat-related deaths.
    • Focus on Long-Term Urban Planning and Infrastructure: HAPs should integrate long-term urban development strategies that mitigate heat in the built environment, such as increasing green spaces, promoting cool roofs, and using reflective materials for buildings. Eg, Chennai’s initiative to plant more trees and create shaded public spaces has helped reduce heat in urban areas, making the city more resilient to heatwaves.
    • Ensure Inclusivity and Equity in Response Measures: HAPs should ensure that vulnerable populations such as informal sector workers, elderly, and marginalized communities are given special attention during heatwaves. Eg, Delhi’s HAP has included mobile cooling units and shelters for the homeless, along with providing water points and health services in areas with high concentrations of migrant workers and low-income groups.

    What is the current situation regarding the occurrence of heat waves in India?

    • Increased Frequency of Heatwave Days: The number of heatwave days in India has risen over the past decade. In 2022, approximately 121 heatwave days were recorded across the country, a decrease from the previous year but still indicative of a growing trend.
    • Record-Breaking Temperatures: In May 2024, northern India experienced severe heatwaves, with temperatures reaching up to 49.1°C in New Delhi. Over 37 cities reported temperatures exceeding 45°C, leading to at least 56 confirmed deaths and 25,000 suspected cases of heatstroke.
    • Projections of Future Heatwave Intensification: Future projections indicate a significant increase in heatwave frequency due to climate change. Under the RCP 4.5 scenario, the frequency of heatwaves in India is expected to increase by a factor of 4 to 7 in the mid-term and by 5 to 10 times in the long-term future.

    Way forward: 

    • Strengthen Policy Integration and Local Capacities: Integrate Heat Action Plans into urban planning and disaster management policies, while building capacity at local levels for climate-resilient infrastructure and real-time response systems.
    • Targeted Support for Vulnerable Groups: Prioritize inclusive measures such as community cooling centers, mobile health units, and social safety nets to protect informal workers, elderly, and low-income populations from heat-related risks.
  • Coenzyme Q: A Vital Molecule for Energy Production

    Why in the News?

    A recent paper published in Nature by a team from the Chinese Academy of Sciences explored the genetic modification of rice plants to increase Coenzyme CoQ10 production.

    What are Coenzymes and CoQ?

    • Enzymes are biological catalysts made of proteins that speed up chemical reactions in living organisms without being consumed in the process.
    • Coenzymes are organic molecules that assist enzymes in catalyzing biochemical reactions, making cellular metabolism more efficient.
    • Coenzyme Q (CoQ) is a lipid-soluble antioxidant that helps stabilize cells under stress. It is crucial for cellular energy production.
    • CoQ exists in 10 forms (CoQ1 to CoQ10), all present in the respiratory chain within cells.

    Importance of CoQ9 and CoQ10

    • CoQ9: It is found in cereal crops (wheat, rice, oats, barley, etc.), bamboo, and flowering plants like cinnamon, avocado, and pepper. It is rich in daily foods, making it an accessible nutrient.
    • CoQ10: It is vital for mitochondrial energy production. Concentrated in high-energy organs like the heart. CoQ10 is crucial for health, especially in those with neurological issues or age-related deficiencies.
    • Health Benefits of CoQ10:
      • 2008: CoQ10 supplementation helped patients with neurological disorders, improving their health (Montini et al., Milan).
      • 2012: Infants with CoQ10 deficiency benefitted from ubiquinone analogues (Shamima Ahmed, London).
    • CoQ10-based supplements are now commonly prescribed by healthcare professionals.
    [UPSC 2007] Question: Which one of the following is not a digestive enzyme in the human system?

    Options: (a) Trypsin (b) Gastrin* (c) Pepsin (d) Amylase

     

  • 50 years since the launch of Aryabhata 

    Why in the News?

    50 years ago on April 19, 1975, India marked a major milestone in its space history with the successful launch of Aryabhata, its first satellite.

    About Aryabhata

    • Aryabhata, India’s first satellite, was launched on April 19, 1975, with Soviet assistance from the Kapustin Yar Cosmodrome.
    • Named after the ancient Indian mathematician and astronomer Aryabhata, the satellite was a significant milestone in India’s space journey.
    • It had a unique 26-sided polyhedron design, measuring 1.4 meters in diameter and weighing 360 kg.
    • The satellite’s faces were covered with solar panels, except for the top and bottom.
    • Aryabhata orbited the Earth every 96.3 minutes with an inclination of 50.7 degrees, and its apogee and perigee were 619 km and 563 km, respectively.
    • Its mission was to conduct experiments in solar physics and X-ray astronomy.
    • Despite experiencing a power failure after 5 days, Aryabhata continued transmitting data for several more days, completing a remarkable 17 years in orbit.
    • This success was pivotal for India, establishing the country’s space capabilities.

    Inception of India’s Space Program:

    • India’s space program began in the 1960s, led by Vikram Sarabhai, the founder of ISRO.
    • Sarabhai envisioned a space program to advance technological and scientific progress in India.
    • Initial efforts included developing sounding rockets under the Rohini rocket program for atmospheric research.
    • In 1972, India partnered with the Soviet Union for the launch of Aryabhata, marking the nation’s entry into space.

     

    [UPSC 2007] Consider the following statements:

    1. In the year 2006, India successfully tested a full-fledged cryogenic stage in rocketry.

    2. After USA, Russia and China, India is the only country to have acquired the capability for use of cryogenic stage in rocketry.

    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

     

  • Recycling Perovskite Solar Cells

    Why in the News?

    Recent advancements in recycling perovskite solar cells have led to a new water-based solution, offering a more sustainable and efficient approach to solar energy production.

    About Perovskite Solar Cells:

    • Perovskite solar cells are made using a perovskite crystal structure, offering high power conversion efficiencies and low manufacturing costs compared to traditional silicon-based panels.
    • They are lightweight, flexible, and made from inexpensive materials, making them a promising alternative in the solar energy market.
    • While efficient, they have a shorter lifespan and contain toxic materials like lead, posing environmental risks during disposal.
    • Used in solar power generation, electric vehicles, and energy storage systems due to their affordability and performance.

    The New Recycling Method:

    • Researchers have developed a water-based recycling solution, replacing harmful organic solvents with a non-toxic approach.
    • The process uses three salts: sodium acetate, sodium iodide, and hypophosphorous acid, to dissolve and regenerate perovskite crystals, recovering high-quality material for reuse.
    • This method maintains nearly the same efficiency as fresh materials, even after five rounds of recycling, recovering 99% of the layers.
    • It promotes a circular economy, reducing waste and supporting the environmentally friendly recycling of perovskite solar cells.
    [UPSC 2014] With reference to technologies for solar power production, consider the following statements:

    1. ‘Photovoltaics’ is a technology that generates electricity by direction conversion of light into electricity, while ‘Solar Thermal’ is a technology that utilizes the Sun’s rays to generate heat which is further used in electricity generation process.

    2. Photovoltaics generate Alternating Current (AC), while solar Thermal generates Direct Current (DC).

    3. India has manufacturing base for Solar Thermal technology, but not for Photovoltaics.

    Which of the statement(s) given above is/are correct?

    Options:

    (a) 1 only* (b) 2 and 3 only (c) 1, 2 and 3 (d) None

     

  • [19th April 2025] The Hindu Op-ed: Steering the decarbonisation of India’s logistics sector

     

    PYQ Relevance:

    [UPSC 2013] Write a note on India’s green energy corridor to alleviate the problem of conventional energy.

    Linkage: Decarbonising the logistics sector necessitates a shift away from conventional energy sources. The development of a green energy corridor, as mentioned in this PYQ, is essential for supplying the renewable energy needed to power various aspects of logistics, such as electric trucks and warehouses

     

    Mentor’s Comment:  Viksit Bharat is a commitment to a stronger, self-reliant India by 2047, focusing on inclusive development. Achieving this requires a large, efficient, and future-ready logistics sector. While infrastructure and accessibility are key, prioritizing the environment is crucial. India’s carbon-heavy logistics must transform to meet net-zero emissions by 2070, reducing transportation, warehousing, and supply chain emissions for a sustainable future.

    Today’s editorial talks about India’s logistics sector, which creates a significant amount of carbon pollution. This topic is relevant for GS Paper 3 in the mains exam.

    _

    Let’s learn!

    Why in the News?

    India’s logistics sector, which produces a lot of carbon pollution, needs to change and become more eco-friendly.

    What role does logistics play in achieving Viksit Bharat 2047?

    • Enabler of Inclusive Development: Efficient logistics ensures that goods and services reach every corner of the country, promoting equitable growth across regions. Eg: Improved last-mile connectivity in remote areas boosts rural entrepreneurship and market access for farmers.
    • Driver of Economic Competitiveness: A streamlined logistics sector reduces costs and delays, enhancing India’s global trade competitiveness. Eg: The PM Gati Shakti initiative integrates infrastructure planning to speed up cargo movement and reduce logistics costs.
    • Catalyst for Sustainability and Resilience: Greener logistics support India’s net-zero targets and build climate-resilient infrastructure. Eg: Electrification of highways and promotion of rail freight reduce emissions from the transport sector.

    Why is urgent decarbonisation needed in road freight and warehousing?

    • High Share in Greenhouse Gas Emissions: Road freight alone contributes over 88% of transport emissions, with trucks accounting for 38% of CO₂ emissions (IEA 2023). Eg: A single heavy-duty diesel truck emits over 1,000 grams of CO₂ per km — multiplied across millions of trucks, this leads to massive environmental impact.
    • Dependence on Fossil Fuels: Road transport is highly dependent on oil combustion, making it one of the most carbon-intensive sectors. Warehouses often rely on non-renewable power sources like diesel generators for energy and refrigeration. Eg: India’s freight trucks mostly use diesel — a key factor in air pollution and rising import bills for crude oil.
    • Growing Demand Increases Future Emissions: With freight and warehousing demand expected to grow rapidly by 2030, emissions will rise unless green alternatives are adopted. Eg: Government plans to triple cargo movement on inland waterways and expand warehousing, which without clean tech would add significantly to GHG levels.
    • Missed Economic Opportunities without Green Shift: Decarbonisation can lead to cost savings, energy efficiency, and long-term competitiveness. Delay increases operational costs and reduces global trade alignment. Eg: Green warehouses with solar rooftops can reduce electricity costs by 20–30% and earn carbon credits.
    • Alignment with Net Zero and Global Climate Commitments: India has committed to Net Zero by 2070. Without decarbonising logistics, achieving this goal will be impossible. Eg: Transitioning to electric trucks and LNG-powered vessels supports global targets like the Paris Agreement and IMO’s shipping emission cuts.

    How can China and the U.S. guide India’s green freight transition?

    • Rail Freight as a Cleaner Alternative: China and the U.S. have shifted significant portions of freight transport from road to rail, which is more energy-efficient and low-carbon. Eg: China has heavily invested in rail infrastructure, making rail freight nearly 50% of its total freight, significantly reducing emissions compared to road transport.
    • Adoption of Cleaner Fuels and Technologies: Both countries have embraced electric rail systems and alternative fuels for freight, which India can adopt to decarbonise its logistics sector. Eg: The U.S. has invested in electrified rail corridors, and China has introduced LNG-powered freight trains, both of which reduce dependency on diesel and curb emissions.
    • Policy Support and Infrastructure Investment: China and the U.S. have implemented policy frameworks that incentivise green freight practices, such as tax breaks, green subsidies, and investment in sustainable infrastructure. Eg: China’s Green Freight initiative includes subsidies for green vehicles, while the U.S. offers funding for clean freight technology under programs like the Clean Diesel Program.

    Which steps has India taken to electrify freight and green maritime transport?

    • Western Dedicated Freight Corridor (WDFC): Spanning 1,506 km, the WDFC connects Delhi to Mumbai, facilitating high-speed, high-capacity freight movement. This electrified corridor supports double-stack container trains, enhancing efficiency and reducing emissions.
    • Subsidies for Electric Freight Vehicles: In 2024, India approved ₹5 billion to incentivise the adoption of electric trucks, aiming to replace polluting diesel vehicles. This initiative is part of a broader ₹109 billion scheme to promote electric vehicles across various sectors.
    • Investment in Green Maritime Infrastructure: India plans to allocate ₹25,000 crore towards developing green ports and shipping infrastructure. This includes building green hydrogen hubs and manufacturing eco-friendly vessels, supporting the transition to sustainable maritime practices.
    • Collaboration with Singapore: India is exploring the creation of a Green Digital Shipping Corridor with Singapore, aiming to link international ports and marine industries. This initiative focuses on reducing emissions and enhancing digital integration in maritime trade.
    • Harit Sagar Initiative: The ‘Harit Sagar Green Port Guidelines’ aim to integrate renewable energy into port operations, promote the use of green fuels, and modernise fleets. These guidelines are part of India’s strategy to achieve net-zero emissions in the maritime sector by 2070.

    Way forward: 

    • Enhance Green Infrastructure and Technology Adoption: India should accelerate investments in green technologies, such as electric trucks, renewable energy-powered warehouses, and cleaner maritime fuels, alongside expanding rail freight networks to further reduce carbon emissions.
    • Strengthen Policy Frameworks and International Collaborations: Strengthening government policies to incentivize sustainable logistics practices and fostering international partnerships, such as with Singapore for green shipping corridors, can help ensure the successful transition to a low-carbon logistics sector.

     

  • When governments disagree with the central bank: the Fed in the US and the RBI in India

    Why in the News?

    US President Donald Trump once threatened to remove Jerome Powell, whom he had appointed as the head of the Federal Reserve in 2018. Such disagreements between leaders and central banks have happened before in both the US and India, but they usually don’t turn into major problems.

    What triggered Trump’s criticism of Fed Chair Jerome Powell?

    • Disagreement Over Interest Rate Policy: Trump criticized Powell for raising interest rates, especially during times of economic uncertainty like the COVID-19 pandemic. He believed higher rates would hurt economic growth and his re-election prospects. Eg: In December 2018, Trump reportedly said Powell would “turn [him] into Hoover,” referencing Herbert Hoover, who led during the Great Depression.
    • Fed’s Caution on Trump’s Tariffs: Powell warned that Trump’s trade tariffs could increase inflation and impact the labour market, which contradicted the President’s economic stance. Trump saw this as “playing politics.” Eg: On April 17, 2025, Trump posted online that Powell’s “termination cannot come fast enough!” and mocked him as “Too Late Jerome Powell.”

    Who in U.S. history challenged the Fed’s independence, and why?

    • Milton Friedman’s Influence (1970s–80s): The Nobel laureate economist argued that the Fed should be less discretionary and more rules-based, believing it often worsened economic cycles. Eg: Arthur Burns told Volcker that Friedman “wants to abolish the Fed (and) replace you with a computer.”
    • Ronald Reagan’s Administration (1980s): Reagan’s advisers questioned the Fed’s independence, urging more accountability and clearer monetary targets due to high inflation and unemployment. Eg: In 1981, Reagan asked Fed Chair Volcker why the U.S. needed the Federal Reserve, reflecting pressure to align with government priorities.
    • Donald Trump (2018–2025): Trump repeatedly attacked Fed Chair Jerome Powell for raising interest rates and criticized the Fed’s caution over his tariff policies, claiming they hindered economic growth. Eg: In December 2018, Trump expressed a desire to fire Powell, blaming him for risking a downturn like the Great Depression.

    When was Section 7(1) of the RBI Act invoked, and why was it significant?

    • Invoked in 2018 during Centre-RBI tensions: The Union Government reportedly invoked Section 7(1) for the first time in independent India amid differences with the RBI over issues like liquidity, lending to MSMEs, and the use of RBI reserves. Eg: The Finance Ministry sent at least three letters to RBI citing Section 7(1), asking the central bank to consult with the government.
    • Significance – Questioned RBI’s autonomy: This move raised concerns about the erosion of the central bank’s independence, as the section allows the government to issue binding directions to the RBI in public interest. Eg: Critics saw it as a way to force the RBI to align with the government’s fiscal agenda, undermining its role as an independent regulator.
    • Led to public fallout and resignation: The conflict led to the resignation of RBI Governor Urjit Patel, who stepped down citing personal reasons amid speculation of pressure from the government. Eg: Patel’s abrupt resignation in December 2018 came soon after Deputy Governor Viral Acharya warned of the dangers of compromising central bank independence.

    How have Indian governments handled RBI conflicts in the past?

    • Through backchannel negotiations and compromise: Successive governments have often resolved tensions with RBI through informal dialogue rather than confrontation. Eg: During the 1991 economic crisis, Finance Minister Manmohan Singh worked closely with RBI Governor S. Venkitaramanan to navigate reforms despite some policy disagreements.
    • Avoiding use of Section 7(1) until 2018: Even in times of serious disagreement, governments historically refrained from invoking Section 7(1) of the RBI Act to respect the central bank’s autonomy. Eg: In 2008–09, during the global financial crisis, the government and RBI had different views on stimulus, but maintained cooperation.
    • Occasional public spats but resolution behind closed doors: Disagreements sometimes came into the public domain but were eventually settled through internal discussions. Eg: In 2013, Raghuram Rajan’s monetary tightening clashed with the Finance Ministry’s push for growth, but no formal confrontation occurred.
    • Appointments as a tool to align RBI’s stance: Governments have sometimes appointed RBI governors who are seen as more aligned with their economic philosophy. Eg: The appointment of Y.V. Reddy and later Raghuram Rajan was seen in part as reflecting the government’s evolving monetary and financial strategy.
    • Post-conflict policy adaptations: After major conflicts, governments have occasionally adjusted policies or created frameworks to reduce future friction. Eg: Following the 2018 rift, the government and RBI set up a framework for the transfer of surplus reserves to avoid ad-hoc confrontations in future.

    Way forward: 

    • Institutionalise a Conflict Resolution Mechanism: Establish a formal consultative framework between the Finance Ministry and RBI to address policy differences before they escalate. This could include regular high-level meetings and joint committees to ensure transparency and trust. Eg: A permanent Finance-RBI Coordination Council with defined terms could pre-empt confrontations like the 2018 episode.
    • Clarify Autonomy Boundaries Through Legislation or Protocols: Amend or supplement existing laws like the RBI Act to define the scope of government intervention (like Section 7) and ensure it is used only under extraordinary circumstances. Eg: Introduce a statutory guideline requiring parliamentary review or expert panel consultation before invoking Section 7.

    Mains PYQ:

    [UPSC 2023] Explain the significance of the 101st Constitutional Amendment Act. To what extent does it reflect the accommodative spirit of federalism?

    Linkage: Constitutional amendments affecting fiscal matters can have implications for the central bank’s role and its relationship with the government.

  • India to Headquarter the International Big Cat Alliance (IBCA) 

    Why in the News?

    India has signed a Headquarters Agreement with the International Big Cat Alliance (IBCA), officially establishing its headquarters in India.

    About International Big Cat Alliance (IBCA):

    • IBCA is a multi-country, multi-agency group of 96 big cat range and non-range countries focused on conserving 7 big cats and their habitats.
    • It was proposed by PM Modi in 2019, officially launched in April 2023 for Project Tiger’s 50th anniversary.
    • It aims to protect and conserve Tiger, Lion, Leopard, Snow Leopard, Cheetah, Jaguar, and Puma; restore habitats and reduce human-wildlife conflict.
    • Key activities include- Advocacy, knowledge sharing, eco-tourism promotion, and resource mobilization for big cat conservation.
    • Currently, India, Nicaragua, Eswatini, and Somalia are members. Though membership is open to 96 range countries with big cat habitats.
    • Governance: Includes a General Assembly, elected Council, and Secretariat with a Secretary-General.
    • India’s Role:
      • India is home to 5 (tiger, lion, leopard, snow leopard, and cheetah) of the 7 big cats and 70% of the world’s tiger population, playing a leading role in global wildlife protection.
      • ₹150 crore from the Indian government (2023-2028) with additional contributions from global partners.
    [UPSC 2024] Consider the following statements:

    1. Lions do not have a particular breeding season.

    2. Unlike most other big cats, cheetahs do not roar.

    3. Unlike male lions, male leopards do not proclaim their territory by scent marking.

    Which of the statements given above are correct?

    (a) 1 and 2 only * (b) 2 and 3 only (c) 1 and 3 only (d) 1, 2 and 2

     

  • Particulate Matter Emission Trading Scheme in Gujarat

    Why in the News?

    A new study highlights the success of Surat’s Particulate Matter Emission Trading Scheme (PM-ETS), the world’s first market-based system for trading particulate emissions.

    The scheme has reduced pollution by 20-30%, providing insights into its potential to improve air quality in industrial areas.

    About Particulate Matter Emission Trading Scheme in Gujarat:

    • This PM ETS was launched in Surat, Gujarat in 2019.
    • It is the world’s first pilot project targeting particulate pollution using a market-based emissions trading system.
    • It is India’s first emissions trading initiative for any pollutant.
    • The scheme aims to reduce emissions from industries using solid (coal, lignite) and liquid fuels (diesel) by controlling fine particulate matter (PM).
    • How It Works?
      • Cap-and-Trade: Regulators set a cap on total emissions, and industries are issued permits (1 kg of particulate matter per permit).
      • Permit Allocation: 80% of permits are given for free; 20% are sold via auctions.
      • Market Trading: Permits can be bought or sold to meet emission targets. A ceiling price (Rs 100/kg) and floor price (Rs 5/kg) are set.
      • Compliance: Non-compliant industries face fines double the ceiling price for each excess emission.

    Successes of PM-ETS:

    • Reduction in Emissions: Participating plants cut emissions by 20-30% compared to traditional methods.
    • Improved Compliance: 99% compliance in participating plants.
    • Cost-Effective: The system allowed industries to choose the most cost-effective methods for compliance.

    Limitations of PM-ETS:

    • Over-reliance on Free Permits: Smaller plants may struggle as the number of free permits decreases.
    • Supply Chain Limitations: Tightened caps could increase costs for industries not reducing emissions.
    • Market Manipulation: Concerns over unfair permit trading.
    • Geographical Constraints: Limited to Surat, restricting broader impact.
    [UPSC 2011] Regarding “carbon credits’’, which one of the following statements is not correct?

    (a) The carbon credit system was ratified in conjunction with the Kyoto protocol.

    (b) Carbon credits are awarded to countries or groups that have reduced greenhouse gases below their emission quota.

    (c) The goal of the carbon credit system is to limit the increase of carbon dioxide emission.

    (d) Carbon credits are traded at a price fixed from time to time by the United Nations environment programs. *