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  • Wildlife Conservation Efforts

    Mura-Drava-Danube (MDD) Biosphere Reserve

    India Mapping | Enviro & Biodiversity | Mains Paper 3: Conservation, Environmental Pollution & Degradation, Eia

    UNESCO has designated Mura-Drava-Danube (MDD) as the world’s first ‘five-country biosphere reserve’.

    About Mura-Drava-Danube BR

    • The biosphere reserve covers 700 kilometres of the Mura, Drava and Danube rivers and stretches across Austria, Slovenia, Croatia, Hungary and Serbia.
    • The total area of the reserve — a million hectares — in the so-called ‘Amazon of Europe’, makes it the largest riverine protected area on the continent.
    • The reserve is home to floodplain forests, gravel and sand banks, river islands, oxbows and meadows.
    • It is home to continental Europe’s highest density of breeding white-tailed eagle (more than 150 pairs), as well as endangered species such as the little tern, black stork, otters, beavers and sturgeons.
    • It is also an important annual resting and feeding place for more than 250,000 migratory birds, according to WWF.
    • Almost 900,000 people live in the biosphere reserve. (UPSC may ask if it is uninhabited.)

    Significance of this BR

    • The new reserve represented an important contribution to the European Green Deal and contributes to the implementation of the EU Biodiversity Strategy in the Mura-Drava-Danube region.
    • The strategy’s aim is to revitalize 25,000 km of rivers and protect 30 per cent of the European Union’s land area by 2030.
    • The declaration as BR puts river revitalization, sustainable business practices enhancing cross-border cooperation into focus.

    Ignore at your own risk! Its better to correct it here itself.

    Such PYQs are ought to repeat any number of times in UPSC CSE.

    Q. Consider the following statements:

    1. The boundaries of a National Park are defined by legislation.
    2. A Biosphere Reserve is declared to conserve a few specific species of flora and fauna.
    3. In a Wildlife Sanctuary, limited biotic interference is permitted.

    Which of the above statements is/are correct?

    (a) 1 only

    (b) 2 and 3 only

    (c) 1 and 3 only

    (d) 1, 2 and 3

     

    Post your answers here.

    Back2Basics: UNESCO Biosphere Reserves

    • Biosphere reserves are ‘learning places for sustainable development’.
    • They are nominated by national governments and remain under the sovereign jurisdiction of the states where they are located.
    • They are designated under the intergovernmental MAB Programme by the Director-General of UNESCO following the decisions of the MAB International Coordinating Council (MAB ICC).
    • Their status is internationally recognized. Member States can submit sites through the designation process.
    • Biosphere reserves include terrestrial, marine and coastal ecosystems.

    They integrate three main “functions”:

    1. Conservation of biodiversity and cultural diversity
    2. Economic development that is socio-culturally and environmentally sustainable
    3. Logistic support, underpinning development through research, monitoring, education and training

    (a) Core Areas

    It comprises a strictly protected zone that contributes to the conservation of landscapes, ecosystems, species and genetic variation

    (b) Buffer Zones

    It surrounds or adjoins the core area(s), and is used for activities compatible with sound ecological practices that can reinforce scientific research, monitoring, training and education.

    (c) Transition Area

    The transition area is where communities foster socio-culturally and ecologically sustainable economic and human activities.

    UNESCO recognized BRs in India

    Year of

    recognition

    Name

    States
    2000 Nilgiri Biosphere Reserve Tamil Nadu
    2001 Gulf of Mannar Biosphere Reserve Tamil Nadu
    2001 Sundarbans Biosphere Reserve West Bengal
    2004 Nanda Devi Biosphere Reserve Uttarakhand
    2009 Pachmarhi Biosphere Reserve Madhya Pradesh
    2009 Nokrek Biosphere Reserve Meghalaya
    2009 Simlipal Biosphere Reserve Odisha
    2012 Achanakmar-Amarkantak Biosphere Reserve Chhattisgarh
    2013 Great Nicobar Biosphere Reserve Great Nicobar
    2016 Agasthyamala Biosphere Reserve Kerala and Tamil Nadu
    2018 Kanchenjunga Biosphere Reserve Part of North and West Sikkim districts
    2020 Panna Biosphere Reserve Madhya Pradesh

     

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  • Historical and Archaeological Findings in News

    Gupta Era Temple uncovered in UP

    Prelims Only | History | Mains Paper 1: Arts & Culture

    Last week, the Archaeological Survey of India (ASI) discovered remains of an ancient temple dating back to the Gupta period (5th century) in a village in Uttar Pradesh’s Etah district.

    Findings of the excavation

    • The Bilsarh site was declared ‘protected’ in 1928.
    • Every year, the ASI undertakes scrubbing work at the protected sites.
    • This year, the team discovered two decorative pillars close to one another, with human figurines resembling an ancient temple.
    • The stairs of the temple had ‘shankhalipi’ inscriptions, which were deciphered by the archaeologists as saying, ‘Sri Mahendraditya’, the title of Kumaragupta I of the Gupta dynasty.

    You will find tons of PYQs on Gupta Period. Try this recent one:

    Q. With reference to the period of Gupta dynasty in ancient India, the towns Ghantasala, Kadura and Chaula were well known as:

    (a) ports handling foreign trade

    (b) capitals of powerful kingdoms

    (c) places of exquisite stone art and architecture

    (d) important Buddhist pilgrimage centres

     

    Post your answers here.

    Who was Kumaragupta I?

    • Kumaragupta I was an emperor of the Gupta Empire of Ancient India.
    • A son of the Gupta emperor Chandragupta II and queen Dhruvadevi, he seems to have maintained control of his inherited territory, which extended from Gujarat in the west to Bengal region in the east.
    • In the 5th century, Kumaragupta I ruled for 40 years over north-central India.
    • Skandagupta, son and successor of Kumaragupta I is generally considered to be the last of the great Gupta rulers.
    • He assumed the titles of Vikramaditya and Kramaditya.

    What is the Shankhalipi script?

    • Shankhalipi or “shell-script” is a term used by scholars to describe ornate spiral characters assumed to be Brahmi derivatives that look like conch shells or shankhas.
    • They are found in inscriptions across north-central India and date to between the 4th and 8th centuries.
    • Both Shankhalipi and Brahmi are stylised scripts used primarily for names and signatures.
    • The inscriptions consist of a small number of characters, suggesting that the shell inscriptions are names or auspicious symbols or a combination of the two.

    Chronology and meaning

    • The script was discovered in 1836 on a brass trident in Uttarakhand’s Barahat by English scholar James Prinsep, who was the founding editor of the Journal of the Asiatic Society of Bengal.
    • A year later, he came across two more similar scripts at Nagarjuna group of caves in the Barabar Hills near Gaya.
    • Prominent sites with shell inscriptions include the Mundeshwari Temple in Bihar, the Udayagiri Caves in Madhya Pradesh, Mansar in Maharashtra and some of the cave sites of Gujarat and Maharashtra.
    • In fact, shell inscriptions are also reported in Indonesia’s Java and Borneo.
    • Scholars have tried to decipher shell script but have not been successful.

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    Back2Basics: Gupta Empire

    • The Gupta Empire was an ancient Indian empire which existed from the early 4th century CE to late 6th century CE.
    • This period is considered as the Golden Age of India by historians.
    • The ruling dynasty of the empire was founded by the king Sri Gupta; the most notable rulers of the dynasty were Chandragupta I, Samudragupta, and Chandragupta II alias Vikramaditya.
    • The 5th-century CE Sanskrit poet Kalidasa credits the Guptas with having conquered about twenty-one kingdoms, both in and outside India, including the kingdoms of Parasikas, the Hunas, the Kambojas, tribes located in the west and east Oxus valleys, the Kinnaras, Kiratas, and others.
    • Many of the literary sources, such as Mahabharata and Ramayana, were canonized during this period.
    • The Gupta period produced scholars such as Kalidasa, Aryabhata, Varahamihira, and Vatsyayana who made great advancements in many academic fields.

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  • Industrial Sector Updates – Industrial Policy, Ease of Doing Business, etc.

    [pib] PLI Scheme for White Goods

    PIBSchemes | Economics | Mains Paper 3: Effects Of Liberalization On The Economy, Changes In Industrial Policy and their effects on Industrial Growth

    A total of  52 companies have filed their application with a committed investment of Rs 5,866 crore under the PLI scheme to incentivize the domestic manufacturing of components of White Goods.

    What are White Goods?

    • White goods refer to heavy consumer durables or large home appliances, which were traditionally available only in white.
    • They include appliances such as washing machines, air conditioners, stoves, refrigerators, etc. The white goods industry in India is highly concentrated.

    Why PLI scheme for white goods?

    • Indian appliance and consumer electronics (ACE) market reached INR 76,400 crore (~$10.93 bn) in 2019.
    • Appliances and consumer electronics industry is expected to double to reach INR 1.48 lakh crore (~$21.18 bn) by 2025.
    • The PLI Scheme on White Goods is designed to create complete component ecosystem for Air Conditioners and LED Lights Industry in India and make India an integral part of the global supply chains.
    • Only manufacturing of components of ACs and LED Lights will be incentivized under the Scheme.

    What is PLI Scheme?

    • As the name suggests, the scheme provides incentives to companies for enhancing their domestic manufacturing apart from focusing on reducing import bills and improving the cost competitiveness of local goods.
    • PLI scheme offers incentives on incremental sales for products manufactured in India.
    • The scheme for respective sectors has to be implemented by the concerned ministries and departments.

    Criteria laid for the scheme

    • Eligibility criteria for businesses under the PLI scheme vary based on the sector approved under the scheme.
    • For instance, the eligibility for telecom units is subject to the achievement of a minimum threshold of cumulative incremental investment and incremental sales of manufactured goods.
    • The minimum investment threshold for MSME is Rs 10 crore and Rs 100 crores for others.
    • Under food processing, SMEs and others must hold over 50 per cent of the stock of their subsidiaries, if any.
    • On the other hand, for businesses under pharmaceuticals, the project has to be a greenfield project while the net worth of the company should not be less than 30 per cent of the total committed investment.

    What are the incentives offered?

    • An incentive of 4-6 per cent was offered last year on mobile and electronic components manufacturers such as resistors, transistors, diodes, etc.
    • Similarly, 10 percent incentives were offered for six years (FY22-27) of the scheme for the food processing industry.
    • For white goods too, the incentive of 4-6 per cent on incremental sales of goods manufactured in India for a period of five years was offered to companies engaged in the manufacturing of air conditioners and LED lights.

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  • NITI Aayog’s Assessment

    [pib] Reforms in Urban Planning Capacity in India

    DOMRPIB | Governance | Mains Paper 2: Governance, Transparency & Accountability, Citizens Charters

    NITI Aayog has launched a report titled ‘Reforms in Urban Planning Capacity in India’ on measures to ramp up urban planning capacity in India.

    Reforms in Urban Planning

    • The report has been developed by NITI Aayog, in consultation with concerned ministries and eminent experts in the domain of urban and regional planning.
    • It underscores urban challenges, including town planning and emphasizes need greater policy attention in our country.

    Why such report?

    • India is home to 11% of the total global urban population.
    • By 2027, India will surpass China as the most populous country in the world.
    • Unplanned urbanization, however, exerts great strain on our cities. In fact, the Covid-19 pandemic has revealed the dire need for the planning and management of our cities.
    • The existing urban planning and governance framework is complex, which often leads to ambiguity and lack of accountability.

    Highlights of the report

    The report makes several recommendations that can unblock bottlenecks in the value chain of urban planning capacity in India.  Some of them are:

    Programmatic Intervention for Planning of Healthy Cities:

    • Every city must aspire to become a ‘Healthy City for All’ by 2030.
    • The report recommends a Central Sector Scheme ‘500 Healthy Cities Programme’, for a period of 5 years, wherein priority cities and towns would be selected jointly by the states and local bodies.

    Programmatic Intervention for Optimum Utilization of Urban Land:

    • All the cities and towns under the proposed ‘Healthy Cities Programme’ should strengthen development control regulations based on scientific evidence to maximize the efficiency of urban land (or planning area).
    • The report recommends a sub-scheme ‘Preparation/Revision of Development Control Regulations’ for this purpose.

    Ramping Up of Human Resources:

    • To combat the shortage of urban planners in the public sector, the report recommends that the states/UTs may need to a) expedite the filling up of vacant positions of town planners.
    • It asks to additionally sanction 8268 town planners’ posts as lateral entry positions.

    Ensuring Qualified Professionals for Undertaking Urban Planning:

    • State town and country planning departments face an acute shortage of town planners.
    • This is compounded by the fact that in several states, ironically, a qualification in town planning is not even an essential criterion for such jobs.
    • States may need to undertake requisite amendments in their recruitment rules to ensure the entry of qualified candidates into town-planning positions.

    Re-engineering of Urban Governance:

    • The report recommends the constitution of a high-powered committee to re-engineer the present urban-planning governance structure.
    • The key aspects that would need to be addressed in this effort are:
    1. clear division of the roles and responsibilities of various authorities, appropriate revision of rules and regulations, etc.,
    2. creation of a more dynamic organizational structure, standardisation of the job descriptions of town planners and other experts, and
    3. extensive adoption of technology for enabling public participation and inter-agency coordination.

    Revision of Town and Country Planning Acts:

    • Most States have enacted the Town and Country Planning Acts, that enable them to prepare and notify master plans for implementation.
    • However, many need to be reviewed and upgraded.
    • Therefore, the formation of an apex committee at the state level is recommended to undertake a regular review of planning legislations (including town and country planning or urban and regional development acts or other relevant acts).

    Demystifying Planning and Involving Citizens:

    • While it is important to maintain the master plans’ technical rigour, it is equally important to demystify them for enabling citizens’ participation at relevant stages.
    • Therefore, the committee strongly recommends a ‘Citizen Outreach Campaign’ for demystifying urban planning.

    Steps for Enhancing the Role of Private Sector:

    • The report recommends that concerted measures must be taken at multiple levels to strengthen the role of the private sector to improve the overall planning capacity in the country.
    • These include the adoption of fair processes for procuring technical consultancy services, strengthening project structuring and management skills in the public sector, and empanelment of private sector consultancies.

    Steps for Strengthening Urban Planning Education System:

    • The Central universities and technical institutions in all the other States/UTs are encouraged to offer PG degree programmes (MTech Planning) to cater to the requirement of planners in the country.
    • The committee also recommends that all such institutions may synergize with Ministry of Rural Development, Ministry of Panchayati Raj and respective state rural development departments.

    Measures for Strengthening Human Resource and Match Demand–Supply:

    • The report recommends the constitution of a ‘National Council of Town and Country Planners’ as a statutory body.
    • Also, a ‘National Digital Platform of Town and Country Planners’ is suggested to be created within the National Urban Innovation Stack of MoHUA.
    • This portal will enable self-registration of all planners and evolve as a marketplace for potential employers and urban planners.

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  • Goods and Services Tax (GST)

    How not to deal with recession

    op-ed snap | Economics | Mains Paper 3: Indian Economy

    Context

    The Centre is facing a serious financial crisis because of the exigencies created by the pandemic and its own policies. However, monetising assets and cutting down funds to states could aggravate the crisis.

    3 Policies aggravating the crisis

    1) NMP and disinvestment

    • Union Finance Minister, while announcing the National Monetisation Pipeline (NMP), said that asset monetisation is based on the philosophy of creation through monetisation and is aimed at “tapping private sector investment for new infrastructure creation”.
    • Loss of dividend: Disinvestment of profitable Navratna companies will result in a loss of dividend, a major source of income for the Centre.
    • Loss due to tax exemptions: Tax exemptions to the investors will take away another major share of income.
    • Central funds will be squeezed and this, in turn, will have a bearing on state finances.
    • NMP will seriously hurt the interests of the country.

    2) Cutting down funds to States

    • Kerala’s case: The state was getting about 3.92 per cent from the divisible pool in the 1970s and 1980s.
    • It came down to 2.66 per cent and 2.34 per cent in the awards of the 12th and 13th Finance Commissions.
    • The 14th Finance Commission award increased it to 2.45 (2.50) per cent.
    • Now, the 15th Finance Commission has reduced it to 1.92 per cent.
    • This arbitrary cut is a result of the adoption of certain new yardsticks by the commission without considering the state government’s views
    • The 15th Finance Commission’s special grant (RD grant) of Rs 19,800 crore for this year will no longer be available in the coming years.
    • Karnataka and many other states have also suffered because of the policy to reduce the divisible pool share.

    3) Tax exemptions and surcharge

    • Exemptions amounting to Rs 99,842.06 crore were extended to corporate houses in 2019-20.
    • Many taxes on goods were reduced because of electoral compulsions. This reduced central revenues.
    • Along with such tax exemptions, the increased use of cesses and surcharges is responsible for the shrinking of the shareable pool.
    • The shareable resources with the Centre was around Rs 6.8 lakh crore in 2019-20 which has come down to Rs 5.5 lakh crore in 2020-21.
    • All the cesses and surcharges that are not shared with states come to about 20 per cent of the total revenues of the Centre.
    • States have been demanding that this money should be shared with them, particularly while fighting a pandemic.
    • States complaining for resources does not augur well for cooperative federalism.

    Way forward

    • Developing basic infrastructure and the production sector is the only way to face an economic crisis.
    • That should not be done by selling or handing over public assets to private individuals and corporations.
    • We need massive public investment that will help people to form cooperatives and collectives in agriculture and industrial production.
    • Parliament, the National Development Council and the GST Council should discuss this unprecedented situation.

    Conclusion

    We need to find a way out collectively. Handing over the rights on public properties to private individuals will take the country back to the colonial era. This must not be allowed.

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  • Foreign Policy Watch: India-China

    Hardly the India-China century

    | International Relations | Mains Paper 2: Bilateral, Regional and Global Groupings and agreements involving India

    Context

    Deng Xiaoping had told then-Indian Prime Minister Rajiv Gandhi in 1988 that the 21st century would be “India and China’s century”, the current Chinese leadership has no patience for such pablum. They believe — indeed believe they know — that it is destined to be China’s century alone.

    The policy of side-stepping contentious issues and encouraging bilateral economic relations

    • There have always been political tensions, both over each country’s territorial claims over land controlled by the other, and China’s alliance with Pakistan, and India’s hospitality to the Dalai Lama.
    • But neither country had allowed these tensions to overwhelm them:
    • China had declared that the border dispute could be left to “future generations” to resolve.
    • India had endorsed the “One China” policy, refusing to support Tibetan secessionism while limiting official reverence for the Dalai Lama to his status as a spiritual leader.
    • India actions and statements have usually been designed not to provoke, but to relegate the border problem to the back burner while enabling trade relations with China (now worth close to $100 billion) to flourish.
    • India made it clear that it was unwilling to join in any United States-led “containment” of China.
    • From negligible levels till 1991, trade with China had grown to become one of India’s largest trading relationships. 
    • India engages with China diplomatically in the BRICS  as well as conducting annual summits of RIC (Russia-India-China).
    • India is an enthusiastic partner in the Chinese-led Asian Infrastructure Investment Bank and the New Development Bank (NDB).
    • However, it has become increasingly apparent that the policy of side-stepping contentious issues and encouraging bilateral economic relations has played into Chinese hands.

    Chinese strategy in Galwan

    • In the Galwan clash, the Chinese troops seem to have been engaged in a tactical move to advance their positions along areas of the LAC that it covets, in order to threaten Indian positions and interdict patrols.
    • They are threatening India’s construction of roads, bridges and similar infrastructure on undisputed Indian territory, a belated effort to mirror similar Chinese efforts near the LAC in Tibet.
    • They have established a fixed presence in these areas well beyond China’s own ‘Claim Line’.
    • The objective seems to be to extend Chinese troop presence to the intersection of the Galwan river and the Shyok river, which would make the Galwan Valley off bounds to India.
    • The Chinese have constructed permanent structures in the area of their intrusion and issued statements claiming that sovereignty over the Galwan valley has “always belonged” to China.
    • Consolidation of LOC: China’s strategy seems to be to consolidate the LAC where it wants it, so that an eventual border settlement — that takes these new realities into account — will be in its favour.
    • Implications for India:  In the meantime, border incidents keep the Indians off-balance and demonstrate to the world that India is not capable of challenging China, let alone offering security to other nations.

    India’s options

    • India has reinforced its military assets on the LAC to prevent deeper incursions for now.
    • And hopes to press the Chinese to restore the status quo ante through either diplomatic or military means.
    • Chinese and Indian officials are currently engaged in diplomatic and military-to-military dialogue to ease tensions, but de-escalation has been stalled for months.
    • Economic options: India has responded with largely symbolic acts of economic retaliation.
    • India has also reimposed tighter limits on Chinese investment in projects such as railways, motorways, public-sector construction projects, and telecoms.

    Limits to India’s economic retaliation

    • India is far too dependent on China for vital imports — such as pharmaceuticals, and even the active ingredients to make them, automotive parts and microchips that many fear it will harm India if it acted too strongly against China.
    • Imports from China have become indispensable for India’s exports to the rest of the world.
    • Various manufacturing inputs, industrial equipment and components, and even some technological know-how come from China; eliminating them could have a seriously negative effect on India’s economic growth.
    • And there are limits to the effectiveness of any Indian retaliation: trade with China may seem substantial from an Indian perspective, but it only represents 3% of China’s exports.
    • Drastically reducing it would not be enough to deter Beijing or cause it to change its behaviour.

    Consider the question “State of India-China relationship hardly indicate the 21st Century being the “India and China’s century”. In light of this, examine the factors responsible for this and suggest the way forward for India.”

    Conclusion

    This range of considerations seems to leave only two strategic options. Playing second fiddle to an assertive China or aligning itself with a broader international coalition against Chinese ambitions. Since the first is indigestible for any democracy, is China de facto pushing India into doing something it has always resisted — allying with the West?

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  • Goods and Services Tax (GST)

    Centre and states must strike bargain on GST

    op-ed snap | Economics | Mains Paper 3: Indian Economy

    Context

    After one and a half years of dispute, and with the economy showing signs of recovery, a path forward for the GST finally seems visible. This opportunity needs to be seized to strike the Centre-State bargain.

    How GST performed so far

    •  The contributors are many but the critical one has been simply a lack of revenues.
    • Initially, the GST performed well, with collections soaring to Rs 11.8 lakh crore in the first full year of implementation in 2018-19.
    • But in 2019-20, the growth rate decelerated sharply. And in 2020-21, collections actually fell.
    • As future collections became uncertain, a gap opened up between the amount that the Centre felt it could afford to promise and the minimum that the states felt they needed and were entitled to.
    • More recently, however, confidence in GST has improved.
    • Collections have revived, averaging Rs 1.1 lakh crore in the first five months of the current fiscal year, exceeding even pre-pandemic levels.

    What explains the weak revenue performance of the GST?

    • Slowing economy: The GST’s past performance now seems much better than it once did.
    • We now know that after 2018-19, nominal GDP growth slowed from 10.5 per cent in 2018-19 to 7.8 per cent the next year and -3 per cent in 2020-21.
    • Effective rate cuts: The RBI has pointed out, the effective tax rate has fallen by nearly 3 percentage points because of rate cutting in 2019, in which both the Centre and states were complicit.
    • Thus the weak revenue performance of the GST now seems attributable to wider economic difficulties and policy actions, rather than problems with the tax itself.

    Necessary changes: Opportunity for striking bargain for Centre and States

    1) Principle of compensation must be re-cast: Create revenue buffer

    • As the GST was a new tax, so states were guaranteed against the teething troubles that would inevitably arise for the next five years.
    • Five years on, this logic is less compelling.
    • The GST as tax reform has reached maturity, well understood by producers, consumers, and tax officials.
    • At the same time, the last few years have exposed the vulnerability of the states to shocks such as Covid-19 pandemic.
    • Way forward: To prevent this situation from recurring, the authorities should create a revenue buffer that could be tapped in a time of need.
    • In sum, there is a bargain waiting to be struck: The states give up their demand for an extension of the compensation mechanism, while the Centre offers a new counter-cyclical buffer.
    • As the figure shows, in good economic times, GST revenues will be robust but it is against downturns that states need protection.
    • The shift to revenue insurance, in turn, should allow the compensation cess to be abolished. 

    2) The GST structure needs to be simplified and rationalised

    • The GST structure needs to be simplified and rationalised, as recommended by the Fifteenth Finance Commission and the Revenue Neutral Rate report.
    • New rate structure: A new structure should have one low rate (between 8 and 10 per cent), one standard rate (between 16 and 18 per cent) and one rate for all demerit goods.
    • The single rate on demerit goods also requires eliminating the cesses with all their complexity.

    3) The GST Council’s working needs changes

    • Consensus-based decision making in GST Council can be sustained only if there is a shared sense of participatory and inclusive governance. 
    • Nearly two decades ago, when the VAT was being introduced, Yashwant Sinha established a culture of consensual discussions on indirect taxes.
    • He did this by requiring the Empowered Committee of State Finance Ministers to be headed by a finance minister from an Opposition-run state government.
    • The spirit of this idea could be translated to the GST Council.

    Consider the question “Inherent importance of GST and its significance for the cooperative federalism underline the necessity for the Centre and the States to strike the win-win bargain. In light of this, examine the issues with the GST and suggest the way forward to deal with these issuef.”

    Conclusion

    Cooperative federalism is not a gesture or one-off outcome. It is, above all, a disposition, resulting from quotidian democratic practice. By rehabilitating cooperative federalism’s finest achievement — the GST — the Centre and states can help restore India’s broader economic prospects.

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  • Higher Education – RUSA, NIRF, HEFA, etc.

    NEET

    op-ed snap | Governance | Mains Paper 2: Health & Education

    The Tamil Nadu Assembly has passed a bill exempting the State from the National Eligibility-cum-Entrance Test (NEET) for admission to undergraduate (UG) medical courses.

    About NEET

    The NEET has replaced the formerly All India Pre-Medical Test (AIPMT).

    It is an all-India pre-medical entrance test for students who wish to pursue undergraduate medical (MBBS), dental (BDS) and AYUSH (BAMS, BUMS, BHMS, etc.) courses.

    The exam is conducted by National Testing Agency (NTA).

    TN law: Permanent Exemption for NEET

    • The Bill exempts medical aspirants in Tamil Nadu from taking NEET examination for admission to UG degree courses in Indian medicine, dentistry and homeopathy.
    • Instead, it seeks to provide admission to such courses on the basis of marks obtained in the qualifying examination, through “Normalization methods”.
    • The aim of the Bill is to ensure “social justice, uphold equality and equal opportunity, protect all vulnerable student communities from being discriminated”.
    • It seeks to bring vulnerable student communities to the “mainstream of medical and dental education and in turn ensure a robust public health care across the state, particularly the rural areas”.

    Why TN is against NEET?

    • Non-representative: TN opposes because NEET undermined the diverse societal representation in MBBS and higher medical studies.
    • Disfavors the poor: It has favored mainly the affordable and affluent sections of the society and thwarting the dreams of underprivileged social groups.
    • Exams for the elite: It considers NEET not a fair or equitable method of admission since it favored the rich and elite sections of society.
    • Healthcare concerns: If continued, the rural and urban poor may not be able to pursue medical courses.

    Can any state legislate against NEET?

    • Admissions to medical courses are traceable to entry 25 of List III (Concurrent List), Schedule VII of the Constitution.
    • Therefore, the State can also enact a law regarding admission and amend any Central law on admission procedures.

    Views of the stakeholders appointed by TN

    • A majority of stakeholders were not in favor of the NEET requirement.
    • NEET only worked against underprivileged government school students, and had profited coaching centres and affluent students.
    • NEET had not provided any special mechanism for testing the knowledge and aptitude of the students.
    • The higher secondary examination of the State board itself was an ample basis for the selection of students for MBBS seats.

    A move inspired by a SC Judgement

    • This thinking of the State may be due to the observation made by the Supreme Court in the selection process of postgraduate (PG) courses in medicine.
    • The Medical Council of India (MCI) had prescribed certain regulations providing reservations for in-service candidates.
    • The Supreme Court struck down regulation 9(c) made by the MCI on the ground of the exercise of power beyond its statute.

    Not a similar case

    • It must be remembered that the Supreme Court was only dealing with a regulation framed by the MCI.
    • The requirement of NEET being a basic requirement for PG and UG medical courses has now been statutorily incorporated under Section 10D of the Indian Medical Council (IMC) Act.
    • When the Tamil Nadu government issued an order in 2017 providing for the reservation of 85% of the seats for students passed out from the State board it was struck down by the Madras High Court.
    • The introduction of internal reservation for government school students is under challenge before the Madras High Court. Similarly, NEET as a requirement is also pending in the Supreme Court.
    • Unless these two issues are decided, NEET cannot be removed by a State amendment.

    The bill cannot be passed

    • The present move to pass a fresh Bill on the same lines is most likely to meet the same fate.
    • The President refused to give his assent to this bill.
    • It is significant that no other State in India has sought an exemption from NEET and, therefore, exempting Tamil Nadu alone may not be possible.
    • Even among the seats allotted to the State, there is no bar for students from other States from competing or selecting colleges in Tamil Nadu.

    The bigger question

    • The question is not whether the State government can amend a law falling under the Concurrent List.
    • The question is whether the State government can exempt Section 10D of the IMC Act, which is a parliamentary law that falls under the Central List (Entry 66).
    • Moreover, the Supreme Court has also upheld NEET as a requirement.
    • Mere statistics highlighting that a majority of the stakeholders do not want NEET in Tamil Nadu is not an answer for exempting the examination.

    Again, it is State and Centre are at crossroads

    • Normally, a Bill requires assent from the Governor to become a law. Stalin’s contention is that this Bill deals with education, which is a Concurrent List subject.
    • Admissions to medical courses fall under Entry 25 of List III, Schedule VII of the Constitution, and therefore the state is competent to regulate the same.
    • Yet, as far as matters relating to the determination of standards for higher education are concerned, the central government has the power to amend a clause or repeal an Act.
    • So, just the passing of the Bill doesn’t enable the students to get exempted from writing NEET.
    • Already, Union Higher Education Secretary Amit Khare has held that if any State wants to opt out of the exam, it has to seek permission from the Supreme Court.

    Options for Tamil Nadu

    • Data is necessary only when there is power to legislate on the subject concerned.
    • Since the Bill, which will become an Act only after the President’s nod, will come into effect only from the next academic year, the battle for and against the NEET requirement will continue in courts.
    • Hopefully, the courts will determine the legality and have a definite solution to the question of medical admissions within the next year.
    • Till such time, students who wrote NEET will fill the seats under the State quota.

    Way forward: Preventing Commercialization of Medical Education

    • The time may also have come to examine whether NEET has met its purposes of improving standards and curbing commercialization and profiteering.
    • Under current norms, one quite low on the merit rank can still buy a medical seat in a private college, while those ranked higher but only good enough to get a government quota seat in a private institution can be priced out of the system.
    • The Centre should do something other than considering an exemption to Tamil Nadu.
    • It has to conceive a better system that will allow a fair admission process while preserving inter se merit and preventing rampant commercialization.

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  • Indian Ocean Power Competition

    AUKUS Partnership for Indo-Pacific

    IOCR | International Relations | Mains Paper 2: Important International Institutions

    The Biden administration has announced a new trilateral security partnership for the Indo-Pacific, between Australia, the U.K., and the U.S. (AUKUS).

    What is AUKUS?

    • AUKUS, as the partnership is being called, will strive over the next 18 months to equip Australia with nuclear propulsion technology.
    • As part of this, Australia will acquire nuclear-powered submarines with help from the UK and the US.
    • It will also involve a new architecture of meetings and engagements between the three countries, as well as cooperation across emerging technologies (applied AI, quantum technologies and undersea capabilities).
    • Australia’s nuclear-powered submarines, when they deploy, will be armed with conventional weapons only and not nuclear weapons.

    Why such an alliance?

    • Tensions have been high between Australia and an increasingly assertive China, its largest trade partner.
    • Australia banned Chinese telecom giant Huawei in 2108 and its PM called for an investigation into the origins of COVID-19 last year.
    • China retaliated by imposing tariffs on or capping Australian exports.

    Not to substitute Quad or others

    • This alliance does not and will not supersede or outrank existing arrangements in the Indo-Pacific region such as the Quad, which the US and Australia form with India and Japan, and ASEAN.
    • AUKUS will complement these groups and others.

    Significance

    • There has been only one other time that the US has shared as “extremely sensitive” submarine propulsion technology — more than 60 years ago, back in 1958, with Great Britain.
    • The US is working to move past the 20-year war in Afghanistan and the chaotic U.S. exit from Kabul.
    • The Biden Administration has put countering China at the center of his economic and national security efforts, describing it as the biggest challenge of this era.

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  • Telecom and Postal Sector – Spectrum Allocation, Call Drops, Predatory Pricing, etc

    Four-year moratorium for AGR dues

    | Economics | Mains Paper 3: Infrastructure: Energy, Ports, Roads, Airports, Railways Etc.

    In big bang reforms, the Union Cabinet approved a relief package for the telecom sector that includes a four-year moratorium on payment of statutory dues by telecom companies as well as allowing 100% foreign investment through the automatic route.

    What is AGR?

    • Adjusted Gross Revenue (AGR) is the usage and licensing fee that telecom operators are charged by the Department of Telecommunications (DoT).
    • It is divided into spectrum usage charges and licensing fees, pegged between 3-5 per cent and 8 per cent respectively.

    Why is AGR important?

    • The definition of AGR has been under litigation for 14 years.
    • While telecom companies argued that it should comprise revenue from telecom services, the DoT’s stand was that the AGR should include all revenue earned by an operator, including that from non-core telecom operations.
    • The AGR directly impacts the outgo from the pockets of telcos to the DoT as it is used to calculate the levies payable by operators.
    • Currently, telecom operators pay 8% of the AGR as licence fee, while spectrum usage charges (SUC) vary between 3-5% of AGR.

    Why do telcos need to pay out large amounts?

    • Telecom companies now owe the government not just the shortfall in AGR for the past 14 years but also an interest on that amount along with penalty and interest on the penalty.
    • While the exact amount telcos will need to shell out is not clear, as in a government affidavit filed in the top court, the DoT had calculated the outstanding licence fee to be over ₹92,000 crore.
    • However, the actual payout can go up to ₹1.4 lakh crore as the government is likely to also raise a demand for shortfall in SUC along with interest and penalty.
    • Of the total amount, it is estimated that the actual dues is about 25%, while the remaining amount is interest and penalties.

    Is there stress in the sector?

    • The telecom industry is reeling under a debt of over ₹4 lakh crore and has been seeking a relief package from the government.
    • Even the government has on various occasions admitted that the sector is indeed undergoing stress and needs support.
    • Giving a ray of hope to the telecom companies, the government recently announced setting up of a Committee of Secretaries to examine the financial stress in the sector, and recommend measures to mitigate it.

    Issue of lower tariff

    • Currently, telecom tariffs are among the lowest globally, driven down due to intense competition following the entry of Reliance in the sector.
    • The TRAI examines the merits of a “minimum charge” that operators may charge for voice and data services.

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