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General Studies – 1
Introduction
The phase of the Indian National Congress or the Indian national movement during the first twenty years of its history is roughly referred to as moderate phase. They were people who believed in British justice and were loyal to them. They believed in peaceful and constitutional methods to demand and fulfil those demands. Their method has been called 3P – Prayers, Petition and Protest.
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The moderate leaders included Dadabhai Naoroji, WC Bonnerjee, G Subramanya Aiyer, GK Gokhale, SN Bannerjee, Rash Behari Ghosh, R C Dutta, M G Ranade, Pherozeshah Mehta, P R Naidu, Madan Mohan Malaviya, Ananda Charlu, S Subramania Iyer and William Wedderburn.
Political demands of the moderates were moderate:
- From 1885 to 1892, their main demand continued to be expansion and reform of the Legislative Councils, the membership of the Councils for elected representatives of the people and also an increase in the powers of these Councils.
- Holding the ICS exam in India along with England to allow more Indians the opportunity to take part in the administration.
- the separation of the Judiciary from the executive
- Freedom of speech and expression.
- Freedom to form associations.
- Repealing the Arms Act of 1878.
- Increasing spending on education of Indians.
However, Economic demands of moderates were radical:
- The most notable part of Moderates political work was their systematic and factual criticism of the economic policy of British rule through press and publication.
- The focal point of the nationalist critique of colonialism was the drain theory. For instance, Dadabhai Naoroji put forward the idea that Britain was draining and ‘bleeding’ India.
- Other nationalist leaders, journalists and propagandists followed in the foot-steps of Dadabhai Naoroji. R.C. Dutt, for example, made the drain the major theme of his Economic History of India.
- They demanded Indian control over the public purse and raised the slogan that had earlier been raised by the Americans during their War of Independence, ‘No taxation without representation’.
- Moderates strictly demanded to reduce the military expenditure and increase the allocation of money for activities such as health and education.
- They demanded the reduction of land revenue and abolition of the salt tax and supported the imposition of income tax and import duties on products which the rich and the middle classes consumed.
- Dadabhai Naoroji in his famous economic critique ‘Poverty and un-British rule in India’ popularly put it, foreign capital represented the ‘despoilation’ and ‘exploitation’ of Indian resources.
- Similarly, the editor of the Hindustan Review and Kayastha Samachar described the use of foreign capital as ‘a system of international depradation’.
- They demanded for the development and protection of Indian Industries through increased tariffs on imports and government aid for these industries.
- After seeing the failure of the Government in this regard the nationalists popularised the idea of Swadeshi or use of Indian goods and boycott of British goods as a means of promoting Indian industries.
- An enquiry into India’s growing poverty and famines.
- They organized powerful intellectual agitations against nearly all the important official economic policies. They used these agitations to both understand and to explain to others the basis of these policies in the colonial structure.
Conclusion
The Indian leaders advocated basically anti-imperialist economic policies. They laid stress on basic changes in the existing economic-relations between India and England. They vehemently opposed the attempts of foreign rulers to convert India into supplier of raw materials and a market for British manufacturers. They criticised the official policies on tariff, trade, transport and taxation. These were regarded as hampering rather than helping the growth of indigenous industry.
Value addition:
Aims and demands of the moderates:
- Education of the masses and organising public opinion, make people aware of their rights.
- Indian representation in the Executive Council and in the Indian Council in London.
- Reform of the legislative councils.
- Separation of the executive from the judiciary.
- Decreased land revenue tax and ending peasant oppression.
- After 1892, raised the slogan, “No taxation without representation.”
- Reduced spending on the army.
- Abolishing salt tax and duty on sugar.
Limitations of Moderate phase:
- However British rule, to most of them seemed to be an act of providence destined to bring in modernization.
- The moderate politicians could not or did not organize an agitation against British rule because of them still shred an intrinsic faith in the English democratic liberal political tradition.
- Their politics was very limited in terms of goals and methods. They were secular in their attitudes, though not always forthright enough to rise above their sectarian interests. They were conscious of the exploitative nature of British rule, but wanted its reforms and not expulsion.
- They equated liberty with class privilege and wanted gradual or piecemeal reforms.
- Early Congressman had an implicit faith in the efficacy of peaceful and constitutional agitation as opposed to popular mean of agitation.
- The movement was confined to the educated classes only. Did not try to employ the masses.
- Believed in Petition, Prayer and Protest. They did not go for mass mobilisation. The basic weakness of the early national movement lay in its narrow social base. It did not penetrate down to the masses. In fact, the leaders lacked faith in the masses.
- Their immediate demand was not for full self-government or democracy. They demanded democratic rights only for the educated members of the Indian society, who would substitute for the masses.
Introduction
Bhagat Singh, an iconic revolutionary, thinker, voracious reader and one of the well-read of political leaders at that time, was a giant of an intellectual. He pursued his passion for reading and writing relentlessly, despite fighting violently against Britishers. He studied to arm himself with arguments in favour of his cult of patriotism and enabled himself to face the arguments advanced by opposition.
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A new idea and interpretation of revolution:
- Revolution was no longer equated with militancy and violence.
- Its objective was to be national liberation—imperialism was to be overthrown but beyond that a new socialist order was to be achieved, ending “exploitation of man by man”.
- As Bhagat Singh said in the court, “Revolution does not necessarily involve sanguinary strife, nor is there a place in it for personal vendetta. It is not the cult of bomb and pistol. By revolution we mean the present order of things, which is based on manifest injustice, must change.”
- Bhagat fully accepted Marxism and the class approach to society—”Peasants have to free themselves not only from the foreign yoke, but also from the yoke of landlords and capitalists.”
- He also said, “The struggle in India will continue, so long as a handful of exploiters continue to exploit labour of common people to further their own interests.
- It matters little whether these exploiters are British capitalists, British and Indian capitalists in alliance, or even purely Indians.”
- He defined socialism scientifically as abolition of capitalism and class domination.
- Bhagat was fully and consciously secular—two of the six rules drafted by Bhagat for the Punjab Naujawan Bharat Sabha were that its members would have nothing to do with communal bodies and that they would propagate a general feeling of tolerance among people, considering religion to be a matter of personal belief.
- Bhagat Singh also saw the importance of freeing people from the mental bondage of religion and superstition—”to be a revolutionary, one required immense moral strength, but one also required criticism and independent thinking”
Conclusion:
Bhagat Singh and his comrades made an abiding contribution to the national freedom movement. Their deep patriotism, courage and determination, and sense of sacrifice stirred the Indian people. They helped spread nationalist consciousness in the land.
Value addition:
Vision of Bhagat Singh:
At tender age he realised the larger goals of life rather than being circumscribed to accomplishing personal goals. He transformed the revolution ‘terrorism’ movement to a socialist one. He was a great innovator in two areas of politics
- Raised the serious issues and threats of communalism
- Raised the conscience of people in freeing them from mental bondage of religion and superstition.
Revolutionary ideology and goals of revolution:
- A real breakthrough was made by Bhagat Singh and his comrades in terms of revolutionary ideology, forms of revolutionary struggle and the goals of revolution.
- The Hindustan republican association’s (HRA) Manifesto (1925) declared that the it stood for abolition of all systems which made exploitation of man by man possible. Its founding council had decided to preach social revolutionary and communistic principles.
- The HRA had also decided to start labour and peasant organizations and to work for an organized and armed revolution.
- Emphasizing the role of ideas in the making of revolution, Bhagat Singh declared that the sword of revolution is sharpened on the whetting-stone of ideas. This atmosphere of wide reading and deep thinking pervaded the ranks of the HSRA leadership.
- Punjab Naujawan Bharat Sabha:
- Singh had turned to Marxism and had come to believe that popular broad-based mass movements alone could lead to a successful revolution.
- That is why Bhagat Singh helped establish the Punjab Naujawan Bharat Sabha in 1926 as the open wing of the revolutionaries.
- The Sabha was to carry out open political work among the youth, peasants and workers.
- Bhagat Singh and Sukhdev also organized the Lahore Students Union for open, legal work among the students.
- Patient intellectual and political work appealed to be too slow and too akin to the Congress style of politics which the revolutionaries wanted to transcend.
- Effective acquisition of new ideology is a prolonged and historical process whereas the need of the time was a quick change in the way of thinking.
- These young intellectuals faced the classic dilemma of how to mobilise people and recruit them. Here, they decided to opt for propaganda by deed, i.e., through individual heroic action and by using courts as a forum for revolutionary propaganda.
Bhagat Singh: a hero of the masses:
- He was revered by the youth, loathed by British Raj and opposed by none other than Mahatma Gandhi, like other revolutionaries he dreamt of freedom for motherland.
- As much as he was involved in violence against the government, he exercised his conscience and used non-violence and fasting as a tool to break the hegemony of British power.
He always vouched for human dignity and rights beyond sectarian divide.
Introduction
According to the Global hunger Report, when Government provides only free or subsidised wheat and rice, then the hunger gets eliminated only from the energy intake angle. The deficiency in vitamins and minerals still continues and this is called Hidden Hunger.
It occurs when the quality of food people eat does not meet the nutrient requirements, so the food is deficient in micronutrients such as the vitamins and minerals that need for their growth and development.
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India’s effort to achieve food security:
- Integrated Child Development Services (ICDS), with its network of 1.4 million Anganwadi Centres, reaching almost 100 million beneficiaries who include pregnant and nursing mothers and children up to 6 years;
- Mid-day meals (MDM) that reach almost 120 million children in schools; and
- Public Distribution System (PDS) that reaches over 800 million people under the National Food Security Act.
- The recently announced flagship program of the Ministry of Women and Child Development will be anchored through the National Nutrition Mission (NNM), or Poshan Abhiyaan, with its own specific budget of ₹9,046 crore and a proposed World Bank loan of $200 million, to ensure convergence among the various programmes of the government.
- Additionally, NITI Aayog has worked on a National Nutrition Strategy (NNS), isolated the 100 most backward districts for stunting and prioritised those for interventions.
- The National Nutrition Strategy (NNS) has set very ambitious targets for 2022 and the Poshan Abhiyaan has also specified three-year targets to reduce stunting, under-nutrition and low birth weight by 2% each year, and to reduce anaemia by 3% each year.
- IYCF(Infant and Young child feeding), Food and Nutrition, Immunization, Institutional Delivery, WASH(Water, Sanitation and Hygiene), De-worming, ORS-Zinc, Food Fortification, Dietary Diversification, Adolescent Nutrition, Maternal Health and Nutrition, ECCE(Early Childhood care and Education), Convergence, ICT-RTM(Information and Communication. Technology enabled Real Time Monitoring), Capacity Building.
Hidden hunger is a major challenge for India:
- Global Hunger Index 2020-India ranks 94/ 107 countries.
- As per India’s 2015-16 health survey, one in every three children in the country is stunted, more than 50% of adolescent girls and pregnant women are anaemic, and almost 80% mothers do not receive full antenatal care during their pregnancy.
- Data from phase one of the National Family Health Survey-5, 2019-20 also points to a gloomy reality.
- According to FAO estimates in‘State of Food Security and Nutrition in the World 2020’, 2 million people are undernourished in India.
- According to the report 7% childrenaged under five in India are stunted (too short for their age), while 20% suffer from wasting, (weight is too low for their height).
- Iron deficiency and anaemia are well-recognized and persistent problems in India.
- Nearly one third of the food producedin the world for human consumption every year gets lost or wasted.
- 40 percent of the fruits and vegetables, and 30 percent of cereals produced, arelost due to inefficient supply chain management.
- Many, in fact, argue that the NFSA’s focus on wheat and rice has forced millets — traditional source for iron and minerals — out of the market.
- Studies show that an alarming 90% of households reported suffering a reduction in food intake and 66% had less to eat than before the pandemic.
- Schools continue to remain shut, disrupting access to mid-day meals for the underprivileged and weekly iron and folic acid supplementation.
- The availability of nutritious food and micronutrient supplements supplied through India’s social safety net programmes have become erratic as a result of disrupted supply chains.
- Lack of sanitation and clean drinking water are the reasons high levels of malnutrition persists in India despite improvement in food availability
Concerns associated with Hidden Hunger
- Women and Children at the highest risk:
- The highest numbers of women and children sufferingfrom “hidden hunger” live in South Asia, especially India.
- Serious health effects:
- Its adverse effects on child health and survival are particularly acute, from conception to the age of two, resulting in serious physical and cognitive consequences.
- Economic Toll:
- Impose a significant burden on the affected persons and societies in terms of health costs, lost human capital and reduced economic productivity.
Measures needed:
- Early life-cycle interventions targeting the first 1,000 days of a child’s life are crucial for reducing a child’s susceptibility to infections, and breaking the link between undernutrition, disease and mortality.
- Direct nutrition interventions can reduce stunting only by 20%; indirect interventions, for example, access to water, sanitation and hygiene, must tackle the remaining 80%.
- The Swachh Bharat Abhiyan should be used to leverage policy complementarities with household sanitation, and behavioural change encouraged through social messaging and information-education-communication activities for pregnant and lactating mothers.
- Policy must deliver universal, rights-based nutrition services, which overcome disparities across gender, communities and geographical regions.
- The Global Hunger Index report recommends returning to traditional diets comprising locally available, biodiverse food to overcome growing under-nutrition.
- To combine fragmented efforts, a nodal government body should be established with responsibility for meeting time-bound nutrition targets, and coordinating multi-sectoral programmes, including the ICDS, the National Rural Health Mission, the midday meal scheme, and the public distribution system.
- Food fortification of staples (including wheat, flour, rice and edible oils) represents a cost-effective and scalable solution to enhance nutrient intake. Standards for food fortification should be established, and guidelines changed to promote the use of fortified inputs in ICDS-provided hot cooked meals.
- Increasing dietary diversity is the preferred way of improving the nutrition of a population because it has the potential to improve the intake of many food constituents like antioxidants and probiotics not just micronutrients simultaneously.
- There are several low-cost, food-based measures that can be promoted at the community level to improve micro nutrient status.
- Culturally appropriate dietary modifications should be developed to help people identify concrete actions that can improve both dietary supply and the absorption of micronutrients. This information needs to be disseminated to the public through traditional information channels.
- The government should facilitate public-private partnerships in the sector. Private sector engagement can leverage technological solutions for scaling up food fortification initiatives, and complement the government’s outreach efforts through mass awareness and education campaigns in communities.
Conclusion:
Prioritizing early childhood nutrition is key to ensuring India’s development rests on strong and steady shoulders. India’s ability to harness long-term demographic dividends rests on it prioritizing nutrition in its health agenda, and reforming the institutional framework through which interventions are delivered.
General Studies – 2
Introduction
The first-past-the-post (FPTP) system is also known as the simple majority system. In this voting method, the candidate with the highest number of votes in a constituency is declared the winner. This system is used in India in direct elections to the Lok Sabha and State Legislative Assemblies. Article 81 of the constitution stipulates for FPTP.
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FPTP is not truly democratic:
- A democratic decision in order to be considered legitimate must include all those affected by it in the decision-making process.
- The FPTP system clearly violates this as minorities are not even accorded representation, forget about participation in the decision making process.
- An electoral system skewed in favour of a majority is not conducive to a heterogeneous India, particularly when the Indian constitution also does not have political safeguards for religious minorities.
- Results in Two Party system: Duverger, a French political scientist, argued that the FPTP system tends to bring about a two-party system at the constituency level.
- In countries like India, this translated into the establishment of a two-party system at the State level which happened between 1967 and 1989.
FPTP is not truly representative:
- FPTP has completely failed to ensure representation to the minorities commensurate with their demographic share. For instance, Muslims, the largest religious minority in India, have dismal representation in both the present Lok Sabha and state legislative assemblies.
- It may exclude minority partiesfrom representation in Parliament or Councils if they don’t have concentration areas where their candidates can win. Lesser women MPs, MLAs as they don’t have area of concentration.
- In the FPTP system, there is absolutely no link between the vote share obtained by the political parties and the concomitant number of seats secured.
- For instance, in the 2014 general elections in India, the Bhartiya Janta Party (BJP) had 31% of the vote share but this translated into almost 52% of the total seats in the Lok Sabha. A 19% vote share for the Congress, however, meant only 8% of the seats.
- FPTP mostly manufactures majorities by exaggerating the share of seats of the leading party while it simultaneously penalises smaller parties, particularly those whose support is spatially dispersed.
Need to reexamine the FPTP system in India:
- Democracy, in order to be legitimate, has to be inclusive and this cannot be sacrificed at the altar of stability and simplicity.
- In India itself, there is a fast-growing recognition that the FPTP system may not completely fulfil the goal of representative democracy.
- The Law Commission in its 170th report, submitted in 1999, recommended that India may combine the FPTP system with PR, modelled on the lines of the hybrid system followed in Germany.
- To that end, the report suggested an increase in the Lok Sabha seats by an additional 25% which could be filled by PR while the FPTP system would continue to be used as earlier for the existing seats.
- This proposal was reiterated by the Law Commission in its 255th report issued in 2015 though the government is yet to examine its proposals and take the next steps.
- After the state assembly elections in Uttar Pradesh once again produced skewed results in favour of the leading party, an all-party parliamentary panel has started looking at alternatives to FPTP.
- Even internationally, there is growing disenchantment with FPTP and many democracies including UK and Canada, are embracing PR.
- In fact, one of India’s closest neighbours, Nepal, has chosen a hybrid electoral system combining FPTP with PR.
- However, it would be wrong to assume that a PR system or a hybrid system for that matter would be a panacea for all problems facing Indian democracy.
- After all, even the PR system would eventually lead to majoritarian decision-making, albeit all shades of opinion will at least be represented.
- India must consider Ambedkar’s sagacious suggestion that minorities must have representation in the cabinet in proportion to their population.
- This suggestion was put forward by Ambedkar in ‘States and Minorities’, a memorandum on the safeguards for minorities in general and the Scheduled Castes in particular drafted by Ambedkar and submitted to the constituent assembly in 1946.
- It was in the form of draft articles of a constitution and had specific provisions on fundamental rights of citizens, safeguards of the rights of minorities and Scheduled Castes to representation in the legislatures, local bodies, executive and services.
Conclusion
Thus, the election process and system should safeguard the following principles: more representation, transparency, verifiability, fairness, eligibility to vote, free, secret and universal suffrage, and accessibility. There is no one objectively “best” system. The need of the hour is to debate, discuss, to evolve more suitable election system for India with changing times and demography.
Value addition:
Working of FPTP:
- It is the simplest form of plurality/majority system, using single member districts and candidate-centred voting.
- The voter is presented with the names of the nominated candidates and votes by choosing one, and only one, of them.
- The winning candidate is simply the person who wins the most votes; in theory he or she could be elected with two votes, if every other candidate only secured a single vote.
Benefits of FPTP
- The FPTP system issimple and easy to understand. There is no need for specialised knowledge of elections and politics required considering the political literacy rate of India.
- During parliamentary debates members of constituency assembly representing Scheduled Caste and General Hindus rejected the system of proportional representation because of its complexity and difficult to understand for illiterate population.
- It retains link between the constituency, Member of Parliament (MP) and voter.
- FPTP fosters representation and Geographical Accountability.
- It allows voters to choose between persons rather than just between parties or balances both party and candidate. So voter asses performance of individualcandidate and party.
- Gives chance to popular candidate to get elected even without party backing.
- It is a Cost effective method of election.
- Ensures stable governmentin a diverse country like India.
Limitations of FPTP:
- The object of the system is just to decide which candidate races past others, almost akin to a horse race from where the term FPTP originated.
- Also, the degree of win is irrelevant and the candidate may win by a landslide or a lucky draw.
- While a candidate representing only a part of the constituency is a dangerous problem on its own, it leads to more serious issues at the state and national level.
- It will encourage development of ethnic partiese. political parties base their plans, policies in favour of particular clan, religion, region, etc.
- Since there is delimitation of boundaries, cases of gerrymanderingcan occur.
- It leaves a large number of wasted voteswhich do not go towards the election of any candidate.
The other issue with the FPTP is that the threshold is so high that newer parties cannot enter the fray.
Introduction
Prime Minister recently launched the second phase of the Pradhan Mantri Ujjwala Yojana (PMUY) or Ujjwala 2.0 Scheme. It is aimed to provide maximum benefit to the migrants who live in other states and find it difficult to submit address proof. Now they will only have to give “Self-Declaration” to avail the benefit. Ujjwala is part of the ambitious agenda for behavioural change that will help India transit to a $5 trillion economy by 2024.
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Ujjwala is a step in the right direction:
- In the first phase of the PMUY, 8 crore poor families,including from the Dalit and tribal communities, were given free cooking gas connections.
- The LPG infrastructure has expandedmanifold in the country. In the last six years, more than 11,000 new LPG distribution centres have opened across the country.
- According to the Government figures, LPG coverage has increased from 55% to 97.4%. The scheme has acted as one of the biggest catalyst of socio-economic change in the status of women in the country.
- LPG Panchayats are being observed to promote learning through peer group interaction – Kuch Seekhein, Kuch Sikhayein, where apart from experience sharing, it also aims at safe and sustained usage of LPG.
- To make LPG affordable to poor families, OMCs have introduced 5 Kg refill option to Ujjwala beneficiaries where in Ujjwala beneficiary can swap 14.2 Kg cylinder with 5 Kg refill and vice versa.
- PMUY implementation has been appreciated by the World Health Organization (WHO) and termed it as a decisive intervention to check the indoor health pollution being faced by the women of the country.
Structural impediments faced in Ujjwala 1.0:
Cost issues:
- In a Performance Audit Report, the government’s audit watchdog said that encouraging the sustained usage of liquefied petroleum gas (LPG) remains a big challenge as the annual average refill consumption of PMUY consumers on 31 December 2018 was only 3.21.
- Low consumption of refills by 0.92 crore consumers who had availed loans, hindered recovery of outstanding loan of Rs1234.71 crore.
- Consumers were paying market price for refills till the loan repayment for stove and first refill was made. This led to some consumers not going in for such refills.
- Economic Burden: The increased monthly expenditure has shied many consumers away from LPG and lured them back to firewood and cow-dung cakes.
Administrative issues:
- laxity in identification of beneficiaries was noticed as 9,897 LPG connections were issued against Abridged Household List Temporary Identification Numbers (AHL TINs) where names of all family members and the beneficiary were blank in the Socio-Economic and Caste Census (SECC)-2011 list.
- Lack of input validation check in the IOCL software allowed issue of 0.80 lakh connections to beneficiaries aged below 18 years.
- issuance of connections to unintended beneficiaries.
- inadequacies in the de-duplication process: Out of 3.78 crore LPG connections, 1.60 crore (42%) connections were issued only on the basis of beneficiary Aadhaar which remained a discouragement in de-duplication.
- 59 lakh connections were released to beneficiaries who were minor as per the SECC-2011 data, which was in violation of PMUY guidelines and LPG Control Order, 2000.
Logistic issues:
- Lack of LPG cylinder bottling plants near rural areas and connectivity issues especially in the tribal areas.
- Last-mile connectivity and delivery still poses a great challenge.
- Delay of more than 365 days was noticed in installation of 4.35 lakh connections against stipulated time period of seven days.
- Adequate efforts were not made in distributing the small 5-kg cylinders for encouraging usage.
Safety and Behavioural issues:
- Safety has been another concern about distribution of LPG connection, especially to BPL families. Lack of awareness and safety amenities in beneficiary households have increased the likelihood of accidents.
- Cow-dung cakes lying around the house all the time. Hence, LPG cylinders are used on special occasions or during some kind of emergency or when it’s entirely too hot to burn wood.
- The CRISIL report also noted that 37% of households in rural areas procure cooking fuel or free.
- Agency: Most rural women do not have a say in determining when a refill is ordered, even though the connection is in their name.
Way Forward:
- Larger reach: The scheme should be extended to poor households in urban and semi-urban slum areas.
- Higher Coverage: There is a need for achieving a higher LPG coverage of the population by providing connections to households that do not have LPG.
- Targeting true beneficiaries: Entering Aadhaar numbers of all adult family members of existing as well as new beneficiaries to make deduplication effective and appropriate measures in distributors’ software to restrict issuance to ineligible beneficiaries.
- Curb diversion: Cases of high consumption of refills should be regularly reviewed to curb diversion.
- Increase Affordability: A case in point is state-run fuel retailers introducing a 5kg refill option to make purchases affordable.
- Increase Accessibility: Gas Agencies should be set up within 10km radius, especially in the rural and remote areas to increase accessibility.
- Increase Availability: Alternatives like Gas-grid and piped connections in cities and areas near the bottling plants can free up the cylinders for other areas.
- Promote ‘Give it up’: The initiative of the government to persuade the well-off to give up the LPG subsidies has added to the corpus of PMUY. Similar initiatives can be promoted.
- The Economic Survey, 2019 had also suggested a strategy tweak for improving the scheme’s efficacy by maintaining a centralized list of names of those who had given up their subsidies, independent of the gas company, and displaying their photographs.
- Encourage Private Players to set up LPG franchises at rural areas.
- Sensitization and Education of safe use of LPG though LPG Panchayats, NGO’s etc.
Conclusion:
PMUY is a novel scheme having twin benefits of women empowerment as well as environmental conservation. Ironing out the implementation issues can reap the envisioned benefits and lead to a sustainable future in energy consumption. Behavioural change, further strengthening of the supply chain, the shift towards cleaner energy should be the key priorities, going forward.
Value Addition:
The PMUY has helped the spread of LPG cylinders predominantly in the urban and semi-urban areas with the coverage mostly in middle class and affluent households. It aims to safeguard the health of women & children by providing them with a clean cooking fuel – LPG, so that they don’t have to compromise their health in smoky kitchens or wander in unsafe areas collecting firewood.
Features of Ujjwala 2.0:
- Under Ujjwala 2.0, an additional 10 million LPG connections will be provided to the beneficiaries.
- Government has also fixed a target of providing piped gas to 21 lakh homes in 50 districts.
- Under Ujjwala 2.0, migrant workers can avail a free cooking gas connection on the basis of a self-declaration without any need for documents like address proof.
- Ujjwala 2.0 aims to provide deposit-free LPG connections to low-income families who could not be covered under the first phase of PMUY.
- Along with deposit-free access to LPG supplies, the beneficiaries will also be provided with a stove (hotplate) free of cost. Under the scheme, the first gas cylinder is free worth over Rs 800, but consumers need to pay for subsequent cylinders.
- Cash assistance worth Rs 1,600 for a PMUY connection is provided by the government. The cash assistance covers a security deposit of cylinder, pressure regulator, LPG hose, domestic gas consumer card, and inspection/installation/demonstration charges.
Introduction
A results-based approach to governance is a hybrid model that is adaptive to the circumstances. It addresses weaknesses identified in other approaches through a judicious use of committees structured around Board responsibilities, rather than management responsibilities.
The United Nations Development Program recently lauded India’s Aspirational Districts Programme (ADP) for significant improvements in health, nutrition and education outcomes since its inception.
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Results-based governance ultimately aims to improve government service delivery
Case study of Aspirational Districts Programme:
- The ADP model relies on an innovative 3C approach of competition, convergence and collaboration.
- By fostering competition among districts, enabling convergence of schemes, and promoting collaboration across and beyond government, the programme places a razor-sharp focus on achieving results, with the data on its impact available for all to see.
- Data is at the very foundation of the ADP. Every month, districts are ranked based on the progress they have made on key indicators of health, education, agriculture, basic infrastructure, financial inclusion and skills development.
- This opens up a realm of possibilities for policymakers, for it not only helps in better understanding and identifying areas of intervention, but also allows for an accurate assessment of the effectiveness and impact of interventions undertaken.
- Over the last three years, the ADP has provided a scalable template for harnessing the speed, granularity and affordability of administrative data, while strengthening data quality.
- A public dashboard was built to transparently display district ranks, thereby creating an important accountability mechanism.
- Third-party household surveys were commissioned to get independent district-level data on the monitored sectoral outcomes.
- Automated systems for data quality checking were also built and worked closely with districts to address the issues that these systems detected.
Measures needed to improve the data collection for results-based governance:
- To improve the rigour of existing scheme-supervision processes.
- For most major government schemes, supervisors already conduct regular sample-based quality checks at sub-district levels.
- This is a great opportunity to ensure that quality problems are identified and corrected upstream.
- A standardized verification protocol will be followed, ensuring consistency across districts, and we will provide a mobile application to help supervisors efficiently document useful photo, audio and GPS data during their visits.
- The next step is targeted, frequent third-party back-checking of administrative data.
- Independent surveyors will verify a sub-sample of the beneficiaries checked during administration-led checks to ascertain whether the services they reportedly received were in fact received; whether the reality as reported by supervisors is representative of the ground reality.
- These independent back-checks are to be implemented with statistical rigour, deploying various methods, including field surveys, phone surveys and remotely-conducted photo, audio, video and GPS audits.
- Establishing cost-effective methods for independent verification will be key to this model’s sustainability.
- Given the large scale and increased rigour of administration-led checks, third-party checks will be targeted for relevant data points and number of beneficiaries covered, thereby minimizing additional costs.
- Frequent independent verification of administrative data will help recalibrate the incentives of supervisors, who know their work will be checked and will therefore run their own checks with greater fidelity.
- Providing regular, granular feedback to district authorities will help improve local capacity to monitor and fix data quality for improvements that are sustained over time.
- To tap the power of automation
- It helps to check large volumes of data efficiently, regularly, and with minimal human intervention.
- We will build an open-source widget that runs core quality checks and delivers user-friendly feedback reports for district authorities.
Conclusion
Governance and the quality of public services delivery can impact a country’s economic growth. The objective of public services is to deliver social protection to the poor and vulnerable and to alleviate poverty. Public services reduce inequitable distribution of resources and correct historical inequities, such as caste-based discrimination and gender inequities. Harnessing the potential of administrative data to implement better programmes, design robust policies and ultimately transform lives in India and across the world.
Value addition:
Some key Public Services are:
- Health care, Education, Social services for the poor and marginalized.
- Infrastructure –Roads, Railways, Airports, Telecommunications, Electricity, Water.
- Environmental protection, Waste Management, Sanitation (includes Toilets).
- Law enforcement, Fire service, Public transportation, Postal Services.
Importance of administrative data
- There is little or no cost associated with administrative data, since departments already collect such data to administer their programmes effectively.
- In addition, this data is collected at the most granular levels and reported at a high frequency.
- However, in the context of data quality, there is a need to continuously monitor and strengthen administrative data.
- Given capacity constraint- related errors in data entry and aggregation, lack of standardization and skewed incentives to inflate data and other data-related issues, there is a risk that the collated data does not conform to the required quality benchmarks.
- Without quality, data cannot serve as a meaningful signal of districts’ socio-economic outcomes, nor can it help district authorities make evidence-driven programmatic decisions.
- Lack of data would severely hinder and delay the understanding of our performance in critical areas such as health, education and sanitation, besides others.
- This would leave the administrators with little scope or available avenues for quantifying progress in a dynamic matter, limiting their ability to positively intervene.
- This would lead to a typical lag of at least 4-5 years for any data collected to become available and thus there would be delays in the assessment and evaluation of the district’s critical indicators.
Introduction
Arab- Israeli Ties historically have been conflict-ridden. Arab countries (including Egypt, Transjordan, Syria and Iraq) – fought their first war with Israel in 1948 after the formation of the state of Israel was announced. The war ended with Israel capturing more territories, including West Jerusalem, which was originally proposed by the UN Partition Plan as a Jewish state. After that, Israel and Arab states fought – the 1956 Suez conflict, the 1967 Six-Day War and the 1973 Yom Kippur War.
The Abraham Accords has been signed recently by the UAE, Bahrain and Israel, under U.S. President Donald Trump’s mediation. It marks a new beginning in the relations between the Sunni-ruled Gulf kingdoms and the Jewish state.
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Importance of the deal for Arab-Israeli relations:
- A landmark agreement:Given that the UAE is only the third Arab country and the first in the Gulf region to establish diplomatic relations with Israel.
- A new chapter in the ties: The UAE-Israel agreement comes after 26 years and if more countries in the Gulf follow the UAE’s lead, it would open a new chapter in Arab-Israel ties.
- Shared interests:The Jordanian-Israeli treaty came after Israel agreed to the formation of the Palestinian Authority in the West Bank and Gaza.
- But in the UAE-Israel deal, Israel has not made any actual concession to the Palestinians as the annexation plan was a threat.
- Although formally committed to an Arab consensus over a two-state resolution of the Palestine cause, the UAE and Bahrain have steadily moved towards having substantive links with Israel in recent years.
- Hence, the ‘Abraham Accords’ entered with the UAE and Bahrain are ‘peace-for-peace’ deals without any physical quid pro quo by Israel.
Opportunities for India
- Israel’s treaty with Egypt and Jordan did not have any major impact on India as our ties with them were relatively insignificant but now the case is different.
- India has eight million Indian diaspora in the Gulf which remits annually nearly $50 billion
- There is an annual merchandise trade of over $150 billion, sourcing nearly two-thirds of India’s hydrocarbon imports, major investments, etc.
- Diplomatic: In general, the Israel-Gulf Cooperation Council (GCC) eases India’s diplomatic balancing act on the Palestinian issue. Remittances from the regionconstitute a major chunk of total remittances to India.
- Strategic:A new arena of the proxy war between Iran and Israel cannot be ruled out, particularly in Shia pockets. India would have to be on its guard to monitor and even pre-empt any threat to its interests in the Gulf.
- Currently, India is the preferred sourceof manpower, food products, pharmaceuticals, gem and jewellery, light engineering items, etc in the gulf. But Israel can become a tough competitor to India.
- Israel has niche strengthsin defence, security and surveillance equipment, arid farming, solar power, horticultural products, high-tech, gem and jewellery, and pharmaceuticals.
- Israel has the potential to supply skilled and semi-skilled manpowerto the GCC states, particularly from the Arabic speaking Sephardim and Mizrahim ethnicities.
- Israel is known as the start-up nationand its stakeholders could easily fit in the various duty-free incubators in the UAE.
- Geopolitical:West Asia occupies an important position in international relations due to its geographical location and proximity to continents and countries South Asia, China, Central Asia, Europe, and Africa.
- Energy:The region is strategically significant due to its enormous energy resources, trade route links to different parts of the world. It is the world’s largest oil-producing region accounting for 34% of world production, 45% of crude oil exports and 48% of oil proven reserves.
- Defence and Security:India should use this unexpected opportunity to give itself a bigger role in a region which is its strategic backyard. The first step should be to ramp up defence and security relations with UAE. Israel is already a very close defence partner.
- While some work has already happened, India should leverage its economy for a bigger opening in this region.Importantly, India can use its good offices to ensure that any future deal on a regional security framework gives adequate space to Iran, which may be weak but not so weak that it cannot be a hugely disruptive power if it so chooses.
Way Forward for India
- India has consistently supported peace, stability and development in West Asia, which is our extended neighbourhood.
- In that context, India welcome the full normalization of ties between UAE and Israel.
- New Delhi will also need to watch ties with Iran, which has slammed the agreement and will see Arab-Israeli tie-ups as a direct threat to its security.
- The deal opens up new opportunities for India to play a much larger role in the regional security and stability in the Gulf, where New Delhi enjoys special relations with both Abu Dhabi and Jerusalem.
- This is a region where India has deep stakes in terms of energy supplies and expatriate populations.
- India should use this unexpected opportunity to give itself a bigger role in a region which is its strategic backyard.
- The first step should be to ramp up defence and security relations with UAE.
- Israel is already a very close defence partner. But India should restart joint exercises with UAE, and even Saudi Arabia.
- While some work has already happened, India should leverage its economy for a bigger opening in this region.
- Importantly, India can use its good offices to ensure that any future deal on a regional security frameworkgives adequate space to Iran, which may be weak
- But not so weak that it cannot be a hugely disruptive power if it so chooses. A balance between Shia and Sunni, between Persian and Arab, is key to any sustainable peace.
- In recent years, China has indicated its willingness to play a larger role in this region, and is close to both UAE and Israel and, increasingly, Saudi Arabia.
Conclusion
India should make its moves before this market and this extended neighbourhood come under the Chinese sphere of influence. The deal marks a historic day and a significant step forward for peace in the Middle East. Opening direct ties between two of the Middle East’s most dynamic societies and advanced economics will transform the region by spurring economic growth, enhancing technological innovation and forging closer people-to-people relations.
Value addition:
The Abraham Accords
- It has been signed recently by the UAE, Bahrain and Israel, under U.S. President Donald Trump’s mediation.
- It marks a new beginning in the relations between the Sunni-ruled Gulf kingdoms and the Jewish state.
- Under the agreement, the UAE and Bahrain would normalise ties with Israel, leading to better economic, political and security engagement.
- The agreements have the backing of Saudi Arabia, arguably the most influential Arab power and a close ally of the UAE and Bahrain. More Arab countries are expected to follow suit.
- This is the first agreement between Israel and Arab countries since the 1994 Jordan-Israel peace treaty.
Implications of the deal
- For the Palestinians: Palestinian issues ignored:Unlike the past two Arab-Israeli peace agreements, Palestinians do not figure prominently in the current one.
- Geopolitical implications of the deal: The UAE-Israel deal could sharpen the tripolar contest that is already at work in West Asia.
- The Saudi bloc, consisting of Egypt, the UAE, Bahrain and others, see their interests being aligned with that of the U.S. and Israel and their support for Palestine is dwindling. Turkey and Iran emergeas the strongest supporters of the Palestinians in the Muslim world.
Relevance of Arab League
- The deal is the success of Israel’s grand strategy aimed to gain the major political-security goal of countering Arab hostility through relations with alternate regional powers and potential allies.
- The Arab states professed unity of opinion on the demand for a Palestinian state.
- But now questions have arisen whether regional level deals will have an impact on perceptions of the Palestinian problem or not.
- Lack of reforms: A UNDP Human Development Report many points to deficits of knowledge, freedom and empowerment of women. Thus, absence of participatory governance and its institutions, disregard for individual freedoms, and the prevalence of one-person rule resulted in failure of Arab League.
- The Arab Uprising of 2011showed deep disagreements within the Arab world.
- Build diplomatic relations: According to the joint statement, the UAE and Israel would establish formal diplomatic relations.
- Israel will give up its takeover plans: Israel would suspend its plans to annex parts of the occupied West Bank, having Jewish settlements.
- Expanding ties with Arab world: The two Gulf States have, thus, joined Egypt and Jordan which had their peace treaties with Israel in 1979 and 1994, respectively.
- Israel will suspend declaring sovereignty over areas of the West Bankand focus its efforts on expanding ties with other countries in the Arab and Muslim world.
- Bilateral agreements:Delegations from Israel and the UAE would meet in the coming weeks to sign bilateral agreements regarding – investment, tourism, direct flights, security, technology, energy, healthcare, culture, the environment, etc.
General Studies – 3
Introduction
The Indian government has announced a WTO-compliant scheme called Remission of Duties or Taxes On Export Product (RoDTEP) which replaced MEIS starting 1 January, 2021. The finance ministry had set up a committee under the chairmanship of former commerce and home secretary GK Pillai to finalise the rates under RoDTEP that will allow reimbursement of all embedded taxes including local levies paid on inputs by exporters.
However, after much delay of 8 months the Government recently notified the rules and rates based on which exporters can claim rebates on taxes paid on their outbound cargo.
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Key differences between MEIS and RoDTEP:
Similarities between MEIS and RoDTEP:
- Both the schemes aim to boost exports by way of providing rewards and incentives.
- Both the schemes help to offset infrastructural inefficiencies and associated costs involved in exporting goods which are manufactured in India, including products manufactured by the MSME Sector.
- Both MEIS and RoDTEP seek to free up working capital of exporters.
- Both will be issued in the form of transferable scrips.
Impact of RoDTEP on exporters:
- At present, GST and import/customs duties for inputs required to manufacture exported products are either exempted or refunded. However, certain taxes/duties/levies are outside GST, and are not refunded for exports.
- The sequence of introduction of the scheme across sectors, prioritisation of the sectors to be covered, degree of benefit to be given on various items within the rates set by the committee will be decided and notified by the department of commerce. MEIS benefits would be discontinued on such tariff line/item for which benefit under RoDTEP Scheme is announced.
- The RoDTEP Scheme aims to refund all those taxes and levies which are presently disallowed, for example:
- Central & state taxes on the fuel (Petrol, Diesel, CNG, PNG, and coal cess, etc.) used for transportation of export products
- The duty levied by the state on electricity used for manufacturing
- Mandi tax levied by APMCs
- Toll tax & stamp duty on the import-export documentation
- Tax assessment is set to become fully automatic for exporters.
- Exporters will enjoy lower rates of interest on capital loans, higher insurance cover, financial incentives on exports
- Increased loan availability for exporters and provision of credit at reduced interest rates to MSMEs
- The Ministry of Finance will be working towards reducing the clearance time at airports and ports decrease delays in exports. Exporters will be able to monitor the clearance status real-time via a digital platform.
Conclusion:
Implementation of the scheme would make India a WTO-compliant exporter in the international market and the process that is promised by GOI seems to be a simpler and more transparent one for exporters, improving efficiencies in collection of refunds as well. However, the question of applicable rates remains open as of now, which may well form the crux of exporters’ concerns about the change and that is needed to be addressed. Then only the exporters can accrue true benefits from the scheme.
Value addition:
Merchandise Exports from India scheme (MEIS):
MEIS was introduced in the Foreign Trade Policy (FTP) for the period 2015-2020. The MEIS was launched as an incentive scheme for the export of goods. The rewards are given by way of duty credit scrips to exporters. The MEIS is notified by the DGFT (Directorate General of Foreign Trade) and implemented by the Ministry of Commerce and Industry.
- MEIS replaced the various export incentive schemes which gave different types of duty credit scrips namely, Focus Market Scheme (FMS), Focus Product Scheme (FPS), Vishesh Krishi Gramin Udyog Yojana (VKGUY), Market Linked Focus Product Scheme (MLFPS) and Agri Infrastructure incentive scheme.
- MEIS intended to incentivise exports of goods manufactured in India or produced in India. The incentives are for goods widely exported from India, industries producing or manufacturing such goods with a view to making Indian exports competitive. The MEIS covers goods notified for the purpose of the scheme.
- The incentives under the schemes are calculated as a percentage, which is 2%, 3% or 5% of the realised FOB (free-on-board) value exports in free foreign exchange or FOB value of exports as per shipping bills in free foreign exchange. The incentives are allotted through a MEIS duty credit scrip. The ‘free foreign exchange’ will include foreign exchange earned through international credit cards and other instruments allowed by the Reserve Bank of India (RBI).
- The duty credit scrips can be utilised to pay customs duties on import of inputs or goods, safeguard duty, anti-dumping duty and any other customs duty under FTP 2015-20. The scrips can also be transferred as well as used for importing goods against them.
- Exporters can request for a split of the duty credit scrip with a condition of each scrip valuing to at least Rs 5 lakh. The request can also be made after the issue of scrip, with the same port of registration as applicable for the original scrip. However, the procedure is applicable only in respect of EDI (Electronic Data Interchange) enabled ports. In the case of non-EDI ports, a duty credit scrip cannot be split after it is issued.
- The scheme provides the flexibility of import and payment to exporters and has removed many structural inefficiencies of the earlier incentive schemes.
Remission of Duties or Taxes on Export Products scheme (RoDTEP):
RoDTEP is a new scheme to replace the existing MEIS scheme for exports of goods from India, which aims to reimburse the taxes and duties incurred by exporters such as local taxes, coal cess, mandi tax, electricity duties and fuel used for transportation, which are not getting exempted or refunded under any other existing scheme. The rebate would be claimed as a percentage of the Freight On Board (FOB) value of exports.
The Indian government has recently approved this scheme and will be notified in a phased manner and accordingly Items will be shifted from existing scheme MEIS to RoDTEP with proper monitoring &audit mechanism.
This scheme will incentivise exporters at an estimated cost of Rs. 50,000croreto the exchequer.
Objectives of RoDTEP scheme:
- To boost exports Scheme for enhancing Exports to International Markets.
- To make Indian exports cost competitive and create a level playing field for Indian exporters in International market.
- To give a boost to employment generation in various sectors.
- It aims to boost dwindling outward shipments
Features of RoDTEP:
- Presently only 30% of total actual indirect taxes incurred by the exporters are refunded through existing MEIS scheme.
- Under the WTO rules, certain duties like state taxes on power, oil, water, and education cess are allowed to be refunded.
- In this backdrop, RoDTEP scheme framed in accordance with WTO guidelines which reimburses the taxes/ duties/ levies, at the central, state and local level, which are currently not being refunded under any other mechanism, but which are incurred in the process of manufacture and distribution of exported products and the following taxes will be refunded through this scheme.
- Taxes include VAT, Central excise duties on fuel used for transportation, electrical duties, which are not getting exempted or refunded under any other existing mechanism.
- Earlier incentives are provided in the form of transferable Scrips, but this new scheme aims at creating an Electronic credit ledger in the customs system which enables digital refund to exporters, duties and taxes levied at the centre, state and local levels.
Introduction
Micro, Small & Medium enterprises (MSME) termed as “engine of growth “for India, has played a prominent role in the development of the country in terms of creating employment opportunities. The Covid-19 pandemic has left its impact on all sectors of the economy but nowhere is the hurt as much as the Medium, Small and Micro Enterprises (MSMEs) of India.
The government, in conjunction with the Reserve Bank of India (RBI), has now launched a series of measures to alleviate their distress.
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MSME sector is indispensable for India’s growth:
- Contribution to GDP: The share of MSMEs in the country’s gross value added is estimated to be about 32%.
- Leveraging Exports: It also contributes about 40% to total exports and 45% to manufacturing output.
- Employment Opportunities: It employs 60 million people, creates 1.3 million jobs every year and produces more than 8000 quality products for the Indian and international markets.
- Diversity: There are approximately 30 million MSME Units in India and is quite diverse in terms of its size, level of technology employed, range of products and services provided and target markets.
- Fostering Inclusive Growth: MSME is constructing inclusive growth in numerous ways through promoting non- agricultural livelihood at least cost, unbiased regional development, large female participation, and providing a protection against deflation.
The challenges and concerns associated with the growth of MSME sector:
- Access to Credit:
- According to Economic Survey (2017-18), MSME sector faces a major problem in terms of getting adequate credit for expansion of business activities.
- The Survey had pointed out that the MSME received only 17.4 per cent of the total credit outstanding.
- Most banks are reluctant to lend to MSMEs because from the perspective of bankers, inexperience of these enterprises, poor financials, lack of collaterals and infrastructure.
- According to a 2018 report by the International Finance Corporation, the formal banking system supplies less than one-third (or about Rs 11 lakh crore) of the credit MSME credit need that it can potentially fund
- most of the MSME funding comes from informal sources and this fact is crucial because it explains why the Reserve Bank of India’s efforts to push more liquidity towards the MSMEs have had a limited impact.
- Poor Infrastructure:
- With poor infrastructure, MSMEs’ production capacity is very low while production cost is very high.
- Access to modern Technology:
- The lack of technological know-how and financial constraints limits the access to modern technology and consequently the technological adoption remains low.
- Access to markets:
- MSMEs have poor access to markets. Their advertisement and sales promotion are comparatively weaker than that of the multinational companies and other big companies.
- The ineffective advertisement and poor marketing channels makes it difficult for them to compete with large companies.
- Legal hurdles:
- Getting statutory clearances related to power, environment, labour are major hurdles.
- Laws related to the all aspects of manufacturing and service concern are very complex and compliance with these laws are difficult.
- Lack of skilled manpower:
- The training and development programs in respect of MSME`S development has been. Thus, there has been a constant crunch of skilled manpower in MSMEs
Other issues:
- Low ICT usage.
- Low market penetration.
- Quality assurance/certification.
- IPR related issues.
- Quality assurance/certification.
- Standardization of products and proper marketing channels to penetrate new markets.
Measures needed:
- Government of India and banks should design plans and measures to widen easy, hassle-free access to credit.
- The RBI should bring stringent norms for Non-Performing Assets (NPA) and it will help curbing loan defaulters and motivate potential good debts. Further, according to critics, the Credit Guarantee Scheme for MSME (CGTMSE) run by SIDBI is a growing contingent liability and needs to be examined with urgency
- Government should provide enhanced development and upgradation of existing rail & road network and other infrastructure facilities in less developed and rural areas to boost growth and development of MSMEs
- There should proper research and development in respect of innovative method of production and service rendering. Further, the government should promote and subsidise the technical know-how to Micro and small enterprises.
- Government should encourage procurement programme, credit and performance ratings and extensive marketing support to revive the growth of sick units.
- Skill development and imparting training to MSME workers is a crucial step to increase the productivity of the sector. The government should emphasise predominantly on skill development and training programs
- With Aatmanirbhar Bharat, the Centre has taken several steps redefining MSMEs, credit access, subordinate debt, preference in government tenders towards ‘energising the MSME sector’.
- It has also launched the MSME Udyam portal for registration, though this is not mandatory. Information asymmetry on government schemes and incentives on registration must be addressed.
- MSMEs need to be better integrated into the digital economy to expand their market access, diversify their customer base and solidify their supply chain.
- Industry and the Indian economy along with MSMEs would reap the benefits of leveraging technology, that will have positive ripple effects on the nation’s GDP and the creation of more jobs.
Way forward:
- The traditional concept of apprenticeship, which involves part-time work and is a widely accepted skilling practice, especially in weaving, handicraft and manufacturing units, does not find mention in India’s wage-protection rule-books. This oversight can be fixed via coverage by either the wage code or social security code rules, or perhaps the Shops and Establishments Act rules, as deemed appropriate
- Efforts need to focus on quality manufacturing, with the use of automation to enhance operations, and the exploration of new markets through e-commerce.
- This would require a holistic approach of hand-holding existing manufacturers in the sector, equipping both managers and their workforces with appropriate skills, and educating them on new technologies and standardization norms, even as we expose them to new market avenues and instil confidence in them that the country’s ecosystem would assist them in their expansion plans.
- New MSMEs, especially, should be encouraged to start off with this advantage.
- Skilling plans in accordance with sector-wise requirements will enable us to create appropriate job opportunities not just in India but also across the globe, as various developed economies need skilled manpower in a swathe of industries that cover manufacturing, software and healthcare.
- Indian policies need to be revisited so that discrepancies are removed and we encourage small units to take advantage of e-com platforms.
Conclusion:
Thus, Indian MSME sector is the backbone of the national economic structure and acts as a bulwark for Indian economy, providing resilience to ward off global economic shocks and adversities. Given the important role played by the sector in the economy, issues faced by it must be addressed on an urgent basis to revive the economy battered by the pandemic. Apart from the fiscal stimulus, the sector requires a political-economy approach that prioritizes MSME interests. India needs to ease the regulatory burden of small units and aid their survival through fiscal support. Above all, they need a level-playing field vis-à-vis big businesses.
Value addition:
Impact of COVID on MSME sector:
- A recently conducted survey finds that production in SMEs has fallen from an average of 75% to 13%.
- With 110 million employed by Indian SMEs, it is crucial to ensure adequate institutional support, failing which we might see an even larger impact on livelihoods.
- SMEs also account for a third of India’s GDP, 45% of manufacturing output and 48% of exports and hence are crucial to manufacturing and export competitiveness.
- With SMEs’ operational challenges exacerbated by Covid-19, it is all the more important to focus on this sector.
- SMEs will be vital in absorbing a significant proportion of the 600 million entrants to the labour market in EMEs by 2030.
- With a large proportion of these entrants bound to be from India, it is imperative that the Union and state governments ensure financial and institutional support for SMEs.
- In terms of location, SMEs are relatively evenly distributed in comparison to larger organisations.
- Rural areas account for 45%, while the remaining are in urban areas. Hence, SMEs are well-poised to address poverty in both the cities and villages.
- Although the proportion of urban poverty has declined over the years, it has increased in absolute terms.
- In 2018, Kolkata, Delhi, and Mumbai had anywhere between 42-55% of their population living in slums. This number is certain to have increased in the pandemic.
Introduction
A cyclone is a large-scale air mass that rotates around a strong center of low atmospheric pressure. IPCC research shows that the frequency and severity of cyclones will increase due to the warming of oceans and melting glaciers. Of India’s 7,500 kilometre coastline, almost 5,700 kilometres are highly vulnerable to the impacts of tropical cyclones and related hydro-meteorological hazards and consequently to recurrent loss of life and properties. Approximately 40 percent of the total population in the maritime states, lives within 100 kms of coastlines.
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Increased frequency of cyclones and its human and economic costs:
- The severe cyclones, Tauktae and Yaas, which battered India earlier this year, made landfalls on the country’s western coast, Gujarat, and the eastern coast, Odisha, on May 17 and May 26, 2021, respectively.
- Both storms caused massive damage to infrastructure, the agricultural sector, and houses.
- Government of India reports are that, put together, an estimated 199 people died, 37 million people were affected, and economic losses stood at ₹320 billion (U.S.$4.3 billion). In addition, crop area of 0.24 million hectares was affected, and around 0.45 million houses were damaged.
- Moreover, 2.5 million people were evacuated to cyclone shelters and relief camps in these two States.
- The large-scale uprooting of trees in the urban areas affected already depleting green cover.
- Thus, during the COVID-19 pandemic, these cyclones caused additional financial responsibility for State governments.
The interesting thing is that the frequency of tropical cyclones has decreased ever so slightly over the last 70 years. Instead, we are getting a much higher frequency of high-intensity storms. The reasons for the same are:
- Climate change is affecting a number of factors in the background that are contributing to making the impact of these storms worse.
- Climate change makes the rainfall intensities higher, increased influences of warming on specific events.
- Warmer seas mean there is more energy available for cyclones, which only form when the water reaches 26 degrees Centigrade.
- Global warming causes a sea-level rise, the resulting flooding is more intense than it would be without human-induced climate change.
- In previous decades, the further away you were from the Equator meant the cooler the seas became and so any tropical cyclones that formed didn’t have the energy to keep going. Now climate change is impacting that relationship.
- Under increasing sea-surface temperatures, we are seeing the line of constant temperature required for these storms to form moving further and further towards the South Pole
Measures needed to tackle such incidences:
Short term measures:
- provide cyclone forecasting, tracking and warning systems
- Construction of cyclone shelters, cyclone resistant buildings, road links, bridges, canals, drains etc.
- Establishing Early Warning Dissemination System (EWDS), and Capacity building for coastal communities.
- Mock drills, and training of local population and police by NDRF and SDRF
- Plantations of strong rooted trees, canopies, mangroves and proper vegetation cover which act as first line of defence.
- Proper drainage system throughout the city to discharge the water as soon as possible to avoid flood like conditions
- Use of NAVIC and RESOURCESAT-2 for disseminating coastal information and helping in disaster management.
- Implementation of National Cyclone Risk Mitigation Project
Long term measures:
- The National Cyclone Risk Mitigation Project (NCRMP), to be implemented with financial assistance from the World Bank, is envisaged to have four major components:
- Component A: Improvement of early warning dissemination system by strengthening the Last Mile Connectivity (LMC) of cyclone warnings and advisories.
- Component B: Cyclone risk mitigation investments.
- Component C: Technical assistance for hazard risk management and capacity-building.
- Component D: Project management and institutional support.
- These components are highly interdependent and have to be implemented in a coherent manner.
- The NDMA had come up with its National Guidelines of Management of Cyclones in 2008. The basic premise of these guidelines is that the mitigation has to be multi-sectoral.
- Developing Integrated Coastal Zone Management (ICZM) frameworks for addressing the sustainability and optimal utilisation of coastal resources as also cyclone impact minimisation plans.
- Ensuring cyclone resistant design standards are incorporated in the rural/ urban housing schemes in coastal areas
- Implementing coastal flood zoning, flood plain development and flood inundation management and regulatory plans.
- Coastal bio-shields spread, preservation and restoration/ regeneration plans.
- There is a need for private sector participation in designing and implementing policies, plans, and standards.
- Need of Disaster Management program to be inclusive including women, civil society, and academia.
Conclusion:
India should prepare to mitigate and deflect the destruction caused by Cyclones. We need to employ technology, strict following of command structure and most importantly the participation and cooperation of local communities in the affected area.
Value addition:
Other impacts on Coastal cities in India
- Economic costs: India lost around 2% of GDP and 15% of total revenue over 1999-2020. According to the Global Climate Risk Index report 2021, India ranks the seventh worst-hit country globally in 2019 due to the frequent occurrence of extreme weather-related events. Moreover, the report showed that India lost around 2,267 human lives, while damages stood at $68,812 million in Purchasing Power Parity (PPP) terms in 2019. In the same year, India ranked first concerning human deaths and economic losses due to extreme weather-related events.
- Coastal Flooding:It is likely to reshape the coastlines and potentially inundate or even submerge many low-lying areas. Cities like Mumbai, Chennai, and Hyderabad are endangered by cyclone storms.
- Destruction of Coastal Biodiversity: Frequent storms can cause destructive erosion, wetland flooding, aquifer and agricultural soil contamination with salt, and lost habitat for biodiversity.
- Dangerous Storm Surges:Higher sea levels are coinciding with more dangerous hurricanes and typhoons leading to loss of life and property.
- Regional Climate: Tropical cyclones can quickly change the environment of the affected areas. They can bring warmer air into hot places. This makes the atmosphere feel very sticky and muggy and rises the temperature dramatically. This can cause heat strokes and other heat related illness to children and the elderly after the storm which is not good.
- Fishing and livelihood: Loss of habitat and Loss of juveniles and brood fishes. Loss of livelihoods of farmers and fishermen: Statistics show that the global average annual losses from cyclones and storm surges are estimated at US$ 80 billion. Small fishermen with no state-of-the-art technology are usually advised to stay off the seas before and during the cyclones.
- Lateral and Inland Migration:Flooding in low-lying coastal areas is forcing people to migrate to the higher ground causing displacement and dispossession and in turn a refugee crisis
- Effect on Communications Infrastructure:The prospect of higher coastal water levels threatens basic services such as internet access.
- Threat to Inland Life:Rising seas can contaminate soil and groundwater with salt threatening life farther away from coasts.
- Tourism and Military Preparedness:Tourism to coastal areas and military preparedness will also be negatively affected by an increase in cyclone storms
General Studies – 1
Introduction
Lord Curzon was a true successor of Lord Dalhousie. He was great imperialist, authoritarian in temperament, ruthless in his ways and wanted to achieve too much at too great pace. The time of his governorship (1899-1905), was the formative phase of Indian national movement. He tried to strangulate Indian nationalism and freedom movement by all fair and foul means.
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Systemic attack of nationalists through repressive policies of Lord Curzon:
- Calcutta Corporation act 1899: Through this, he reduced the number of elected legislatures to deprive Indians from self-governance.
- Punjab Land Alienation Act, 1900: Curzon Government enacted the Punjab Land Alienation Act of 1900 which placed a 15-year limitation on all land purchases and mortgages. It put restrictions on the transfer of lands of the peasants to money-lenders in cases of failure of payment of their debts, Curzon attempted to bring about improvement in revenue administration.
- Official Secrets Act (1904): It was amended to curb the nationalist tone of Indian newspapers
- Indian Universities Act, 1904: Main aim was to bring the Universities under the supervision of the government and the Act served that purpose. the government was authorised to change, amend and even reject the proposals of the Senate. The government, on its own, could also frame rules and regulations concerning functioning of the Universities. The colleges were subjected to inspections and were placed under strict watch by the government through the Universities.
Partition of Bengal, 1905:
- In July 1905, Curzon announced the partition of the undivided Bengal Presidency.
- The Presidency was the most populous province in India, with around 8 crore people, and comprised the present-day states of West Bengal, Bihar, parts of Chhattisgarh, Odisha, and Assam, as well as today’s Bangladesh.
- A new province of East Bengal and Assam was announced, with a population of 3.1 crore, and a Muslim-Hindu ratio of 3:2. Bengal, the western province, was overwhelmingly Hindu.
- While the move was ostensibly aimed at making the administration of the large region easier, Curzon’s real intentions were far less benign.
- He looked at Indians with contempt and insulted and injured their feelings. He described Bengalis as cowards, windbags, impracticable talkers and mere frothy patriots. He even refused to meet to president of Indian national congress.
- Divide and rule:
- The partition separated the largely Muslim eastern areas from the largely Hindu western areas
- It was definitely the ‘divide and rule’ policy for the Indians and the whole population was outraged about the fact that the colonisers were turning native population against itself in order to rule.
- It was seen as an intrigue to divide Hindus and Muslims. It was seen as dividing the Bengalis from Bengalis and was not acceptable.
- Although the reasons for the partition was all administrative
- Bengal was as large as France and had a significantly larger population
- Curzon had stated that the eastern region was neglected and under-governed and hence, by splitting the province, an improved administration could be established there.
- The other reason for partition is believed to be that the Hindus were in a better position in terms of economic status and professional qualities than the Muslims; and during the pre-Sepoy Mutiny period, Hindu traders had greatly helped the British while their Muslim counterparts did not.
- This had made the British angry
Conclusion:
Lord Curzon came to India (1899-1905) with a strong determination to stem the rising tide of nationalism. He ruled India as a Britisher whose primary-concern remained the safety of the British empire. Moreover, he believed in the superiority of the English race and therefore, in his behaviour, language and policies he ignored the welfare and feelings of the Indians. In turn, the Indians were provoked and did not fail to exhibit their deep resentment against his policies and views.
Value addition:
Implications of the partition:
- The partition of Bengal in 1905 was one measure which created deep discontentment among the Indians.
- The Swadeshi Movement was the expression of the outrage triggered in Bengal by the partition of the province of Bengal in 1905.
- The partition led to widespread protest all across India, starting a new phase of the Indian national movement.
- His policies gave a fertile ground for the emergence of revolutionary terrorist movements in India and across the globe. E.g. Muzzafarpur Bomb incident by Khudiram Bose and Prafulla Chaki.
- The partition of Bengal sowed the seeds of Communalism between Hindus and Muslims, which finally ended up in partition of India and Pakistan in 1947,
- Tall leaders like Gandhi, Tilak emerged on the scene with inclusion of wide base of women and students.
- A strong phase of nationalism in the form of Swadeshi began with many new universities, chemical companies etc.
- New forms of protests like picketing of shops, huge bonfires, mass congregations and oath-taking were seen in the region of Bengal.
Introduction
Census of India 2011 explained slums as residential areas where dwellings are unfit for human habitation by reasons of dilapidation, overcrowding, faulty arrangements and design of such buildings, narrowness or faulty arrangement of street, lack of ventilation, light, or sanitation facilities or any combination of these factors which are detrimental to the safety and health. The slum is an inevitable part of modern urbanization and the urban poor are active agents serving the non-slum dwellers and contribute to economic growth.
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Slums in India:
- Out of 4,041 Statutory Towns in Census 2011 Slums reported from 2,543 Towns (63%)
- Largest number of slums reported from Maharashtra (21,359)
- People who are living in slums increased from 52 million in 2001 to 65.5 million 2011
Factors responsible for growth of slums:
- Rapid growth of population:
- Population explosion and poverty force the urban poor to live in slums and that leads to an increase in the size of slums.
- Also, a regional imbalance in development creates rural to urban migration, thus increasing the overall urban population density which pressurizes the urban poor to move into slums.
- In the past 15 years, India’s urban population density has increased by 45%. It is further estimated that 40% of the population will live in urban areas by 2026.
- With increasingly densified urban population, there exists a huge demand for land.
- This shortage of land forces the urban poor to live in increasingly dense communities creating slums in the process.
- Poor Urban governance:
- A major factor for growth of slums use of rigid, often outdated urban planning regulations, which are typically bypassed by slum dwellers to meet their housing needs.
- Another issue is the failure of governments to incorporate slum dwellers as part of the overall planning process.
- This is often due to the inability of many governments to keep pace with urbanization because of ill-designed policies, lack of resources and corruption.
- Administrative failure:
- City authorities faced with rapid urban development lack the capacity to cope with the diverse demands for infrastructural provision to meet economic and social needs.
- Not only are strategic planning and intervention major issues in agenda to manage rapid urbanization, but city governments are not effectively linking the economic development trajectory to implications for urban growth and, hence, housing needs.
- Unavailability of affordable housing:
- Rising material costs and labor costs resulting from labor shortage is another reason for the growth of slums as it makes developers unable to deliver affordable housing to the market.
- The gap between growing demand for affordable urban housing and insufficient supply has encouraged the formation of slums.
- Whenever the demand surplus is not met by formal sectors, this gap is typically filled by an informal dwelling such as a slum
- Limited access to financial resources:
- slum dwellers typically inhabit marginal locations such as dumping grounds mainly due to the low purchasing power of slum dwellers in formal land markets when compared with high-income groups.
- Further, the urban poor lack the access to formal financial resources to help them purchase new homes or maintain a new life in a new housing unit.
- Rural to Urban Migration:
- Rural to urban migration is one of the primary drivers of growth of slums in Indian cities.
- Urban centres which are not equipped to support additional population, fail to cope up with high influx of people which ultimately causes several problems such as housing shortages, unemployment, and development of slums.
- Social factors:
- Moreover, social backwardness forces people to live in congested areas away from main areas. For example, more Scheduled Castes (SCs) live in slums – with one out of every five residents belonging to the SC category.
Social consequences of Slums:
- Perpetuating cycle of Poverty: Income or capability poverty is considered, with some exceptions, as a central characteristic of slum areas. It is not seen as an inherent characteristic of slums, but as a cause (and, to a large extent, a consequence) of slum conditions. Slum conditions are physical and statutory manifestations that create barriers to human and social development. Furthermore, slums are social exclusion areas that are often perceived to have high levels of crime and other social dislocation measures. In some definitions, such areas are associated with certain vulnerable groups of the population, such as recent immigrants, internally displaced persons or ethnic minorities. Low income characteristically means poor nutrition, elementary or no education, little or no medical care which undermines human capital development and slum dwellers are trapped in the vicious cycle of poverty.
- Social problems: Socially, slums remain isolated from rest of the urban society and exhibit pathological social symptoms like drug abuse, alcoholism, crime, vandalism and other deviant behavior. The lack of integration of slum inhabitants into urban life reflects both, the lack ability and culture barriers. Women and children living in slums are prone to become victims of social evils like prostitution, beggary and child trafficking. Slum dwellers in general and regardless of gender, often become victims of such social evils.
- Health:Since slums are not connected to basic services such as clean water, sanitation and hygiene facilities, residents are at great risk of contracting water-borne and respiratory diseases. High population density, lack of proper toilets and close proximity of homes allow diseases to spread quickly. People living in slum areas are also prone to suffer from waterborne diseases such as typhoid and cholera, as well as from more fatal ones like cancer and HIV/AIDS.
- Lack of basic services/ amenities: The slums are characterised by lack of access to sanitation facilities and safe water sources, absence of waste collection systems, electricity supply, drainage. These are sometimes supplemented by lack of surfaced roads and footpaths and street lighting. According to Census 2011, among the slums in India-
- 58% have open or no drainage
- 43% must bring water from outside their communities
- 26% do not have access to clean drinking water
- 34% have no latrine within premises; 19% open defecate
- 2 electricity outages occur per day
- Substandard housing: Slum areas are associated with a high number of substandard housing structures, often built with non-permanent materials unsuitable for housing and in dilapidated conditions.
- Overcrowding: Overcrowding is associated with a low space per person, high occupancy rates, cohabitation by different families. Many slum dwelling units are overcrowded, with a large number of people sharing a one-room unit used for cooking, sleeping and living.
- Unhealthy living conditions and hazardous locations: Unhealthy living conditions are the result of a lack of basic services, open sewers, lack of pathways, uncontrolled dumping of waste, polluted environments, etc. Further, slums come up in hazardous locations such as in proximity to industrial plants with toxic emissions or waste disposal sites. Hunger, malnourishment, lack of quality education, high infant mortality, child marriage, child labour are some of the other social problems prevalent in slums.
- High incidence of crime rate: Slum areas are also commonly believed to be places that generate a high incidence of crime. This is due to official neglect towards education, law and order, and government services in slum areas.
Way Forward:
- The focus should not only on building houses for the slum dwellers but also promoting livelihood options and social and economic infrastructure to develop the livelihood.
- For effective urban planning, housing and population policies based on housing rights and the right to a clean environment must be established at all levels. These policies should be directed at inclusive cities and poverty alleviation
- Attention must be paid to income generation, transport and empowerment of the beneficiaries to redress possible future problems
- A three-pronged approach to Slum Free city should be adopted:
- Provision of clear, free title to the residents, so that they enjoy the privileges of using property as a tangible asset
- To upgrade the infrastructure and services providing water, power, and sewage connections to individual homes, the collection of solid waste, street lighting and neighbourhood security and police support
- The creation of high-density, low income zoning that allows individual property owners to upgrade their homes without risk, rent out their properties to formal commercial establishments
Value addition:
Government Initiatives:
- National Slum Development Programme (NSDP):Initiated in 1996, NSDP provided both loans and subsidies to states for slum rehabilitation projects on the basis of their urban slum population.
- Valmiki Ambedkar Malina Basti Awas Yozana (VAMBAY):Introduced in 2001, it focused on shelter for the urban poor, with 20% of total allocation for community sanitation facilities under the Nirmal Bharat Abhiyan (NBA) program
- Basic Services to the Urban Poor (BSUP):BSUP was an important component of Jawaharlal Nehru National Urban Renewal Mission (JNNURM). BSUP aimed to provide basic services to urban poor in 63 of the largest cities in India by population
- Integrated Housing & Slum Development Programme (IHSDP):Integrated Housing & Slum Development Programme (IHSDP) was launched by GoI by merging the schemes of NSDP and VAMBAY. The objective of the scheme is to provide adequate Shelter and basic infrastructure facilities to the slum dwellers in urban areas.
- Interest Subsidy Scheme for Housing the Urban Poor (ISHUP): The Scheme envisages the provision of interest subsidy to economically weak section and Low income groups to enable them to buy or construct houses.
- Rajiv Awas Yojana (RAY):Launched in 2013, the scheme focussed on:
- Bringing existing slums within the formal system and enabling them to avail of the same level of basic amenities as the rest of the town;
- Redressing the failures of the formal system that lie behind the creation of slums; and
- Tackling the shortages of urban land and housing that keep shelter out of reach of the urban poor.
- Pradhan Mantri Awas Yojana- “Housing for All (Urban):Launched in 2015, the scheme seeks to provide central assistance to implementing agencies through States and UTs for providing houses to all beneficiaries by 2022. It incorporates the following:
- “In-situ” slum rehabilitation with participation of private developers using land as a resource. This approach aims to leverage the locked potential of land under slums to provide houses to the eligible slum dwellers bringing them into the formal urban settlement.
- Promotion of Affordable Housing for weaker section through credit linked subsidy
- Affordable Housing in Partnership with Public & Private Sectors
- Subsidy for beneficiary-led individual house construction/enhancement
- Slum areas (Improvement and Clearance) Act, in the year 1956:The act aimed at mechanical improvement or complete eradication of slums. It empowers the competent authority to declare any slum area in accordance with the definition, look into possibilities of improvement or eradicate slums.
Introduction
Demographic transition refers to a population cycle that begins with a fall in the death rate, continues with a phase of rapid population growth and concludes with a decline in the birth rate. India is in transition phase between 3rd and 4th stages of demographic transition. Population exploded in 1970s/80s, but has shown a declining rate of population growth in the last two decades.
According to Census 2011, the decadal population growth rate has declined by about 5 percentage points to 16-17%. India has one of the youngest populations in an aging world. By 2020, the median age in India will be just 28 years. Demographics can change the pace and pattern of economic growth.
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Challenges in India to reap the demographic dividend:
- Poor human capital: Formation reflected in low employability among India’s graduates and postgraduates. According to ASSOCHAM, only 7 % of MBA graduates have employable skills in India, and only around 20-30 % of engineers find a job suited to their skills. Technological change is making labour partially or wholly redundant in a number of sectors, across the world.
- Low human development reflected in the human development report of UNDP. According to the Human Development Index of 2016, India stood at 131 out of 188 countries. Life expectancy at birth in India (68 years) is much lower than other developing countries (Sri Lanka – 75 years, China – 76 years). The mean years of schooling and the expected years of schooling are still low at 6.3 years and 11.7 years respectively.
- Jobless growth: India’s high growth rate phase (2004-05 to 2010-11) has created significantly fewer jobs as compared to previous decades of economic growth. Around 47 % of India’s population is still dependent on agriculture which is notorious for underemployment and disguised unemployment. Majority of the workforce is employed by the unorganized sector where workers are underpaid and lack any kind of social security.
- Falling female labour force participation: According to data from International Labour Organization and World Bank, India’s female labour force participation rates have fallen from 34.8 % in 1990 to 27 % in 2013. This has further declined to 23.7 % in 2016, as per the data from the Labour Ministry. Socio-cultural factors and rising family incomes have been identified as the main reasons for this decline. Another appalling concern is that a significant proportion of qualified women drop out of the workforce for reasons ranging from no suitable jobs in the locality—particularly in rural areas—to family responsibilities and marriage.
- Poor Socio-Economic factors: The quality of primary schooling and teachers in India is very poor. ASER reports show the quality of education among children. Moreover, because modern ailments such as obesity are increasing in many developed countries, there is no guarantee that adult longevity will continue to increase perpetually.
Way forward:
- To be able to harness the potential of this large working population, which is growing by leaps and bounds, new job generation is a must. The nation needs to create jobs to absorb the addition of young people into the workforce.
- Improved infrastructure, skill development, access to easy finance, reducing barriers to entrepreneurship and forums for mentorship of emerging entrepreneurs in partnership with corporates are some of measures.
- India has to invest more in human capital formation at all levels, from primary education to higher education, cutting-edge research and development as well as on vocational training to increase the skill sets of its growing working-age population.
- The current situation calls for more and better schools, especially in rural areas. It also calls for better transportation links between rural areas and regional urban hubs.
- Equally important focus on elderly people to make use of their wisdom and experience.
- Increasing the number of formal jobs in labour intensive, export-oriented sectors such as textiles, leather and footwear, gems and jewelry These sectors also have a higher share of the female workforce.
- The flagship schemes such as Skill India, Make in India, and Digital India have to be implemented to achieve convergence between skill training and employment generation.
- Increased use of technology in all sectors.
- The government must also ensure better quality of jobs with a focus on matching skill-sets and job opportunities.
- There is a need to look into these qualitative issues of job satisfaction, job profile and skill matching, and the creation of opportunities for entrepreneurship in order to be able to harness the vast potential of human resources.
Conclusion:
A multi-pronged approach is imperative to reap the second demographic dividend. There is also a need to engage with the youth and create an enabling environment for entrepreneurship. The demographic dividend offers them a unique opportunity to boost living standards, but they must act now to manage their older populations in the near future by implementing policies that ensure a safe and efficient transition from the first demographic dividend to the second demographic dividend.
Value addition:
Stages of demographic transition:
- Stage I: It is characterized by high birth rate, death rate and low rate of population growth.
- Stage II: It is characterized by high and stationary birth rate, rapidly declining death rate and very rapid increase in population.
- Stage III: It is characterized by a falling birth rate, low and stationary death rate and rapidly rising population. India is currently in this stage of transition.
- Stage IV: It is characterized by low birth rate and low death rate with stationary population at a low level.
- Stage V: It is characterized by death rate slightly exceeding the birth rate, and this causes population decline. This stage has only been recently recognized, and there are very few countries that are considered in stage 5.
Consequences of demographic transition in India:
- India is one of the largest developing countries in the world and a country of growing economic and political importance not only in Asia, but in the world at large. It is in the midst of a momentous demographic transition.
- As a consequence of baby boom, reduction in infant and child mortality rates, increase in access to better medical aid, improvement in hygiene and better education the age structure of a country is transformed which reflects the demographic
- India’s demographic transition is reflected in its changing age composition, specifically in the share of the working-age population, which we refer to as the economically productive population or Active Asset.
- This “active asset” of our country has the potential to enhance our countries growth prospects. The greater the share of the population in the working –age group; the more will be the savings and investments in the economy.
- Though, India is the second most populous country of the world, it is 1210.6 million according to 2011 census and its population is increasing continuously; out of the total population, the Active Asset/economically productive age group of 15-59 years constitute of 729.9 million people that is 60.3 percentage of the whole population.
- On the other hand, the 60+ age people constitute only 8.6 percentage of the population. Thus, we can say that India is experiencing its “first demographic dividend”.
- A study on demographic dividend in India by United Nations Population Fund (UNFPA) throws up two interesting facts.
- The window of demographic dividend opportunity in India is available for five decades from 2005-06 to 2055-56, longer than any other country in the world.
- This demographic dividend window is available at different times in different states because of differential behaviour of the population parameters
General Studies – 2
Introduction
The judges of the Supreme Court and High Court in India are appointed by President as per article 124(2) and 217 of the constitution. In such appointment, the President is required to hold consultation with such of the Judges of the Supreme Court and of the High Courts in the States as he may deem necessary for the purpose. For the first time ever, the Supreme Court Collegium led by the Chief Justice of India (CJI) recommended/selected as many as nine persons at one go to be appointed to the apex court.
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Evolution of the process of selection of judges to the Supreme Court in India
Collegium system is the system of appointment and transfer of judges that has evolved through judgments of the Supreme Court, and not by an Act of Parliament or by a provision of the Constitution.
The collegium system has its genesis in a series of Supreme Court judgments called the ‘Judges Cases’. The collegium came into being through interpretations of pertinent constitutional provisions by the Supreme Court in the Judges Cases.
FIRST JUDGES CASE:
- In S P Gupta Vs Union of India, 1981, the Supreme Court by a majority judgment held that the concept of primacy of the Chief Justice of India was not really to be found in the Constitution.
- It held that the proposal for appointment to a High Court can emanate from any of the constitutional functionaries mentioned in Article 217 and not necessarily from the Chief Justice of the High Court.
- The Constitution Bench also held that the term “consultation” used in Articles 124 and 217 was not “concurrence” – meaning that although the President will consult these functionaries, his decision was not bound to be in concurrence with all of them.
- The judgment tilted the balance of power in appointments of judges of High Courts in favour of the executive. This situation prevailed for the next 12 years.
SECOND JUDGES CASE:
- In The Supreme Court Advocates-on-Record Association Vs Union of India, 1993, a nine-judge Constitution Bench overruled the decision in S P Gupta, and devised a specific procedure called ‘Collegium System’ for the appointment and transfer of judges in the higher judiciary.
- It was this judgment that was sought to be reviewed in the petition filed by the National Lawyers’ Campaign for Judicial Transparency and Reforms.
- Underlining that the top court must act in “protecting the integrity and guarding the independence of the judiciary”, the majority verdict in the Second Judges Case accorded primacy to the CJI in matters of appointment and transfers while also ruling that the term “consultation” would not diminish the primary role of the CJI in judicial appointments.
- “The role of the CJI is primal in nature because this being a topic within the judicial family, the executive cannot have an equal say in the matter. Here the word ‘consultation’ would shrink in a mini form. Should the executive have an equal role and be in divergence of many a proposal, germs of indiscipline would grow in the judiciary,” it held.
- Ushering in the collegium system, the court said that the recommendation should be made by the CJI in consultation with his two senior most colleagues, and that such recommendation should normally be given effect to by the executive.
- It added that although it was open to the executive to ask the collegium to reconsider the matter if it had an objection to the name recommended, if, on reconsideration, the collegium reiterated the recommendation, the executive was bound to make the appointment.
THIRD JUDGES CASE:
- In 1998, President K R Narayanan issued a Presidential Reference to the Supreme Court over the meaning of the term “consultation” under Article 143 of the Constitution (advisory jurisdiction).
- The question was whether “consultation” required consultation with a number of judges in forming the CJI’s opinion, or whether the sole opinion of CJI could by itself constitute a “consultation”.
- In response, the Supreme Court laid down nine guidelines for the functioning of the quorum for appointments and transfers – this has come to be the present form of the collegium, and has been prevalent ever since.
- This opinion laid down that the recommendation should be made by the CJI and his four senior most colleagues, instead of two.
- It also held that Supreme Court judges who hailed from the High Court for which the proposed name came, should also be consulted.
- It was also held that even if two judges gave an adverse opinion, the CJI should not send the recommendation to the government.
The current procedure of appointment of Supreme Court judges
In Supreme Court Advocates on Record Association v. Union of India, the Court held that the ‘collegium system’ as it existed before NJAC, would again become operative. But the Court also ordered for the introduction of appropriate measures in order to improve the 21 years old ‘collegium system’ resultantly the memorandum of the procedure is brought into working i.e. now ‘collegium system’ will work as per ‘MOP’.
- The MOP may indicate eligibility criteria such as the minimum age
- in order to bring transparency in the appointment process, the appointment procedure of judges as detailed in MOP ought to be made available on the website of the concerned Court
- The MOP may provide for the establishment of the secretariat for better management of’ collegium system’
- The MOP may provide for an appropriate mechanism to deal with complaints against anyone who is being considered for appointment as a judge
These were the broad suggestions that were given by the Court to enhance the ‘collegium system’ Till date, this mechanism is being followed to appoint judges of the Supreme Court.
Flaws in the Collegium system:
- Credibility of the SC:
- Controversial collegium system of judicial appointments undermines the independence of judges and raises doubts about the credibility of the highest court.
- There is a failure to make an assessment of the personality of the contemnor at the time of recommending his name for elevation.
- Example: The controversy over the proposed elevation of Justice P.D. Dinakaran of the Karnataka High Court to the Supreme Court by the collegium of the Chief Justice and four senior-most judges of the Supreme Court was criticized for overlooking apparently suitable judges by the collegiums
- The judiciary off late has been caught in many such situations of credibility crisis off late.
- The executive has little or no role in the appointment of judges as a result.
- Lack of Transparency:
- Justice J Chelameswar once wrote a dissenting verdict, criticising the collegium system by holding that “proceedings of the collegium were absolutely opaque and inaccessible both to public and history, barring occasional leaks”.
- The lack of a written manual for functioning, the absence of selection criteria, the arbitrary reversal of decisions already taken, the selective publication of records of meetings prove the opaqueness of the collegium system.
- No one knows how judges are selected, and the appointments made raise the concerns of propriety, self-selection and nepotism.
- The system often overlooks several talented junior judges and advocates.
- Lack of Consensus among Members:
- The collegium members often face the issue of mutual consent regarding appointment of judges.
- The shadow of mistrust between the members of the collegium exposes the fault lines within the judiciary.
- For instance, recently retired CJI Sharad A. Bobde was perhaps the first chief justice to have not made even a single recommendation for appointment as SC judge due to lack of consensus among the collegium members.
- Unequal Representation:
- The other area of concern is the composition of the higher judiciary. While data regarding caste is not available, women are fairly underrepresented in the higher judiciary.
- Delay in Judicial Appointments:
- The process of judicial appointment is delayed due to delay in recommendations by the collegium for the higher judiciary.
- Nepotism:
- Unfortunately, in some cases, it has not covered itself with glory. There have been cases where the nearest relative of Supreme Court judges has been appointed as a high court judge, ignoring merit.
- During the regime of Chief Justice Ranjan Gogoi, judges far lower in the combined All India Seniority of High Court judges were appointed to SC, and the reason assigned was that those selected were found more meritorious.
- Supreme court is overburdened:
- The Supreme Court did not realise the burden it was imposing on the collegium of selecting judges for the Supreme Court and High Courts and transferring them from one High Court to another.
- An administrative task of this magnitude must necessarily detract the judges of the collegium from their principal judicial work of hearing and deciding cases.
- NJAC, A Missed Opportunity:
- The National Judicial Appointments Commission (NJAC) could guarantee the independence of the system from inappropriate politicization, strengthen the quality of appointments and rebuild public confidence in the system.
- The decision was struck down by the SC in 2015 on the ground that it posed a threat to the independence of the judiciary.
Reforms needed in the collegium system:
- The need of the hour is to revisit the existing system through a transparent and participatory procedure, preferably by an independent broad-based constitutional body guaranteeing judicial primacy but not judicial exclusivity.
- The collegium members have to make a fresh start and engage with each other.
- A transparent process adds accountability that is much needed to resolve the deadlock.
- Individual disagreements over certain names will continue to take place, but care must be taken that the institutional imperative of dispensation of justice does not suffer.
- The new system should ensure independence, reflect diversity, demonstrate professional competence and integrity.
- The system needs to establish a body which is independent and objective in the selection process.
- In several countries of the Commonwealth, National Judicial Appointment Commissions have been established to select judges.
- Such judicial commissions have worked with success in the U.K., South Africa and Canada.
- Setting up a constitutional body accommodating the federal concept of diversity and independence of judiciary for appointment of judges to the higher judiciary can also be thought of as an alternate measure.
- There should be a fixed time limit for approval of recommendations.
- As of now, instead of selecting the number of judges required against a certain number of vacancies, the collegium must provide a panel of possible names to the President for appointment in order of preference and other valid criteria.
- New memorandum of procedure:
- After the Second and Third Judges Cases, a Memorandum of Procedure had been formulated to govern how the process of how the Collegium would make recommendations to the Executive.
- The government therefore suggested that a new MOP be drafted and finalised for appointment of SC judges and the Executive to get a veto over candidates for national security reasons in this new MOP.
Conclusion:
Till 1973, from appointing senior-most judge of Supreme Court as CJI to gradually developing a ‘collegium system’ through precedence established by the Supreme Court judgements in three Judges’ case to appoint judges of the Supreme Court, the ‘collegium system’ evolved so far has ensured ‘independence of the judiciary’. Further, the working of the collegium system under the protocol of MOP is hitherto the best possible way to appoint a judge of the Supreme Court of India. However, with the need of time, a more efficient system surely needs to be found so that appointment procedure could be fairer and the judiciary will have the best possible minds as judges.
Introduction
The primary role of police forces is to uphold and enforce laws, investigate crimes and ensure security for people in the country. Under the Constitution, police is a subject governed by states. There has been almost 30 years of debate on policing and reform in India.
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Evolution of police reforms in India:
- Since 1902 little has changed. The Police Act of 1861 still guides and governs our police system. The colonial mindset of the police, the distrust people had for the police in British India has continued to date.
- So far, we have seen either bad reforms or no reforms in making the police relevant to highly insecure India that is prone to various threats from both inside and outside its geopolitical borders.
- Police is an exclusive subject under the State List ( List II, Schedule 7 of the Indian Constitution). States can enact any law on the subject of police.
- But most of the states are following the archaic Indian Police Act 1861 with a few modifications.
- Police have become the ‘subjects’ of Parliamentarians and legislators – with a high degree of politicization and allegiance towards ruling party.
- Starting from the second Police Commission in 1902 headed by A.H.L. Fraser, there have been many commissions and committees formed to look into reforming the police in India.
- Prominent among them are: Gore Committee on Police Training, the National Police Commission, The Ribeiro Committee on Police Reforms, The Padmanabhaiah Committee on Police Reforms (summary), Prakash Singh Vs Union of India – SC directives for Police Reforms and Soli Sorabjee Committee.
- The 22 September, 2006 verdict of the Supreme Court in the Prakash Singh vs Union of India case was the landmark in the fight for police reforms in India. Unfortunately, even the directions of SC have not been implemented by the states.
- The Supreme court ordered the states and UTs to implement the directions immediately either through legislation or executive order.
- But, the police – politician nexus is so much deep-rooted that states are reluctant to implement any of the directions.
- In 2010, the SC asked for the personal presence of Chief Secretaries of 4 major states(Karnataka, WB, Maharashtra and UP) to learn the progress and give stern directions.
- On April 12, 2013, the Supreme Court again sternly asked states and the Union government to furnish before it the details of actions taken by them in establishing Security Commissions as ordered by it in its 2006 verdict.
- Instead of following SC’s ruling, the Centre called a meeting of states and asked them to implement some of the recommendations of 2nd Administrative Reforms Commission.
Key reasons hindering both police reforms:
- An overburdened police force:
- Police force is overburdened especially at lower levels where constabulary is forced to work continuously 14-16 hrs and also for 7 days a week. It adversely impacts their performance.
- While the sanctioned police strength was 181 police per lakh persons in 2016 when the United Nations recommended standard is 222 police per lakh persons.
- 86% of the state police comprises of constabulary. Constables are typically promoted once during their service. This could weaken their incentive to perform well.
- Improving police infrastructure:
- Failure of police infrastructure like vehicles, weaponry. Also audits have found that the POLNET network is non-functional in various states.
- For example, an audit of the Gujarat police force reported that the network had not been operationalised till October 2015 due to non-installation of essential infrastructure, such as remote subscriber units and generator sets.
- Funds dedicated for modernisation of infrastructure are typically not utilised fully. For example, in 2015-16, only 14% of such funds were used by the states.
- Political influence:
- Second Administrative Reforms Commission has noted that ministers have used police forces for personal and political reasons.
- Police accountability:
- Police forces have the authority to exercise force to enforce laws and maintain law and order in a state. However, this power may be misused in several ways.
- Poor quality of investigation:
- Crime per lakh population has increased by 28% over the last decade (2005-2015). However, convictions have been low. So it shows the poor quality of investigation.
- The Law Commission and the Second Administrative Reforms Commission have noted that state police officers often neglect investigation because they are understaffed and overburdened with various kinds of tasks.
- Further, they lack the training and the expertise required to conduct professional investigations.
- They also have insufficient legal knowledge and the forensic and cyber infrastructure available to them is both inadequate and outdated. In light of this, police forces may use force and torture to secure evidence.
- Crime investigations may be influenced by political or other extraneous considerations
- Forensic labs:
- Expert bodies have however said that these laboratories are short of funds and qualified staff. Further, there is indiscriminate referencing of cases to these labs resulting in high pendency.
- Lack of co-ordination between centre and states is matter related to maintenance of law & order results in ineffective functioning of police force.
- Police force is not in the position to tackle present problems of cybercrime, global terrorism, Naxalism because of structural weaknesses.
- Prevalence of Rank system within the police force results in abuse of power by top level executive over lower-level personnel.
Reforms needed:
- Directions of the Supreme Court in Prakash Singh vs Union of India:
- Fixing the tenure and selection of the DGP to avoid situations where officers about to retire in a few months are given the post.
- In order to ensure no political interference, a minimum tenure was sought for the Inspector General of Police so that they are not transferred mid-term by politicians.
- Postings of officers should be done by Police Establishment Boards (PEB) comprising police officers and senior bureaucrats to insulate powers of postings and transfers from political leaders.
- Set up State Police Complaints Authority (SPCA) to give a platform where common people aggrieved by police action could approach.
- Separate investigation and law and order functions to better improve policing.
- Set up of State Security Commissions (SSC) that would have members from civil society.
- Form a National Security Commission.
- Independent Complaints Authority:
- The Second Administrative Reforms Commission and the Supreme Court have observed that there is a need to have an independent complaints authority to inquire into cases of police misconduct.
- Example is that of the New York City Police which has a Civilian Complaint Review Board comprising of civilians appointed by local government bodies and the police commissioner to investigate into cases of police misconduct.
- Investigation:
- Experts have recommended that states must have their own specialized investigation units within the police force that are responsible for crime investigation.
- Padmanabhaiah commission:
- It has also been recommended that constables, and the police force in general, should receive greater training in soft skills given they need to deal with the public regularly.
- Housing:
- Importance of providing housing to the constabulary (and generally to the police force) to improve their efficiency and incentive to accept remote postings has also been emphasised by expert bodies, such as the National Police Commission.
- Community policing: Janamaithri Suraksha in Kerala
- This project is an initiative of the Kerala Police to facilitate greater accessibility, close interaction and better understanding between the police and local communities. For example, Beat Constables are required to know at least one family member of every family living in his beat area.
- Meira Paibi (Torch-bearers) in Assam: The women of the Manipuri Basti in Guwahati help with improving the law and order problem in their area, by tackling drug abuse among the youth. They light their torches and go around the basti guarding the entry and exit points, to prevent the youth of the area from going out after sunset
- Courts:
- The Madras High Court has said that the state government should contemplate giving policemen a day off in a week like other government officials in order to spend time with their families.
- The court suggested introducing an 8-hour, three-shift system for police personnel. It will help them rejuvenate themselves and relieve them from stress.
- Evidence based policing is gaining credibility day by day – Indian police force must be exposed to it.
- Second ARC recommended that the government should declare certain crimes as “federal” and entrust their investigation to a Central agency.
- Police need to have the operational freedom to carry out their responsibilities professionally, and satisfactory working conditions, while being held accountable for poor performance or misuse of power.
- Gender Parity in Police force: The 2nd Administrative Reform Commission recommended that the representation of women in police at all levels should be increased through affirmative action so that they constitute about 33% of the police.
- Improvement in Intelligence gathering: The intelligence gathering machinery in the field needs to be strengthened and at the same time, made more accountable. Human intelligence should be combined with information derived from diverse sources with the focus on increased use of technology.
Conclusion:
The police force needs to be freed from the stranglehold of the executive and given functional autonomy to enforce the rule of law. Police should be a SMART Police -a police which should be strict and sensitive, modern and mobile, alert and accountable, reliable and responsible, tech-savvy and trained.
Introduction
India has always been a strong proponent of an Afghan-led, Afghan-owned, broad-based and inclusive process of peace and reconciliation in Afghanistan. However, a collapse of the Afghan government and return of the Taliban marks the beginning of a new phase in the India-Afghanistan relationship.
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Need for India to engage with Taliban:
Strategic interests:
- Taliban engaging with Pakistan deep state will not be in India’s best interest.
- The role of Pakistan is going to expand significantly, with the US depending upon it to implement the interim deal. This will be a diplomatic victory for Pakistan.
- If India does not engage now Russia, Iran, Pakistan and China will emerge as the shapers of Afghanistan’s political and geopolitical destiny, which for sure will be detrimental to Indian interests.
- US administration’s collision course with Iran is another hurdle to realising its South Asia policy. Iran is a neighbour to both Afghanistan and Pakistan, and any action against Tehran will have consequences on the region.
- US is also against Iran which is important to give access to the sea to landlocked Afghanistan through Chabahar port- which is in India’s interests etc.
- The U.S. has announced a new, surprise formation of a “Quad” on regional connectivity — U.S.-Uzbekistan-Afghanistan-Pakistanthat does not include India.
Trade and Significant investments:
- India has made significant investments in Afghanistan and needs patience in protecting its existing trade, investment and strategic interests in the country.
- The launch of a dedicated air-freight corridor and operationalization of the Chabahar Port in Iran in 2017 gave a much-needed impetus to trade. India’s untapped export potential in Afghanistan is estimated at $825.9 million.
- India has a significant comparative advantage and thus export potential in pharmaceutical products and transport vehicles, apart from apparel, etc.
- In 2017, bilateral trade crossed the $1 billion mark, and in 2020, it was estimated at $1.4 billion.
- Sugar and sugar confectionery, man-made filaments, apparel and pharmaceutical products are India’s top items of export to Afghanistan.
- Trade is tilted in favour of India, which has consistently maintained a trade surplus with Afghanistan. It was estimated at $344 million in 2020.
Connectivity
- India sees Afghanistan as a gateway to Central Asia, as the country offers access to Central Asian energy markets and connectivity projects.
- India’s complex relationship with its immediate neighbour to the north-west and the recent border standoff with China imply that roundabout routes must be found to reach broader markets in Central Asia.
- The Chabahar Port provides an alternate route for trade between India and Afghanistan.
- Thus, despite US sanctions on Iran, India received a waiver to develop this Arabian Sea port and an associated railway line to Zahedan in Iran by demonstrating that this was a way to economically support the landlocked territory of Afghanistan.
- In March 2021, India proposed the extension of membership to Afghanistan and Uzbekistan in the International North South Transport Corridor (INSTC) project and envisaged an ‘eastern corridor’ comprising a land route between Kabul and Tashkent (in Uzbekistan).
- India has also suggested the inclusion of Chabahar Port in the INSTC route.
- The completion of this project will help India increase the scope of trade multifold and could yet act as a game changer in India’s Eurasia and Central Asia trade policy.
- India and Afghanistan signed a strategic partnership agreement in October 2011.
- This provided Afghanistan with assistance in rebuilding its infrastructure and institutions.
- The construction of Afghanistan’s parliament building, restoration of its Stor Palace, rebuilding of Habibia High School and reconstruction of its Salma dam, now known as the Afghan-India Friendship Dam, are among the various projects carried out by India.
- As of November 2020, India’s development portfolio in Afghanistan amounted to $3 billion, with over 400-plus projects covering all 34 of its provinces.
- India also provides assistance to Afghan nationals under its Indian Technical and Economic Cooperation (ITEC) and Indian Council for Cultural Relations (ICCR) programmes, thus helping the country realize its development potential by aiding the skill development of its human resources.
- So far, more than 65,000 students have studied in India under various scholarships, and there are 15,000 such students presently.
Way forward:
- Open dialoguewith the Taliban should no longer be a taboo; it is a strategic necessity. Therefore, our outreach must now be direct and unambiguous.
- Perhaps most importantly, opening up the congested north-western frontieris key to bringing India’s continental grand strategy on an even keel, a process India has already started.
- Backchannel talks with Pakistan and a consequent ceasefire on the Line of Control, political dialogue with the mainstream Kashmiri leadership, secret parleys with Taliban all indicate that India is opening up its congested north-western frontier.
- Proactive engagementof the Taliban will provide this effort with more strategic heft.
- India needs to reassess its policy choicesin close coordination with Russia and Iran, constantly reminding them that complete surrender to the Taliban’s demands will be detrimental to their own security.
Conclusion:
Defeatism or a lack of ambition for the India-Afghanistan relationship at this juncture would be much more detrimental to India’s interests than anything the Taliban’s return to Afghanistan’s political centre-stage can do. India needs to reassess its policy choices in close coordination with Russia and Iran, constantly reminding them that complete surrender to the Taliban’s demands will be detrimental to their own security.
General Studies – 3
Introduction
Asset Monetization involves the creation of new sources of revenue by unlocking of the value of hitherto unutilized or underutilized public assets. Internationally, it is recognized that public assets are a significant resource for all economies. A 4 year National Monetisation Pipeline (NMP) was unveiled by the Finance Minister which will create further value for infrastructure creation in the country. It will explore innovative ways of private participation without transfer of government ownership.
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Asset Monetisation will help India in the following ways:
- NMP aims to provide a medium term roadmapof the programme for public asset owners; along with visibility on potential assets to the private sector.
- The NMP will run co-terminus with the National Infrastructure Pipelineof Rs 100 lakh crore announced in December 2019.
- An empowered committeehas been constituted to implement and monitor the Asset Monetization programme. The Core Group of Secretaries on Asset Monetization (CGAM) will be headed by the Cabinet Secretary.
- Real time monitoringwill be undertaken through the asset monetization dashboard. The government will closely monitor the NMP progress, with yearly targets and a monthly review by an empowered committee
- The top 5 sectors(by estimated value) capture ~83% of the aggregate pipeline value. These include: Roads (27%) followed by Railways (25%), Power (15%), oil & gas pipelines (8%) and Telecom (6%)
- Mobilising Private Capital:Since the assets are de-risked as it is brownfield projects, it will help in mobilising private capital (both domestic & foreign). Global investors have revealed that they are keen to participate in projects to be monetised through a transparent/competitive bidding process.
- Less Resistance:The plan involves leasing to private sector without transferring ownership or resorting to fire sale of assets. Therefore, it is going to face less resistance from the opposition.
- Cooperative Federalism:To encourage states to pursue monetisation, the Central government has already set aside Rs. 5,000 crore as incentive.
- If a state government divests its stake in a PSU, the Centre will provide a 100 per cent matching value of the divestment to the state.
- If a state lists a public sector undertaking in the stock markets, the Central government will give it 50 per cent of that amount raised through listing.
- If a state monetises an asset, it will receive 33 of the amount raised from monetisation from the Centre.
- Promoting Public-Private Partnership:The end objective of NMP is to enable ‘Infrastructure Creation through Monetisation’ wherein the public and private sector collaborate, each excelling in their core areas of competence, so as to deliver socio-economic growth and quality of life to the country’s citizens.
Potential bottlenecks to NMP
- Lack of identifiable revenue streams in various assets.
- Inadequate level of capacity utilisation in gas and petroleum pipeline networks.
- Lack of dispute resolution mechanism.
- Regulated tariffs in power sector assets.
- Low interest among investors in national highways below four lanes.
- Lack of independent sectoral regulators.
Conclusion
Monetisation of assets is not new. But the government has finally organised it in baskets, set targets, identified impediments, and put in place a framework. While unlocking assets worth Rs. 6 lakh crore is an ambitious plan, resolving the impediments is expected to bring investors.
Value addition:
Key features of the National Monetisation Pipeline
- The NMP’s roadmap has been formulated by NITI Aayog in consultation with infrastructure line ministries, under the ‘Asset Monetisation’ mandate of the Union Budget 2021-22.
- The sectors in which assetsare being identified to monetise include roads, ports, airports, railways, power generation and transmission, telecom, warehousing, gas & product pipeline, mining, stadium, hospitality and housing.
- For now, the government has only included the assets of infrastructure line ministries and Central Public Sector Enterprises (CPSEs) working in the infrastructure sectors.
- Monetisation through disinvestment and monetisation of non-core assets have not beenincluded in the NMP.
The framework for monetisation of core asset monetisation has three key imperatives:
- Monetisation of rights not ownership which means the assets will have to be handed back at the end of transaction life. The overall transaction will be structured around revenue rights.
- Brownfield de-risked assets: There is no land here, this entire (NMP) is about brownfield projects where investments have already been made and there is a completed asset which is either languishing or it is not fully monetised or is under-utilised.
- Structured partnerships under defined contractual frameworks & transparent competitive bidding, where Contractual partners will have to adhere to Key Performance Indicators and Performance Standards.
The assets and transactions identified under the NMP are expected to be rolled out through a range of instruments.
- These include direct contractual instruments such as public private partnership concessions and capital market instruments such as Infrastructure Investment Trusts (InvIT) among others.
- For Ex:Under the plan, private firms can invest in projects for a fixed return using the InvIT route as well as operate and develop the assets for a certain period before transferring them back to the government agency.
- The choice of instrument will be determined by the sector, nature of asset, etc.
Introduction
India needs 25 million tonnes of edible oils to meet its requirement at current consumption level of 19 kg per person per year. India is dependent on imported edible oils, with nearly 15 million tonnes (MT) of edible oils getting imported to meet the country’s annual requirement of about 22 mt. Of the total 15 MT of import, about 9 MT (or nearly 60 per cent) is palm oil and its derivatives.
Aimed at making India self-sufficient in edible oils, National Mission on Edible Oils and Oil Palm (NMEO-OP) involves an investment of over ₹11,000 crore towards palm oil development.
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NMEO – OP will help achieve the much-desired self-reliance in palm oil:
- NMEO covering three Sub-Missions to increase production of oilseeds and edible oils from
- Primary Sources (Annual Crops, Plantation Crops and Edible TBOs),
- Secondary Sources (Rice bran oil and Cotton seed oil) and
- Consumer Awareness for maintaining edible oil consumption constant at 00 kg per person per annum.
- The proposed mission will aim to increase production from 30.88 to 47.80 million tonnes of oilseeds which will produce 7.00 to 11.00 million tonnes of edible oils from Primary Sources by 2024-25.
- Similarly edible oils from secondary sources will be doubled from 3.50 to 7.00 million tonnes.
- As per the roadmap, the government will work towards shooting up the cultivation of oil palm to 10 lakh hectares and 16.7 lakh hectares by 2025-26 and 2029-30 respectively.
- It is expected to incentivise production of palm oil to reduce dependence on imports and help farmers cash in on the huge market.
- The special emphasis of the scheme will be in India’s north-eastern states and the Andaman and Nicobar Islands due to the conducive weather conditions in the regions.
- Under the scheme, oil palm farmers will be provided financial assistance and will get remuneration under a price and viability formula.
- Along with promoting the cultivation of oil palm, this mission will also expand the cultivation of our other traditional oilseed crops.
- The following action points will be initiated for increasing production and productivity of oilseeds and promotion of Secondary Sources of Edible oils:
- Increasing seed replacement rate and varietal replacement rate
- Promotion of oilseed in rice fallow/ potato areas
- Promotion of oilseeds through intercropping
- Extending oilseed cultivation in non-traditional area
- Targeting 100 low productivity districts
- Crop diversification in different regions
- Promotion of community-based oil extraction unit
- Value addition and promotion of export
- Promotion of rice bran and cotton seed oil
- Consumer awareness for judicious consumption of oils for good health
Concerns which NMEO-OP poses:
Environmental Consequences:
- Studies on agrarian change in Southeast Asia have shown that increasing oil palm plantations is a major reason for the region’s declining biodiversity. Indonesia has seen a loss of 1,15,495 hectares of forest cover in 2020, mainly to oil palm plantation.
- From 2002-18, Indonesia lost 91,54,000 hectares of its primary forest cover.
- Along with adversely impacting the country’s biodiversity, it has led to increasing water pollution.
- The decreasing forest cover has significant implications with respect to increasing carbon emission levels and contributing to climate change.
- The Northeast is recognised as the home of around 850 bird species.
- The region is home to citrus fruits, it is rich in medicinal plants and harbours rare plants and herbs.
- Above all, it has 51 types of forests. Studies conducted by the government have also highlighted the Northeast’s rich biodiversity.
- The palm oil policy could destroy this richness of the region.
- The policy also contradicts the government’s commitments under the National Mission for Sustainable Agriculture: “Making agriculture more productive, sustainable, remunerative and climate resilient by promoting location specific integrated/composite farming systems.” The palm oil mission, instead, aims at achieving complete transformation of the farming system of Northeast India.
Political Consequences:
- Palm oil plantations have stoked conflict between government policies and customary land rights.
- Such rights are major livelihood sources for forest-dependent communities.
- Legislation allowing the clearing of tree cover and cutting forests for growing palm trees has led to increasing land-related tussles between government officials, locals and agro-business groups in Malaysia and Indonesia.
- The North-eastern states of India are politically sensitive areas, and the oil palm initiative could breed tension there.
Socio-Economic Consequences:
- Such initiatives are also against the notion of community self-reliance: The initial state support for such a crop results in a major and quick shift in the existing cropping pattern that are not always in sync with the agro-ecological conditions and food requirements of the region.
- Studies have shown that in case of variations in global palm oil prices, households dependent on palm oil cultivation become vulnerable – they manage to sustain themselves with help of proactive state intervention.
- A sizable number of small landholders continues to depend upon other sources of income.
- In other words, such an agricultural shift is not self-sustaining and makes local communities vulnerable and exposes them to external factors.
Way forward:
- Farm-level measures
- Irrigation increases the yield. Example: groundnut oil production swings up and down on a wide basis with just 20-25 per cent of the crop under irrigation. Soybean oil, production of which nearly doubled between 2003-04 and 2013-14, has been able to contribute what it did with just less than 1% of the crop under irrigation cover (in contrast, rapeseed-mustard crops have 70-75 per cent irrigation cover).
- Targeted focus based on the agro-climatic conditions and incentivisation of farmers to cultivate the suitable crop of region. Example: oil palm cultivation where India imports the maximum from South-east Asian countries.
- Large scale adoption of agro-ecological methods like System of Crop Intensification, Relay Cropping is needed. This will not only increase productivity but also reduce use of water resources, and reduce cost of cultivation for farmers.
- Institution-level measures
- Better extension systems with downward accountability with the last mile extension gaps plugged as is happening with many agro-ecology centred programmes, productivity can be improved. The practising farmers become Community Level Resource Persons (CRPs).
- Community level planning processes and institutional frameworks have enabled better utilisation of scarce resources like groundwater for emergency irrigation for groundnut cultivation in states like Andhra Pradesh. These need to be replicated on a large scale.
- Policy-level measures
- Higher import duties for imported oil, Remunerative prices, Assured procurement, Domestic pricing will enthuse farmers by increasing their net returns.
- Policies and missions like NMOOP, ISOPOM to incentivise the very cultivation of oilseeds on a per hectare basis.
- Provide incentives to private sector participation in processing and value addition in oilseed crops. Also, constraints for low-capacity utilization should be addressed.
- Research and Development
- There is a need to enlarge the scope of research, technology diffusion and institutional intervention to re-energize the oil sector.
- This would include increase public research spending in oilseed crops for development of biotic and abiotic stress tolerant varieties.
Conclusion
India must become self-sufficient in edible oil production and this must become a part of India’s Aatmanirbharta. Certain WTO compliant incentives must be given to farmers in increasing the growth of oilseed production in the country to ensure domestic cultivation.
Value addition:
National Mission on Edible Oils – Oil Palm (NMEO – OP):
To increase domestic availability and reduce import dependency, a National Mission on Edible Oils (NMEO) is proposed for next five years (2020-21 to 2024-25).
Aims and Objectives of the scheme:
- Achieve self-reliance in edible oil.
- Harness domestic edible oil prices that are dictated by expensive palm oil imports.
- To raise the domestic production of palm oil by three times to 11 lakh MT by 2025-26.
Introduction
Climate justice can be defined “as a form of environmental justice, climate justice is the fair treatment of all people and the freedom from discrimination in the creation of policies and projects that address climate change as well as the systems that create climate change and perpetuate discrimination.” It is a term used for framing climate change as an ethical and political issue, rather than one that is purely environmental or physical in nature.
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Climate change and its impacts on the disadvantaged groups:
- Around the world, people are experiencing both the subtle and stark effects of climate change.
- Gradually shifting weather patterns, rising sea levels and more extreme weather events are devastating evidence of both a rapidly changing climate and an urgent need for solutions.
- While the impacts of climate change affect every country on every continent, they don’t do it equally.
- People already burdened by poverty and oppression often suffer the harshest consequences, while having the least ability to cope. Their struggle to earn a living, feed their families and create stable homes is made more difficult every day the climate crisis continues.
- Low-income communities, people of colour, indigenous people, people with disabilities, older or very young people, women – all can be more susceptible to risks posed by climate impacts like raging storms and floods, increasing wildfire, severe heat, poor air quality, access to food and water, and disappearing shorelines.
- The increased frequency and intensity of such extreme weather events drive people from their homes and jeopardizing food sources and livelihoods. All these effects increase the likelihood of more conflict, hunger and poverty.
- It is a global justice concern that those who suffer most from climate change have done the least to cause it.
The idea of ‘climate justice’ will go a long way in achieving equity in sustainability:
- The concept of climate justice acknowledges that because the world’s richest countries have contributed most to the problem, they have a greater obligation to take action and to do so more quickly.
- Climate justice demands to look beyond the environmental and ecological consequences of climate change and take strong political action to secure the future generations.
- It humanises the effect of climate change and insists on a shift from a discourse on greenhouse gases and melting ice caps into a civil rights movement with the people and communities most vulnerable to climate impacts at its heart.
- Climate Justice links human rights and development to achieve a human-centred approach, safeguarding the rights of the most vulnerable and sharing the burdens and benefits of climate change and its resolution equitably and
- Climate justice is informed by science, responds to science and acknowledges the need for equitable stewardship of the world’s resources.
Measures needed to achieve climate justice:
- Respect and Protect Human Rights
- Support the Right to Development
- Share Benefits and Burdens Equitably
- Recognize the key groups that are differently affected by climate change
- Ensure that decisions on Climate Change are participatory, transparent and accountable
- Highlight gender equality and equity
- Harness the transformative power of education for climate stewardship
- Use effective partnerships to secure climate justice
Way forward:
- Organizations like the Climate Justice Alliance are working to bring race, gender, and class considerations to the centre of the climate action discussion.
- The NAACP is also advocating for efforts to reduce greenhouse gas emissions and advance clean energy while promoting food justice, transportation equity, and civil rights in emergency planning.
- And the UN and IPCC each continue to place greater emphasis on these issues.
- In order to create climate justice, gender equality must also be brought into the conversation
Conclusion
We now know that climate change is not just an environmental or sustainable development concern involving trade-offs. It requires a civilisational transformation in what we value, the way we live, and how we interact with one another.
Value Addition:
India’s role in ensuring Climate Justice
- India is currently setting up voluntary targets in the international forums to commit itself to the mission to combat climate change. It is also playing a major role in climate change mitigation.
- India’s proactive role in mitigating climate change is due to the domestic compulsion of tackling issues like the need for poverty eradication, food and nutritional security, universalization of health and education, water security, sustainable energy, employment
- India is of the opinion that the developing countries’ need for inclusive growth, sustainable development, poverty eradication and universal access to energy must be made the fundamental differentiation between them and the developed nations.
- Currently, the Conventions recognise that the historical emissions of the developed nations as the basis for differentiation between the developed and developing nations.
- Being a developing nation, India also has come up with many initiatives to make India a carbon neutral economy, especially with schemes such as Mega Solar park, FAME and so on.
Introduction
The appointment of the Chief of Defence Staff (CDS) and the creation of the Department of Military Affairs (DMA) are momentous steps towards the integration and advancement of defence forces. An integrated theatre command envisages a unified command of the three Services, under a single commander, for geographical theatres (areas) that are of strategic and security concern.
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Integrated Theatre Commands is a necessary reform:
- The integrated theatre commanderwill not be answerable to individual Services, and will be free to train, equip and exercise his command to make it a cohesive fighting force capable of achieving designated goals.
- The logistic resources required to support its operations will also be placed at the disposal of the theatre commanderso that it does not have to look for anything when operations are ongoing.
- This isin contrast to the model of service-specific commands which India currently has, wherein the Army, Air Force and Navy all have their own commands all over the country. In case of war, each Service Chief is expected to control the operations of his Service through individual commands, while they operate jointly.
Challenges with the current structure:
- There has been no occasion,during actual warfare, when the three services have not operated with commendable cooperation.
- Faraway land war and medium to high intensity wars are a distant possibility.
- With increased communication networks,interaction between three organizations is easy, they can come on board, can plan without much consideration of spatial distance, so there is no need for a new organisation.
- Domain knowledge of the integrated force commander is likely to be limitedin respect of the other two Services components under his command, thereby limiting his ability to employ them in the most suitable manner and at the appropriate time.
- None of the present 17 commands is co-located at the same station, nor are their areas of operational responsibility contiguous.
- In addition, there are 2 tri-service commands Strategic Forces Command (SFC)and Andaman and Nicobar Command (ANC), which is headed by rotation by officers from the 3 Services.
- The SFC (Strategic Forces Command),looks after the delivery and operational control of the country’s nuclear assets. It was created in 2003, but because it has no specific geographic responsibility and a designated role, it is not an integrated theatre command but an integrated functional command.
- There has been a demand for other integrated functional commands, such as the cyber, aerospace and Special Operations commands,but the government is yet to approve any.
Way forward
- Given that actors, threats and the environment will change in uncertain ways, the structure must be simple, flexible and adaptable.
- the ideal solution for India is to have four geography-based theatres—Northern, Southern, Eastern and Western—each equipped to use land, sea, air, space and cyber power to handle all threats in their areas.
- The chain of command should run from the Cabinet Committee on Security, through the defence minister, directly to the theatre commander, with the CDS and defence secretary in the loop but outside the chain. Like in the United States, this entire structure should be covered by parliamentary statute, not merely by executive decisions.
Conclusion
The meaning of networked warfare has changed from equipping armed forces with data networks to reorganizing the forces themselves into networked units. Instead of forever playing catch-up, India has a unique opportunity to leapfrog into building not only integrated, but networked forces.
