IASbaba's Flagship Course: Integrated Learning Programme (ILP) - 2024  Read Details

Posts

SYNOPSIS [9th February,2021] Day 26: IASbaba’s TLP (Phase 1): UPSC Mains Answer Writing (General Studies)

For Previous TLP (ARCHIVES) - CLICK HERE   SYNOPSIS [9th February,2021] Day 26: IASbaba’s TLP (Phase 1): UPSC Mains Answer Writing (General Studies)   1. Infrastructure expansion has significant multiplier effect for the economy. Do you agree? What are the current constraints of infrastructure expansion in India? Discuss. Approach- Question is straight forward. In the backdrop of economic recession role of infrastructure is important to outline. How infrastructure is responsible for growth can be shown in body with constraints in system. Answer can be concluded with way forward. Introduction Infrastructure spending is expected to have a multiplier effect on overall economic growth, primarily based on the Keynesian theory that aggregate demand can be reactivated by increasing public expenditure. Improved infrastructure will enhance the overall productive capacity of the economy and its global competitiveness. Body As India faces its deepest recession since Independence, infrastructure spending can help spur economic activity and the involuntarily unemployed through job creation. The ₹111 lakh crore National Infrastructure Pipeline (NIP) built on Infrastructure Vision 2025 should provide a timely stimulus to the economy. Typically, infrastructure projects are characterised by high capital intensity and long gestation periods, often leading to a funding gap. Public investment is key to filling this gap. The government should take stock of the project pipeline and review its expenditure and financing programmes to obtain optimal results and impacts. Closing the infrastructure funding gap calls for developing financing solutions and placing more emphasis on collaboration and shared responsibilities across public, private and non-governmental organisations. Infrastructure Vision 2025's strategic goals are aligned with those of the UN's 2030 Sustainable Development Goals to improve the living standards of people. What are the constraints for infrastructure expansion? India’s infrastructure gap can be the catalyst for its economic and development leap. In order to bridge this gap, however, an investment of $1.5 trillion over the next ten years is needed. Financing Infrastructure projects are highly capital intensive and funding is considered as a major impediment in achieving the infrastructure goals. The infrastructure broadly can be divided into two types, one which is very essential for the public at large and have no or very little revenue potential and other which has handsome revenue potential. The first kind of infrastructure must be totally government financed whereas the later can be developed on PPP mode. Since resource constraints will continue to limit public investment in infrastructure, PPP-based development needs to be encouraged wherever feasible. Land Acquisition Another significant challenge in achieving the infrastructure goal is the way land acquisition is done for infrastructure projects. Compensation fixed in terms of registered value is always the bone of contention. There is always a substantial difference between the compensation offered and the actual value of the land. The land owners always feel aggrieved which results in dispute and litigation. Clearances from numerous agencies Most of the infrastructure projects in India suffer from delays in completion. This is mainly due to an inadequate regulatory framework and inefficiency in the approval process. Infrastructure projects require multiple sequential clearances at various levels of government. Environmental Impact Assessment (EIA) Environmental safeguards and guidelines have proven to be one of the major reasons for delay in infrastructure projects, especially in the power sector. While new projects need to comply with these regulations, even a project under construction may need to comply with revised standards. Poor pre-construction planning Due to the already adverse effect of various impediments like land acquisition, statutory approvals, delayed financial closure, etc. the pre-construction phase of infrastructure projects is pretty long. Therefore, there is delayed commissioning and completion of projects. What can be the way forward? Public-Private Partnership: Government is making efforts towards Public-Private Partnership Projects especially in Infrastructure. Viability Gap Funding: Government has made provision to financially support the viability gap to the tune of 20% of the cost of the project in the form of capital grant from its viability gap fund. Conclusion Infrastructure is a key driver of the overall development of Indian economy. It is seen that investments in infrastructure equal to 1% of GDP will result in GDP growth of at least 2% as a “multiplier effect” on economic growth across sectors. The recent headway made in developing transport infrastructure will prove to be the biggest enabler for growth. An efficient infrastructure is the biggest enabler for growth. India’s growth story should no longer be impeded by a lack of infrastructure, and the fruits of this growth should reach everyone in the remotest part of the country. 2. What are India’s recent achievements in the field of green energy? Illustrate. Approach  Since question is asking you to illustrate which means it is asking you to exemplify or to provide examples. Introduction  Green energy is any energy type that is generated from natural resources, such as sunlight, wind or water. The key with these energy resources is that they don’t harm the environment through factors such as releasing greenhouse gases into the atmosphere.  Body INDIA’S RECENT ACHIEVEMENTS IN THE FIELD OF GREEN ENERGY  India is rapidly moving towards becoming one of the largest green energy producers in the world.  As of 31 October 2020, India’s total renewable energy installed capacity had reached over 89.63 GW, according to the Ministry of New and Renewable Energy. The government said that during the last six years, India has witnessed the fastest rate of growth in renewable energy capacity addition among all large economies, with renewable energy capacity growing by 2.5 times and solar energy expanding by over 13 times.  Renewable energy now constitutes over 24 per cent of the country’s installed power capacity and around 11.62 per cent of the electrical energy generation.  Also, if large hydro is included, the share of renewable energy in electric installed capacity would be over 36 per cent and over 26 per cent of the electric energy generation.  Further, around 49.59 GW renewable energy capacity is under installation, and an additional 27.41 GW capacity has been tendered. This makes the total capacity that is already commissioned and in the pipeline about 166.63 GW.  The government apprised that on top of that, large hydropower, which has also been declared as renewable energy has about 45 GW hydro installed capacity and 13 GW capacity under installation, which brings India’s total renewable energy portfolio of installed and in pipeline projects to 221 GW.  This is significantly higher than the Modi government’s target of installing a green energy capacity of 175 GW by 2020. Conclusion Meanwhile, Prime Minister has recently invited foreign investors saying that there are huge renewable energy deployment plans for the next decade, which are likely to generate business prospects of the order of around $20 billion per year. Inviting the global investors, developers, and businesses to join India’s renewable energy journey, PM Modi had added that India has a very liberal foreign investment policy for renewables. The foreign investors can either invest on their own or they can collaborate with an Indian company. PM Modi had also announced that after the success of PLI in electronics manufacturing, the government has decided to give similar incentives to high-efficiency solar modules. 3. The impetus on infrastructure expansion in India’s Northeast will reap huge economic and strategic benefits for India. Do you agree? Substantiate your views.  Approach: The question is straight forward in its approach, students are expected to write about strategic and economic benefits of infrastructure development in the North East region, also mention about the socio economic conditions of the region and substantiate your view points properly .  Introduction: Regional disparities especially in socio economic development are a ubiquitous phenomenon across India. India’s North Eastern region (NER) comprising the states of Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland and Tripura is a poorly developed and tribal population dominated region in India. In spite of having some similarities in life style of majority of the population and a common Mongoloid origin, sharp differences exist in the status of socioeconomic development. Infrastructural push will play an important role in bringing North East at par with the rest of the country in terms of connectivity, growth and opprotunities. Inadequate infrastructure and poor connectivity are the major constraints to development in the region. Not only is the region poorly connected to the rest of India, it is also poorly connected to neighbouring countries in Southeast Asia. Body: Infrastructure is the backbone of economy it has a higher multiplier effect playing  key role in bringing investment,  increased production capacity and opportunities for growth and employment. In North-East-Region, infrastructure is the most critical aspect to improve connectivity, strenghthen strategic ties, enhance border security, improve trade and people to people ties with the South-East Asian Countries.  Budgetary allocations towards infrastructural development has been increased significantly over the years towards central sector schemes such as North east special infrastructure development scheme, Ministry of DONER, North east road infrastructure development scheme etc. Economic benefits of infrastructure development- Along with connectivity, the level of economic activity is bound to increase. Previously, even fiscal concession given to the states failed to attract significant industrial investments. The reason was high logistical costs of moving merchandise to high consumption regions. In this context, better connectivity provides a booster shot to economic activity. Surrounded by international borders, infrastructure development — both internal and international — could be the best choice for inclusive development in India’s Northeast. International infrastructure, which is also termed as connectivity, may help the NER to become more economically engaged with neighbouring countries.  Building resilient infrastructure also requires development of the border in Northeast India and facilitation of border trade. The border is seen as a connector and as an economy-building asset rather than a deterrent. In recent years, India’s trade with Bangladesh and Myanmar witnessed a steep rise in growth, which indirectly suggests the existence of a large trade potential. However, supply-side constraints, among others, inhibit the two-way trade across the borders with India’s two neighbours. Enhancing Northeast India’s existing level of trade and economic linkages between Bangladesh and Myanmar would need infrastructure and institutional support, which would facilitate growth and remove the region’s economic isolation. The Northeastern states of India are likely to gain more from the Trilateral Highway, compared to many other Indian states. Removing the status quo, therefore, means the NER has to invest in building physical and institutional infrastructure, which in return would lead to higher production — both within and across borders — and industrialisation, which will foster innovation and enhance the economic linkages with the neighbouring countries. Infrastructure development could boost the tourism industry in the north east to its highest potentioal which will have multiplier effect on the overall economy of the region. Lack of infrastructure in north east region has left horticulture industry which includes bamboo, forest produce and other products in a disarray without access to markets horticulture could not bring benefits to the people of the region.Infrastructure development will play a key role in the development of horticulture by providing access to markets and new technologies. Strategic benefits of infrastructure development- The India-Myanmar-Thailand Trilateral Highway will play a key role in this and help improve connectivity between India and Thailand and others in the neighbourhood. India also has plans for a global electricity grid that may initially aim to link countries such as Myanmar, Thailand, Cambodia, Laos, and Vietnam with the Indian sub-continent, as part of an evolving energy security architecture. In order to counter Chinese influence India is working on a slew of road and bridge projects to improve connectivity with Bangladesh, Nepal and Myanmar. These include road networks connecting Aizawl in Mizoram with Kaladan in Myanmar and Imphal in Manipur with Tamu, also in Myanmar. India is also expediting the South Asian Sub-Regional Economic Cooperation (SASEC) road connectivity programme. India’s Act East Policy is a significant cornerstone of the Indo-Pacific strategy, adding that ASEAN is at the core of Act East Policy, Development of north east region plays a key role in realizing the benefits of act east policy. Development of infrastructure plays a key role in bringing ease of living for the people in the region, thus acts as an antidote to the separatist feelings and against the terrorism present there. Incidents like Doklam call for greater infrastructural push in terms of connectivity to allow fast movement of security forces in times of stand off like incidents. Development of Dolha sadia and Bogibeel bridge are a step towards bringing North east in the development map and allow greater flexibility in the security matrix of india. Conclusion: In order to fulfil SDG 9, infrastructure development has a strong catalytic role to play in Northeast India. policy responses need to focus on Strengthening infrastructure linkages,Facilitating trade, investment and tourism, Developing human resources and promoting sustainable development in the region is conducive for overall growth and prosperity of the region. 4. What are the most pressing challenges being faced by the tourism sector in India? Discuss. Examine the recent initiatives taken by the government to address the challenges. Approach  We need to discuss on diverse challenges faced by tourism sector of India and also mention about government initiatives taken to tackle these challenges.   Introduction  The Tourism and Hospitality industry is one of the largest service industries in India   which accounts for 9.2% of India’s GDP and employs 8% of India’s total workforce. It was also one of the largest Foreign Exchange Earners in India with earnings of $29.962 billion in 2019.  Body India’s tourism sector which has exceptional potential, suffers through following pressing challenges: Pandemic setback: A study by CARE Ratings notes a 40 per cent decline in tourism sector revenue in 2020 as compared to 2019. Railways, Airways are working at lower capacity. Reduced Budget allocation: Budgetary allocation for the Ministry of Tourism has been slashed to Rs 2026.77 from Rs 2,500 crore in 2020-21. Lack of efficient Infrastructure and connectivity: It prevents tourist from visiting tourism potential sites. It includes hotels, connectivity with other cities, health facilities, and transportation etc. Safety and Security: Attacks on foreign tourists, especially on the woman tourists have raised this question. India is placed at 114th position in terms of safety.  Inaccessible tourism: Lack of accessible and affordable infrastructure and services for divyangs, elderly, low income entities, etc. Low foreign tourist arrivals: India has 38 monuments listed as world heritage sites, the fifth highest number in the world but attracts less than 1% of global foreign travellers every year. Stiff Competition: India is facing stiff competition from other popular destinations like Malaysia, Sri Lanka, Thailand and Vietnam Lack of sanitation and cleanliness, high pollution, lack of skilling, geopolitical tension, slowdown in global economies etc. some of the other challenges faced by tourism sector in India. To address these pressing challenges faced by the tourism industry, the government has taken following initiatives: Investment in infrastructure and connectivity: Budget 2021-2022 has allocated ₹1,18,101 crore, the highest ever outlay, for Ministry of Road Transport and Highways and ₹1,10,055 crore have been allocated to the Railways. Comprehensive and rapid corona vaccination drive: India is fastest in world to vaccinate 6 million beneficiaries for Covid-10. Incredible India campaign Prime Minister of India urged people to visit 15 domestic tourist destinations in India by 2022. E-Tourist VISA facility: e-Tourist VISA, e-Business VISA & e-Medical VISA (currently, 167 countries have e-tourist visa facility) Special Tourism Zones (STZ): 5 STZs in partnership with states to boost tourism in India Medical tourism: Economical treatment, quality healthcare infra & highly skilled doctors Coastal tourism: Promote intra-regional trade among Indian Ocean Rim (IOR) countries. The Ministry of Tourism developed an initiative called SAATHI (System for Assessment, Awareness & Training for Hospitality Industry) by partnering with the Quality Council of India (QCI) Ministry of Tourism launched Dekho Apna Desh webinar  to generate awareness tourist destinations Development of tourist circuits under Swadesh Darshan for eight Northeast states. Development of tourist circuits under PRASHAD scheme. Government reduced GST on hotel rooms to increase India’s competitiveness as a tourism destination. Conclusion Tourism tends to encourage the development of multiple-use infrastructure including hotels, resorts & restaurants, transport infrastructure (aviation, roads, shipping & railways) and healthcare facilities. Thus, concentrated efforts in reviving India’s tourism sector lies at the core in achieving V-shape recovery and sustainable development of India. 5. Privatisation of railway operations is a progressive economic decision.  Comment. Approach Students  are expected to write about the privatisation and comment on how privatisation of railways operation is progressive economic decisions. Introduction Recently, the Indian Railways initiated the process to allow private firms to operate passenger trains on its network through 151 new trains. While these trains will form a minuscule portion of the entire railway network, this marks the beginning of private sector participation in passenger train operations. The privatization of Indian railways has been recommended for many decades, by the erstwhile Planning Commission of India and now by Niti Aayog. Body Functions of railway operation department: Railway operation encompasses all the activities connected with the running of a railway. However, Operating department in particular has its role in producing a service called Transportation. In this activity, Operating department harnesses the efforts of all the departments of the Railways and optimizes usage of operational assets viz. track, signals fixed installations and rolling stock. Railways operating ratio in 2017-18 was 98.44%, worst in 10 years as per CAG. The Railways has also been unable to meet its operational cost of passenger services and other coaching services. Almost 95 per cent of the profit from freight traffic was utilised to compensate for the loss on operation of passenger and other coaching services, it said. Privatisation of railways operations a progressive economic decision: Improved Quality of Services: Operational Efficiency & Passenger Experience Operations of these trains by the private entity will conform to key performance indicators like punctuality, reliability, upkeep of train, catering. Indian Railway services are marred by issues like mismanagement in the form of stinking washrooms, lack of water supply and dirty platforms. Privatisation may solve these issues, as the move would foster competition and hence lead to overall betterment in the quality of services. Capacity augmentation: Once the railways permit private players, there is scope for capacity augmentation. This is a very pertinent point because, in 2018-19, 8.85 crore people were on the waiting-list and railways was able to provide reservation to only 16% of the waiting list passengers. Improved Security: Private participation can lead to better accountability and monitoring, which can keep a check on rising accidents in railways. Attractiveness: The main objective of this move is to introduce a new train travel experience for passengers who are used to travelling by aircraft and air-conditioned buses. Cleanliness in trains, quality of food could be addressed with privatisation. Improved Infrastructure: Niti Aayog’s strategy for New India @75 envisages many targets in railway infrastructure such as increasing the speed of infrastructure creation from the present 7 km/day to 19 km/day, 100% electrification of broad gauge track by 2022-23. Given this, a strong argument in favour of privatization is that it will lead to better infrastructure which in turn would lead to improved safety, reduction in travel time, etc. Technology Infusion: The privatization will also help in accommodating the latest technology in railways coaches, safety and travelling experience. Thereby, it may help Indian Railways to become a world-class network. From some quarters there is criticism that railways are the common mode of transportation for common man and privatisation of its operations will hampers it’s progressive work and goodwill: There is criticism that the move to privatise railways will affect the job opportunities of people belonging to the economically and socially backward class. Increased Fares: Given that a private enterprise runs on profit, thus it may be assumed that the easiest way of accruing profits in Indian Railways would be to hike fares. This would render the service out of reach for lower income groups. Also, this would defeat the purpose of the Indian railways which is meant to serve the entire population of the country irrespective of the level of income. Social Welfare Concerns: As the Indian Railways plays a vital role in transportation of goods in the country, it provides a low cost of transportation of many final and intermediate goods. Thus, the privatization of the system motivated by profit making, will have an inflationary effect and thereby affect the common people. Way Forward Sustainable Pricing: There is a need to revisit Indian Railways pricing model to make the passenger and freight segments sustainable. The tariffs should be competitive with the cost of road transportation. Independent Regulator: Setting up an independent regulator will be critical for creating a level playing field for private players. In this pursuit, there is a need to expedite the process of establishing the Rail Development Authority, as it is already approved by the government. Conclusion The money which the Indian Railways will earn through revenue sharing can be utilised for improving the quality of passenger train services and railway infrastructure in poorer regions. They should also ensure that all the disputes between the private and public stakeholders are amicably resolved and excellent standards of services to passengers are maintained even in the future. TLP HOT Synopsis Day 26 PDF

DAILY CURRENT AFFAIRS IAS | UPSC Prelims and Mains Exam – 10th February 2021

Archives (PRELIMS + MAINS FOCUS) Nai Roshni: A scheme for Leadership Development of Minority Women Part of: GS Prelims and GS- I – Society & GS- II – Policies and Interventions In news  “Nai Roshni”, a scheme for Leadership Development of Minority Women is being implemented across India. Ministry: Ministry of Minority affairs  Key takeaways  Aim: To empower and instill confidence in women by providing knowledge, tools, and techniques for interacting with Government systems, banks, and other institutions at all levels. This includes empowerment of the trainee women so that they become independent and confident members of society. The scheme provides for six days training programme followed by handholding for one year. The training covers issues relating to women viz. The leadership of Women through participation in decision making, Educational Programmes for women, Health and Hygiene, Legal rights of women, Financial Literacy, Digital Literacy, Swachh Bharat, Life Skills, and Advocacy for Social and Behavioural change. The Scheme is being implemented through NGOs enrolled under the Nai Roshni Scheme. Do you know?  In Seekho Aur Kamao (Learn & Earn) Scheme, 33% of the total beneficiaries are women. Similarly in the Nai Manzil scheme, 30% of the total beneficiaries are women. These schemes help in the economic empowerment of the Minority women Glacial Lake Outburst Floods (GLOFs) Part of: GS Prelims and GS- III – Environment & GS- I - Geography In news  A glacier break is suspected to have caused the flash floods in Uttarakhand’s Chamoli. Important value additions  When glaciers melt, the water in glacial lakes accumulates behind loose, natural “glacial/moraine dams” made of ice, sand, pebbles, and ice residue. A GLOF refers to the flooding that occurs when the water dammed by a glacier or a moraine is released suddenly. Unlike earthen dams, the weak structure of the moraine dam leads to the abrupt failure of the dam on top of the glacial lake, which holds a large volume of water. A failure of the dam has the potential of releasing millions of cubic metres of water in a short period, causing catastrophic flooding downstream. NDMA has recommended the use of Synthetic-Aperture Radar imagery to automatically detect changes in water bodies, including new lake formations, during the monsoon months. Reasons Glacial retreat due to climate change occurring in most parts of the Hindu Kush Himalaya has given rise to the formation of numerous new glacial lakes, which are the major cause of GLOFs. An “Inventory and Monitoring of Glacial Lakes / Water Bodies in the Himalayan Region of Indian River Basins” found that there are 352, 283, and 1,393 glacial lakes and water bodies in the Indus, Ganga, and Brahmaputra basins respectively. Do you know? Synthetic-aperture radar (SAR) is a form of radar that is used to create two-dimensional images or three-dimensional reconstructions of objects, such as landscapes.  SAR uses the motion of the radar antenna over a target region to provide finer spatial resolution than conventional beam-scanning radars.  JATP – Center Of Excellence (JATP – CoE) Part of: GS Prelims and GS- III – Sci & Tech In news  DRDO signed an MoU with the Indian Institute of Science (IISc), Bengaluru for the creation of JATP–Center of Excellence (JATP – CoE) in the premises of IISc to expand the scope and objective of the existing Joint Advanced Technology Program. Key takeaways  The JATP-CoE will enable Directed Basic & Applied Research and engage with premier research institutes through multi-disciplinary & multi-institutional collaboration. The focused research efforts at the centre will lead to realization of indigenous technologies in the critical areas to develop state of art technologies. As per the MoU, DRDO will support JATP in equipping it with advanced and unique research facilities that will enable the faculty and scholars to conduct advanced research.  DRDO will facilitate advanced research to utilize technology outcomes in futuristic applications. Do you know?  JATP was created by President of India Dr. APJ Abdul Kalam in 1983 where the DRDO scientists actively collaborated with the faculty of IISc to work on various missile technologies. Measures by the Government to preserve and promote the traditional cultural heritage of India Part of: GS Prelims and GS- I – Culture In news  Minister of Culture and Tourism informed Parliament about the Measures taken by the Government to preserve and promote the traditional cultural heritage of India. Key takeaways  The Ministry of Culture formulated a scheme titled “Scheme for Safeguarding the Intangible Heritage and Diverse Cultural Traditions of India”.  The objective of the scheme: Promoting the rich Intangible Cultural Heritage of India. India has successfully inscribed 13 Intangible Cultural Heritage (ICH) elements in the UNESCO Representative List of Intangible Cultural Heritage of Humanity under the 2003 Convention. As the first step towards the making of a National Inventory of ICH, the Ministry of Culture (MoC) has put up a list on its website called “National list for ICH” The National list of ICH is an attempt to recognize the diversity of Indian Culture embedded in its Intangible Heritage. Important value additions  Following UNESCO’s 2003 Convention for the Safeguarding of the Intangible Cultural Heritage, this list has been classified into five broad domains in which Intangible Cultural Heritage is manifested: Oral traditions and expressions, including language as a vehicle of the Intangible Cultural Heritage Performing Arts Social practices, Rituals, and Festive events Knowledge and practices concerning nature and the Universe Traditional Craftsmanship Related article: Culture related terms: Click here Hawker Culture in Singapore: Click here USA plans to re-engage with United Nations Human Rights Council Part of: GS Prelims and GS- II – International Relations In news  The USA has announced plans to re-engage with the much-maligned UN Human Rights Council that the former President withdrew from almost three years ago. Important value additions  The Human Rights Council is an inter-governmental body within the United Nations system. Location: Geneva. Establishment: It was founded in 2006. It replaced the former United Nations Commission on Human Rights (UNCHR) that had been strongly criticised for allowing countries with poor human rights records to be members.  Functions: (1) It investigates allegations of breaches of human rights in UN member states; (2) It also addresses important thematic human rights issues such as freedom of expression, women's rights, LGBT rights, and the rights of racial and ethnic minorities. The UNHRC works closely with the Office of the High Commissioner for Human Rights (OHCHR). Membership: 47 Member States elected by the UN General Assembly. The Council's Membership is based on equitable geographical distribution. Members of the Council serve for three years and are not eligible for immediate re-election after serving two consecutive terms. India has been elected to the UNHRC for three years beginning January 1, 2019.  India had previously been elected to the UNHRC for the 2011-2014 and 2014-2017 terms. World Sustainable Development Summit 2021 Part of: GS Prelims and GS- III – Environment In news  The Indian Prime Minister will inaugurate the World Sustainable Development Summit 2021 on 10th February. Important value additions  Theme: Redefining our common future: Safe and secure environment for all. It is the 20th edition of The Energy and Resources Institute’s (TERI) flagship event The Summit will bring together a wide number of governments, business leaders, academicians, climate scientists, youth, and civil society in the fight against climate change. key partners of the Summit: India’s Ministry of Environment, Forests and Climate Change, Ministry of New and Renewable Energy, and Ministry of Earth Sciences Place in the news: Dhekiajuli Part of: GS Prelims and GS- I – Modern History In news  Indian Prime Minister recently paid a visit to the historic martyr town of Dhekiajuli in Assam, to lay the foundation stone for two medical colleges and launch a road and highway project. Important value additions  Dhekiajuli is associated with the Quit India Movement of 1942.  Dhekiajuli was home to possibly the youngest martyr of the Indian freedom struggle. On September 20, 1942, as part of the Quit India movement, processions of freedom fighters marched to various police stations across several towns in Assam. These squads, which were known as ‘Mrityu Bahini’, or death squads, had wide participation — including women and children — and set out to unfurl the tricolor atop police stations, seen as symbols of colonial power. The British administration came down heavily on them.  In Dhekiajuli, at least 15 people were shot dead, three of them women, including the 12-year-old Tileswari Barua. Do you know?  September 20 has for long been observed as Martyrs’ Day in Dhekiajuli town. Recently, the Dhekiajuli police station was accorded heritage status and restored by the Assam government. (Mains Focus) ECONOMY/ POLITY/ GOVERNANCE Topic: GS-2: Constitutional bodies and their responsibilities GS-3: Indian Economy and issues relating to planning, mobilization, of resources, growth, development and employment; Government Budgeting Fifteenth Finance Commission (15th FC) Context: In Nov 2017, this 15th Finance Commission was set up. The recommendations of the 15th Finance Commission will cover a period of five years starting from 1st April 2020. This Commission was headed by Shri N.K.Singh, former Member of Parliament and former Secretary to the Government of India.  The commission was required to submit two reports, one for 2020-21 and the second covering the period of five years from 2021-22 to 2025-26 Basis for extension First, the abolition of Statehood to Jammu and Kashmir required the Commission to make an estimation excluding the Union Territory. Second, the deceleration in growth and low inflation has substantially slowed down the nominal GDP growth making projections for medium term risky.  Finally, poor revenue performance of tax collection and more particularly Goods and Services Tax combined with the fact that the compensation agreement to the loss of revenue to the States was effective only two years of the period of 15FC posed uncertainties If not for extension, making medium-term projections in the current scenario would have entailed serious risks. For Interim Report on 2020-21: Click here Key Points of the 15th Finance Commission report for 2021-26 tabled in Parliament are Vertical Devolution -Devolution of Taxes of the Union to States- It has recommended maintaining the vertical devolution at 41% - the same as in its interim report for 2020-21. It is at the same level of 42% of the divisible pool as recommended by the 14th Finance Commission. It has made the required adjustment of about 1% due to the changed status of the erstwhile State of Jammu and Kashmir into the new Union Territories of Ladakh and Jammu and Kashmir In XVFC’s assessment, gross tax revenues for 5-year period is expected to be 135.2 lakh crore. Out of that, Divisible pool (after deducting cesses and surcharges & cost of collection) is estimated to be 103 lakh crore. States’ share at 41 per cent of divisible pool comes to 42.2 lakh crore for 2021-26 period. Including total grants of Rs. 10.33 lakh crore (details later) and tax devolution of Rs. 42.2 lakh crore, aggregate transfers to States is estimated to remain at around 50.9 per cent of the divisible pool during 2021-26 period. Total XVFC transfers (devolution + grants) constitutes about 34 per cent of estimated Gross Revenue Receipts of the Union leaving adequate fiscal space for the Union to meet its resource requirements and spending obligations on national development priorities. Horizontal Devolution (Allocation Between the States): For horizontal devolution, it has suggested 12.5% weightage to demographic performance, 45% to income, 15% each to population and area, 10% to forest and ecology and 2.5% to tax and fiscal efforts. On horizontal devolution, while XVFC agreed that the Census 2011 population data better represents the present need of States, to be fair to, as well as reward, the States which have done better on the demographic front, XVFC has assigned a 12.5 per cent weight to the demographic performance criterion. XVFC has re-introduced tax effort criterion to reward fiscal performance Revenue Deficit Grants to States: Revenue deficit grants emanate from the requirement to meet the fiscal needs of the States on their revenue accounts that remain to be met, even after considering their own tax and non-tax resources and tax devolution to them. Revenue Deficit is defined as the difference between revenue or current expenditure and revenue receipts, that includes tax and non-tax. It has recommended post-devolution revenue deficit grants amounting to about Rs. 2.94 lakh crores over the five-year period ending FY26. The number of states qualifying for the revenue deficit grants decreases from 17 in FY22, the first year of the award period to 6 in FY26, the last year. Performance Based Incentives and Grants to States:  These grants revolve around four main themes. The first is the social sector, where it has focused on health and education. Second is the rural economy, where it has focused on agriculture and the maintenance of rural roads. The rural economy plays a significant role in the country as it encompasses two-thirds of the country's population, 70% of the total workforce and 46% of national income. Third, governance and administrative reforms under which it has recommended grants for judiciary, statistics and aspirational districts and blocks. Fourth, it has developed a performance-based incentive system for the power sector, which is not linked to grants but provides an important, additional borrowing window for States. Fiscal Space for Centre: Total 15th Finance Commission transfers (devolution + grants) constitutes about 34% of estimated Gross Revenue Receipts to the Union, leaving adequate fiscal space to meet its resource requirements and spending obligations on national development priorities. Provided range for fiscal deficit and debt path of both the Union and States. Additional borrowing room to States based on performance in power sector reforms. XVFC has recognised that the FRBM Act needs a major restructuring and recommended that the time-table for defining and achieving debt sustainability may be examined by a High-powered Inter-governmental Group.  This High-powered Inter-Governmental Group could also be tasked to oversee the implementation of the 15th Finance Commission’s diverse recommendations. State Governments may explore formation of independent public debt management cells which will chart their borrowing programme efficiently. Grants to Local Governments: The total size of the grant to local governments should be Rs. 4.3 lakh crore for the period 2021-26. Of these total grants, Rs. 8,000 crore is performance-based grants for incubation of new cities and Rs. 450 crore is for shared municipal services.  A sum of Rs. 2.3 lakh crore is earmarked for rural local bodies, Rs.1.2 lakh crore for urban local bodies and Rs. 70,051 crore for health grants through local governments. Urban local bodies have been categorised into two groups, based on population, and different norms have been used for flow of grants to each, based on their specific needs and aspirations.  Basic grants are proposed only for cities/towns having a population of less than a million. For Million-Plus cities, 100 per cent of the grants are performance-linked through the Million-Plus Cities Challenge Fund (MCF) MCF amount is linked to the performance of these cities in improving their air quality and meeting the service level benchmarks for urban drinking water supply, sanitation and solid waste management. Health XVFC has recommend that health spending by States should be increased to more than 8 per cent of their budget by 2022. Given the inter-State disparity in the availability of medical doctors, it is essential to constitute an All India Medical and Health Service as is envisaged under Section 2A of the All-India Services Act, 1951. The total grants-in-aid support to the health sector over the award period works out to Rs. 1 lakh crore, which is 10.3 per cent of the total grants-in-aid recommended by XVFC. The grants for the health sector will be unconditional. XVFC has recommend health grants aggregating to Rs. 70,051 crore for urban health and wellness centres (HWCs), building-less sub centre, PHCs, CHCs, block level public health units, support for diagnostic infrastructure for the primary healthcare activities and conversion of rural sub centres and PHCs to HWCs. These grants will be released to the local governments. Defence and Internal Security The Union Government may constitute in the Public Account of India, a dedicated non-lapsable fund, Modernisation Fund for Defence and Internal Security (MFDIS). The total indicative size of the proposed MFDIS over the period 2021-26 is Rs. 2.3 lakh crore. Disaster Risk Management Mitigation Funds should be set up at both the national and State levels, in line with the provisions of the Disaster Management Act.  The Mitigation Fund should be used for those local level and community-based interventions which reduce risks and promote environment-friendly settlements and livelihood practices.  XVFC has recommended the total corpus of Rs.1.6 lakh crore for States for disaster management for the duration of 2021-26, of which the Union’s share is Rs. 1.2 lakh crore and States’ share is Rs. 37,552 crore. XVFC has recommended six earmarked allocations for a total amount of Rs. 11,950 crore for certain priority areas, namely, two under the NDRF (Expansion and Modernisation of Fire Services and Resettlement of Displaced People affected by Erosion) and four under the NDMF (Catalytic Assistance to Twelve Most Drought-prone States, Managing Seismic and Landslide Risks in Ten Hill States, Reducing the Risk of Urban Flooding in Seven Most Populous Cities and Mitigation Measures to Prevent Erosion). Connecting the dots: N K Singh Committee report on FRBM review (TEST YOUR KNOWLEDGE) Model questions: (You can now post your answers in comment section) Note:  Correct answers of today’s questions will be provided in next day’s DNA section. Kindly refer to it and update your answers.  Comments Up-voted by IASbaba are also the “correct answers”. Q.1 World Sustainable Development Summit 2021 is being organised in which of the following country? India Russia Japan Singapore Q.2 The headquarter of United Nations Human Rights Council is situated at which of the following? Switzerland France Geneva Netherlands Q.3 Nai Roshni is a scheme under which of the following Ministry? Ministry of Agriculture Ministry of Aviation Ministry of Finance Ministry of Minority Affairs ANSWERS FOR 9th February 2021 TEST YOUR KNOWLEDGE (TYK) 1 D 2 C 3 A Must Read On Government’s Disinvestment Policy: The Hindu On cutting Trans fats: The Hindu About closing the Health gap: The Indian Express

IASbaba’s TLP (Phase 1 – ENGLISH & हिंदी): UPSC Mains Answer Writing – General Studies Paper 3 Questions [10th February,2021] – Day 27

For Previous TLP (ARCHIVES) - CLICK HERE Hello Friends, Welcome to IASbaba’s TLP (Phase 1- ENGLISH & हिंदी): UPSC Mains Answer Writing – General Studies 3 Questions [10th February 2020] – Day 27 We will make sure, in the next 100 days not a single day is wasted and your mains preparation is solidified. All your energies are channelized in the right direction. Trust us! This will make a huge difference in your results this time, provided that you follow this plan sincerely every day without fail. Gear up and Make the Best Use of this initiative. We are giving 5 Mains Questions on a daily basis so that every student can actively participate and keep your preparation focused. Do remember that, “the difference between Ordinary and EXTRA-Ordinary is PRACTICE!!” To Know More about the Initiative -> CLICK HERE SCHEDULE/DETAILED PLAN – > CLICK HERE Note: Click on Each Question (Link), it will open in a new tab and then Answer respective questions! 1. Examine the deleterious effects of India’s current cropping pattern on the environment. What reforms are needed to incentivise sustainable cropping pattern? Discuss. र्यावरण पर भारत के वर्तमान फसल पैटर्न के प्रतिकूल प्रभावों की जांच करें। एक सतत फसल पैटर्न को प्रोत्साहित करने के लिए किन सुधारों की आवश्यकता है? चर्चा करें। 2. What are millets? What are their nutritional benefits? Discuss. Can millet cultivation be a viable solution to agrarian and nutritional challenges? Examine.  बाजरा क्या हैं? उनके पोषण लाभ क्या हैं? चर्चा करें। क्या बाजरा की खेती कृषि और पोषण संबंधी चुनौतियों का एक व्यावहारिक समाधान हो सकता है? जांच करें। 3. Examine the benefits of drip irrigation. Which sort of crops are suitable to be irrigated by this technique? Discuss.  ड्रिप सिंचाई के लाभों की जांच करें। इस तकनीक द्वारा किस प्रकार की फसलों को सिंचित किया जाना उपयुक्त है? चर्चा करें।  4. What are run off river hydropower plants? Are there environmental hazards associated with such plants? Examine. रन ऑफ रिवर जलविद्युत संयंत्र क्या हैं? क्या ऐसे संयंत्र से पर्यावरण संबंधी खतरे जुड़े हैं? जांच करें। 5. What are the challenges related to procurement, storage and transportation of agricultural produce in India? Analyse. भारत में कृषि उपज की खरीद, भंडारण और परिवहन से संबंधित चुनौतियाँ क्या हैं? विश्लेषण करें। P.S: The review from IASbaba will happen from the time the question is posted till 10 pm everyday. We would also encourage peer reviews. So friends get actively involved and start reviewing each others answers. This will keep the entire community motivated. All the Best :)

Ace The Prelims (ATP)

Ace The Prelims (ATP) – 2021– PRELIMS – [10th February, 2021] – Day 33

ARCHIVES Hello Friends, Welcome to IASbaba’s Ace The Prelims (ATP) – 2021 – PRELIMS & MAINS – [10th February, 2021] – Day 33   UPSC Quiz - 2021 : IASbaba's Daily Current Affairs Quiz 10th February 2021 UPSC CSAT Quiz – 2021: IASbaba’s Daily CSAT Practice Test – 10th February 2021 UPSC Static Quiz – 2021: IASbaba’s Daily Static Quiz (PYQs) – Polity [Day 33]   The way ATP molecules provide energy to every single cell of our body and help us in achieving our day to day tasks, similarly, the ‘Ace the Prelims (ATP) 2021’ Programme will help in providing energy and direction to your prelims preparation and push you beyond the cutoff of Prelims 2021. Ace the Prelims (ATP) – 2021 will include Daily Static Quiz (PYQs) Daily CSAT Practice Test Daily Current Affair Quiz 60 Days Plan (starts from 2nd week of March) To Know More about Ace the Prelims (ATP) 2021 - CLICK HERE   Thank You IASbaba

Daily Static Quiz

UPSC Static Quiz – 2021: IASbaba’s Daily Static Quiz (PYQs) – Polity [Day 33]

ARCHIVES DAILY STATIC QUIZ (PYQs) It will cover PYQs all the topics of static subjects – Polity, History, Geography, Economics, Environment and Science and technology. Daily 5 questions (Monday to Saturday) will be posted from static topics (PYQs) The questions will be in the quiz format so you will be able to answer them directly on the portal. Schedule Week 1 – Polity Week 2 – Economics Week 3 – History and Art & Culture Week 4 – Geography Week 5 – Environment and Science & Technology Same cycle will be repeated from Week 6. Make the best use of the initiative. All the best! To Know More about Ace the Prelims (ATP) 2021 - CLICK HERE Important Note: Don't forget to post your marks in the comment section. Also, let us know if you enjoyed today's test :) After completing the 5 questions, click on 'View Questions' to check your score, time taken and solutions. To take the Test - Click Here

UPSC CSAT Quiz – 2021: IASbaba’s Daily CSAT Practice Test – 10th February 2021

ARCHIVES Daily CSAT Practice Test Everyday 5 Questions from Aptitude, Logical Reasoning, and Reading Comprehension will be covered from Monday to Saturday. Make the best use of the initiative. All the best! To Know More about Ace the Prelims (ATP) 2021 - CLICK HERE Important Note: Don't forget to post your marks in the comment section. Also, let us know if you enjoyed today's test :) After completing the 5 questions, click on 'View Questions' to check your score, time taken and solutions. To take the Test - Click Here

Daily Prelims CA Quiz

UPSC Quiz - 2021 : IASbaba's Daily Current Affairs Quiz 10th February 2021

For Previous Daily Quiz (ARCHIVES) - CLICK HERE The Current Affairs questions are based on sources like ‘The Hindu’, ‘Indian Express’ and ‘PIB’, which are very important sources for UPSC Prelims Exam. The questions are focused on both the concepts and facts. The topics covered here are generally different from what is being covered under ‘Daily Current Affairs/Daily News Analysis (DNA) and Daily Static Quiz’ to avoid duplication. The questions would be published from Monday to Saturday before 2 PM. One should not spend more than 10 minutes on this initiative. We will make sure, in the next 4 months not a single day is wasted. All your energies are channelized in the right direction. Trust us! This will make a huge difference in your results this time, provided that you follow this plan sincerely every day without fail. Gear up and Make the Best Use of this initiative. Do remember that, “the difference between Ordinary and EXTRA-Ordinary is PRACTICE!!” To Know More about Ace the Prelims (ATP) 2021 - CLICK HERE Important Note: Don't forget to post your marks in the comment section. Also, let us know if you enjoyed today's test :) After completing the 5 questions, click on 'View Questions' to check your score, time taken and solutions. To take the Test - Click Here

SYNOPSIS [8th February,2021] Day 25: IASbaba’s TLP (Phase 1): UPSC Mains Answer Writing (General Studies)

For Previous TLP (ARCHIVES) - CLICK HERE   SYNOPSIS [8th February,2021] Day 25: IASbaba’s TLP (Phase 1): UPSC Mains Answer Writing (General Studies)   1. Do you think the policy of liberalization has attained its full potential in India? Critically examine. Approach- Question is analytical in nature. Student can give a brief evolution of liberalization in the beginning and then analyse the impact policy made on Indian economy and society. Future path of economy can be given in later half of the answer. Introduction “No power on earth can stop an idea whose time has come,” said then finance minister Manmohan Singh quoting Victor Hugo while presenting the Union Budget on 24 July 1991. And with these words started the long and painful process of economic liberalisation in India. Body The liberalisation was aimed at ending the licence-permit raj by decreasing the government intervention in the business, thereby pushing economic growth through reforms. The policy opened up the country to global economy. It discouraged public sector monopoly and paved the way for competition in the market. In 1991 India embarked on major reforms to liberalize its economy after three decades of socialism and a fourth of creeping liberalization.  Twenty-five years later, the outcome has been an outstanding economic success. India has gone from being a poor, slow-growing country to the fastest-growing major economy in the world. The World Economic Outlook for 2016 says that the United States and India are the two pillars of strength today that are helping hold up a sagging world economy. Yet those successes have been accompanied by significant failures and weaknesses in policies and institutions. The past 29 years of liberalization are largely a story of private-sector success and government failure and of successful economic reform tarnished by institutional erosion. The quality of government services remains abysmal, and social indicators have improved much too slowly. The provision of public goods — police, judiciary, general administration, basic health and education, and basic infrastructure has seriously lagged improvements in economic performance. India's economic reforms have been highly successful in moving the country from low-income to middle-income status, despite little improvement in its institutions and quality of public goods. To sustain rapid growth and to become a high-income country, India will need major reforms to deepen liberalization and build high-quality institutions. India is about to reap a demographic dividend that will give it a big edge over rivals. The number of working-age people between 15 and 60 is expected to rise by 280 million between 2013 and 2050. India and liberalization India's working-age population has started rising, yet participation in the workforce has actually fallen in recent years, especially for females. It is partly because, as families rise from low-income to lower-middle-income status, they pull their women out of manual work as a mark of social superiority. Economic liberalization has benefited Dalits, the lowest of the Hindu castes, once condemned to the dirtiest work, such as cleaning latrines, cremating the dead, and handling dead animals and their hides. A seminal survey in two districts of Uttar Pradesh revealed striking improvements in the living standards of Dalits in the past two decades. In the two decades since 1991, India's literacy rate has shot up by a record 21.8 percentage points, to 74 percent. Leftist critics accuse India of going down the path of neoliberalism. The actual process could better be called neo-illiberalism. Although many old controls and licenses have indeed been abolished over the past 25 years, many new controls and bureaucratic hurdles have appeared, mostly in such areas as the environment, forests, tribal rights, and land and in new areas like retail, telecom, and Internet-related activities. Markets cannot function without good governance. With almost no exceptions, the delivery of government services in India is pathetic, from the police and judiciary to education and health. Justice is supposed to be blind. In India, it is also lame. India holds the world record for legal case backlogs (31.5 million), which will take 320 years to clear, according to Andhra Pradesh high court judge V. V. Rao. India's Law Commission has recommended the appointment of 50 judges per million population. The current sanctioned judicial strength is just 17 per million, and unfilled vacancies are as high as 23 percent in the lower courts. Many infrastructure areas earlier reserved for the government were opened to private-sector participation, often in public-private partnerships, and many of them were bedeviled by crony capitalism. The quality of the delivery of government services remains poor. The big improvements in private-sector competitiveness are not even remotely replicated in government service competitiveness. India's social indicators remain dismal. Conclusion Liberalization remains unfinished agenda in Indian context. Though we have successfully crossed many socio-economic barriers, we still lack in building robust social infrastructure to be able to deliver fruits of liberalization to our population. India lags far behind in social indicators and many policies hurt free flow of capital and goods. Road of freedom is only half travelled and lot needs to be done to be able to realize our full potential. 2. What are the key challenges being faced by India’s MSME sector? Analyse. What are the recent steps taken to promote MSMEs in India? Discuss. Approach  Since question is asking you to Discuss, it necessitates a debate where reasoning is backed up with evidence to make a case for and against an argument and finally arriving at a conclusion. Introduction  With a sustained growth rate of over 10 per cent in the past few years, the MSME sector has come to represent the ability of the Indian entrepreneur to innovate and create solutions despite the logistical, social, and resource challenges across the country. Because of its huge contribution to the economy, the MSME sector is called the growth engine of the nation.  Body THE KEY CHALLENGES BEING FACED BY INDIA’S MSME SECTOR Despite the rising importance of the MSME sector in the Indian economy, the sector is grappling with several challenges that are hindering it from performing to its optimum. These challenges include: The lack of adequate and timely access to finance continues to remain the biggest challenge for MSMES and has constrained their growth.  Lack of access to working capital. A large number of MSMES often require regular sources of working capital to stay afloat. Technology is a big issue for MSMES. Concerted efforts are needed to apprise MSMES of new developments and technologies and how these can be usefully employed by them keeping in view the local conditions, in the language and mode which the locals can understand and assimilate.  GST has emerged as the biggest compliance issue before the MSMES. Given their small size, they are unable to be a part of the GST network, and, as a result, they are not obliged to maintain a set of financial records. It is time that the GST issues/bottlenecks are addressed and resolved at the earliest.  Then there are issues related to labour, research, infrastructure and others for MSMES. Some new labour law codes are already in place and some others are in the pipeline. Equally important is to sensitize the state governments/local bodies not to impose undue compliance burden on these units.  Lack of access to markets access to marketplaces is crucial for the growth of any enterprise. Most MSMES of India in pre-covid-19 times were known to carry out their operations solely through a brick-and-mortar model, which is known to limit the outreach to their geographical location, and also productivity. Poor productivity from inefficient processes and unskilled workforce while the MSME sector employs a large section of the non-farm workers, a majority of them hire fewer than five workers, with the world bank pegging this number to be nearly 94.6 percent of all MSMES. THE RECENT STEPS TAKEN TO PROMOTE MSMES IN INDIA The government seems to have taken issues related to MSME on a priority now. Following are the steps: Collateral-free Automatic Loans up to INR 3 Lakh Crore Government has introduced collateral-free automatic loans up to INR 3,00,000 Crore. MSMEs can borrow emergency credit from banks and NBFCs up to 20% of their entire outstanding credit. In order to address the problem of unfair competition between Indian MSMEs and foreign companies, the government has taken the decision to not allow global tenders in procurements up to INR 200 Crore. The foreign companies who are far ahead in size and strength thus become a threat to our home companies. This will help MSMEs to cope up during this time of crises. The finance ministry has given an assurance that the government and the central public sector enterprises will release all pending MSME payments/dues in 45 days.  In order to address the problem of unfair competition between Indian MSMEs and foreign companies, the government has taken the decision to not allow global tenders in procurements up to INR 200 Crore. To help MSMEs government has announced to launch E-commerce portal ‘Bharat Craft’ that will act as a direct interface between sellers and buyers.  To boost employment opportunities, the MSME ministry has launched a scheme of ‘second financial assistance’ to help the PMEGP and Mudra units expand or upgrade. Finance Minister revised the definition of MSMEs to a new one so as to address the developing fear of out-growing in size and losing out on the benefits. According to the new definition, there will be no bifurcation.  Conclusion Amid fears of a slowdown, cut in jobs in various industries and rising unemployment, the MSME sector can play a big role, if aided and supported ably by the government as well as others. Many stakeholders from the private sector are also contributing their efforts for the growth of MSMEs. Key among them is the Global Bharat Movement. This is a unique initiative by SAP in association with NASSCOM Foundation, United Nations Development Program (UNDP) and Pratham InfoTech Foundation. The Global Bharat Movement is envisaged as a catalyst for MSMEs, driving greater efficiencies and augmenting business value. By helping reassess critical processes, the movement enables these companies to become future-ready. It follows a three-pronged approach – providing access to a global marketplace, digitally skilling the workforce, and digitally transforming the business. 3. Can India emulate the Chinese model of export led growth strategy? What are the challenges on this front? Discuss.  Approach: Above question has two parts first part is about suitability of export led growth strategy for india and the second one is challenges, students are expected to give a brief about what export led growth strategy means in introduction and then explain its suitability for india and challenges of implementation. Arrive at a balanced logical and forward looking conclusion at the end. Introduction: Export led growth is where a significant part of the expansion of real GDP, jobs and per capita incomes flows from the successful exporting of goods and services from one country to another. In recent years a number of countries have experienced rapid growth across a number of export industries which has helped to fuel their long-run expansion. These nations include China, Ireland, South Korea, Singapore, Hong Kong, Vietnam, Ethiopia and other emerging countries. The opposite of an export led growth is import substitution where countries strive to become self sufficient by developing their own industries. Body: China’s strategy for growth- China’s export- led growth is rooted in a double transition of structural change and demographic transition. China began to adopt the ELG model in the early 1980s  with features like trade liberalization, Reindustrilization, focus on processing trade all led to a successful trade strategy and helped china to achieve a sustained growth for over a decade. China’s emergence as a low cost manufacturing hub and leading merchandise exporter was enabled by a relatively favourable interntional economic factors, major consuming markets like USA, the EU and Japan were relatively open and expanding . China has become increasingly integrated into the gloal supply chains of multinational conglomerates like Apple and Microsoft. The supply chains consist of production facilities spread across number of countries, India’s participation in these supply chains is weak. Can India emulate the Chinese model- The idea of turning the Indian economy into an export-led economy is not new. This idea is visible in the objectives of Make in India program and Economic Survey has proposed the creation of a Shenzhen-style Autonomous Employment Zones (China), which would be characterized by a highly entrepreneur-friendly regime with respect to land, labour, enforcing contracting and international trade. China was the last country to lift itself out of poverty by becoming the factory to the world, but economic experts doubt that global demand in the post-covid era will be enough to accommodate another manufacturing giant to arise. Due to the different geo-economic scenario today, it is contemplated that the export-led growth may not be viable for India because of the following reasons- Many global economists are of the opinions that today’s world is unlikely to sustain export-led growth, due to the problem of : depopulation, declining productivity, high debt, and deglobalization. Demand in most parts of the developed world will not grow too fast, as they are ageing (Japan, northern Europe), and demand in the developing world will also decline in the near future. As the US is turning protectionist and the EU has in place many trade barriers, this will further reduce demand for developing countries’ exports. The developed countries are increasingly turning to high tech to produce cheap consumer goods, which require fewer workers and are therefore cost-effective. Thus, manufactured goods in developed countries are slowly replacing the cheap imports from developing countries. The structural reforms like labour reforms would have had a significant impact in 1991, but are unlikely to provide the same growth boost today. This is because businesses have found other ways to deal with inflexible labour laws, as technology seems to have replaced all other factors of production as the main driver of growth. Most of the goods in India are produced in the medium and small enterprises and have poor quality. This is because the labour involved in the production is lacking adequate training in skills, education, and is less disciplined than in India’s competitor countries. A large part of India’s growth story in the past decade has been due to a rise in India’s exports from 9.3% of gross domestic product (GDP) in 2000-01 to 16.8% of GDP in 2013-14. But, with export growth turning negative in recent months, there are signs that the export push is running out of steam. COVID 19 pandemic has forced countries to change strategies for achieving high growth India has been in the forefront of steering economy from what experts called a technical recession, with the disruption of global supply chains and rise of protectionism, Atmanirbhar Bharat is the new strategy in place to make India self reliant in the production process and to increase domestic demand. Conclusion: The idea of the export-led economy has been very successful for many East-Asian countries (also called East-Asian Miracle). In the 1960s and 70s, these countries transformed their economies rapidly from developing countries to become middle-income countries through high export. However, the viability of a new export-based economy, that India aspires to be, depends on policy restructuring, reaping demographic dividend and leveraging its domestic market. 4. Do you think disinvestment of public sector units can bring in efficiency and promote competition? Critically comment. Approach  Define disinvestment of PSUs and comment on whether disinvestment of PSUs can bring in efficiency and competitiveness or not. We need to deliberate on both sides of the argument. Introduction  Budget 2021-22, set a disinvestment target of Rs 1.75 lakh crore. As per government perspective disinvestment means sale or liquidation of assets by the government, usually Central and state public sector enterprises, projects, or other fixed assets.  Body Currently public sector units (PSUs) are infested with inefficiencies and uncompetitive practices like government interference, low capacity utilisation, huge debt burden, inability to innovate, substantial time and cost overruns, slow decision making process, low work ethics, unequal playing field for private sector, etc. Disinvestment can bring in efficiency and competitiveness in following ways and means – Encourage private participation and investment in PSUs operations. Minimizing debt: Debt of both PSUs and government can be reduced with disinvestment revenues. Attracting Investment: Funds for scaling up and up-gradation. Rise in capacity and profit: Hindustan Zinc saw a 100 fold in its profits and six fold rise in capacities.  Technology adaptation: disinvestment funds can be used to adopt latest technologies. Accountability and Transparency: Disinvestment increases scrutiny and answerability towards corporate and retail stakeholders. Social sector investment: Disinvestment revenue can be used for implementing social programs in health and education sectors However, disinvestment has following issues – Inefficient and low valuation of PSUs: Disinvestment of PSU stakes and assets at rates below its real or potential market value. E.g.: Disinvestment of IRCTC. Strategic concerns: Disinvestment in defence, oil exploration, nuclear facilities, etc. may cause national security issues. Fear of crony capitalism and monopolies. Rise in economic and social inequalities. Loss of revenue (i.e. profit and dividend) to the government.  Encourage regressive fiscal practices: Increased dependency on disinvestment revenue is an unhealthy and a short term practice. Lack of assurance: Disinvestment does not always ensure efficiency and competitiveness. Government need to take following measures to ally concerns of disinvestment of PSU units – Just and transparent disinvestment process. Third party valuation of every PSU assets. Conclusion India aims to achieve target of $5 trillion economy by 2024.  Fair, transparent and efficient disinvestment of PSU units can encourage PSUs to play a major role in achieving this well thought target and become Atma Nirbhar in long run. 5. What is an avalanche? How does it occur? Explain. Approach Question is straightforward students are expected to write about the what is avalanche and explain how does it  occur. Introduction In India, Himalayan region is well known for occurrence of snow avalanches particularly the Western Himalayan region snowy regions of Jammu and Kashmir, Himachal Pradesh and Uttarakhand. In the Kargil district, the Indian Army has another big adversary besides Pakistan. Over 1,000 Indian soldiers, including over 35 officers, have lost their lives in the Siachen Glacier-Saltoro Ridge region since April 1984.  Body Avalanche: An avalanche is a mass of snow that slides rapidly down an inclined slope, such as a mountainside or the roof of a building. Avalanches are triggered by either natural forces (e.g. precipitation, wind drifting snow, rapid temperature changes) or human activity. In mountainous terrain, they are among the most serious hazards to human life and property.  There are various kinds of avalanches: Such as rock avalanches (which consist of large segments of shattered rock).Ice avalanches (which typically occur in the vicinity of a glacier).Debris avalanches (which contain a variety of unconsolidated materials, such as loose stones and soil). An avalanche is typically triggered when material on a slope breaks loose from its surroundings; this material then quickly collects and carries additional material down the slope. Let us study in detail how Avalanche occur: Steeper Slopes: An avalanche is  caused by the influence of gravity. If gradual snowfalls accumulated on the slopes of the mountain then it prone to rush downs the slopes at greater speeds. Layering of Snow: The gradual snowfall creates layer by layer accumulation of snow that hypersensitive the snowpack. If something catastrophic events happen then these layers of snow falls down that leads to avalanche. Due to Snowstorm and Wind Direction: Heavy snowstorms are more likely to cause Avalanches. The 24 hours after a storm are considered to be the most critical. Wind normally blows from one side of the slope of the mountain to another side. While blowing up, it will scour snow off the surface, which can overhang a mountain. Due to Heavy Snowfall: Heavy snowfall is the first since it deposits snow in unstable areas and puts pressure on the snowpack. Precipitation during the summer months is the leading cause of wet snow avalanches. Earthquakes: It is one of the important factors that triggered the layer of accumulated snowpack because earthquakes generate seismic waves that cause the ground to vibrate. Movements or Vibrations Produced by Machines and Explosives::During the developmental activities, the terrain vehicles in regions with unstable layers of snow can dislodge the layers from the surface and cause them to slide down under gravity. Deforestation-Deforestation, clearance, or clearing for developmental activity makes the mountain region an avalanche-prone area more susceptible to deadlier avalanches. Human Activity: Humans have contributed to the start of many avalanches in recent years. Winter sports that require steep slopes often put pressure on the snowpack, which it cannot deal with. Combined with the heavy deforestation and soil erosion in mountain regions, it gives the snow little stability in the winter months. They can also be triggered by skiers, snowmobiles, hikers, vibrations from machinery or construction. Mitigation steps in Avalanche prone areas: Accurate avalanche prediction requires an experienced avalanche forecaster who often works both in the field to gather snowpack information and in the office with sophisticated tools such as remotely accessed weather data, detailed historical weather and avalanche databases, weather models, and avalanche-forecasting models. Setting up Quick Response Teams (QRTs) from local administration and the NDRF, equipped with standard avalanche equipment and devices such as GPS, Radio Beacons, and shovels, etc. The Border Road Organization (BRO) keeps vigil for keeping the highways clear after avalanches, particularly in the Rohtang Pass and the Baralachala Pass. SASE which is a laboratory of the Defence Research and Development Organization (DRDO) has issued an Avalanche warning to Leh in Ladakh region. Construction of power lines, highways and railroads must be avoided, if done then minimum impact designs should be implemented. Conclusion India’s unique geo-climatic conditions and high socio-economic vulnerability to calamities are responsible for increased frequency in natural disasters. Disasters are no longer to be considered as occurrences that are to be managed through emergency response services. So, there is a need to foster a culture of prevention and identification of the key issues to be addressed especially in the development process. The path ahead for managing disasters is to bring in a people-centered development strategy with decentralised planning, implementation and monitoring and control.   TLP HOT Synopsis Day 25 PDF

DAILY CURRENT AFFAIRS IAS | UPSC Prelims and Mains Exam – 9th February 2021

Archives (PRELIMS + MAINS FOCUS) Study to examine judicial decisions for infrastructure projects commissioned Part of: GS Prelims and GS- III – Economy; Infrastructure In news  The NITI Aayog has commissioned a study that seeks to examine the unintended economic consequences of judicial decisions that have hindered and stalled big-infrastructure projects on environmental grounds. The study is to be undertaken by the Jaipur-headquartered CUTS (Consumer Unity and Trust Society) Centre for Competition, Investment, and Economic Regulation, which also has an international presence. Key takeaways  The document appears to suggest that judgments that negatively impact major infrastructure projects don’t adequately consider the economic fallout — in terms of loss of jobs and revenue. Doing so would contribute to public discourse among policymakers for promoting an economically responsible approach by the judiciary in its decisions. The project brief says that it intends to examine five major projects that have been “impacted” by judicial decisions of the Supreme Court or the National Green Tribunal. It plans to do this by interviewing people who have been affected by the closure of the projects, environmental campaigners, experts, and assessing the business impact of the closure. Projects to be analysed include the construction of an airport in Mopa, Goa; cessation of iron ore mining in Goa, and the shutting down of the Sterlite copper plant in Thoothukudi, Tamil Nadu.  The others are decisions by the NGT involving sand mining, and construction activities in the National Capital Region. FSSAI amends its rules to cap trans-fatty acids (TFAs) Part of: GS Prelims and GS- II – Health In news  The Food Safety and Standards Authority of India (FSSAI) has amended its rules to cap trans-fatty acids (TFAs) in food products, just weeks after it tightened the norms for oils and fats. Key takeaways  Food products in which edible oils and fats are used as an ingredient shall not contain industrial trans-fatty acids more than 2% by mass of the total oils/fats present in the product, on and from 1st January 2022. The 2% cap is considered to be the elimination of trans-fatty acids, which India will achieve by 2022. In December 2020, the FSSAI had capped TFAs in oils and fats to 3% by 2021, and 2% by 2022 from the current levels of 5%. Important value additions  Trans-fatty acids are created in an industrial process that adds hydrogen to liquid vegetable oils to make them more solid, increase the shelf life of food items, and for use as an adulterant as they are cheap. They are present in baked, fried, processed foods and adulterated ghee, which become solid at room temperature. They are the most harmful form of fats as they clog arteries and cause hypertension, heart attacks, and other cardiovascular diseases. The WHO has called for the elimination of industrially-produced trans-fatty acids from the global food supply by 2023. Law in news: Information Technology Act, 2000 Part of: GS Prelims and GS- III – Information technology, Sci & tech In news  The Centre has issued notice to Twitter after the site restored more than 250 accounts that had been suspended earlier on the government’s ‘legal demand’. Important value additions  In India, the Information Technology Act, 2000, as amended from time to time, governs all activities related to the use of computer resources. It covers all ‘intermediaries’ who play a role in the use of computer resources and electronic records. The term ‘intermediaries’ includes: Providers of telecom service, network service, Internet service, and web hosting, search engines, online payment and auction sites, online marketplaces, and cyber cafes. It also includes any person who, on behalf of another, “receives, stores or transmits” any electronic record including Social media platforms as well.  Centre’s powers vis-à-vis intermediaries: Section 69 of the Act confers on the Central and State governments the power to issue directions “to intercept, monitor or decrypt any information generated, transmitted, received or stored in any computer resource. The grounds on which these powers may be exercised are: in the interest of the sovereignty or integrity of India, defense of India, security of the state, friendly relations with foreign states, public order, or for preventing incitement to the commission of any cognisable offense relating to these, or for investigating any offense. Section 69A also enables the Centre to ask any agency of the government, or any intermediary, to block access to the public of any information generated, transmitted, received or stored, or hosted on any computer resource. Procedures and safeguards have been incorporated in the rules framed for the purpose. Rs 16000 crores allocated to Pradhan Mantri Fasal Bima Yojana (PMFBY) Part of: GS Prelims and GS- III – Agriculture & GS-II – Policies and Interventions In news  To boost the safety of farmers' crops and ensure the maximum benefit of crop insurance reaches farmers, the Government of India has allocated Rs 16000 crores for Pradhan Mantri Fasal Bima Yojana (PMFBY) for the fiscal year 2021-22. Key takeaways  This is a budgetary increase of around Rs 305 crore as against the previous fiscal year 2020-21. The scheme extends coverage for the entire cropping cycle from pre-sowing to post-harvest including coverage for losses arising out of prevented sowing and mid-season adversities. Important value additions  The Pradhan Mantri Fasal Bima Yojana (PMFBY) was launched in 2016.  It is an insurance service scheme for farmers for their yields.  It aims to reduce the premium burden on farmers and ensure early settlement of crop assurance claim for the full insured sum. It was formulated in line with One Nation–One Scheme theme by replacing earlier two schemes National Agricultural Insurance Scheme (NAIS) and Modified National Agricultural Insurance Scheme (MNAIS). The Scheme covers all Food & Oilseeds crops and Annual Commercial/Horticultural Crops for which past yield data is available and for which requisite number of Crop Cutting Experiments (CCEs) are being conducted under General Crop Estimation Survey (GCES). Implemented by: Empanelled general insurance companies.  Administered by: Ministry of Agriculture The scheme is compulsory for loanee farmers availing Crop Loan /KCC account for notified crops and voluntary for others.  Related articles: Pradhan Mantri Fasal Bima Yojana (PMFBY) successfully completes 5 Years of operations: Click here Central Research Institute In Kalahandi For Soyabean Part of: GS Prelims and GS- III – Agriculture In news  The Union Minister of Agriculture informed Rajya Sabha about the setting up a Central Research Institute in Kalahandi for Soyabean. Key takeaways  The Kalahandi district of Odisha produces Soybean on a very limited scale. The ICAR has established a national-level research Institute on Soybean in 1987 namely, ICAR-Indian Institute of Soybean Research, Indore (Madhya Pradesh) to conduct basic and strategic research on the crop. Besides this, ICAR is also implementing an All India Coordinated Research Project (AICRP) on Soybean since 1967 in association with the State Agricultural Universities (SAUs) to develop location-specific high yielding varieties and production technologies required to increase Soybean production in the country. The ICAR-AICRP on Soybean has one voluntary center at Regional Research & Technology Transfer Station, Bhawanipatna (Kalahandi) under the Odisha University of Agriculture & Technology, Bhubaneswar. This station is undertaking need-based and location-specific research on Soybean for hot & moist sub-humid climate of Odisha comprising of Kalahandi, Bolangir, and Koraput. Important value additions  The soybean or soya bean (Glycine max) is a species of legume native to East Asia, widely grown for its edible bean.  Traditional unfermented food uses of soybeans include soy milk, from which tofu and tofu skin are made.  Soybeans contain significant amounts of phytic acid, dietary minerals, and B vitamins.  Soy vegetable oil, used in the food and industrial applications, is another product of processing the soybean crop.  Soybean is the most important protein source for feed farm animals, which in turn, yields animal protein for human consumption. Cultivation conditions: Climates with hot summers, with optimum growing conditions in mean temperatures of 20 to 30 °C; temperatures of below 20 °C and over 40 °C stunt growth significantly.  They can grow in a wide range of soils, with optimum growth in moist alluvial soils with good organic content. Soybeans, like most legumes, perform nitrogen fixation by establishing a symbiotic relationship with the bacterium Bradyrhizobium japonicum. National Family Planning Program: Measures For Population Control Part of: GS Prelims and GS- II – Health & GS- I - Society In news  The Government has been implementing the National Family Planning Program which provides voluntary and informed choices to the beneficiaries through a target-free approach to check population increase in the country. Important value additions  A National Population Policy was formulated in 2000.  Objective: Attaining population stabilisation by 2045. New Contraceptive Choices: The current contraceptive basket has been expanded with inclusion of two new contraceptives- Injectable contraceptive (Antara programme) and Centchroman (Chhaya). Post-partum Intrauterine contraceptive device(PPIUCD) incentive scheme under which PPIUCD services are provided post-delivery. Compensation scheme for sterilization acceptors which provides compensation for loss of wages to the beneficiary and also to the service provider and team for conducting sterilisation. National Family Planning Indemnity Scheme (NFPIS) under which clients are compensated in the eventualities of death, complication, and failure following sterilization operations. Family Planning Logistics Management Information System (FP-LMIS): Dedicated software has been launched to ensure smooth forecasting, procurement, and distribution of family planning commodities across all the levels of health facilities. Mission Parivar Vikas has been introduced for substantially increasing access to contraceptives and family planning services in seven high focus states having a Total Fertility Rate of more than 3 namely Uttar Pradesh, Bihar, Madhya Pradesh, Rajasthan, Jharkhand, Chhattisgarh, and Assam. Scheme for Home Delivery of contraceptives by ASHAs at doorstep of beneficiaries has been taken up. Scheme for provision of Pregnancy Testing Kits in the drug kits of ASHA for use in communities. Dobhi – Durgapur Natural Gas Pipeline section inaugurated  Part of: GS Prelims and GS- III – Energy; Infrastructure In news  Prime Minister recently dedicated to the nation the LPG import terminal, 348 km Dobhi – Durgapur Natural Gas Pipeline section.  The section is part of the Pradhan Mantri Urja Ganga project. Key takeaways  Foundation stone was also laid for the second Catalytic-Isodewaxing unit of Haldia Refinery.  These projects will also help Haldia to grow into a major hub of export-import. The Pipeline will benefit West Bengal and 10 districts of Bihar and Jharkhand. This second Catalytic Dewaxing Unit will reduce our dependence on import with regard to lube-based oils. Miscellaneous Joshimath Glacier broke off at Joshimath in Uttarakhand's Chamoli district recently causing flash floods in the Dhauliganga River, devastating the Dhauliganga Dam and endangering people. Joshimath is also known as Jyotirmath. It is a gateway to several Himalayan mountain climbing expeditions, trekking trails, and pilgrim centers like Badrinath. Jyotirmath is the uttarāmnāya matha, or northern monastery, one of the four cardinal institutions established by Adi Shankara, the others being those at Shringeri, Puri, and Dwarka. (Mains Focus) DISASTER MANAGEMENT/ ENVIRONMENT/ GOVERNANCE Topic: GS-3: Disaster and disaster management.  GS-2: Government policies and interventions for development in various sectors and issues arising out of their design and implementation. Uttarakhand Glacier Disaster Context: In a staggering collapse of part of a glacier in Uttarakhand’s Nanda Devi mountain and the ensuing floods many lives have been lost. What exactly happened? More than 200 people went missing after flash floods in Uttarakhand's Chamoli district. So far, 20 bodies have been recovered.  The flash floods were caused by a glacier burst in the upper reaches of the Himalayas.  The resulting avalanche and deluge in the Alaknanda river system(Rishiganga and Dhauliganga rivers in Chamoli district) washed away a hydroelectric station (Tapovan power project) and five bridges (that connected nearby villages) Multi-agency rescue work is on in the state as the authorities evacuated thousands of people from the affected areas Apart from the terrain and the low temperature, mud and debris in the tunnel is posing a major challenge for the rescuers Source: BBC What caused the flood? The remoteness of where this happened means no-one has a definitive answer, so far. Experts say one possibility is that massive ice blocks broke off the glacier due to a temperature rise, releasing a huge amount of water. That could have caused avalanches bringing down rocks and mud. This is a strong possibility because there was a huge amount of sediment flowing down Another possibility is that an avalanche or landslide may have dammed the river for some time, causing it to burst out after the water level rose. Experts say an avalanche could also have hit a glacial lake that then burst ( a term known as Glacial Lake Outburst Flood- GLOF) Do You Know? Dhauliganga is a left tributary of the Alaknanda, the left headwater of the Ganges, in the Himalayas in Uttarakhand. Dhauliganga is joined by Rishiganga river at Raini, where the disaster at the power project dam took place. Critical Analysis of the Uttarakhand Tragedy Developmental Challenges:  The tragedy is a failure to draw a balance between fragile ecosystems & topography and development imperatives, compounded by climate-change effects. The increased pace of development in the region has also heightened fears about fallout from deforestation and other environmental troubles. Climate Change as reason for such tragedies: Warming could have led to formation of hitherto undetected proglacial lakes > role played by climate change, which could have been worsen by development projects. Earthquake prone region: Experts have pointed out that the hundreds of power projects and widening of roads is playing havoc with the ecologically fragile region which is also earthquake-prone. Grim reminder: The tragedy come as a deadly reminder that this fragile, geologically dynamic region can never be taken for granted.  Losing Environmentalism of State: Once the crucible of environmentalism, epitomised by Sunderlal Bahuguna, Gaura Devi and the Chipko movement, the State’s deep gorges and canyons have attracted many hydroelectric projects and dams, with little concern for earthquake risk.  Not a new phenomenon: Red flags have been raised repeatedly, particularly after the moderate quake in 1991 in the region where the Tehri dam was built and the 2013 floods that devastated Kedarnath, pointing to the threat from dam-induced microseismicity, landslides and floods from a variety of causes, including unstable glacial lakes and climate change. Perils of hydropower Projects: India is heavily invested in dam development and growth of hydropower, largely in the Himalaya region (plan to construct dams in 28 river valleys in the hills) so as to cut carbon emissions. However, the dangers of such projects include potential earthquake impacts, severe biodiversity loss and, importantly, extreme danger to communities downstream. Miscalculation of life of dams: There is also some evidence that the life of dams is often exaggerated, and siltation, which reduces it, is grossly underestimated: in the Bhakra dam in Himachal Pradesh, for instance, siltation was higher by 140% than calculated.  Dangers in Future: The number and area of glacier lakes will continue to increase in most regions in the coming decades, and new lakes will develop closer to steep and potentially unstable mountain walls, where lake outbursts can be more easily triggered. Conclusion/ Way Forward Centre and the Uttarakhand government cannot ignore the larger context of the State’s increasing frailty in the face of environmental shocks.  The need is to rigorously study the impact of policy on the Himalayas and confine hydro projects to those with the least impact, while relying more on low impact run-of-the-river power projects that need no destructive large dams and reservoirs.  Connecting the dots : Institutional Structure for Disaster Management: Click here GEOGRAPHY/ ENVIRONMENT Topic: GS-1: Important Geophysical phenomena such as earthquakes, Tsunami, Volcanoes etc. GS-3: Conservation, environmental pollution and degradation, environmental impact assessment.  Glacial lake outburst floods (GLOFs) About GLOFs Glaciers are large bodies of ice moving slowly.  Lake Formation: So, when a glacier retreats, it leaves behind a large impression in the ground, filling it with water and a lake is formed. This is known as a moraine, which can be impounded by precarious pile of debris and buried ice.  Lake bursts: When such a lake (moraines) breaches, it is known as glacial lake outburst flood. GLOFs occur from an unstable natural dam formed from a glacial retreat. Causes for GLOFs: The moraine dammed lakes weaken as the water level rises and the glacier retreats. They might crumble under pressure from the swelling lake, leading to massive floods.The outburst of water can also happen due to erosion, an avalanche of snow or rock, an earthquake or volcanic eruptions under the ice. In the Hindu Kush Himalaya, moraine-dammed glacial lakes are common and numerous GLOF events have been traced back to the failure of moraine dams.  Climate Change and GLOFs: The glacial outbursts are also related to global warming. As the temperature soars during summers, the glaciers retreat, leaving behind water-filled, unstable moraine dammed lakes. Possibility of frequent occurrence in future: Glacier retreat and permafrost thaw are projected to decrease the stability of the mountain slopes and increase the number and area of glacier lakes, according to the latest assessment reports of the UN Intergovernmental Panel on Climate Change. Tus, there is a possibility of increase in events like GLOFs Reducing GLOFs Identifying and mapping such lakes: Potentially dangerous lakes can be identified based on field observations, records of past events, geomorphologic and geotechnical characteristics of the lake/dam and surroundings, and other physical conditions. A robust early warning system, and a broad framework for infrastructure development, construction and excavation in vulnerable zones needs to be developed by state government in collaboration with Universities & Central govt. Leveraging Technology: NDMA has recommended use of Synthetic-Aperture Radar imagery to automatically detect changes in water bodies, including new lake formations, during the monsoon months. Methods and protocols could also be developed to allow remote monitoring of lake bodies from space. Structural measures to prevent their sudden breach: NDMA recommends reducing the volume of water with methods such as controlled breaching, pumping or siphoning out water, and making a tunnel through the moraine barrier or under an ice dam. Regulating Developmental activities: Restricting constructions and development in GLOF prone areas is a very efficient means to reduce risks at no cost. Construction of any habitation should be prohibited in the high hazard zone.  Existing buildings are to be relocated to a safer nearby region and all the resources for the relocation have to be managed by Central/State governments.  Monitoring Mechanism: New infrastructures in the medium hazard zone have to be accompanied by specific protection measures. There should be monitoring systems prior to, during, and after construction of infrastructure and settlements in the downstream area. Connecting the dots : Landslides Polar vortex (TEST YOUR KNOWLEDGE) Model questions: (You can now post your answers in comment section) Note:  Correct answers of today’s questions will be provided in next day’s DNA section. Kindly refer to it and update your answers.  Comments Up-voted by IASbaba are also the “correct answers”. Q.1 Which of the following contain Trans-fatty acids? Baked Fried  Processed foods Cooking oils Select the Correct code: 1 and 2 only 4 only 2 and 4 only 1, 2, 3 and 4 Q.2 Which of the following Section of the Information Technology Act, 2000 confers on the Central and State governments the power to issue directions to monitor any information generated, transmitted, received or stored in any computer resource? Section 67 Section 87 Section 69 Section 70 Q.3 Consider the following statements regarding Pradhan Mantri Fasal Bima Yojana: 2% premium is available for Kharif crops 5% premium is available for only commercial crops. Which of the above is or are correct?  1 only  2 only  Both 1 and 2  Neither 1 nor 2   ANSWERS FOR 8th February 2021 TEST YOUR KNOWLEDGE (TYK) 1 A 2 D 3 D Must Read On Myanmar and India dilemma: The Hindu On Universal Healthcare: The Hindu About analysis of Union Budget 2021: The Indian Express

PIB

PRESS INFORMATION BUREAU (PIB) IAS UPSC – 1st February to 7th February – 2021

Press Information Bureau (PIB) IAS UPSC – 1st to 7th February, 2021 ARCHIVES GS-2 The Report of the Fifteenth Finance Commission The Fifteenth Finance Commission (XVFC)’s ToR was unique and wide ranging in many ways. The Commission was asked to recommend performance incentives for States in many areas like power sector, adoption of DBT, solid waste management etc. Another unique ToR was to recommend funding mechanism for defence and internal security. The XVFC’s Report is organised in four volumes. In total, main report has 117 core recommendations.  Vertical devolution: In order to maintain predictability and stability of resources, especially during the pandemic, XVFC has recommended maintaining the vertical devolution at 41 per cent – the same as in our report for 2020-21. It is at the same level of 42 per cent of the divisible pool as recommended by FC-XIV. However, it has made the required adjustment of about 1 per cent due to the changed status of the erstwhile State of Jammu and Kashmir into the new Union Territories of Ladakh and Jammu and Kashmir. In XVFC’s assessment, gross tax revenues for 5-year period is expected to be 135.2 lakh crore. Out of that, Divisible pool (after deducting cesses and surcharges & cost of collection) is estimated to be 103 lakh crore. States’ share at 41 per cent of divisible pool comes to 42.2 lakh crore for 2021-26 period. Including total grants of Rs. 10.33 lakh crore (details later) and tax devolution of Rs. 42.2 lakh crore, aggregate transfers to States is estimated to remain at around 50.9 per cent of the divisible pool during 2021-26 period. Total XVFC transfers (devolution + grants) constitutes about 34 per cent of estimated Gross Revenue Receipts of the Union leaving adequate fiscal space for the Union to meet its resource requirements and spending obligations on national development priorities. Horizontal devolution: Based on principles of need, equity and performance, overall devolution formula is as follows.  Criteria Weight (%) Population 15.0 Area 15.0 Forest & ecology 10.0 Income distance 45.0 Tax & fiscal efforts 2.5 Demographic performance 12.5 Total 100 On horizontal devolution, while XVFC agreed that the Census 2011 population data better represents the present need of States, to be fair to, as well as reward, the States which have done better on the demographic front, XVFC has assigned a 12.5 per cent weight to the demographic performance criterion. XVFC has re-introduced tax effort criterion to reward fiscal performance. Revenue deficit grants: Based on uniform norms of assessing revenues and expenditure of the States and the Union, XVFC has recommended total revenue deficit grants (RDG) of Rs 2,94,514 crore over the award period for seventeen States. Local Governments: The total size of the grant to local governments should be Rs. 4,36,361 crore for the period 2021-26. Of these total grants, Rs. 8,000 crore is performance-based grants for incubation of new cities and Rs. 450 crore is for shared municipal services. A sum of Rs. 2,36,805 crore is earmarked for rural local bodies, Rs.1,21,055 crore for urban local bodies and Rs. 70,051 crore for health grants through local governments. Urban local bodies have been categorised into two groups, based on population, and different norms have been used for flow of grants to each, based on their specific needs and aspirations. Basic grants are proposed only for cities/towns having a population of less than a million. For Million-Plus cities, 100 per cent of the grants are performance-linked through the Million-Plus Cities Challenge Fund (MCF). Health: XVFC has recommend that health spending by States should be increased to more than 8 per cent of their budget by 2022. Given the inter-State disparity in the availability of medical doctors, it is essential to constitute an All India Medical and Health Service as is envisaged under Section 2A of the All-India Services Act, 1951. The total grants-in-aid support to the health sector over the award period works out to Rs. 1,06,606 crore, which is 10.3 per cent of the total grants-in-aid recommended by XVFC. The grants for the health sector will be unconditional. XVFC has recommend health grants aggregating to Rs. 70,051 crore for urban health and wellness centres (HWCs), building-less sub centre, PHCs, CHCs, block level public health units, support for diagnostic infrastructure for the primary healthcare activities and conversion of rural sub centres and PHCs to HWCs. These grants will be released to the local governments. Out of the remaining grant of Rs. 31,755 crore for the health sector (total of Rs. 1,06,606 crore minus Rs. 70, 051 crore through local bodies and Rs.4800 crore state-specific grants), XVFC has recommended Rs. 15,265 crore for critical care hospitals. This includes Rs. 13,367 crore for general States and Rs 1,898 crore for NEH States. XVFC has recommended Rs. 13,296 crore for training of the allied healthcare workforce. Out of this, Rs. 1,986 crore will be for NEH States and Rs. 11,310 crore for general States. Performance incentives and grants: XVFC has recommended grants of Rs. 4,800 crore (Rs. 1,200 crore each year) from 2022-23 to 2025-26 for incentivising the States to enhance educational outcomes. XVFC has recommended Rs. 6,143 crore for online learning and development of professional courses (medical and engineering) in regional languages (matribhasha) for higher education in India. XVFC has recommended that Rs. 45,000 crore be kept as performance-based incentive for all the States for carrying out agricultural reforms for amending their land-related laws on the lines of NITI Aayog’s model law Incentive-based grants to States that maintain and augment groundwater stock. growth in agricultural exports production of oilseeds, pulses and wood and wood-based products Defence and Internal Security Keeping in view the extant strategic requirements for national defence in the global context, XVFC has, in its approach, re-calibrated the relative shares of Union and States in gross revenue receipts. This will enable the Union to set aside resources for the special funding mechanism that XVFC has proposed. The Union Government may constitute in the Public Account of India, a dedicated non-lapsable fund, Modernisation Fund for Defence and Internal Security (MFDIS). The total indicative size of the proposed MFDIS over the period 2021-26 is Rs. 2,38,354 crore. Disaster Risk Management: Mitigation Funds should be set up at both the national and State levels, in line with the provisions of the Disaster Management Act. The Mitigation Fund should be used for those local level and community-based interventions which reduce risks and promote environment-friendly settlements and livelihood practices. For SDRMF, XVFC has recommended the total corpus of Rs.1,60,153 crore for States for disaster management for the duration of 2021-26, of which the Union’s share is Rs. 1,22,601 crore and States’ share is Rs. 37,552 crore. XVFC has recommended six earmarked allocations for a total amount of Rs. 11,950 crore for certain priority areas, namely, two under the NDRF (Expansion and Modernisation of Fire Services and Resettlement of Displaced People affected by Erosion) and four under the NDMF (Catalytic Assistance to Twelve Most Drought-prone States, Managing Seismic and Landslide Risks in Ten Hill States, Reducing the Risk of Urban Flooding in Seven Most Populous Cities and Mitigation Measures to Prevent Erosion). Fiscal consolidation Provided range for fiscal deficit and debt path of both the Union and States. Additional borrowing room to States based on performance in power sector reforms. A threshold amount of annual appropriation should be fixed below which the funding for a CSS may be stopped. Below the stipulated threshold, the administrating department should justify the need for the continuation of the scheme. As the life cycle of ongoing schemes has been made co-terminus with the cycle of Finance Commissions, the third-party evaluation of all CSSs should be completed within a stipulated timeframe. The flow of monitoring information should be regular and should include credible information on output and outcome indicators. In view of the uncertainty that prevails at the stage that XVFC have done its analysis, as well as the contemporary realities and challenges, we recognise that the FRBM Act needs a major restructuring and recommend that the time-table for defining and achieving debt sustainability may be examined by a High-powered Inter-governmental Group. This High-powered Group can craft the new FRBM framework and oversee its implementation. It is important that the Union and State Governments amend their FRBM Acts, based on the recommendations of the Group, so as to ensure that their legislations are consistent with the fiscal sustainability framework put in place. This High-powered Inter-Governmental Group could also be tasked to oversee the implementation of the 15th Finance Commission’s diverse recommendations. State Governments may explore formation of independent public debt management cells which will chart their borrowing programme efficiently. BUDGET 2021-22 Presenting the first ever digital Union Budget, Union Minister of Finance and Corporate Affairs Smt. Nirmala Sitharaman stated that India’s fight against COVID-19 continues into 2021 and that this moment in history, when the political, economic, and strategic relations in the post-COVID world are changing, is the dawn of a new era – one in which India is well-poised to truly be the land of promise and hope. 6 pillars of the Union Budget 2021-22: Health and Wellbeing Physical & Financial Capital, and Infrastructure Inclusive Development for Aspirational India Reinvigorating Human Capital Innovation and R&D Minimum Government and Maximum Governance 1. Health and Wellbeing Rs. 2,23,846 crore outlay for Health and Wellbeing in BE 2021-22 as against Rs. 94,452 crore in BE 2020-21 – an increase of 137% Focus on strengthening three areas: Preventive, Curative, and Wellbeing Steps being taken for improving health and wellbeing: Vaccines Rs. 35,000 crore for COVID-19 vaccine in BE 2021-22 The Made-in-India Pneumococcal Vaccine to be rolled out across the country, from present 5 states – to avert 50,000 child deaths annually Health Systems Rs. 64,180 crore outlay over 6 years for PM AatmaNirbhar Swasth Bharat Yojana – a new centrally sponsored scheme to be launched, in addition to NHM Main interventions under PM AatmaNirbhar Swasth Bharat Yojana: National Institution for One Health 17,788 rural and 11,024 urban Health and Wellness Centers 4 regional National Institutes for Virology 15 Health Emergency Operation Centers and 2 mobile hospitals Integrated public health labs in all districts and 3382 block public health units in 11 states Critical care hospital blocks in 602 districts and 12 central institutions Strengthening of the National Centre for Disease Control (NCDC), its 5 regional branches and 20 metropolitan health surveillance units Expansion of the Integrated Health Information Portal to all States/UTs to connect all public health labs 17 new Public Health Units and strengthening of 33 existing Public Health Units Regional Research Platform for WHO South-East Asia Region 9 Bio-Safety Level III laboratories Nutrition: Mission Poshan 2.0 to be launched: To strengthen nutritional content, delivery, outreach, and outcome Merging the Supplementary Nutrition Programme and the Poshan Abhiyan Intensified strategy to be adopted to improve nutritional outcomes across 112 Aspirational Districts Universal Coverage of Water Supply Rs. 2,87,000 crore over 5 years for Jal Jeevan Mission (Urban) - to be launched with an aim to provide: 2.86 crore household tap connections Universal water supply in all 4,378 Urban Local Bodies Liquid waste management in 500 AMRUT cities Swachch Bharat, Swasth Bharat Rs. 1,41,678 crore over 5 years for Urban Swachh Bharat Mission 2.0 Main interventions under Swachh Bharat Mission (Urban) 2.0: Complete faecal sludge management and waste water treatment Source segregation of garbage Reduction in single-use plastic Reduction in air pollution by effectively managing waste from construction-and-demolition activities Bio-remediation of all legacy dump sites Clean Air: Rs. 2,217 crore to tackle air pollution, for 42 urban centers with a million-plus population Scrapping Policy Voluntary vehicle scrapping policy to phase out old and unfit vehicles Fitness tests in automated fitness centres: After 20 years in case of personal vehicles After 15 years in case of commercial vehicles 2. Physical and Financial Capital and Infrastructure Production Linked Incentive scheme (PLI) Rs. 1.97 lakh crore in next 5 years for PLI schemes in 13 Sectors To create and nurture manufacturing global champions for an AatmaNirbhar Bharat To help manufacturing companies become an integral part of global supply chains, possess core competence and cutting-edge technology To bring scale and size in key sectors To provide jobs to the youth Textiles Mega Investment Textiles Parks (MITRA) scheme, in addition to PLI: 7 Textile Parks to be established over 3 years Textile industry to become globally competitive, attract large investments and boost employment generation & exports Infrastructure National Infrastructure Pipeline (NIP) expanded to 7,400 projects: Around 217 projects worth Rs. 1.10 lakh crore completed Measures in three thrust areas to increase funding for NIP: Creation of  institutional structures: Rs. 20,000 crore to set up and capitalise a Development Financial Institution(DFI) – to act as a provider, enabler and catalyst for infrastructure financing Rs. 5 lakh crore lending portfolio to be created under the proposed DFI in 3 years Debt Financing by Foreign Portfolio Investors to be enabled by amending InvITs’ and REITs’ legislations Big thrust on monetizing assets National Monetization Pipeline to be launched Important asset monetization measures: 5 operational toll roads worth Rs. 5,000 crore being transferred to the NHAIInvIT Transmission assets worth Rs. 7,000 crore to be transferred to the PGCILInvIT Dedicated Freight Corridor assets to be monetized by Railways, for operations and maintenance, after commissioning Next lot of Airports to be monetized for operations and management concession Other core infrastructure assets to be rolled out under the Asset Monetization Programme: Oil and Gas Pipelines of GAIL, IOCL and HPCL AAI Airports in Tier II and III cities Other Railway Infrastructure Assets Warehousing Assets of CPSEs such as Central Warehousing Corporation and NAFED Sports Stadiums Enhancing the share of capital expenditure Creation of  institutional structures: Infrastructure Financing Big thrust on monetizing assets Sharp Increase in Capital Budget Rs. 5.54 lakh crore capital expenditure in BE 2021-22 – sharp increase of 34.5% over Rs. 4.12 lakh crore allocated in BE 2020-21 : Over Rs. 2 lakh crore to States and Autonomous Bodies for their Capital Expenditure. Over Rs. 44,000 crore for the Department of Economic Affairs to provide for projects/programmes/departments exhibiting good progress on Capital Expenditure Roads and Highways Infrastructure Rs. 1,18,101 lakh crore, highest ever outlay, for Ministry of Road Transport and Highways – of which Rs. 1,08,230 crore is for capital Under the Rs. 5.35 lakh crore Bharatmala Pariyojana, more than 13,000 km length of roads worth Rs. 3.3 lakh crore awarded for construction: 3,800 km have already been constructed Another 8,500 km to be awarded for construction by March 2022 Additional 11,000 km of national highway corridors to be completed by March 2022 Economic corridors being planned: Rs. 1.03 lakh crore outlay for 3,500 km of NHs in Tamil Nadu Rs. 65,000 crore investment for 1,100 km of NHs in Kerala Rs. 25,000 crore for 675 km of NHs in West Bengal Over Rs. 34,000 crore to be allocated for 1300 km of NHs to be undertaken in next 3 years in Assam, in addition to Rs. 19,000 crore works of NHs currently in progress in the State Flagship Corridors/Expressways: Delhi-Mumbai Expressway – Remaining 260 km to be awarded before 31.3.2021 Bengaluru-Chennai Expressway – 278 km to be initiated in the current FY; construction to begin in 2021-22 Kanpur-Lucknow Expressway – 63 km expressway providing an alternate route to NH 27 to be initiated in 2021-22 Delhi-Dehradun economic corridor – 210 km to be initiated in the current FY; construction to begin in 2021-22 Raipur-Vishakhapatnam – 464 km passing through Chhattisgarh, Odisha and North Andhra Pradesh, to be awarded in the current year; construction to start in 2021-22 Chennai-Salem corridor – 277 km expressway to be awarded and construction to start in 2021-22 Amritsar-Jamnagar – Construction to commence in 2021-22 Delhi-Katra – Construction will commence in 2021-22 Advanced Traffic management system in all new 4 and 6-lane highways: Speed radars Variable message signboards GPS enabled recovery vans will be installed Railway Infrastructure Rs. 1,10,055 crore for Railways of which Rs. 1,07,100 crore is for capital expenditure National Rail Plan for India (2030): to create a ‘future ready’ Railway system by 2030 100% electrification of Broad-Gauge routes to be completed by December, 2023 Broad Gauge Route Kilometers (RKM) electrification to reach 46,000 RKM, i.e. 72% by end of 2021 Western Dedicated Freight Corridor (DFC) and Eastern DFC to be commissioned by June 2022, to bring down the logistic costs – enabling Make in India strategy Additional initiatives proposed: The Sonnagar-Gomoh Section (263.7 km) of Eastern DFC to be taken up in PPP mode in 2021-22 Future dedicated freight corridor projects – East Coast corridor from Kharagpur to Vijayawada East-West Corridor from Bhusaval to Kharagpur to Dankuni North-South corridor from Itarsi to Vijayawada Measures for passenger convenience and safety: Aesthetically designed Vista Dome LHB coach on tourist routes for better travel High density network and highly utilized network routes to have an indigenously developed automatic train protection system, eliminating train collision due to human error Urban Infrastructure Raising the share of public transport in urban areas by expansion of metro rail network and augmentation of city bus service Rs. 18,000 crore for a new scheme, to augment public bus transport: Innovative PPP models to run more than 20,000 buses To boost automobile sector, provide fillip to economic growth, create employment opportunities for our youth A total of 702 km of conventional metro is operational and another 1,016 km of metro and RRTS is under construction in 27 cities ‘MetroLite’ and ‘MetroNeo’ technologies to provide metro rail systems at much lesser cost with similar experience in Tier-2 cities and peripheral areas of Tier-1 cities.  Central counterpart funding to: Kochi Metro Railway Phase-II of 11.5 km at a cost of Rs. 1957.05 crore Chennai Metro Railway Phase –II of 118.9 km at a cost of Rs. 63,246 crore Bengaluru Metro Railway Project Phase 2A and 2B of 58.19 km at a cost of Rs. 14,788 crore Nagpur Metro Rail Project Phase-II and Nashik Metro at a cost of Rs. 5,976 crore and Rs. 2,092 crore respectively. Power Infrastructure 139 Giga Watts of installed capacity and 1.41 lakh circuit km of transmission lines added, and additional 2.8 crore households connected in past 6 years Consumers to have alternatives to choose the Distribution Company for enhancing competitiveness Rs. 3,05,984 crore over 5 years for a revamped, reforms-based and result-linked new power distribution sector scheme A comprehensive National Hydrogen Energy Mission 2021-22 to be launche Ports, Shipping, Waterways Rs. 2,000 crore worth 7 projects to be offered in PPP-mode in FY21-22 for operation of major ports Indian shipping companies to get Rs. 1624 crore worth subsidy support over 5 years in global tenders of Ministries and CPSEs To double the recycling capacity of around 4.5 Million Light Displacement Tonne (LDT) by 2024; to generate an additional 1.5 lakh jobs Petroleum & Natural Gas Extention of Ujjwala Scheme to cover 1 crore more beneficiaries To add 100 more districts to the City Gas Distribution network in next 3 years A new gas pipeline project in J&K An independent Gas Transport System Operator to be set up for facilitation and coordination of booking of common carrier capacity in all-natural gas pipelines on a non-discriminatory open access basis Financial Capital A single Securities Markets Code to be evolved Support for development of a world class Fin-Tech hub at the GIFT-IFSC A new permanent institutional framework to help in development of Bond market by purchasing investment grade debt securities both in stressed and normal times Setting up a system of Regulated Gold Exchanges: SEBI to be notified as a  regulator and Warehousing Development and Regulatory Authority to be strengthened To develop an investor charter as a right of all financial investors Capital infusion of Rs. 1,000 crore to Solar Energy Corporation of India and Rs. 1,500 crore to Indian Renewable Energy Development Agency Increasing FDI in Insurance Sector: To increase the permissible FDI limit from 49% to 74% and allow foreign ownership and control with safeguards Stressed Asset Resolution: Asset Reconstruction Company Limited and Asset Management Company to be set up Recapitalization of PSBs: Rs.  20,000 crore in 2021-22 to further consolidate the financial capacity of PSBs Deposit Insurance Amendments to the DICGC Act, 1961, to help depositors get an easy and time-bound access to their deposits to the extent of the deposit insurance cover Minimum loan size eligible for debt recovery under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002 proposed to be reduced from Rs. 50 lakh to Rs. 20 lakh for NBFCs with minimum asset size of Rs.  100 crore  Company Matters To decriminalize the Limited Liability Partnership (LLP) Act, 2008 Easing Compliance requirement of Small companies by revising their definition under Companies Act, 2013 by increasing their thresholds for Paid up capital from “not exceeding Rs. 50 Lakh” to “not exceeding Rs. 2 Crore” and turnover from “not exceeding Rs. 2 Crore” to “not exceeding Rs. 20 Cr”. Promoting start-ups and innovators by incentivizing the incorporation of One Person Companies (OPCs): Allowing their growth without any restrictions on paid up capital and turnover Allowing their conversion into any other type of company at any time, Reducing the residency limit for an Indian citizen to set up an OPC from 182 days to 120 days and Allowing Non Resident Indians (NRIs) to incorporate OPCs in India. To ensure faster resolution of cases by: Strengthening NCLT framework Implementation of e-Courts system Introduction of alternate methods of debt resolution and special framework for MSMEs Launch of data analytics, artificial intelligence, machine learning driven MCA21 Version 3.0 in 2021-22 Disinvestment and Strategic Sale Rs.  1,75,000 crore estimated receipts from disinvestment in BE 2020-21 Strategic disinvestment of BPCL, Air India, Shipping Corporation of India, Container Corporation of India, IDBI Bank, BEML, Pawan Hans, Neelachal Ispat Nigam limited etc. to be completed in 2021-22. Other than IDBI Bank, two Public Sector Banks and one General Insurance company to be privatized IPO of LIC in 2021-22 New policy for Strategic Disinvestment approved;  CPSEs except in four strategic areas to be privatized NITI Aayog to work out on the next list of CPSEs to be taken up for strategic disinvestment Incentivizing States for disinvestment of their Public Sector Companies, using central funds Special Purpose Vehicle in the form of a company to monetize idle land Introducing a revised mechanism for ensuring timely closure of sick or loss making CPSEs  Government Financial Reforms Treasury Single Account (TSA) System for Autonomous Bodies to be extended for universal application Separate Administrative Structure to streamline the ‘Ease of Doing Business’ for Cooperatives Inclusive Development for Aspirational India Agriculture Ensured MSP at minimum 1.5 times the cost of production across all commodities. SWAMITVA Scheme to be extended to all States/UTs,  1.80 lakh property-owners in 1,241 villages have already been provided cards Agricultural credit target enhanced to Rs. 16.5 lakh crore in FY22 - animal husbandry, dairy, and fisheries to be the focus areas Rural Infrastructure Development Fund to be enhanced to Rs. 40,000 crore from Rs. 30,000 crore To double the Micro Irrigation Fund to Rs. 10,000 crore ‘Operation Green Scheme’ to be extended to 22 perishable products, to boost value addition in agriculture and allied products Around 1.68 crore farmers registered and Rs. 1.14 lakh crore of trade value carried out through e-NAMs; 1,000 more mandis to be integrated with e-NAM to bring transparency and competitiveness. APMCs to get access to the Agriculture Infrastructure Funds for augmenting infrastructure facilities Fisheries Investments to develop modern fishing harbours and fish landing centres – both marine and inland 5 major fishing harbours – Kochi, Chennai, Visakhapatnam, Paradip, and Petuaghat to be developed as hubs of economic activity Multipurpose Seaweed Park in Tamil Nadu to promote seaweed cultivation  Migrant Workers and Labourers One Nation One Ration Card scheme for beneficiaries to claim rations anywhere in the country - migrant workers to benefit the most Scheme implementation so far covered 86% of beneficiaries across 32 States and UTs Remaining 4 states to be integrated in next few months Portal to collect information on unorganized labour force, migrant workers especially, to help formulate schemes for them Implementation of 4 labour codes underway Social security benefits for gig and platform workers too minimum wages and coverage under the Employees State Insurance Corporation applicable for all categories of workers Women workers allowed in all categories, including night-shifts with adequate protection Compliance burden on employers reduced with single registration and licensing, and online returns Financial Inclusion Under Stand Up India Scheme for SCs, STs and women, Margin money requirement reduced to 15% To also include loans for allied agricultural activities Rs. 15,700 crore budget allocation to MSME Sector, more than double of this year’s BE Reinvigorating Human Capital School Education 15,000 schools to be strengthened by implementing all NEP components. Shall act as exemplar schools in their regions for mentoring others 100 new Sainik Schools to be set up in partnership with NGOs/private schools/states Higher Education Legislation to be introduced to setup Higher Education Commission of India as an umbrella body with 4 separate vehicles for standard-setting, accreditation, regulation, and funding Creation of formal umbrella structure to cover all Govt. colleges, universities, research institutions in a city for greater synergy. Glue grant to implement the same across 9 cities Central University to come up in Leh for accessibility of higher education in Ladakh  Scheduled Castes and Scheduled Tribes Welfare 750 Eklavya model residential schools in tribal areas: Unit cost of each school to be increased to Rs. 38 crore For hilly and difficult areas, to Rs. 48 crore Focus on creation of robust infrastructure facilities for tribal students Revamped Post Matric Scholarship Scheme for welfare of SCs Rs. 35,219 crore enhanced Central Assistance for 6 years till 2025-2026 4 crore SC students to benefit  Skilling Proposed amendment to Apprenticeship Act to enhance opportunities for youth Rs. 3000 crore for realignment of existing National Apprenticeship Training Scheme (NATS) towards post-education apprenticeship, training of graduates and diploma holders in Engineering Initiatives for partnership with other countries in skilling to be taken forward, similar to partnership: With UAE to benchmark skill qualifications, assessment, certification, and deployment of certified workforce With Japan for a collaborative Training Inter Training Programme (TITP) to transfer of skills, technique and knowledge Innovation and R&D Modalities of National Research Foundation announced in July 2019 – Rs. 50,000 crore outlay over 5 years To strengthen overall research ecosystem with focus on national-priority thrust areas Rs. 1,500 crore for proposed scheme to promote digital modes of payment National Language Translation Mission (NTLM) to make governance-and-policy related knowledge available in major Indian languages PSLV-CS51 to be launched by New Space India Limited (NSIL) carrying Brazil’s Amazonia Satellite and some Indian satellites As part of the Gaganyaan mission activities: 4 Indian astronauts being trained on Generic Space Flight aspects, in Russia First unmanned launch is slated for December 2021 Rs. 4,000 crore over five years for Deep Ocean Mission survey exploration and conservation of deep sea biodiversity Minimum Government, Maximum Governance Measures being undertaken to bring reforms in Tribunals to ensure speedy justice National Commission for Allied Healthcare Professionals already introduced to ensure transparent and efficient regulation of the 56 allied healthcare professions The National Nursing and Midwifery Commission Bill introduced for the same in nursing profession Proposed Conciliation Mechanism with mandate for quick resolution of contractual disputes with CPSEs Rs. 3,768 crore allocated for first digital census in the history of India Rs. 300 crore grant to the Government of Goa for the diamond jubilee celebrations of the state’s liberation from Portuguese Rs. 1,000 crore for the welfare of Tea workers especially women and their children in Assam and West Bengal through a special scheme Amendment to FRBM Act proposed to achieve targeted Fiscal Deficit levels The Contingency Fund of India is to be augmented from Rs. 500 crore to Rs. 30,000 crore through Finance Bill Net borrowing of the States: Net borrowing for the states allowed at 4% of GSDP for the year 2021-2022 as per recommendation of 15th FC Part of this earmarked for incremental capital expenditure Additional borrowing ceiling of 0.5% of GSDP will be provided subject to conditions States expected to reach a fiscal deficit of 3% of GSDP by 2023-24, as recommended by the 15th Finance Commission  Fifteenth Finance Commission: The final report covering 2021-26 was submitted to the President, retaining vertical shares of states at 41% Funds to UTs of Jammu and Kashmir and Ladakh would be provided by Centre On the Commission’s recommendation, Rs. 1,18,452 crore have been provided as Revenue Deficit Grant to 17 states in 2021-22, as against  Rs. 74,340 crore to 14 states in 2020-21 Tax Proposals Vision of a transparent, efficient tax system to promote investments and employment in the country with minimum burden on tax payers Direct Taxes Achievements: Corporate tax rate slashed to make it among the lowest in the world Burden of taxation on small taxpayers eased by increasing rebates Return filers almost doubled to 6.48 crore in 2020 from 3.31 crore in 2014 Faceless Assessment and Faceless Appeal introduced Relief to Senior Citizens: Exemption from filing tax returns for senior citizens over 75 years of age and having only pension and interest income; tax to be deducted by paying bank Reducing Disputes, Simplifying Settlement: Time limit for re-opening cases reduced to 3 years from 6 years Serious tax evasion cases, with evidence of concealment of income of Rs. 50 lakh or more in a year, to be re-opened only up to 10 years, with approval of the Principal Chief Commissioner Dispute Resolution Committee to be set up for taxpayers with taxable income up to Rs. 50 lakh and disputed income up to Rs. 10 lakh National Faceless Income Tax Appellate Tribunal Centre to be established Over 1 lakh taxpayers opted to settle tax disputes of over Rs. 85,000 crore through Vivad Se Vishwas Scheme until 30th January 2021 Relaxation to NRIs: Rules to be notified for removing hardships faced by NRIs regarding their foreign retirement accounts Incentivising Digital Economy: Limit of turnover for tax audit increased to Rs. 10 crore from Rs. 5 crore for entities carrying out 95% transactions digitally Relief for Dividend: Dividend payment to REIT/ InvIT exempt from TDS Advance tax liability on dividend income only after declaration/ payment of dividend Deduction of tax on dividend income at lower treaty rate for Foreign Portfolio Investors Attracting Foreign Investment for Infrastructure: Infrastructure Debt Funds made eligible to raise funds by issuing Zero Coupon Bonds Relaxation of some conditions relating to prohibition on private funding, restriction on commercial activities, and direct investment Supporting ‘Housing for All’: Additional deduction of interest, up to Rs. 1.5 lakh, for loan taken to buy an affordable house extended for loans taken till March 2022 Tax holiday for Affordable Housing projects extended till March 2022 Tax exemption allowed for notified Affordable Rental Housing Projects Tax incentives to IFSC in GIFT City: Tax holiday for capital gains from incomes of aircraft leasing companies Tax exemptions for aircraft lease rentals paid to foreign lessors Tax incentive for relocating foreign funds in the IFSC Tax exemption to investment division of foreign banks located in IFSC Ease of Filing Taxes: Details of capital gains from listed securities, dividend income, interest from banks, etc. to be pre-filled in returns Relief to Small Trusts: Exemption limit of annual receipt revised from ₹1 crore to ₹5 crore for small  charitable trusts running schools and hospitals Labour Welfare: Late deposit of employee’s contribution by the employer not to be allowed as deduction to the employer Eligibility for tax holiday claim for start-ups extended by one more year Capital gains exemption for investment in start-ups extended till 31st March, 2022 Indirect Taxes GST: Measures taken till date: Nil return through SMS Quarterly return and monthly payment for small taxpayers Electronic invoice system Validated input tax statement Pre-filled editable GST return Staggering of returns filing Enhancement of capacity of GSTN system Use of deep analytics and AI to identify tax evaders Custom Duty Rationalization: Twin objectives: Promoting domestic manufacturing and helping India get onto global value chain and export better 80 outdated exemptions already eliminated Revised, distortion-free customs duty structure to be put in place from 1st October 2021 by reviewing more than 400 old exemptions New customs duty exemptions to have validity up to the 31st March following two years from its issue date Electronic and Mobile Phone Industry: Some exemptions on parts of chargers and sub-parts of mobiles withdrawn Duty on some parts of mobiles revised to 2.5% from ‘nil’ rate Iron and Steel: Customs duty reduced uniformly to 7.5% on semis, flat, and long products of non-alloy, alloy, and stainless steels Duty on steel scrap exempted up to 31st March, 2022 Anti-Dumping Duty (ADD) and Counter-Veiling Duty (CVD) revoked on certain steel products Duty on copper scrap reduced from 5% to 2.5% Textiles: Basic Customs Duty (BCD) on caprolactam, nylon chips and nylon fiber & yarn reduced to 5% Chemicals: Calibrated customs duty rates on chemicals to encourage domestic value addition and to remove inversions Duty on Naptha reduced to 2.5% Gold and Silver: Custom duty on gold and silver to be rationalized Renewable Energy: Phased manufacturing plan for solar cells and solar panels to be notified Duty on solar invertors raised from 5% to 20%, and on solar lanterns from 5% to 15% to encourage domestic production Capital Equipment: Tunnel boring machine to now attract a customs duty of 7.5%; and its parts a duty of 2.5% Duty on certain auto parts increased to general rate of 15% MSME Products: Duty on steel screws and plastic builder wares increased to 15% Prawn feed to attract customs duty of 15% from earlier rate of 5% Exemption on import of duty-free items rationalized to incentivize exporters of garments, leather, and handicraft items Exemption on imports of certain kind of leathers withdrawn Customs duty on finished synthetic gem stones raised to encourage domestic processing Agriculture Products: Customs duty on cotton increased from nil to 10% and on raw silk and silk yarn from 10% to 15%. Withdrawal of end-use based concession on denatured ethyl alcohol Agriculture Infrastructure and Development Cess (AIDC) on a small number of items Rationalization of Procedures and Easing of Compliance: Turant Customs initiative, a Faceless, Paperless, and Contactless Customs measures New procedure for administration of Rules of Origin Achievements and Milestones during the COVID-19 pandemic Pradhan Mantri Garib Kalyan Yojana (PMGKY): Valued at Rs. 2.76 lakh crore Free food grain to 80 crore people Free cooking gas for 8 crore families Direct cash to over 40 crore farmers, women, elderly, the poor and the needy AatmaNirbhar Bharat package (ANB 1.0): Estimated at Rs. 23 lakh crore – more than 10% of GDP PMGKY, three ANB packages (ANB 1.0, 2.0, and 3.0), and announcements made later were like 5 mini-budgets in themselves Rs. 27.1 lakh crore worth of financial impact of all three ANB packages including RBI’s measures – amounting to more than 13% of GDP Structural reforms: One Nation One Ration Card Agriculture and Labour Reforms Redefinition of MSMEs Commercialisation of the Mineral Sector Privatisation of Public Sector Undertakings Production Linked Incentive Schemes Status of India’s fight against COVID-19: 2 Made-in-India vaccines – medically safeguarding citizens of India and those of 100-plus countries against COVID-19 2 or more new vaccines expected soon Lowest death rate per million and the lowest active cases 2021 - Year of milestones for Indian history 75th year of India’s independence 60 years of Goa’s accession to India 50 years of the 1971 India-Pakistan War Year of the 8th Census of Independent India  India’s turn at the BRICS Presidency Year for Chandrayaan-3 Mission Haridwar MahaKumbh Vision for AatmaNirbhar Bharat AatmaNirbharta – not a new idea – ancient India was self-reliant and a business epicentre of the world AtmaNirbhar Bharat – an expression of 130 crore Indians who have full confidence in their capabilities and skills Strengthening the Sankalp of: Nation First Doubling Farmer’s Income Strong Infrastructure Healthy India Good Governance Opportunities for Youth Education for All Women Empowerment Inclusive Development 13 promises made in the Union Budget 2015-16, and resonating with the vision of AatmaNirbharta, to materialise during the AmrutMahotsav of 2022 – on the 75th year of our independence Prelims-oriented Scheme World Wetlands Day: 2nd Feb India gets its first Centre for Wetland Conservation and Management (CWCM), as a part of the National Centre for Sustainable Coastal Management (NCSCM). It would address specific research needs and knowledge gaps and will aid in the application of integrated approaches for conservation, management and wise use of the wetlands. India has nearly 4.6% of its land as wetlands, covering an area of 15.26 million hectares and has 42 sites designated as Wetlands of International Importance (Ramsar Sites), with a surface area of 1.08 million hectares. The year 2021 also commemorates the 50th anniversary of the signing of the Ramsar Convention on Wetlands on 2 February 1971 in Ramsar, Iran, celebrated annually as World Wetlands Day. Launch of Mega Investment Textiles Parks (MITRA) scheme  To make Indian textile industry globally competitive Attract large investments Boost employment generation and exports This will create world class infrastructure with plug and play facilities to enable create global champions in exports. MITRA will be launched in addition to the Production Linked Incentive Scheme (PLI). MoU signed with 21 States/UTs for better functioning of Eklavya Model Residential Schools The signing of the MoU is the first step towards positioning of EMRSs as harbinger of tribal education in the remote tribal hinterlands and it would bring all States on a uniform and mutually agreed platform. EMRSs are a flagship intervention of the Ministry of Tribal Affairs to provide quality education to tribal students in remote tribal areas. The programme being implemented since 1998 have created a niche in the tribal education landscape of the country. However, the scheme was revamped in 2018 to improve the geographical outreach of the programme and introduce several qualitative changes to improve learning outcomes in the schools. Currently there are 588 schools sanctioned across the country in 28 States/UT with around 73391 students enrolled in the Schools. Another 152 schools shall be sanctioned by the year 2022. National Education Society for Tribal Students (NESTS) NESTS was established in April, 2019 as an autonomous organization under the Ministry of Tribal Affairs to run and manage the schools.  Ever since then, In order to ensure adequate availability of financial resources in the schools, the recurring cost per annum per student was enhanced to Rs. 1,09,000.00 in 2018-19 from the existing unit cost of Rs. 61,500.00 in 2017-18. With the increase in recurring cost and the construction grant it was imperative that the qualitative improvements in the running and management of the schools are initiated simultaneously.  With the execution of MoU, the schools shall be eligible for higher recurring costs so as to ensure qualitative improvements in the schools. 6 New Circles of Archaeological Survey of India created Rajkot Circle, Gujarat – by bifurcation of Vadodara Circle. Jabalpur Circle, Madhya Pradesh – by bifurcation of Bhopal Circle. Tiruchirappalli (Trichy) Circle, Tamil Nadu – by bifurcation of Chennai & Thrissur Circle. Meerut Circle, Uttar Pradesh – by bifurcation of Agra circle Jhansi Circle, Uttar Pradesh – by bifurcation of Lucknow Circle. Raiganj Circle, West Bengal – by bifurcation of Kolkata Circle. One District One Product Scheme: It is an initiative which is seen as a transformational step forward towards realizing the true potential of a district, fuel economic growth and generate employment and rural entrepreneurship, taking us to the goal of AtmaNirbhar Bharat.  One District One Product (ODOP) initiative is operationally merged with ‘Districts as Export Hub’ initiative being implemented by DGFT, Department of Commerce, with Department for Promotion of Industry and Internal Trade (DPIIT) as a major stakeholder.     The objective is to convert each District of the country into an Export Hub by identifying products with export potential in the District, addressing bottlenecks for exporting these products, supporting local exporters/manufacturers to scale up manufacturing, and find potential buyers outside India with the aim of promoting exports, promoting manufacturing & services industry in the District and generate employment in the District.      India to host Indian Ocean Region Defence Ministers’ Conclave on the sidelines of Aero India 2021 On February 04, 2021 on the margins of Aero India 2021 - Asia’s largest Aero show The broad theme of the conclave will be ‘Enhanced Peace, Security and Cooperation in the Indian Ocean’. The conclave is an initiative to promote dialogue in an institutional, economic and cooperative environment that can foster the development of peace, stability and prosperity in the Indian Ocean region. The conclave would address aspects related to Defence Industry co-operation amongst participating countries, sharing of resources available in Indian defence shipyards for design & shipbuilding, Indian Ports with friendly countries, Information-sharing towards increased maritime domain awareness, maritime surveillance and co-operation, Humanitarian Assistance & Disaster Relief (HADR), Marine Pollution Response activities, Development of technologies and capabilities for harnessing marine resources, etc. Preliminary survey shows deposits of Lithium in Mandya district of Karnataka: Presence of Lithium resources of 1,600 tonnes (inferred category) in the pegmatites of Marlagalla – Allapatna area, Mandya district, Karnataka Lithium is a key element for new technologies and finds its use in ceramics, glass, telecommunication and aerospace industries.   The well-known uses of Lithium are in Lithium ion batteries, lubricating grease, high energy additive to rocket propellants, optical modulators for mobile phones and as convertor to tritium used as a raw material for thermonuclear reactions i.e. fusion.   The thermonuclear application makes Lithium as “Prescribed substance” under the Atomic Energy Act, 1962 which permits AMD for exploration of Lithium in various geological domains of the country.  Due to the continuously increasing demand of Lithium ion batteries, the requirement of Lithium has increased over last few years.  Key steps taken by Government to increase exports: Foreign Trade Policy (2015-20) extended by one year i.e. upto 31-3-2021 due to the COVID-19 pandemic situation. Interest Equalization Scheme on pre and post shipment rupee export credit has also been extended by one year i.e. upto 31-3-2021. A new Scheme, Remission of Duties and Taxes on Exported Products (RoDTEP), has been launched with effect from 01.01.2021. Common Digital Platform for Certificate of Origin has been launched to facilitate trade and increase FTA utilization by exporters. A comprehensive “Agriculture Export Policy” to provide an impetus to agricultural exports related to agriculture, horticulture, animal husbandry, fisheries and food processing sectors is under implementation. Promoting and diversifying services exports by pursuing specific action plans for the 12 Champion Services Sectors. Promoting districts as export hubs by identifying products with export potential in each district, addressing bottlenecks for exporting these products and supporting local exporters/manufacturers to generate employment in the district. Active role of Indian missions abroad towards promoting India’s trade, tourism, technology and investment goals has been enhanced. Package announced in light of the covid pandemic to support domestic industry through various banking and financial sector relief measures, especially for MSMEs, which constitute a major share in exports. Ethanol as an alternate fuel Government has been promoting use of ethanol as a blend stock with main automotive fuel like petrol in line with the National Policy on Biofuels (NBP) -2018 under the Ethanol Blended Petrol (EBP) Programme. This policy envisages an indicative target of blending 20% ethanol in petrol by 2030. Government has since allowed production of ethanol from sugarcane and food grain based raw-materials.  The cost of production of ethanol varies from distillery to distillery and depends upon various factors viz. cost of raw material, conversion cost, efficiency of distillery plants etc. Further, keeping in view the above factors, the Government has fixed the ex-mill price of ethanol from sugarcane based raw-materials, and Oil Marketing Companies (OMCs) have fixed the price of ethanol from damaged and surplus rice with FCI for Ethanol Supply Year (ESY) (period from Dec. to Nov.) 2020-21  Launch of Unified Portal of Gobardhan  Aim: To promote Gobardhan scheme and track real time progress Under the new unified approach, all these programmes/schemes will be coordinated by the Department of Drinking Water and Sanitation under the Swachh Bharat Mission – Grameen (SBMG). Unified Gobardhan portal will ensure close coordination with stakeholder Departments/Ministries for smooth implementation of Biogas schemes/initiatives and its real time tracking. Launch of Kalam Program for Intellectual Property Literacy and Awareness Campaign (KAPILA): The objectives of the scheme include creating awareness regarding Intellectual Property Rights (IPR) in Higher Education Institutions(HEIs), enabling of IP protection of inventions originating from faculty and students of HEIs, development of Credit Course on IPR, training program on IPR for faculty and students of HEIs and sensitization and development of vibrant IP filing system.  So far, total 46,556 users have been registered for KAPILA. ‘Chauri Chaura’ Centenary Celebrations: The day marks 100 years of the ‘Chauri Chaura’ incident, a landmark event in India’s fight for independence. The Chauri Chaura incident took place on 4 February 1922 at Chauri Chaura in the Gorakhpur district of the United Province (modern Uttar Pradesh) in British India. In this, a large group of protesters participating in the Non-cooperation movement, clashed with police who opened fire.  In retaliation the demonstrators attacked and set fire to a police station, killing all of its occupants. The incident led to the death of three civilians and 22 policemen. Mahatma Gandhi, who was strictly against violence, halted the non-co-operation movement on the national level on 12 February 1922, as a direct result of this incident. Maternal Mortality Ratio A Task Force had been constituted by the Government to examine the correlation of age of marriage and motherhood with  (i) Health, medical well-being and nutritional status of mother and neonate/ infant/ child, during pregnancy, birth and thereafter,   (ii) Key parameters like Infant Mortality Rate (IMR), Maternal Mortality Rate (MMR), Total Fertility Rate (TFR), Sex Ratio at Birth (SRB), Child Sex Ratio (CSR) etc. and  (iii) Any other relevant points pertaining to health and nutrition in this context. 1st India-EU High Level Dialogue on Trade and Investment: Commitment to the establishment of this Dialogue was a major outcome of the 15th India-EU Leader’s Summit held in July 2020, with an objective for a Ministerial level guidance towards the bilateral trade and investment relations. The Ministers emphasized the importance of global cooperation and solidarity in a post COVID-19 era and agreed for further deepening of bilateral trade and investment relationship through a series of regular engagements, aiming at quick deliverable for the businesses in these tough times. Agreed to meet within the next three months, with an objective for reaching consensus on a host of bilateral trade & investment cooperation issues viz. a bilateral Regulatory Dialogue; an India-EU Multilateral Dialogue to explore further possibilities of cooperation; etc. In a significant step forward, regular interactions for re-initiation of bilateral trade and investment agreements, with an interim agreement, to start with, were also discussed Avalanche in Chamoli, Uttarakhand: Uttarakhand’s Chamoli district experienced avalanche and massive flooding on February 7 after a portion of the Nanda Devi glacier broke off causing overflow of the Alaknanda river system — consisting of the Alaknanda river, the Dhauli Ganga and the Rishi Ganga — all tributaries of the Ganga. The sudden floods washed away hydroelectric stations — the Rishi Ganga Hydel Project (Raini) and NTPC’s Tapovan-Vishnugad Hydel project (Tapovan) — on the river system 10 locals, including shepherds with their 180 sheep and goats were swept away in the flash flood. Around 143 people were missing, but the number could be higher. The Indo-Tibetan Border Police (ITBP), State Disaster Response Force (SDRF) and other agencies are carrying out rescue operations on a war footing in the affected areas. A ‘glacial burst’ is widely considered the cause (also the cause of the 2013 Uttarakhand floods), with a close second reason being a possible cloudburst. However, the incident was ‘quite peculiar’ due to no reported snow or rain on the day of the incident.  Another explanation is climate change, with increasing “thermal profile of ice” which has gone from -6 to -20C to -2C, thus making it more susceptible to melt.