The WWF has issued a stark warning regarding the dredging of the Pripyat River, adjacent to the Chernobyl nuclear disaster site.
Concerns mount as the Pripyat River could transform into a permanent repository of radioactive substances, contaminating the water and food sources.
About Pripyat River
Pripyat River is a significant waterway in Eastern Europe. It flows through Ukraine, Belarus, and a small portion of Russia.
It is primarily situated within the Polesian Lowland, a region characterized by marshes, wetlands, and forests.
The Pripyat River is approximately 761 km (473 miles) long.
Physical Features:
Tributaries: It has numerous tributaries, including the Stokhid River, Styr River, and Horyn River. The largest tributary of the Pripyat is the Teterev River, which joins it from the right bank.
Drainage Basin: Its basin covers an area of around 121,000 square kilometers (46,700 square miles). It is one of the major tributaries of the Dnieper River, which eventually flows into the Black Sea.
Notable event: The Pripyat River gained international attention due to its proximity to the Chernobyl Nuclear Power Plant, where the catastrophic nuclear accident occurred in 1986.
About Chernobyl Nuclear Disaster
The Chernobyl Disaster occurred on April 26, 1986.
It took place at the Chernobyl Nuclear Power Plant, near the town of Pripyat in northern Ukraine, then part of the Soviet Union.
The explosion and subsequent fire released a large amount of radioactive material such as cesium-137 and strontium-90 into the atmosphere, resulting in widespread contamination.
PYQ:
[2020] Consider the following pairs?
River — Flows into
Mekong — Andaman sea
Thames — Irish Sea
Volga — Caspian Sea
Zambezi — Indian Ocean
Which of the pairs above is/are correctly matched?
The Central Asia region is in the spotlight since it is facing challenges with political instability, ethnic tensions, and the threat of extremism, especially after the withdrawal of US troops from Afghanistan.
About Central Asia
Central Asia, often referred to as the heart of Asia, is a vast and diverse region located at the crossroads of Europe and Asia.
It encompasses the area between the Caspian Sea in the west and China in the east, and from Russia in the north to Afghanistan and Iran in the south.
Central Asia is comprised of five main countries: Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan.
This region has a rich history, serving as the historical crossroads of the Silk Road, which facilitated trade and cultural exchange between Europe and Asia for centuries.
Geographical Details:
Mountains:
Tian Shan: This mountain range stretches across Central Asia, forming a natural border between Kyrgyzstan and China. It is renowned for its majestic peaks, including Pobeda Peak, the highest point in Kyrgyzstan.
Pamir Mountains: Known as the “Roof of the World,” the Pamir Mountains are located in Tajikistan and extend into neighboring countries. They contain some of the world’s highest peaks, including Ismoil Somoni Peak (formerly known as Peak Communism) and Kongur Tagh.
Alay Mountains: Situated in southern Kyrgyzstan, the Alay Mountains are a subrange of the Tian Shan. They are characterized by rugged terrain and deep valleys.
Turkestan Range: This mountain range runs through southern Kazakhstan and Uzbekistan, forming part of the border between the two countries.
Water Bodies:
Amu Darya: Also known as the Oxus River, the Amu Darya is one of the major rivers in Central Asia. It originates in the Pamir Mountains and flows through Tajikistan, Uzbekistan, and Turkmenistan before emptying into the Aral Sea (though much of its water is diverted for irrigation).
Syr Darya: Another important river in Central Asia, the Syr Darya, originates in the Tian Shan Mountains. It flows through Kyrgyzstan, Tajikistan, Uzbekistan, and Kazakhstan, eventually joining the Amu Darya in the Aral Sea basin.
Aral Sea: Once the fourth-largest lake in the world, the Aral Sea has shrunk dramatically due to diversion of its tributary rivers for irrigation purposes. Its decline has had severe ecological and economic consequences for the region.
Issyk-Kul: Located in eastern Kyrgyzstan, Issyk-Kul is one of the largest alpine lakes in the world. It is surrounded by snow-capped mountains and is a popular tourist destination.
Deserts:
Karakum Desert: Covering much of Turkmenistan, the Karakum Desert is characterized by vast expanses of sand dunes and sparse vegetation. It is home to the Darvaza Gas Crater, also known as the “Door to Hell.”
Kyzylkum Desert: Situated primarily in Uzbekistan, with parts extending into Kazakhstan, the Kyzylkum Desert is known for its red sands and arid climate. It is sparsely populated, with nomadic herders and wildlife such as gazelles and wild boars.
Mineral Resources:
Oil and Gas: The Caspian Sea region, in particular, is known for its oil and gas deposits, with countries like Kazakhstan and Turkmenistan actively involved in their exploration and extraction. The discovery of large oil fields, such as the Tengiz Field in Kazakhstan and the Galkynysh Field in Turkmenistan, has attracted international investment and contributed to economic growth in the region.
Uranium: Kazakhstan is one of the world’s leading producers of uranium, with significant deposits located in the south of the country. Other Central Asian countries, such as Uzbekistan and Tajikistan, also have uranium reserves, although they are less developed than those in Kazakhstan.
Precious Metals: Kyrgyzstan has a long history of gold mining, with several large-scale mines operating in the country. Uzbekistan is also a significant producer of gold, with the Muruntau Gold Mine being one of the largest in the world.
Copper, Aluminum, and Iron: These resources are primarily found in mountainous regions, such as the Tian Shan and Pamir Mountains. Countries like Uzbekistan and Tajikistan have large deposits of copper ore, which are mined for domestic use and export. Additionally, Kazakhstan is a major producer of aluminum, with significant reserves of bauxite, the primary source of aluminum.
Climate
Central Asia experiences a continental climate, with hot summers and cold winters.
However, the climate varies significantly depending on altitude and proximity to mountain ranges.
In general, the region is characterized by low precipitation and high evaporation rates, leading to arid and semi-arid conditions in many areas.
The mountains influence local climates, with cooler temperatures and higher precipitation levels in upland areas.
Major Disputed Areas:
Countries Involved
Description
Bagys and Turkestanetz
Kazakhstan, Uzbekistan
Disputed settlements involved in border negotiations between Kazakhstan and Uzbekistan.
Turkestanetz ultimately attributed to Uzbekistan, while Kazakhstan retained control over significant water reservoirs.
Negotiations primarily occurred in the early 2000s.
The area is characterized by flat plains and arid landscapes, typical of Central Asian geography.
Arnasy Dam
Kazakhstan, Uzbekistan
Part of the land negotiations between Kazakhstan and Uzbekistan, particularly significant during the dissolution of the Soviet Union in the early 1990s.
The area surrounding the dam is marked by river valleys and semi-arid terrain, with the Arnasy River being a prominent feature.
Sokh and Shakhi-Mardan Enclaves
Uzbekistan, Kyrgyzstan
Uzbek enclaves located in Kyrgyzstan, particularly contentious and mined by Uzbekistan as part of their border security measures.
Tensions in this area have been ongoing since the collapse of the Soviet Union, with occasional flare-ups in violence.
The region is characterized by mountainous terrain, including the Pamir-Alay and Turkestan mountain ranges.
Ferghana Valley
Kyrgyzstan, Tajikistan, Uzbekistan
A fertile region shared by Kyrgyzstan, Tajikistan, and Uzbekistan, known for its complex network of enclaves and high degree of inter-ethnic tensions.
Disputes often arise over control of strategic points such as border crossings and access to water resources, leading to occasional clashes and violence.
Tensions in the Ferghana Valley have persisted since the early 1990s.
The valley is surrounded by the Tian Shan and Alay mountain ranges, with the Syr Darya river flowing through it.
Vorukh Enclave
Tajikistan, Kyrgyzstan
A Tajik enclave within Kyrgyzstan, part of the complex border issues in the Ferghana Valley.
Tensions in this enclave date back to the Soviet era but have intensified since the dissolution of the Soviet Union.
The enclave is nestled in the mountainous terrain of the Ferghana Valley, near the Zeravshan Range.
Chardara Reservoir and Lake Arnasai
Kazakhstan, Uzbekistan
Areas discussed in border negotiations between Kazakhstan and Uzbekistan.
The negotiations occurred primarily in the late 1990s, with Kazakhstan securing a neck of land that provided a direct transport connection to the rest of the country.
The region is characterized by flat plains and agricultural land surrounding the reservoir and lake.
The Chardara Reservoir is fed by the Syr Darya river.
Osh City and Osh Volost
Kyrgyzstan, Uzbekistan
Areas that were contentious during the national delimitation in the Soviet period, particularly in the 1920s.
They were included in the Kirghiz Autonomous Oblast despite a high percentage of Uzbek residents who opposed this inclusion.
The area is characterized by mountainous terrain, including the Fergana Range.
Isfara Valley
Kyrgyzstan, Tajikistan
A narrow, densely populated valley straddling the border between Kyrgyzstan and Tajikistan, disputes in this region often stem from territorial claims, resource allocation, and control of strategic points such as border crossings and water sources.
Tensions have been ongoing since the early 1990s.
The valley is surrounded by mountain ranges, including the Pamir-Alay and Turkestan ranges, and is known for its agricultural productivity.
Batken Region
Kyrgyzstan, Tajikistan
Located in southern Kyrgyzstan, bordered by Tajikistan to the south and Uzbekistan to the west, disputes in this region are primarily related to territorial claims, control of strategic areas, and occasional clashes between border communities.
Tensions have been particularly notable since the mid-1990s.
The region is characterized by rugged mountain terrain, including the Pamir-Alay and Turkestan ranges.
Karakalpakstan
Uzbekistan
An autonomous republic within Uzbekistan, disputes in this region are mainly related to water scarcity, ecological degradation, and the socio-economic impact of the shrinking Aral Sea.
Tensions over these issues have escalated since the mid-20th century.
Karakalpakstan is characterized by flat, arid plains and is situated adjacent to the shrinking Aral Sea.
Caspian Sea
Kazakhstan, Turkmenistan
The world’s largest inland body of water bordered by Kazakhstan and Turkmenistan, disputes often revolve around issues such as maritime boundaries, resource exploration rights, and environmental conservation.
Negotiations over the status of the Caspian Sea and its resources have been ongoing since the early 1990s.
The Caspian Sea is characterized by its vast expanse of water and surrounding coastal regions.
Tiwa tribals dance recently celebrated the Yangli festival at Bormarjong village, in Karbi Anglong district, Assam.
AboutTiwa Tribals
Tiwa tribes, also known as Lalungs, inhabit both the hills and plains of Assam and Meghalaya states.
They hold the status of a Scheduled Tribe in Assam.
The hill-dwelling Tiwa villagers engage in traditional practices such as Jhum cultivation, horticulture, and the cultivation of local crops and vegetables.
Their language belongs to the Tibeto-Burman linguistic group.
About Yangli Festival
The Yangli festival is celebrated before starting the paddy sowing
It is also known as the Lakshmi Puja of the Tiwa people.
It is celebrated with traditional rituals, emphasizing the community’s strong ties to agriculture, their primary livelihood.
It serves as an occasion for prayers seeking a bountiful harvest and divine protection for crops against pests and natural calamities.
It is held once in 5 years.
In April, Khelchawa festival is celebrated by Tiwa tribes marking close of the harvest season.
Celebratory Activities:
Festivities commenced with traditional rituals and vibrant dances.
It continues with a joyous gathering along the riverbanks.
It draws participation from over five hundred individuals representing various groups like Amchi, Rangkhai, and Magrat.
Ceremonial animal sacrifices, including poultry and goats, are performed to honour the goddess and ensure her benevolence upon the Tiwa people’s granary, known as “NoBaro.”
PYQ:
[2014] Every year, a month long ecologically important campaign/festival is held during which certain communities/ tribes plant saplings of fruit-bearing trees. Which of the following are such communities/tribes?
The World Bank, in collaboration with the Ministry of Electronics & Information Technology (MEITY), is spearheading the development of a state-level Digital Public Infrastructure (DPI) adoption index.
AboutState-LevelDPI Adoption Index
World Bank confirmed that the project was in its preparatory stages.
The envisioned state-level DPI index aims to identify gaps and opportunities for strengthening the DPI for the digital economy, promoting financial inclusion, and fostering public-private innovation.
The index will assess different states based on their adoption levels of DPIs, intending to incentivize increased utilization of these digital systems.
What is Digital Public Infrastructure (DPI)?
DPI refers to the foundational digital infrastructure that enables the delivery of digital services and facilitates digital interactions between citizens, businesses, and governments.
It encompasses various technological components, policies, and frameworks aimed at enhancing digital connectivity, accessibility, and efficiency in public service delivery.
DPI, as defined by the G20 New Delhi Leaders’ Declaration (September 2023) “is a set of shared digital systems that are secure and interoperable, built on open technologies, to deliver equitable access to public and/or private services at a societal scale”.
Three Pillars of DPI:
DPI primarily focuses on three key pillars: identity, payments, and data management.
India has pioneered the development of all three DPI pillars through its India Stack Platform, setting a global benchmark.
Identity: Aadhar serves as India’s digital ID system.
Payment: The Unified Payments Interface (UPI) facilitates real-time fast payments.
DataManagement: The Data Empowerment and Protection Architecture (DEPA) ensures consent-based data sharing.
India’s Initiatives Leveraging DPI
Digital India: Initiatives like Digital Locker, e-sign framework, and the National Scholarship Portal are integral parts of the Digital India campaign.
BharatNet: This project aims to provide affordable internet connectivity to rural India, leveraging high-speed broadband networks.
National Health Stack: Designed to revolutionize healthcare, this infrastructure facilitates health data exchange and interoperability.
National Knowledge Network (NKN): Facilitating collaborative research and innovation, NKN promotes knowledge sharing.
UMANG: The Unified Mobile Application for New-age Governance offers access to various government services and schemes.
Government e-Marketplace (GeM): An online platform streamlining procurement processes for government agencies.
A rare celestial event unfolded as four solar flares called as Sympathetic Solar Flares simultaneously, signaling the onset of the Sun’s dynamic 11-year solar cycle.
What is a Solar Cycle?
Given the Sun’s dynamic nature, electrically charged gases on its surface generate powerful magnetic fields, known as magnetic fields.
These magnetic fields undergo stretching, twisting, and tangling due to the constant movement of gases on the Sun’s surface, resulting in solar activity.
Scientists monitor solar cycles using sunspots. Solar activity fluctuates throughout the solar cycle, which typically spans about 11 years.
The onset of a solar cycle typically features minimal sunspot activity, termed as a solar minimum.
For instance, the last Solar Cycle 25 commenced in December 2019, characterized by a low number of sunspots.
What are Sympathetic Solar Flares?
Sympathetic solar flares are solar eruptions that occur in close temporal and spatial proximity to another solar flare or eruption.
These events are believed to be interconnected through magnetic fields or other physical processes occurring on the Sun.
When a solar flare or eruption happens on the Sun, it releases a burst of electromagnetic radiation and charged particles into space.
In some cases, the energy released during these events can cause disturbances in the Sun’s magnetic field.
These disturbances can trigger the occurrence of additional flares loop or eruptions in nearby regions of the Sun’s surface.
This event follows coronal mass ejections (CMEs) and intense plasma bursts.
Implications for Earth
Potential impacts include disruptions to power grids, interference with communication networks, and increased radiation exposure for astronauts and aircraft passengers.
Solar storms can lead to spectacular natural light shows known as auroras, which are typically visible near the Earth’s magnetic poles.
PYQ:
[2012] The increasing amount of carbon dioxide in the air is slowly raising the temperature of the atmosphere, because it absorbs:
(a) the water vapour of the air and retains its heat
Researchers from Kerala reported 15 cases of Membranous Nephropathy (MN) linked to the regular application of fairness creams.
These creams contained high levels of mercury, sometimes exceeding the safe limit by 10,000 times.
Mercury Contamination in Hair Cream
Blood and urine screenings of affected individuals unveiled alarmingly high levels of mercury, a well-known toxic element.
The fairness creams contained mercury levels up to 10,000 timesabove the permissible limit of 1 ppm under Minamata Convention (2013).
Most cases were PLA2R (phospholipase A2 receptor) negative, indicating a different cause.
Cases of MN linked to Neural epidermal growth factor-like protein 1 (NELL-1) have been identified.
NELL-1 has been associated with MN caused by traditional medicines containing high mercury levels.
Understanding Membranous Nephropathy
Membranous Nephropathy (MN) is a nephrotic syndrome, characterized by excessive protein leakage into urine, eventually leading to kidney failure. Symptoms such as fatigue, edema, and proteinuria were found to have a history of regular fairness cream usage.
Impact of Mercury:
Mercury in fairness creams inhibits melanin formation, resulting in lighter skin. Consumers perceive higher mercury levels as more effective for skin whitening.
Mercury, a potent heavy metal found in these creams, penetrates the bodythrough various channels, including sweat glands and hair follicles, causing systemic toxicity.
Chronic exposure to mercury can result in kidney damage, neurological disorders, and a myriad of other health complications.
Back2Basics: Minamata Convention on Mercury
The Minamata Convention on Mercury is devised to safeguard human health and the environment from the detrimental impacts of mercury and its derivatives.
Its name derives from the Japanese bay where, during the mid-20th century, industrial wastewater tainted with mercury inflicted severe health damage upon thousands of individuals, leading to what is now recognized as “Minamata disease.”
Signed in 2013 and enforced in 2017, it operates as a United Nations treaty under the purview of the United Nations Environment Programme (UNEP).
Countries ratifying the Convention are legally obliged under international law to implement these regulations.
128 countriesare signatories, with 119 of them having ratified it; India became a party by ratifying it in 2018.
Activities covered by the Convention:
The Convention encompasses all phases of the mercury life cycle, aiming to regulate and diminish mercury usage across various products, processes, and industries.
This encompasses regulations about:
Mercury mining involves bans on new mines and the gradual phase-out of existing ones.
Gradual reduction and elimination of mercury utilization in numerous products and procedures.
Control measures address emissions into the atmosphere and release into soil and water bodies.
Oversight of the informal artisanal and small-scale gold mining sector.
Management of interim mercury storage and its disposal once classified as waste, as well as remediation of mercury-contaminated sites and associated health issues.
PYQ:
[2010] Indiscriminate disposal of used fluorescent electric lamps causes mercury pollution in the environment. Why is mercury used in the manufacture of these lamps?
(a) A mercury coating on the inside of the lamp makes the light bright white
(b) When the lamp is switched on, the mercury in the lamp causes the emission of ultra-violet radiations
(c) When the lamp is switched on, it is the mercury which converts the ultra-violet energy into visible light
(d) None of the statement given above is correct about the use of mercury in the manufacture of fluorescent lamps
PYQ Relevance: Mains: Q) Discuss the role of the Election Commission of India in the light of the evolution of the Model Code of Conduct. (UPSC IAS/2022)
Q) Discuss the procedures to decide the disputes arising out of the election of a Member of the Parliament or State Legislature under The Representation of the People Act, 1951. What are the grounds on which the election of any returned candidate may be declared void? What remedy is available to the aggrieved party against the decision? Refer to the case laws. (UPSC IAS/2022)
Prelims: Q) Consider the following statements: (UPSC IAS/2017) 1. The Election Commission of India is a five-member body. 2. Union Ministry of Home Affairs decides the election schedule for the conduct of both general elections and bye-elections. 3. Election Commission resolves the disputes relating to splits/mergers of recognised political parties.Which of the statements given above is/are correct? a) 1 and 2 only b) 2 only c) 2 and 3 only d) 3 only
Note4Students:
Prelims: Polity;Elections; Rule 11 of the Conduct of Election Rules 1961
Mains: Polity; Elections; General financial rules;
Mentor comments: Getting elected unopposed is perfectly legal in the existing provisions of electoral laws and practice. It is also thrilling. You emerge as the unrivalled representative of the people without the people having chosen you because you are the only choice on the ballot. It is like achieving something without making the requisite effort.
Let’s learn.
—
Why in the News?
The Surat and Arunachal Pradesh results are issues that call for debate where an election is made to seem ‘free and fair’ despite people not having cast a single vote.
The reason behind the Surat and Arunachal Pradesh results are issues that call for debate
Uncontested seats: In Surat and Arunachal Pradesh elections, there have been instances where candidates were disqualified or withdrew voluntarily, resulting in uncontested seats. This raises questions about the democratic process.
Contesting candidates is equal to the number of seats: The Representation of the People Act, 1951 states that if the number of contesting candidates is equal to the number of seats, the returning officer shall declare those candidates elected without a poll.
No impact of NOTA: The NOTA (None of the Above) option was introduced to allow voters to express dissatisfaction, but it does not actually impact the election outcome.
The question raised in this situation:
The real question is what happens if no one contests the election or all voters boycott it, resulting in no one being elected to fill the vacancy.
In such a scenario, there is a “victor” in the sense that someone is declared elected, but there is no “vanquished” party, only those who were ruled out or withdrew voluntarily.
The key issue is whether the Election Commission is bound to call for the constituency to elect a person again, similar to how unresponsive bids are handled in government procurement.
Rule 11 of the Conduct of Election Rules 1961 says:
(1) The returning officer shall… cause a copy of the list of contesting candidates to be affixed in some conspicuous place in his office and where the number of contesting candidates is equal to, or less than, the number of seats to be filled, he shall, immediately after such affixation, declare under sub-section
(2) or as the case may be, sub-section
(3) of section 53 the result of the election in such one of the Forms 21 to 21B as may be appropriate
The General financial rules
Fair, Transparent, and Reasonable Procedure: The GFRs emphasize the importance of conducting public procurement in a fair, transparent, and reasonable manner. This includes provisions for situations like the ‘Single Tender Enquiry’ under Rule 166, which allows for exceptions under certain conditions.
Evaluation of Lack of Competition: Rule 173(xx) addresses the issue of lack of competition in public procurement. It states that lack of competition should not be determined solely based on the number of bidders.
Comparison with Electoral Process: The author draws a comparison between the principles outlined in the GFRs for public procurement and the electoral process under the Representation of the People Act (RPA).
Exclusion of the Elector: The passage highlights a perceived dichotomy in the electoral process where the elector may be excluded from choosing their representative if there is only one candidate. This raises concerns about the fairness and representativeness of the electoral system.
Conclusion:
Efforts should be made to encourage greater participation in the electoral process. This could involve public awareness campaigns, incentives for candidates to contest elections, and measures to ensure that voters are informed and motivated to participate.
Attorney General R Venkataramani, on April 22, mentioned an application filed by the Centre to modify the Supreme Court’s 2012 judgement in the 2G spectrum scam case.
What is the 2G scam case?
In 2008, under then Telecom Minister A Raja, the Department of Telecommunications (DoT) issued 2G spectrum licenses to specific telecom operators on a first-cum-first-serve basis.
In 2009 ,the Central Vigilance Commission directed the CBI to investigate claims that there were illegalities in the allocation of licenses, following which the CBI filed a first information report against unknown officers of the DoT, private persons and companies.
In the meantime, the Centre for Public Interest Litigation and Subramanian Swamy filed petitions at the Supreme Court alleging a Rs 70,000 crore scam in the grant of telecom licenses in 2008.
In 2010, the Comptroller and Auditor General of India (CAG) filed a report claiming that the allocation had caused a loss of Rs 1.76 lakh crores to the public exchequer. Raja resigned shortly after.
In 2011 the CBI filed its first chargesheet, in which Raja was an accused.
In February 2012, the Supreme Court cancelled the 122 licenses granted during Raja’s tenure. The court found that Raja had allocated licenses in 2008 based on 2001 prices in order to benefit specific private telecom operators.
Why is the Centre seeking a modification of the apex court’s decision?
Need for Non-commercial Use: The Centre highlights that spectrum allocation is essential not only for commercial telecommunication services but also for public interest functions such as security, safety, and disaster preparedness. These functions may not always align with the profit-oriented nature of auction processes.
Situational Preferences: The Centre argues that there are situations where auctions are not technically or economically preferred or optimal. This could include scenarios where there is a one-time or sporadic use of spectrum, which may not justify the complexities and costs associated with conducting auctions.
Court’s Clarification on Auctions: The Centre refers to the Supreme Court’s clarification in September 2012, stating that the auction method prescribed in 2012 was not a constitutional principle and not an absolute or blanket statement applicable across all natural resources. The Court expressed respect for the executive’s discretion in such matters.
Seeking Clarity for Administrative Process: In light of the Court’s clarification, the Centre seeks clarity on whether it can allocate 2G spectrum in the future through an administrative process if determined through due process and in accordance with the law. This indicates a desire for flexibility in spectrum allocation methods based on situational considerations and public interest needs.
Conclusion:
Need to implement transparent processes for the allocation of public resources such as spectrum. Clearly outline the criteria, procedures, and timelines for allocation, and ensure that these are accessible to all stakeholders.Establish independent oversight bodies or regulatory agencies to monitor and audit the allocation process.
Mains PYQ:
Q What is mean by public interest? What are the principles and procedures to be followed by the civil servants in public interest? (UPSC IAS/2018)
The Reserve Bank of India (RBI) has floated two consultation papers seeking enhanced regulation of payment aggregators carrying out face-to-face transactions. It also seeks to strengthen the ecosystem’s safety.
What is Payment Aggregators?
A payment aggregator is a payment solution or a platform provider that aggregates various payment modes such cards, UPI, net-banking, wallets and alternate credit products by partnering with various processing entities such as acquiring banks, direct banks (in case of net banking) and issuers of wallets and alt credit products on to a single platform.
What exactly are the norms about?
Extension to Offline Transactions: The existing guidelines for payment aggregators cover their activities in e-commerce and online platforms. The latest draft proposes extending these regulations to offline spaces, including proximity or face-to-face transactions.
Convergence on Standards: The proposed norms aim to achieve convergence on standards of data collection and storage across online and offline transactions handled by payment aggregators.
Elaborate Guidelines: The proposed norms are detailed and comprehensive, reflecting lessons learned from incidents such as the Paytm Payments Bank crisis.
Strengthening Ecosystem: RBI’s objective seems to be strengthening the payment aggregator ecosystem against opacity and ensuring compliance with regulatory standards.
Penalties for Non-Compliance: The Financial Intelligence Unit (FIU-IND) imposed penalties on Paytm Payments Bank for engaging in illegal activities and failing to adhere to regulatory requirements, indicating strict consequences for non-compliance with the proposed norms.
Is registration with the RBI being made compulsory?
The primary focus of this guidlines is on non-bank PAs and within them, the offline extensions.
PA based on Bank: Banks providing physical PA services as part of their normal banking relationship would not require any separate authorisation from the RBI. They are only expected to comply with the revised instructions within three months after they are issued.
PA without Banking: Non-banking entities providing PA services at the point of sale (PoS), that is, offline, would have to inform RBI within 60 days (after the circular is issued), about their intent to seek authorisation.
Does it talk about provisions for sustainability?
Minimum net worth aims to ensure the sustainability of non-banking entities: While the proposed norms primarily focus on regulatory compliance and financial stability, the requirement for a minimum net worth aims to ensure the sustainability of non-banking entities providing proximity/face-to-face transaction services. This is because entities with a stronger financial base are better positioned to weather economic challenges and uncertainties, thus promoting sustainability in the long run.
Risk-Based Payments: Payment aggregators are required to assign risk-based payments to merchants, focusing on sustainability. This involves assessing the risk associated with each merchant and adjusting payment terms accordingly.
What about KYC requirements?
Extended Scope of KYC: The proposed regulations aim to extend the scope of Know Your Customer (KYC) requirements for merchants onboarded by payment aggregators. While KYC is already mandatory, the regulations seek to make the provisions more nuanced.
Document Verification for Medium Merchants: Medium merchants, with a higher annual turnover threshold, must undergo additional document verification. Payment aggregators are expected to verify one official document each of the proprietor, beneficial owner or attorney holder, and the stated business.
Ongoing Compliance Monitoring: Payment aggregators must ensure that transactions undertaken by their merchants are in line with their business profiles. This involves ongoing monitoring to ensure compliance with KYC requirements and business activities.
Conclusion:
The proposed norms aim to achieve convergence on standards of data collection and storage across both online and offline transactions handled by payment aggregators. This helps in streamlining regulatory requirements and ensuring consistency in data management practices.
Mains PYQ
Q How can the Digital India program help farmers to improve farm productivity and income? What step has the government taken in this regard? (UPSC IAS/2015)
The petition, filed by advocate Mathews Nedumpara, seeks a revival of the NJAC. SC Registrar says the issue is already settled, and a repeat litigation is a “needless waste of judicial time and energy”
What is the Registrar of supreme court?
The registrar is a chief executive officer of a judicial forum. They are in charge of the entire registry of the department.
What is NJAC (National Judicial Appointments Commission)?
In August 2014, Parliament passed the Constitution (99th Amendment) Act, 2014 along with the National Judicial Appointments Commission (NJAC) Act, 2014, providing for the creation of an independent commission to appoint judges to the Supreme Court and high courts.
In 2015, Supreme Court struck down the National Judicial Appointments Commission (NJAC) and the 99th Amendment
Actually, Collegium system is used for the appointment of SC Judges
First Judges Case (1981):
Also known as S.P. Gupta case (December 30, 1981), the Supreme Court held that consultation does not mean concurrence and it only implies exchange of views
It declared that the “primacy” of the Chief Justice of India (CJI)s recommendation on judicial appointments and transfers can be refused for “cogent reasons.”
The ruling gave the Executive primacy over the Judiciary in judicial appointments.
Second Judges Case (1993):
SC reversed its earlier ruling and changed the meaning of the word consultation to concurrence.
Hence, it ruled that the advice tendered by the Chief Justice of India is binding on the President in the matters of appointment of the judges of the Supreme Court.
But, the Chief Justice would tender his advice on the matter after consulting two of his senior most colleagues (this was considered as Collegium)
The collegium can veto the government if the names are sent back by the latter for reconsideration.
The basic tenet behind the collegium system is that the judiciary should have primacy over the government in matters of appointments and transfers in order to remain independent.
The opinions of each member of the Collegium and other judges consulted should be made in writing and form part of the file on the candidate sent to the government.
Thus, the executive element in the appointment process was reduced to a minimum.
If the CJI had consulted non-judges, he should make a memorandum containing the substance of consultation, which would also be part of the file. After the receipt of the Collegium recommendation, the Law Minister would forward it to the Prime Minister, who would advise the President in the matter of appointment.
Third Judges Case (1998):
SC on President’s reference expanded the Collegium to a five-member body, comprising the CJI and four of his senior-most colleagues while HC collegium is led by its Chief Justice and four other senior most judges of that court.
Names recommended for appointment by a HC collegium reaches the government only after approval by the CJI and the SC collegium.
Conclusion:
The primary argument against the NJAC was that it could potentially undermine judicial independence by giving the executive a significant role in judicial appointments. Any alternative system, including a revised version of the NJAC, would need to ensure that judicial independence is safeguarded.
Mains PYQ
Q Critically examine the Supreme Court’s judgement on ‘National Judicial Appointments Commission Act, 2014’ with reference to appointment of judges of higher judiciary in India.
