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Foreign Policy Watch: India-China

Chinese hydro-hegemony over Brahmaputra

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Brahmaputra and its tributaries

Mains level: Hydrodiplomacy over Brahmaputra River

brahmaputra

India has planned to build a buffer reservoir in the proposed Arunachal hydropower project to counter China’s proposed 60,000 MW Medog hydropower project on the Brahmaputra River.

Brahmaputra hydrology: A tool of aggression for China

  • China has continued to use the water of river Brahmaputra for its interest and has intentionally created hazardous conditions for downstream states like India and Bangladesh.
  • Concerns over China’s proposed 60,000 MW hydropower in Medog, Tibet are influencing the design of a proposed hydropower project in Arunachal Pradesh’s Upper Siang district.
  • Still only in the planning stage, a ‘pre-feasibility report’ on the 11,000 MW project, or more than five times the size of the largest such projects in India – has been submitted.

What is Medog super-dam Project?

  • China is planning a mega dam in Tibet able to produce triple the electricity generated by the Three Gorges—the world’s largest power station.
  • The structure will span the Brahmaputra River before the waterway leaves the Himalayas and flows into India.
  • It is billed as able to produce 300 billion kilowatts of electricity each year and said to be largest dam in the world once completed.

India’s plan: To build buffer reservoir

  • The design of the proposed project incorporates a buffer storage” of 9 billion cubic metres (or about 9 billion tonnes of water) during monsoonal flow.
  • This could act as a store of water worth a year’s flow that would normally be available from the Brahmaputra or buffer against sudden releases.

Threats posed by Medog Project

Chinese dams can hold large amounts of water, during times of droughts China could stop the flow of the river, jeopardizing the lives of millions of people in Arunachal Pradesh, Assam, and Bangladesh.

  • Reduced flow in the Brahmaputra: The 60,000 MW dam in Medog could reduce the natural flow of water from the Brahmaputra.
  • Triggering artificial floods: Away from India during lean patches, it might be used to trigger “artificial floods” in the Brahmaputra basin.
  • Degradation of the entire basin: Silt carried by the river would get blocked by dams leading to a fall in the quality of soil and eventual reduction in agricultural productivity.
  • Seismic threats: Seismologists consider the Himalayas as most vulnerable to earthquakes and seismic activity.
  • Ecological threats: The cumulative impact of these two megaprojects might aggravate ecological degradation, converting lotic ecosystems into lentic ones.
  • Water security: Damming Brahmaputra would result in water security in an era of unprecedented shifting climate patterns.
  • Catastrophic threat: Any damage to the mega dam, if constructed here, will cause dam breaching and consequent flood havoc in India and Bangladesh.

Why are such issues unaddressed?

  • No treaty on water sharing: We do not have any bilateral or multilateral treaty or any other effective and formal instrument of understanding for collaborative management of the Brahmaputra River.
  • Hostility over borders: Undemarcated borders are at the core of all hostilities between India and China.

India’s dilemma

  • Flood control dichotomy: India’s hydropower projects, while potentially beneficial in controlling flooding from the Brahmaputra in Assam and Arunachal Pradesh.
  • No deterrence to China: This might not necessarily serve as a strategic deterrent to China.
  • Resentment to Bangladesh: A large dam in India may help control floods within India but might open fresh disputes over water sharing with Bangladesh downstream.

Way forward

  • There must be collaborative management of our shared rivers.
  • Hydro-diplomacy should form an important ingredient of Indian foreign policy, especially as India shares river basins with neighbors.

Brahmaputra River

brahmaputra

  • Origin → Chemayungdung Glacier (Kailash Range, Tibet)
  •     In Tibet, known as TSANG – PO
  •     In China, known as YARLUNG ZANBO
  •     Forms grand canyon in Tibet
  •     Turns southward near Namcha – Barwa
  •     Enters Arunachal Pradesh as Dihang River at Sadiya, emerging from the mountains
  •     Joined by Dibang river from the north & Lohit river from the south → Known as Brahamputra
  •     Turns at Dhubri to enter into Bangladesh
  •     After joining Teesta, known as Jamuna in BD
  •     Joins Ganga & Megna → Merges to BOB.
  •     Forms many river island of which Majuli is world 2nd largest one
  •     Major tributaries → Dihang, Lohit, Subansiri, Teesta, Meghna (Barack in Assam), Manas

 

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Indian Army Updates

Agnipath Scheme game changer says PM

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Agnipath Scheme, Agniveers

Mains level: Indian Army

unsc

The Agnipath scheme for recruitment is a “transformative policy” which will be a “game changer” in strengthening the armed forces, said the Prime Minister.

What is Agnipath Scheme?

  • This will be the only form of recruitment of soldiers into the three defence services from now.
  • Recruits under the scheme will be known as ‘Agniveers’.
  • After completing the four-year service, they can apply for regular employment in the armed forces.
  • They may be given priority over others for various jobs in other government departments.
  • The move is expected to decrease the average age profile of armed forces personnel from the current 32 to 24-26 years over a period of time.

Working of the scheme

  • The process of recruitment will commence in 90 days with a planned intake of 46,000 young men and women this year.
  • Enrolment to all three services will be through a centralized online system, with special rallies and campus interviews at recognized technical institutes.
  • Recruitment will be carried out on an “All India All Class” basis with the eligibility age ranging from 17.5 to 21, with medical and physical fitness standards in accordance with existing norms.

Payouts of the Agniveers

  • The ‘Agniveers’ will receive an annual package of ₹4.76 lakh in the first year to ₹6.92 lakh in the fourth year, apart from risk and hardship and other allowances as applicable.
  • Under the ‘Seva Nidhi’ package, they will receive about ₹11.71 lakh, including contribution and interest, on completion of service.
  • The recruits will have to contribute 30% of their monthly emoluments to Seva Nidhi, with a matching contribution made by the government.
  • There will be no entitlement to gratuity and pension benefits under the scheme.
  • However, the ‘Agniveers’ will be provided a non-contributory life insurance cover of ₹48 lakh during their service.

Why are aspirants protesting?

  • Contractualisation of armed forces: The foundation of this scheme is a four-year contract.
  • Jobs for the majority: States such as Bihar, Jammu & Kashmir, Punjab, Himachal Pradesh, Haryana, Uttar Pradesh, Uttarakhand and Rajasthan, are where the bulk of the Army recruitment takes place.
  • Perks and benefits: Many of these people value job stability, which includes retirement benefits and pensions over competitive salaries.
  • Uncertainty after end of commission: Most of them will be forced to leave the job within four years, which doesn’t fit into their hopes and aspirations.
  • Casualization of Training: It reportedly takes two to three years to train a member of the army, but as a part of the Agnipath, soldiers will only be trained for six months.
  • Threats to national security: Defence analysts have allegedly pointed out that the Russian soldiers who were trained for a limited amount of time before they went to war have performed disastrously.
  • Conflicts of interest: Apprehensions have been voiced against how the new recruits will be adjusted in the existing system under which most of the Army units are region, caste or class-based.

Reasons behind aspirants’ frustration

  • Unemployment: Analysts always cite the crunch of gazetted officers in the Armed forces and there has been no recruitment for the last two years.
  • Pandemic impact: Many aspirants lost their chance to join the Armed forces as they are now overage.’
  • Unanticipated reforms: In guise of a push for “major defence policy reform”, the scheme is a fuss.
  • Coaching mafias: Coaching mafias have played a significant role in sparking and provoking protesters.

Need for the Scheme: Official explanation

  • Budgetary efficiency: With the largest volunteer army in the world, paying an increased salary and pension bill, given rising incomes all around, has steadily eroded the capital side of the defence budget.
  • Preferential treatment: For job-seekers, the government has already said they will get priority in the Central Armed Police Forces.
  • Promotional avenues: One significant advantage of this scheme would be the much lower age profile of the service. It will increase the promotional avenues of the permanent cadre.
  • Diverse career options: Once retired, aspirants will be free to pursue other careers, with several departments and governments.
  • Selective skilling: Aspirants will get preference, educational credits, skill certificates, to help them rehabilitate in other fields.
  • Financial assistance: Those wishing to be entrepreneurs will get a financial package and bank loans and those wishing to study further will be given 12 class equivalent certificate.

Way forward

  • Longer contract term: Make the period of the contract for new recruits longer than four years. The present clarification fails to address this issue.
  • Continuance of the commission: Relook the 25 per cent re-enlistment at the end of the contractual period. Ideally, it should be over 50 per cent retention for long-term posts.
  • Policy commitment for reabsorption: For those leaving after their short service, do obtain a binding commitment from CAPFs, states’ police forces and other organisations that they are willing to absorb this trained military manpower.
  • Gradual shift in recruitment policy: Continue with existing regular enrolment, in reduced numbers, and gradually shift to the Tour of Duty once it stabilizes after five to ten years.

Conclusion

  • A nation should never compromise with the personnel who make up the fighting sinews of its armed forces.
  • The best way to prevent such an impression is to look upon them not as a burden to the exchequer, but as rough diamonds, to be cut and polished to their maximum capabilities and then deployed in the defence of the nation.
  • A diamond is forever, our future men and women in uniform too deserve to serve to their maximum for the betterment of the nation and their own lives.

 

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Terrorism and Challenges Related To It

UNSC bans LeT’s Makki after China lifts its hold

Note4Students

From UPSC perspective, the following things are important :

Prelims level: UNSC 1267

Mains level: Global terrorist designations

makki

The ISIL and Al Qaida Sanctions Committee of the UN Security Council (UNSC) has placed Abdul Rehman Makki, a fundraiser and key planner of the Pakistan-based terrorist outfit Lashkar-e-Taiba (LeT), on its sanctions list.

Blacklisting Maki: Under UNSC 1267 list 

  • The UNSC resolution 1267 was adopted unanimously on 15 October 1999.
  • It came to force in 1999, and strengthened after the September, 2001 attacks.
  • It is now known as the Da’esh and Al Qaeda Sanctions Committee.

What is UNSC 1267 committee?

  • It comprises all permanent and non-permanent members of the United Nations Security Council (UNSC).
  • The 1267 list of terrorists is a global list, with a UNSC stamp.
  • It is one of the most important and active UN subsidiary bodies working on efforts to combat terrorism, particularly in relation to Al Qaeda and the Islamic State group.
  • It discusses UN efforts to limit the movement of terrorists, especially those related to travel bans, the freezing of assets and arms embargoes for terrorism.

How is the blacklisting done?

(1) Submission of Proposal

  • Any member state can submit a proposal for listing an individual, group, or entity.
  • The proposal must include acts or activities indicating the proposed individual/group/entity had participated in the financing, planning, facilitating, preparing, or perpetrating of acts or activities linked to the said organizations.

(2) Actual decision

  • Decisions on listing and de-listing are adopted by consensus.
  • The proposal is sent to all the members, and if no member objects within five working days, the proposal is adopted.
  • An “objection” means rejection for the proposal.

(3) Putting and resolving ‘Technical Holds’

  • Any member of the Committee may also put a “technical hold” on the proposal and ask for more information from the proposing member state.
  • During this time, other members may also place their own holds.
  • The matter remains on the “pending” list of the Committee.
  • Pending issues must be resolved in six months, but the member state that has placed the hold may ask for an additional three months.
  • At the end of this period, if an objection is not placed, the matter is considered approved.

How China supports Terror in Pakistan?

  • China has exposed its double standards on the issue of terrorism for consistently stopping the listing of Pakistan-based terrorists.
  • This time, Beijing has argued that the blacklisting is in fact a “recognition” of Pakistan’s record of fighting terrorism.

Here is a timeline of how China disrupts the global efforts against terrorism:

  • 2009: After the 26/11 Mumbai attacks, India moved an independent terror designation proposal against Masood Azhar but China blocked the move.
  • 2016: After seven years, India proposes listing of Masood Azhar as a global terrorist and is supported by the US, the UK and France. China blocks the move again.
  • 2017: The trio moves a third proposal only to be blocked by China again.
  • 2019: After the attacks on the CRPF personnel in J-K’s Pulwama, India calls 25 envoys of different countries to highlight the role Islamabad plays in funding, promoting and strengthening global terrorism. India moves the fourth proposal demanding Masood Azhar’s listing. China lifted its technical hold.
  • June 2022: China blocked a proposal by India and the US to list Pakistan-based terrorist Abdul Rehman Makki as a ‘Global Terrorist’
  • August 2022: China blocks India-US joint proposal to list Jaish-e-Mohammad (JeM) deputy chief Abdul Rauf Azhar as UNSC designated terrorist.

Why China shields Pak-based terrorists?

  • Rewarding Pakistan: China rewards Pakistan to keep India engaged in regional battles and internal conflicts.
  • Oppressing the Uighurs: The quid pro quo is that Pakistan does not utter a word against Uighur Muslim oppression by China in restive Xinjiang province.

Conclusion

  • China’s actions expose its double speak and double standards when it comes to the international community’s shared battle against terrorism.
  • This clearly depicts its care for its vassal state Pakistan.

Back2Basics: United Nations Security Council (UNSC)

  • The UNSC is one of the six principal organs of the United Nations and is charged with the maintenance of international peace and security.
  • Its powers include the establishment of peacekeeping operations, the establishment of international sanctions, and the authorization of military action through Security Council resolutions.
  • It is the only UN body with the authority to issue binding resolutions to member states.
  • The Security Council consists of fifteen members. Russia, the United Kingdom, France, China, and the United States—serve as the body’s five permanent members (P5).
  • These permanent members can veto any substantive Security Council resolution, including those on the admission of new member states or candidates for Secretary-General.
  • The Security Council also has 10 non-permanent members, elected on a regional basis to serve two-year terms. The body’s presidency rotates monthly among its members.

 

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Banking Sector Reforms

UPI for NRIs: What it means for India and Indians abroad

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Unified Payment Interface (UPI)

Mains level: Digital banking in India

upi

The National Payments Corp. of India (NPCI) has allowed Indians abroad to use fast payments network UPI, if their domestic bank accounts are linked to their foreign mobile numbers.

What is UPI?

  • UPI is an instant real-time payment system developed by National Payments Corporation of India (NPCI) facilitating inter-bank transactions.
  • The interface is regulated by the Reserve Bank of India and works by instantly transferring funds between two bank accounts on a mobile platform.

What exactly has NPCI allowed on UPI?

  • NPCI issued a circular that paved the way for wider adoption of homegrown payments platform UPI.
  • So far, only Indian phone numbers were allowed on UPI, leaving out non-resident bank accounts linked to their phone numbers abroad.
  • In the first phase, phone numbers from 10 countries including Singapore, Australia, Canada, Hong Kong, Oman, Qatar, the US, Saudi Arabia, United Arab Emirates, and the UK have been allowed to be used on UPI.
  • NPCI said it could extend this to other nations as well.

How will it benefit Indians abroad?

  • Once the systems are in place, non-resident Indians will be able to transact using UPI, irrespective of whether they are in India or abroad.
  • To use UPI, non-residents need to have either a non-resident external (NRE) account or a non-resident ordinary (NRO) account in India.
  • It would, of course, be more useful when account holders visit India, given the scale of UPI merchant infrastructure in India.
  • While abroad, they can use UPI to transfer funds to families in India and use it on e-commerce portals that allow such payments.

What are the prerequisites for this facility?

  • NPCI has asked banks to onboard only those accounts that meet the Foreign Exchange Management Act guidelines and instructions issued by the departments of the Reserve Bank of India (RBI).
  • Apart, the remitter, as well as beneficiary banks, will have to ensure they comply with anti-money laundering (AML) and combating of financial terrorism (CFT) checks.

Does it help the plan to take UPI global?

  • NPCI has been attempting to make UPI a global phenomenon and the idea to tap NRIs is a step towards that.
  • 10 countries are just to begin with and the list will expand in future.
  • NPCI has been trying to push homegrown payment systems in other countries through NPCI International Payments Ltd, a subsidiary it set up in 2020.
  • It has already tied up with payment system operators in Nepal, UAE, France, UK and others to allow UPI usage there.
  • There is also a plan to link UPI with Singapore’s Paynow.

How will it help the UPI ecosystem?

  • UPI is almost synonymous with digital payments in India, clocking over ₹12.8 trillion worth of transactions in December.
  • After a slow start in 2016, UPI payments have grown at a rapid pace. Given there are over 13.5 million NRIs, the availability of UPI is expected to raise transaction volumes.
  • Industry experts said that just like resident Indians do not have to pay for UPI, it will also be available to NRIs at no extra cost.
  • That said, it might be off to a slow start as the acceptance infrastructure abroad is still being developed.

 

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ISRO Missions and Discoveries

[pib] First evidence of Solitary Waves near Mars

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Solitary Waves, Mars

Mains level: Not Much

In a first-of-its-kind discovery, a team of Indian scientists from the Indian Institute of Geomagnetism (IIG) reported the first evidence of the presence of solitary waves around Mars.

 

Mars

mars

  • Of the largest Mars is the fourth planet from the Sun and the second-smallest planet in the Solar System, being larger than only Mercury.
  • In English, Mars carries the name of the Roman god of war and is often referred to as the “Red Planet”.
  • The latter refers to the effect of the iron oxide prevalent on Mars’s surface, which gives it a reddish appearance distinctive among the astronomical bodies visible to the naked eye.
  • Mars is a terrestrial planet with a thin atmosphere, with surface features reminiscent of the impact craters of the Moon and the valleys, deserts and polar ice caps of Earth.
  • The days and seasons are comparable to those of Earth, because the rotational period, as well as the tilt of the rotational axis relative to the ecliptic plane, is similar.
  • Mars is the site of Olympus Mons, the largest volcano and highest known mountain on any planet in the Solar System, and of Valles Marineris, one canyons in the Solar System.

 

What are Solitary Waves?

  • Solitary waves are distinct electric field fluctuations (bipolar or monopolar) that follow constant amplitude-phase relations.
  • Their shape and size are less affected during their propagation.
  • Solitary waves are known to be responsible for the plasma energization and its transport in Earth’s magnetosphere.

Unveiling the undercover solitary waves

  • Earth is a giant magnetic entity, wrapped in a magnetosphere generated by the motion of molten iron in its core.
  • This magnetosphere casts a protective layer around our home planet, shielding us from the solar winds coughed towards us by the Sun.
  • But unlike Earth, Mars lacks a robust intrinsic magnetic field, which effectively allows the high-speed solar wind to interact directly with the Martian atmosphere.
  • This interaction suggests that even with a weak and flimsy magnetosphere, the frequent occurrences of solitary waves on Mars remain a possibility.

Why this is a significant feat for India?

  • Despite several missions to Mars, their presence has never been detected — until now.
  • However, Indian Scientists have successfully identified and reported the first-ever solitary waves detected on Mars.
  • They arrived at this result by analyzing about 450 solitary wave pulses observed by the Langmuir Probe and Waves instrument on NASA’s Mars Atmosphere and Volatile EvolutioN (MAVEN) spacecraft.

Decoding the data

  • Their analysis revealed distinct electric field fluctuations, which lasted for about 0.2-1.7 milliseconds.
  • Such signals were predominant during dawn or between afternoon to dusk at an altitude of 1000-3500 km from Mars’ surface.
  • Further investigation is needed to determine exactly why these waves are dominant during a fixed time of the day.

Significance of such waves on Mars

  • These pulses are dominantly seen in the dawn and afternoon dusk sectors at an altitude of 1000–3500 km around Mars.
  • Researchers are further exploring their role in the particle dynamics in the Martian magnetosphere and whether such waves play any role in the loss of atmospheric ions on Mars.
  • The study of these waves is crucial as they directly control particle energization, plasma loss, transport, etc., through wave-particle interactions.

 

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Human Rights Issues

Voting Rights of Migrant Workers

Note4Students

From UPSC perspective, the following things are important :

Prelims level: NA

Mains level: Migrants and their problems

Voting

Context

  • It is very worrying that a third of the eligible voters, a whopping 30 crore people, do not vote. Among the many reasons, including urban apathy and geographical constraints, one prominent reason is the inability of internal migrants to vote for different reasons.

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Voting

What are the efforts by election commission to address the problem?

  • Committee of Officers on Domestic Migrants: The Election Commission had earlier formed a “Committee of Officers on Domestic Migrants” to address this issue. The Committee’s report submitted in 2016 suggested a solution in the form of “remote voting”.
  • All party representative: To further address this serious problem, the EC invited representatives from all recognised national and state political parties to discuss the legal, administrative, and statutory changes to resolve the issue.
  • All party consensus: The discussion took place in the presence of a technical expert committee. It is important to recall that the last major decision about the voting system was the introduction of Voter Verifiable Paper Audit Trail (VVPAT), with the consensus of all political parties in 2010.

Migrant workers and their voting rights

  • Least represented group: The Constitution guarantees freedom of movement to every citizen and freedom to reside in any part of the country. However, migrant workers, especially circular or short-term migrants, constituting tens of millions of citizens are some of the least represented groups in the ballot.
  • Lack of access to vote: The issue of disenfranchisement faced by migrant workers is not one arising out of deliberate denial of the right to vote, but for lack of access to vote.
  • Fundamental right: The Supreme Court, in a series of cases, has conclusively interpreted the freedom to access the vote as within the ambit of Article 19(1)(a).

Voting

Problems related to migrant workers and Voting

  • Large scale migration: According to the 2011 Census, the number of internal migrants stands at 450 million, a 45 per cent surge from the 2001 census. Among these, 26 per cent of the migration (117 million) occurs inter-district within the same state, while 12 per cent of the migration (54 million) occurs inter-state.
  • Alienation by residency criteria: The root cause of the migrant voters’ issue is that the individual’s inalienable right to vote is conditioned by a rather strict residency qualification. As a consequence, it tends to disenfranchise the migrant population.
  • 60% migrants could not vote: In the survey report, ‘Political inclusion of Seasonal Migrant Workers in India: Perceptions, Realities and Challenges’ by Aajeevika Bureau, it was found that “close to 60 per cent of respondents had missed voting in elections at least once because they were away from home seeking livelihood options”.

What is the way forward?

  • Electronically Transmitted Postal Ballot System: Section 60(c) of the Representation of People Act, 1951 empowers the Election Commission of India, in consultation with the government, to notify “classes” of voters who are unable to vote in person at their constituencies owing to their physical or social circumstances. Once notified, the voters are eligible for the ETPB system (Electronically Transmitted Postal Ballot System). In the 2019 general elections, the ETPB system was accessed by 18 lakh defence personnel across the country.
  • Postal ballots for migrants: In 2019, in the backdrop of a PIL before the Supreme Court, a bill was floated to extend a similar remote voting possibility to over 10 million adult NRIs in order to “boost their participation in nation-building”. In the 2019 Lok Sabha elections, more than 28 lakh votes were received via postal ballots.
  • Migrants are also equal citizens: In the existing system, remote voting within the constituency by voting via postal ballot is available to senior citizens, people with disabilities, and Covid-affected personnel. The postal ballot voting outside the constituency is available only to service voters, persons on election duty and persons on preventive detention. The Indian migrant worker too deserves the secured right to have access to vote through some mechanism.
  • Remote electronic voting machine: The Election Commission has proposed the use of remote voting for migrant workers wherein a modified version of the existing model of M3 EVMs will be placed at remote polling stations. In fact, the Electronic Corporation of India Ltd. has already developed a prototype of a Multi-constituency Remote EVM (RVM) a modified version of the existing EVM which can handle 72 constituencies in a single remote polling booth. Technical details will be available only after the crucial demonstration.

Voting

Conclusion

  • Migrant workers are also the equal citizens of the country. Social-economic and structural barriers should not the hurdle in there right to vote. Election commission of India has taken the step in the right direction. However, consensus needs to be built over the voting rights of migrants.

Mains Question

Q. What are the problems faced by migrant workers in exercise of there voting rights? What is the way forward towards ensuring voting rights to migrants?

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Tax Reforms

Making The Case for Wealth Tax

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Wealth tax and present status in India

Mains level: Rationale behind wealth tax

Wealth Tax

Context

  • The discourse on efficient, effective and equitable public spending often takes us into the realm of limited resources facing competing demands. India definitely needs to widen its revenue collection as well as base. In this context, it is important to discuss the need for levying a wealth tax, and levying it now.

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Why wealth needs to be taxed?

  • Accumulation of wealth: The most compelling reason stems from evidence that there has been massive accumulation of wealth in a few hands. A small section of people has access to a large share of economic assets and resources that remain almost completely untaxed and thus unavailable for public allocation.
  • Wealth without hard work: Wealth, much less than even income, has little to do with one’s education, merit or efforts; it is largely dependent on inheritance and opportunities that come with the advantages associated with belonging to one of India’s privileged classes and castes.
  • Income inequality: India’s top 10% population owns 65% of the country’s wealth, while the bottom 10% owns only 6%, according to the World Inequality Database, 2022.
  • Wealth of rich doubled in pandemic: An Oxfam report has highlighted how India’s richest doubled their wealth during the pandemic. This happened for a variety of reasons, including profits made on vaccines and commodity and asset price movements.
  • Wealth doesn’t translate into productive resources: But the fact remains that India, despite facing grave financial and economic challenges, has no means to convert any of this growing wealth into productive resources that can generate employment opportunities and push up the incomes of multitudes, which in turn can drive demand for goods something that is needed to counter an economic drag-down.

What is the government’s attitude towards wealthy?

  • Rich knows how to invest: One may argue and it is common to hear this that wealth is better left to the wealthy, as they know best how to invest. This has not been in sufficient evidence, at least in India.
  • Corporate tax lowered: The government lowered the corporate tax rate significantly from 30% to 22% in 2019-20, which has continued despite the economic crises caused by the pandemic. However, this did not elicit much private investment.

Wealth Tax

History of Wealth taxation in India

  • Wealth tax: Wealth tax, which is a direct tax unlike the goods and services tax or value-added tax, can take several forms, such as property tax, inheritance or gift tax and capital gains tax.
  • Capital gains tax: Capital Gains tax exists in India, but applies only to transactions and hence is limited in its base.
  • Estate duty: India scrapped its estate duty in 1985 and has no inheritance tax. Although the receipt of gifts is subject to income tax in the beneficiary’s hands, it has various exemptions; it is almost entirely exempt if received from within the family, including the extended family of self and spouse.
  • Exemption leads to accumulation: These exemptions shrink the base significantly, as most accumulated wealth is acquired through family, and that remains outside the gift tax’s ambit. Given the cultural context of wealth inheritance, some exemptions make sense, but upper thresholds can be easily added to make it more effective.

Present status of wealth taxation

  • No wealth tax: India presently does not have any wealth tax i.e., a tax levied on one’s entire property in all forms.
  • One time solidarity tax: It did not impose a one-time ‘solidarity tax’ on wealth in post-covid budgets that could have generated resources for essential public investment.
  • Example of developing countries: A number of Latin American countries, including Argentina, Peru and Bolivia, have either introduced or are introducing a progressive annual wealth tax levied on the wealth gains of each year or a one-time covid ‘solidarity’ tax.

Wealth Tax

Conclusion

  • Idea of wealth tax appear good on paper however; it may negatively impact the domestic and foreign investment in the country. Direct tax slab for superrich in India is already among the highest in the world. The idea of wealth taxation needs careful deliberation before implementation.

Mains Question

Q. Comment on history of wealth tax in India. why wealth tax is necessary in India? elaborate.

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Women Safety Issues – Marital Rape, Domestic Violence, Swadhar, Nirbhaya Fund, etc.

Supreme Court to hear petitions for Criminalization of Marital Rape

Note4Students

From UPSC perspective, the following things are important :

Prelims level: NA

Mains level: Marital Rape

marital rape

The Supreme Court is set to begin hearing a series of petitions seeking to criminalize marital rape from March 14.

What is Marital Rape?

  • Marital rape is the act of sexual intercourse with one’s spouse without her consent.
  • It is no different manifestation of domestic violence and sexual abuse.
  • It is often a chronic form of violence for the victim which takes place within abusive relations.

Status in India

  • Historically considered as right of the spouses, this is now widely classified as rape by many societies around the world.
  • In India, marital rape is not a criminal offense (as protected under IPC section 375).
  • India is one of fifty countries that have not yet outlawed marital rape.

Reasons for disapproval of this concept

  • The reluctance to define non-consensual sex between married couples as a crime and to prosecute has been attributed to:
  1. Traditional views of marriage
  2. Interpretations of religious doctrines
  3. Ideas about male and female sexuality
  4. Cultural expectations of subordination of a wife to her husband
  • It is widely held that a husband cannot be guilty of any sexual act committed by himself upon his lawful wife on account of their mutual matrimonial consent.

Why it must be a crime?

  • Associated physical violence: Rape by a spouse, partner or ex-partner is more often associated with physical violence and sexual mutilation.
  • Mental harassment: There is research showing that marital rape can be more emotionally and physically damaging than rape by a stranger.
  • Compulsive relationship: Marital rape may occur as part of an abusive relationship.
  • Revengeful nature: Furthermore, marital rape is rarely a one-time event, but a repeated if not frequent occurrence.
  • Obligation on women: In the case of marital rape the victim often has no choice but to continue living with their spouse.

Violation of fundamental rights

  • Marital rape is considered as a violation of FR guaranteed under Article 14 of the Indian constitution which guarantees the equal protection of laws to all persons.
  • By depriving married women of an effective penal remedy against forced sexual intercourse, it violates their right to privacy and bodily integrity, aspects of the right to life and personal liberty under Article 21.

Problems in prosecuting marital rape

  • Lack of awareness: A lack of public awareness, as well as reluctance or outright refusal of authorities to prosecute is common globally.
  • Gender norms: Additionally, gender norms that place wives in subservient positions to their husbands, make it more difficult for women to recognize such rape.
  • Acceptability of the concept: Another problem results from prevailing social norms that exist.

Present regulations in India

  • Indian Penal Code criminalizes rape in most cases, although marital rape is not illegal when the woman is over the age of 18.
  • However, until 2017, men married to those between 15 and 18 could not be convicted of rape.
  • Marital rape of an adult wife, who is unofficially or officially separated, is a criminal offence punishable by 2 to 7 year in prison; it is not dealt by normal rape laws which stipulate the possibility of a death sentence.
  • According to the Protection of Women From Domestic Violence Act (2005), other married women subject to such crime by their husband may demand for financial compensation.
  • They also have the right to continue to live in their marital household if they wish, or may approach shelter or aid homes.

However, marital rape is still not a criminal offense in this case and is only a misdemeanor.

Arguments against criminalization

  • Subjective: It is very subjective and intricate to determine whether consent was acquired or not.
  • Prone to Misuse: If marital rape is criminalized without adequate safeguards it could be misused like the current dowry law by the dissatisfied wives to harass and torture their Husbands.
  • Burden on Judiciary: It will increase the burden of judiciary which otherwise may serve other more important causes.

Way forward

  • Sanctioning marital rape is an acknowledgment of the woman’s right to self-determination (i.e., control) of all matters relating to her body.
  • In the absence of any concrete law, the judiciary always finds it difficult to decide the matter of domestic rape in the absence of solid evidence.
  • The main purpose of marriage is procreation, and sometimes divorce is sought on the ground of non-consummation of marriage.
  • Before giving a final interpretation, the judiciary must balance the rights and duties of both partners.

 

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RBI Notifications

RBI proposes Expected Loss-based Approach for Loan Provisioning

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Expected Loss-based Approach

Mains level: Debt management

The Reserve Bank of India (RBI) has proposed a framework for the adoption of an expected loss-based approach for loan provisioning by banks.

What is Loan-Loss Provision?

  • The RBI defines a loan loss provision as an expense that banks set aside for defaulted loans.
  • Banks set aside a portion of the expected loan repayments from all loans in their portfolio to cover the losses either completely or partially.
  • In the event of a loss, instead of taking a loss in its cash flows, the bank can use its loan loss reserves to cover the loss.
  • Since the bank does not expect all loans to become impaired, there is usually enough in the loan loss reserves to cover the full loss for any one or a small number of loans when needed.
  • An increase in the balance of reserves is called loan loss provision.
  • The level of loan loss provision is determined based on the level expected to protect the safety and soundness of the bank.

And what is the expected loss-based approach?

  • Under this practice, a bank is required to estimate expected credit losses based on forward-looking estimations, rather than wait for credit losses to be actually incurred before making corresponding loss provisions.
  • As per the proposed framework, banks will need to classify financial assets (primarily loans, including irrevocable loan commitments, and investments classified as held-to-maturity or available-for-sale) into one of three categories — Stage 1, Stage 2, or Stage 3.
  • This depends upon the assessed credit losses on them, at the time of initial recognition as well as on each subsequent reporting date, and make necessary provisions.
  1. Stage 1 assets are financial assets that have not had a significant increase in credit risk since initial recognition or that have low credit risk at the reporting date. For these assets, 12-month expected credit losses are recognised and interest revenue is calculated on the gross carrying amount of the asset.
  2. Stage 2 assets are financial instruments that have had a significant increase in credit risk since initial recognition, but there is no objective evidence of impairment. For these assets, lifetime expected credit losses are recognised, but interest revenue is still calculated on the gross carrying amount of the asset.
  3. Stage 3 assets include financial assets that have objective evidence of impairment at the reporting date. For these assets, lifetime expected credit loss is recognised, and interest revenue is calculated on the net carrying amount.

What are the benefits of this approach?

  • The forward-looking expected credit losses approach will further enhance the resilience of the banking system in line with globally accepted norms.
  • It is likely to result in excess provisions as compared to shortfall in provisions as seen in the incurred loss approach.

What is the problem with the incurred loss-based approach?

  • The incurred loss approach requires banks to provide for losses that have already occurred or been incurred.
  • The delay in recognising expected losses under an “incurred loss” approach was found to exacerbate the downswing during the financial crisis of 2007-09.
  • Faced with a systemic increase in defaults, the delay in recognising loan losses resulted in banks having to make higher levels of provisions which ate into the capital maintained precisely at a time when banks needed to shore up their capital.
  • This affected banks’ resilience and posed systemic risks.
  • Further, the delays in recognising loan losses overstated the income generated by the banks which, coupled with dividend payouts, impacted their capital base

 

Which banks are covered under this approach?

  • The proposed norms are for all scheduled commercial banks, excluding regional rural banks.
  • Regional rural banks and smaller cooperative banks (based on a threshold to be decided based on comments) are proposed to be kept out of the framework.

 

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World Economic Forum (WEF) Summit at Davos

Note4Students

From UPSC perspective, the following things are important :

Prelims level: World Economic Forum

Mains level: Not Much

davos

The World Economic Forum has begun its annual summit in Davos, Switzerland,

World Economic Forum (WEF)

  • Headquartered in Geneva, Switzerland, WEF is an international not-for-profit organization, focused on bringing the public and private sectors together to address the global political, social, and economic issues.
  • It was founded in 1971 by Swiss-German economist and Professor Klaus Schwab in a bid to promote the global cooperation on these most pressing problems.
  • The first meeting of WEF was held more than five decades ago in Davos, which has been the home of the annual gathering almost ever since, also becoming the shorthand for the event.

Tap to read more about important reports published by the World Economic Forum (WEF).

WEF partners

  • The WEF is largely funded by its partnering corporations.
  • These are generally global enterprises with an annual turnover greater than $ 5 billion.
  • For these corporations, the WEF provides a platform “to shape the future, accessing networks and experts to ensure strategic decision-making on the most pressing world issues.”
  • Partners range from Apollo Tyres to Apple – they can be from any industry, as long as they wish to engage using WEF’s platforms.
  • WEF also partners with public subsidies.

Why are the summits held at Davos?

  • Sometimes described as Europe’s highest town, Davos has been the venue for the WEF’s annual meeting every year since its inception – with one exception.
  • Davos, a ski resort, and the annual host of WEF’s meeting is a quaint town located on the lap of the Swiss Alps.
  • In many ways, it is a surprising choice for a meeting of global economic giants and geopolitical leaders.
  • The meeting was held in New York in 2002 in a gesture of solidarity following the 9/11 attacks.

Who are the attendees and what actually happens in Davos?

  • Typically, Davos attracts global business executives and policymakers – and it’s strictly invite-only.
  • Usually attending will be the sitting U.S. president, top EU and UN leaders, business leaders and entrepreneurs, academics, heads of NGOs and charities, the media, activists and even some celebrities.
  • Donald Trump, Jens Stoltenberg, Ursula von der Leyen, Greta Thunberg, Elton John and many other high-profile names have all previously attended Davos.
  • The conference includes hundreds of discussions, keynote speeches and panels, and all-important networking sessions, usually behind closed doors in five-star hotels.
  • CEOs and investors seize the opportunity for face-to-face deal-makings.

Davos 2023: What’s on this year’s agenda?

  • This year’s annual meeting in Davos will take place January 16–20, 2023.
  • The theme is “cooperation in a fragmented world” and within that are five sub-themes, including the energy and food crises, inflation, technology for innovation, social vulnerabilities and geopolitical risks.

 

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ISRO Missions and Discoveries

ISRO pushing Venus Mission ‘Shukrayaan’ to 2031

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Shukrayaan I

Mains level: Not Much

venus

ISRO said that it is yet to receive approval from the Indian government for the Venus mission and that the mission could as a result be postponed to 2031.

Shukrayaan I: Venus Orbiter Mission

  • Shukrayaan-I is a planned orbiter to Venus by the Indian Space Research Organisation (ISRO) to study the surface and atmosphere of Venus.
  • The idea was born in 2012; five years later, ISRO commenced preliminary studies after the Department of Space received a 23% hike in the 2017-2018 budget.
  • The orbiter, depending on its final configuration, would have a science payload capability of approximately 100 kilograms (220 lb) with 500 W available power.
  • The launch will involve GSLV Mark II.

Expected launch

  • ISRO had originally hoped to launch Shukrayaan I in mid-2023 but cited the pandemic when it pushed the date to December 2024.
  • Optimal launch windows from Earth to Venus occur once around every 19 months.
  • This is why ISRO has ‘backup’ launch dates in 2026 and 2028 should it miss the 2024 opportunity.
  • But even more optimal windows, which further reduce the amount of fuel required at liftoff, come around every eight years.

Other missions to Venus

  • The US and the European space agencies have Venus missions planned for 2031 — referring to VERITAS and EnVision, respectively.

 

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International Space Agencies – Missions and Discoveries

James Webb Telescope discovers its first Earth-sized Exoplanet

Note4Students

From UPSC perspective, the following things are important :

Prelims level: JSWT, Exoplanets, Goldilock Zone

Mains level: Not Much

exoplanet

NASA has announced that the James Webb Space Telescope has discovered its first new exoplanet LHS 475 b.

LHS 475 b

  • The exoplanet LHS 475 b is roughly the same size as Earth.
  • Located just 41 light-years away, the planet orbits very close to a red dwarf star and completes a full orbit in just two days.

Red Dwarf Stars

  • As mentioned before, the newly discovered exoplanet orbits around a red dwarf star.
  • Such types of stars are the most common and smallest in the universe.
  • As they don’t radiate much light, it’s very tough to detect them with the naked eye from Earth.
  • However, as red dwarfs are dimmer than other stars, it is easier to find exoplanets that surround them.
  • Therefore, red dwarfs are a popular target for planet hunting.

What are Exoplanets?

  • Exoplanets are planets that orbit other stars and are beyond our solar system.
  • According to NASA, to date, more than 5,000 exoplanets have been discovered.
  • Scientists believe that there are more planets than stars as each star has at least one planet orbiting it.
  • Exoplanets come in a host of different sizes. They can be gas giants bigger than Jupiter or as small and rocky as Earth.
  • They are also known to have different kinds of temperatures — boiling hot to freezing cold.

Significance of exoplanets study

  • Studying exoplanets not only broadens our understanding of other solar systems but also helps us piece together information about our own planetary system and origin.
  • However, the most compelling reason to learn about them is to find extraterrestrial life.
  • Researchers emphasize on determining if exoplanets are solid or gaseous or even has water vapour in the atmosphere.
  • This helps scientists determine if a discovered world is habitable or not.
  • Another important element of the study is finding out the distance between an exoplanet and its host star.

Do you know?

If an exoplanet is too close to the star, it might be too hot to sustain liquid water. If it’s too far, it might only have frozen water. When such a planet is at a distance that enables it to have liquid water, it is said to be in the “Goldilocks zone”.

 

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Festivals, Dances, Theatre, Literature, Art in News

Ancient Votive Stupas found near Nalanda

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Stupa Art

Mains level: Not Much

stupa

The Archeological Survey of India (ASI) has discovered two 1200-year-old miniature votive stupas during landscaping activities near Sarai Tila mound on the premises of ‘Nalanda Mahavihara’, a world heritage site in Nalanda district.

What has ASI found?

  • The stupas, carved from stone, depict Buddha figures.
  • These two votive stupas (offered in fulfillment of a vow) were discovered by the ASI officials during landscaping near Sarai Tila mound within the premises of ‘Nalanda Mahavihara on January 4.
  • These, carved from stone depicting Buddha figures, must be around 1200 year old.

What are Stupas?

  • The Sanskrit word stupa signifies “heap, mound, and pile” and is derived from the root ‘stup’ “to pile up.”
  • The ashes of Buddha collected were divided into eight parts and stupa was erected on them.
  • The legend of relic sharing has been imagined latter on, after the establishment of relic worship and stupa.
  • This belief was raised only when the Buddha was considered as a God, a Chakravartin.

Types of Stupa

  • Buddha himself distinguished three kinds of stupa (Chaitya): (i) Sariraka, (ii) Paribhogika and (iii) Uddesika (according to Mahaparinibbanasutta).
  • Beside all these, there are also the sculpted, engraved painted stupas intended to procure merit for the donors.
  • Mostly stupa is containing a relic, that the stupa must have been considered from ancient times as a substitute of the Buddha.
  • In Buddhist history, the Buddha was considered to be a Chakravartin, a universal monarch.

How votive stupas were erected?

  • As his ashes were no longer available, they were replaced by his written law –i.e. factitious body of the Buddha (Niramanakaya), the relic stupas contain the spiritual relics (Dharama Sarira) and the body of law (Dharamakaya) of these represented as Buddha.
  • These stupas erected over relics are called Sariraka Stupas.
  • Other stupas called Paribhogika were erected over objects used by the Buddha, such as his bowl, girdle, clothes etc.
  • Others called Uddesika(votive) were raised over places which were made famous by the presence of Buddha (Buddha’s presence). These are commemorative stupas.

 

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Women empowerment issues – Jobs,Reservation and education

Indian women’s labor force participation is declining

Note4Students

From UPSC perspective, the following things are important :

Prelims level: NA

Mains level: Women's declining labour participation, analysis and solutions

participation

Context

  • According to the World Bank report released in June 2022, Indian women’s labour force participation proportion of the population over the age of 15 that is economically active has been steadily declining since 2005 and is at a low of 19 percent in 2021.

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How the experts are analysing the falling participation of women?

  • Patriarchy in continuity: According to some experts there is continuities of patriarchal oppression and structural barriers to women’s economic participation in India.
  • Informal economy not accounted: Other group of experts says these claims fail to acknowledge that this measure does not capture women’s participation in the informal economy.
  • Preference for home-based work: In developing economies such as India, women are concentrated in the informal sector and demonstrate a preference for home-based work opportunities that allow them to balance their domestic duties with income-generating activities.
  • Social consideration: It is simplistic and instrumental link between women’s labour force participation and measures of societal development.
  • Reductionist approach: It is important to move beyond reductionist explanations and probe how women’s employment operates in specific contexts. This calls for a more comprehensive understanding of women’s decision-making and navigation around employment.

participation

Economy theory about women participation in labour force

  • Standard economic theory: Standard economic theory predicts that as household income increases, women withdraw from devalued labour because their income is no longer required to run the household.
  • Income employment: As household income rises and educational attainment improves, women re-enter the workforce.
  • Mismatch of skills: But for moderately educated women from upwardly mobile families, there is often a mismatch between available jobs and their skills and ambitions.
  • Aversion towards low-paid jobs: As their families are in the process of claiming middle-class status, young women are often averse to taking up low-paid jobs in the formal economy.
  • Class and social mobility: If they are unable to secure high-status white-collar jobs, they prefer home-based work such as tailoring or running tuitions for young children. Thus, women’s employment preferences are often intertwined with family-centred projects of class and social mobility.

participation

Study of ground reality about women employment

  • Facilitated study group: In a recent study, facilitated study group (FSG) interviewed 6,600 women of working age from low-income communities across 16 cities in India.
  • Small job and business: It found that women’s ability to work outside the home is defined by the views of their family members who prefer women working from home or engaging in a small business to allocate more time to household responsibilities. But 59 percent of women prefer jobs in the formal sector over entrepreneurship.
  • Less use of child care: Less than 1 percent of working mothers with children under 12 years old have used paid childcare services. 89 percent are unwilling to use paid childcare services.
  • Preference to family care: Affordability isn’t a key factor in not considering paid day-care. It’s because mothers do not trust day-care services as they do not provide ‘family-like’ care.
  • Balancing the familial expectations: These findings suggest that Indian women’s employment-related decisions are shaped by considerations of providing caregiving to their children and balancing their preferences with familial expectations.

What should be the right approach about women participation?

  • Family responsibility and career: women, especially in low-income communities in India, have a composite view of their lives (jobs, enterprises, care work, upholding traditions, and community connections) and navigate through these with their household and extended family.
  • Comprehensive view of life: The non-compartmentalisation emerges from a culturally embedded and empirically grounded perspective that does not view culture as a limitation, but as a resource and enabler that provides a comprehensive valuation for all kinds of work that women do (informal and formal).
  • Understanding the cultural context: This translates into everyday negotiations that have less to do with upturning the current social structure and more with negotiating for increased autonomy within the cultural context.
  • Flexible working Hours: Policy solutions must derive from the negotiations women are interested in undertaking with their employers around home-based work or flexible working hours. It is important to perceive women’s employment goals as reflective of preferences defined not only by their gender but also by their social and cultural context.

participation

Conclusion

  • The breakdown of the family structure and caregiving systems in developed economies offers an important lesson. If Indian women want to participate in the formal labour force while retaining their family structure, this preference should be accommodated in institutional and interpersonal responses.

Mains Question

Q. In the context of world bank report analyse the declining participation of women in labour force. What should be the right approach to increase the participation of women in labour force?

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Economic Indicators and Various Reports On It- GDP, FD, EODB, WIR etc

A Bumpy Ride for India’s Economy in 2023: A perspective

Note4Students

From UPSC perspective, the following things are important :

Prelims level: NA

Mains level: Prospectus on Indian economy

Economy

Context

  • India’s general elections, scheduled for 2024, will also bring in their wake high-pitched rhetoric and spin-doctoring to further muddy the waters. In short, buckle up because the next 12 months promise a flurry of conflicting signals and a rather bumpy ride. A perspective on Indian economy in 2023.

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Turbulent global situation

  • Pandemic plus Ukraine war: One conflicting signal is already staring us in the face, the seemingly doomed future of globalization. Post-Brexit, the covid pandemic and Russia-Ukraine conflict, there are multiple signs indicating retrenchment of globalization.
  • Collapse of Supply chains: The collapse of global supply chains due to economic lockdowns has refocused attention towards near-shoring or on-shoring.
  • Trade barriers: In an associated move, nations have erected protective trade barriers; both the US and EU are using climate plans to renege on free-trade promises. The end result, reduced global trade.

What are the prospects from international institute?

  • BlackRock Investment Institute’s 2023 Global Outlook: Various financial institutions across the globe are trying to wrap their heads around the phenomenon. According to BlackRock Investment Institute’s 2023 Global Outlook, “We see geopolitical cooperation and globalization evolving into a fragmented world with competing blocs.
  • Citi’s wealth outlook for 2023: Citi’s wealth outlook for 2023 intoned ominously, as a less globalized, more polarized world presents challenges for investors.

Economy

Effect of globalization and policy change by developed economies

  • Rising federal rates: As US employment numbers and demand data continue to stay elevated (despite, paradoxically, slowing growth), the Federal Reserve is likely to be unrelenting in its endeavor to bring the inflation rate back to 2%.
  • Rise in domestic interest rates: The Fed’s actions will undoubtedly strengthen the dollar further, forcing many central banks across the global economy to raise interest rates in tandem. Interestingly, central banks in emerging economies today face threats to their independence from an external agency and not from the political dispensation at home.
  • Increase in food and fuel cost: Beyond interest rates, inflation also travels easily across national boundaries, especially through food and fuel trade. The fractured supply chains and war in Europe have ensured that inflation’s harmful impact might sustain through 2023.
  • Omicron variant and travel restrictions: The other undesirable effect of globalization could be the persisting effect of the Omicron variant that has travelled seamlessly from one corner of the world to another. The Indian government has been forced to resume random screening of passengers arriving from different parts of the world to test for the numerous Omicron variants that have witnessed a resurgence in recent times.

Economy

Impact on Indian Economy

  • Over-priced equity markets: Indian equity markets have been soaring since early 2020, once the initial shock of the covid pandemic was negotiated. Cross-country comparisons across emerging markets by various valuation indices show the Indian market to be considerably over-priced currently, both relative to its own past performance as well as compared with the rest of the world.
  • High retail investors: Interestingly, the market held its own despite foreign portfolio investors (FPI) pulling out money over the past few months. Domestic investment institutions and retail investors are believed to have kept the market valuation up. But below this cheery visage lies a grim reality.
  • Worrisome credit records: Sectoral credit deployment data from the Reserve Bank of India (RBI) shows credit growth in commercial banks in recent months has been driven by only two segments: non-bank financial companies (NBFCs) and consumer loans.
  • High retail borrowings: A large chunk of the NBFC borrowing was also for on-lending to retail borrowers, given tepid industrial credit demand. RBI data for commercial banks shows consumer loans in four categories advances against fixed deposits, advances against shares or bonds, loans against gold jwellery and other personal loans grew by almost 71% between April 2020 and November 2022.
  • Loans for equity investments: It is quite likely that a large proportion of these loans have found their way into stock markets; the Nifty-50 index gained close to 118% between April 2020 and November 2022, at a time when FPI investments during the same period witnessed a net inflow of only ₹1,464 crore.

Conclusion

  • The year 2023 appears to be very bumpy for economy in general and credit growth and recovery in particular. SEBI and RBI need to protect the retail investors from Ponzi scheme and fake promises of guaranteed returns.

Mains Question

Q. How policy changes in developed economies affects the India’s decision making? Assess the effect of turbulent global situation on credit growth in India.

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Health Sector – UHC, National Health Policy, Family Planning, Health Insurance, etc.

Mental Health Problem and effective policy

Note4Students

From UPSC perspective, the following things are important :

Prelims level: NA

Mains level: Strategy for better mental health policy

Mental Health

Context

  • The fifth Global Mental Health Summit, co-sponsored by over half a dozen organisations engaged with mental health, was held in Chennai to discuss mental health in the context of human rights, ethics and justice. Highlighting the importance of mental health, it gave a call for action against the continued neglect by society at large and the governments at central and state levels, in particular.

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Findings of national mental health survey

  • The National Mental Health Survey (NMHS): The latest National Mental Health Survey (NMHS) conducted by National Institute of Mental Health and Neuro Sciences (NIMHANS) in collaboration with the Ministry of Health and Family Welfare and WHO, was published in 2016.
  • Prevalence of mental disorder: According to the survey, the prevalence of mental disorders among adults in India is around 10.6%. The most common disorders were anxiety disorders (7.3%) and mood disorders (4.5%).
  • Higher among women than men: The survey also found that the prevalence of mental disorders was higher among women than men, and that the majority of people with mental disorders did not receive any treatment.
  • Prevalence of mental disorders is higher in urban areas: It also found that the prevalence of mental disorders was higher in urban areas than in rural areas, and that there was a higher prevalence of mental disorders among people with lower levels of education and income.
  • Gap in treatment coverage for people with mental disorder : The survey highlighted that there is a significant gap in treatment coverage for people with mental disorders, and that the majority of people with mental disorders do not receive any treatment.
  • Plan for mental health: The survey has provided an important information for Indian government and mental health professional to plan and implement mental health programs and policies in the country.

Mental Health

What constitutes good policy making on mental health?

  • Policy should be based on research and findings: Policies should be based on sound research and evidence from scientific studies. This helps to ensure that policies are effective in addressing mental health issues and are not based on assumptions or stereotypes.
  • Active engagement of stakeholders: Policy making should involve a wide range of stakeholders, including people with lived experience of mental health issues, mental health professionals, and representatives from relevant government departments and non-governmental organizations.
  • A comprehensive and integrated approach: Mental health policies should be comprehensive and address a wide range of issues, including prevention, early intervention, treatment, and recovery. They should also be integrated with other policies, such as those related to education, housing, and employment.
  • Ensure easy access to mental health care: policies should ensure that people have access to appropriate and affordable mental health care, including both medication and psychosocial therapies.
  • Public awareness and Sensitization : policies should ensure that people with mental health issues are treated with dignity and respect, and that their human rights are protected.

Case study: How India tackled HIV/AIDS?

  • Active surveillance system: The need for crafting strategic interventions based on epidemiological evidence from an active surveillance system.
  • Modelling different options: The importance of modelling different options of addressing the wide array of interventions required in different geographies, among different target groups, to provide the data related to cost effectiveness as well as efficacy of the interventions required for scaling up.
  • Proactive advocacy of systemic issues among all influencers: The proactive advocacy of systemic issues among all influencers the media, judiciary, politicians, police and other intersectoral departments whose programmes and activities have had a direct bearing on the key populations being worked on.
  • Community engagement: The use of peer leaders and civil society that was allocated over 25 per cent of the budget. Though a central sector programme was fully funded by the central government, every intervention was formulated with active participation and dialogue among the states and constituencies of local leaders.

Mental Health

Strategy for better implementation of mental health policy

  • Clear goals and objectives: Having clear and measurable goals and objectives can help to ensure that policies are implemented effectively and that progress can be tracked.
  • Training and capacity building: Providing training and capacity building for mental health professionals, as well as for other relevant stakeholders such as community leaders, can help to ensure that policies are implemented effectively.
  • Community engagement: Involving communities in the planning and implementation of mental health policies can help to ensure that policies are responsive to the specific needs and priorities of local populations.
  • Monitoring and evaluation: Regularly monitoring and evaluating the implementation of policies can help to identify any barriers or challenges, and make adjustments as necessary.
  • Multi-sectoral approach: Adopting a multi-sectoral approach that involves collaboration between different sectors, such as health, education, social welfare, housing, and employment can help to ensure that policies are implemented in a coordinated and effective manner.
  • Policy flexibility: Policies should be flexible enough to adapt to changing circumstances, and be responsive to feedback and suggestions from the community and stakeholders.

latest research in mental health domain

  • The growing recognition of the importance of early intervention in mental health: Research has shown that early intervention can prevent mental health issues from becoming more severe, and can help individuals to recover more quickly.
  • The use of technology in mental health: There has been an increase in the use of technology, such as mobile apps, virtual reality, and teletherapy, to deliver mental health care. Studies have shown that these technologies can be effective in improving mental health outcomes.
  • The impact of the COVID-19 pandemic on mental health: The pandemic has had a significant impact on mental health, and research has been conducted to understand the extent of the impact and to develop strategies to mitigate it.
  • Advancements in brain imaging and genetics: Researchers are using brain imaging techniques and genetic studies to gain a better understanding of the underlying causes of mental disorders and to develop more effective treatments.
  • The use of personalized medicine in mental health: There is growing interest in the use of personalized medicine, which involves using genetic and other information to tailor treatment to the individual patient, to improve mental health outcomes.
  • The benefits of nature-based interventions for mental health: Studies have shown that spending time in nature can have a positive impact on mental health, including reducing symptoms of stress, anxiety, and depression.
  • The importance of social determinants of mental health: Research has highlighted the importance of social determinants such as poverty, education, and social support in mental health.
  • The importance of addressing mental health in the workplace: Studies have highlighted the impact of workplace stress and burnout on mental health and the importance of workplace interventions to promote mental well-being.

Do you know Neuralink?

  • Neuralink is a gadget that will be surgically inserted into the brain using robotics. In this procedure, a chipset called the link is implanted in the skull.
  • Neuralink can be used to operate encephalopathy. It can also be used as a connection between the human brain and technology which means people with paralysis can easily operate their phones and computer directly with their brain.

Mental Health

Conclusion

  • Mental health problems and not related to age of persons. From children to old age all can suffer from this menace. Government of the must formulated, implement the effective, resulted oriented mental health policy as earliest as possible

Mains Question

Q. What factors need to be taken care while drafting sound mental health policy? Suggest a strategy for better implementation of metal health policy.

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Tourism Sector

Ganga Vilas: A boost to riverine tourism

Note4Students

From UPSC perspective, the following things are important :

Prelims level: MV ganga Vilas cruise

Mains level: Tourism economy

tourism

Context

  • The travel-tourism-hospitality sector got a symbolic boost on Friday, with the Prime Minister launching the MV Ganga Vilas from Varanasi. The luxury 51-day cruise operated in partnership with private players by the Inland Waterways Authority will traverse several states, two countries and make stops at about 50 tourist and heritage sites along the Ganga and Brahmaputra River systems.

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tourism

All you need to know about MV Ganga Vilas

  • MV Ganga Vilas is the first indigenously made and the world’s longest river cruise
  • The Ministry of Ports, Shipping and Waterways is the coordinator of this ship tourism project.
  • The cruise has three decks, 18 suites on board with a capacity of 36 tourists, with all the modern amenities and avoids river pollution.
  • It has its own sewage treatment plant besides a water treatment plant that lifts water from the river for daily use.
  • The cruise has a gymnasium, a spa, restaurant, sunbath deck and other amenities on board to entertain the tourists and also to provide them a comfortable experience.

tourism

Journey of MV Ganga Vilas

  • From Varanasi to Dibrugarh: Set to sail from Varanasi, the cruise ship, MV Ganga Vilas, will cover 3,200 km over 51 days, crossing 27 river systems and several states before ending its journey at Dibrugarh.
  • It will cover World heritage sites: The voyage is packed with visits to 50 tourist spots, including World Heritage spots, national parks, river ghats, and major cities like Patna in Bihar, Sahibganj in Jharkhand, Kolkata in West Bengal, Dhaka in Bangladesh and Guwahati in Assam.
  • Pilgrimage plus environmental tourism: It will make pit-stops to cover the famous Ganga Arti in Varanasi, the Buddhist site of Sarnath; and even Majuli, the largest river island in Assam.

What are the concerns highlighted?

  • Silting and pollution of rives must be addressed on priority: Two of the greatest threats to India’s rivers silting and pollution must be addressed.
  • Employment generation must go hand-in-hand with ecological repair: Both the PM and Shipping & Ports Minister Sarbananda Sonowal have cited the jobs that riverine tourism could bring to states like Uttar Pradesh, West Bengal, Bihar and Assam. But employment generation must go hand-in-hand with ecological repair.

tourism

Way ahead

  • Involve local communities: For the government to realise its goal to increase cruise passenger traffic from 4 lakh people to nearly 10 times that figure. But this growth, to be sustainable, must involve local communities.
  • Smaller vessels could be involved: While there is potential for larger, luxury liners, riverine tourism could also expand and cater to travellers from different economic strata. Also, smaller vessels may pose less of an ecological challenge.
  • Lesson to be learnt from Kerala: While the Centre’s push in the sector, with the PM as the face, is welcome, states and the private sector too must be brought on board. There is, for example, much that east Indian states can learn from how Kerala monetizes and maintains its backwaters.
  • Further expansion with worlds best practices: The Ganga cruise, though, should be just a beginning in tapping the unrealized potential of India’s numerous and diverse river systems for tourism. At the same time, the expansion must take into account the best practices from around India and the world, while ensuring local communities and the environment are not given short shrift.

Conclusion

  • The hospitality sector is labor-intensive and can provide some of the formal jobs that a transitioning Indian economy so desperately needs. And given the growing global market for ecologically-conscious travel, India can if it is meticulous and enterprising in its planning protect its rivers and create jobs at the same time.

Mains question

Q. Recently government launched MV Ganga Vilas cruise. Discuss how it will change the face of tourism in India?

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Tourism Sector

Hospitality Industry in India: Adhering to the principle of Atithi Devo Bhava

Note4Students

From UPSC perspective, the following things are important :

Prelims level: NA

Mains level: Tourism and Hospitality Industry in India

Hospitality

To other Country, I may go as a tourist. But to India I come as a pilgrim”-Martin Luther King 

Context

  • As the world moves on, the service sector travel and tourism business included is emerging as a major growth engine for the Indian economy. People are once again flying in great numbers, airports are crowded, hotels are well booked, and travellers want to explore, connect and feel alive through the exhilarating emotion of travel. Despite several difficulties and challenging infrastructure in hospitality, the industry has fared extremely well.

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Hospitality

What is mean by Hospitality?

  • Hospitality refers to the friendly and generous treatment of guests or strangers.
  • It involves making guests feel welcome, comfortable, and attended to during their stay or visit.
  • The goal of hospitality is to create a positive experience for the guest and to ensure that they have everything they need to feel at home and enjoy their time.

Hospitality Industry in India

  • Hospitality contributes to the economy: The hospitality industry in India is a growing industry which contributes significantly to the country’s economy.
  • India a choiced tourist destination: India is home to number of popular destinations for tourists, due to its diverse culture, ancient civilization, art and architecture, spiritual knowledge centre and the paradise of natural beauty.
  • Infrastructure upgraded with time: The hospitality industry in India has undergone significant growth in recent years, fueled by an increase in domestic and international tourism, as well as the development of new infrastructure, such as airports and roads.
  • Hospitality companies determined to offer diverse experience: Hospitality companies have consistently added supply across all segments budget, business and luxury hotels, homestays, villas and so forth by developing new circuits and offerings that tap into the diverse and myriad potential of Incredible India.

Hospitality

How Hospitality Industry contributes to the Economy?

  • Tourism a driving force: Tourism is seen as a major driving force for any economy. It has a multiplier effect on associated industries like hospitality.
  • Spillover earning: Not only improves economic condition but also enhances standard of living: The spillover of earnings from tourism into other industries not only improves economic conditions but also enhances the standards of living of the local population.
  • For instance, GDP and employment in Goa: This is most apparent at the popular beach destination of Goa. Contributing over 16 per cent to the GDP and 35 per cent to direct employment within the state as per the IBEF Report 2022, the domino effect of the sector on indirect job creation is unrivalled. Today, led by tourism, Goa leads the nation in per capita NSDP (Net State Domestic Product) as per the RBI.
  • Significant impact on high employability: As per trends, every hotel room generates five to seven jobs, both directly and indirectly, further leading to a significant impact on other high-employability sectors such as real estate and infrastructure.
  • Will generate more than 100 million jobs globally: In fact, according to the latest World Travel and Tourism Council (WTTC) report, the sector is expected to create nearly 126 million new jobs globally within the next decade with at least 20 per cent of these from the Indian subcontinent. However, government support will be instrumental in achieving this.
  • Will augment the Indian economy to reach $1 trillion by 2047: With Indian companies reporting positive earnings this fiscal, the sector is poised to potentially grow three times compared to the pre-pandemic levels to touch $250 billion by 2030 and further accelerate to reach $1 trillion by 2047.

Way ahead

  • Upgrading the infrastructure to cater new consumer demands well: The travel and tourism industry is constantly evolving, catering to rapidly changing consumer demands. A capital-intensive industry, the hospitality sector needs to continually plough back to keep the ball rolling.
  • Attracting more investments: A good start will be the Centre according infrastructure status to the sector, which will boost the industry, incorporating required incentives including regulatory ease, cheaper loans, tax concessions and contributing to a cycle of attracting more investments.
  • Augmenting the infrastructure growth: In addition, industry status at the state and Union territories-level and augmenting the infrastructure growth will also have a much-needed positive impact. States like Maharashtra, Karnataka, Assam, Goa, Gujarat, Madhya Pradesh and Rajasthan have taken the lead, and more should follow suit.

Hospitality

India’s G20 presidency an opportunity for India

  • Challenge to provide world class experience to visiting dignitaries: As India takes on the G20 presidency and starts preparing for the summit in 2023, positioning the country as a safe, tourist-friendly destination hinges on how the government can work together with the industry and provide world-class experiences to visiting dignitaries.
  • Meeting mostly be hosted in hotels: Around 300 plus meetings are expected to take place during the summit, most of which will be hosted within the corridors of the finest hotels across the country.
  • Adhering to the principle of Aithi Devo Bhava: Hospitality companies are leaving no stone unturned to showcase India’s cultural essence, and the inherent warmth of Atithi Devo Bhava in our service philosophy.
  • India can set an impression: Using the summit to highlight the country’s unique and differentiated travel offerings, India can claim its position on the world tourism stage.

Conclusion

  • India’s growth story remains immensely encouraging. On the back of strong consumer demand, travel and tourism offers promising growth and are at an important inflection point. Through collective action between industry stakeholders and government, we can undoubtedly shape an even more thriving future for the industry one that can have a positive impact on the economy and society at large.

Mains question

Q. Tourism and Hospitality is a growing industry in India. In light of this discuss how this industry contributes to the economy? Illustrate with an example.

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Promoting Science and Technology – Missions,Policies & Schemes

Reconstructing past Deep-Water Circulations of Indian Ocean

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Panama Closure Hypothesis

Mains level: Not Much

indian ocean

Studies have indicated that tectonically driven changes in the ocean gateways such as the closure of the Central American Seaway, a body of water that once separated North America from South America, since the late Miocene period, had a dramatic impact on the Indian Ocean circulation.

What is Global overturning circulation (GOC)?

  • It is the equatorward transport of cold, deep waters and the poleward transport of warm, near-surface waters.
  • It controls ocean heat distribution and atmospheric carbon dioxide levels, thus playing a critical role in global climate.

Concept: Panama Closure Hypothesis

  • This news essentially talks about the Panama Closure Hypothesis.
  • Panama Hypothesis states that the gradual closure of the Panama Seaway, between 13 million years ago (13 Ma) and 2.6 Ma, led to decreased mixing of Atlantic and Pacific water Masses.
  • This led to the formation of North Atlantic Deep water circulation.
  • It strengthened the Atlantic thermohaline circulation, increased temperatures and evaporation in the North Atlantic, increased precipitation in Northern Hemisphere high latitudes.

Impact of Panama closure

  • It is thought that tectonic changes might have led to the formation of two separate water bodies — northern component water in the North Atlantic and Antarctic Bottom Water (AABW) in the Southern Ocean.
  • Consequently, it is also hypothesised that there would have been large-scale changes in the Deep Water Circulation (DWC) in the oceans across the world.

Impact on Indian Ocean gyre

  • The Indian Ocean does not have any major deep-water formations of its own.
  • It acts only as a host for NCW and AABW.
  • Further, the northern parts of the Indian Ocean are located at one of the terminal ends of the GOC, far away from the deep-water formation regions and oceanic seaways.

What has the new research found?

  • The scientists have generated an authigenic neodymium isotope record from the Arabian Sea and reconstructed the DWC record of the Indian Ocean for the period from 11.3 million years ago (Miocene era) to 1.98 million years ago (Pleistocene era).
  • The record shows a clear shift from the Pacific water-dominated deep circulation system before about nine million years ago, to the onset of a modern-like deep water circulation system in the Indian Ocean.
  • It comprises of Antarctic bottom water and northern component water during the Miocene-Pliocene transition (about six million years ago).
  • This suggests a widespread impact of the late Miocene Central American Seaway closure on the evolution of ocean deep water circulation and validates the so-called Panama Closure Hypothesis.

Back2Basics: Indian Ocean Circulation

indian ocean

  • The Indian Ocean circulation/gyre, located in the Indian Ocean, is one of the five major oceanic gyres, large systems of rotating ocean currents, which together form the backbone of the global conveyor belt.
  • The Indian Ocean gyre is composed of two major currents: the South Equatorial Current, and the West Australian Current.
  • Normally moving counter-clockwise, in the winter the Indian Ocean gyre reverses direction due to the seasonal winds of the South Asian Monsoon.

How does it function?

  • In the summer, the land is warmer than the ocean, so surface winds blow from the ocean to the land.
  • However, during the winter, these temperatures reverse, making the winds blow from the land to the ocean.
  • Because most of the air pressure gradient is retained behind the Tibetan plateau, air pressure gradients over the Indian Ocean and the gyre are small.
  • This results in winds of moderate strength, due to the protection from the full-force winds blowing off the Mongolian high-pressure region.
  • Because of these moderate, dry winds, the Winter Monsoon season in the Indian Ocean region is the dry season for most of Southern Asia.
  • Due to this seasonal wind cycle, the currents of the Indian Ocean, which make up the Indian Ocean gyre, are directly affected, causing reversal.

 

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Disasters and Disaster Management – Sendai Framework, Floods, Cyclones, etc.

EIA must before allowing urban development projects: SC

Note4Students

From UPSC perspective, the following things are important :

Prelims level: EIA

Mains level: Read the attached story

The Supreme Court has urged legislators and policy experts to ensure that Environment Impact Assessment (EIA) studies are done before giving the green signal for urban development projects in India’s cities.

What is the news?

  • The Supreme Court how haphazard urban development has ruined the ‘Garden City’ of Bengaluru as witnessed during a major spell of rain in September 2022.
  • The court said that the city struggled for drinking water while it lay submerged after the downpour.

Food and Agricultural Organization (FAO) defines it as,

a formal process to predict the environmental consequences of human development activities and to plan appropriate measures to eliminate or reduce adverse effects and to augment positive effects.

  • Thus, Environmental Impact Assessment (EIA) is an integral part of Environmental Management. It investigates likely impacts, both positive and negative, of development projects on the surrounding environment.
  • Simply put, EIA is a detailed study regarding the impacts of any project on the environment. It serves as a decision-making tool which helps policy makers approve, reject or find an alternative to a project

EIA

In India, Environment Impact Assessment (EIA) is notified under the Environment (Protection) Act 1986.

Evolution of EIA 

  • The origin of EIA lies in the enactment of the National Environmental Policy Act(NEPA) in the year 1969 in the USA. It not only introduced the concept of environmental impact assessment but also made it necessary for federal agencies to evaluate impact of environmental decisions.
  • Environment Impact Assessment gained popularity after the introduction of the concept of sustainable developmentvia World Commission on Environment 1987 & United Nations Conference on Environment and Development (Rio Summit) in 1992. It led to adoption of EIA in many countries as well. Principle 17 of the Rio Summit states that,
  • Environmental impact assessment (EIA), as a national instrument, shall be undertaken for proposed activities that are likely to have a significant adverse impact on the environment and are subject to a decision of a competent national authority[Given just for your info. No need to remember this type of complex language.Instead, you can mention that EIA is mentioned explicitly under Principle 17 of the Rio declaration of 1992].
  • In 1976-77, EIA was started in India, when the Department of Science and Technology was asked by Planning Commission to examine the river-valley projects from the environmental angle.
  • Eventually n 1994, EIA was made mandatory in India under the Environmental (Protection) Act, 1986. Until then, environmental clearance from the Central Government was an administrative decision and had no legislative backing.
  • Since then, EIA has been amended several times. The most significant amendment was made in 2006

EIA Process

Environment Impact Assessment (EIA) process can vary depending on a country’s policy and requirement. However, EIA process in most countries, including India, have the following steps:

  1. Screening
  2. Scoping
  3. Collection of baseline data
  4. Impact Prediction
  5. Assessment of alternatives, mitigation measures & Environmental, Impact Assessment Report
  6. Public Hearing
  7. Decision Making
  8. Monitoring the clearance conditions

Screening: This is the first step in the EIA process. At this stage it is decided whether the proposed project needs an EIA and if so to what detail. Screening criteria are based upon:

  • Scales of investment
  • Type of development
  • Location of development

Scoping: It is the most significant step in the entire EIA process as key environmental issues involved are identified at this stage.

  • Scoping has to be done by consultants in consultation with the project proponent and guidance, if needed, from Impact Assessment Agency
  • The Ministry of Environment and Forests has published sector-wise guidelines which outline the significant issues which have to be addressed while conducting the EIA studies.
  • At the end of scoping, detailed terms of reference (TOR) are prepared of EIA.
  • TOR is a written document containing written requirements governing EIA implementation, consultations to be held, data to be gathered, methodology to be used etc

Involved in Environmental Impact Assessment

Collection of baseline data: It describes the existing environmental status of the identified study area. The site-specific primary data is monitored and supplemented with secondary data

Impact prediction: Under this, possible effects on the physical, biological, social and economic conditions are taken into consideration and measures are suggested to prevent, reduce or compensate for the impacts.

For example:

  • Impact of biological diversity in an area ex. EIA done by Gadgil panel on the western ghats regions.
  • Impact on habitat because of deforestation and pollution- Impact on Himalayan ecosystem when hydropower projects are opened.
  • Impact on endangered animals and migratory paths. For ex Great India hornbill’s trail in India is evaluated so as to see that such developmental project is not affecting its pathway.
  • The predictions of impact can never be absolute and certain and thus there is a need to comprehensively consider all factors and take all possible precautions for reducing the degree of uncertainty.

Assessment of alternatives, mitigation measures & Environmental Impact Assessment Report: Identification of alternatives and their comparison: For every project, possible alternatives are to be identified and environmental impacts and benefits to be compared.

  • Alternatives should then be ranked for selection of the best environmental option for optimum economic benefits to the community at large.
  • Environment Management Plan (EMP): Once alternatives have been reviewed, an impact mitigation plan is drawn up for the selected option and is supplemented with an Environmental Management Plan (EMP) to guide the proponent towards environmental improvements. EMP is a crucial input to monitoring the clearance conditions and therefore details of monitoring should be included in it.
  • EMP is a site-specific plan developed to ensure that the project is implemented in an environmentally sustainable manner where all contractors and subcontractors, including consultants understand the potential environmental risks arising from the project and take appropriate actions to properly manage that risk.
  • An Environmental Impact Assessment (EIA) Report prepared at this stage should provide clear information to the decision maker on the different environmental scenarios without the project, with the project and with project alternatives.

Public Hearing: Public must be informed and consulted on a proposed development after the completion of EIA report

  • Gram Sabha must be consulted before the project starts. Gram Sabha means the electorate (people eligible to vote) of the region

Decision-making: It involves consultations between the project proponent (assisted by a consultant) and the impact assessment authority (assisted by an expert group if necessary). Final decision regarding the project is taken, keeping in mind EIA and EMP (Environment Management Plan).

Monitoring: Monitoring should be done during both construction and operation phases of a project. This is not only to ensure that the commitments made are complied with but also to observe whether the predictions made in the EIA reports were correct or not.

  • Where the impacts exceed the predicted levels, corrective action should be taken.
  • Monitoring enables the regulatory agency to review the validity of predictions and the conditions of implementation of the Environmental Management Plan (EMP).

Objective of EIA

  • To bring out a national policy to encourage productive and enjoyable harmony between man and environment.
  • To promote efforts to prevent or eliminate damage to the environment.
  • To increase understanding of ecological systems and natural resources important to the nation

Why we need Environmental Impact Assessment (EIA)? / Significance of EIA / Benefits of EIA

  • Facilitates sustainable development: In present times anthropogenic activities like rapid industrialization, mass production and clearing of forests have created immense pressure on the natural environment. Tools like EIA help in balancing the need for economic growth with equally important concept of sustainability.
  • Mitigating negative impacts & informed decision-making– Environmental Impact Assessment (EIA) helps in minimizing the negative impact of various development projects. It enables monitoring programmes to be established to assess future impacts and provide data on which managers can take informed decisions to avoid environmental damage.
  • Aids cost-effectiveness– EIA helps in selection and design of projects, programmes or plans with long term viability and therefore improves cost effectiveness.
  • Advance assessments also helps avoid future losses that may be incurred if the project is found environmentally unacceptable at a later stage. Cost of adaptation when a project is already running is usually more.

Thus, EIA as a tool aims to minimize the environmental impacts emanating out of any economic activity that have the potential to cause environmental degradation.

Environmental Components

Rapid EIA vs Comprehensive EIA

The difference is in the time scale of the data supplied. But both types require complete coverage of all EIA procedures

  • Rapid EIA: Under Rapid EIA data supplied is of only one season(other than monsoon) to reduce the time required. Rapid EIA is for speedier appraisal process.
  • Comprehensive EIA: It collects data from all four seasons.Rapid EIA is acceptable if it does not compromise upon the quality of decision making. The review of Rapid EIA submissions will show whether a comprehensive EIA is warranted or not. Therefore, submission of comprehensive EIA in the first stance would generally be more efficient approach. Comprehensive EIA includes appraisal of those projects whose analysis in not to be done soon, here time is not the essential factor but the quality of the appraisal is.

EIA notifications

Central govt has the power to issue EIA notifications under Section 3 of the Environment Protection Act, 1986, wherein it can impose restrictions on setting up new projects or expansion or modernisation of existing projects. The section stipulates that such measures must benefit the environment.

Under the Environment (Protection) Act of 1986, first EIA notification was issued in 1994. Later, it was replaced by a modified draft in 2006

Salient Features of EIA rules Amendment done in 2006 

  • Environmental Impact Assessment Notification 2006 decentralized the environmental clearance projects by categorizing the developmental projects in two categories i.e., Category Aand Category B

Salient features of EIA

After 2006 Amendment, EIA comprises of four cycles:

  • Screening
  • Scoping
  • Public Hearing
  • Appraisal
  • State Level Environment Impact Assessment Authority (SEIAA) and State Level Expert Appraisal Committee (SEAC) are constituted to provide clearance to category B projects.
  • Category A Projects require mandatory environmental clearance. Screening process is not required.
  • Category B projects undergo screening process. They are classified in two types:
  • Category B1 Projects: Mandatorily require EIA
  • Category B2 Projects: Do not require EIA

Thus,

  • Category Aprojects and category B1 projects undergo the complete EIA process
  • Category B2projects are excluded from complete EIA process

This 2006 EIA notification has undergone several amendments over last 14 years. A new draft EIA Notification 2020 has been floated by the govt. It is meant to incorporate the amendments and court orders issued since 2006.

Major Provisions of draft EIA notification 2020

  • Public Consultation 
  • Period of public consultation hearings is proposed to be reduced to a maximum of 40 days.
  • Time provided for the public to submit their responses is proposed to be reduced from present 30 to 20 days.
  • Rationale by the govt: the shorter window was “in tune with the times”, given the growth of internet and mobile telephony.
  • Concern: Several environmental activists and organisations have instead argued that even the 30-day timeframe was inadequate as information failed to reach the stakeholders residing in remote and inaccessible terrains
  • More discretionary powers to government
  • Central government can declare “economically sensitive areas” without public hearing or environmental clearance
  • Government also gets to decide which projects are to be considered “strategic”.
  • Post-facto clearance: Legalisation of projects that have commenced operations without obtaining necessary clearances; subject to a payment of penalty.

Supreme court’s view on postfacto clearance –

  • In a judgment in early 2020, in the case of Alembic Pharmaceuticals Ltd vs Rohit Prajapati,the Supreme Court by also referring to Common Cause vs. Union of India judgment, struck down and condemned ex-post facto environmental clearance (a concept which the new draft EIA proposes to regularise).
  • In 2013, the Hon’ble Supreme Court in the case of Association for Environmental Protection vs State of Kerala, held that commencement of projects without obtaining prior EC (environmental clearance) is a violation of the fundamental right to lifeguaranteed under Article 21 of the Constitution

 

  • Post-clearance compliance: Post-clearance compliance implies that once a project gets approved by the concerned authority, the proponent projects are required to adhere to certain rules laid down in the EIA report in order to ensure that no further environmental damages take place.
  • The new draft EIA, contrary to the 2006 notification — which required submission of the compliance report every six months, proposes annual reports. 
  • Concern: Environmental experts are of the view that allowing a longer period for filling the compliance report will give an opportunity to project proponents to hide disastrous consequences, which could go unnoticed

 

  • Exemption clause: It identifies a long list of projects like roads and pipelines in border areas which have been exempted from public consultation and prior clearance.
  • Concern: Analysts note that by this provision, the government shall have discretion to designate any project as being of strategic importance. Activists in states with crucial resources like uranium, as in Meghalaya, have also opposed this provision

 

  • Baseline Data: Does away with the need to carry out studies covering all seasons in a year

In the 2019 ‘Ease of Doing Business’ report by the World Bank, India rose steadily from 142nd ranking in 2014 to 63rd ranking in 2019. India, however, has steadily declined on Environment Performance Index, from 141st rank in 2016 to 168th rank out of 180 countries in 2020.

The government has assured that it will strive to strike a balance between the environmental and developmental concerns. As and when the EIA is finalised, it is expected to incorporate the perspectives of multiple stakeholders in a balanced manner.

Shortcomings of the Environment Impact Assessment (EIA) process

Applicability: There are several projects with environmental impacts that are exempted from the notifications. Ex. Low scale sand mining

Inadequate capacity of EIA approval authorities: Lack of technical and environmental experts, anthropologists and social scientists among the members and involvement of crony capitalism and nexus between corporates and politicians leads to faulty decision making, where projects which severe harm the environment may also get approved.

Deficiencies in screening, scoping and impact analysis: There are no independent bodies and no standardized formats for project evaluation.

  • Absence of standardized baseline data brings arbitrariness in impact prediction.
  • It is allegedly done by those people which are on the payroll of company which creates a conflict of interest. They intentionally exclude negative impact on forests/ environment and impact on tribes during the scoping process

Poor quality EIA reports: EIA is presently used as a project justification tool rather than as a project planning tool to contribute to achieving sustainable development. Involvement of planning for future activities should also be focused upon along with the justification of the project itself.

  • EIA is not just a tool to describe YES or NO regarding a project but also about how the harm, if any, to the environment can be minimized, so as to be pollution-neutral and environmentally sustainable.

Initiated at a later stage: Another flaw in the EIA process in India is that it is undertaken at a much later stage, especially after the project has been designed, approved and almost ready for construction. Thus, by the time EIA starts huge costs are incurred and the project becomes too big to fall.

Inadequate public participation: In many countries like Nepal, Argentina and Australia, public involvement is mandatory at various stages of the EIA process (i.e., screening, scoping, report preparation and decision making), but in India public consultation occurs only once during the entire process. According to the EIA notification 2006, this public consultation is performed in two ways.

  • First, written comments are sought on draft EIA report from stakeholders
  • Second, public hearing is conducted at or near the proposed project site.

Drawbacks of this system:

  • Public consultation is done after the preparation of draft EIA reportand when it is ready for final submission to the expert committee.
  • Also, the notification issued for public hearing are not published in local vernacular languagesthus keeping it out of the scope of understanding of locals.

Weak monitoring: Monitoring is not done through an independent agency. Environment management plans of strategic industries like nuclear energy are not put into the public domain.

How can we strengthen the EIA process?

1.Independent Agency: Entire EIA process right from screening to monitoring should be done by independent agencies and establishing a National Accreditation Body for agencies carrying out EIA.

  • Creation of centralized baseline data bank

2.Applying Precautionary Principle: This principle states that if there is a threat of serious damage (in this case, to the environment) from a particular action then a lack of scientific certainty should not be used to avoid taking steps to prevent that damage. Hence, the list of concerns raised by the public should be studied in detail to arrive at any conclusion. Ex. GM crops.

  • Clearances given to project that is not clearly justified becomes questionable as happened in Sethusamudram Project

3.Strategic Environment Assessment (SEA): It helps in choosing a project and not just evaluate it. It offers alternatives and guides project financing. The directives of SEA are reflected in the National Environment Policy 2006. Similarly, Nepal also carries out SEA’s.

  • A Strategic Environmental Assessment (SEA) is a systematic process for evaluating the environmental implications of a proposed policyplanor programme

4.Robust and Inclusive public hearing: A key role for local people through Panchayats and Urban Local Bodies (ULBs) at every stage. Special focus on forests and tribal. The traditional knowledge of locals needs to be incorporated.

5.Transparency: Greater transparency in the clearance process and dissemination of all documents for public scrutiny.

6.Capacity Building: NGO’s, civil society groups and local communities need to build their capacities to use the EIA notification towards better decision-making on projects that can impact their local environments and livelihoods. Capacities can be built to proactively and effectively use the notification rather than respond in a manner that is seen as negative or unproductive.

Way forward

In a world that is challenged by environmental degradation and social conflicts, scholars have upheld public and local participation to be a “threshold condition” for development. EIA provides this necessary element in the economic development process. Therefore, EIA-based approvals for most projects should mandatorily and necessarily involve the process of conducting public hearings so that the views and opinions of people who are likely to be affected can be taken on board before a decision to approve the project is made so as to reduce future scope of resentment.

 

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