Note4Students
From UPSC perspective, the following things are important :
Prelims level: VDA's
Mains level: Virtual Digital Assets (VDA) and Terror Financing
Context
- No Money for Terror conference hosted by the Union Ministry of Home Affairs concluded with a commitment from the 93 participating nations to end all financing of terror, including through the use of emerging digital technologies such as VDAs.
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Concerns regarding virtual digital assets
- VDAs for illicit activities: The concerns around the misuse of VDAs for illicit activities require careful legislative responses and forward-looking regulatory guardrails.
- Non reporting and non-transparency: On a fundamental level, these concerns stem from a lack of reporting and transparency norms, and an absence of international consensus on regulatory design.
- Lack of reliable data: The Reserve Bank of India’s (RBI) Deputy Director highlighted the difficulty in regulating VDAs, given the lack of reliable data on VDA transactions.
- Unregulated transactions: This allows bad actors to engage in unchecked transactions and defraud investors, as evinced by one of the (erstwhile) largest VDA exchanges FTX.
India’s role in regulating the VDA
- Leveraging G20 Presidency: As one of the highest-ranked countries in terms of VDA adoption, and now with the G20 presidency, India has a critical role to play in shaping the global regulatory environment.
- Empowering anti-money laundering authorities: In the short term, a viable approach for India is in taking the industry and the investor into confidence by allowing anti-money laundering (AML) authorities visibility over VDA transactions, and the power to impose controls upon them and prosecute in the event of any misuse.
- India should adopt FATF guidelines: There are several international templates to this effect. The Financial Action Task Force Guidelines on Virtual Asset Transactions (FATF Guidelines) are a case in point, which have been adopted by various jurisdictions, including the EU, Japan and Singapore.
- Minimum anti-money laundering standards: The FATF prescribes minimum Anti-money laundering standards that countries should employ to prevent the likelihood of misuse, and the FATF Guidelines prescribe the same for VDA transactions.
- Licensing and reporting of VDAs: The Guidelines are applicable to VDA service providers of member states like India. Key features of the FATF Guidelines include licence/registration requirements and extensive reporting and record-keeping obligations for VDA service providers.
- Travel rule obligations: One such obligation is the Travel Rule, which requires service providers to record the originator and beneficiary’s account details, transaction amount, and purpose of transaction for all wire transfers.
- Verifying identity above certain threshold: Customer due diligence obligations, which include verifying the customer and beneficiary’s identities should be conducted for all transactions exceeding $1,000.
- Obligation on service provider: The FATF Guidelines also require VDA service providers to perform enhanced due diligence obligations (such as corroborating the customer’s identity with a national database or potentially tracing the customer’s IP address to ensure there are no links to illicit activities) when a transaction is with a higher-risk country.
What are India’s current laws to regulate VDA?
- PMLA includes reporting obligation: India’s existing Anti-money laundering framework under the Prevention of Money Laundering Act, 2002 (PMLA) already applies these regulatory tools over traditional financial institutions. Notably, the PMLA also includes reporting obligations for overseas transactions that fall under the ambit of “suspicious transactions” under the framework.
- PMLA doesn’t apply to VDAs: Currently, the PMLA does not apply to the VDA industry.
- government can bring VDA under PMLA: The government has the power to notify any “designated business or profession” as a reporting entity under the PMLA and can issue a notification that classifies VDA service providers as a designated business.
Conclusion
- With the Digital Data Protection Bill and the Digital India Act already in the pipeline, Indians and digital businesses will soon have a coherent rights and responsibility framework to operate within. The time is ripe to extend regulatory oversight over the VDA industry so as to ensure that tech-innovation flourishes in a responsible, accountable manner.
Mains Question
Q. How virtual digital assets and terror financing are interlinked? What is the role of PMLA act in regulation of VDA in India?
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Emmployment issues
Context
- Mass prosperity for massive populations is hard. India’s large remittances from a small population overseas and IT sectors employability reinforce that our mass prosperity strategy should be human capital and formal jobs.
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Why human capital formation is effective tool for mass prosperity?
- Disproportionate contribution of IT employees: A strong case for human capital-driven productivity is our software employment — 0.8 per cent of workers generate 8 per cent of GDP.
- Remittance by NRIs: This case is reinforced by remittances from our overseas population of less than 2 per cent of our resident population crossing $100 billion last year.
- Shift towards formal employment: A World Bank report suggests that the qualitative shift during the previous five years from low-skilled, informal employment in Gulf countries (dropped from 54 per cent to 28 per cent) to high-skilled formal jobs in high-income countries (increased from 26 per cent to 36 per cent) is significant.
- Remittances are higher than FDI: Our rich forex remittance harvest roughly 25 per cent higher than FDI and 25 per cent less than software exports is fruit from the tree of human capital and formal jobs.
- Credit availability is bigger issue: Monetary policy is, at best, a placebo, painkiller, or steroid especially since credit availability is a bigger problem in India than credit cost.
- Source of finance is important than expenditure: Global experience suggests where governments spend money (pensions, interest, salaries, education, healthcare, roads, etc) and how this spending is financed (taxes or debt) matters more than how much is spent (about Rs 80 lakh crore in India this year).
- Fiscal policy tends to overshoot: Covid made enormous fiscal and monetary policy demands, but the bigger the binge, the bigger the hangover. Western central banks are struggling to shrink their balance sheets because they used what Harvard’s Paul Tucker calls “unelected power” to chase goals outside their mandate, administer medicine with poorly understood side effects, and speed down highways with no known return paths.
- India avoided the fiscal and monetary trap: Rich-country borrowing rates have risen by 300 per cent plus and inflation hurts the poor the most. India avoided these fiscal and monetary policy excesses. This prudence now combines with previous structural reforms (GST, IBC, MPC, UPI, DBT, NEP, etc) and a reform “tone from the top” to create a fertile habitat for productive citizens and firms.
What should be the strategy in next fiscal year for employment generation?
- Targeting the job creation: The Finance Bill must target productivity and continuity by legislating human capital and formal job reforms previously proposed.
- NEP should be implemented in 5 years: It should reduce the implementation glide path for the powerful National Education Policy 2020 from 15 years to five years.
- Abolishing the licensing: It should abolish separate licensing requirements for online degrees and freely allow all our 1,000-plus accredited universities to launch online learning.
- Accelerating apprentices: It should accelerate growing our 0.5 million apprentices to 10 million by allowing all universities to launch degree apprentice courses under tripartite contracts with employers under the Apprentices Act.
What are the other steps that can be taken through next budget?
- Notify labour code: It should notify the four labour codes for all central-list industries while appointing a tripartite committee to converge them into one labour code by the next budget.
- Universal enterprise number: It should continue EODB reforms by designating every enterprise’s PAN number as its Universal Enterprise Number.
- Remove the factory act: It should explore manufacturing employment by abolishing the Factories Act this painful Act accounts for 8,000 of the 26,000 plus criminal provisions in employer compliance and require all employers to comply under each state’s Shops and Establishment Act (like Infosys, TCS, and IBM India do).
- Ensuring better compliances by employer: It should create a non-profit corporation (like NPCI in payments) that will operate an API-driven National Employer Compliance Grid and enable central ministries and state governments to rationalise, digitise and decriminalise their employer compliances.
- Making EPFO contribution optional: Making employees’ provident fund contributions optional but raising employer PF contributions from the current 12 per cent to 13 per cent. It should notify a previous budget announcement to create employee choice in their contributions to health insurance (ESIC or insurance companies) and pensions (EPFO or NPS).
- Subsidy to high wage employer: Most importantly, it should link all employer subsidies and tax incentives to high-wage employment creation (a difficult-to-fudge and easy-to-measure effectiveness metric for this public spending is employer provident fund payment).
Conclusion
- Experience and evidence now firmly suggest the odds of mass prosperity in the planet’s most populous nation rise from possible to probable by anchoring our strategy in human capital and formal jobs rather than fiscal or monetary policy.
Mains Question
What are the limitations of Fiscal and monetary policy in mass welfare of people? What are the possible strategies for creation of mass prosperity in India?
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Transgenic technology and its applications
Mains level: Advantages and disadvantages of Genetically modified Crops and Transgenic Technology
Context
- The Supreme Court’s Technical Expert Committee and two unanimous reports of multi-party parliamentary standing committees have recommended that genetically modified (GM) Herbicide Tolerant (HT) crops should be banned in India.
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Why transgenic technology is worrisome?
- Uncontrollable and irreversible: Transgenic technology, unlike other technologies, is uncontrollable and irreversible after environmental release.
- Self-propagation and proliferation: Living Modified Organisms (LMOs), as the Cartagena Protocol on Biosafety refers to Genetically Modified Organisms (GMOs), propagate themselves and proliferate.
- Long term assessment is necessary: This process cannot be reversed. Therefore, any deliberate environmental release has to be only after thorough, independent, peer-reviewed assessment of long-term implications.
- Precaution is necessary: The precautionary principle is a cornerstone because of the unpredictability and time lag of serious outcomes manifesting in highly complex living systems, and their irreversibility. To draw a parallel, not a single one of 330 invasive species (for example, lantana, parthenium) in India has yet been eliminated, despite estimated damage of Rs 8.3 trillion by just 10 of them!
Reality check on GM crops
- Less countries adopted GM technology: More than 25 years after their introduction, GM crops are still globally grown in just 29 out of 172 countries. Moreover, 91 per cent of GM crop area continues to be in just five countries (USA, Brazil, Argentina, Canada, India).
- BT cotton demand is declining: Most countries of Europe and Japan, Israel, Russia, Malaysia etc., do not grow GM crops. In China, a first adopter, Bt cotton area has been declining and non-GM hybrid technology is used for rapeseed/mustard.
- Heavy focus on two traits only: Only two traits are present in over 85 per cent of GM crops grown herbicide tolerance (HT, where crop plants are modified to withstand large amounts of toxic weed-killing chemicals), and/or insect resistance (pesticidal toxin, usually Bt, is produced inside the plant).
Negative impact of HT crops
- Damage to ecology: HT crops result in not only ecological damage, but human health impacts for consumers. Like tobacco, once declared safe, the effects take long to manifest.
- Honey production will be affected: Beekeepers say that HT mustard will affect honey production and contaminated honey will damage exports.
- Human health will be affected: As regards human health, probable carcinogenicity, neuro-toxicity, reproductive health problems, organ damage etc. have been documented by independent research on GM crops and associated herbicides, once claimed by developers and regulators to be “safe”.
- Campaign against release of GM crops: Like thousands of doctors in other countries, over 100 eminent Indian doctors have conveyed their concerns asked that no HT food crops be released and the planted GM mustard be uprooted before flowering.
- Proponent says Mustard is not a HT crop: It is claimed that DMH-11 is not an HT crop as the use of the Bar gene which confers an herbicide tolerance trait is essentially for the pollination control technology in creating hybrids, and glufosinate herbicide will only be used during seed production.
- Opponent says it’s a HT crop: The reality is that by virtue of the Bar gene being present in both parental lines, and thereby also in all their hybrid offspring, this GM mustard can withstand application of a toxic weedkiller, glufosinate, including in farmers’ fields. It should therefore have been assessed as an HT crop.
- Government failed to prevent illegal use of HT cotton: If governments, for over 10 years, have been aware of the illegal planting of herbicide tolerant cotton and rampant illegal use of glyphosate on such HT cotton, and have been unable or unwilling to stop this, what “regulatory process” will now prevent farmers in search of low-cost weeding options from spraying glufosinate on herbicide tolerant mustard?
What are the observations of SC and parliamentary Committee?
- Absence of regulatory protocol: The ongoing litigations in the Supreme Court are about serious shortcomings in our regulatory regime. Minutes of meetings of the regulatory body GEAC and the “guidelines and protocols” on the regulator’s website reflect an absence of regulatory protocols for HT crops.
- Inadequate bio testing: And yet a crop with an HT trait is being released in the environment! The technical expert committee (TEC) appointed by the SC and the unanimous multi-party reports of two parliamentary standing committees have exposed serious lapses and inadequacies in bio-safety testing.
- Against the release of GM crops: They all advised that herbicide tolerant crops, which GM Mustard is, should not be released in Indian conditions.
- Government panel recommended the ban: Even the government-nominated experts in the TEC asked for a ban on HT crops. The government, surely, cannot call them unscientific.
- No independent participant in testing: Testing on GM mustard has been done with test protocols evolved by the crop developer, and most tests were done by the applicant. No independent health expert participated in the committees that looked at GM mustard safety.
- No biosafety data: To this day, biosafety data of GM mustard has not been posted on the regulator’s website for independent scrutiny.
Conclusion
- GM crop transgenic technology comes with mixed baggage. Government must strike the balance between biodiversity concern and welfare of farmers. Outright ban or permission without credible data and scrutiny must be avoided.
Mains Question
Q. What are the worrisome aspects of transgenic technology? What are the observations of Supreme court and parliamentary committee regarding GM crops?
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: World Ayurveda Congress (WAC), 2022
Mains level: World Ayurveda Congress, Traditional medicines and modern medicines integrated approach.
Context
- Prime Minister Narendra Modi commended the recent growth of traditional medicine (TM), and Ayurveda in particular, while addressing the World Ayurveda Congress 2022 (WAC) earlier this month. Noting the lag in evidence despite considerable research, he gave a clarion call “to bring together medical data, research, and journals and verify claims (benefit) using modern science parameters”.
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All you need to know about World Ayurveda Congress (WAC)
- Platform by World Ayurveda foundation: The World Ayurveda Congress (WAC) is a platform established by World Ayurveda Foundation to propagate Ayurveda globally in its true sense.
- Platform to connect various stakeholders in medicine: World Ayurveda Congress (WAC) is a platform to connect Ayurveda practitioners, medicine manufacturers, enthusiasts and academicians.
- What is the mandate: World Ayurveda Congress (WAC) & Arogya Expo monitors progress and initiate missions and collect feedbacks.
World Ayurveda Congress (WAC), 2022
- 9th edition of WAC held at Panjim, Goa: The 9th edition of World Ayurveda Congress (WAC) & Arogya Expo was organized at PANJIM, GOA.
- Organised by Ministry of AYSUSH on the principle of whole government approach (WGA): The WAC organised by the Ministry of AYUSH on the ‘Whole Government Approach’ (WGA) to foster and strengthen the research ecosystem for AYUSH systems.
- What is Whole System Approach (WSA): The concept of WGA is in consonance with the “Whole System Approach” (WSA). WSA encompasses integrated and network participation of several stakeholders (including patients and the community) for better solutions (treatment outcomes) in a challenging and complex situation. IM is an important component of WSA in the current context.
- Active Participation: The event witnessed the active participation of more than 40 countries and all states of India.
- PM’s vision: To transform the healthcare system of the country and to develop a healthy society, there is a need to think holistically and integrate the Traditional medicine (TM) and modern medicine system (MM).
World Ayurveda Foundation (WAF)
- Aim of WAF: WAF is an initiative by Vijnana Bharati aimed at global propagation of Ayurveda, founded in 2011.
- Objective and core principle: The objectives of WAF reflect global scope, propagation and encouragement of all activities scientific and Ayurveda related are the core principles.
- Focus Areas: Support to research, health-care programmes through camps, clinics and sanatoriums, documentation, organization of study groups, seminars, exhibitions and knowledge initiatives to popularize Ayurveda in the far corners of the world are the broad latitudes of focus at WAF.
What is Traditional Medicine?
- According to WHO: The WHO describes traditional medicine as the total sum of the “knowledge, skills and practices indigenous and different cultures have used over time to maintain health and prevent, diagnose and treat physical and mental illness”.
- Culmination of multiple ancient practices: Its reach encompasses ancient practices such as acupuncture, ayurvedic medicine and herbal mixtures as well as modern medicines.
- Percentage of people use traditional medicine: of According to WHO estimates, 80% of the world’s population uses traditional medicine.
Traditional medicine in India
- It is often defined as including practices and therapies such as Yoga, Ayurveda, Siddha that have been part of Indian tradition historically, as well as others such as homeopathy that became part of Indian tradition over the years.
- Ayurveda and yoga are practised widely across the country.
- The Siddha system is followed predominantly in Tamil Nadu and Kerala.
- The Sowa-Rigpa System is practised mainly in Leh-Ladakh and Himalayan regions such as Sikkim, Arunachal Pradesh, Darjeeling, Lahaul & Spiti.
How TM modalities (such as Ayurveda or homoeopathy) can scientifically align with MM for a better outcome?
- Remarkable success in treating neurological diseases: A recently established Department of IM in NIMHANS continued to show remarkable success in treating difficult neurological diseases with a team of Ayurvedic and MM physicians and carefully planned and monitored IM strategy.
- CRD projects: Modern rheumatology practice in the Centre for Rheumatic Diseases (CRD) model includes critical elements of TM and Ayurveda, which have shown unequivocal evidence in CRD research projects
- Evaluation based on other protocols: Several controlled protocols-based evaluations of standardised Ayurvedic drugs and other TM modalities (such as diet, exercise, yoga, and counselling), often in conjunction with MM, in arthritis patients, were completed.
- Sustained clinical improvement in patients suffering from active Rheumatoid arthritis (RA): RA is a severely painful crippling lifelong autoimmune condition, mostly seen in women, and universally acknowledged as difficult to treat. Supervised and monitored IM intervention (including Ayurvedic drugs) over several years showed a consistently superior and sustained clinical improvement in patients suffering from active RA.
- AYUSH systems include Ayurveda, Homeopathy, Unani, Siddha, and other TM.
- AYUSH systems and MM differ radically in several ways or so it seems.
- Modern scientific research in Ayurveda is often at variance with classical Ayurveda.
- Unlike MM, TM has at its core a personalised approach. MM is dominantly reductionist.
- The ambitious futuristic programme of TM and IM by AYUSH is well-intended and in the right direction.
Conclusion
- TM and Ayurveda need to respond to the new world order, which has changed substantially recently. It is reasonably certain that MM and TM in the current format will continue to treat several medical disorders and altered health states. But evidence-based medicine will become the new mantra. Also, informed and empowered patients and people will continue to make the right choices.
Mains question
Q. What is World Ayurveda congress? What is tradition medicines? How Traditional medicines can align with modern medicines to treat several serious medical disorders.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: ASAT, space debris and related facts
Mains level: Space weaponization why ASAT test band is important
Context
- There is growing momentum behind a global moratorium on destructive kinetic anti-satellite (ASAT) tests. A few days ago, the United Nations General Assembly (UNGA) passed a resolution calling for a ban on kinetic ASAT tests.
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What the resolution is all about?
- Sponsored by United states: The resolution was sponsored by the United States along with a number of other countries that have been concerned about the consequences of ASAT tests on the safety and sustainability of outer space.
- Majority voted in support: As many as 155 countries voted in support of the resolution, nine voted against it, and nine others abstained.
- Those who voted against the resolution: Belarus, Bolivia, Central African Republic, China, Cuba, Iran, Nicaragua, Russia, and Syria.
- Countries with abstention: The nine abstentions were India, Laos, Madagascar, Pakistan, Serbia, Sri Lanka, Sudan, Togo, and Zimbabwe.
Provisions of the resolution over the ban of ASAT
- No binding effect but urges to prevent arms race in outer space: The ASAT test-ban resolution has no binding effect on states and simply calls on states to put a stop to ASAT tests and to develop further practical steps and contribute to legally binding instruments on the prevention of an arms race in outer space.
- Other space related resolutions also passed: Along with the ASAT test-ban resolution that was passed on December 7, there were several more space- and nuclear-related resolutions, including No First Placement of Weapons in Outer Space (NFP).
- Support to minimize risks in space: Indeed, the resolution continues to support the broader efforts at developing “further practical steps” to minimize risks in space.
What is ASAT?
- ASATs (Anti-Satellite Weapons): According to a document of the United Nations Institute for Disarmament Research (UNIDIR), ASATs (Anti-Satellite Weapons) are aimed at destroying or disabling space assets, whether military or civilian, offensive or defensive.
- They are generally of two types: kinetic and non-kinetic.
- Kinetic ASATs: They must physically strike an object in order to destroy it. Examples of kinetic ASATs include ballistic missiles, drones or any item launched to coincide with the passage of a target satellite. This means any space asset, even a communications satellite, could become an ASAT if it is used to physically destroy another space object.
- Non-kinetic ASATs: A variety of nonphysical means can be used to disable or destroy a space object. These include frequency jamming, blinding lasers or cyberattacks. These methods can also render an object useless without causing the target to break up and fragment absent additional forces intervening.
- Threat to peaceful utilization of outer space: ASAT tests represent a direct threat to peaceful utilization of outer space on which everyone in the global community depends.
- Threat to safety of satellites: In recent years, there has been a spurt in activities that threaten the safety and functioning of satellites. The November 15, 2021, ASAT test by Russia, which destroyed the Cosmos 1408 satellite, is a case in point.
- Space debris a potential hazard to Space station: The test created about 1,800 tracked pieces of space debris and possibly many more pieces that are difficult to track, and a hazard for astronauts aboard the International Space Station
- Rare, high-tech, and risky to test: ASAT is an anti-satellite weapon that can target enemy satellites, blinding them or disrupting communications besides providing a technology base for intercepting ballistic missiles.
Way ahead
- There are other initiatives underway in the U.N., such as the Open-Ended Working Group (OEWG) on reducing space threats through norms, rules, and principles of responsible behaviours.
- Like the ASAT test ban, these are needed to make progress on the broader space security agenda.
- Whether a legal measure or a norm, states have to take small preventative steps before space becomes completely a warfighting domain.
Conclusion
- Given the worsening space security conditions, with more countries pursuing development of ASATs and other counterspace capabilities, it is time that more countries join the current initiative to stop further ASAT tests. Unless countries can make a conscious decision to come together and work on ways to halt the current trends with regard to space weaponization, continued access to outer space is not a given.
Mains question
Q. What are ASATs? There is growing momentum behind a global moratorium on destructive kinetic anti-satellite (ASAT) tests. In light of this discuss Why ASAT must be banned?
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Climate change and associated migration
Context
- Climate-induced displacements have increased both in numbers and magnitude worldwide. According to the Internal Displacement Monitoring Centre’s (IDMC) report, 23.7 million people experienced displacements in 2021 as a result of cyclones and floods.
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Estimates about Migration
- IOM estimates: The International Organisation on Migration (IOM) estimates that on a global scale, between 25 million and 1 billion people would be compelled to migrate from their homes because of climate change and environmental degradation by 2050.
- Situation in south Asia: South Asia is no exception to it. Disasters cause most of the internal displacements occurring in South Asia every year, and in the year 2021, nearly 5.3 million disaster displacements were reported.
- CANSA Report: The Climate Action Network South Asia (CANSA) reports that approximately 45 million people in India alone, shall be compelled to migrate by 2050 due to climate disasters, with a threefold increase in current figures.
How women and children are most vulnerable?
- UN report: The United Nations asserts that around 80 percent of climate change displaces include women.
- Global International Migrant Stock: The present share of women migrants in the Global International Migrant Stock oscillates between 48 percent and 52 percent, as they frequently experience ‘triple discrimination’ given their positions as women, unprotected workers and migrants.
- Developing countries are most vulnerable: The situation becomes even more precarious in developing countries like India, Bangladesh, Myanmar, and several small island nations in the Pacific Ocean.
- Violence is likely: Women uprooted due to climate change become more vulnerable to violence, human trafficking, and armed conflicts. For instance, a study by the Sierra Club (2018) revealed how women impacted by Cyclone Nargis in Myanmar witnessed increased occurrences of sexual and domestic abuse, forced prostitution, and sex and labour trafficking.
What is the New York Declaration on international Migration?
- Global compact for migration (GCM): It mandated the adoption of the Global Compact for Safe, Orderly and Regular Migration (GCM) in 2018 and for the first time, a comprehensive framework recognising the concept of climate change-induced migration within the broader concept of international migration was developed.
- Global compact on refugee: The Declaration also paved the way for an adoption of a Global Compact on Refugees (GCR) in the same year, but an extension of refugee law to cater to the needs of those displaced by the forces of climate change does not really resolve this humanitarian concern.
- More investment in research: It also highlights the need for pumping in more investments towards research to tackle the challenges of environmental migration and rests on important climate change mitigation instruments like the Paris Climate Agreement, Sendai Framework for Disaster Risk Reduction, and the United Nations Convention to Combat Desertification (UNCCD).
- Share responsibility on states: The Zero Draft of the GCM itself highlights how it sets out shared responsibilities of the states in commitment to the causes of migration– showing how the GCM relies on the countries having a sense of moral responsibility for the fulfilment of its goals and objectives.
Discussion in COP27 about climate migration
- Global goal on adaptation: The 2022 Conference of the Parties’ (or COP27) summit was seen as a platform that would lend visibility to the concept of climate migration, especially in light of how a work programme for defining a Global Goal on Adaptation (GGA) towards identifying collective needs and solutions in light of the ongoing climate crisis that has already affected so many countries around the world, was established in the 2021 COP26 summit.
- Lack of progress on migration: While COP27 established a framework towards the attainment of the GGA (likely to be adopted in 2023 at COP28), its progress towards protecting and assisting climate migrants remains in a state of limbo.
- Task force on displacement: As highlighted in a study by the ECDM, the key problem lies in how the Task Force on Displacement has projected climate-induced mobility as a “loss and damage” concern, in turn putting forth the idea that this kind of human mobility stands as a failed adoption strategy.
- No clear reference to climate migration: Paragraph 40 of the G20 Bali Leaders’ Declaration talks about preventing irregular migration flows, the trafficking of migrants and holding such talks in the future G20 summits to come, but the term “climate migration” fails to make an appearance.
- Leverage G20 for climate migration consensus: India seeks to play a significant role in the international efforts for climate action, and its commitment can be reflected in it being party to the UNFCCC and its instruments–the Kyoto Protocol and the Paris Agreement. Its presidency could provide a platform for the G20 countries to work together in addressing the growing concerns of human mobility in forms of both migration and displacements.
- Intergovernmental dialogue: Also, knowledge gaps pertaining to human mobility because of climate change and environmental degradation can be addressed through intergovernmental dialogues to be held at the G20 platform under India’s Presidency.
Conclusion
- Policymakers meet to discuss the several concerns of climate change at various platforms, progress concerning any support for the climate migrants remain insufficient till date, resting on goodwill gestures instead. World must pay attention and money to firmly address the climate migration issue.
Mains Question
Q. What is climate induced migration? How women and children are most vulnerable to climate migration? What role India can play to address the issue?
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Methane, MARS system, OGMP
Mains level: Methane, MARS system, framework, OGMP and India
Context
- The Methane Alert and Response System (MARS) initiative was launched by the United Nations Environment Programme (UNEP) at the 27th Conference of Parties (COP27) to the United Nations Framework Convention on Climate Change on November 11, 2022. Is it right to say that India not joining the Oil & Gas Methane Partnership is a missed opportunity?
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Methane a Toxic greenhouse gas
- A major greenhouse gas: Methane is the second-most common of the six major greenhouse gases, but is far more dangerous than carbon dioxide in its potential to cause global warming.
- One of major contributor of GHG emissions: Contribution Accounting for about 17 per cent of the current global greenhouse gas emissions.
- One of the key reasons behind Temperature rise: Methane is blamed for having caused at least 25 to 30 per cent of temperature rise since the pre-industrial times.
- Methane largely a Sectoral gas: Unlike carbon dioxide, methane is largely a sectoral gas, and there are only a few sources of emission.
- Few sources large emissions of methane: The global warming potential of methane is about 80 times that of carbon dioxide. It accounts for a small portion of human-induced greenhouse gas emissions compared to carbon dioxide.
Did you know? Global Methane pledge
- The global methane pledge was adopted during COP26.
- Under it, countries agreed to reduce global methane emissions by 30 per cent by 2030.
- This will help to limit global warming to 1.5 degrees above pre-industrial levels.
- into the right hands for emissions mitigation.
What is Oil and Gas Methane Partnership (OGMP)?
- A methodology to help companies reduce methane emissions: The Oil and Gas Methane Partnership (OGMP) methodology was created by the Climate and Clean Air Coalition in 2014 as a voluntary initiative to help companies reduce methane emissions in the oil and gas sector.
- The Oil & Gas Methane Partnership 2.0: OGMP 2.0 is a multi-stakeholder initiative launched by UNEP and the Climate and Clean Air Coalition. The OGMP 2.0 is the only comprehensive, measurement-based reporting framework for the oil and gas industry that improves the accuracy and transparency of methane emissions reporting in the oil and gas sector.
- Companies joined the partnership: Over 80 companies with assets on five continents, representing a significant share of of the world’s oil and gas production, have joined the Partnership. OGMP 2.0 members also include operators of natural gas transmission and distribution pipelines, gas storage capacity and LNG terminals. The members constitute around 35 per cent of the total global oil and gas production and two-thirds of the total liquefied natural gas flows around the world
- MARS is a part of global efforts to slow climate change by tracking the global warming gas.
- The system will be the first publicly available global system to connect methane detection to notification processes transparently.
- The data-to-action platform was set up as part of the UN Environment Programme’s (UNEP) International Methane Emissions Observatory (IMEO) strategy to get policy-relevant data
How many countries and companies are engaged with the MARS initiative and is India involved?
- The system was requested by the United States and the European Union but it is in the service of the entire world.
- There are no Indian companies that have joined the OGMP.
Conclusion
- MARS is a satellite-based system to help industries and governments detect and reduce methane emissions. This will help UNEP confirm methane emissions reported by companies and analyze changes over time. India should consider this as an opportunity to cooperate in reducing methane emissions
Mains question
Q. Methane is 25 times more potent as a greenhouse gas than carbon dioxide and currently contributes about a quarter of global warming. In light of this, what does it mean to engage with the OGMP and MARS system?
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Economic inequality In India, Welfare state and the relation between state, citizen and taxation
Context
- Economic inequality in India impacts every aspect of our everyday lives, despite the country being a welfare state. As we celebrate 75 years of Independence, the poor citizens of India continue to face increased fiscal burden in the form of inflation and higher taxes, with fewer benefits.
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“No taxation without representation”
- This slogan played a crucial role in the freedom movements of India and the United States.
- The statement indicates the relationship between the state, citizens and taxation.
- A concept of welfare state: The legitimacy of taxation is derived from the welfare done by the government.
- Government’s role: The Constitution of India envisaged the state’s role as a welfare one. For that, the government is empowered to administer taxes and their transfer.
- However, in the year of Azadi ka Amrit Mahotsav, ‘transfers’ are being painted as revadi (freebies) and the lives of poor citizens are being burdened by regressive “taxes”
- Inflation as a hidden tax: Inflation acts as a hidden tax on poor and middle-class citizens. For instance, at the time of the introduction of the central scheme Pradhan Mantri Kisan Samman Nidhi or PM-KISAN, which gave Rs 6,000 cash benefit to farmers, diesel cost Rs 65 per litre. Thus, fuel inflation devours the cash benefit of this scheme
- Highway taxation in contrast with the idea of a welfare state: The roadways are meant to be available free of cost, being public goods. However, Privatisation and PPP models, such services now demand a fee. In the financial year 2021-2022, the government mopped up Rs 35,000 crore as toll tax. The same is projected to reach Rs 1.34 lakh cr by 2025.
- The diversion of funds meant for one to other sectors is an implicit fiscal burden: The road cess that was intended to fund the construction of roads is diverted to other projects, while citizens are charged heavy tolls for the roads, adding up to already toll burdened people.
- The case of municipal tax and user charges: When citizens pay municipal tax, the municipality is supposed to ensure cleanliness and sanitation facilities. But the Ahmedabad Municipal Corporation (AMC) introduced a “User Charge” of Rs 365 per household to make the city clean, which is 15% of the municipal tax amount.
- Discriminatory practices of the administration: Flawed administrative rules also impose fiscal costs on the poor and middle classes of society. Administration allows cars to be parked on the road with impunity, but if two-wheelers are parked on the road, they get towed.
Criticism: Discriminatory treatment to rich and poor in the name of welfare state
- Monetisation of public spaces weakens state- citizen relationship: It is said when people take ownership and responsibility of public spaces, people become citizens. It ought to be remembered that monetisation of public spaces portends to weaken the state-citizen relationship.
- The nomenclature of government language itself reflects discriminatory approach: When governments provide fiscal help to the poor, it is called revadi, but the same offered to the rich is lucratively termed “incentive”.
- Subsidised food is advertised while incentives provided to corporates are not well known: Posters for subsidised food to the poor are ubiquitous across India, but no public posters are screaming about the Rs 1.97 lakh crore “incentive” given to the corporate sector under 13 production linked incentive schemes.
- Flawed mechanism of personal details in the name of transparency: In the name of transparency, the government uploads the personal details of each Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) worker on its website; but the same government does not disclose the names of willful bank defaulters to uphold those ideals of privacy.
Conclusion
- 73% of the wealth generated in India in 2017 went to the richest 1%, while the poorest half of the population saw only a 1% increase in their wealth. When we celebrate the Azadi Ka Amrit Mahotsav, the need of the hour is to focus must be to make India economically equal and prosperous.
Mains question
Q. As we celebrate 75 years of Independence, the poor citizens of India continue to face increased fiscal burden in the form of inflation and higher taxes, with fewer benefits. Critically examine.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: SIDS, IOR, SLOC etc
Mains level: SIDS, its importance, challenges and Way ahead, India role .
Context
- The Indian Ocean Region (IOR) serves as a connecting hub for global energy and commodity trade and comprises important Sea Lanes of Communication (SLOC) and major choke points. The IOR has become central to the geostrategic aspirations of large powers with vested interests in the region. Small Island Developing States (SIDS) located in the Western Indian Ocean such as Maldives, Madagascar, Comoros, Mauritius, and Seychelles, are being dragged into the great power rivalry as a result.
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Small Island Developing States (SIDS)
- Small Island Developing States (SIDS) are a distinct group of 38 UN Member States and 20 Non-UN Members/Associate Members of United Nations regional commissions that face unique social, economic and environmental vulnerabilities.
- The three geographical regions in which SIDS are located are: the Caribbean, the Pacific, and the Atlantic, Indian Ocean and South China Sea (AIS)
- SIDS were recognized as a special case both for their environment and development at the 1992 United Nations Conference on Environment and Development held in Rio de Janeiro, Brazil.
- SIDS are strategically important: The geographical location of SIDS islands is of strategic importance, ever since the Indo-Pacific architecture materialised.
- Provides easy access and a base for replenishment: The islands provide easy access to the choke points, are located close to important SLOCs, and can serve as a base for the replenishment of resources for maritime powers conducting surveillance in the region.
- Engagements boosts maritime expanse: The bigger powers have been engaging with the islands on a larger scale to boost their presence in this maritime expanse.
Challenges faced by SIDS
- Multiple challenges: The SIDS, by nature, face multiple challenges due to their remote locations, size, fragile ecosystems, small population, and limited resources and capabilities. Most of the SIDS are classified as middle-income states, but SIDS like Comoros are among the Least Developed Countries (LDCs).
- Economies are not diversified: The economies of these states are not diversified and are highly dependent on a few sectors like tourism and fisheries.
- Climate change and losses due to natural disasters: Climate change exacerbates their challenges, adding an extra burden on their frail economies. The SIDS account for two-thirds of states that suffer the highest relative losses (1 percent to 9 percent of GDP per year) due to natural disasters.
- Rising sea levels and impact on various economic sectors: Apart from the threat of the low-lying islands going underwater in the future, rising sea levels directly impact the economic sectors of the SIDS. For instance, saltwater intrusion affects freshwater resources and diminishes the quality of agricultural land.
- Largely dependent on food imports: The SIDS are already largely dependent on food imports as 50 percent of the SIDS import more than 80 percent of their food. A further reduction in food production will increase their dependence on food imports. Self-sufficiency is a distant dream for SIDS in this aspect.
- Fishery industry a major contributor of economy facing challenges of loss of EEZ: Fish exports account for a large share of the revenue for these states. The fishery industry faces challenges of loss of Exclusive Economic Zones due to shifting baselines, and Illegal, Unreported and Unregulated (IUU) fishing.
- Rising sea temperature: Additionally, rising sea temperatures also negatively affect marine biomass in the resource-rich zones of SIDS.
- Tourism industry hampered by Pandemic: Almost 50 percent of the GDP of SIDS like the Maldives and Seychelles, depends on the tourism industry which was hampered by the pandemic. T
Powerplay and China’s maritime development strategy in SIDS of IOR
- Concerns about increasing influence China: Powers such as the US, Japan, Australia, and India are largely concerned with the increasing influence of China in the region.
- China’s island development strategy: Islands play a major role in China’s maritime security policy, as is evident by its island development strategies in the contested South China Sea and cooperation initiatives with island states in various geographies.
- Vulnerable SIDS welcomed Support initiatives from China: The SIDS have welcomed the development and support initiatives from China owing to their vulnerabilities. From a port development project in Madagascar and major infrastructure development projects in the Comoros islands to a Free Trade Agreement with Mauritius and development assistance to Maldives; China has firmly embedded its roots in the region.
- Maldives in debt trap seeks India’s assistance: When Maldives owed a debt of nearly US$1.5 billion to China in 2018, it had to turn to its traditional partner, India, for assistance to prevent an economic crisis.
- Madagascar worries about Chinese debt trap: Madagascar is also heavily surrounded by Chinese presence and involvement in its economy and is worried about being trapped in debt. Chinese-funded enterprises comprise 90 percent of the island’s economy. Chinese migrants left very few job opportunities for the locals, disrupted trade and commerce, and established a monopoly of Chinese products in the market. Such a heavy involvement of China in Madagascar puts it at a high risk of instability and political upheaval. This is a clear example of how the strategic interests of large powers can bring the SIDS to the brink of collapse.
Opportunity to discuss and maintain stability through various forums
- SAMOA pathway: SIDS Accelerated Modalities of Action (SAMOA) Pathway which is an international framework under the UN umbrella that has initiated a stronger action from the international community to support the vulnerable islands. It guides national, regional, and international development efforts to help these states achieve their Sustainable Development Goals (SDGs).
- Alliance of small Island states: Similarly, the Alliance of Small Island States is a representative body of 39 small island states that provides a platform to voice their grievances.
- Indian ocean commission: The Indian Ocean Commission is yet another intergovernmental body that consists of the islands; Comoros, Madagascar, Mauritius, Seychelles and Réunion (French overseas region).
What SIDS must do?
- The SIDS of IOR must strengthen their collaboration with each other.
- They must make a collective effort to make their challenges and issues known to the other actors.
- The SIDS should make use of the opportunity to ensure that the larger powers understand their security interests and include it in the larger security architecture
Way ahead
- In most cases, decisions regarding security in the region have been taken by the influential, and larger powers without the SIDS.
- The SIDS of the IOR can leverage their strategic position and use it to their advantage to make the larger powers acknowledge their security interests and issues.
- The need of the hour is for stronger alliances and regional groupings to emerge, with significant participation of the SIDS, so that other actors do not downplay or overlook their issues and interests.
Conclusion
- The SIDS have been advocating at various international forums for support and assistance to combat their challenges associated with resources, development, climate change, and most of all, survival. Rather than being viewed as pawns in the geopolitical competition, the SIDS must be viewed as important stakeholders in the region. This is the main change in the mindset, policies and approaches that are needed for secure and stable region.
Mains Question
Q. What is SIDS (Small Island Developing States). What is the significance of SIDS in IOR? Discuss the challenges faced by SIDS in the region and suggest a way ahead.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Right to life, right to marriage, Associated Constitutional provisions
Mains level: Intercaste/ Interfaith marriages, legislation and issues of freedom of choice and religion
Context
- Following a report in this newspaper, the Maharashtra government has decided to limit the mandate of the recently constituted Intercaste/Interfaith Marriage-Family Coordination Committee (state level) to gathering information on interfaith marriages.
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Intercaste/Interfaith Marriage-Family Coordination Committee
- Work under Women and child development: The renamed Interfaith Marriage-Family Coordination Committee will be under the state Women and Child Development Ministry.
- Will Track frauds: The committee besides providing support and rehabilitation, when necessary, ostensibly track fraud committed in the name of love jihad.
- Development come after walker case: The development came after the Shraddha Walkar case came to light in November. Walkar, 26, was murdered by her live-in partner Aaftab Poonawalla in May, 2022
- Other states with anti-conversion legislation: With states such as Uttar Pradesh and Uttarakhand already having brought in anti-conversion legislation.
What is love jihad?
- “Love jihad” is a term often used by activists to allege a ploy by Muslim men to lure Hindu women into religious conversion through marriage.
How the initiative will work?
- Will collect and keep details of interfaith marriages and ensure communication: This initiative will provide a platform for the women in intercaste/interfaith marriages and their families to access counselling, and communicate or resolve issues.
- Committee will hold regular meetings: The committee has been assigned to hold meetings with district officials, and review work on seven parameters, including, gathering information about interfaith or inter-caste marriages from stamp duty and registrar offices, and collect information on such registered or unregistered marriages, among others.
What are the concerns raised?
- Control over the lives of individual citizens: Such vigilance remains yet another indication of the State’s disproportionately burgeoning and utterly unacceptable interest in, and demand for, control over the lives of individual citizens.
- Denial of women’s own choice: It is not just violative of one’s rights of freedom and equality, it also reeks of misogyny in its steadfast denial of a woman’s choice of partner as her own free will and not an act of coercion.
- Committee can be armed: There is the IPC for all genuine complaints so the committee could be weaponised.
- It will limit the freedoms of men and women: In every aspect, monitoring of a citizen’s life for her own supposed benefit is a cautionary tale, a limitation of the freedoms of men and women, designed to deter them from leading fuller, freer lives.
Basics: Right to Marriage
- Comes under Right to life: The right to marry is a part of the right to life under Article 21 of the Indian Constitution.
- As an integral part of Right to Life: Various courts across the country have also interpreted the right to marry as an integral part of the right to life under Article 21.
- Stated under Human rights Charter: The right to marriage is also stated under Human Rights Charter within the meaning of the right to start a family.
- Universal right: The right to marry is a universal right and it is available to everyone irrespective of their gender.
- Forced marriage is illegal: A forced marriage is illegal in different personal laws on marriage in India, with the right to marry recognized under the Hindu laws as well as Muslim laws.
- Article 25(1) of the Constitution guarantees the “freedom of conscience and the right freely to profess, practise and propagate religion”.
- It is a right that guarantees a negative liberty which means that the state shall ensure that there is no interference or obstacle to exercise this freedom.
- However, like all fundamental rights, the state can restrict the right for grounds of public order, decency, morality, health and other state interests.
Conclusion
- The marriage between politics and communalism is not a new phenomenon but to try to inhibit that idea of openness and possibility by casting communal aspersions on personal choice might be a travesty. There needs an innovative and inclusive approach to address the issues arise out of interfaith marriages.
Mains question
Q. Recently the Maharashtra government has set up a panel named “Intercaste/Interfaith marriage-family coordination committee (state level)” to gather information about couples in such marriages. Discuss the utility and concerns of such initiative?
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Private members bill, reservation seats for women
Mains level: Women representation in legislatures
Context
- As strong advocates of more representation of women in politics, looking at the number of women elected in the Gujarat and Himachal Pradesh assemblies has been saddening. With just 14.9 per cent women elected to our Lok Sabha, India ranks 144 out of 193 countries in the representation of women in parliament according to Inter-Parliamentary Union’s latest report. Among our immediate neighbours, India falls behind Bangladesh, Pakistan, and Nepal.
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Background: Recent elections and women’s participation
- Gujrat: Gujarat elected just 8 per cent of women legislators in its 182-member assembly.
- Himachal Pradesh: Himachal Pradesh, where every second voter is a female, has elected 67 men and only one woman.
- National Average: The national average of women in all state assemblies remains around 8 per cent. The figure is grim
- Representation of women in local governments increased: After the 73rd and 74th Constitutional Amendments, the representation of women in local governments increased from a mere 3-4 per cent to nearly 50 per cent now.
History of Women’s Reservation Bill
- First introduced in 1996 but lapsed with the dissolution of Lok Sabha: The Women’s Reservation Bill was first introduced in 1996 by the Deve Gowda government. After the Bill failed to get approval in Lok Sabha, it was referred to a Joint Parliamentary Committee chaired by Geeta Mukherjee, which presented its report in December 1996. However, the Bill lapsed with the dissolution of the Lok Sabha and had to be reintroduced.
- Bill reintroduced in 1998 but failed and lapsed: PM Vajpayee’s NDA government reintroduced the Bill in the 12th Lok Sabha in 1998. Yet again, it failed to get support and lapsed. In 1999, the NDA government reintroduced it in the 13th Lok Sabha.
- One-third reservations for women: Subsequently, the Bill was introduced twice in Parliament in 2003. In 2004, the government included it in the Common Minimum Programme that said that the government will take the lead to introduce legislation for one-third reservations for women in Vidhan Sabhas and in the Lok Sabha.
- The bill introduced and passed in Rajya Sabha: In 2008, the government tabled the Bill in the Rajya Sabha so that it does not lapse again. The Parliamentary Standing Committee on Law and Justice recommended the passage of the Bill in December 2009. It was cleared by the Union Cabinet in February 2010. On March 9, 2010, the Bill was passed in the Rajya Sabha with 186-1 votes after immense debate. History was created.
- Lapsed again in 2014: The Bill, then, reached the Lok Sabha where it never saw the light of day. When the House was dissolved in 2014, it lapsed. Now we are back to square one.
- Renewed push: In the current Winter Session of Parliament, there is a renewed push from most Opposition parties to pass the Women’s Reservation Bill.
- Political parties that reserved seats for women for election candidature: So far only two regional political parties in India, Odisha’s Biju Janata Dal (BJD) and West Bengal’s Trinamool Congress (TMC) have reserved seats for women for election candidatures.
- Candidature and results of 2019 general elections: TMC and BJD fielded 40 per cent and 33 per cent women candidates respectively. Interestingly, 65 per cent of the TMC’s women candidates won in comparison to 44 per cent of their men, whereas 86 per cent of the BJD’s women candidates won in comparison to 43 per cent of their men.
Private Member’s Bill for women’s reservation in all legislative bodies
- Acknowledging the inequality and barriers: Women have historically suffered due to systemic inequality and barriers. Without a gender quota, women’s representation will continue to remain marginal causing a massive deficit in our democracy.
- Reserved seats for women: Understanding this reality, there is a need to introduce a Private Member’s Bill demanding women’s reservation in all legislative bodies Lower and Upper Houses, and also reserved seats within that for women who come from historically marginalised communities.
- Ensuring greater representation: It is a single step that will, if passed, immediately ensure at least 33 per cent representation of women.
What is Private Member’s Bill?
- Piloted by member other than minister: A private member’s Bill is different from a government Bill and is piloted by Member of Parliament (MP) who is not a minister. A Member of Parliament who is not a minister is a private member.
- To draw governments attention: Individual MPs may introduce private member’s Bill to draw the government’s attention to what they might see as issues requiring legislative intervention.
Way ahead
- The case for women’s reservation emanates from their lack of representation in legislative bodies. We cannot rely on incremental changes.
- We cannot let another generation fight for what is fundamental to participating in a democracy the right to be heard and make decisions.
- Women’s reservation will jump-start the democratic process. It will allow a significant majority to have a say in how their lives must be governed.
- Over the years, though, women’s vote share has increased significantly, but the number of women in positions of power has not.
Conclusion
- Victor Hugo famously said, “No force on earth can stop an idea whose time has come”. Women’s reservation in legislatures is one idea which has been discussed, debated, and agreed upon by most political parties. It is now time to take it to fruition. With its massive women population, India has a huge reservoir of potential which, if unleashed, will take the country much ahead.
Main Question
Q. Women reservation bill has introduced and lapsed no of times. In this context discuss why it is necessary to have reserved seats for women in all legislative bodies?
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Updates on COP27 and climate finance
Mains level: COP27, climate finance, role of developed and developing countries, and India's stand
Context
- Extreme weather events are becoming more prevalent with each passing year and countries are increasingly taking cognizance of this. Yet, there remains a rift between developing and developed countries, largely on account of asymmetries between the incidence of and the financial responsibility assumed for climate change.
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Background: Rift between developed and developing countries
- Historical emission by developed countries: It is estimated that 92 per cent of excess historical emissions are attributable to developed countries.
- Burden on developing countries: Yet the economic impact of climate change is disproportionately borne by vulnerable developing countries. The 58 vulnerable countries (or V20) account for 5 per cent of global emissions while the costs incurred are significant.
- UNEP estimates that efforts on climate adaptation would require $160-340 billion by 2030. But, current financial flows are inadequate, with developing countries receiving only a third of what is required.
- The dual costs of shifting away from fossil fuels and that of climate catastrophes are expected to further chip away at fiscal resilience as developing countries reel under the pressures of slowdown, inflation and excess sovereign debt.
COP27 decisions on accelerating finance
- Recognized the need of transforming the financial system: In its draft decision, the UN highlighted that to meet the scale of funding will require a transformation of the financial systems, structures and processes. It will require engaging with all financial actors.
- Recognized discontent of green climate fund: In the past there have been funding facilities such as the Green Climate Fund, which were meant to support adaptation and mitigation. But there is wide discontent with the pace and extent of access to such facilities.
- Announcement of Loss and Damage (L&D) fund: The announcement of a Loss and Damage (L&D) fund stole the attention. However, reflections from past experiences are essential.
Challenges on developing inclusive financial structure
- Visible reluctance to contribute among big economies: The institutional architecture of multilateral funds has been demonstrably slow to deliver. Then there is the visible reluctance to contribute among the big economies. To restore its lost legitimacy, the US made several announcements at COP27 but its lack of support to the L&D fund and financing of the global shield meant to support vulnerable countries to address risks of climate change must be factored in.
- Mismatch between financial expectations, regulations and society’s requirement: As the demands placed on economies dwarf public finances, it is intuitive to expect private capital to step up. For decades, developing countries have competed to attract private capital leading to frail legal and tax systems. Even as private capital shifts to the green sectors on account of regulatory action, it is reasonable to expect that its pace will be tempered by financial expectations.
- National carbon tax is rarely discussed: Interestingly, experts are beginning to see climate actions connected with tax policy. This is evident from the revival of the repeatedly shelved Financial Transaction Tax in the EU. Every package announced involves a redistribution of incomes within and across countries. Therefore, a general overhaul of tax architecture is inevitable. Yet, a dedicated national carbon tax is rarely discussed.
- Policy makers discussed the inadequacies of the system: COP27 was a spectacle of distractions. Experts from around the world assembled in the comforts of their echo chambers, reciting the promise of the transition, as policy makers reiterated the inadequacies of the system.
- Growing pressure on developing countries to abandon access to fossil fuel: There is also growing pressure on developing countries to abandon their access to fossil fuels, overlooking the view that a hastened transition can have adverse consequences for growth.
- Systematically sidelined India’s Phase down Call: There have been repeated questions as to why India chooses to use the term “phase down” and its slow response. The hypocrisy of the developed countries was stark as countries chose to sideline India’s call to phase down all fossil fuels.
Way ahead
- While the release of the long-term low carbon development strategy is a fitting response from India, there needs to be better guidance on the pathway to net zero.
- With India chairing the G-20 this year, the question of phasing down coal will be asked repeatedly.
- There is already growing interest in signing a just energy transition partnership with India.
Conclusion
- The learnings from COP27 must inform the G-20 presidency. It is also important to remain conscious that dramatic shifts in policy are pursued domestically and not all change is pursued by consensus. The principle of common but differentiated responsibility should not be traded for the promise of finance.
Mains question
In the context of COP27, The principle of common but differentiated responsibility should not be traded for the promise of finance. Comment
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Basics- Fusion energy and applications
Mains level: Read the attached article
Context
- For more than nine decades scientists have tried to replicate the process that produces energy for the sun and the stars fusion. On Tuesday, researchers at the National Ignition Facility (NIF) in California, USA, announced a milestone in this endeavor.
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What is the research?
- Merged two nuclei to produce a heavier nucleus: They merged two nuclei to produce a heavier nucleus. Their reactor produced about 1.5 times more energy than what was used in the process. In all the earlier attempts to harness the power of fusion, the reactors used up more energy than what was produced.
- It will take at least two decades to be pioneered: But scientists say that it will be at least two decades before the process pioneered in the California laboratory can be scaled up.
- Still a great leap where the world is in search of green technologies: Even then, in a world desperately searching for technologies that can power the developmental needs of nations without adding to the GHG load, the breakthrough at NIF has generated excitement.
What is Fusion?
- Fusion works by pressing hydrogen atoms into each other with such force that they combine into helium, releasing enormous amounts of energy and heat.
- This process occurs in our Sun and other stars.
- Creating conditions for fusion on Earth involves generating and sustaining a plasma.
- Plasmas are gases that are so hot that electrons are freed from atomic nuclei.
- The process releases energy because the total mass of the resulting single nucleus is less than the mass of the two original nuclei.
- The leftover mass becomes energy.
Why is it perceived as energy of the future?
- Carbon free: Fusion Reactions could one day produce nearly limitless, carbon-free energy, displacing fossil fuels and other traditional energy sources.
- Efficient: Net energy gain has been an elusive goal because fusion happens at such high temperatures and pressures that it is incredibly difficult to control.
- Clean: Unlike other nuclear reactions, it doesn’t create radioactive waste.
Why it is considered as significant research, though it will take at least two decades to be commercialized?
- Countries are shifting towards renewable energies: Several countries are shifting to renewable energies to meet their international climate-related commitments. Yet, power generation currently is responsible for 25-30 per cent of global GHG emissions.
- Unstable nature of renewables: The inherently unstable nature of renewables means that countries find it very difficult to jettison fossil-fuel energy sources.
- Nuclear energy is relatively cleaner: Conventionally-produced nuclear energy that uses fission technology is relatively cleaner. But accidents at Chernobyl in 1986 and Fukushima in 2011 have raised serious questions over the safety of fission-powered plants. According to the IEA’s best-case scenario, the world’s nuclear energy generation capacity is likely to double by 2050 compared to 2020.
Conclusion
- The global body has repeatedly flagged concerns about the efficacy of the nuclear reactors by and large in the US and Europe given that about two-thirds of them have been in operation for more than 30 years. It has also maintained that the realisation of the best-case scenario would require significant investments in innovative nuclear technologies.
Mains question
Q. Recently researchers at the National Ignition Facility (NIF) in USA tried to replicate the process that produces energy for the sun and the stars fusion, discuss the significance of this research.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Digital gateways, market dominance of big tech and government regulations
Context
- The ease of living enabled by digital technologies has turned digital innovations into essential services for the common public. Considered a novelty earlier, the internet has become a necessity for most day-to-day affairs.
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Internet access and restrictions
- To enable access to the internet, various gateways have come up in the last few decades in the form of telecom service providers, personal computers and smartphones, operating systems, etc.
- However, when these gateways enable and restrict access to other gateways or networks, the openness of the internet is threatened.
- They then shift roles from being a facilitator to a regulator, from being a gateway to a gatekeeper. Hence, the need for a code of conduct or regulation arises to keep the playing field level and accessible to all.
- Telecom service providers: Telecom companies have been instrumental in providing a gateway to essential communication services such as voice calls, internet data, and text messages.
- Government measures to regulate telecoms: We have seen governments across the world take measures from time to time to regulate these entities to ensure democratic access for the public. If this code of conduct was not enforced on these gateway providers, the internet would not be what it is today. These providers would have turned into gatekeepers, and the internet would have been controlled by them, thwarting innovation and its democratic expansion.
- Code of conduct cannot catch up the pace of emerging digital tech: With the rate at which digital technologies are evolving, the code of conduct and regulations can’t catch up with the new gateway providers that are emerging. One such example is distribution platforms for smartphone applications.
- Benchmarks set by bigtechs helps to bring some hygiene in smartphone apps: The two prominent operating systems emerging for smartphones, Google and Apple, enjoy a lion’s share of the app store market. They brought in good practices to ensure basic hygiene for smartphone applications, maintained quality benchmarks for the content on their operating systems, and safeguarded the interests of their users.
- Lack of full proof regulation would be a slippery slope: Though, without proper regulations to oversee how they decide on what should be weeded and whose interests should be guarded, it’s a slippery slope.
Policy on Net Neutrality put forwarded by Indian Government
- Enforcing a code of conduct on telecoms: Closer home, another example of the enforcement of this code of conduct on providers was when the Indian government came out with the policy on Net Neutrality which, inter-alia, stipulates that telecom networks should be neutral to all the information being transmitted through it.
- Meaning of Net Neutrality: Networks should treat all communication passing through them equally, independent of their content, application, service, device, sender, or recipient address. Adopting Net Neutrality ensured that we took a democratic stance against Big Tech.
Questionable practices of distribution platforms
- Practices without consent of its users: Various practices range from restrictions on payment gateways, advertising choices, app policies and various other aspects of an application or business that could be considered discriminatory in both principle and practice.
- For instance, a case of Goggle’s Update: Recently a report placed before the Competition Commission of India found Google Play Store’s payments policy “unfair and discriminatory”. As per an update in Google’s Play Store billing policy in September 2020, all applications on its platform were mandated to use its payment services for any kind of in-app payments or subscriptions.
- Similar case of Apple’s appstore: Similar concerns have been raised for Apple’s App Store, with both platforms said to be charging up to 30 per cent commission on payments processed.
- Market dominance and unilateral control over smartphone apps by the bigtechs: Google and Apple dominate the global market share of smartphone operating systems (OS). This has enabled them to garner unilateral control over the publishing of smartphone applications on their OS.
- Developers are forced to bend to the diktats of these bigtech gatekeepers: Bigtechs force developers to make changes to their applications or resort to using their proprietary advertising engines if they wish their applications to see the light of day. As is evident from the overnight change in Google’s billing policy, various smartphone application-dependent businesses and developers continue to remain vulnerable to such internal business policy changes on these platforms.
European Union’s Digital Markets Act (DMA) sets an example
- Recognising these concerns: The European Union has recently enacted the Digital Markets Act; it is expected to be implemented by early 2023.
- Aims to keep digimarket open for competition: The Digital Markets Act regulation aims to keep digital markets innovative and open to competition, through ex-ante regulation.
- Prohibit anti-competitive practices: The DMA will prohibit the implementation of the most harmful anti-competitive practices by the largest digital platforms.
- Objective is to maintain balance: The objective is to balance the relationship between these platforms that control access to digital markets and the companies that offer their services there.
Conclusion
- The Indian government has taken a huge leap forward in maintaining its sovereignty through the path-breaking and disruptive digital public goods it has created. Aadhaar, UPI, DigiLocker, and CoWIN are just a few names that adorn this list. However, there is still a wide dependence on various digital offerings enabled by multinational Big Tech companies. It is the need of the hour for the government to devise appropriate regulations to ensure a level playing field and not let the innovating gateways turn into tyrannical gatekeepers.
Mains Question
Q. India is the largest consumer of wireless internet. Analyze the role of big tech service providers in this and the role of government in ensuring a level playing field for all.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Addressing the issues of Students pressure, suicides, reasons and way ahead
Context
- Three students committed suicide within 12 hours in Rajasthan’s Kota, which is regarded as the education and coaching hub of India. Known for producing IITians, doctors and engineers, Kota has been in the news for the last few years because of the students’ suicides and depression they suffer.
What is Suicide?
- Suicide is the act of intentionally causing one’s own death.
- Mental and physical disorders, substance abuse, anxiety and depression are risk factors.
- Some suicides are impulsive acts due to stress (such as from financial or academic difficulties), relationship problems (such as breakups or divorces), or harassment and bullying.
- Despite being entirely preventable, India has been increasingly losing individuals to suicide.
The National Crime Records Bureau’s Accidental Deaths and Suicide in India report 2021.
- The report released this year shows that the number of students’ deaths by suicide rose by 4.5 per cent in 2021.
- Maharashtra bearing the highest toll with 1,834 deaths, followed by Madhya Pradesh with 1,308, and Tamil Nadu with 1,246.
- According to the report, student suicides have been rising steadily for the last five years.
- According to a 2012 Lancet report, suicide rates in India are highest in the 15-29 age group the youth population.
- According to the National Crime Record Bureau (NCRB), in 2020, a student took their own life every 42 minutes; that is, every day, more than 34 students died by suicide.
What are the reasons behind these alarming stats of student’s suicide in India?
- Education is for livelihood more than knowledge: Education in India has been viewed as a gateway to employment and livelihood rather than to knowledge.
- Pressure to get into government jobs or highly paid private sector: Many students and their families dream of the coveted ‘sarkari naukri’ (government job) to escape the precarious social, caste and class predicaments they find themselves in.
- Limited educational infrastructure: The failure of the Union government to improve the country’s educational infrastructure means that exam-oriented coaching had become the norm.
- Coaching centres as prisons for many students: Cashing in on the ‘hope for a better future,’ coaching centres emerged as one of the predominant industries in the education sector. However, these centres are now being seen as prisons for the many youngsters who join them; where their bodies, souls and dreams are tamed.
- Number of factors marginalising students who are already vulnerable: Students from marginalised sections are pushed further to the margins through a number of factors, such as the lack of English-medium education; private institutions charging high fees; poor quality education in government-run schools and institutes; ever-growing economic inequality; graduates not having the adequate skills to secure jobs; and caste discrimination.
- Social ideology of success and failure: The rise of neoliberalism as an economic and social ideology has pushed the youth to blame themselves for their failure to secure their ‘dream job’ while the government continues to shirk its basic responsibility.
- Flawed neoliberal agenda for failure and success: The neo-liberal agenda keeps propagating the belief that it is not that hard to find success if one works hard enough, normalising the notion that the youth should blame themselves for their ‘failures’.
- The myth of the Indian family being supportive also need to be called out: Family, being the primary social unit of the society, shapes the aspirations and dreams of the youth. Family should be supportive in true sense.
- Deeper introspection is needed instead of make shift solutions: Deeper introspection on structural aspects of the education system is the need of the hour. Instead, we take pride in coming up with Jugaad (makeshift solutions) to manage affairs peripherally, without dealing with the root of problem.
- Easing pressure in the students: Others have suggested like the guidelines issued by the Board of Intermediate Education in Andhra Pradesh in 2017 to ease the pressure on students, including yoga and physical exercise classes and maintaining a healthy student-teacher ratio.
- Realising today’s realities and making changes: It is painfully evident that the failure to address the larger issue of a punishing education system that is simply not designed to support young minds or prepare them for today’s economic realities continues.
- Collective responsibility: Not only family plays a significant role in students life, even the society has a huge influence. We as a society should realise true essence of life and not confine students into success and failure tags. Instead support them empathically in realising their true potential.
Did you know this solution? What any sensitive person will think of this?
- Some suggested bordering on the ludicrous, like the Indian Institute of Science’s reported move last year to replace ceiling fans in hostel rooms with those that are wall-mounted.
Conclusion
- Scholars have long linked farmers’ suicides to India’s agrarian crisis; it is time that civil society starts looking at students’ suicides as an indicator of a grave crisis of the country’s educational structure, including the institutional structure, curriculum, and the like. The combination of a large population of young people with rising aspirations and an economy with shrinking opportunities has created a public health crisis that requires urgent attention.
Mains Question
Q. There has been a steady increase in student suicides in India over the past few years. What are the reasons and suggest what should be done?
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Concept of CAD
Mains level: India's problem of CAD, effects and solutions
Context
- There seems to be considerable optimism about India’s near-term growth prospects now that the major global energy and commodity shocks have subsided. Even if these shocks have subsided, India still faces one big problem of its large current account deficit (CAD). How will this be managed? It turns out that the answer to both questions lies in one word exports.
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What is Current Account Deficit (CAD)?
- A current account is a key component of balance of payments, which is the account of transactions or exchanges made between entities in a country and the rest of the world.
- This includes a nation’s net trade in products and services, its net earnings on cross border investments including interest and dividends, and its net transfer payments such as remittances and foreign aid.
- A CAD arises when the value of goods and services imported exceeds the value of exports, while the trade balance refers to the net balance of export and import of goods or merchandise trade.
- CAD = Trade Deficit + Net Income from Abroad + Net transfers
- Swelling CAD: Over the past year, the post-pandemic normalisation has caused the current account deficit to swell to exceptional proportions.
- Decline in demand abroad: At home, normalisation has spurred a renewed demand for imported inputs. But abroad, it has had the opposite effect, leading to a decline in demand.
- India’s import soared while exports fell: Foreign households are no longer demanding so many goods now that the lockdowns that kept them in their houses and the fiscal stimuli that gave them the money to spend have both ended. So, India’s imports have soared just at a time when its merchandise exports have started to fall.
- Statistics for instance: The difference between the value of goods imported and exported fell to $54.48 million in Q4FY 2021-22 from $59.75 million in Q3 FY2021-22.
- Service sector is saviour: However, based on robust performance by computer and business services, net service receipts rose both sequentially and, on a year, -on-year basis.
Future projections
- Looking ahead, the situation seems set to worsen: Foreign demand will slow further as advanced countries slip into what now seem like inevitable recessions.
- In the backdrop of recession India’s CAD could widen further: In that case, India’s CAD could widen even further, possibly to four per cent of GDP in 2022-23, double the level that the Reserve Bank of India (RBI) traditionally regards as “safe”.
Analysis: How should India respond?
- Attracting foreign capital inflow: Attract foreign capital inflows worth at least four per cent of GDP.
- Is this realistic in time of global uncertainty: The world is currently facing unprecedented levels of uncertainty. Two years of the pandemic, now a land war in Europe, inflation and energy crisis in Europe, interest rate hikes in the history of the US Federal Reserve, slowdown in china, etc. In such an uncertain environment, foreign investors prefer to invest in safe assets such as US government bonds rather than emerging markets like India. As a result, India has witnessed large outflows of foreign capital in 2022-23
- Deploying RBI’s Forex to pay for imports: If India cannot attract the required amount of capital inflows, the RBI’s foreign exchange reserves could be deployed to pay for imports.
- Is this strategy sustainable: The country’s reserves are meant to tide the country over short-term problems, such as commodity price spikes. India’s merchandise exports have been structurally weak, stagnating for the past decade, until the pandemic induced a short-lived boom.
How depreciating rupee could be helpful?
- Price needs to be adjusted by depreciating rupee: This means that something fundamental needs to change. Ultimately, India’s CAD reflects a mismatch between the demand and supply of foreign exchange. To restore balance, first and foremost, the price needs to adjust, that is, the rupee needs to depreciate.
- Exporting becomes more profitable: When this happens, exporting becomes more profitable, inducing more and more firms to explore foreign markets. Meanwhile, foreign demand improves, because the rupee depreciation makes India’s products more price-competitive. As a result, exports increase and the CAD falls.
- Exchange rate depreciation is helpful in sustained growth: The recovery of the Indian economy from the pandemic was largely fuelled by exports. But with exports now declining, this crucial source of growth has now become uncertain for India. Strengthening the export sector is, therefore, critical for sustaining growth.
Way forward
- Allow the rupee to depreciate,
- Encourage foreign firms to produce in India by letting them access their supply chains,
- Encourage domestic firms to step up to the competition, and
- Create a level playing field for all players.
Conclusion
- The large CAD, however, is not a short-term problem: It is a long-term problem requiring a long-term solution. By adopting the discussed strategy, India could potentially solve its two most important macroeconomic problems that are reducing the large CAD and securing rapid, sustained growth.
Mains question
Q. What is Current account deficit (CAD)? In a time of global uncertainty How India can reduce its large CAD and secure sustained growth. Analyze
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Important aspects of the Data protection bill
Context
- On November 18th Government released the fourth iteration of the data privacy legislation: The Digital Personal Data Protection Bill, 2022 (Bill).
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- The journey towards data protection legislation began in 2011 when the department of Personnel and Training initiated discussions on the Right to Privacy Bill, 2011.
- The major fillip to the data protection case was given by the K. Puttuswamy judgment, 2017 where the supreme court held the “Right to privacy” as a fundamental right under Article 21- right to life and personal liberty.
- After the Puttaswamy judgment, the government-appointed B.N Srikrishna committee the drafting of a law for data protection and privacy. This led to the Justice B.N. Srikrishna committee report which later on led to the Personal Data Protection Bill of 2019.
Two major stakeholders of the Legislation Data principles and data Fiduciary
- Data Principle: Data principles refers to the subject whose data is being processed. While the Bill lists the “duties” of the Data Principals, these have no bearing on the realisation of the rights provided by the Bill.
- Data Fiduciary: It is an entity that processes this data. The drafters of the Bill seem to be affirming that the Data Fiduciary is responsible for safeguarding the interests of Data Principals.
- What is Data Fiduciary: The use of the term, “fiduciary” whilst referring to a data processor is significant. In different spheres of the law, when one party owes a “fiduciary” duty towards another a trustee, beneficiary, guardian or ward, the relationship between the two is guided by trust, assurance and good faith.
- Obligations of data fiduciaries towards data principles: In line with this philosophy, the rest of the Bill describes the obligations of the Data Fiduciaries towards Data Principals, the rights and duties of the latter and the regulatory framework through which data will be processed.
Two noteworthy aspects of the Bill
- Bill outlined the category of Data fiduciaries: In addition to the general obligations to prevent the misuse of the personal data of individuals, the Bill has outlined a category of Significant Data Fiduciaries, entities that are required to comply with additional measures to safeguard the personal data of individuals.
- Why is this distinction being necessary: This distinction is essential as only companies that process vast amounts of data or have a potential impact on the country’s sovereignty and integrity need to take such stringent measures. Such measures reduce the compliance cost of companies that are at a nascent stage.
- Relaxing Data localisation norms: Onerous provisions on “data localisation” in the previous versions of the Bill, which mandated companies to store user data only within India, have been omitted.
- How this move will maintain balance: The reworked Bill permits the government to notify countries to which data transfers may be permitted. This is a major respite for several tech companies, who have long talked about the infeasibility of the data localisation provisions. A balance has now been struck between the legitimate concerns of businesses and the protection of personal data of individuals.
Where else does this bill need attention?
- Focus remains only on the nature and gravity of the violation: While the Bill is, by and large, comprehensive. Section 25 and Schedule I, that deal with penalties, require elaboration. Section 25 refers to the quantum of financial penalty that must be imposed on a person guilty of non-compliance in matters related to detail. The focus remains only on the nature and gravity of the violation. The proposed legislation does not consider the financial ranking of a company before imposing penalties.
- The bill must take financial ranking of the company in consideration: The Bill must ensure that the penalties imposed are proportionate to the size and operations of a company, to be effective, fines must not drive companies into economic loss.
- For instance: A leaf can be taken from the European Union’s General Data Protection Regulation (GDPR), amongst other similar regulations, which levies penalties in accordance with the total turnover of companies.
What makes this bill distinct and comprehensive?
- Promoting cooperation: The Bill safeguards individual data, whilst also promoting cooperation between data fiduciaries and the government.
- As per the India’s requirements: While it draws upon the best practices of foreign jurisdictions, such as Europe and Australia, it has been drafted in a manner that is tailor-made to India’s requirements.
- Exemptions are restrictive: Even the exemptions granted to the Centre are extremely restrictive and in sync with past judicial precedents and Article 19(2) of the Constitution.
- Significant shift in drafting legislation: The Bill marks a significant shift in the manner of drafting legislation. Historically, comprehending a piece of legislation in India has usually been akin to the membership of an exclusive club only legal practitioners, policy professionals and a handful of politicians are able to understand and interpret laws.
- Ensures simplification and accessibility to ordinary citizens: This Bill marks a transition from legalese to legal simplification, it realises that it is in our best interests to ensure that all laws especially legislation that have a significant impact on citizens are made accessible to all individuals irrespective of their professional or educational standing.
Conclusion
- The Bill safeguards individual data, whilst also promoting cooperation between data fiduciaries and the government. While it draws upon the best practices of foreign jurisdictions, it has been drafted in a manner that is tailor-made to India’s requirements. Exemptions granted to the Centre are extremely restrictive.
Mains Question
Q. What are the salient aspects of the Digital Personal Data Protection Bill? Discuss what makes it unique and inclusive.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Women empowerment and Political Participation
Context
- On the occasion of the 75th year of India’s independence, the Prime Minister articulated a bold vision that in the coming 25 years, “Nari Shakti” would play a vital role in India’s socio-economic developmental journey.
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Background: Status of women In India
- Elevated status in ancient texts and thoughts: Culturally and mythologically, women have enjoyed an elevated status in India. For example, it is mentioned in the Kena Upanishad that it was the goddess Uma who enlightened the three powerful but ignorant gods, Indra, Vayu, and Agni, to the profound mystery of Brahman.
- Experience of women in modern era is far from ideal: Women have faced discrimination in the household and at jobs, and for a long time, they were victims of political indifference and neglect.
- Recognizing the Nari Shakti: In recent decades, “Nari Shakti” has been reasserted through micro and silent revolutions. There are some silent women-led changes transforming our society politically and economically But there is need to highlight the challenges that remain in women fulfilling their true potential as modern nation-builders of India.
- Gender gap in voter turnout is diminishing rapidly as women often exceeds male voter turnout: Research on women voters using historical data has revealed that since 2010, the gender gap in voter turnout has diminished significantly and the recent trends show women voter turnout often exceeds male voter turnout. This massive increase is a nationwide phenomenon and is also observed in less developed regions of the country where traditionally, the status of women has been significantly lower.
- Dramatic increase in women contesting election particularly in panchayat level: Since 2010, many more women have been contesting elections. To put this in perspective, in the 1950s, in the state assembly elections, women contested elections in approximately 7 per cent of the constituencies, but by the 2010s, women were competing in 54 per cent of the constituencies. This is particularly remarkable at the grass roots panchayat level where 50 per cent seats have been reserved for women for over a decade now.
Results of this positive change
- Women voters can no longer be neglected or marginalized: A key implication of this is that women voters can no longer be marginalised or neglected; they demand respect and command attention.
- Political entrepreneurs compelled to address women issues: This silent revolution has compelled political entrepreneurs and grounded leaders to design policies addressing issues that women care about. It is not surprising that some of the most dramatic policy changes concerning poverty reduction since 2015-16 have been in the form of networking of households across the nation through amenities such as cooking fuel, sanitation, water, and electricity. These are also the key drivers of long-term economic growth.
- Rising women voters compelled political parties to make law and order a critical issue: In less developed regions where women and children have been the biggest victims of lawlessness, the silent revolution of rising women voters has compelled political parties to make law and order a critical political issue.
- Positive response by political parties: Political parties and leaders are now responding to this by improving access and affordability to basic needs of ordinary people like amenities and infrastructure rather than focusing on the rhetoric of caste and communalism. This is in sharp contrast to the “democratic recession” that is being experienced in the rest of the world.
Challenges ahead
- Women employment a biggest challenge: According to World Bank data, the female labour force participation rate has declined from 32 per cent in 2005 to 19 per cent in 2022. Labour force participation does not consider unpaid domestic services, which include household services such as taking care of the children and the elderly.
- More hours spent is in unpaid domestic services: Our research based on data from the time use surveys in India in 2018–19 reveals that women in the age group of 25 to 59 years spend approximately seven hours daily in unpaid domestic services.
- Double burden of working is one of the reasons behind decline of women labour participation: Double burden of working women perhaps is one of the critical reasons for the decline in the women’s labour force participation rate. In sharp contrast, working or non-working men in the same age group spend less than 45 minutes on unpaid domestic or caregiving services.
- Declined fertility rate: Fertility rates have declined dramatically below the replacement rate, the share of the ageing population has increased, and there is an alarming increase in the percentage of kinless elderly.
Did you know Baumol Cost Disease?
- The care industry is labour-intensive and, therefore, subject to Baumol Cost Disease, implying that the cost of providing care would keep rising over time.
Way ahead
- On labour force participation: It is essential to look at the experience of advanced countries, where increased participation of women in the labour force has come at the expense of family structure.
- On dynamics of household and elderly care, sharing burden by men is a necessity: If we want more women to participate in the labour force, and at the same time preserve the family structure, then men would have to share the burden of unpaid domestic services. This would require a break from tradition and the creation of new modern narratives and myths.
Conclusion
- As India takes over the presidency of G20, it is an occasion to celebrate “Nari Shakti” and political empowerment a stupendous increase in women voter turnout in the decade has strengthened and made our democracy more progressive. Women’s political empowerment has been a bottom-up revolution in India and holds lessons for other countries.
Mains question
Q. Culturally and mythologically, women hold a high position in India. However, there are still challenges in women fulfilling their true potential as India’s modern nation-builders. Discuss.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Basics of Budget
Mains level: Capital expenditure and fiscal consolidation
Context
- The 2023-24 Union budget will be announced on February 1, followed by the states’ respective budgets. These budgets will set the policy tone for the rest of the year and, as such, are followed closely.
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Situation of Capex and fiscal consolidation after pandemic
- Rise in fiscal deficit: The overall fiscal deficit of the government has soared and we believe the next few years will be all about getting it back on track.
- Rising interest payments: This is important because interest payments on past debt make up a whopping 50 per cent of net tax revenues for the central government, leaving very little room for other spending.
- less room for social spending: Given the needs of the economy on various fronts like health, education and capex, it is important to lower the interest burden over time. That can only be achieved by fiscal consolidation.
Analysing the tax revenue and expenditure of central and state Government
- Central government tax revenues have risen faster than state revenues: Both benefitted as small and informal firms struggled with the lockdowns and lost market share to large firms, which tend to pay more taxes.
- Disparity in revenue collection: A large chunk of the tax revenues in the early part of the pandemic period came from the “special” duty and surcharge on oil, which went primarily to the central government. To be fair, the central government subsequently cut the duty on oil (in both 2021-22 and 2022-23) and the tax share that went to the states rose somewhat.
- Capex of centre is more: The Centre has committed to more current expenditure than the states. While it increased across the board during the pandemic, current expenditure rose more for the central government.
- Higher spending on social schemes: This was led by higher social welfare spending (for instance, on the free food distribution scheme) and, more recently, higher subsidies (for example, fertilisers) in the face of rising commodity prices.
- States have a moderate capex: The common perception is that states have gone all out on unsustainable current expenditure. But the data shows that it’s just a few states which have spent heavily (for example, Telangana, Assam, West Bengal and Punjab).
- The central government capex has risen but state capex has contracted: Making a commendable choice, the central government used both its tax bounty as well as its ability to borrow more at a time when banking sector liquidity was loose to raise capex spending, which rose by 1.2 per cent of GDP between 2019-20 and 2021-22.
- Cut in state capex: On the other hand, the states cut back on capex, which has fallen as a percentage of GDP over the last few years, and continues to be on a weak footing in the current year. In fact, putting the central government’s capex alongside the state and public sector capex shows that the overall public sector thrust is not any stronger than it was back in 2018-19.
- Centre has breached the fiscal deficit target: The central government’s fiscal deficit has overshot targets while the state deficit is relatively contained. At a budgeted 6.4 per cent of GDP in 2022-23, the central government’s fiscal deficit has risen above the pre-pandemic level of 3.4 per cent in 2018-19, and is well above the 3 per cent medium-term target.
- Sharp fall in states fiscal deficit target: Even though the state fiscal deficit rose in the first year of the pandemic (from 2.5 per cent of GDP in 2018-19 to 3.8 per cent in 2020-21), it has fallen sharply since (to 2.7 per cent in 2021-22).
- Low borrowing by states: In fact, state government borrowing is rather low in the current year so far. If this continues, the fiscal deficit could be even lower in 2022-23 (around 2.5 per cent of GDP), which is well under the 3 per cent medium-term target, and bang in line with pre-pandemic levels.
What are the challenges?
- Less consolidation by states: The states have less fiscal consolidation to do than the central government.
- High quality spending: Both have a common challenge to commit to more capex, which is considered high quality spending as it “crowds in” private investment if done responsibly. And we believe investment is the only sustainable way to increase the capacity of the economy to grow and create jobs.
- Balancing the capex and fiscal consolidation: For the central government, the challenge is to hold on to its capex push at a time of fiscal consolidation. For the states, the challenge is to start doing more.
What should be the way forward?
- Lowering the fiscal deficit: The central government’s aim is to lower the fiscal deficit by about 2 per cent of GDP over the next three years. About half of this consolidation can come from lowering current expenditure to pre-pandemic levels.
- Raising the tax revenue through formalization: Continued formalisation of the economy that raises tax revenues (though “organic” formalisation will likely be more sustainable than “forced” formalisation).
- Disinvestment of PSUs: A bigger push for disinvestment by selling stakes in public-owned companies, and further tax reforms (in terms of direct taxes and the GST).
- Capex cut is the last option: If these don’t work, the default option will be to cut capex, which is a concern as it has implications for medium-term growth.
Conclusion
- Fiscal consolidation and capital expenditure should go hand in hand. More government spending means more infrastructure building and more chances of growth and employment. However, this spending should be done with sound fiscal base.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Census in colonial rule
Mains level: Impact of colonial rule
Context
- A recent study of India’s experience under colonial rule by Dylan Sullivan and Jason Hickel concludes that data from the Census of India reveal that between 1880 and 1920 approximately 100 million Indians died due to British policy in India. Their method is to calculate the excess mortality, being the difference between the actual deaths and the deaths that may be expected.
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What are assumptions made by their study?
- Mortality rate before colonial rule: Before colonial rule, the mortality rate of India is unlikely to have been very different from that of contemporary England.
- Deaths due to colonial policies during the period of 1880-1920: The resulting estimates for excess deaths during 1880-1920 are 50 million in the first case and 160 million in the second one, respectively. The authors settle for the midway figure of approximately 100 million for the deaths caused in India due to colonial policy.
- Figure is greater than deaths from famine in other countries: For perspective, they point out that this figure is greater than the death from famine in “the Soviet Union, Maoist China, North Korea, Pol Pot’s Cambodia, and Mengistu’s Ethiopia”. In their view, this provides a direct assessment of the consequences of the Raj for India.
Study quantifying the impact of colonial rule in India
- Change in national income as a basis to quantify impact of colonial rule is non-existent: Attempts to quantify the impact of colonial rule in India have mostly relied on the change in national income. But reliable income data for the nineteenth century are almost non-existent. Population figures, though, are available from the time of the first Census of India in 1871.
- Steady rise in mortality rate: The mortality rate in British India is seen to rise steadily after 1881, recording an increase of close to 20% by 1921. As it is unusual for the mortality rate of a country to rise continuously due to natural causes, this suggests that the living conditions worsened during this period.
- Mortality rate dipped in last census in British India but famine is not recorded: The mortality rate dipped in 1931, which was the last census conducted in British India, but the last famine recorded in the country was yet to come. It took place in Bengal in 1943, in the last five years of the close to two centuries of British colonial rule.
- British arguments for the empire: Arguments include “English forms of land tenure, the English language, banking, the common law, Protestantism, team sports, the limited state, representative assemblies, and the idea of liberty”, have been advanced by the Harvard historian Niall Ferguson.
- No mention of the famines: There is no mention of the famines which started almost at the onset of rule by the East India Company in Bengal, the de-industrialisation of India in the nineteenth century, the drain of wealth, or the worsening food security as India’s peasants were forced to grow commercial crops for export so that Britain could balance its trade.
- Population explosion but the life expectancy increased: The belief that British policy in India caused repeated famines is bolstered by the fact that there has not been a single famine since 1947. This is despite a population explosion following a sharp fall in death rates. The decline in the mortality rate surely signals improved living conditions. The Census shows that in the 1950s, life expectancy at birth of Indians increased by more than it did in the previous seventy years.
Census as a double-edged sword
- Worsening gender inequality in India after 1947: It points to a worsening gender inequality in India. A simple indicator of this would be the ratio of females to males in the population. It is believed that in the absence of factors that lower the life chances of women, including foeticide, this ratio would tend to one. The Census of India shows that we have not attained that level in our recorded history, except in pockets within the country.
- Trend in gender inequality: While this is disturbing in itself what is more so is that this ratio has steadily declined after 1947. After declining for four decades from 1951 it started inching up in 1991. But in 2011, it was yet lower than what it was in 1951.
- Life expectancy faster for man than women: So, even though life expectancy increased soon after Independence, in the early years at least it increased faster for men than it did for women.
Conclusion
- The Census of India not only helps understand the perils of British rule, but also flags the roadblocks lying ahead. As India chants Vasudhaiva Kutumbakam at the G-20, implying that the nations of the world are a family, it behooves us to ensure that all the persons in our own family enjoy the same freedoms.
Mains Question
Q. According to the census of the time discuss the impact of colonial rule in India. The Census of India not only helps understand the perils of British rule, but also flags the roadblocks lying ahead. Discuss.
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