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  • Thirty Metre Telescope (TMT) in Hawaii

     

    India, a partner in the construction of one of the largest telescopes in the world, TMT, has said it wants the project to be moved out of the proposed site at Mauna Kea, a dormant volcano in Hawaii.

    Thirty Metre Telescope

    • The TMT is a proposed astronomical observatory with an extremely large telescope (ELT) that has become the source of controversy over its planned location on Mauna Kea on the island of Hawaii in the US state of Hawaii.
    • It is being built by an international collaboration of government organisations and educational institutions, at a cost of $1.4 billion.
    • “Thirty Metre” refers to the 30-metre diameter of the mirror, with 492 segments of glass pieced together, which makes it three times as wide as the world’s largest existing visible-light telescope.
    • The larger the mirror, the more light a telescope can collect, which means, in turn, that it can “see” farther, fainter objects.
    • It would be more than 200 times more sensitive than current telescopes and would be able to resolve objects 12 times better than the Hubble Space Telescope.

    Utility of the telescope

    • One of its key uses will be the study of exoplanets, many of which have been detected in the last few years, and whether their atmospheres contain water vapour or methane — the signatures of possible life.
    • For the first time in history, this telescope will be capable of detecting extraterrestrial life.
    • The study of black holes is another objective.
    • While these have been observed in detail within the Milky Way, the next galaxy is 100 times farther away; the TMT will help bring them closer.
  • InvITs and REITs

     

    Markets regulator SEBI has put in place a framework for the rights issue of units by listed REIT and InvITs.

    What are InvITs and REITs?

    Infrastructure Investment Trusts (InvIT)

    • An Infrastructure Investment Trust (InvITs) is like a mutual fund, which enables direct investment of small amounts of money from possible individual/institutional investors in infrastructure to earn a small portion of the income as return.
    • InvITs work like mutual funds or real estate investment trusts (REITs) in features.
    • InvITs can be treated as the modified version of REITs designed to suit the specific circumstances of the infrastructure sector.
    • They are similar to REIT but invest in infrastructure projects such as roads or highways which take some time to generate steady cash flows.

    Real Estate Investment Trusts (REIT)

    • A REIT is roughly like a mutual fund that invests in real estate although the similarity doesn’t go much further.
    • The basic deal on REITs is that you own a share of property, and so an appropriate share of the income from it will come to you, after deducting an appropriate share of expenses.
    • Essentially, it’s like a group of people pooling their money together and buying real estate except that it’s on a large scale and is regulated.
    • The obvious pitch for a REIT is that it enables individuals to generate income and capital appreciation with money that is a small fraction of what would be required to buy an entire property.
    • However, the resemblance to either mutual funds or to owning property ends there.
    • According to Indian regulation on REITs, these are meant to primarily own finished and rented out commercial properties –– 80 per cent of the investments must be in such assets. That excludes a real estate that is under development.

    Why need InvITs and REITs?

    • Infrastructure and real estate are the two most critical sectors in any developing economy.
    • A well-developed infrastructural set-up propels the overall development of a country.
    • It also facilitates a steady inflow of private and foreign investments, and thereby augments the capital base available for the growth of key sectors in an economy, as well as its own growth, in a sustained manner.
    • Given the importance of these two sectors in the country, and the paucity of public funds available to stimulate their growth, it is imperative that additional channels of financing are put in place.

    What did SEBI rule?

    • SEBI said the issuer will have to disclose objects of the issue, related-party transactions, valuation, financial details, review of credit rating and grievance redressal mechanism in the placement document.
    • The SEBI had first notified REITs and InvIT Regulations in 2014, allowing setting up and listing of such trusts which are popular in some advanced markets.
  • Three capitals for Andhra Pradesh — its logic and the questions it raises

     

    The Andhra Pradesh Assembly passed The Andhra Pradesh Decentralisation and Equal Development of All Regions Bill, 2020, paving the way for three capitals for the state.

    Three capitals concept in Andhra Pradesh

    • Three cities serve as capitals of the country– Pretoria (executive), Cape Town (legislative), and Bloemfontein (judicial).
    • This arrangement was a result of the Second Boer War (1899-1902) in which Britain annexed the two Afrikaner speaking states -– the Orange Free State and the South African Republic (also called Transvaal Republic).
    • Cape of Good Hope then remained in the British Empire, becoming self-governing in 1872, and uniting with three other colonies to form the Union of South Africa in 1910.

    What are the other examples of multiple capital cities?

    • Several countries in the world have implemented the concept.
    • In Sri Lanka, Sri Jayawardenepura Kotte is the official capital and seat of national legislature, while Colombo is the de facto seat of national executive and judicial bodies.
    • Malaysia has its official and royal capital and seat of national legislature at Kuala Lumpur, and Putrajaya is the administrative centre and seat of national judiciary.
    • Among Indian states, Maharashtra has two capitals– Mumbai and Nagpur (which holds the winter session of the state assembly).
    • Himachal Pradesh has capitals at Shimla and Dharamshala (winter).
    • The former state of Jammu & Kashmir had Srinagar and Jammu (winter) as capitals.

    Reasons behind such considerations

    • According to the government, decentralisation was the central theme in recommendations of all major committees that were set up to suggest a suitable location for the capital of Andhra Pradesh.
    • It had been agreed in the November 16, 1937 Sri Bagh Pact (between leaders of coastal Andhra and Rayalaseema) that two university centres should be established in Waltair (Visakhapatnam) and Anantapur in Rayalaseema, and that the High Court and Metropolis should be in the coastal districts and Rayalaseema respectively.
    • In December 2010, the Justice B N Srikrishna Committee, set up to look into the demand for a Telangana state, said Rayalaseema and North Coastal Andhra were economically the most backward, and the “concentration of development efforts in Hyderabad is the key reason for demand of separate states”.
    • In August 2014, the K Sivaramakrishnan Committee appointed to identify locations for the new capital of AP said the state should see decentralised development, and that one mega capital city was not desirable.

    Major practical problems

    • The government argues that the Assembly meets only after gaps of several months, and government Ministers, officers, and staff can simply go to Amaravati when required.
    • However, coordinating between seats of legislature and executive in separate cities will be easier said than done, and with the government offering no specifics of a plan, officers and common people alike fear a logistics nightmare.
    • The distances in Andhra Pradesh are not inconsiderable. Executive capital Visakhapatnam is 700 km from judicial capital Kurnool, and 400 km from legislative capital Amaravati.
    • The Amaravati-Kurnool distance is 370 km. The time and costs of travel will be significant.
    • The AP Police are headquartered in Mangalagiri, 14 km from Vijayawada, and senior IPS officers who may be required to visit the Secretariat will have to travel 400 km to Visakhapatnam.
    • Likewise, government officers who may have to appear in the High Court will have to travel 700 km to Kurnool, which does not have an airport.
    • All officers and Ministerial staff who may have to be at hand to brief Ministers when the Assembly is in session, will probably have to stay put in Amaravati, leaving behind their other responsibilities in Visakhapatnam.
  • Persons in news: Warren Hastings and his Impeachment Case

    Donald Trump’s impeachment trial started in the US Senate. A precedent being discussed is that of the Warren Hastings case — the famous failed attempt by the British Parliament to impeach India’s first governor-general.

    Warren Hastings

    • Warren Hastings, the first governor-general of Bengal (and the first de facto Governor-General of India), is considered among the most significant colonial administrators to have ruled India.
    • First as the governor of Bengal (1772-1774) and then as Governor-General (1774-1785), Hastings strengthened British rule in India and made profound changes in administration.
    • Hastings’s conduct while in office was called into question after he returned to Britain in 1785, most prominently by Edmund Burke, the noted British parliamentarian and philosopher.

    What was his impeachment case?

    • In 1786, impeachment proceedings were initiated against Hastings, probing his alleged mismanagement, mistreatment of natives, and personal corruption while in India.
    • William Pitt, the then British Prime Minister, first defended Hastings, but then joined the chorus against him.
    • Hastings’s argued that ‘Western’ standards of legality could not be applied in the East.
    • But Burke insisted that under the Law of Nature, people in India were entitled to the same protection as those in Britain.
    • In 1795, however, the House of Lords acquitted Hastings, and the impeachment failed.
    • Burke warned that such a verdict would live in “perpetual infamy”, and the trial gave rise to a wider debate on the role of the East India Company in India.

    Back2Basics

    Warren Hastings and his major works

    From 1772, Warren Hastings served as Governor-General of Fort Williams and the regulating act was passed after his arrival.

    Important events under his rule :

     

    • Hastings abolished the Dual System that had been established by Robert Clive. In the Dual System, the company had Diwani rights (rights to collect revenue) and the Nizam or Indian chiefs had the administrative authority.
    • The judicial powers of the Zamindars were abolished. Civil and criminal courts were established. Two appellate courts were established at Calcutta, one for civil (Sadar Diwani Adalat) and one for criminal (Sadar Nizamat Adalat) cases.
    • Hastings abolished the system of dastaks which were misused by company officials and traders earlier.
    • He implemented several reforms in all walks of administration. The Regulating Act 1773 and Pitts India Act, 1784 were important acts passed during his tenure.

     

     

  • Corona Virus

     

    Chinese scientists have confirmed can spread between human beings.

    Corona Virus

    • Corona viruses are large family of viruses, which cause illnesses to people and also circulate in animals including camels, cats and bats.
    • They cause illness ranging from the common cold to more severe diseases such as Middle East Respiratory Syndrome and Severe Acute Respiratory Syndrome.
    • 2019-nCoV is a new strain that has not been previously identified in humans.
    • Much remains to be understood about the new coronavirus, which was first identified in China earlier this month.
    • Not enough is known about 2019-nCoV to draw definitive conclusions about how it is transmitted, clinical features of disease, or the extent to which it has spread. The source also remains unknown.

    Why is it called the Wuhan Virus?

    • The first cases emerged in Wuhan in central China’s Hubei province.
    • On December 31 last year, authorities confirmed that a large number of patients with unexplained pneumonia were admitted in hospitals in the city.

    Symptoms of infection

    • According to the WHO, common signs include fever, cough, and shortness of breath. Serious infections can lead to pneumonia, kidney failure, and death.
    • Although human-to-human transmission has now been confirmed, the WHO says animals are the outbreak’s likely primary source. It is not known yet which animals are responsible.
    • To prevent the spread of all respiratory infections, the WHO in general asks people to cover their mouths and noses when coughing or sneezing, and to frequently wash their hands.
    • Direct contact with farm or wild animals should be avoided — similar outbreaks in the past, like the Severe Acute Respiratory Syndrome (SARS) emerged from markets where people were in contact with live animals.

    Why is there concern around the world?

    • People see a similarity with the SARS outbreak that infected over 8,000 people and killed around 775 in more than 35 countries worldwide in 2002-03.
    • SARS too, was caused by a mystery coronavirus, and started in China.
    • The source of the virus remained unknown for 15 years, until Chinese scientists in 2017 traced it back to a colony of horseshoe bats living in remote cave in Yunnan province.
    • The virus was carried by civet cats which are sold in markets in China.
    • Fears that SARS could reappear and memories of China misleading the rest of the world on the extent and seriousness of the outbreak have not gone away.
  • [pib] National Startup Advisory Council

    The Union Government has notified the structure of the National Startup Advisory Council to advice on measures needed to build a strong ecosystem for nurturing innovation and startups in the country.

    National Startup Advisory Council

    • The Council will be chaired by Minster for Commerce & Industry.
    • It will consist of the non-official members, to be nominated by Central Government, from various categories like founders of successful startups, veterans and persons capable of representing interests of incubators and accelerators etc.
    • The term of the non-official members of the Startup Advisory Council will be for a period of two years.
    • The nominees of the concerned Ministries/Departments/Organisations, not below the rank of Joint Secretary to the Government of India, will be ex-officio members of the Council.
    • Joint Secretary, Department for Promotion of Industry and Internal Trade will be the Convener of the Council.

    Various functions

    • The Council will suggest measures to foster a culture of innovation amongst citizens and students in particular, promote innovation in all sectors of economy across the country
    • It will also suggest measures to facilitate public organizations to assimilate innovation with a view to improving public service delivery, promote creation, protection and commercialization of intellectual property rights.
    • It would suggest making it easier to start, operate, grow and exit businesses by reducing regulatory compliances and costs, promote ease of access to capital for startups, and incentivize domestic capital for investments into startups.
    • It would also mobilize global capital for investments in Indian startups, keep control of startups with original promoters and provide access to global markets for Indian startups.
  • 22nd January 2020| Daily Answer Writing Enhancement

    The topics covered in the upcoming AWE on 23rd January are:

    Q.1) History of the world including events from the 18th century.

    Q.4) Case Studies 

     

    Question 1)

    A good mix of both Gandhian and Nehruvian socialist ideals has ensured the development fruits to reach all citizens. Discuss the difference in the approach of Gandhi and Nehru to the issue of Socialism as a goal of National Policy and also discuss the impact of their views on our Constitution and Government policy. (15 Marks)

    Question 2)

    To what extent has the introduction of electoral bonds been successful in dealing with the electoral malpractices? (15 Marks)

    Question 3)

    Indian security agencies have evolved a lot and have been dealing successfully with the threat of terrorism in recent years. Elaborate. (15 Marks)

    Question 4)

    In the face of acute famine in the district, you, as an area officer, have instructed your subordinates to procure food grains from the FCI godowns located in the adjoining districts. This would make the food grains available to the public through PDS shops. Considering the gravity of the situation, this task has to be done immediately, because the majority of the people in the district are poor, and therefore can’t buy the food at the market prices. However, you were told that all the truck operators have formed a cartel and are asking for three times the usual transportation rate, in order to exploit the situation. This would nullify your effort, as the prices of the food grains would increase due to high transportation charges. (a) Following are some suggested options. Please evaluate the merits and demerits of each of the options: 1) Threaten the truck owners of severe consequences if they do not fall in line and cancel their transportation permits. 2) Transport the food grains by Railways, though it may take a week. 3) Agree to pay the truck owners the transportation charges they are demanding, so as to ensure the availability of food grains, but searching for alternative and affordable transportation. However, take legal actions against the truck owners at a later time. 4) Asking the state government for sending some help. (b) Also indicate (without necessarily restricting to the above options) the course of action you would like to follow, giving proper reasons for the same. (15 Marks)

    Reviews will be provided in a week. (In the order of submission- First come first serve basis). In case the answer is submitted late the review period may get extended to two weeks.

    *In case your answer is not reviewed in a week, reply to your answer saying *NOT CHECKED*. If Parth Sir’s tag is available then tag him.

    For the philosophy of AWE and payment, check  here: Click2Join

  • [op-ed of the day] Delhi-Davos disconnect-India must find ways to take advantage of new opportunities

    Context

    Given its increased heft in the global economic order, India ought to be at the leading edge of the current debate of the future of capitalism.

    The emergence of “stakeholder capitalism”

    • Interests of all shareholder: Klaus Schwab, who founded the World Economic Forum 50 years ago, wants capitalists to look beyond their shareholders and consider the interests of all the stakeholders.
      • Long overdue debate: Some hope that the debate on stakeholder capitalism is a long-overdue recognition of the capitalist excesses of recent decades.
    • Generating value for customers: Last August, the Business Roundtable in the US, which brings together some of the top American corporates, said American companies must now generate value for customers.
      • Invest in their employees.
      • Deal fairly with suppliers and support the communities in which they operate even as they service their shareholders.
    • Scepticism over “interests of all shareholders”: Sceptics say that this is a nice way of saying the right things, repackaging old ideas on corporate social responsibility and creating illusions about reforming capitalism.
      • Cynics insist that it will be business as usual for the world’s capitalists.
      • Reflection of deeper crisis: Beyond this divide between optimists and pessimists, the discourse on “stakeholder capitalism” is a reflection of the deeper crisis afflicting the global economy today.

    Three major challenges according to WEF

    • In its annual survey on global risks, the WEF has identified many challenges. Three of them stand out.
    • First Challenge: Polarised politics
      • In the US Trump is unlikely to be defensive.
      • While the dominant sentiments see Trump as the very embodiment of nationalism and populism that are polarising politics around the world.
      • Others point to the structural conditions that have bred these forces.
      • America’s working-class whose wages haven’t risen in decades, whose jobs are less secure than ever rallied behind Trump.
      • Politics in the US: Much the same happened in the British elections last year.
      • Tory leader Boris Johnson won a sweeping mandate by breaking into the working-class strongholds of the Labour Party.
    • Second Challenge: Trade war
      • Trump had a long record of denouncing free trade.
      • Many had hoped that Trump will moderate his anti-globalist rhetoric once in office.
      • Attack on a core principle of globalisation: Trump has taken a pickaxe to the core principles of the globalised economic order – free trade, open borders and multilateralism.
      • Renegotiating the treaties: The US has renegotiated a 25-year old trade agreement with America’s neighbours, Canada and Mexico.
      • The threat of all-out-trade war with China: Trump’s threat of an all-out trade war with China over the last couple of years has led to an interim agreement.
      • The agreement commits Beijing to reduce its trade surplus with the US by importing more.
      • The trade deficit of the US with EU: At Davos, Trump is expected to turn his ire on the EU, which has a near $200 billion trade surplus with the US.
    • Third challenge: Technology
      • War in technology domain: The trade wars among the world’s major capitalist centres is accentuated by the technological revolution, especially in the digital domain.
      • Need for coordination: The Davos report on global risks argues that the realisation of the full potential of new technologies depends on unprecedented coordination among all stakeholders.
      • Digital fragmentation: What is emerging instead is “digital fragmentation” marked by the extension of geopolitical and geo-economic rivalries into the new domain.
      • Digital issues have come to the front and centre of American arguments with Europe.

    Conclusion

    • India must find ways to take advantage of the new opportunities from the unfolding rearrangement of the global capitalist system.

     

  • [op-ed snap] Acting in concert

    Context

    The EU-India Strategic Partnership has come a long way in recent years. The relationship is based on long-standing shared values and interests. There are numerous opportunities to unleash the full potential of EU-India cooperation.

    India-EU Cooperation on Climate Change

    • The EU has committed to becoming carbon neutral by 2050.
    • But EU member states together only account for 9 per cent of global emissions.
    • Need to engage with the rest of the world:  EU-India cannot solve this problem unless they engage with the rest of the world to address it.
      • India’s commitment, as one of the biggest democracies in the world, is a key part of the solution.
      • The mixed outcome of the COP25 Climate Conference shows how much more remains to be done.
      • Clean Energy and Climate Partnership (CECP): In 2016 Prime Minister Narendra Modi and European leaders agreed on an EU-India Clean Energy and Climate Partnership (CECP).
      • EU and International Solar Alliance: In 2018, the EU joined efforts with the International Solar Alliance, headquartered in India.

    Cooperation in trade

    • Both are the members of WTO: India and EU both agree on the vital role of the World Trade Organisation (WTO) and the need to overcome the crisis of the dispute settlement system.
      • Ministerial dialogue: The launch of a regular ministerial dialogue on economic, trade and investment issues could give additional impetus to the relations.

    Cooperation on security

    • Indian Navy vessels are now escorting World Food Programme ships in the framework of the EU Atlanta operation against piracy off the coast of Somalia.
    • Cooperation on anti-terrorism: Counter-terrorism experts from Europe and India exchange experiences and best practices.
      • As a result, an enhanced working relationship between our police officers is taking shape.

    Digital economy and cyber

    • Need to deepen cooperation: EU and India should deepen cooperation to protect fundamental freedoms in cyberspace and the free flow of data – and counter the drift towards high-tech “de-coupling”.
    • India-EU does not want a split in cyberspace, forcing both to “choose sides” between competing systems and standards.
    • India and EU both believe in fair competition, based on global standards, for 5G, AI, big data and the internet of things.

    Conclusion

    There is much that the EU and India have accomplished in recent years. But there is even more to be done to further strengthen our dynamic dialogue and cooperation in all areas of mutual interest and as players on the world stage.