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Table of Contents

Polity & Governance ....................................................... 1

1. Designating an individual ‘terrorist’: What the amendments propose (Relevant for GS

Prelims & Mains Paper II; Polity & Governance) ............................................................................... 1

2. Parliament passed the Muslim Women (Protection of Rights on Marriage) Bill 2019

(Relevant for GS Prelims & Mains Paper II; Polity & Governance) ............................................. 2

3. Beyond talaq: On Muslim divorce bill (Relevant for GS Prelims & Mains Paper II; Polity

& Governance) ................................................................................................................................................ 3

4. What the Bill to curb Ponzi schemes says (Relevant for GS Prelims & Mains Paper II;

Polity & Governance) .................................................................................................................................... 4

5. Rajya Sabha passes Motor Vehicles (Amendment) Bill 2019 (Relevant for GS Prelims &

Mains Paper II; Polity & Governance) .................................................................................................... 5

6. Gender justice: On Unnao rape survivor (Relevant for GS Prelims & Mains Paper II;

Polity & Governance) ..................................................................................................................................10

7. One tribunal for all river water disputes: why the proposal, how it will work (Relevant

for GS Prelims & Mains Paper II; Polity & Governance) ................................................................11

8. UGC recommends 20 institutions for Institutes of Eminence (Relevant for GS Prelims &

Mains Paper II; Polity & Governance) ..................................................................................................12

9. Why is the government keen that States set up detention centres for illegal immigrants?

Where should they come up? (Relevant for GS Prelims & Mains Paper II; Polity &

Governance) ...................................................................................................................................................13

10. Why Medical Commission Bill bothers doctors (Relevant for GS Prelims & Mains Paper

II; Polity & Governance) ............................................................................................................................16

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11. Jammu and Kashmir has lost its special status, and reduced to two Union Territories.

What is the history of Partition and accession to India that has been overturned? What

are Articles 370 and 35A, that were supposed to define the special status of the state?

(Relevant for GS Prelims & Mains Paper II; Polity & Governance) ...........................................17

12. Lok Sabha passes Surrogacy (Regulation) Bill (Relevant for GS Prelims & Mains Paper II;

Polity & Governance) ..................................................................................................................................22

13. How Rajasthan, Madhya Pradesh propose to check lynching (Relevant for GS Prelims &

Mains Paper II; Polity & Governance) ..................................................................................................23

14. Why Gujarat and MP are arguing over Narmada water and hydro power (Relevant for

GS Prelims & Mains Paper II; Polity & Governance) .......................................................................25

15. Home buyers can start bankruptcy cases against errant builders (Relevant for GS

Prelims & Mains Paper II; Polity & Governance) .............................................................................27

16. How to read leaked NRC data (Relevant for GS Prelims & Mains Paper II; Polity &

Governance) ...................................................................................................................................................29

17. Need for code of conduct for legislators by their political parties (Relevant for GS

Prelims and Mains Paper II; Polity & Governance) .........................................................................30

18. Mass MLA defections: On Sikkim MLAs defection (Relevant for GS Prelims & Mains

Paper II; Polity & Governance) ...............................................................................................................30

19. Is P.S. Golay eligible to hold office as Chief Minister of Sikkim? (Relevant for GS Prelims

& Mains Paper II; Polity & Governance) ..............................................................................................31

20. Free rides for women in buses from Oct. 29: CM (Relevant for GS Prelims & Mains Paper


21. Understanding post of Chief of Defence Staff (CDS) (Relevant for GS Prelims & Mains

Paper II; Polity & Governance) ...............................................................................................................33

22. Should Aadhaar be linked with social media (Relevant for GS Mains Paper II; Polity &

Governance) ...................................................................................................................................................34








23. Highlights of recent PM Modi 2019 visit to UAE (Relevant for GS Prelims & Mains Paper


24. Why lawyers have objected to setting up of Haryana Administrative Tribunal (Relevant

for GS Prelims & Mains Paper II; Polity & Governance) ................................................................35

25. Kerala ‘honour killing’ case (Relevant for GS Prelims & Mains Paper III; Polity &

Governance) ..................................................................................................................................................37

26. NRC List to be published on 31st August-Those excluded from final NRC will get a

window of 10 months (Relevant for GS Prelims & Mains Paper II; Polity & Governance)

.............................................................................................................................................................................38

International Organizations and Relations ........... 38

1. Consular access to Kulbhushan Jadhav: What ICJ ordered; Pakistan has ‘offered’ to India

(Relevant for GS Prelims & Mains Paper II; IOBR) .................................................................................. 38

2. Kashmir issue: Pakistan expels Indian envoy, suspends bilateral trade (Relevant for GS

Prelims & Mains Paper II; IOBR) ....................................................................................................................... 40

3. Hong Kong on the brink: On continuing protests (Relevant for GS Prelims & Mains Paper

II; IOBR) ...........................................................................................................................................................40

4. Donald Trump repeats threat to take U.S. out of WTO (Relevant for GS Prelims & Mains

Paper II; IOBR) ............................................................................................................................................................. 41

5. What’s behind recession fears (Relevant for GS Prelims & Mains Paper II; IOBR) ............. 42

6. U.N. Security Council meeting on Kashmir (Relevant for GS Prelims & Mains Paper II;

IOBR) ................................................................................................................................................................ ................. 43

7. No-first-use may not be cast in stone: Rajnath Singh (Relevant for GS Prelims & Mains

Paper II; IOBR) ............................................................................................................................................................. 44

8. Outcome of 2nd visit of Mr. Modi to Bhutan (Relevant for GS Prelims & Mains Paper II;

IOBR) ................................................................................................................................................................ ................. 45

9. What is the UN’s stand on Kashmir? (Relevant for GS Prelims & Mains Paper II; IOBR) 45

10. India-Bhutan Relations: Closeness and Challenges (Relevant for GS Prelims and Mains

Paper II; IOBR) ............................................................................................................................................................. 47








11. Islamic State claims Afghan wedding suicide blast that killed 63 (Relevant for GS


12. What Does the Death of the Intermediate Nuclear Forces Treaty Mean? (Relevant for GS


13. India, Zambia sign 6 pacts; strengthen cooperation in defence, mineral resources

(Relevant for GS Prelims & Mains Paper II; IOBR) .................................................................................. 51

14. Will India change its ‘No First Use’ policy? (Relevant for GS Prelims & Mains Paper II;

IOBR) ................................................................................................................................................................ ................. 52

15. Highlights of G7 Summit (Relevant for GS Prelims & Mains Paper II; IOBR) .......................... 55

Economics ........................................................................ 55

1. CCD owner VG Siddhartha dead (Relevant for GS Prelims & Mains Paper III; Economics)

.............................................................................................................................................................................55

2. 'Odisha Rasagola' finally gets GI tag (Relevant for GS Prelims; Economics).........................56

3. The new debate on defence funding (Relevant for GS Prelims & Mains Paper III;

Economics) ..................................................................................................................................................................... 57

4. Significance of US Federal Reserves rate cut and its impact on India (Relevant for GS

Prelims & Mains Paper III; Economics) ......................................................................................................... 58

5. Car sales down, what does this mean for the economy? (Relevant for GS Prelims &

Mains Paper III; Economics) .......................................................................................................... 59

6. US says China manipulates yuan. What does that mean, how is it done? (Relevant for GS


7. RBI cut the repo rate by 35 basis points (Relevant for GS Prelims & Mains Paper III;

Economics) ..................................................................................................................................................................... 63

8. Saudi Aramco to bring largest FDI: 20% stake in RIL oil (Relevant for GS Prelims &

Mains Paper III; Economics) ................................................................................................................................ 66

9. Companies Act amendments to make CSR work (Relevant for GS Prelims & Mains Paper

III; Economics) ............................................................................................................................................................. 67








10. The automobile sector is in the news as it is experiencing prolonged negative growth.

What are the reasons? Why are jobs being lost? And how can the government help?

(Relevant for GS Prelims & Mains Paper III; Economics) ................................................................... 68

11. Bonds and their yields: Falling yields sign of recession (Relevant for GS Prelims & Mains

Paper III; Economics) ............................................................................................................................................... 70

12. What is P Chidambaram's role in INX Media case? (Relevant for GS Prelims & Mains


13. Govt. bows down to pressure, won’t go ahead with new Corporate Social Responsibility

(CSR) rules (Relevant for GS Prelims & Mains Paper III; Economics) ......................................... 74

14. Liberalization of norms for foreign portfolio investors (Relevant for GS Prelims & Mains


15. Union Finance Minister introduced measures to revive economic growth (Relevant for

GS Prelims & Mains Paper III; Economics) .................................................................................................. 76

16. Why is the U.S. President critical of the World Trade organisation? Where do India and

China stand in this confrontation? (Relevant for GS Prelims & Mains Paper III;

Economics) .................................................................................................................................................................... 77

17. Rupee falling again (Relevant for GS Prelims & Mains Paper III; Economics) ...................... 79

18. RBI to transfer Rs.1.76 lakh crore to government (Relevant for GS Prelims & Mains

Paper III; Economics) .............................................................................................................................................. 80

19. How and why RBI transfers to government (Relevant for GS Prelims & Mains Paper III;

Economics) .................................................................................................................................................................... 82

Environment .................................................................... 87

1. Deforestation in Amazon rainforest (Relevant for GS Prelims & Mains Paper III;

Environment) ............................................................................................................................................................... 87

2. What the new IPCC report says on land and climate change (Relevant for GS Prelims &

Mains Paper III; Environment) ........................................................................................................................... 87

3. Certification of seeds to be made mandatory to step up farm output (Relevant for GS









4. July 2019 was the hottest ever month on record; what now? (Relevant for GS Prelims &

Mains Paper III; Environment & Biodiversity) ......................................................................................... 91

5. Relocation of wild buffaloes from Assam to Chhattisgarh (Relevant for GS Prelims &

Mains Paper III; Environment) ........................................................................................................................... 92

6. How a project to link rivers has divided BJP-ruled Maharashtra, Gujarat (Relevant for

GS Prelims & Mains Paper III; Economics) .................................................................................................. 92

7. Supreme Court orders committee to review ecological aspects of Chardham project

(Relevant for GS Prelims & Mains Paper III; Environment) ............................................................. 94

8. India biggest emitter of sulphur dioxide: report using NASA data (Relevant for GS

Prelims & Mains Paper III; Environment) .................................................................................................. 94

9. Report on illegal global tiger trade counts 2,359; highest in India (Relevant for GS

Prelims & Mains Paper III; Environment) .................................................................................................. 96

10. Man-made fires in Amazon forest have sent smoke to populated cities and the Atlantic

coast. Why does it bring focus on President Bolsonaro’s policies? What impact can it

have on the environment? (Relevant for GS Prelims & Mains Paper III; Environment) . 98

11. How do governments set climate targets? (Relevant for GS Prelims & Mains Paper III;

Environment) .............................................................................................................................................................. 99

12. What is CITES, what does it do? (Relevant for GS Prelims & Mains Paper III;

Environment) ........................................................................................................................................................... 101

13. Centre releases Rs. 47,436 crore to 27 States for afforestation (Relevant for GS Prelims

& Mains Paper III; Environment) .................................................................................................................. 103

Science & Technology ................................................. 104

1. What is the country’s Deep Ocean Mission all about? What are the metals that can be

extracted? (Relevant for GS Prelims & Mains Paper III; Science & Technology) ............... 104

2. State-run oil marketing companies to buy biodiesel made from used cooking oil

(Relevant for GS Prelims & Mains Paper III; Science & Technology) ........................................ 106

3. Dealing with doping: On BCCI consent to come under WADA (Relevant for GS Prelims &

Mains Paper III; Science & Technology) .................................................................................................... 107








4. What is a notifiable disease? (Relevant for GS Prelims & Mains Paper III; Science &

Technology) ................................................................................................................................................................ 108

5. India gets its first national essential diagnostics list (Relevant for GS Prelims; Science &

Technology) ................................................................................................................................................................ 109

6. ISRO’s Chandrayaan-2 reaches key stage, what next? (Relevant for GS Prelims & Mains

Paper III; Science & Technology) ................................................................................................................... 110

7. Chandrayaan-2 has just entered a lunar orbit. What makes it a milestone big enough for

the ISRO head to announce it to the country? What are the next milestones coming up

before the September 7 landing? (Relevant for GS Prelims & Mains Paper III; Science &

Technology) ................................................................................................................................................................ 112

8. Power Minister Shri RK Singh approves proposal to declare ocean energy as Renewable

Energy (Relevant for GS Prelims & Mains Paper III; Science & Technology) ...................... 115

9. What are the polygraph, narco tests that PNB accused has refused? (Relevant for GS

Prelims & Mains Paper III; Science & Technology) ............................................................................. 117

10. E-cigarette ban: the science behind proposal, and industry counter-view (Relevant for

GS Prelims & Mains Paper III; Science & Technology) ...................................................................... 119

Social Issues ................................................................. 120

1. Ravish Kumar wins 2019 Ramon Magsaysay Award (Relevant for GS Prelims & Mains

Paper I; Social Issues) ........................................................................................................................................... 120

2. Sex ratio at birth: Kerala on top, Northeast states show decline (Relevant for GS Prelims

& Mains Paper I; Social Issues) ................................................................................................... 121

3. Pehlu Khan lynching case: Rajasthan court acquits six accused (Relevant for GS Prelims

& Mains Paper I; Social Issues) .................................................................................................. 123

4. What fertility rate data show (Relevant for GS Prelims & Mains Paper I; Social Issues)

............................................................................................................................................................ 125

Internal Security .......................................................... 126








1. How forces are tackling Maoists in Chhattisgarh, what challenges remain (Relevant for

GS Prelims & Mains Paper III; Internal Security) ................................................................................. 126

2. Manmohan Singh set to lose SPG cover (Relevant for GS Prelims & Mains Paper III;

Internal Security) ................................................................................................................................................... 128

Disaster Management ............................................... 130

1. Cabinet approves Establishment of an International Coalition for Disaster Resilient

Infrastructure (Relevant for GS Prelims & Mains Paper III; Disaster Management) ..... 130

Miscellaneous .............................................................. 131

1. Assam’s golden tea sells for ₹50,000 per kg (Relevant for GS Prelims) ............................. 131

2. Satwik and Chirag won men double Thailand Open championship (Relevant for GS

Prelims) ........................................................................................................................................... 131

3. Sushma Swaraj, a BJP stalwart with socialist roots, passes away (Relevant for GS

Prelims) .......................................................................................................................................... 131

4. Ministry of Skill Development and Entrepreneurshipannounces fourth edition of

National Entrepreneurship Awards, 2019 (Relevant for GS Prelims) ............................. 135

5. President of India Presents Bharat Ratna Awards (Relevant for GS Prelims) ................ 136

6. Newly-discovered 'Kajin Sara' lake in Nepal likely to become world's highest (Relevant

for GS Prelims) .............................................................................................................................. 137

7. What is Bakrid? (Relevant for GS Prelims) .............................................................................. 137

8. Assam tea at Rs 75,000/kg: How is it valued, how is it sold? (Relevant for GS Prelims)

........................................................................................................................................................... 138

9. Sabka Vishwas - Legacy Dispute Resolution Scheme notified; to be operationalized from

1st September 2019 (Relevant for GS Prelims) ..................................................................... 139

10. PV Sindhu wins historic gold, crushes Nozomi Okuhara in BWF World Championships

final (Relevant for GS Prelims) .................................................................................................. 139

11. Manmohan Singh continues to have Z+ security: MHA (Read only for understanding)

........................................................................................................................................................... 140








12. Mobile application-“Janaushadhi Sugam” launched for locating outlets and searching

Generic medicines (Relevant for GS Prelims) ........................................................................ 140

13. Tenzing Norgay National Adventure Award 2018 Announced (Relevant for GS Prelims)

........................................................................................................................................................... 141

14. Kotla stadium renamed after Jaitley, not the ground (Relevant for GS Prelims) ........... 142

15. NISHTHA -world’s largest teachers’ training programme (Relevant for GS Prelims) . 142






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Polity and Governance

1. Designating an individual ‘terrorist’: What the amendments propose (Relevant for

GS Prelims & Mains Paper II; Polity & Governance)

The Unlawful Activities Prevention Amendment (UAPA) Bill is an anti-terror legislation that seeks to designate an individual as a “terrorist”. On July 24, Lok Sabha cleared the changes to the existing law, but Opposition parties and civil liberties lawyers have criticised the Bill, arguing it could be used to target dissent against the government, and infringe on citizens’ civil rights. Who is a “terrorist” in the Bill?

The words “terror” or “terrorist” are not defined, but the UAPA Bill in Section 15 defines a “terrorist act” as any act committed with intent to threaten or likely to threaten the unity, integrity, security, economic security, or sovereignty of India or with intent to strike terror or likely to strike terror in the people or any section of the people in India or in any foreign country. The original Act dealt with “unlawful” acts related to secession; anti-terror provisions were introduced in 2004. The Bill seeks to empower the central government to designate an individual a “terrorist” if they are found committing, preparing for, promoting, or involved in an act of terror. A similar provision already exists in Part 4 and 6 of the legislation for organisations that can be designated as a “terrorist organisation”. Home Minister Amit Shah, during a debate on the Bill in Lok Sabha, stressed on the need to designate individuals as terrorists to root out terrorism. How are individuals declared terrorists?

The central government may designate an individual as a terrorist through a notification in the official gazette, and add his name to the schedule supplemented to the UAPA Bill. The government is not required to give an individual an opportunity to be heard before such a designation. At present, in line with the legal presumption of an individual being innocent until proven guilty, an individual who is convicted in a terror case is legally referred to as a terrorist, while those suspected of being involved in terrorist activities are referred to as terror accused. The Bill does not clarify the standard of proof required to establish that an individual is involved or is likely to be involved in terrorist activities. What happens when an individual is declared a terrorist?

The designation of an individual as a global terrorist by the United Nations is associated with sanctions including travel bans, freezing of assets and an embargo against procuring arms. The UAPA Bill, however, does not provide any such detail.






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The Bill also does not require the filing of cases or arresting individuals while designating them as terrorists. According to Home Ministry officials, the consequences will be prescribed in the Rules supplemented to the law once the amendment Bill is passed. The Bill also seeks to give the central government the power to remove a name from the schedule when an individual makes an application. The procedure for such an application and the process of decision-making will also be decided by the central government. If an application filed by an individual declared a terrorist is rejected by the government, the Bill gives him the right to seek a review within one month after the application is rejected. Under the amendment Bill, the central government will set up the review committee consisting of a chairperson (a retired or sitting judge of a High Court) and three other members. The review committee will be empowered to order the government to delete the name of the individual from the schedule that lists “terrorists”, if it considers the order to be flawed. Apart from these two avenues, the individual can also move the courts challenging the government’s order. What are the other major changes proposed in the UAPA Bill?

The existing UAPA law requires an investigating officer to take prior permission of the Director General of Police of a state for conducting raids, and seizing properties that are suspected to be linked to terrorist activities. The amendment Bill, however, removes this requirement if the investigation is conducted by an officer of the National Investigation Agency (NIA). The investigating officer, under the Bill, only requires sanction from the Director General of NIA. Central agencies such as the Central Bureau of Investigation (CBI) are required to obtain prior permission from the state government since law and order is a state subject under the Constitution. The existing UAPA law specifies that only officers of the rank of Deputy Superintendent or Assistant Commissioner of Police of the NIA shall have the power to investigate offences under the UAPA law. The Bill seeks to allow NIA officers of Inspector rank to carry out investigations. (Source:https://indianexpress.com/article/explained/uapa-amendment-bill-terrorist-designating-individual-as-terrorist-5864906/)

2. Parliament passed the Muslim Women (Protection of Rights on Marriage) Bill 2019

(Relevant for GS Prelims & Mains Paper II; Polity & Governance)

Nearly two years after the Supreme Court set aside the centuries-old practice of instant triple talaq or talaq-e-biddat calling it un-Islamic, arbitrary and not an integral part of religious





https://indianexpress.com/article/explained/uapa-amendment-bill-terrorist-designating-individual-as-terrorist-5864906/

https://indianexpress.com/article/explained/uapa-amendment-bill-terrorist-designating-individual-as-terrorist-5864906/


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practice, The Muslim Women (Protection of Rights on Marriage) Bill, 2019 was passed by Parliament. Bill overrides personal law

The government has managed to pass a bill which overrides muslim personal law. Who are the provisions?

1. Only the woman or her blood relative can lodge an FIR. 2. The offence under the act is compoundable. At the instance of the wife, a magistrate can do it. 3. Magistrate can give bail upon appropriate condition after hearing the wife. 4. There are provisions for subsistence allowance. The Opposition’s main objection to the Bill was declaration of triple talaq as a cognizable offence, attracting up to three years imprisonment with a fine. Passage of the bill

Since the Supreme Court judgment on August 22, 2017, this is the first time the Bill has been put to vote in Rajya Sabha. In 2018, when the Bill was introduced in Rajya Sabha, the Opposition had moved for a Select Committee reference but the House was adjourned before voting could take place after treasury benches trooped to the well and started raising slogans. Lok Sabha though discussed the Bill/Ordinance thrice. The Muslim Women (Protection of Rights on Marriage) Ordinance, 2019 was promulgated for the third time on January 12, 2019. (Source:https://indianexpress.com/article/india/triple-talaq-bill-passed-rajya-sabha-ravi-shankar-prasad-5865248/)

3. Beyond talaq: On Muslim divorce bill (Relevant for GS Prelims & Mains Paper II;

Polity & Governance)

Both Houses of Parliament have passed a Bill making instant triple talaq a criminal offence, amidst persistent doubts whether it ought to be treated as a crime or just a civil case. Dilution during passage of bill

It is true that the Muslim Women (Protection of Rights on Marriage) Bill, 2019, is a diluted version of the Bill as it was originally conceived. Earlier, it did not specify who could set the law in motion. Now the offence is cognisable only if the affected wife, or one related to her by blood or marriage, files a police complaint. A man arrested under this law may get bail, after the Magistrate grants a hearing to the wife. Thirdly, the offence is compoundable, that is, the parties may arrive at a compromise. Government rationale in making triple talaq a criminal offence

The government says its main objective is to give effect to the Supreme Court’s 2017 verdict declaring instant triple talaq illegal. It claims that despite the court ruling, several instances have been reported. Making it an offence, the government says, will deter further resort to





https://indianexpress.com/article/india/triple-talaq-bill-passed-rajya-sabha-ravi-shankar-prasad-5865248/

https://indianexpress.com/article/india/triple-talaq-bill-passed-rajya-sabha-ravi-shankar-prasad-5865248/


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triple talaq, and provide redress for women in the form of a subsistence allowance and custody of children, besides getting the erring husband arrested. However, the core question regarding the necessity to criminalise the practice of talaq-e-biddat has not been convincingly answered. Whether need to declare it a criminal offence

In the light of the Supreme Court ruling on its validity, there is really no need to declare instant triple talaq a criminal offence. The practice has no approval in Islamic tenets, and is indeed considered abhorrent. Secondly, once it has been declared illegal, pronouncing talaq obviously does not have the effect of “instantaneous and irrevocable divorce” as this Bill claims in its definition of ‘talaq’. The provisions that allow a woman to claim a subsistence allowance from the man and seek custody of her children can be implemented in the event of the husband abandoning her, even without the man’s arrest. If triple talaq, in any form, is void, how the questions of children’s custody and subsistence allowance arise while the marriage subsists, is not clear. And then, there is the practical question of how a man can provide a subsistence allowance while he is imprisoned. The BJP projects the passage of the Bill as a historic milestone in the quest for gender justice. Such a claim will be valid only if there is a non-sectarian law that addresses abandonment and desertion of spouses as a common problem instead of focusing on a practice, which is no more legally valid, among Muslims. (Source:https://www.thehindu.com/opinion/editorial/beyond-talaq/article28775695.ece)

4. What the Bill to curb Ponzi schemes says (Relevant for GS Prelims & Mains Paper II;


On July 29, Rajya Sabha passed The Banning of Unregulated Deposit Schemes Bill, 2019; it had been passed by Lok Sabha five days previously. The Bill aims to protect investors from fraudulent investment schemes, such as Ponzi schemes. The Bill covers existing gaps in legislation that had been exploited by various parties to siphon large amounts of money away from small investors. In particular, it amends three laws, i.e., The Reserve Bank of India Act, 1934, The Securities and Exchange Board of India Act, 1992 and The Multi-State Co-operative Societies Act, 2002. What does the bill cover?

According to an analysis by PRS India, under the Bill, deposit-taking schemes are defined as ‘unregulated’ if they are undertaken for business purposes, and additionally, are not registered with one of the nine regulatory authorities mentioned in the Bill. What is a Ponzi scam?

A common type of scam involving unregulated deposits is the Ponzi scheme, a type of investment fraud wherein one party promises high returns on an investment with little to no risk. The early investors in a Ponzi scheme are repaid by the scheme acquiring new





https://www.thehindu.com/opinion/editorial/beyond-talaq/article28775695.ece

https://www.thehindu.com/opinion/editorial/beyond-talaq/article28775695.ece


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investors, and so on. Once there are no longer enough people to secure a new round of investments, the scheme collapses and the investors lose their money. This was the classic pattern seen in the Saradha case in West Bengal, in which politicians of the ruling party have been accused. Oversight and regulation of deposit-taking schemes

The nine authorities charged with the oversight and regulation of deposit-taking schemes include the Reserve Bank of India (RBI), the Securities and Exchange Board of India (Sebi), the Ministry of Corporate Affairs (MCA), and state and Union Territory governments. Each authority oversees different types of deposit-taking schemes, with the RBI overseeing deposits taken by non-banking financial companies (NBFCs), and Sebi overseeing mutual funds. Any deposit-taking scheme must be registered with the relevant authority, based on the category it falls under, and only then is its operation legal. Powers granted under the bill

The Bill provides for the appointment of a “competent authority”, with a rank not below Secretary to the state or central government, with the power to provisionally attach the property of the deposit-taker, and all the deposits received by them. The Bill also allows the competent authority to summon and examine people to obtain evidence, and order records to be produced. The Bill provides for the formation of designated courts in specific areas. The central government will additionally designate an authority to establish an online database with information on various deposit-takers. The database will be used to ascertain which deposit-takers are regulated, and which are not. Deposit-takers will be required to inform the authority in charge of the database about their actions and the state of their business. Offences and penalties

Three kinds of offences are delineated under this Bill: running unregulated deposit-taking schemes (which includes advertising, operating, and accepting money for such schemes), fraudulently defaulting on the deposits made under a regulated deposit-taking scheme, and prompting investors to invest in unregulated deposit schemes by knowingly falsifying facts. The first kind of offence has been made punishable by two to seven years’ imprisonment and a fine of Rs 3 lakh to Rs 10 lakh. The second kind of offence is punishable by imprisonment for three to 10 years, and fines ranging from Rs 2 lakh to double the amount collected from depositors. Repeat offenders may be punished by a five- to 10-year stint in prison, and fined between Rs 10 lakh and Rs 5 crore. (Source:https://indianexpress.com/article/explained/explained-what-the-bill-to-curb-ponzi-schemes-says-5867685/)

5. Rajya Sabha passes Motor Vehicles (Amendment) Bill 2019 (Relevant for GS Prelims

& Mains Paper II; Polity & Governance)





https://indianexpress.com/article/explained/explained-what-the-bill-to-curb-ponzi-schemes-says-5867685/

https://indianexpress.com/article/explained/explained-what-the-bill-to-curb-ponzi-schemes-says-5867685/


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The Motor Vehicles (Amendment) Bill, 2019 was passed by Rajya Sabha. The Bill has been passed with three Government amendments and will need to go back to Lok Sabha. The Lok Sabha had already passed the Bill on the 23rd of July 2019. The Motor Vehicles (Amendment) Bill, 2019 is based on the recommendations of the Group of Transport Ministers (GoM) of States constituted by the Ministry of Road Transport & Highways to address the issue of road safety and to improve the facilitation of the citizens while dealing with transport departments. The GoM was headed by Shri. Yoonus Khan, the then Transport Minister of Rajasthan, and had 18 State Transport Ministers from different political parties as members. The amendments in the Bill mainly focus on issues relating to improving road safety, citizens’ facilitation while dealing with the transport department, strengthening rural transport, last mile connectivity and public transport, automation and computerization and enabling online services. Some of the important areas of amendment are as follows: Road Safety

In the area of road safety, the Bill proposes to increase penalties to act as deterrent against traffic violations. Stricter provisions are being proposed in respect of offences like juvenile driving, drunken driving, driving without licence, dangerous driving, over-speeding, overloading etc. Stricter provisions for helmets have been introduced along with provisions for electronic detection of violations. Penalty regarding motor vehicles is to be increased by 10 % every year.. Proposed Amendments in Various Penalties under Motor Vehicles (Amendment) Bill – 2019

Section Old Provision /

Penalty

New Proposed

Provision /

Minimum Penalties

177 General Rs 100 Rs 500

New 177A

Rules of road regulation violation

Rs 100 Rs 500

178 Travel without ticket RS 200 Rs 500

179 Disobedience of orders of authorities

Rs 500 Rs 2000

180 Unautorized use of vehicles without licence

Rs 1000 Rs 5000

181 Driving without licence

Rs 500 Rs 5000






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182 Driving despite disqualification

Rs 500 Rs 10,000

182 B Oversize vehicles New Rs 5000

183 Over speeding Rs 400

Rs 1000 for LMV

Rs 2000 for Medium passenger vehicle

184 Dangerous driving penalty

Rs 1000 Upto Rs 5000

185 Drunken driving Rs 2000 Rs 10,000

189 Speeding / Racing Rs 500 Rs 5,000

192 A Vehicle without permit

upto Rs 5000 Upto Rs 10,000

193 Aggregators (violations of licencing conditions)

New Rs 25,000 to

Rs 1,00,000

194 Overloading

Rs 2000 and

Rs 1000 per extra tonne

Rs 20,000 and

Rs 2000 per extra tonne

194 A Overloading of passengers

Rs 1000 per extra passenger

194 B Seat belt Rs 100 Rs 1000

194 C Overloading of two wheelers

Rs 100 Rs 2000, Disqualification for 3 months for licence

194 D Helmets Rs 100 Rs 1000 Disqualification for 3 months for licence

194 E Not providing way for emergency vehicles

New Rs 10,000

196 Driving Without Insurance

RS 1000 Rs 2000

199 Offences by Juveniles New Guardian / owner shall be deemed to be guilty. Rs 25,000 with






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3 yrs imprisonment. For Juvenile to be tried under JJ Act. Registration of Motor Vehicle to be cancelled

206 Power of Officers to impound documents

Suspension of driving licenses u/s 183, 184, 185, 189, 190, 194C, 194D, 194E

210 B Offences committed by enforcing authorities

Twice the penalty under the relevant section

Vehicle Fitness

The Bill mandates automated fitness testing for vehicles. This would reduce corruption in the transport department while improving the road worthiness of the vehicle. Penalty has been provided for deliberate violation of safety/environmental regulations as well as body builders and spare part suppliers. The process for testing and certification for automobiles is proposed to be regulated more effectively. The testing agencies issuing automobile approvals have been brought under the ambit of the Act and standards will be set for motor vehicle testing institutes.The Bill also provides for compulsory recall of defective vehicles and power to examine irregularities of vehicle companies. Recall of Vehicles

The Bill allows the central government to order for recall of motor vehicles if a defect in the vehicle may cause damage to the environment, or the driver, or other road users. The manufacturer of the recalled vehicle will be required to: (i) reimburse the buyers for the full cost of the vehicle, or (ii) replace the defective vehicle with another vehicle with similar or better specifications. Road Safety Board

The Bill provides for a National Road Safety Board, to be created by the central government through a notification. The Board will advise the central and state governments on all aspects of road safety and traffic management including standards of motor vehicles, registration and licensing of vehicles, standards for road safety, and promotion of new vehicle technology. Protection of Good Samaritan

To help road accident victims, Good Samaritan guidelines have been incorporated in the Bill. The Bill defines a Good Samaritan as a person who renders emergency medical or non-medical assistance to a victim at the scene of an accident, and provides rules to prevent harassment of such a person.






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Cashless Treatment during Golden Hour

The Bill provides for a scheme for cashless treatment of road accident victims during golden hour. Third Party Insurance

The Bill has included the driver’s attendant in 3rd Party insurance. re will be no cap on liability of insurers. There will be a 10 time increase in insurance compensation, from Rs 50, 000 to Rs 5 lakh. Claim process has been simplified. Insurance firms have to pay claims within a month, if the victim’s family agree to accept Rs 5 lakh compensation. The Bill also increases the minimum compensation for hit and run cases from Rs 25,000 to two lakh rupees in case of death, and from Rs 12,500 to Rs 50,000 in case of grievous injury. Motor Vehicle Accident Fund

The Bill requires the central government to constitute a Motor Vehicle Accident Fund, to provide compulsory insurance cover to all road users in India. It will be utilised for: treatment of persons injured in road accidents as per the golden hour scheme, compensation to representatives of a person who died in a hit and run accident, compensation to a person grievously hurt in a hit and run accident, and compensation to any other persons as prescribed by the central government. This Fund will be credited through: payment of a nature notified by the central government, a grant or loan made by the central government, balance of the Solatium Fund (existing fund under the Act to provide compensation for hit and run accidents),or any other source as prescribed the central government. Improving Services using e-Governance

Improving delivery of services to the stakeholders using e-Governance is one of the major focuses of this Bill. This includes *Provision for online driving licenses.

The Bill provides for online Learners Licence with mandatory online identity verification Driving test will be computerized to avoid fake D.L. The Bill will bring transparency in RTO offices. Commercial licenses will be valid upto five instead of three years. Application for renewal can be made one year prior to or after licence lapses. Driver Training Schools will be opened so that more efficient drivers may be available. *Process of Vehicle Registration

To improve the registration process for new vehicles, registration at the end of the dealer is being enabled and restrictions have been imposed on temporary registration. The Minister has however said that state transport departments can inspect the vehicles at dealers end . To bring harmony of the registration and licensing process, it is proposed to create National Register for Driving Licence and National Register for Vehicle registration through “Vahan” & “Sarathi” platforms. This will facilitate uniformity of the process across the country. *Drivers Training






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The driving training process has been strengthened enabling faster issuance of transport licenses. This will help in reducing the shortage of commercial drivers in the country. More and more drivers training schools and vehicle fitness centres will be opened To facilitate transport solutions for Divyang, the bottlenecks have been removed in respect of grant of driving licenses as well as alterations in the vehicles to make it fit for their use . Reforms in Transportation System

Development of integrated Transport System will be possible from the National Transportation Policy. This will also enhance the powers of the State Governments, provide better last mile connectivity, rural transport etc. Taxi aggregators:

The Bill defines aggregators as digital intermediaries or market places which can be used by passengers to connect with a driver for transportation purposes (taxi services). The Bill provides guidelines for Aggregators. At present there are no rules in many states for regulating aggregators, taxis etc. (Source:http://pib.nic.in/newsite/PrintRelease.aspx?relid=192424) 6. Gender justice: On Unnao rape survivor (Relevant for GS Prelims & Mains Paper II;


A 19-year-old, who was allegedly raped in 2017 by a local MLA in Uttar Pradesh’s Unnao district, is battling for her life. She was travelling by car with two aunts and a lawyer from Unnao to Rae Bareli when a truck with a “blackened number plate” rammed into the vehicle. Whether it is an accident or not is now a subject matter of official investigation. What are the allegations?

Since 2017, it’s been a long, difficult road to justice for the family. Two years ago, the girl had gone to Kuldeep Singh Sengar, a four-time BJP legislator from Bangermau, for a job. The teenager accused him of sexually assaulting her, but the family’s cry for help went unheard till April 2018, when Sengar was arrested, days after the girl threatened to immolate herself outside Uttar Pradesh (U.P.) Chief Minister Yogi Adityanath’s residence in Lucknow. Action against family members

In the meantime, her father was arrested in an arms case and died in police custody. Helpless in the face of such brazen show of power, the family wrote to the Chief Justice of India on July 12, alleging grave danger from the accused. Ranjan Gogoi got to know of the letter only on July 30 and expressed displeasure about the delay. The family did not get any relief from State government agencies, which appear to have been complicit in the cover-up, with the MLA belonging to the ruling party. The BJP has come





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under pressure from the Opposition to expel Sengar. In the Unnao case, muscle, money power and the right political alignment weighed heavily against the girl. Directions of Supreme Court

The Supreme Court has ruled that five cases relating to the issue will be transferred from U.P. to Delhi, and ordered the State government to pay a 25 lakh compensation to the family. This may bring some relief, even though justice has been inordinately delayed. Despite the increased focus on women’s rights, nothing changes on the ground. Till such crimes continue with impunity and patriarchal mindsets don’t change, as a diverse and plural society, India would have failed the girl, and every woman. (Source:https://www.thehindu.com/opinion/editorial/gender-justice-on-unnao-rape-survivor/article28787739.ece) 7. One tribunal for all river water disputes: why the proposal, how it will work


Recently, Lok Sabha gave its approval to a proposal to set up a permanent tribunal to adjudicate on inter-state disputes over sharing of river waters. The Bill cleared by Lok Sabha seeks to make amendments to the Inter-State River Waters Disputes Act of 1956 that provides for setting up of a separate tribunal every time a dispute arises. Once it becomes law, the amendment will ensure the transfer of all existing water disputes to the new tribunal. All five existing tribunals under the 1956 Act would cease to exist. Why the change

The main purpose is to make the process of dispute settlement more efficient and effective. Under the 1956 Act, nine tribunals have so far been set up. Only four of them have given their awards. One of these disputes, over Cauvery waters between Karnataka and Tamil Nadu, took 28 years to settle. The Ravi and Beas Waters Tribunal was set up in April 1986 and it is still to give the final award. The minimum a tribunal has taken to settle a dispute is seven years, by the first Krishna Water Disputes Tribunal in 1976. The amendment is bringing a time limit for adjudicating the disputes. All disputes would now have to be resolved within a maximum of four-and-a-half years. The multiplicity of tribunals has led to an increase in bureaucracy, delays, and possible duplication of work. The replacement of five existing tribunals with a permanent tribunal is likely to result in a 25 per cent reduction in staff strength, from the current 107 to 80, and a saving of Rs 4.27 crore per year. The current system of dispute resolution would give way to a new two-tier approach. The states concerned would be encouraged to come to a negotiated settlement through a Disputes Resolution Committee (DRC). Only if the DRC fails to resolve the dispute will the matter be referred to the tribunal. How it will work





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In the existing mechanism, when states raise a dispute, the central government constitutes a tribunal. Under the current law, the tribunal has to give its award within three years, which can be extended by another two years. In practice, tribunals have taken much longer to give their decisions. Under the new system, the Centre would set up a DRC once states raise a dispute. The DRC would be headed by a serving or retired secretary-rank officer with experience in the water sector and would have other expert members and a representative of each state government concerned. The DRC would try to resolve the dispute through negotiations within a year and submit a report to the Centre. This period can be extended by a maximum of six months. If the DRC fails to settle the dispute, it would be referred to the permanent tribunal, which will have a chairperson, a vice-chairperson and a maximum of six members — three judicial and three expert members. The chairperson would then constitute a three-member bench that would consider the DRC report before investigating on its own. It would have to finalise its decision within two years, a period that can be extended by a maximum of one more year — adding up to a maximum of four-and-a-half years. The decision of the tribunal would carry the weight of an order of the Supreme Court. There is no provision for appeal. However, the Supreme Court, while hearing a civil suit in the Cauvery dispute, had said the decision of that tribunal could be challenged before it through a Special Leave Petition under Article 136 of the Constitution. (Source:https://indianexpress.com/article/explained/explained-one-tribunal-for-all-river-water-disputes-why-the-proposal-how-it-will-work-5870721/) 8. UGC recommends 20 institutions for Institutes of Eminence (Relevant for GS Prelims

& Mains Paper II; Polity & Governance)

The IITs Madras and Kharagpur, Delhi University, University of Hyderabad, Amritha Vishwa Vidyapeetham and VIT are among the 20 institutions recommended for the grant of the Institute of Eminence status by the University Grants Commission on Friday. However, the UGC denied the tag to five private universities — Azim Premji University, Ashoka University, KREA University, Indian Institute for Human Settlements and the Indian Institute of Public Health — on the grounds that they have not been placed in any global or national rankings. Since their exclusion left a vacant slot on the list of private universities given the tag, the Satya Bharti Foundation — telecom major Airtel’s philanthropic arm — became the second greenfield institution to be given IoE status, after Jio Institute which is backed by the Reliance Foundation. Institute of Eminence scheme

The Institute of Eminence scheme aimed at developing 20 world-class institutions which would put India on the global education map. Those selected will be given greater autonomy and freedom to decide fees, course durations and governance structures. The public institutions will also receive a government grant of ₹1,000 crore, while the private institutions will not get any funding under the scheme.





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20 institutions covered

The Gopalaswami panel initially recommended 11 institutions for the tag in July 2018. The Centre had then accepted six recommendations — IITs Delhi and Bombay, IISc Bangalore, BITS Pilani, Manipal University, and the yet-to-open Jio University. In December, the committee recommended 19 more names and asked the UGC to consider all 30 for the tag. However, following the Ministry of Human Resource Development’s decision to limit the scheme to the original 20 institutions — 10 private and 10 public — the UGC was forced to limit the list to 20. It chose to use the criterion of the QS-2020 world rankings, with the QS-2019 India rankings and NIRF rankings used as a tie-breaker. Any institution that did not figure in any rankings was excluded completely. The UGC’s recommendations will now be submitted to the Ministry for final grant of the status. (Source:https://www.thehindu.com/education/ugc-recommends-20-institutions-for-institutes-of-eminence/article28801256.ece) 9. Why is the government keen that States set up detention centres for illegal

immigrants? Where should they come up? (Relevant for GS Prelims & Mains Paper II;


Last month, the Minister of State for Home, Nityanand Rai, informed the Lok Sabha that State governments have been instructed from time to time to set up detention centres. The Ministry of Home Affairs (MHA) has also drawn up a manual for States and Union Territories. At present, there are six detention centres in Assam, the highest among the States. At least 10 more are set to come up before the final publication of the National Register of Citizens (NRC) on August 31. What are detention centres?

Detention centres are set up to house illegal immigrants or foreigners who have completed their jail sentence but their deportation process to the country concerned has not been initiated or completed. It is also set up to accommodate foreign convicts in criminal cases who have completed their jail terms and await deportation. According to the MHA, these holding camps are also “to restrict the movement of foreigners staying back illegally and thereby ensure that they are physically available at all times for expeditious repatriation or deportation”. What does the Home Ministry manual say?

The MHA framed a ‘Model Detention Centre/Holding Centre/Camp Manual’, which was circulated to all States and Union Territories on January 9. Mr. Nityanand Rai informed the Lok Sabha on July 2 that State governments have been instructed from time to time (2009, 2012, 2014 and 2018), to set up detention centres. Under Section 3(2)(c) of The Foreigners Act, 1946, the Central Government has the powers to deport foreign nationals staying illegally in the country. These powers have also been entrusted to State governments under





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Article 258(1) of the Constitution and under Article 239(1) for administrators of Union Territories. Some centres already exist in some States and Union Territories. The intention is to standardise the camps, and the States and Union Territories have been asked to implement the orders. What triggered the move?

On September 20, 2018 activist Harsh Mander filed a petition in the Supreme Court to highlight the plight of families languishing in six detention centres in Assam; members of the families who were declared foreigners were put in camps separated from each other. The top court sent a notice to the Centre and Assam government seeking their response. In the petition, Mr. Mander compared the situation of these families with the family separation policy imposed on illegal immigrants in the U.S. by the Trump administration. The petition itself was based on a report submitted by Mr. Mander when he, as Minorities Monitor for the National Human Rights Commission, had visited detention centres in Assam from January 22-24 in 2018. What were the findings?

The first major finding of the mission led by Mr. Mander was that the “State does not make any distinction, for all practical purposes, between detention centres and jails; and thus between detainees and ordinary inmates”. It found there was no clear legal regime governing the rights and entitlements of detainees. The report said, “Consequently, the jail authorities appear to apply the Assam Jail Manual to them, but deny them even the benefits, like parole, waged work etc., that the inmates get under the jail rules.” It was in this context that the Home Ministry framed the guidelines for detention centres across the country; a manual for jail inmates was drafted in 2016. The State government officials had also informed the mission that they were not aware of any “specific guidelines or instructions from the Central or State government to guide the treatment and rights of the detainees.” The detention centres are therefore de facto, if not de jure, administered under the Assam Jail Manual, and the detainees are treated in some ways as convicted prisoners, and in other ways are deprived even of the rights of convicted prisoners, it was found. It was in the context of this petition that on November 5, 2018, the Centre informed the Supreme Court that it was framing new guidelines for keeping foreign nationals in detention centres across the country. What are some of the guidelines?

There are 39 points in the manual. The manual says that States require “no specific approval” from the Home Ministry to set up “detention centres /holding centres/ camps”. It lays down that centres should be set up outside the jail premises and their numbers and size should be






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decided by the States keeping in view the actual number of foreigners to be housed as well as the progress in deportation proceedings. The manual says: “On completion of the sentence of the foreigner, the jail authorities concerned may hand over the foreign national to the authority in charge of the detention centre.” There should also be a provision to facilitate the stay of such foreigners in “metro” cities during the waiting period between their interview with the embassy concerned and issuance of travel documents. The MHA has said the detention centres should be designed for inmates to maintain standards of living in consonance with “human dignity”. Well-lit, airy rooms adhering to basic hygiene standards and equipped with electricity, water and communication facilities are to be provided at the centre. Other than CCTVs and round-the-clock security personnel, the manual adds, the centre’s boundary wall should be at least 10 feet high and ringed with barbed wires with strict access control measures. There should also be a periodic security audit by the appropriate authorities. The order says that detention centres should also have open spaces for detainees to move around and segregated accommodation for men and women. “It should be ensured that members of the same family are not separated and all family members are housed in same detention centre.” Mr. Mander’s report had highlighted how men, women and boys above six years lodged in detention centres in Assam were separated from members of their families. It says: “Many had not met their spouse for several years, several never once since their detention, since women and men were housed in different jails, and they were never given parole or permission to meet.” The MHA manual has addressed these concerns saying no restrictions shall be imposed to meet family members. It also asks States to pay special attention to the needs of women, nursing mothers, transgenders and open a crèche in the camp. The manual says, “Children lodged in [a] detention centre may be provided educational facilities by admitting them in local schools.” How many detention centres are there?

Assam has six detention centres, the highest among the States. At least 10 more are to come up in the wake of the final publication of the NRC by August 31. The NRC is being updated as per directions of the Supreme Court to segregate Indian citizens living in Assam from those who had illegally entered the State after March 25, 1971. Nearly 41 lakh people were excluded from the final draft. Of these, 36 lakh have filed claims against the exclusion. Since 1985, when Foreigners Tribunals (FTs) were first set up in Assam, till February 28 this year, as many as 63,959 persons were declared foreigners through ex-parte proceedings. The Assam government informed the State Assembly last week that 1,145 people declared foreigners by 100 FTs across the State were lodged in detention centres till July 9 this year. Of them, 335 people who have spent more than three years in these centres were to be released following a Supreme Court order. The Central government had informed the Supreme Court in February that of thousands of persons declared foreigners by the FTs in Assam, only 162 could be deported to Bangladesh. In 2016 and 2017, 39 Bangladeshi nationals were deported from detention camps in Assam, according to what the MHA informed Parliament in January 2018.






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(Source:https://www.thehindu.com/news/national/what-are-the-guidelines-on-migrant-camps/article28809023.ece) 10. Why Medical Commission Bill bothers doctors (Relevant for GS Prelims & Mains

Paper II; Polity & Governance)

Recently, Rajya Sabha passed the National Medical Commission (NMC) Bill that seeks to overhaul the medical education regulation infrastructure. Since then, doctors have struck work in Delhi and other cities. What is the Bill about and why is it controversial? Bill status

An earlier version of the NMC Bill was introduced during the previous Lok Sabha and later referred to the Parliamentary Standing Committee on Health and Family Welfare. It lapsed with the dissolution of that Lok Sabha. In the current session, the Bill was reintroduced with changes based on the Committee’s recommendations. After Lok Sabha passed it, it was sent to Rajya Sabha with two new amendments and passed. It is now headed back to Lok Sabha, where the government enjoys a brute majority. Licence to practice

Section 32 of the NMC Act 2019 allows the proposed NMC, which will replace the Medical Council of India, to grant “limited licence to practice medicine at mid-level as a community health provider”. The Indian Medical Association (IMA) sees it as encouraging quackery. In a letter to Prime Minister Narendra Modi on July 30 calling for the Bill to be redrafted, the IMA wrote: “We are deeply concerned about granting non medical ‘persons connected with modern scientific medical profession’, licence to practise modern medicine… This is nothing but legalising and promoting quackery in India… Who will guarantee that these ‘legalised quacks’ will work in villages only?… National Medical Commission Bill will open the floodgates for licencing 3.5 lakhs ‘legalised quacks’. This amounts to ‘licence to kill’.” Bridge course

Doctors have expressed concerns about the licence mentioned in Section 32 being another name for a contentious “bridge course”. Such a course has been proposed in the original version of the Bill. It would have allowed practitioners of homoeopathy and Indian systems of medicine to go on to practice allopathy. In the new Bill, the bridge course has been dropped as per the recommendations of the Parliamentary Standing Committee on Health and Family Welfare, which wrote: “The Committee is of the view that the bridge course should not be made a mandatory provision in the present Bill. However, the Committee appreciates the need to build the capacity of the existing human resources in the healthcare sector, to address the shortage of healthcare professionals so as to achieve the objectives of the National Health Policy, 2017… The Committee, therefore, recommends that the State Governments may implement measures to enhance the capacity of the existing healthcare professionals including AYUSH practitioners, BSc (Nursing), BDS, B Pharma etc to address their State specific primary healthcare issues in the rural areas.” Exit examination





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The original Bill had proposed a licentiate examination for doctors, and the IMA had expressed concerns about it then too. The new Bill proposes a single exit exam – the final MBBS exam, which will work as a licentiate examination, a screening test for foreign medical graduates, and an entrance test for admission in postgraduate programmes. It also provides for just one medical entrance test across the country In the letter, IMA wrote: “The Bill condenses final year MBBS exam, Licentiate exam and PG NEET into one examination. This effectively removes the opportunity to reappear for PG selection. Moreover, the examination being objective in nature, increases the workload and stress level of the students manifold. Allowing foreign medical graduates to take the same examination will be an injustice. The current system allows medical graduates to practise irrespective of the status of his/her PG NEET.” Arguments in favour

Dr K S Reddy, president of the Public Health Foundation of India and former professor of cardiology at AIIMS, said: “The NMC Bill opens the path to a long-awaited reform of medical education… Mid-level health workers like Community Health Providers are very much needed but their training programmes, competencies and roles have to be clearly defined to differentiate them from medical graduates. The Allied Healthcare Professionals Bill, which is to be examined by the Standing Committee, is the right place to position them. A common exit examination is needed for standardisation and postgraduate course selection but must be preceded by a college-level testing of practical clinical skills as a qualifier for the theory-based NEXT (National Exit Test).” (Source:https://indianexpress.com/article/explained/national-medical-commission-bill-what-changes-in-medical-education-5843397/) 11. Jammu and Kashmir has lost its special status, and reduced to two Union

Territories. What is the history of Partition and accession to India that has been

overturned? What are Articles 370 and 35A, that were supposed to define the special

status of the state? (Relevant for GS Prelims & Mains Paper II; Polity & Governance)

The BJP government fulfilled its election promise of removing the special status for Jammu and Kashmir in India’s Constitution. Special status was withdrawn by invoking the same Article 370which had been protecting the autonomy of Jammu and Kashmir. Has Article 370 been scrapped?

The Constitution (Application to Jammu and Kashmir) Order, 2019, issued by President Ram Nath Kovind “in exercise of the powers conferred by Clause (1) of Article 370 of the Constitution”, has not abrogated Article 370. While this provision remains in the statute book, it has been used to withdraw the special status of Jammu and Kashmir. The Presidential Order has extended all provisions of the Indian Constitution to Jammu and Kashmir. It has also ordered that references to the Sadr-i-Riyasat of Jammu and Kashmir shall be construed as references to the Governor of the state. Earlier, Governor of J&K was regarded as Sadr-i-Riyasat.





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This is the first time that Article 370 has been used to amend Article 367 (which deals with Interpretation) in respect of Jammu and Kashmir, and this amendment has then been used to amend Article 370 itself. Why J&K has special status? Jammu and Kashmir entered into Indian Union by signing ‘Instrument of Accession’ in 1954. The agreement was signed by Maharaja Hari Singh of Jammu and Kashmir and was endorsed by popular leader Sheikh Abdullah. The agreement provided that J&K would have large power to self-determine its affairs and thus J&K would enjoy large autonomy. At the same time, Article 370 was incorporated in the Constitution of India. What are provisions of Article 370?

Special Provisions with Respect to Jammu and Kashmir

1. Parliament can make laws related to J&K on those matters of union and concurrent lists which are (a) Mentioned in the instrument of accession. Instrument of accession contained defence, external affairs, communication, and matters which are ancillary to these matters. (b) Other matters specified by the President in concurrence with the State Government. 2. Application of Indian Constitution to J&K (a) Art. 1 is applicable to J&K. (b) Apart from Art. 1 and Art. 370, other provisions of Indian Constitution are applicable to the state with such exceptions and modifications as specified by the President in consultation with state government. 3. Art. 370 which provides special status to J&K can cease to operate when the President does so, on the recommendation of J&K constituent assembly. What is the status of Article 35A now?

Article 35A stems from Article 370, and was introduced through a Presidential Order in 1954. Article 35A does not appear in the main body of the Constitution — Article 35 is followed by Article 36 — but appears in Appendix I. Article 35A empowers the Jammu and Kashmir legislature to define the permanent residents of the state, and their special rights and privileges. Monday’s Presidential Order has extended all provisions of the Constitution to Jammu and Kashmir, including the chapter on Fundamental Rights. Therefore, the discriminatory provisions under Article 35A are now unconstitutional. The President may also withdraw Article 35A. This provision is currently under challenge in the Supreme Court on the ground that it could have been introduced in the Indian Constitution only through a constitutional amendment under Article 368, and not through a Presidential Order under Article 370. However, Monday’s Presidential Order, too has amended Article 367 without following the amending process. What is Article 35A ?






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Article 35A was incorporated in the Indian Constitution in the year 1954 through a constitutional amendment even before the Constitution of Jammu and Kashmir (J&K) came into existence. The Article allows the state of Jammu and Kashmir to grant special privileges and rights to permanent residents. It debars non-residents of J&K from buying land or property, getting a government job, or voting in assembly elections of Jammu and Kashmir. Recent Challenges to Article 35A

The Constitutionality of Article 35A was challenged through a petition filed in the Court on the following grounds: 1. The petition said Article 35A protects certain provisions of the J&K Constitution which denies property rights to native women who marry from outside the State. The denial of these rights extends to her children also. 2. Article 35A also empowers the State’s legislature to frame any law without attracting a challenge on grounds of violating the Right to Equality of people from other States or any other right under the Constitution. 3. Section 6 of the Jammu and Kashmir Constitution restricts the basic right of women to marry a man of their choice by not giving the heirs any right to property if the woman marries a man not holding the Permanent Resident Certificate. Her children are denied a permanent resident certificate. 4. State’s special autonomous status under Articles 35A and 370 was discriminatory against non-residents as far as government jobs and real estate purchases are concerned. The matter is pending before the Supreme Court.

So, what has changed in Jammu and Kashmir?

Rajya Sabha on Monday approved The Jammu and Kashmir Reorganisation Bill, 2019. Lok Sabha approved the same bill on Tuesday. In effect, the state of Jammu and Kashmir will now cease to exist; it will be replaced by two new Union Territories: Jammu and Kashmir, and Ladakh. UTs have become states earlier; this is the first time that a state has been converted into a UT. The UT of Jammu and Kashmir will have an Assembly, like in Delhi and Puducherry. Article 3 of the Constitution gives Parliament the power to amend the Constitution by a simple majority to change the boundaries of a state, and to form a new state. But this change requires that such a Bill be first referred to the concerned state Assembly by the President for ascertaining its views. Explanation II of Article 3 says Parliament’s power extends to forming Union Territories. Not only has Jammu and Kashmir lost its special status, it has been given a status lower than that of other states. Instead of 29, India will now have 28 states. Kashmir will no longer have a Governor, rather a Lieutenant Governor like in Delhi or Puducherry.






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It is also likely that corporates and individuals will be able to buy land in Jammu and Kashmir. Non-Kashmiris might now get jobs in Kashmir. A process of demographic change might begin, and progress over the coming decades.

What is the significance of Article 370?

The most important feature of federalism in the United States was the “compact” between the 13 erstwhile British colonies that constituted themselves into a federal country. Article 370 was an essential facet of India’s federalism because, like the compact in the United States, it governed the relationship of the Union with Jammu and Kashmir. The Supreme Court has held federalism to be part of the basic structure of India’s Constitution. Can the Presidential Order be challenged in the Supreme Court? On what grounds?

It will most likely be challenged. However, the Supreme Court will consider that Article 370 does, indeed, give sweeping powers to the President. It might also take two to three years for a Constitution Bench of the court to decide such a challenge.






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The possible grounds of challenge could include the argument that the conversion of Jammu and Kashmir into a Union Territory is in violation of Article 3, as the Bill was not referred by the President to the state Assembly. Also, can the Constituent Assembly mean Legislative Assembly? Are the Governor and the state government one and same? The constitutional relevance of Instrument of Accession will also be examined by the court. Whether Article 370 was part of the basic structure will likely be considered. The use of Article 367 in amending Article 370 will also be examined. How has Article 367 been used in amending Article 370?

The government has added a new clause to Article 367 which amends the proviso to clause (3) of 370. Article 367 deals with the applicability of the General Clauses Act 1897 to interpret the provisions of the Constitution, The August 5 notification amends the expression “Constituent Assembly”, contained in the proviso to clause (3) of Article 370, to mean “Legislative Assembly”. Clause (3) of Article 370 gives the President power to end the special rights and privileges of the people of Jammu and Kashmir under the 1954 Order. However, the clause carries a rider. That is, the President would have to first get the consent of the Constituent Assembly of J&K before issuing such a notification. This rider or check on the President’s power was intended to give the people of the State a say in their own future. Now, the Constituent Assembly has ceased to exist since 1956, when it was dissolved. The Assembly, at the time of its dissolution, had said nothing about the abrogation of Article 370. Consequently, Article 370, though it resides among the ‘temporary provisions’ of the Constitution, is deemed have become a permanent feature of the Constitution. The August 5 notification has tided over this obstacle of a non-existent ‘Constituent Assembly’ by amending the expression in the proviso to ‘Legislative Assembly’. Ideally, any such amendment to the name of the ‘Constituent Assembly’ would require the assent of the Constituent Assembly itself. Besides, an amendment in Article 370 should have undergone the constitutional amendment procedure envisaged under Article 368 of the Constitution. But the government can, on the other hand, argue that the amendment made in its August 5 notification only applies to Jammu and Kashmir and not the entire Dominion of India, and so, does not require a constitutional amendment. So, is Kashmir now fully integrated with India?

Article 3 of the Jammu and Kashmir constitution itself declares the state to be an integral part of India. In the preamble of the Jammu and Kashmir constitution, not only is there no claim to sovereignty like in the Constitution of India, there is, rather, a categorical acknowledgment that the object of the Jammu and Kashmir constitution is “to further define the existing relationship of the state with the Union of India as its integral part thereof”. Integration thus, was already complete. Article 370 merely gave some autonomy to Jammu and Kashmir, which has now been withdrawn.






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Image credit: The Hindu

(Source:https://indianexpress.com/article/explained/explained-article-370-has-not-been-scrapped-but-kashmirs-special-status-has-gone-5880390/) (Source:https://www.thehindu.com/news/national/explained-presidents-order-scraps-its-predecessor-and-amends-article-370/article28826722.ece) 12. Lok Sabha passes Surrogacy (Regulation) Bill (Relevant for GS Prelims & Mains


What are the objectives of the bill?

The Lok Sabha passed the Surrogacy (Regulation) Bill, 2019. The Bill is aimed at ending the exploitation of women who are lending their womb for surrogacy, and protecting the rights of children born through this. The Bill will also look after the interests of the couple that opt for surrogacy, ensuring that there are laws protecting them against exploitation by clinics that are carrying this out as a business.





https://indianexpress.com/article/explained/explained-article-370-has-not-been-scrapped-but-kashmirs-special-status-has-gone-5880390/

https://indianexpress.com/article/explained/explained-article-370-has-not-been-scrapped-but-kashmirs-special-status-has-gone-5880390/

https://www.thehindu.com/news/national/explained-presidents-order-scraps-its-predecessor-and-amends-article-370/article28826722.ece

https://www.thehindu.com/news/national/explained-presidents-order-scraps-its-predecessor-and-amends-article-370/article28826722.ece


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Why commercial surrogacy has been banned in India?

There are very few countries in the world which allow commercial surrogacy, with experts arguing that this is exploitation and abuse of human dignity. We cannot allow women in our country to be exploited without them actually understanding what is happening with them. What does bill provide for?

The Bill seeks to ban commercial surrogacy and provides for constituting a National Surrogacy Board, State Surrogacy Boards, and the appointment of appropriate authorities for the regulation of the practice and process of surrogacy. The Surrogacy (Regulation) Bill regulates altruistic surrogacy and prohibits commercial surrogacy. It defines surrogacy as a practice where a woman gives birth to a child for an eligible couple and agrees to hand over the child to them after the birth. The Bill allows altruistic surrogacy, which involves a surrogacy arrangement where the monetary reward only involves medical expenses and insurance coverage for the surrogate mother. Commercial surrogacy is prohibited under the Bill. This type of surrogacy includes a monetary benefit or reward (in cash or kind) that exceeds basic medical expenses and insurance for the surrogate mother. Provisions for altruistic surrogacy

The couple intending to commission a surrogacy arrangement must be a close relative of the surrogate mother. In addition, the couple have to be Indian citizens who have been married for at least five years and are in the age group of 23-50 years (female partner) and 26-55 years (male partner), and secure a medical certificate stating that either or both partners are infertile. The couple also should not have any surviving child (whether biological, adopted or surrogate), except if the surviving child is mentally or physically challenged or suffers from a fatal illness, among other provisions. The surrogate mother, apart from proving that she is a close relative of the couple intending the surrogacy, has to married with a child of her own, in the age bracket of 25 to 35 years old, and should not have been a surrogate mother before. The Bill states that any child born out of a surrogacy procedure shall be the biological child of the intending couple and will be entitled to all rights and privileges that are available to a natural child. (Source:https://www.thehindu.com/news/national/lok-sabha-passes-surrogacy-bill/article28824277.ece) 13. How Rajasthan, Madhya Pradesh propose to check lynching (Relevant for GS

Prelims & Mains Paper II; Polity & Governance)

Recently, the Rajasthan Assembly passed a new law against mob lynching. Another Congress government, in Madhya Pradesh, recently introduced a Bill that seeks to curb cow vigilantism. The State Law Commission in BJP-ruled Uttar Pradesh, meanwhile, has drafted





https://www.thehindu.com/news/national/lok-sabha-passes-surrogacy-bill/article28824277.ece

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the UP Combating of Mob Lynching Bill, 2019, and submitted it to Chief Minister Yogi Adityanath. What is different

While the Rajasthan law and the UP draft are new, the proposed law in MP is an amendment to the existing Madhya Pradesh Govansh Vadh Pratishedh Act, 2004, which is against cow slaughter. The amendments propose a jail term and a fine for those who attack, or damage property of, people booked, or likely to be booked, for offences like slaughter of cow progeny, possession of beef or transporting cow progeny for slaughter. These moves follow the Supreme Court’s directions to Parliament last year, in the wake of a series of lynching incidents, to come up with a special law. The Bench directed the Centre and states to carry out its directions within four weeks. The Centre informed Lok Sabha that it had created a Group of Ministers and a high-level committee to “deliberate” and “make recommendations” for a separate penal provision for mob violence. Rajasthan Bill

The Rajasthan Protection from Lynching Bill, 2019 makes mob lynching a cognisable, non-bailable and non-compoundable offence punishable with life imprisonment and a fine up to Rs 5 lakh. It defines lynching as “any act or series of acts of violence or aiding, abetting or attempting an act of violence, whether spontaneous or planned, by a mob on the grounds of religion, race, caste, sex, place of birth, language, dietary practices, sexual orientation, political affiliation, ethnicity”. Offences will be investigated by a police officer of the rank of inspector and above, and the DGP will appoint an officer of the rank of IG or above as State Coordinator. In cases of “hurt” and “grievous hurt”, the convict may get up to seven and 10 years in jail respectively; if it leads to death, the punishment is life imprisonment. The Bill also makes conspirators accountable. Rajasthan had witnessed a number of lynchings in 2017, beginning with that of dairy farmer Pehlu Khan in April 2017. Madhya Pradesh Bill

The Bill seeks to amend Sub-section (2) of Section 9 of the 2004 Act and propose a minimum jail term of six months that may be extended to one year. When the same offence is committed by members of illegal assembly (mob) the minimum term will increase to one year and the maximum to five years. The Bill proposes a lower term for those who abet and those who attempt to commit the crime. The punishment will double in case of those convicted for an offence they were previously convicted of. The minimum fine is Rs 5,000 and the maximum Rs 50,000. The Bill seeks to insert Section 6D. While the rules are yet to be formed, these will specify who issues the transit permit of cow progeny, which will be pasted prominently on the vehicle. There is no provision in the 2004 legislation for issuing transit permit from other states. What next in MP






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Following the BJP’s demand, the Assembly Speaker has agreed to refer the Bill to a Select Committee. The BJP has opposed the Bill, accusing the Congress of appeasement politics. The BJP says provisions already exist in the IPC to punish such offences. “Instead of bringing a separate law against mob lynching as recommended by the Supreme Court, the government has brought a law to protect those who slaughter cows,’’ alleged former Home Minister Bhupendra Singh. (Source:https://indianexpress.com/article/explained/how-rajasthan-madhya-pradesh-propose-to-check-lynching-5886783/) 14. Why Gujarat and MP are arguing over Narmada water and hydro power (Relevant

for GS Prelims & Mains Paper II; Polity & Governance)

Over the last two weeks, Madhya Pradesh and Gujarat have engaged in war of words over the sharing of Narmada river waters. Madhya Pradesh has threatened to restrict the flow of water into the Sardar Sarovar Dam, located in Gujarat. This was after Gujarat, in April, had requested the Narmada Control Authority for permission — which was granted — not to start generation at a power house until the dam fills to its full level. The power equation

The Sardar Sarovar Project includes two power houses, the River Bed Power House (RBPH; 1,200 MW) and the Canal Head Power House (250 MW). Power is shared among Madhya Pradesh, Maharashtra and Gujarat in a 57:27:16 ratio. The RBPH has been shut since 2017, when the gates were closed and the reservoir height was raised to 138.63 m. Gujarat has sought that generation should not start until the water reaches the full reservoir level (FRL). “The protocol is that once the dam crosses 131 m, we ought to release some water as it fills to its FRL. For this, we have to resume power generation in the RBPH, where the turbines release the water downstream into the river. If the inflow exceeds the capacity of the water released by the turbines after power generation, then too we have to open the gates. The dam cannot just be filled to 138.63 metres without balancing the outflow,” said Rajeev Kumar Gupta, Managing Director, Sardar Sarovar Narmada Nigam Ltd (SSNNL). On Thursday, the SSNNL issued a circular announcing an upcoming 6-cusec release, in keeping with the 131m protocol. The current level is 129.65 m What Gujarat wants

In April, the SSNNL approached the Narmada Control Authority which granted its request not to start production until the water reaches 138.63 m. Gujarat has been facing a rain deficit in 2017 and 2018, when the reservoir reached levels of 130.75 m and 129 m. Engineers in Gujarat say reaching the FRL is necessary for testing whether the concrete can withstand the thrust at that level. The construction has lasted close to five decades with gaps of several years. Filling the reservoir is possible only when the RBPH is closed because the water used for generating hydro power cannot be reused — it is drained into the sea. The Garudeshwar Weir is still being constructed to store water released after generation of power at the RBPH. Once the weir is ready, the water can be stored and pumped back using reversible turbines during non-peak hours of the grid, officials say.





https://indianexpress.com/article/explained/how-rajasthan-madhya-pradesh-propose-to-check-lynching-5886783/

https://indianexpress.com/article/explained/how-rajasthan-madhya-pradesh-propose-to-check-lynching-5886783/


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Why MP objects

While MP Chief Minister Kamal Nath has indicated that the state will follow the Authority guidelines in letter and spirit, the government has raised an objection to its consent to Gujarat, terming it ‘unilateral’, and has refused to share its surplus water with Gujarat that would allow the reservoir to be filled. MP took that position after frequent power outages led to discontent, the political power having just changed hands. The BJP attacked the government saying MP has returned to the “dark days” of the previous Congress rule of 1993-2003. The government’s official position was instead of generating power — and sharing it with MP — Gujarat was storing the water released from MP. The MP government has also cited incomplete rules and regulations, arguing that if the reservoir level increases, those yet to be resettled will be affected. Gujarat counter

Gujarat Chief Minister Vijay Rupani has blamed the Congress government in MP for playing politics over Narmada water. Officials say that Gujarat’s share of 9 MAF (million acre feet) water in a normal monsoon year is insufficient to generate power as drinking water and irrigation are priorities, and Gujarat can generate power only when all states work together. They allege that while MP has the highest share of the water at 18 MAF, it refuses to release the surplus share for power generation and to allow the dam to be tested at FRL out of a “political design”. (Source:https://indianexpress.com/article/explained/explained-why-gujarat-mp-arguing-over-narmada-water-hydro-power-5890515/)





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15. Home buyers can start bankruptcy cases against errant builders (Relevant for GS


Supreme Court Judgement

The Supreme Court upheld a central law which empowered harassed home buyers to initiate bankruptcy proceedings against errant real estate builders. The judgment gains significance as many real estate builders have been under fire for incomplete projects leaving home buyers in dire straits. Amendment by Parliament

A three-judge Bench led by Justice Rohinton Nariman confirmed the constitutional validity of the Insolvency and Bankruptcy Code (Second Amendment) Act of August 2018, which gave home buyers the status of “financial creditors” with power to vote in the Committee of Creditors. What are the implications of Amendment?

The Act had brought the home buyers on par with the creditor banks of the property builder. Prior to the law, the home buyers were often left in the lurch. With their dreams of owning a home shattered, they were made to wait blindly for a solution to come up, either in the form of a completed apartment or a refund.






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Before the Amendment Act of 2018 came into existence, the assets of the bankrupt builder were divided among his employees, creditor banks and other operational creditors. Home buyers had hardly figured, though their hard-earned savings may have provided a major chunk of the housing project. The Amendment Act allowed home buyers, as financial creditors, to trigger bankruptcy proceedings under the Insolvency and Bankruptcy Code of 2016 and have their “rightful place” on the Committee of Creditors (CoC). The CoC, by voting, makes important decisions on the future of the bankrupt builder. These calls include what to do with his assets and who should finish the pending housing projects. On what grounds did builders challenged the amendment?

1. The builders had challenged the Amendment Act. They said making home buyers financial creditors was like “forcibly inserting a square peg in a round hole.” The builders argued that home buyers were already armed with the Real Estate (Regulation and Development) Act (RERA), another piece of legislation which protected the interests of the individual investor in real estate projects. Adding the Amendment Act to the armoury of the home buyers was like using a sledgehammer to kill a gnat, the builders argued. Justice Nariman dismissed these contentions. The judge reasoned that the IBC and the RERA operate in different spheres and can be used harmoniously for the interest of home buyers. The IBC deals with the replacement of the bankrupt builder from the helm of affairs and hit upon a resolution plan to benefit all the stakeholders. The RERA’s purpose is to protect individual home buyers by requiring the promoter to strictly adhere to the purchase deal and complete the project within a stated period. 2. The builders said home buyers were a large, amorphous group. Their presence in the CoC would be a nuisance. Here, the judgment referred to the submissions made by Additional Solicitor General Madhavi Divan, who had argued that home buyers finance from 50% to even 100% of a housing project. Their absence from the CoC and denying them a voice on future plans would be “manifestly arbitrary.” The court further reasoned that no home buyer would frivolously move the National Company Law Tribunal under the IBC. This is because ironing out a resolution plan under the IBC is a long-drawn process. “An allottee/home buyer who prefers an application under Section 7 of the Code takes the risk of his flat/apartment not being completed in the near future, in the event of there being a breach on the part of the developer. Under the Code, he may never get a refund of the entire principal, let alone interest. On the other hand, if such allottee were to approach the Real Estate Regulatory Authority under the RERA, it is more than likely that the project would be completed early or full amount of refund and interest together with compensation and penalty, if any, would be awarded. Thus, it is only an allottee who has completely lost faith in the management of the real estate developer who would come before the NCLT under the






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Code hoping that some other developer takes over and completes the project,” Justice Nariman reasoned. (Source:https://www.thehindu.com/news/national/law-empowering-home-buyers-upheld/article28971126.ece) 16. How to read leaked NRC data (Relevant for GS Prelims & Mains Paper II; Polity &

Governance)

Last week, the Supreme Court refused to be drawn into a debate over the leak of National Register of Citizens (NRC) data in Assam, stressing that it wants the final NRC out on schedule (August 31) “irrespective of who likes it or who doesn’t”. This capped a week of controversy that began with the state government tabling the data in the Assembly, and demanding reverification. What kind of data were presented in the Assembly?

According to the government, these are from the draft final NRC published in July last year. It showed the number of people included in and excluded from the NRC in each of Assam’s 33 districts. In fact, sections of the Assamese vernacular media had published district-wise data last year itself, but the NRC authorities had never commented on their authenticity. Besides, the numbers of inclusions and exclusions will now have changed, following the processes of claims and objections. Last year, the NRC authorities did not give a district-wise breakup and only released all-Assam totals — 3,29,91,384 applicants, out of whom 2,89,83,677 were included as citizens and 40,07,707 were left out. In the data tabled in the Assembly, the totals are slightly different — 3,29,91,385 applicants, 2,89,83,668 inclusions and 40,07,717 exclusions. What is the significance of data broken up district-wise?

The inclusion rate is higher in Bangladesh-border districts, and lower in districts with a predominant indigenous population. The government cited these trends to claim the NRC is flawed. This argument presumes that the number of illegal immigrants will be higher in border districts. Migrants from East Bengal/East Pakistan/Bangladesh have, however, been settling in various parts of Assam for decades. What do demographic profiles tell us about immigration?

While it is widely accepted that the migrant-origin population is predominantly Muslim, the counter-argument is that Bengali Muslims have been entering Assam since British rule. Migration is considered illegal only when someone has entered Assam after March 24, 1971. As such, the relationship between population profiles and immigration has been a subject of debate among demographers. (Source:https://indianexpress.com/article/explained/assam-national-register-of-citizens-nrc-data-leaked-5896837/)





https://www.thehindu.com/news/national/law-empowering-home-buyers-upheld/article28971126.ece

https://www.thehindu.com/news/national/law-empowering-home-buyers-upheld/article28971126.ece

https://indianexpress.com/article/explained/assam-national-register-of-citizens-nrc-data-leaked-5896837/

https://indianexpress.com/article/explained/assam-national-register-of-citizens-nrc-data-leaked-5896837/


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17. Need for code of conduct for legislators by their political parties (Relevant for GS

Prelims and Mains Paper II; Polity & Governance)

Unruly behaviour by MPs

The unruly behaviour by MPs is common in parliament. A number of crucial bills have taken an inordinate time to be enacted due to disruption, while others were not enacted despite a broad consensus — such as the Women’s Reservation Bill — due to the behaviour of a few naysayers. Many sessions of Parliament in the recent past saw little business being done due to repeated disruption. Need for model code of conduct

In this context, Vice President Venkaiah Naidu’s exhortation to political parties to incorporate a model code of conduct for their legislators in State Assemblies and in Parliament is welcome. He suggested that the code should include stipulations on members not entering the well of the House, and desisting from sloganeering and unruly acts. If indeed parties adopt a code, it will go a long way in making parliamentary work meaningful. Otherwise, the general public will lose interest in the procedural aspects of parliamentary democracy and limit their participation to just voting in the elections. Recent trend of lack of discussion

The current Budget session sailed through with minimal disruption. The high productivity during the session came without sufficient deliberation over crucial bills, several of which were rushed through without vetting by parliamentary standing and select committees. These committees have in the past been useful in expanding discussion over laws with civil society and experts from various streams of the larger society. They have also facilitated an enhanced cross-party coordination over issues. Time spent on debates in the current session in both the Lok Sabha and Rajya Sabha was barely a third of the overall business. This does not augur well for lawmaking. As Mr. Naidu has also pointed out correctly, deliberation is an important component of parliamentary democracy apart from legislation and accountability of lawmakers. All three aspects must cohere for a thoroughgoing procedural democracy. (Source:https://www.thehindu.com/opinion/editorial/deliberate-dont-disrupt/article29086823.ece) 18. Mass MLA defections: On Sikkim MLAs defection (Relevant for GS Prelims & Mains


The switching of sides by 10 MLAs from the Sikkim Democratic Front (SDF) to the Bharatiya Janata Party in Sikkim and later two others from the SDF to the ruling Sikkim Krantikari Morcha (SKM) is a mockery of democracy. The en masse shifts are reminiscent of what happened in Arunachal Pradesh in 2016, when rebel Congress MLAs joined the People’s Party of Arunachal in order to get over the legal hurdles to defection. Implications of defection to SDF





https://www.thehindu.com/opinion/editorial/deliberate-dont-disrupt/article29086823.ece

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These actions have reduced the SDF, which ruled the State for 25 years with Pawan Kumar Chamling as the Chief Minister with the longest tenure in India, to just one MLA — Mr. Chamling himself. Such a shift might well have helped the former SDF legislators stay clear of the anti-defection law, which stipulates that a breakaway group must constitute at least two-thirds of the legislative party’s strength and that it must merge with another party. But this was an unethical manoeuvre, as the elections to the Sikkim legislative Assembly were held barely three months ago and the BJP had come a cropper without winning a single seat and just 1.6% of the overall vote. The BJP has shown no qualms — as seen elsewhere in Karnataka, Arunachal Pradesh among others — about poaching legislators instead of winning over support organically through a democratic mandate. Uncertainty over new CM

The SDF, which finished with 15 seats (two since vacated), was a National Democratic Alliance member, but has now been replaced by the 18-member SKM in the BJP-led North East Democratic Alliance. The SKM might have secured a clearer majority with the defection of two SDF MLAs to its fold, but a cloud of uncertainty hangs over its party leader and Chief Minister P.S. Golay alias Prem Singh Tamang. Mr. Golay was convicted in 2016 in a case of corruption and had served a sentence in prison for a year till August 2018. The People’s Representation Act, 1951, mandates that a person convicted under the Prevention of Corruption Act cannot contest an election for six years after release. SC judgement in similar case

The fact that he is serving as the Chief Minister (he did not contest the Assembly polls) despite the conviction goes directly against a Supreme Court order in a similar case dealing with the eligibility of former Tamil Nadu Chief Minister Jayalalithaa in 2001. The court had then said that the “appointment of a person to the office of Chief Minister who is not qualified to hold it should be struck down at the earliest”. In line with the drastic change in the party composition in the Assembly due to the defections, the continuance of Mr. Golay as chief minister makes a mockery of democratic and legal principles. Something is rotten in the State of Sikkim. (Source:https://www.thehindu.com/opinion/editorial/unethical-actions/article29095071.ece)

19. Is P.S. Golay eligible to hold office as Chief Minister of Sikkim? (Relevant for GS


The Supreme Court is hearing a writ petition challenging the appointment of P.S. Golay alias Prem Singh Tamang as Chief Minister of Sikkim. The crux of the issue is that the 51-year-old leader of the Sikkim Krantikari Morcha (SKM) could not have been appointed Chief Minister, as he is under a subsisting disqualification. Mr. Golay did not contest the Assembly election held this year, as he is barred from electoral contests after being convicted for corruption in





https://www.thehindu.com/opinion/editorial/unethical-actions/article29095071.ece

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2016. He completed his prison term only in August 2018. The petitioner, Bimal Dawari Sharma of the Sikkim Democratic Front party, argues that in view of his disqualification from elections for six years from the date of release, Mr. Golay could not have been appointed Chief Minister. What was the case against Mr. Golay?

It goes back to his tenure as Minister for Animal Husbandry in 1996. He was held guilty under the Prevention of Corruption Act of misappropriating ₹9.50 lakh, in the purchase of milch cows for distribution. He was sentenced to a one-year prison term. After his conviction was upheld by the Sikkim High Court, he served out a one-year sentence in prison. He was released on August 10, 2018. What does his conviction for corruption entail?

A person convicted under the Prevention of Corruption Act is not eligible to contest an election for six years from the date of release. This is under Section 8(1)(m) of the Representation of the People Act, 1951. As Mr. Golay’s sentence came to an end in August 2018, he is barred from contesting polls until 2024. Was he eligible to be appointed Chief Minister?

Going by the law laid down by the Supreme Court in B.R. Kapoor vs State Of Tamil Nadu (2001), Mr. Golay could not have been appointed Chief Minister. This was the judgment that unseated Jayalalithaa after she was controversially appointed to the office by the Governor. Jayalalithaa’s nomination papers in four constituencies had been rejected then, with three returning officers citing her disqualification arising from conviction for corruption. In Mr. Golay’s case, he chose not to contest the election. Both of them were elected leaders of their respective legislature parties, which won the elections. What was the principle behind the court’s ruling?

Jayalalithaa’s lawyers had argued that qualification to be a legislator was not a prescribed eligibility norm for appointment as Chief Minister. The Governor was bound to appoint the person elected by the party that enjoyed majority in the House, and that for at least six months, a non-member could continue until the question of being eligible to contest an election arises. The Supreme Court had rejected this argument. “That non-legislator must be one who, when he is appointed, is not debarred from obtaining membership of the legislature : he must be one who is qualified to stand for the legislature and is not disqualified to do so.” How does the party, the SKM, view this legal bar?

Mr. Golay’s party, the SKM, has come up with an unusual argument in support of his appointment as Chief Minister. It has claimed that the RP (Amendment) Act, 2002, under which the clause related to disqualification for conviction under the Prevention of Corruption Act was introduced, had been ‘repealed’ by the Repealing and Amending Act, 2015. It seems unlikely that this argument will be accepted. Even though the Repealing and Amending Act mentions the 2002 Amendment Act as one of the laws that are being repealed, it is quite obvious that it was only being done to get rid of redundant laws from the statute






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book. The relevant clause in the repealing Act is clear that provisions that were incorporated through the amendment and have become part of the parent law will continue to be in force. The ‘savings’ clause says: “The repeal by this Act of any enactment shall not affect any Act in which such enactment has been applied, incorporated or referred to.” In other words, the clause relating to disqualification for a corruption conviction is now part of the RPA,1951, and the 2002 amending law was repealed only because it was no more needed. Does Mr. Golay have any other option?

The Sikkim Chief Minister has approached the Election Commission of India (ECI) for a waiver of the remaining period of his disqualification. Section 11 of the RPA says the ECI is empowered to remove any disqualification or reduce its duration for “reasons to be recorded”. (Source:https://www.thehindu.com/news/national/other-states/a-crisis-of-legitimacy/article29121017.ece)

20. Free rides for women in buses from Oct. 29: CM (Relevant for GS Prelims & Mains


Chief Minister Arvind Kejriwal said women in the Capital will be able to travel for free in all DTC and cluster buses from October 29. Rationale given by CM

In Delhi, the percentage of women in the workforce is merely 11 % and women using public transport accounts for only 30%. Free travel for women in public transport will encourage women to work more, girl students will be able to travel to their educational institutions without any hesitation and Delhi will gain as an aspirational city. (Source:https://www.thehindu.com/news/cities/Delhi/free-rides-for-women-in-buses-from-oct-29-cm/article29104540.ece)

21. Understanding post of Chief of Defence Staff (CDS) (Relevant for GS Prelims &

Mains Paper II; Polity & Governance)

In his Independence Day address Thursday, Prime Minister Narendra Modi announced the creation of the post of Chief of Defence Staff to provide “effective leadership at the top level” to the three wings of the armed forces, and to help improve coordination among them. What is the office of the Chief of Defence Staff (CDS)?

The CDS is a high military office that oversees and coordinates the working of the three Services, and offers seamless tri-service views and single-point advice to the Executive (in India’s case, to the Prime Minister) on long-term defence planning and management, including manpower, equipment and strategy, and above all, “jointsmanship” in operations.





https://www.thehindu.com/news/national/other-states/a-crisis-of-legitimacy/article29121017.ece

https://www.thehindu.com/news/national/other-states/a-crisis-of-legitimacy/article29121017.ece

https://www.thehindu.com/news/cities/Delhi/free-rides-for-women-in-buses-from-oct-29-cm/article29104540.ece

https://www.thehindu.com/news/cities/Delhi/free-rides-for-women-in-buses-from-oct-29-cm/article29104540.ece


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In most democracies, the CDS is seen as being above inter-Service rivalries and the immediate operational preoccupations of the individual military chiefs. The role of the CDS becomes critical in times of conflict. Most countries with advanced militaries have such a post, albeit with varying degrees of power and authority. The United States Chairman Joint Chiefs of Staff Committee (CJCSC), for example, is extremely powerful, with a legislated mandate and sharply delineated powers. He is the most senior military officer and military adviser to the President. And what are the arguments against?

Theoretically, the appointment of a CDS is long overdue, but there appears to be no clear blueprint for the office to ensure its effectiveness. India’s political establishment is seen as being largely ignorant of, or at best indifferent towards, security matters, and hence incapable of ensuring that a CDS works. Who at present advises India’s Prime Minister on military matters?

In effect it is the National Security Adviser. This has been especially so after the Defence Planning Committee was created in 2018, with NSA Ajit Doval as its chairman, and the foreign, defence, and expenditure secretaries, and the three Service Chiefs as members. (Source:https://indianexpress.com/article/explained/prime-minister-narendra-modi-chief-of-defence-staff-position-5908744/)

22. Should Aadhaar be linked with social media (Relevant for GS Mains Paper II; Polity

& Governance)

Source: The Hindu Editorial

View of petitioners

The petitioners had approached the High Courts on the ground that many people got away with inflammatory posts on social media because of the lack of traceability. Thus, the Aadhar number should be linked with social media accounts.

View of Madras High Court

It is noteworthy that a Division Bench of the Madras High Court, which is hearing two writ petitions on this matter, did not see merit in the idea. The Bench during the hearings observed that following the Supreme Court’s decision in the Aadhaar case, the unique 12-digit-number can be used only for subsidies and welfare benefits. Section 57 of the Aadhaar Act has been struck down to the extent that it authorised body corporate and individuals to use the number to establish someone’s identity. Two other High Courts are also hearing similar matters, Facebook, WhatsApp and Twitter have sought a transfer of all these cases to the apex court so that there are no conflicting judgments.





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While the Supreme Court will decide the question of transferring these cases to itself, the Madras High Court will continue its hearing. (Source:https://www.thehindu.com/opinion/editorial/content-management/article29214571.ece)

23. Highlights of recent PM Modi 2019 visit to UAE (Relevant for GS Prelims & Mains


Source: NDTV.com

Previous visit of PM Modi to UAE was in the year 2015.

PM Modi Honoured With UAE's Highest Civilian Award "Order Of Zayed"

Prime Minister Narendra Modi was on honoured with the "Order of Zayed", the UAE's highest civilian award, for his efforts to boost bilateral ties between the two nations. The award to PM Modi was announced in April this year. Several world leaders including Russian President Vladimir Putin, Queen Elizabeth II and Chinese President Xi Jinping have been honoured with the award in the past. The award in the name of Sheikh Zayed bin Sultan Al Nahyan, the founding father of the UAE, acquires special significance as it was awarded to Prime Minister Modi in the year of the birth centenary of Sheikh Zayed. Sought investment in Jammu and Kashmir

Prime Minister Narendra said “political stability and predictable policy framework” have made India an “attractive” investment destination. He urged the Indian business leaders in the UAE to invest in India especially Jammu & Kashmir. India on August 5 scrapped special status to Jammu and Kashmir and bifurcated the state into two Union Territories -- J&K and Ladakh. Bilateral Relations with UAE

With an annual bilateral trade of about $60 billion, the UAE is India's third-largest trade partner. It is also the fourth-largest exporter of crude oil for India. There is a strong 3.3 million-strong Indian community in the UAE. (Source:https://www.ndtv.com/india-news/pm-modi-honoured-with-uaes-highest-civilian-award-order-of-zayed-2089849)

24. Why lawyers have objected to setting up of Haryana Administrative Tribunal


Source: Indian Express





https://www.thehindu.com/opinion/editorial/content-management/article29214571.ece

https://www.thehindu.com/opinion/editorial/content-management/article29214571.ece

https://www.ndtv.com/india-news/pm-modi-honoured-with-uaes-highest-civilian-award-order-of-zayed-2089849

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In what can be termed as one of the longest suspension of work ever, the Punjab and Haryana High Court Bar Association has suspended work indefinitely since a notification came out on July 24 for setting-up the Haryana Administrative Tribunal. The Tribunal is meant to adjudicate over the service matters of the state employees that earlier would be directly heard by the High Court. Official data reveals that nearly 11,000 cases will be transferred from the High Court to Tribunal once it starts functioning. High Court Stay order

Though a full bench of the High Court has deferred the implementation of the Tribunal in view of the stalemate, for “the time being” and till further orders, it has been ordered that the High Court will continue to hear the service matters. However, the lawyers have turned the struggle into a battle against the idea of the Tribunal system and vowed to only stop at the revocation of the state decision. What is Haryana Administrative Tribunal?

The tribunal is a quasi-judicial body on the lines of Central Administrative Tribunal for redressal of the grievance of state employees concerning their employment. In the absence of the Tribunal, the employees have no other option but to directly approach the High Court. The government’s decision to establish the Tribunal had been pending since 2015 and is aimed at reducing a large number of pending cases before the High Court and quick disposal of the grievances of employees, as per the state. Tribunal orders can be challenged before the High Court. Following a recommendation from the Haryana government, the Ministry of Personnel, Public Grievances and Pensions on July 24 issued a notification for establishing the Haryana Administrative Tribunal. The next day judges at the High Court stopped hearing the service matters from Haryana with the reasoning that the court no more had the power in view of the notification. What has been the reaction since issuance of the notification? As per the National Judicial Data Grid, the High Court has a pendency of 4,67,271 cases. The lawyers since July 26 have been on an indefinite protest. They have abstained from attending the courts which has resulted in adjournments in most of the cases including civil and criminal litigations. The Bar Association has been adamant on its demand for revocation of the notification saying the decision encroaches upon the jurisdiction of the Court and is also aimed at circumventing the judicial independence. They argue that Tribunal members do not enjoy powers like judges who hold constitutional posts. Under which law are the Tribunals setup?

Article 323-A, which came by way of 42nd constitutional amendment in 1976, enabled the Centre to enact The Administrative Tribunals Act, 1985 for setting-up the Tribunals for adjudication over “disputes and complaints with respect to recruitment and conditions of service of persons”. The Centre under the Act can establish the Tribunal for its own employees and also has the power to establish one for a state after receiving a request from






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the state government. Two or more states can also agree for a single tribunal. The Tribunal is to be headed by a Chairman or Chairperson – a retired High Court Judge, and a number of Judicial and Administrative Members. The Chairperson can be removed only by the President of India. The Tribunal can also have benches at different locations. Do any other states have the Tribunal?

The Union Government last month also issued another notification – the one abolishing the Himachal Pradesh Administrative Tribunal which had been in existence since 2015. The request for it came from the state cabinet. Established first in 1986, the Himachal Tribunal was earlier also abolished in 2008 but re-established in 2015. When Haryana government took the decision to establish its own Administrative Tribunal, it had also cited the “encouraging” results of the Himachal Tribunal. Kerala, Karnataka, West Bengal and Maharashtra with their own tribunals for service matters. On August 2, Odisha also got abolished its Administrative Tribunal through a notification issued by the Centre.

25. Kerala ‘honour killing’ case (Relevant for GS Prelims & Mains Paper III; Polity &

Governance)

Source: The Hindu

What is honour killing?

The term ‘honour killing’ is being used widely to describe the class of murders that family members commit while seeking to impose on young couples their medieval view that all marriages should be within their community. View of Supreme Court

The Supreme Court, which has been intervening repeatedly to preserve the freedom of marital choice of individuals, once remarked that there is no ‘honour’ in ‘honour killing’. Various judgments have highlighted the need to come down on such crimes, as well as the social structures that keep such a communal outlook alive. What is the recent case?

The judgment of the Principal Sessions Court, Kottayam, Kerala, awarding life imprisonment to 10 men involved in the abduction and murder of Kevin Joseph, a 23-year-old Dalit Christian, in May 2018, is in line with the apex court’s views. The investigation and trial into Kevin’s murder have been notably fast. Kevin was abducted by a group led by Shyanu Chacko, the principal accused and brother of Neenu, Kevin’s fianceé, just as the young man was making arrangements to have his marriage registered. The court ruled that it was an ‘honour killing’ based on Neenu’s testimony that her family was vehemently against the marriage as Kevin was a Dalit. The police managed to drive home the guilt of the accused by digital and electronic evidence, including records showing mobile phone signal locations and CCTV footage, to confirm the time and the routes through which the accused had taken Kevin before drowning him.






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26. NRC List to be published on 31st August-Those excluded from final NRC will get a

window of 10 months (Relevant for GS Prelims & Mains Paper II; Polity & Governance)

Source: The Hindu

Those excluded from the final National Register of Citizens (NRC) to be published on August 31 will get a window of 10 months to prove their citizenship before being sent to detention centres. The publication of the register could be the start of an unprecedented complication — more of the humanitarian kind than of law and order as there are chances that many deserving citizens will not have their name in the list due to failure to produce documents. Foreigners’ Tribunal

Apprehending a critical situation after the NRC, the Centre had in June decided to help Assam create e-Foreigners’ Tribunals and increase the number of Foreigners’ Tribunals – quasi-judicial establishments headed by members who are lawyers and retired judges and bureaucrats – from the existing 100 to 1,000. At least 200 of the additional Foreigners’ Tribunals are expected to be set up by September with the government already having appointed 221 new members. Each person excluded will have a maximum of 120 days or four months from the date of publication of the final NRC to challenge his or her case at a Foreigners’ Tribunal, which has to dispose of the case within six months. Number of expulsions from list

Of a total of 3.29 crore applicants, more than 41 lakh people were excluded from the updated NRC via two rejection lists – one published on July 30, 2018, and the other on June 26 this year. Some 3.6 lakh of the excluded did not reapply and there are speculations that at least 20 lakh of those who reapplied will end up in the final exclusion list.

International Organizations & Relations

1. Consular access to Kulbhushan Jadhav: What ICJ ordered; Pakistan has ‘offered’ to

India (Relevant for GS Prelims & Mains Paper II; IOBR)

Pakistan has “offered” India consular access to Kulbhushan Jadhav, who has been in jail in Pakistan since March 2016. The former Indian Navy officer was sentenced to death by a Pakistani military court on charges of espionage and terrorism. Late Thursday evening, India was “evaluating” the Pakistani proposal. Direction of ICJ

The Hague-based International Court of Justice (ICJ) had ordered on July 17 that Pakistan must undertake an “effective review and reconsideration” of Jadhav’s conviction and






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sentencing, and grant consular access to him without delay. The ICJ upheld India’s stand that Pakistan is in egregious violation of the Vienna Convention on Consular Relations, 1963. What is the concept of “consular access”?

Consular access simply means that a diplomat or an official will have a meeting with the prisoner who is in the custody of another country. Usually, during the meeting, the diplomat will first confirm the identity of the person, and will then ask some basic questions — on how he/she is being treated in custody, and what he/she wants. Depending on the response, the diplomat/official will report back to his/her government, and the next steps will be initiated. Vienna Convention on Consular Relations

The principle of consular access was agreed to in the 1950s and 60s. The Vienna Convention on Consular Relations (VCCR) was framed in 1963, at the height of Cold War. This was a time when “spies” from the US and USSR were caught in each other’s countries and across the world, and the idea was to ensure that they were not denied consular access. All countries agreed to the principle, and more than 170 have ratified the Vienna Convention, making it one of the most universally recognised treaties in the world. Challenges in implementation of the Convention

There are challenges in implementation of Vienna Convention on Consular Relations. While international law has long recognised the right of missions to assist and protect its nationals detained abroad, the ability of a consulate to provide effective aid has been heavily dependent on the prompt receipt of information of the detention, and timely access to the detainee. Under Article 36 of the VCCR, at the request of a detained foreign national, the consulate of the sending State must be notified of the detention “without delay”. The consulate has the right “to visit a national of the sending State who is in prison, custody or detention, to converse and correspond with him and to arrange for his legal representation”. Consular access to Jadhav

Indian diplomats in Islamabad were discussing the terms and conditions of the consular access to be provided to Jadhav. The key issues on the table: how many Indian officials would conduct Jadhav’s interview; for how long would they meet him; would Pakistani officials other than security personnel be present as well; would there be a glass partition between them and Jadhav; would they be allowed to have physical contact with him, etc. India has asked Pakistan to grant “full consular access” to Jadhav in “full compliance and conformity” the ICJ verdict and the Vienna Convention. India wants to ensure that the meeting does not become a sham like the one in December 2017, when Jadhav’s mother and wife visited him.






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(Source:https://indianexpress.com/article/explained/explained-what-icj-ordered-pak-has-offered-to-india-consular-access-to-kulbhushan-jadhav-5870727/)

2. Kashmir issue: Pakistan expels Indian envoy, suspends bilateral trade (Relevant for

GS Prelims & Mains Paper II; IOBR)

Pakistan reaction on decision to end special status to J&K

The decisions were taken at a National Security Committee (NSC) meeting chaired by Prime Minister Imran Khan at his office in Islamabad. 1. Pakistan expelled the Indian High Commissioner and suspended bilateral trade in response to New Delhi’s decision to end special status to Jammu and Kashmir. Ajay Bisaria is India’s High Commissioner in Islamabad. “The Government of India has been told to withdraw its High Commissioner to Pakistan. The Indian government has also been informed that Pakistan will not be sending its High Commissioner-designate to India,” the Foreign Office said in a statement. 2. The Committee has also decided to review bilateral arrangements and take the Kashmir issue to the UN, including the Security Council, he said. 3. Pakistan will observe August 14, its Independence Day, “in solidarity with brave Kashmiris” and August 15 as a “Black Day”. (Source:https://www.thehindu.com/news/international/kashmir-issue-pakistan-expels-indian-envoy-suspends-bilateral-trade/article28864283.ece)

3. Hong Kong on the brink: On continuing protests (Relevant for GS Prelims & Mains

Paper II; IOBR)

Why did the protests begin in Hong Kong?

Protests broke out in Hong Kong two months ago when local authorities proposed a Bill that would have allowed them to extradite suspects to places with which the city doesn’t have extradition treaties, including mainland China. Impact of the protests

The Bill was suspended amid public anger, but the protests, now entering the tenth week, continue to rock the city, affecting the economy and setting off an unprecedented political crisis. People, from construction workers to teachers and lawyers, have joined the demonstrations. Graffiti appeared across the city calling for “a revolution” and “liberation” of Hong Kong. Despite warnings from both the city government and Beijing, the protesters don’t seem to be in a mood to leave the streets. What are the new demands?

It is no longer about the extradition Bill. The bill is already dead. Protestors have made a host of demands — withdraw the Bill, order an independent probe into the clashes between





https://indianexpress.com/article/explained/explained-what-icj-ordered-pak-has-offered-to-india-consular-access-to-kulbhushan-jadhav-5870727/

https://indianexpress.com/article/explained/explained-what-icj-ordered-pak-has-offered-to-india-consular-access-to-kulbhushan-jadhav-5870727/

https://www.thehindu.com/news/international/kashmir-issue-pakistan-expels-indian-envoy-suspends-bilateral-trade/article28864283.ece

https://www.thehindu.com/news/international/kashmir-issue-pakistan-expels-indian-envoy-suspends-bilateral-trade/article28864283.ece


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protesters and police, drop all charges on the arrested protesters and start the process to reform the electoral system. What should be done?

The protesters on the other side took an excessively provocative path when they ransacked the city Parliament and attacked the police. What could have been a peaceful protest against an extradition Bill led to the biggest political crisis Hong Kong has seen since it was handed over to China by the British colonialists. At least now, the focus of both the local leadership and protesters should shift to finding common ground and a peaceful settlement. It’s in everyone’s interest to arrest the slide of Hong Kong. (Source:https://www.thehindu.com/opinion/editorial/hong-kong-on-the-brink/article28984792.ece)

4. Donald Trump repeats threat to take U.S. out of WTO (Relevant for GS Prelims &

Mains Paper II; IOBR)

Referring to trade disputes, Mr. Trump said, “We were losing all our cases in the World Trade Organization”. Mr. Trump argues that countries such as India and China have grown economies but still these countries call themselves developing economies to enjoy benefits under WTO.

Classification of nations into developed, developing and underdeveloped nations under WTO scheme





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(Source:https://www.thehindu.com/news/international/india-china-no-longer-developing-nations-wont-let-them-use-wto-advantage-says-trump/article29092041.ece)

5. What’s behind recession fears (Relevant for GS Prelims & Mains Paper II; IOBR)

The global economy continues to be hit by bad news as one big economy after another falters on economic growth. On Wednesday, data from Germany, the world’s fourth-biggest economy, showed that its GDP contracted by 0.1% in the April-June quarter (Q2). Ongoing trade tensions between the US and China, and the uncertainty due to Brexit have impacted German exports badly. Germany is the world’s third-biggest trader after the US and China. The two biggest economies are already in some trouble. The US has grown by just 2.1% in Q2 of 2019 as against 3.2% in Q1. China’s growth has been decelerating for longer. So, is a global recession likely?

Earlier this month, researchers at Morgan Stanley, a leading investment bank, warned that if the US and China continue to raise tariff and non-tariff barriers over the next four to six months, the global economic growth rate will fall to a seven-year low of 2.8% and worse still, the world economy could enter a recession within the next three quarters (that is, nine months). The last massive downward spiral in the global economy happened in the wake of the great financial crisis of 2008, and continued until 2010. What is a global recession?

In an economy, a recession happens when output declines for two successive quarters (that is, six months). What has triggered the alarm?

Earlier this month, the US declared China a “currency manipulator”. In other words, Washington accused Beijing of deliberately weakening the yuan to make Chinese exports to the US more attractive and undercut the effect of increased US tariffs. The intensifying trade war between the two has the potential to derail already weak global growth. How can this lead to a global recession?

The German slowdown is a very good example. The absolute volume of global trade has stagnated and, in terms of percentage change, trade is contracting. What is worse is the composition of trade that is being hit — and is likely to be hit further. According to Morgan Stanley, two-thirds of the goods being lined up for increased tariffs are consumer goods. Higher tariffs are not only likely to douse demand but, crucially, hit business confidence. The apprehension is global trade uncertainties could start a negative cycle, wherein businesses do not feel confident enough to invest more, given the lower demand for consumer goods. Reduced capital investment would reflect in fewer jobs, which, in turn, will show up in reduced wages and, eventually, lower aggregate demand in the world.





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What makes this scenario trickier is the fact that monetary policy is already loose — that is, borrowing money is cheap. A recession now will be more difficult to salvage. What about India?

India’s trade is already suffering, and jobs are being lost. For an economy that is struggling to find a domestic growth lever — government and businesses are overextended and household (that is, private family-level) consumption is down — exports could have provided a respite. What can India do to boost exports?

A 2016 analysis by HSBC global research showed that domestic bottlenecks were more responsible for India’s lack of competitiveness in exports than the lack of global demand and the overvalued rupee put together. In other words, addressing bottlenecks such as better roads, more electricity, easier rules of doing business etc., will go a long way in boosting exports. (Source:https://indianexpress.com/article/explained/explained-why-the-us-china-trade-war-might-lead-to-a-global-recession-5900728/)

6. U.N. Security Council meeting on Kashmir (Relevant for GS Prelims & Mains Paper

II; IOBR)

India’s stand

Reiterating that issues around Article 370, i.e., special status to Jammu & Kashmir, were an internal matter, India played down the significance of UN Security Council’s “closed consultation” meeting on Kashmir. Indian Ambassador to the UN Syed Akbaruddin accused Pakistan and China of attempting to impart greater significance to the meeting than was warranted. Mr. Akbaruddin told reporters that the abrogation of Article 370 was done to enhance good governance and socio-economic development in Jammu and Kashmir and that the UNSC consultations had taken note of this. The first to speak was China , a permanent member of the 15- member UNSC. China’s UN envoy Zhang Jun said UNSC members had “serious” concerns about the situation including the human rights situation. Mr. Zhang said that it was China’s view that the Kashmir issue is an international and undecided one and must be peacefully resolved in accordance with the UN charter, UNSC resolutions and bilateral agreements. China and India share a disputed border in the Aksai Chin region of Ladakh. Pakistan’s view





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Pakistan’s UN Ambassador Maleeha Lodhi said the fact that the UNSC consultation was held signified that the issue was not internal to India and that Pakistan stands ready for a “peaceful settlement” of the dispute. What is UNSC?

The Security Council is primarily charged with maintaining peace and security amongst nations. TheSecurity Council consists of fifteen member states, five permanent members—China, France, Russia,the United Kingdom and the United States—and 10 non-permanent members which are elected for a two-year term. (Source:https://www.thehindu.com/news/national/un-security-council-meeting-on-kashmir-stop-terror-to-start-talks-india-tells-pakistan/article29113302.ece)

7. No-first-use may not be cast in stone: Rajnath Singh (Relevant for GS Prelims &


Known for his carefully calibrated choice of words, Union Defence Minister Rajnath Singh created a flutter when he said that India remained “firmly committed” to the doctrine of “no first use” for nuclear weapons but indicated that this may not be etched in stone. The Defence minister’s tweets came after visiting Pokhran where India carried out nuclear tests in May 1998 when Atal Bihari Vajpayee was Prime Minister. Challenges for India

India’s official position has been no-first-use since Vajpayee. But Rajnath Singh’s comments re-open the debate. As China and Pak cosy up on Kashmir and India aspires to join the NSG, Delhi will have to do a tightrope walk. A commitment to not be the first to use a nuclear weapon has long been India’s stated policy. While Singh’s remark doesn’t necessarily mean that the government is looking at a review of the nuclear doctrine, it could re-open the debate on no-first-use policy. History of No first use Policy

India first adopted a “No first use” policy after its second nuclear tests, Pokhran-II, in 1998. In August 1999, the government released a draft of the doctrine which said that nuclear weapons are solely for deterrence and that India will pursue a policy of “retaliation only”. The document also maintained that India “will not be the first to initiate a nuclear first strike but will respond with punitive retaliation should deterrence fail” and that decisions to authorise the use of nuclear weapons would be made by the Prime Minister or his “designated successor(s).” Despite the escalation of tensions between India and Pakistan in 2001-2002 and again in 2008 after the Mumbai terror attack, India remained committed to its nuclear no-first-use policy. India is in the process of developing a nuclear doctrine based on “credible minimum deterrence”.





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Former Foreign Secretary Kanwal Sibal told The Indian Express Friday that Singh’s comments could be a “signal to China and Pakistan” in view of their increasing co-operation and the latest attempt to corner India by raising the issue of J&K at the UN Security Council after 1971. (Source:https://indianexpress.com/article/india/a-nuke-flutter-from-careful-rajnath-no-first-use-may-not-be-cast-in-stone-5911640/)

8. Outcome of 2nd visit of Mr. Modi to Bhutan (Relevant for GS Prelims & Mains Paper

II; IOBR)

PM Modi is on his second visit to Bhutan. PM Modi and his Bhutanese counterpart Lotay Tshering held wide ranging talks. The two countries signed 10 MoUs in the fields of space research, aviation, IT, power and education. Mangdechhu hydroelectric power plant

Mr. Modi inaugurated the Mangdechhu hydroelectric power plant and also launched stamps to commemorate five decades of India-Bhutan hydropower cooperation. Most of the electricity generated by the Mangdechhu hydropower project will meet the energy requirements of Bhutan and the surplus electricity will be exported to India. RuPay card launched

Mr. Modi also launched the RuPay Card in Bhutan by making a purchase through the card. The card will further enhance relationship between India and Bhutan in digital payments, and trade and tourism. Currency swap facility

On increasing the currency swap limit for Bhutan under the SAARC currency swap framework, Modi said an additional $100 million will be available to Bhutan under a standby swap arrangement to meet the foreign exchange requirement. Other areas of cooperation

India’s cooperation in Bhutan’s five-year plans will continue. The two leaders jointly inaugurated the Ground Earth Station and SATCOM network, developed with assistance from ISRO for utilization of South Asia Satellite in Bhutan. (Source:https://www.thehindu.com/news/national/pm-modi-inaugurates-mangdechhu-hydroelectric-power-plant-in-bhutan/article29120270.ece)

9. What is the UN’s stand on Kashmir? (Relevant for GS Prelims & Mains Paper II; IOBR)

What are UN Security Council members urging India and Pakistan to do to resolve the

issue?

On Friday, August 16, the United Nations Security Council (UNSC) held a “closed consultation” meeting on the situation in Kashmir. Both India and Pakistan were kept out of





https://indianexpress.com/article/india/a-nuke-flutter-from-careful-rajnath-no-first-use-may-not-be-cast-in-stone-5911640/

https://indianexpress.com/article/india/a-nuke-flutter-from-careful-rajnath-no-first-use-may-not-be-cast-in-stone-5911640/

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the UNSC meeting on Friday. The last time ‘The India-Pakistan Question’ was taken up by the UNSC was in December 1971 when India and Pakistan fought a war leading to the creation of Bangladesh. It had been discussed during the 1965 war too when Indian and Pakistani forces clashed in Kashmir and the western borders. After the abrogation of Article 370 last Monday, Pakistan wrote to the UNSC. China, a permanent member of the UNSC, and an ally of Pakistan, sought a meeting of the UNSC to discuss the developments in Kashmir. What did the UNSC discussion throw up?

The UNSC has not yet put out a statement, but after the meeting India insisted that issues around Article 370 and special status to J&K were an internal matter. The Indian Ambassador to the UN, Syed Akbaruddin, accused Pakistan and China of attempting to impart greater significance to the meeting than was warranted. One question that has been raised is about the situation in the Kashmir Valley now. Is the ground reality in the formerly undivided princely State of J&K similar to that of the late 1940s when key UN resolutions, including the UNSC Resolution 47 recommending plebiscite, were passed? When did the UNSC first discuss J&K?

The Kashmir issue at the UN debuted on January 1, 1948 as India urged the UNSC to discuss the conflict that had erupted three months earlier when Pakistan sent irregulars, tribals and camouflaged soldiers into Kashmir prompting the Maharaja of the princely Indian State to accede to India. The submission of India detailing the violence unleashed by the irregulars on the local population and infrastructure became the foundation upon which the “Jammu and Kashmir Question” was created at the UNSC. The title was changed on January 22, 1948 to “The India-Pakistan Question”. From its origin till 1971, the topic featured prominently at the UNSC especially when both countries clashed. Under Resolution 39 on January 20, 1948, the UNSC set up a three-member UN Commission for India and Pakistan (UNCIP). Disagreement between India and Pakistan led to the first failure as the commission failed to materialise. The commission was finally reconstituted with five members on April 21, 1948 and it was mandated to plan a mechanism to ensure a plebiscite in the State. (This was part of the UNSC Resolution 47). The UNSC Resolution 47 passed on this date urged India and Pakistan to hold a plebiscite after restoration of law and order. The UNCIP passed a resolution on January 5, 1949 that provided the mechanism for holding a “free and impartial plebiscite” in Kashmir. At this juncture Pakistan managed to get an upper hand as the UNSC, under the influence of the United Kingdom, agreed to a ceasefire proposal without first ensuring Pakistan’s withdrawal from the area that it had gained during the early tribal raid in Kashmir. This allowed Pakistan to hold on to territory that would ultimately contribute to undermining the terms of the plebiscite itself. Why did the plebiscite plan fall through?

The 1947-48 India-Pakistan war ended in a ceasefire but the Kashmir solution remained elusive. A key condition for the plebiscite was withdrawal of Pakistan from the areas under its control and India withdrawing individuals who were not residents of the State. However, neither of this happened. Instead both sides firmed up their presence in the areas under their control. India took the Kashmir issue to the UN for “prompt and effective action” but as






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pointed out by scholars, the big powers ensured that the issue lingered on and became a part of the global concern on conflicts. What is the relevance of the Simla Agreement to the Kashmir issue?

Under the Simla Agreement of July 2, 1972, India gained Pakistan’s commitment that the Kashmir conflict would be resolved bilaterally. Pakistan, however, kept the issue alive by hosting the Islamic Summit of 1974 where Pakistan began courting the Islamic world for its major foreign policy goals. After the Simla Agreement, Pakistan proceeded to further entrench territorial status quo as Prime Minister Zulfikar Ali Bhutto on November 7, 1973 ruled out an independent status for Azad Kashmir. The Northern Areas and Azad Kashmir were territories of the princely Indian State of Jammu and Kashmir that were awaiting plebiscite but the case for “accession” ruined the chance of Pakistan acting in accordance with the conditions of plebiscite, writes Aman M. Hingorani in Unravelling the Kashmir Knot. Under these circumstances, Kashmir as a legal problem appears far more daunting than Kashmir as a political problem that can be addressed by two powers of South Asia. What have the members of the UNSC said?

Several of them have urged India and Pakistan to resolve the issue bilaterally — as India too has argued. Pakistan’s Foreign Minister Shah Mahmood Qureshi had gone to the UN with China’s support but the heightened military tension on the Line of Control and the ground situation on both sides show that the conditions in which the UNSC had passed its early resolutions on Kashmir do not exist any longer. Discussing the issue under UN auspices will be difficult for several reasons. First, the two parties (India and Pakistan) have continued the process of assimilation of territories under respective control into their union of states. Second, both sides had agreed to deal with it bilaterally. (Source:https://www.thehindu.com/news/national/what-is-the-uns-stand-on-kashmir/article29121025.ece)

10. India-Bhutan Relations: Closeness and Challenges (Relevant for GS Prelims and


Prime Minister Narendra Modi’s two day visit in August 2019 to Thimphu affirmed a long-standing tradition between India and Bhutan, where the leaders of both countries have given visiting each other a major priority early in their tenures. 1. This visit included inauguration of the 720 MW Mangdechhu hydropower plant. 2. Open borders, close alignment and consultation on foreign policy, and regular, open communications on all strategic issues are the hallmark of the relationship that has maintained its consistency for the past many decades. 3. Bhutan’s unequivocal support to India on strategic issues has meant a lot to India on the international stage and at the United Nations.





https://www.thehindu.com/news/national/what-is-the-uns-stand-on-kashmir/article29121025.ece

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4. Bhutan’s leadership has shown concern for threats to India; for instance, the former King’s efforts in 2003 to drive out ULFA rebels or more recently, support for India’s stand against Chinese troops on the Doklam plateau. 5. India’s assistance to Bhutan’s planned economy, to constructing its highest revenue earner of hydropower generated electricity, and then buying the electricity generated has also ensured a symbiotic and mutually beneficial base to the relationship. Strain in ties

1. In the past few years, ties came under a strain over India’s sudden change in its power purchasing policy, rigid rates and refusal to allow Bhutan to join the national power grid and trade with third countries like Bangladesh. These issues are being addressed now. 2. Another concern that could create differences is over Bhutan’s worry that too much trade, transport and tourism from India could put its environment at risk. India’s plans for a Motor Vehicles Agreement (MVA) in the Bangladesh-Bhutan-India-Nepal grouping have been held up, and a Bhutanese proposal to levy entry charges on Indian tourists could cause differences with India. Conclusion

There is thus much to repair in the ties. More importantly, New Delhi will have to remain alert to strategic powers which are courting Bhutan assiduously, as is evident from the high-level visits from China and the U.S. In a world of growing options, it remains in India’s and Bhutan’s best interests to make each other’s concerns a top priority. (Source:https://www.thehindu.com/opinion/editorial/something-special-on-narendra-modis-bhutan-visit/article29161046.ece)

11. Islamic State claims Afghan wedding suicide blast that killed 63 (Relevant for GS

Prelims & Mains Paper II; IOBR)

ISIS involvement

The Islamic State militant group claimed responsibility for a suicide blast at a wedding reception in Afghanistan that killed 63 people, underling the dangers the country faces even if the Taliban agree a pact with the United States. The Taliban had earlier denied responsibility for the Kabul attack and condemned it. Taliban and US negotiations

The Saturday night attack came as the Taliban and the United States try to negotiate an agreement on the withdrawal of U.S. forces in exchange for a Taliban commitment on security and peace talks with Afghanistan's U.S.-backed government. IS building base

Islamic State (IS) fighters, who first appeared in Afghanistan in 2014 and have since made inroads in the east and north, are not involved in the talks. They are battling government and U.S.-led international forces and the Taliban.





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The group, in a statement on the messaging website Telegram, claimed responsibility for the attack at a west Kabul wedding hall, in a minority Shi'ite neighbourhood, saying its bomber had been able to infiltrate the reception and detonate his explosives in the crowd of “infidels”. IS has claimed some of the most bloody attacks in Afghan cities over the past couple of years, with some aimed at the Shi'ite minority. About the attack

More than 180 people were wounded with many women and children among the casualties. Wedding halls have become a big business in Kabul as the Afghan economy slowly picks up and families spend more on celebrations. Presence of US forces in Afghanistan

Some 14,000 U.S. troops remain in Afghanistan, training and advising Afghan security forces and conducting counterinsurgency operations. (Source:https://www.thehindu.com/news/international/islamic-state-claims-afghan-wedding-suicide-blast-that-killed-63/article29126307.ece)

12. What Does the Death of the Intermediate Nuclear Forces Treaty Mean? (Relevant

for GS Prelims & Mains Paper II; IOBR)

Source: www.thewire.in What happened to INF?

Amid a series of allegations and counter-allegations of violations by the two members of the Intermediate Nuclear Forces (INF) namely US and Russia, the bilateral instrument was finally declared dead on August 2, 2019. About INF

Concluded in 1988 and in force since 1991, the treaty had served the purpose of fostering strategic stability well by outlawing an entire class of missile systems. Missiles in the intermediate range of 500 km to 5,500 km were prohibited from being deployed on land, though not at sea. By removing 850 American and 1,700 Soviet missiles, the treaty kept the European theatre free of the destabilising implications of this range of delivery systems. Other vectors of ranges less than 500 km were, of course, deployed but these were deemed battlefield weapons for military targets. Besides, land-based missiles with intercontinental ranges of more than 5,500 km were perceived as providers of deterrence stability. Possible implications of end of INF

With the end of the INF treaty, the two countries have already expressed a readiness to deploy the missiles of the once prohibited ranges. Both have been engaged in relevant research and development for many years now, in any case. In fact, there has been steady deterioration of the bilateral US-Russia relationship since the failure of an attempt at a reset,





https://www.thehindu.com/news/international/islamic-state-claims-afghan-wedding-suicide-blast-that-killed-63/article29126307.ece

https://www.thehindu.com/news/international/islamic-state-claims-afghan-wedding-suicide-blast-that-killed-63/article29126307.ece

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the subsequent Russian annexation of Crimea and the resultant imposition of sanctions by the West, and the more recent allegations of Russian interference in American elections. All of this coalesced with INF treaty violation allegations to exacerbate the demise of the treaty. This will, of course, have ramifications for the US and Russia’s political relationship. In fact, this will further harden the divide between the two nations and their positions on the modernisation of their nuclear capabilities. The China factor

At the time that the INF treaty was concluded, China had not yet emerged as a major player. But during the decades since then, China has steadily progressed in its military (including nuclear) capabilities to amass a large number and variety of mid-range missiles. Driven by US capabilities such as missile defence and the possible use of strategic missiles with conventional warheads that were seen as eroding its own nuclear deterrence, China contends that its march towards a better and more survivable nuclear arsenal is only to stabilise a relationship that had been rendered off-balance. Therefore, its focus has been on increasing the accuracy, mobility, penetrability and reliability of its delivery vectors with the help of better space support capabilities. As many as 95% of all Chinese missiles are believed to be within the ranges of the INF treaty, a set of weaponry that the US and USSR/Russia had banned for themselves. What of India?

The US has now stated the objective of crafting new arms control instruments that would better reflect current nuclear realities. Obviously, it is looking to rope China into such arrangements, which would prove to be useful for India. The problem, however, is that President Xi Jinping has indicated his lack of interest in any nuclear arms control treaty. His position remains that the two major nuclear possessors must first further reduce their nuclear armaments before expecting China’s participation. Therefore, if the US was hoping to turn the death of the INF treaty into an opportunity for giving birth to a new instrument, the task looks quite difficult now. Should the demise of the INF treaty matter to India? There are, of course, no direct implications of this. The treaty was a bilateral arrangement and it was incumbent on the two parties to live up to their commitments. If they have not, there is little that India can do about it. However, there are indirect ripples of this development that could well touch India’s shores. For one, a politically vitiated relationship between US and Russia makes India’s own bilateral engagement with each country more difficult. American objections to India’s acquisition of the Russian S-400 air and missile defence system is just one such instance. The nature of their relationship also makes consensus or a united approach more problematic on matters of global security, such as the challenges of nuclear terrorism, the political situation in Syria, the nuclear developments in North Korea and Iran, and so on.






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Secondly, the collapse of nuclear arms control removes what were largely seen as some foundational treaties, such as the Anti-Ballistic missile treaty and INF, from being examples or anchors for other nuclear dyads to follow. Thirdly, when nations get out of such arrangements, they leave behind a sense of heightened salience of nuclear weapons. Washington and Moscow seem to have voted in favour of new nuclear deployments over acceptance of controls on nuclear arms. With greater value being ascribed to nuclear weapons, proliferation yet again occupies centrestage. The end of the INF treaty has most likely heralded an era of growing salience of nuclear weapons. (Source:https://thewire.in/world/intermediate-nuclear-forces-treaty-inf-treaty-dead/amp/)

13. India, Zambia sign 6 pacts; strengthen cooperation in defence, mineral resources

(Relevant for GS Prelims & Mains Paper II; IOBR)

Source: The Hindu Businessline

India and Zambia signed six agreements in key sectors such as mineral resources and defence after Prime Minister Narendra Modi and Zambian President Edgar Chagwa Lungu held wide-ranging talks to strengthen ties. Lungu arrived in New Delhi on Tuesday on a three-day visit to India. The two leaders also deliberated upon enhancing trade and investment, as well as deepening development cooperation. Contribution of India towards Zambia

India has been sharing its developmental experiences with Zambia. He noted the progress made in projects related with health, power generation as well as easing traffic in Zambian capital Lusaka, with cooperation from India. India’s interest in Zambia

Zambia is a country rich in mineral wealth and among other minerals, India takes large quantities of copper from the African country. Recent agreements

1. After the delegation-level talks, Memorandum of Understandings (MoUs) were signed between the two sides on cooperation in the field of geology and mineral resources, defence, and arts and culture. 2. A MoU was signed between between Foreign Service Institute of India and Zambian Institute of Diplomacy and International Studies. Also, two agreements were inked on ‘E-VBAB Network Project’ (e-education) as well as between Election Commission of India and Electoral Commission of Zambia.





https://thewire.in/world/intermediate-nuclear-forces-treaty-inf-treaty-dead/amp/

https://thewire.in/world/intermediate-nuclear-forces-treaty-inf-treaty-dead/amp/


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3. Modi said the MoU on mineral resources will enhance cooperation in the field of mining and a framework will be built for exploration and extraction of mineral resources. 4. MOU on defence cooperation will increase exchanges in the field of defence. Indian military and air-force training teams will be deployed in Zambia to assist in enhancing the capabilities of the armed forces of that country. 5. Modi said the Indian government will cooperate in setting up an Incubation Centre in Zambia. 6. India will also provide 100 solar irrigation pumps to boost agriculture and send 1,000 tonnes of rice as well as 100 tonnes of milk powder to Zambia. (Source:https://www.thehindubusinessline.com/news/national/india-zambia-sign-6-pacts-strengthen-cooperation-in-defence-mineral-resources/article29212686.ece#)

14. Will India change its ‘No First Use’ policy? (Relevant for GS Prelims & Mains Paper

II; IOBR)


Since conducting its second nuclear tests, Pokhran-II, in 1998, India has adhered to a self-imposed commitment to ‘No First Use’ (NFU) of nuclear weapons on another country. However, last week, on August 16, Defence Minister Rajnath Singh dropped a hint that in the future, India’s NFU promise “depends on circumstances.” When did India’s N-weapons journey begin?

India embarked on the path of nuclear weapons development after its face-off with China in the 1962 war, followed by China carrying out nuclear tests in 1964 and in the subsequent years. In 1974, under Prime Minister Indira Gandhi, India conducted its first nuclear tests, Pokhran-I, dubbed as a “peaceful nuclear explosion”. Despite more than two decades of international pressure that followed to make India abandon its pursuit of nuclear weapons, India again carried out a test in May 1998, Pokhran-II, involving a fission device, a low-yield device, and a thermonuclear device. Its successful execution meant that India had the ability to introduce nuclear warheads into its fast-developing missile programme. A fortnight after the Pokhran-II tests, Pakistan also carried out similar tests, confirming progress with its nuclear weapons programme; since that time its nuclear arsenal has expanded rapidly. In 1999, India came out with an explicit nuclear doctrine that committed, among other things, to NFU — that is it would never carry out a nuclear first-strike. This doctrine emphasised “minimal deterrence, no first use and non-use against non-nuclear weapon states”, in the words of former National Security Adviser Shivshankar Menon. The NFU promise thus went together with credible minimum deterrence (CMD). What does CMD mean for the Indian nuclear doctrine?

Credible minimum deterrence does not imply indefinite expansion of the nuclear arsenal; rather it is built on an assured second-strike capability. This implies that in the event of





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another nation carrying out a first nuclear strike of any magnitude against India, India’s nuclear forces shall be so deployed as to ensure survivability of the attack and the capability to carry out a massive, punitive nuclear retaliation aimed at inflicting damage that the aggressor will find “unacceptable”. Additionally, CMD requires a robust command and control system; effective intelligence and early warning capabilities; comprehensive planning and training for operations in line with the strategy; and the will to employ nuclear forces and weapons.

Currently, the Nuclear Command Authority is responsible for command, control and operational decisions on nuclear weapons; specifically it is the Cabinet Committee on Security and ultimately the office of the Prime Minister of India, that is responsible for the decision to carry out a nuclear attack. Why might the NFU policy be revisited?

Regional geopolitical realities have a significant bearing upon India’s NFU commitment, to the extent that the CMD is what the “enemy” believes deterrence to be, and their belief is manifested in their actions. After the 1998 nuclear tests in India and Pakistan, the CMD was established in the sense that in the following decade, including the aftermaths of the attack on the Indian Parliament in 2001 and the Mumbai terror attacks in 2008, neither country felt inclined to instigate all-out war. However, since that time, the deterrent effect of India’s arsenal seemed to have less effect in one significant aspect: Pakistani officials started speaking out about their country’s development of tactical nuclear weapons, or “theatre nukes”, which had a lower yield but could still inflict enough damage to blunt a conventional attack. It is surmised that Pakistan’s talk of tactical nuclear weapons might have emerged as a counter to speculation that India






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might have developed the “Cold Start” doctrine. This is a purported classified plan for a conventional military attack by Indian forces on Pakistani soil, likely as a response to a prior sub-conventional attack from across the border (such as a state-sponsored terror-attack). In this context, in 2013, Shyam Saran, convener of the National Security Advisory Board, said: “India will not be the first to use nuclear weapons, but if it is attacked with such weapons, it would engage in nuclear retaliation which will be massive and designed to inflict unacceptable damage on its adversary. The label on a nuclear weapon used for attacking India, strategic or tactical, is irrelevant from the Indian perspective.” However, there may be some concerns with this idea that India will retaliate massively even if Pakistan uses tactical nuclear weapons — possibly on Indian forces operating on Pakistani soil — against it. First, this strategy would take both countries back into the old-world deterrence paradigm of “mutually assured destruction”, because any surviving forces in Pakistan after India’s retaliation would surely launch a devastating attack against targets across India. Second, India may have more to gain by pre-emptive action. This is the question that analysts Christopher Clary and Vipin Narang have studied, and they argue that one option under consideration could be for “a hard counterforce strike against Pakistan’s relatively small number — perhaps several dozen — strategic nuclear assets on land (and eventually at sea) to eliminate its ability to destroy Indian strategic targets and cities. Such a strategy would be consistent with India’s doctrine of massive retaliation — massive retaliation strategies need not be countervalue — while avoiding the credibility issues associated with a countervalue targeting strategy following Pakistan’s use of nuclear weapons on the battlefield.” Will we see India’s nuclear doctrine changing to accommodate these realities?

The simple answer: unlikely. As Mr. Clary and Mr. Narang argue, India’s adoption of potentially pre-emptive “counterforce options” – i.e. to eliminate Pakistan’s strategic nuclear weapons when it deems the risk of a Pakistani first-strike to have crossed a critical threshold — may require no explicit shifts in its declared nuclear doctrine. In fact, remaining silent on this subject might be calculated as a strategic advantage for India as the country would be assuming deliberate nuclear ambiguity. The downside is that New Delhi remaining silent on this, except for occasional hints — such as what the Defence Minister tweeted recently — might compel Pakistan to adjust its nuclear posture accordingly, based on a calculation that India might be willing to carry out a counterforce attack and thereby eliminate the Pakistani nuclear threat entirely. This in turn risks fuelling an arms race or more unstable nuclear weapons deployment patterns in Pakistan. The Balakot strikes that followed the Pulwama attack (both in February 2019) demonstrate that the Narendra Modi government is not shy of taking cross-border military action. If another sub-conventional attack, say a terror attack, occurs on Indian soil anytime soon, these theories will likely be tested. What remains unclear is how high up the escalation ladder both countries will be willing to go. (Source:https://www.thehindu.com/news/national/will-india-change-its-no-first-use-policy/article29247139.ece)





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15. Highlights of G7 Summit (Relevant for GS Prelims & Mains Paper II; IOBR)

Source: The Hindu

About G-7

The 45th G7 summit was held on 24–26 August 2019, in Biarritz, Nouvelle-Aquitaine, France. The Group of Eight (G8) refers to the group of eight highly industrialized nations—France, Germany, Italy, the United Kingdom, Japan, the United States, Canada and Russia—that hold an annual meeting to foster consensus on various global issues such as economic growth and crisis management, global security, energy and terrorism. In March 2014 Russia was suspended following the annexation of Crimea. Crimea was territory of Ukraine. Since then the group is called G-7 1. Inclusion of Russia: American President Donald Trump and French President Emmanuel Macron has agreed that Russia should be invited to the next G7 Summit to be held in 2020. 2. Prime Minister Narendra Modi was special invite to G-7 summit. Mr. Modi on sidelines of G-7 summit took assurance from Mr. Trump that he would not interfere in Kashmir issue and the issue is integral to India. This was necessitated by the repeated references that Mr. Trump has made about U.S. mediation between India and Pakistan over Kashmir, as well as a briefing by a senior administration official last week, who said that Mr. Trump would “want to hear from Prime Minister Modi on how he plans to reduce regional tensions and uphold respect for human rights in Kashmir”. Both U.S. statements run counter to the Indian position that the withdrawal of special status to J&K under the Constitution is an “internal matter”, and the issue of Kashmir will be resolved bilaterally with Pakistan. In the event, Mr. Trump backed away from both statements. 3. G7 members also discussed the Amazon fire crisis and pledged over $20 million to Brazil, but were rebuffed after a spat broke out between Brazilian President Jair Bolsonaro and Mr. Macron. It came as no surprise that the summit ended as it did: for the first time in the grouping’s 44-year old history, there was no joint communiqué.

Economics

1. CCD owner VG Siddhartha dead (Relevant for GS Prelims & Mains Paper III;

Economics)






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The founder-owner of Cafe Coffee Day, VG Siddhartha, who went missing, was found dead early Wednesday morning on the banks of the Netravati river near Mangaluru. Siddhartha was the son-in-law of former Karnataka chief minister SM Krishna. In the last 24 hours since his disappearance, a purported letter written by him to his employees became public, giving a sense of the financial strain he was under. What Siddhartha said in his letter

# Hours before his disappearance was reported, Siddhartha called his personal staff at the company head office in Bengaluru and informed them about a letter to be disseminated. The purported letter referred to the “tremendous pressure” he was under from lenders and “harassment” from Income Tax officials. And that he was “very sorry to let down all the people that put their trust in me”. # Police sources said that the July 27 letter that Siddhartha left behind and final conversations he had with a few staff members suggested he was not his usual self. “He told one staff member to look after the interests of the firm after clearing an outstanding loan. He seemed emotional. This was a bit out of character for the businessman. # In the letter, Siddhartha said: “After 37 years with strong commitment to hard work having directly created 30,000 jobs in our companies and their subsidiaries, as well as 20,000 jobs in technology company where I have been a large shareholder since its founding, I have failed to create the right profitable business model despite my efforts.” # “I fought for a long time but today I gave up as I could not take any more pressure from one of the private equity partners forcing me to buy back shares, a transaction I had partially completed six months ago by borrowing a large sum of money from a friend.” # The CCD board, in a statement, said: “The board also reviewed a copy of the letter purportedly signed by Mr. V. G. Siddhartha dated July 27, 2019, and has shared a copy of the letter with relevant authorities. The board has also sought the assistance of local and state authorities, who are doing their utmost, and relevant officers of the Company are cooperating with the authorities as requested.” (Source:https://indianexpress.com/article/india/ccd-owner-vg-siddhartha-dead-from-going-missing-to-found-dead-what-happened-in-between-5865643/)

2. 'Odisha Rasagola' finally gets GI tag (Relevant for GS Prelims; Economics)

The rasagola, a popular dessert of Odisha, has received the geographical indication tag from the Registrar of Geographical Indication. The registration was conferred to ‘Odisha Rasagola’ under Section 16(I) or of authorized Section 17(3)(c) of Geographical Indication of Goods (Registration and Protection) Act 1999. The GI number 612 has been registered in favour of the Odisha Small Industries Corporation





https://indianexpress.com/article/india/ccd-owner-vg-siddhartha-dead-from-going-missing-to-found-dead-what-happened-in-between-5865643/

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Limited (OSIC Limited), a government of Odisha undertaking and Utkal Mistanna Byabasayee Samiti, a traders’ organisation, in the foodstuff category. About Rasagola

‘Odisha Rasagola’ is a sweet from the state of Odisha made of chhena (cottage cheese) cooked in sugar syrup, which is very soft to feel, is juicy and non- chewy in consistency and can be swallowed without teeth pressure. The application further says Odisha Rasagolas are white in colour with round shape (non- spherical) but off white rasagolas in various shades are plentily prepared by cooking the rasagola at 110 degree Celsius for about 40 minutes in which caramalisation of sugar takes place giving the off white colour. The area of production of Odisha Rasagola has been shown all 30 districts. Controversy

Both Odisha and West Bengal have been contesting the origin of the rasagola. Historical records submitted say the ‘Odisha Rasagola’ is associated with world famous Puri Jagannath Temple. Historical reference

The reference of rasagola is found in the late 15th-century Odia Ramayana written by Balaram Das. Balaram Das’s Ramayana is known as Dandi Ramayana or Jagamohana Ramayana as it was composed and sung at the Jagamohana of the Puri Temple. (Source:https://www.thehindu.com/news/national/its-official-odisha-is-the-orgin-of-rasagola/article28751130.ece)

3. The new debate on defence funding (Relevant for GS Prelims & Mains Paper III;

Economics)

Earlier this month, the Union Cabinet amended the terms of reference (ToR) of the 15th Finance Commission (FC) to widen their scope. Through the change, the government has requested the FC to look into the possibility of a separate mechanism for the funding of defence and internal security. Critics of the decision have questioned the addition to the FC’s ToR on the ground that it would undermine the federal structure of Indian polity. What has Centre sought?

The latest addition to the 15th FC’s ToR calls for the FC to examine the possibility of allocation of adequate, secure and non-lapsable funds for defence and internal security of India. In other words, the Centre has requested the FC to examine whether a separate mechanism for funding of defence and internal security ought to be set up, and how such a mechanism could be operationalised. With capital spending on defence continuing to fall short of requirements, it is difficult to contest the basic premise that spending on defence needs to be bolstered.





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However, sequestering funds for defence from the Centre’s gross tax revenues means a reduction in the overall tax pool that is shared with states. This is likely to be protested by the states, several of whom are arguing for an increase in their share in taxes collected to 50 per cent from the current 42 per cent. Are states being squeezed out of funding?

The added fiscal pressures of the Centre and the requirement of having to share tax revenues with states has left the Centre in a peculiar position. To shore up its revenues, the Centre has, over the years, begun to rely more on cesses and surcharges. In the recent Union Budget, too, it increased the special additional excise duty and road and infrastructure cess on petrol and diesel by one rupee each. But the revenue from cesses and surcharges is not part of the divisible tax pool that is shared with the states. It is kept by the Centre. This implies that states receive a lower share of the Centre’s gross tax revenue collections. For instance, the states’ share in central taxes has been pegged at Rs 8.09 lakh crore in 2019-20. This works out to around 33 per cent of the gross tax revenues. In comparison, post the government accepting the recommendations of the 14th FC, states’ share in central taxes rose to 42 per cent from the 32 per cent earlier. (Source:https://indianexpress.com/article/explained/explained-new-debate-on-defence-funding-15th-finance-commission-5867680/)

4. Significance of US Federal Reserves rate cut and its impact on India (Relevant for GS

Prelims & Mains Paper III; Economics)

Late Wednesday evening India time, the United States Federal Reserve announced a quarter-percentage-point cut in interest rates — the first rate cut in 11 years. What makes this rate-cut action — the first since the global financial crisis broke in 2008 — more significant is that barely six months previously, the US Fed was increasing interest rates. Why the rate cut by the Fed?

The Fed has cited concerns about the global economy and muted US inflation among the key reasons for the decision to cut rates, and signalled a readiness to lower borrowing costs further if needed. At the same time, the central bank has underlined that the US economy grew “at a healthy pace” over the first six months of the year. Financial markets had expected the quarter-percentage-point rate cut, which lowered the US central bank’s benchmark overnight lending rate to a target range of 2%-2.25%. Does the cut indicate a shift in policy?

The cut in policy rates follows months of pressure from US President Donald Trump, who has been pushing the American central bank for a cut in rates to stoke growth. The Federal





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Open Market Committee (FOMC) is a panel within the Fed that is responsible for setting policy rates. What will be the impact on emerging market economies, including India?

Theoretically, a rate cut in the US should be positive for emerging market economies (EMEs), especially from a debt market perspective. Emerging economies such as India tend to have higher inflation and, thereby, higher interest rates than those in developed countries such as the US and Europe. As a result, FIIs would want to borrow money in the US at low interest rates in dollar terms, and then invest that money in bonds of emerging countries such as India in rupee terms to earn a higher rate of interest. When the US Fed cuts its interest rates, the difference between the interest rates of the two countries increases, thus making India more attractive for the currency carry trade. A rate cut by the Fed would also mean a greater impetus to growth in the US, which could be positive news for global growth. But this could also translate into more equity investments in the US, which could temper investor enthusiasm for emerging market economies in a proportionate manner. How did the stock markets react; why?

Indian stocks tanked on Thursday. While domestic factors such as dismal July car sales data and slower GDP growth projections played a role in the selloff, one of the major factors was US fed rate cut. Thursday’s sell-off dragged benchmark indices to fresh five-month lows, with the BSE Sensex slipping below the 37,000 mark. The broader Nifty50, too, breached the 11,000 mark in the intra-day trade. (Source:https://indianexpress.com/article/explained/explained-us-federal-reserves-rate-cut-indian-market-5868212/)

5. Car sales down, what does this mean for the economy? (Relevant for GS Prelims &

Mains Paper III; Economics)

Leading automobile manufacturers announced a sharp decline of up to 50 per cent in their domestic sales in July with the market leader Maruti Suzuki reporting a 36.2 per cent drop in sales during the month. Where is the decline?

The drop in sales is happening across all segments. Even the tractor industry has seen a steady slide. Tractor sales have consistently fallen since March 2019, amidst weak farm sentiment. Why are car sales falling?

Industry insiders feel that while the pressure on NBFCs and the liquidity squeeze in the market is a big factor, the decline in customer confidence is the other factor that is leading to a continuous slide in sales of passenger cars.





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According to these sources, a third of the retail sales of Maruti Suzuki — the country’s largest carmaker — were funded by NBFCs, and a liquidity crisis for the NBFC sector has led to a drop in sales for lack of funding for customers. Customers are also postponing their purchase decisions due to various considerations, including an expected fall in GST rates, and the hope that the transition from BS-IV to BS-VI may lead to big discounts between January and March 2020. Customers are also expecting discounts in the coming festive season. However, company officials say that they do not expect the trend to be reversed in the near future. Why is there a decline in the sales of commercial vehicles and tractors?

The NBFC liquidity stress has been playing a part in the decline in sales of vehicles across segments, as NBFCs are significant lenders in the tier II and smaller towns. Tractor sales have been further hurt by weak farm sentiment, the slowdown in the rural economy, and fears of a worse than average monsoon this year. This comes amid the third advance estimates of crop production indicating a slide in rabi production. Kharif sowing has remained weak so far. Truck sales have been hurt by changes made by the government in the axle load norms. Industry officials said that a significant decline in the sales of commercial vehicles has been visible ever since the increased axle load has become effective. The industry has been calling for a scrappage policy and other policy support measures to revive demand. What does this situation indicate?

The sharp decline in sales numbers of the leading manufacturer shows the decline in consumer sentiment and indicates an overall slowdown in the economy. The drop in sales over the last one year has led major manufacturers to cut production, and has put pressure on the overall automotive sector, including the automobile ancillaries. And how are two-wheelers faring?

The two-wheeler segment — the more affordable form of motorised mobility and an indicator of consumption demand in the hinterland — has also seen a slowdown. What happens in the auto segment from here on?

The outlook for the rest of the year will depend on multiple factors, including the progress of the monsoon and the festive season offtake, as well as improvement in the liquidity situation. Like tractors, the drop in two-wheeler volumes is a key indicator of rural distress. In the two-wheeler segment, motorcycle sales are predominantly dependent on rural India; people in rural areas prefer motorcycles to scooters given their sturdier structure, better performance, and lower operational costs, especially in the economy segments. The continued sluggishness in two-wheeler volumes is worrying, given that India, despite now being the world’s biggest two-wheeler market, still has a very low penetration level of






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two wheelers. Only about 102 out of every 1,000 people have two-wheelers in India — less than half the penetration levels in Indonesia (281) and Thailand (291). (Source:https://indianexpress.com/article/explained/explained-why-july-sales-of-maruti-suzuki-cars-are-dropping-5869282/)

6. US says China manipulates yuan. What does that mean, how is it done? (Relevant for

GS Prelims & Mains Paper III; Economics)

On Monday, the US Treasury Department declared that China is a currency manipulator. The move came after the People’s Bank of China (PBOC), the central bank of China, allowed the yuan to suddenly depreciate (or lose value) relative to the dollar by 1.9 per cent — one of the biggest single-day falls. As a result, the yuan breached the 7-to-a-dollar-mark for the first time since 2008. In retaliation, the US announced that it would approach the International Monetary Fund “to eliminate the unfair competitive advantage created by China’s latest actions”. It signalled that the ongoing trade war between the world’s two biggest economies was now turning into a currency war as well. What is a currency’s exchange rate?

In many ways, the exchange rate of your currency is the fundamental price in the economy. If an Indian car is worth Rs 10 lakh, then that is all the information we need to conduct that transaction; we do not have to wonder “what is the price of a rupee?”. However, if we’re trying to buy a car that was produced in, say the US, we would need more information than just its price (say, $15,000 in the US). This is because buying the imported car involves two transactions: one, using your rupees to buy 15,000 dollars; two, using these dollars to buy the car. In the globalised world economy, where different parts of each good (and service) are produced in different countries, exchange rates become all important. It often determines the affordability of buying or selling internationally. So, if the rupee is at 70 to a dollar, the car may be affordable, but not so at 100 to a dollar.





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There is a flip side to this picture. While a stronger rupee (that is 70/$, instead of 100/$) is better for you as a consumer, it is worse for you if you were an Indian car manufacturer hoping to sell your car in the US. That’s because the rupee’s strength makes your car that much less affordable to US consumers. How are exchange rates determined?

In an ideal world, the exchange rate for any currency would be determined by the interplay of its demand and supply. If more Indians want to buy US goods, there would be a higher demand for the dollar relative to the rupee. This, in turn, would mean the dollar would be “stronger” than the rupee — and gain in strength as the demand increases. If demand falls, the dollar would depreciate relative to the rupee (or the rupee would appreciate relative to the dollar). So, what is currency manipulation?

The real world is far from ideal. Most governments and central banks are bothered about generating more growth and employment at home. A weaker domestic currency comes in very handy when governments are trying to attract foreign demand and boost exports. China’s economic growth has been essentially fuelled by exporting to the world. What is Currency manipulation?

Currency manipulation happens when governments try to artificially tweak the exchange rate to gain an “unfair” advantage in trade. In other words, if China’s central bank buys dollars in the forex market, it can artificially weaken the yuan — and Chinese goods will then become more affordable (and competitive) in the international market. Some amount of such “intervention” by central banks is allowed to reduce wild fluctuations in the exchange rate. But excessive and undisclosed interventions are not considered fair.






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Consider: An American-made mobile phone could be in demand in India because it is a genuinely good phone. However, if a Chinese company can export a phone that is not only a close approximation of the American phone but also considerably “cheaper”, it is quite likely that the more price-sensitive Indian consumer will prefer the Chinese phone. Forget the Indians, if the Chinese phone is cheap enough, it might lure US consumers as well. The key question is: what makes the Chinese phone cheaper? If it is the case that China is more efficient at making the phone, then nobody can complain. But if China is artificially reducing the “price” of its currency — by devaluing the yuan relative to the dollar or the rupee — it will be accused of manipulating its currency. How did the US conclude that China was manipulating the yuan?

In the so-called “FX report” released by the US Treasury Department in May, it found that the yuan’s depreciation against the dollar was far more than its depreciation against a trade-weighted basket of 24 currencies (see chart left). It also found that the yuan depreciated more than what it should have, if the fall were due only to the known interventions by the Chinese central bank. The US accused the People’s Bank of China of using China’s state-owned enterprises to do its dirty work. The US has also found that Chinese authorities intervene more assiduously when the yuan starts appreciating against the dollar, but look the other way when the yuan starts weakening. (Source:https://indianexpress.com/article/explained/us-says-china-manipulates-yuan-what-does-that-mean-how-is-it-done-5884193/)

7. RBI cut the repo rate by 35 basis points (Relevant for GS Prelims & Mains Paper III;

Economics)

In its monetary policy review Wednesday, the Monetary Policy Committee of the RBI decided to cut the repo rate by 35 basis points (bps). Repo rate is the rate at which the RBI lends money to commercial banks. 100 bps make a full percentage point. The RBI’s repo rate has now fallen 110 basis points since February. The RBI also announced some measures to boost economic activity.





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Trend of Repo rate from 2010 to 2019

Why does monetary policy matter?

In any economy, economic activity, which is measured by gross domestic product or GDP, happens by one of four ways. One, private individuals and households spend money on consumption. Two, the government spends on its agenda. Three, private sector businesses “invest” in their productive capacity. And four, the net exports — which is the difference between what all of them spend on imports as against what they earn from exports. At the heart of any spending decision taken by any of these entities lies the question: What is the cost of money? Monetary policy essentially answers that question. In every country, the central bank is mandated to decide the cost of money, which is more commonly known as the “interest rate” in the economy. While various factors make it difficult for a central bank to exactly dictate interest rates, as a thumb rule, RBI’s decision on the repo rate sets the markers for the rest of the economy. In other words, the EMI for your car or home is determined by what the RBI decides. What is the repo rate?

Repo and Reverse repo are short for repurchase agreements between the RBI and the commercial banks in the economy. In essence, the repo rate is the interest rate that the RBI charges a commercial bank when it borrows money from the RBI. As such, if the repo falls,






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all interest rates in the economy should fall. And that is why common people should be interested in the RBI’s monetary policy. But the interest rate for consumer loans has not reduced by 110 bps since February.

Why?

In the real world, the “transmission” of an interest rate cut (or increase) is not a hundred per cent. And that is why, even though when the RBI cut by 35 bps on Wednesday, lay consumers may only receive a much lower reduction in the interest rate on their borrowings. This is due to a lot of factors — but primarily, it has to do with the health of the concerned commercial bank. Over the past few years, almost all banks, especially the ones in the public sector, have seen their profits plummet because many of their past loans have turned out to be non-performing assets (in other words, they are not getting repaid). To cover for these losses, the banks have to use their existing funds, which would have otherwise gone to common consumers for fresh loans. There is another key element that affects the banks’ decision. The reduced repo rate applies only to new borrowings of banks. The banks’ cost of existing funds is higher. Of course, funding costs would eventually come down — but this process would take time. This “lag” in monetary policy is a key variable in determining the efficacy of any rate cut by the RBI. It could take anywhere between 9 and 18 months for the full effect of an RBI decision to reflect in interest rates across the economy.

So, how does RBI decide the interest rate?

Any central bank has a few main concerns. The first is to ensure price stability in the economy. Think of how chaotic life would be if there was no predictability about the prices of everyday items. The interest rate anchors the prices in an economy. The RBI continuously maps prices, inflation (which is the rate of






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increase in prices), and expectations of inflation (of households) to decide if it should increase or decrease interest rates. For instance, the RBI announced some years ago that it would like the inflation rate to be 4%. So, every time the retail inflation rate rises above the 4% mark, the RBI realises that there is too much cash chasing too few goods in the economy. To set the matter right, it raises the cost of money — that is, the interest rate. When it does that, some people find it more advisable to put the cash out of the market and into banks. This way, inflation falls. The reverse process applies when the inflation is below the 4% mark. The other related concern for a central bank is to take care of economic growth. For instance, economic growth is anaemic at present (see charts), and partly as a consequence, the inflation rate has been below 4% for several months now. The RBI is, therefore, cutting interest rates to incentivise people to consume more and businesses to invest more. Will the rate cut bring investments?

Investments depend essentially on the “real” interest rate. The real interest rate is the difference between the repo rate and retail inflation. When making an investment decision, it is this interest rate that matters. As a variable, it allows an investor to compare the attractiveness of different economies. As can be seen in the third chart, real interest rates in India have been rising, and that is one of the biggest reasons why investments are not happening. The RBI’s move on Wednesday would reduce the real interest rate and hopefully attract more investment. (Source:https://www.google.com/search?q=why+monetary+policy+matters&oq=why+monetary+policy+matters&aqs=chrome..69i57.7452j0j9&sourceid=chrome&ie=UTF-8)

8. Saudi Aramco to bring largest FDI: 20% stake in RIL oil (Relevant for GS Prelims &


Largest possible FDI

In what could be the largest foreign direct investment in India, Saudi Aramco has proposed to sign a non-binding Letter of Intent (LOI) to acquire a 20 per cent stake in the oil to chemicals (O2C) division — comprising the refining, petrochemicals and fuels marketing businesses — of Reliance Industries Ltd (RIL). Saudi Aramco’s potential 20 per cent stake which is based on an enterprise value of $75 billion for the O2C division of RIL is worth around $ 15 billion, or Rs 1,06,000 crore. What would the deal include?

The deal with Aramco will include of Reliance’s refining and petrochemicals assets as well as the remainder of stake the firm has in fuel retailing business after selling 49 per cent to BP of Britain.” Will reduce RIL debt





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Aramco’s proposed investment of over Rs 1 lakh crore could turn out to be a big booster shot for the sagging investment scenario in the country. For RIL, the second most valued listed company, it will help in reducing the debt burden. The largest oil producer’s interest is a strong endorsement of the quality of assets and operations as well as of the potential of India. Investment from British Petroleum The company had last week announced that BP is acquiring 49 per cent stake in its fuel retailing business. Reliance will get Rs 7,000 crore from BP for this transaction. About Aramco Company

Saudi Aramco is the world’s largest and lowest cost-per-barrel producer of crude oil, is geographically close to India, and offers a wide range of crude supply options. Saudi Aramco and RIL have a long-standing crude oil supply relationship of over 25 years. To date, it has supplied approximately 2 billion barrels of crude oil for processing at RIL’s refinery at Jamnagar. RIL’s Jamnagar refinery is the largest refinery in the world. After TCS, RIL is the second most valued company in India with a market capitalisation of over Rs 736,000 crore. (Source:https://indianexpress.com/article/business/companies/reliance-industries-saudi-aramco-oil-deal-fdi-5899875/)

9. Companies Act amendments to make CSR work (Relevant for GS Prelims & Mains

Paper III; Economics)

It was first encouraged as a voluntary contribution by business; six years ago it evolved into a co-option of the corporate sector to promote inclusiveness in society and now, corporate social responsibility or CSR has become an imposition on India Inc. Punishment on non-fulfillment of CSR obligations

Key amendments to the relevant sections of the Companies Act in the last session of Parliament have now made non-compliance with CSR norms a jailable offence for key officers of the company, apart from hefty fines up to ₹25 lakh on the company and ₹5 lakh on the officer in default. View of committee

The government rushed through with amendments on the CSR law even as a committee constituted by it was finalising its report on the same subject. As it happened, the committee, headed by the Corporate Affairs Secretary submitted its report on August 13, well after Parliament had passed the amendments. On the specific issue of penalties, the committee has proposed that non-compliance be de-criminalised and made a civil offence. “CSR is a means to partner corporates for social development and such penal provisions are not in harmony with the spirit of CSR,” the committee’s report says and rightly so. CSR should not be treated as another tax on businesses. Criteria for CSR





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Every company with a net worth of ₹500 crore or turnover of ₹1,000 crore or net profit of ₹5 crore should spend 2% of the average profits it made over the previous three years on social development. The experience since this provision was operationalised in 2013 has been mixed. Filings with the Ministry of Corporate Affairs show that in 2017-18, only a little over half of those liable to spend on CSR have filed reports on their activity to the government. The other half either did not comply or simply failed to file. The average CSR spend by private companies was just ₹95 lakh compared to ₹9.40 crore for public sector units. These are early days yet, and compliance will improve as corporates imbibe CSR culture fully. The committee’s suggestion to offer a tax break for expenses on CSR makes sense as it may incentivise companies to spend. It has also recommended that unspent CSR funds be transferred to an escrow account within 30 days of the end of the financial year. It should be recognised that CSR is not the main business of a company and in these challenging times they would rightly be focusing their energies on the business rather than on social spending. The government should be careful to not micromanage and tie down businesses with rules and regulations that impose a heavy compliance burden. Else it might end up with the opposite of what it intends — to rope in corporates as citizens to promote social inclusion. (Source:https://www.thehindu.com/opinion/editorial/making-csr-work/article29112880.ece)

10. The automobile sector is in the news as it is experiencing prolonged negative

growth. What are the reasons? Why are jobs being lost? And how can the government

help? (Relevant for GS Prelims & Mains Paper III; Economics)

In July, the sale of vehicles across categories in the country slumped 18.71% to about 18.25 lakh units, down from about 22.45 lakh units, a year ago in the same month. This has been the steepest fall in nearly 19 years. With the industry failing to arrest the downturn that started almost a year ago, despite deep discounts and new model launches, it has been forced to undertake production cuts. This has also led to the trimming of over 2.15 lakh jobs in the sector. Why did the sales reduce?

In the ensuing months, consumer sentiment remained subdued as the total cost of vehicle ownership went up largely due to an increase in fuel prices, higher interest rates and a hike in vehicle insurance costs. In such an environment, the festive season too failed to boost demand, leading to a huge inventory pile-up with dealers. To add to this, the IL&FS crisis late last year led to a severe liquidity crunch, almost drying up credit for dealers and customers. Nearly half the vehicles sold in rural markets — a segment that has been witnessing a higher growth rate in comparison to urban markets — are financed by non-banking financial companies (NBFCs). Being stuck with higher inventory due to a lacklustre festive season, dealers too needed more working capital.





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As a result of all these factors, all vehicle categories, including commercial vehicles and two wheelers, began experiencing negative growth beginning December setting alarm bells ringing. Are people holding off on purchases?

There is also a possibility that some customers are waiting to buy the latest Bharat Stage (BS)-VI emission standard compliant vehicles or are waiting for more incentives from vehicle makers who will be looking to sell off their BS-IV compliant stocks before the April 1, 2020 deadline. Many industry players have also expressed concern that too much focus on electric vehicles (EVs) by the government may also be encouraging buyers to postpone the purchase of petrol and diesel vehicles. How many jobs have been lost?

The automobile sector is one of the largest employers in the country, employing about 37 million people, directly and indirectly. The prolonged demand slowdown has triggered production as well as job cuts in the sector. According to the latest figures that are available, original equipment manufacturers (OEMs) have removed about 15,000 temporary workers in the past two to three months. A lack of working capital amid tepid demand has led to closure of nearly 300 dealerships across the country. This has led to over two lakh people losing their jobs. What does the auto industry want?

The auto industry has been unable to arrest plunging sales in spite of new launches and offers and has been demanding immediate government intervention. Pointing out that the industry’s turnover is close to half of the manufacturing GDP, accounting for about 11% of the entire GST revenues of the country, the auto sector is hoping that the government will come out with a revival package ahead of the festive season to yield benefits. The industry’s demands include a reduction in GST to 18% from the current rate of 28%, which will help in an immediate price reduction. It could kick-start demand in the short term, particularly ahead of the coming festive season. Besides, it has sought measures to handle the NBFC crisis to infuse liquidity into the system, and clarity on policy for electric vehicles and introduction of vehicle scrappage policy, which will also boost demand for new vehicles. These demands were also placed before the Finance Minister, Nirmala Sitharaman, during a recent meeting. How long will the slowdown last?

That is anyone’s guess. With BS-VI variants to be rolled out April 2020 onward, the prices of vehicles will go up. While the increase for petrol vehicles is likely to be in the range of ₹20,000-₹50,000, in the case of diesel vehicles it could well be between ₹ 1 lakh and ₹1.5 lakh. The transition could also trigger some demand for BS-IV compliant vehicles in the remaining part of the year, given the price difference. (Source:https://www.thehindu.com/business/Industry/why-is-the-auto-industry-facing-trouble/article29121023.ece)





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11. Bonds and their yields: Falling yields sign of recession (Relevant for GS Prelims &


Bond yields have featured in news reports both globally and within India in recent months. In India, government bond yields fell sharply in the wake of the Union Budget, although they have come off the lows in the past few weeks. Internationally, US treasury bond yields plummeted last week, but they too have moderated after it became clear that governments almost everywhere have shown the desire to boost economic growth. What are bonds?

A bond is an instrument to borrow money. A bond could be floated/issued by a country’s government or by a company to raise funds. Since government bonds (referred to as G-secs in India, Treasury in the US, and Gilts in the UK) come with the sovereign’s guarantee, they are considered one of the safest investments. As a result, they also give the lowest returns on investment (or yield). Investments in corporate bonds tend to be riskier because the chances of failure (and, therefore, the chances of the company not repaying the loan) are higher. What are bonds yields?

Simply put, the yield of a bond is the effective rate of return that it earns. But the rate of return is not fixed — it changes with the price of the bond. But to understand that, one must first understand how bonds are structured. Every bond has a face value and a coupon payment. There is also the price of the bond, which may or may not be equal to the face value of the bond. Suppose the face value of a 10-year G-sec is Rs 100, and its coupon payment is Rs 5. Buyers of this bond will give the government Rs 100 (the face value); in return, the government will pay them Rs 5 (the coupon payment) every year for the next 10 years, and will pay back their Rs 100 at the end of the tenure. In this case, the bond’s yield, or effective rate of interest, is 5%. The yield is the investor’s reward for parting with Rs 100 today, but for staying without it for 10 years.






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Different types of yield curves Why and how do yields go up and down?

Imagine a situation in which there is just one bond, and two buyers (or people willing to lend to the government). In such a scenario, the selling price of the bond may go from Rs 100 to Rs 105 or Rs 110 because of competitive bidding by the two buyers. Importantly, even if the bond is sold at Rs 110, the coupon payment of Rs 5 will not change. Thus, as the price of the bond increases from Rs 100 to Rs 110, the yield falls to 4.5%. Similarly, if the interest rate in the broader economy is different from the initial coupon payment promised by a bond, market forces quickly ensure that the yield aligns itself with the economy’s interest rate. In that sense, G-sec yields are in close sync with the prevailing interest rate in an economy. With reference to the above example, if the prevailing interest rate is 4% and the government announces a bond with a yield of 5% (that is, a face value of Rs 100 and a coupon of Rs 5) then a lot of people will rush to buy such a bond to earn a higher interest rate. This increased demand will start pushing up bond prices, even as the yields fall. This will carry on until the time the bond price reaches Rs 125 — at that point, a Rs-5 coupon payment would be equivalent to a yield of 4%, the same as in the rest of the economy. This process of bringing yields in line with the prevailing interest rate in the economy works in the reverse manner when interest rates are higher than the initially promised yields. What is happening to US govt bond yields at present? What does it signify?

The global economy has been slowing down for the better part of the last two years. Some of the biggest economies are either growing at a slower rate (such as the US and China) or actually contracting (such as Germany).






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As a result, last week, US Treasury bond yields fell sharply as there was confirmation of slowdown in Germany and China. Reason: investors, both inside the US and outside, figured that if growth prospects are plummeting, it makes little sense to invest in stocks or even riskier assets. It made more sense rather, to invest in something that was both safe and liquid (that is, something that can be converted in to cash quickly). US Treasury bonds are the safest bet in this regard. So, many investors lined up to buy US Treasury bonds, which led to their prices going up, and their yields falling sharply. The fall in the yields of 10-year government bonds showed that the bond investors expected the demand for money in the future to fall. That is why future interest rates are likely to be lower. A lower demand for money in the future, in turn, will happen only when growth falters further. So government bond yields falling typically suggests that economic participants “expect” growth to slow down in the future. Of course, the bond yields are just “suggesting” this – they do not “cause” the growth to “reduce” in the future. And what is a yield curve, and what does it signify?

A yield curve is a graphical representation of yields for bonds (with an equal credit rating) over different time horizons. Typically, the term is used for government bonds — which come with the same sovereign guarantee. So the yield curve for US treasuries shows how yields change when the tenure (or the time for which one lends to the government) changes. If bond investors expect the US economy to grow normally, then they would expect to be rewarded more (that is, get more yield) when they lend for a longer period. This gives rise to a normal — upward sloping — yield curve (see chart). The steepness of this yield curve is determined by how fast an economy is expected to grow. The faster it is expected to grow the more the yield for longer tenures. When the economy is expected to grow only marginally, the yield curve is “flat”. What then is yield inversion, and what does it mean?

Yield inversion happens when the yield on a longer tenure bond becomes less than the yield for a shorter tenure bond. This, too, happened last week when the 10-year Treasury yield fell below the 2-year Treasury yield. A yield inversion typically portends a recession. An inverted yield curve shows that investors expect the future growth to fall sharply; in other words, the demand for money would be much lower than what it is today and hence the yields are also lower. How good is yield inversion at predicting a recession?

Although US Commerce Secretary Wilbur Ross was quoted as saying Monday that “eventually there’ll be a recession but this inversion is not as reliable, in my view, as people think”, yet US data show historically that barring one episode in the mid-1960s, a yield inversion has always been followed by a recession.






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(Source:https://indianexpress.com/article/explained/explained-all-about-bond-yields-yield-curve-and-yield-inversion-5917333/)

12. What is P Chidambaram's role in INX Media case? (Relevant for GS Prelims & Mains


Source : www.indiatoday.in Charges against P Chidambaram

P Chidambaram is being probed for allegedly helping INX Media get illegal Foreign Investment Promotion Board (FIPB) clearances for funds amounting to Rs 305 crore. This happened when P Chidambaram was finance minister in the UPA-I government. Senior Congress leader P Chidambaram was arrested by the Central Bureau of Investigation (CBI) on Wednesday night in connection with the INX Media case. The case related to the media company dates back to 2008 when the Financial Intelligence Unit (FIU) of the finance ministry found anomalies in money flow from three Mauritius-based firms to INX Media Private Limited. He was arrested just a day after Delhi High Court said that the INX Media case was a classic case of "money laundering". Chidambaram is being probed for allegedly helping INX Media get illegal Foreign Investment Promotion Board (FIPB) clearances for funds amounting to Rs 305 crore. This happened when P Chidambaram was finance minister in the UPA-I government. What is INX Media case?

INX Media, founded by media entrepreneurs Indrani Mukherjea along with husband Peter Mukherjea, was allegedly helped by P Chidambaram in violating foreign investment laws. While INX Media had permission to source foreign investments to the tune of Rs 4.62 crore, it allegedly received funds worth Rs 305 crore. When the FIU found anomalies in the FIPB clearances and amount received by INX Media, the investigation was handed over to the Enforcement Directorate (ED). The ED conducted an investigation and found traces of corruption, following which the matter was referred to CBI. The CBI registered an FIR in the case on May 2017 and ED also lodged a separate case of money laundering. In its FIR, CBI highlighted irregularities in the FIPB clearance granted to INX Media in 2007. In March 2007, INX Media had approached the finance ministry for issuance of 14.98 lakh equity shares and 31.22 lakh convertible non-cumulative redeemable preference shares. The shares were to be transferred to three non-resident companies under the FDI route. The FIPB, however, did not approve the downstream investment of the foreign fund in INX Media's subsidiary, INX News Private Limited.





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The fact that it received Rs 305 crore instead of the approved Rs 4.62 crore was in violation of FIPB rules and regulations. Its downstream investment in the subsidiary was also in violation of FIPB rules. Corruption allegations

When the I-T department had initially raised red flags in connection with the anomaly in 2008, INX Media allegedly sought to escape the mess by offering kickbacks to a firm (Chess Management Services) owned by Karti Chidambaram, son of P Chidambaram. The CBI also said that instead of investigating the violations, the FIPB had then suggested INX Media apply for fresh approval for foreign funds for downstream investment. While the Chidambarams have vociferously denied allegations against them, Indrani Mukherjea in 2018 told CBI that a deal of $1 million was struck between Karti Chidambaram and the Mukherjeas to secure approval from the FIPB in favour of INX Media. In July 2019, she agreed to turn approver in the case. After P Chidambaram was arrested by the CBI on Wednesday, his son Karti has slammed the Centre and accused it of "settling" political scores. (Source:https://www.indiatoday.in/india/story/infographic-what-is-p-chidambaram-role-inx-media-case-1590330-2019-08-22)

13. Govt. bows down to pressure, won’t go ahead with new Corporate Social

Responsibility (CSR) rules (Relevant for GS Prelims & Mains Paper III; Economics)

Source: PrepMate Team

Indian corporate heads can now breathe easy. The govt. won’t put them behind bars for not spending enough on public welfare activities. It is also likely to bring down the CSR rate. In a major relief to the corporate sector, the govt. will not implement the new Corporate Social Responsibility (CSR) provisions in the recently amended Companies Act. This comes after intense lobbying by corporates, as it’s violations would’ve been punishable by jail. Background

The companies’ law was amended in the budget session to provide for imprisonment of up to three years for executives of companies that broke CSR rules. It would have also attracted fines of Rs 50,000 to Rs 25 lakh. While such provisions already existed in the companies’ law, the introduction of specific ones for CSR worried the industry leaders, who demanded a rollback. What changed the govts’ mind?





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The govt. decided to withdraw♂ its decision after considering recommendations by a high-

level committee on CSR. It had suggested that violations should be regarded as civil offences that are only liable to monetary penalties. Other major proposals Currently, all companies with a net worthabove Rs 500 crore, turnover above Rs 1,000 crore or net profit over Rs 5 crore are required to spend 2% of their average profit of the previous three years on CSR activitiesevery year. The panel has also suggested CSR spending should be eligible for tax deductions and companies are allowed to carry forward unspent balances for 3-5 years.

14. Liberalization of norms for foreign portfolio investors (Relevant for GS Prelims &


Foreign investors who have been fleeing the country since the Union budget presented early last month have something to cheer about finally. On Wednesday, the Securities and Exchange Board of India (SEBI), based on the recommendations of the H.R. Khan committee, eased several regulatory restrictions which were applicable on foreign portfolio investors (FPIs). What are the measures taken?

1. SEBI has simplified the registration process for FPIs by doing away with the broad-based eligibility criteria, which required a minimum of at least 20 investors in a foreign fund. 2. FPIs can now also engage in the off-market sale of their shares with fewer restrictions. 3. Further, SEBI has allowed entities registered at an international financial services centre to be automatically classified as FPIs. This might help foreign investors bypass some of the restrictions. 4. Mutual funds with offshore funds too can invest in India as FPIs to avail certain tax benefits now. 5. Central banks that are not members of the Bank of International Settlements are also allowed to register as FPIs and invest in the country under the new norms. 6. Smart cities, along with other urban development agencies, will now be allowed to issue municipal bonds to raise funds for development. These measures to cut red tape will help lower the regulatory burden on investors, globalise India’s financial markets, and aid the growth of the broader economy by increasing access to growth capital.






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Why did SEBI take this measure?

It is said that SEBI’s move on Wednesday was motivated by the recent flow of funds out of India’s capital markets. Capital in excess of ₹20,000 crore has left Indian shores in the last few weeks after Finance Minister Nirmala Sitharaman’s budget decision to increase taxes on FPIs. (Source:https://www.thehindu.com/opinion/editorial/new-norms-on-regulations-for-foreign-investors/article29224669.ece)

15. Union Finance Minister introduced measures to revive economic growth (Relevant

for GS Prelims & Mains Paper III; Economics)

Source: The Indian Express

To revive economic growth, Union Finance Minister Nirmala Sitharaman announced

some measures:

1. Removal of the surcharge on capital gains on shares for both foreign and domestic investors Surcharge on long and short term capital gains arising from transfer of equity shares has been withdrawn. The pre-Budget position is restored. Background

The surcharge of 3 per cent and 7 per cent on those earning between Rs 2 crore and Rs 5 crore, and over Rs 5 crore respectively had been announced as part of the Budget proposals. This had led to different taxation outcomes for FPIs registered as Association of Persons or trusts and companies, even as those registered as companies were spared this surcharge. Ever since the Budget announcement, markets have been seeing a selloff on most trading days, largely in light of the FPI impact. Friday’s announcement reverses the levy imposed in the Budget. However, tax experts said the surcharge would continue to be levied on business income of the FPIs and unlisted shares. 2. Rs 70,000-crore equity infusion into public sector banks to boost lending

Sitharaman announced upfront capital infusion of Rs 70,000 crore into public sector banks, a move aimed at boosting lending and improving liquidity situation. This fund infusion was announced in the Budget, but instead of funds being infused in instalments, these will now be provided immediately to the banks, enabling them to lend up to Rs 5 lakh crore more to the economy. The government is working with the banks to ensure that lending rates are lowered in line with the reduction in policy rates by the Reserve Bank of India. 3. Measures to push automobile sales.

Although the government did not indicate any reduction in GST rates in the automobile sector, it deferred higher registration fee, asked government departments to replace old cars and doubled the depreciation available to 30 per cent on cars.





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The government asserted that ICE (internal combustion engine) vehicles will coexist with EVs (electric vehicles) and there will be no phasing out of ICE vehicles, a fear expressed in certain quarters of the auto industry. 4. In another major announcement, Sitharaman said Corporate Social Responsibility (CSR) violation will be treated as a civil offence, and not a criminal offence. Background

The amendment to the Companies Act, passed earlier this month, introduced harsh penalties including jail term for non-compliance on CSR by listed companies. This had been slammed by industry as a regressive move, especially because in the last five years, the total CSR spend of companies has progressively jumped from 70 per cent to over 90 per cent now. 5. Clear pending GST refunds

In another significant move that will provide immediate liquidity to thousands of companies, the government announced that all pending GST refunds will be paid to Micro, Small and Medium Enterprises within 30 days. In future, all GST refunds shall be paid within 60 days from the date of application. 6. The expenditure department will review delayed payments from government and Central Public Sector Enterprises. This is expected to released nearly Rs 60,000 crore worth of payments into the economy, easing the working capital crunch in many companies. 7. Removal of Angel Tax

To mitigate genuine difficulties of startups and their investors, it has been decided to withdraw angel tax provisions for them. The exemption will be applicable to only those startups that are registered with the Department for Promotion of Industry and Internal Trade. (Source:https://indianexpress.com/article/business/economy/economy-nirmala-sitharaman-market-banking-investment-fdi-narendra-modi-5932286/) 16. Why is the U.S. President critical of the World Trade organisation? Where do India

and China stand in this confrontation? (Relevant for GS Prelims & Mains Paper III;

Economics)


U.S. President Donald Trump earlier this month attacked the World Trade Organization (WTO) for allowing countries such as India and China to engage in unfair trade practices that affect American economic interests. Mr. Trump has questioned the “developing country” status and corresponding benefits enjoyed by India and China at the WTO. He argued that these countries are not developing economies, as they claim to be, but instead grown economies that do not deserve any preferential trade treatment from the WTO over developed countries such as the U.S. What is the “developing country” status?





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The “developing country” status allows a member of the WTO to seek temporary exception from the commitments under various multilateral trade agreements ratified by the organisation. It was introduced during the initial days of the WTO as a mechanism to offer some respite to poor countries while they try to adjust to a new global trade order marked by lower barriers to trade. Countries such as India and China, while seeking exception from various WTO agreements, have argued that their economic backwardness should be considered when it comes to the timeline of implementation of these agreements. The issue of farm subsidies, for instance, is one over which rich and poor countries have had major disagreements. The WTO, however, does not formally classify any of its members as a developing country. Individual countries are allowed to unilaterally classify themselves as developing economies. So, as many as two-thirds of the 164 members of the WTO have classified themselves as developing countries. How do countries such as India and China benefit from the special status?

The WTO was envisaged as an international trade body to help foster more trading in goods and services between nations by lowering various barriers to trade such as tariffs, subsidies and quotas. Towards this end, several trade agreements have been ratified over the years under the WTO. Developing countries such as India and China, however, as earlier mentioned, can seek to delay the implementation of these WTO agreements owing to their disadvantaged economic status. They can continue to impose tariffs and quotas on goods and services in order to limit imports and promote domestic producers who may otherwise be affected adversely by imports that are lower in price or better in quality. India, for instance, subsidises agriculture heavily in the name of food security in order to protect its farmers. While local producers may be protected by protectionist barriers such as tariffs, consumers in India and China will have limited access to foreign goods. Is the U.S. justified in criticising the WTO?

While the “developing country” status was supposed to help poor countries ease gradually into a more globalised world economy, it has had other unintended effects. Since the WTO allows countries to unilaterally classify themselves as “developing”, many countries have been happy to make use of this freedom. Even many developed economies such as Singapore and Hong Kong which have per capita income levels higher than the U.S., have made use of the provision to classify themselves as growing economies. Further, countries such as China justify that while their per capita income level has increased many-fold over the last few decades, these are still far below that of high income levels in countries such as the U.S. Thus, Mr. Trump may have a prima facie case in urging the WTO to address the issue of how countries arbitrarily classify themselves as “developing” to justify raising trade barriers. This is, however, not to say that WTO rules always work to the advantage of developing countries alone. Developed countries such as the U.S. have tried to force poorer countries to impose stringent labour safety and other regulations that are already widely prevalent in the West. These regulations can increase the cost of production in developing countries and make them globally uncompetitive. Developing countries further view the introduction of labour issues






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into trade agreements as beyond the scope of the WTO, which is primarily supposed to be an organisation dealing with trade. Many economists also oppose the fundamental argument of poorer countries that low per capita income levels justify their decision to raise trade barriers. They argue that free trade benefits all countries irrespective of their income levels. In fact, they argue that protectionist trade barriers impede the transition of developing economies to higher income levels. The developing country status may thus simply be a false pretext to justify protectionism. What lies ahead?

Mr. Trump’s criticism of the WTO is seen by many as the opening of a new front in his trade war against China. Earlier, the U.S. President had termed China as a “currency manipulator” for allowing the yuan to depreciate against the dollar. China and the U.S. have also been slapping steep tariffs on imports from each other since early last year. China’s developing country status at the WTO gives Mr. Trump yet another opportunity to attack China. Since developing countries are likely to oppose any efforts to stop them from protecting their domestic economic interests, global trade rules are unlikely to experience any drastic reform any time soon. Further, ahead of the next ministerial-level talks of the WTO scheduled to be held in Kazakhstan next year, the inability of the WTO to rein in global trade tensions has raised questions about its relevance in today’s world. This is particularly so given that global tariff rates over the years have dropped more due to bilateral trade agreements rather than due to multilateral trade agreements brokered at the WTO. Further, the dispute resolution mechanism of the WTO, which can pass judgments on disputes, lacks the powers to enforce them as the enforcement of decisions is left to individual member states. While initially envisaged as a global body to promote free trade, the WTO has now deteriorated into a forum where competing governments fiercely try to protect their narrow interests. (Source:https://www.thehindu.com/business/Economy/is-the-wto-becoming-a-new-battlefront/article29247151.ece)

17. Rupee falling again (Relevant for GS Prelims & Mains Paper III; Economics)

Source: The Hindu

The rupee is back in the news following a sharp depreciation in its value versus the dollar in the last one month after a prolonged period of relative stability. It has weakened by a little over 4% since mid-July and touched the 72 mark to a dollar before retracing its steps. Reasons for slowdown

1. The fall has to be seen in the context of the overall weakness in currencies of emerging markets. 2. The fall in the rupee is influenced to some extent by the overall economic slowdown and the sell-out in the equity markets in the last couple of months leading to capital withdrawal by foreign portfolio investors. The capital outflow particularly has hit the currency’s valuation.





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But the fall is no cause for alarm as yet because there is stability on the external account with the current account deficit at a comfortable 0.7% in the quarter ended March 2019. Of course, export growth is depressed but the forex reserves are at historically high levels of $430 billion. In fact, the fall will make India’s exporters competitive. (Source:https://www.thehindu.com/opinion/editorial/currency-capers/article29254021.ece)

18. RBI to transfer Rs.1.76 lakh crore to government (Relevant for GS Prelims & Mains


Source : The Hindu

The Reserve Bank of India (RBI) at its board meeting decided to transfer a whopping ₹1.76 lakh crore to the Centre — including interim dividend of ₹28,000 crore paid in February. The ₹1.76 lakh crore includes the central bank’s 2018-19 surplus of ₹1.23 lakh crore and ₹52,637 crore of excess provisions identified as per the revised Economic Capital Framework (ECF) adopted at the Board meeting. Based on Jalan panel recommendations

The RBI had formed a committee chaired by former Governor Bimal Jalan to review its economic capital framework and suggest the quantum of excess provision to be transferred to the government. The committee was formed after a demand from the government for more money. The RBI Board has accepted all the recommendations of the Jalan committee.





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Two components of economic capital

The panel recommended a clear distinction between the two components of economic capital - realized equity and revaluation balances. It was recommended that realized equity could be used for meeting all risks/ losses as they were primarily built up from retained earnings, while revaluation balances could be reckoned only as risk buffers against market risks as they represented unrealized valuation gains and hence were not distributable. The ‘Surplus Distribution Policy’, as recommended by the committee, says only if realized equity is above its requirement, the entire net income will be transferable to the Government. (Source:https://www.thehindu.com/business/Economy/rbi-board-approves-176-lakh-cr-transfer-to-government/article29261534.ece)

19. How and why RBI transfers to government (Relevant for GS Prelims & Mains Paper

III; Economics)


Bank’s Central Board has decided on a record transfer of Rs 1.76 lakh crore. On what

basis are such transfers made? Why has it been sometimes contentious, and how was

the amount settled this time?





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On Monday, the RBI Central Board decided to transfer a record surplus — Rs 1.76 lakh crore — to the government. The issue of transfer of surplus or profits has often been contentious. The government often pitches for a higher payout, arguing it needs to spend to deliver on promises and to keep the economic momentum going; while a conservative central bank prefers to keep a good portion of the profits for bad times. Seldom has this battle been as bitter as it was last year when Urjit Patel was the RBI Governor and Subhash Garg was the Secretary, Economic Affairs in the Finance Ministry. At stake was the level of reserves the RBI should hold or maintain and the quantum of profits to be distributed. On Monday, the issue was settled. The RBI transfers its surplus to the government every year. So what is special about

the pay out this time?

Yes, the RBI does transfer its surplus annually to the government, the owner of the institution, after making adequate provisions for contingencies or potential losses. The profit that is distributed has varied, averaging over Rs 50,000 crore over the last few years. On Monday, the RBI Board accepted the recommendations of a committee headed by former Governor Bimal Jalan on transfer of excess capital. Based on the panel’s report, the Central Board decided to transfer a surplus of Rs 1.23 lakh crore and Rs 52,637 crore of excess provisions made over the years. This marks the first time the RBI will be paying out such a huge amount, a one-off transfer. Earlier, the government had budgeted for Rs 90,000 crore from the RBI as dividend for this fiscal year. On what rationale was such a huge payout approved?

The level of surplus or profits the RBI pays to the government has been an issue of conflict two for long. Over the last decade or more, the government had sought higher payouts saying the RBI was maintaining reserves or capital buffers that were much higher than many other global central banks’ buffers. The government has argued that such relatively lower transfers crimped public spending for infrastructure projects and social sector programmes, considering the pressure to meet deficit targets and to provide space for private firms to borrow. With the government amplifying its demand for a higher transfer, the Jalan committee reviewed the capital structure, statutory provisions and other issues relating to the RBI balance sheet. After making a distinction on the RBI’s capital structure especially on unrealised gains (which are essentially gains not booked) and taking into account the role of the central bank in ensuring financial stability, potential risks and global standards, the committee suggested a total transfer of Rs.1.76 lakh crore. How does the RBI generate surplus?

A significant part comes from RBI’s operations in financial markets, when it intervenes for instance to buy or sell foreign exchange; Open Market operations, when it attempts to prevent the rupee from appreciating; as income from government securities it holds; as returns from its foreign currency assets that are investments in the bonds of foreign central banks or top-rated securities; from deposits with other central banks or the Bank for International Settlement or BIS; besides lending to banks for very short tenures and management commission on handling the borrowings of state governments and the central






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government. RBI buys these financial assets against its fixed liabilities such as currency held by the public and deposits issued to commercial banks on which it does not pay interest. The RBI’s expenditure is mainly on printing of currency notes, on staff, besides commission to banks for undertaking transactions on behalf of the government and to primary dealers that include banks for underwriting some of these borrowings. The central bank’s total costs, which includes expenditure on printing and commissions forms, is only about 1/7th of its total net interest income.

Why are these called transfers to the government, rather than dividends?

That is because the RBI is not a commercial organisation like banks and other companies owned or controlled by the government to pay a dividend to the owner out of the profit generated. Though it was promoted as a private shareholders’ bank in 1935 with a paid-up capital of Rs 5 crore, the government nationalised it in January 1949, making the sovereign the “owner”. What the RBI does is transfer the surplus — excess of income over expenditure —to the government. Under Section 47 of the RBI Act, “after making provision for bad and doubtful debts, depreciation in assets, contributions to staff and superannuation funds and for all other matters for which provision is to be made by or under this Act or which are usually provided for by bankers, the balance of the profits shall be paid to the Central government”. This is done in early August by the Central Board.

20. Cabinet eases FDI rules (Relevant for GS Prelims & Mains Paper III; Economics)

Source: The Hindu

The Union Cabinet announced a number of measures to attract increased foreign direct investment into the country. These measures include the following: 1. Currently, the FDI policy says that a single-brand retail company with more than 51% FDI needs to source 30% of its goods from within India. The new decision says that this 30% will be calculated over the first five years of operation. Further, sourcing for exports will also count towards the local sourcing requirement, the government said. In other words, it has been decided that all procurements made from India by the entity for that single brand shall be counted towards local sourcing, irrespective of whether the goods procured are sold in India or exported. The existing policy says that incremental sourcing for global operations by non-resident single brand retail trading, either directly or through group companies, will also be counted towards the local sourcing requirement for the first five years. In other words, it has been decided that ‘sourcing of goods from India for global operations’ can be done directly by the single brand retail entity or its group companies (resident or non-resident), or indirectly by them through a third party under a legally tenable agreement. Another change the Cabinet has approved is that single-brand retail companies can now start selling online before setting up a brick and mortar store as long as they set one up within






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two years of starting online sales. Earlier, they had to set up a brick and mortar store before selling online. 2. The current FDI policy provides for 100% FDI under the automatic route in the manufacturing sector. There was no specific provision for contract manufacturing in the policy. It has now decided to allow 100% FDI under the automatic route in contract manufacturing as well. 3. It has also been decided to permit 26% FDI, with government approval, for uploading and streaming news and current affairs using digital media, on the lines of print media. 4. It has also been decided to permit 100% FDI under automatic route for sale of coal, for coal mining activities including associated processing infrastructure.

21. How the RBI ended 2018-19 with an over Rs.1.23 lakh-crore surplus (Relevant for

GS Prelims & Mains Paper III; Economics)

Source: The Hindu

Ever since the Reserve Bank of India (RBI) announced a jaw-dropping surplus of Rs. 1,23,414 crore for 2018-19 (July-June accounting year), the question that has been uppermost on everyone’s mind is: how did the central bank post such a massive surplus? In the immediate two preceding years, 2017-18 and 2016-17, the surpluses were only Rs. 50,004 crore and 30,663 crore respectively.






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The RBI Annual Report for 2018-19 provides the answers. There are two basic reasons for the impressive surge. Profit on sale of dollars

First, a huge Rs. 28,998 crore gain from foreign exchange transactions thanks mainly to a change in accounting policy. Until last year, when the RBI sold dollars in the market (to support the rupee), the gain or loss was calculated based on the previous Friday’s market value of the dollar. This policy was changed this year to reflect the historical acquisition cost of the dollar. A rough, back-of-the-envelope calculation puts this historical cost at around 53. This means that, if the RBI were to sell the dollar in the market today at around 72, it stands to gain 19 for every unit it sells.






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In the previous year, the RBI posted a loss of Rs. 4,067 crore from similar transactions. Former top RBI officials say that the change in policy is not inappropriate as the earlier method resulted in understatement of gains. The RBI has been buying dollars regularly since the 1991 crisis to build up its reserves at rates much lower than the prevailing one. When it sells those dollars, the actual gains have to be computed in reference to the weighted average acquisition cost and not that of the previous Friday. Leap in interest income

The second reason for the higher surplus is a leap in interest income which was higher by Rs. 32,966 crore compared to 2017-18. The RBI conducted several rounds of open market operations (OMO) last year to infuse liquidity leading to a 57% jump in its holding of government bonds.






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As per estimates by SBI Research, the RBI purchased a whopping Rs. 3,31,100 crore net of government bonds in 2018-19 through OMOs. Interest from bond holdings alone was higher by Rs. 10,375 crore while Liquidity Adjustment Facility (LAF) operations yielded another Rs. 1,046 crore as interest earnings. Last year, the central bank had paid interest of Rs. 9,541 crore to banks as it absorbed excess liquidity from the market. The liquidity infusion operations resulted in a rise in currency in circulation by a good 13.43% to Rs. 21,68,797 crore as of June 30 this year. The RBI’s balance sheet size grew by 13.41% to Rs. 41,02,905 crore in 2018-19.

Environment

1. Deforestation in Amazon rainforest (Relevant for GS Prelims & Mains Paper III;

Environment)

It is a matter of global concern that deforestation in the Amazon rainforest in Brazil is increasing rapidly since January, when Jair Bolsonaro took office as President. Satellite images show that about 4,200 sq km of forests have been destroyed up to July 24 under the new government. Importnace of Amazon forests

The Amazon basin, spread across millions of hectares in multiple countries, hosts massive sinks of sequestered carbon, and the forests are a key factor in regulating monsoon systems. The rainforests harbour rich biodiversity and about 400 known indigenous groups whose presence has prevented commercial interests from overrunning the lands. The Amazon forests are in danger as Mr. Bolsonaro has spoken in favour of “reasonable” exploitation of these lands. Brazil’s President must recognise that rainforests are universal treasures, and the rights of indigenous communities to their lands are inalienable. The international community must use diplomacy to convince Mr. Bolsonaro that no other formulation is acceptable. (Source:https://www.thehindu.com/opinion/editorial/logged-out/article28775712.ece)

2. What the new IPCC report says on land and climate change (Relevant for GS Prelims

& Mains Paper III; Environment)

A new report by the Intergovernmental Panel on Climate Change (IPCC) released presents the most recent evidence on how the different uses of land — forests, agriculture, urbanisation — are affecting and getting affected by climate change. The Geneva-based IPCC is the United Nations body for assessing the science related to climate change. It was created “to provide policymakers with regular scientific assessments





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on climate change, its implications and potential future risks, as well as to put forward adaptation and mitigation options”. The land-climate link

Land use, and changes in land use, have always been an integral part of the conversation on climate change. That is because land acts as both the source as well as a sink of carbon. Activities like agriculture and cattle rearing, for example, are a major source of methane and nitrous oxide, both of which are hundreds of times more dangerous than carbon dioxide as a greenhouse gas. At the same time, soil, trees, plantations, and forests absorb carbon dioxide for the natural process of photosynthesis, thus reducing the overall carbon dioxide content in the atmosphere. This is the reason why largescale land use changes, like deforestation or urbanisation, or even a change in cropping pattern, have a direct impact on the overall emissions of greenhouse gases. The IPCC’s reports

This is the first time that the IPCC, whose job it is to assess already-published scientific literature to update our knowledge of climate change science, has focused its attention solely on the land sector. It is part of a series of special reports that IPCC is doing in the run-up to the sixth edition of its main report, blandly called the Assessment Reports, that is due around 2022. Last year, the IPCC had produced a special report on the feasibility of restricting global rise in temperature to within 1.5 degrees Celsius from pre-industrial times. These reports were sought by governments to get a clearer picture of specific aspects of climate change.






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What this report says

The current report talks about the contribution of land-related activities to global warming — how the different uses of land, like agriculture, industry, forestry, cattle-rearing, and urbanisation, was affecting emissions of greenhouse gases. An important part of the report talks about the manner in which even existential activities like food production contributes to global warming and is also affected by it. The report says that if pre-production activities like cattle rearing and post-production activities like transport, energy and food processing, is taken into account, then food production could contribute as much as 37 per cent of all greenhouse gas emissions every year. It points out that nearly 25 per cent of all food produced is either lost or wasted. And even the decomposition of the waste releases emissions. Land, oceans, forests

Land and ocean together absorb nearly 50 per cent of greenhouse gases emitted every year through natural processes in the carbon cycle. The importance of land, or ocean, as a carbon sink, thus cannot be overstated in the global fight against climate change. That is why afforestation, and reduction in deforestation, are vital approaches in a global strategy to combat climate change. India’s action plan on climate change too, has a very important component on forests. India has promised that it would create an additional carbon sink of about 2.5 billion to 3 billion tonnes by the year 2032 by increasing its forest cover, and planting more trees.






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(Source:https://indianexpress.com/article/explained/explained-new-ipcc-report-tells-you-how-land-use-impacts-climate-change-5888746/)

3. Certification of seeds to be made mandatory to step up farm output (Relevant for GS

Prelims & Mains Paper III; Economics)

More than half of all seeds sold in India are not certified by any proper testing agency, and are often of poor quality. The Centre now hopes to mandate uniform certification by pushing through a replacement to the Seeds Act, 1966, in the winter session of Parliament, and also by barcoding all seeds to ensure their traceability. This could increase overall agricultural productivity by up to 25%, Agriculture Ministry officials say. Need of the new legislation

The main aim of the new legislation is to bring uniformity to the process of quality regulation. The 1966 Act starts with these words: “An Act to provide for regulating the quality of certain seeds for sale...” The new Bill removes the word “certain”, and aims to regulate the quality of all seeds sold in the country, as well as exported and imported seeds. Currently, about 30% of seeds are what the farmer himself saves from his crop. He may re-plant that or sell it locally. He explained that of the remaining seeds which are bought and sold commercially, 45% come through the ICAR system and have gone through the mandated certification process. The other 55% are sold by private companies, most of which are not certified, but rather what we call ‘truthful label seeds. That is, they are simply self-certified by the company. Government wants to remove that category with the new law and mandate certification through a proper lab process for all seeds. Truthful label seeds can be disastrous from the farmers. If a seed fails at the germination, flowering or seed-setting process, the company which sold it must be held liable and made to provide compensation. The new Bill will also raise the stakes by increasing penalties for non-compliance. “Currently, the fine ranges from ₹500 to ₹5,000. We intend to raise that to [a maximum of] ₹5 lakh,” said the second official. The Centre also hopes to roll out a software to barcode seeds in order to ensure transparency and traceability. “The National Informatics Centre has been collaborating with the Agriculture Ministry for this ₹5 crore project and the first prototype will be ready by the end of the month. If we can use this to weed out poor quality seeds sold by some fly-by-night operators, it could increase productivity by 20 to 25%,” said the official. “We are in discussion with state governments to begin rolling out in two to three months. About 5,000 private seed companies have agreed to come on board if we can assure them that data on their seeds is not shared with their competitors.”





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The software system will be able to track seeds through the testing, certification and manufacturing process. By connecting to a dealer licensing system, seeds will be tracked through the distribution process as well. “Once it is all in place in about two years or so, we will even be able to say how much of which seed is sold in which area,” said the senior official. (Source:https://www.thehindu.com/business/agri-business/certification-of-seeds-to-be-made-mandatory-to-step-up-farm-output/article28979417.ece)

4. July 2019 was the hottest ever month on record; what now? (Relevant for GS Prelims

& Mains Paper III; Environment & Biodiversity)

This month, the World Meteorological Organization (WMO) announced that July 2019 matched, and possibly broke, the record for the hottest month since analysis began. Trends: The finding emerged from analysis of new data from the WMO and the Copernicus Climate Change Programme, run by the European Centre for Medium-Range Weather Forecasts. The previous warmest month on record was July 2016, and July 2019 was at least on par with it. Every month in 2019 has ranked among the four warmest for the month in question, and June was the warmest June ever recorded, the Copernicus Programme said in a statement. July 2019 was close to 1.2°C above the pre-industrial level. The Paris Agreement set specific ‘temperature targets’ with a goal to keep the increase in global average temperature to well below 2°C above pre-industrial levels; and to aim to limit the increase to 1.5°C.

Why it’s a concern: Exceptional heat has been observed across the globe in recent weeks, with several European countries recording temperature highs. “The extraordinary heat was accompanied by dramatic ice melt in Greenland, in the Arctic and on European glaciers. Unprecedented wildfires raged in the Arctic for the second consecutive month, devastating once pristine forests which used to absorb carbon dioxide and instead turning them into fiery sources of greenhouse gases. This is not science fiction. It is the reality of climate





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change. It is happening now and it will worsen in the future without urgent climate action,” WMO Secretary-General Petteri Taalas said in a statement. The statement quoted UN Secretary-General António Guterres as saying: “This year alone, we have seen temperature records shattered from New Delhi to Anchorage, from Paris to Santiago, from Adelaide and to the Arctic Circle. If we do not take action on climate change now, these extreme weather events are just the tip of the iceberg. And, indeed, the iceberg is also rapidly melting.” (Source:https://indianexpress.com/article/explained/july-2019-hottest-ever-month-on-record-what-now-5896982/)

5. Relocation of wild buffaloes from Assam to Chhattisgarh (Relevant for GS Prelims &

Mains Paper III; Environment)

In October, five female wild buffaloes will be translocated for more than 1,500 km from Assam to the Udanti Wildlife Sanctuary in Raipur district, to revive the waning population of Chhattisgarh’s State animal. Endangered species

The estimated population of the wild buffaloes (Bubalus arnee) in the Northeast is around 3,000-4,000, the largest in the country and accounting for 92% of the world population. It is listed under Schedule 1 of the Wild Life (Protection) Act, 1972, and classified as endangered in the IUCN Red List of Threatened Species, according to the WTI. (Source:https://www.thehindu.com/news/national/other-states/from-assam-to-chhattisgarh-a-maiden-1500-km-journey-for-wild-buffaloes/article29036279.ece)

6. How a project to link rivers has divided BJP-ruled Maharashtra, Gujarat (Relevant

for GS Prelims & Mains Paper III; Economics)

On July 31, Maharashtra walked out of two river interlinking projects with Gujarat, citing an impasse over the water-sharing arrangement. The central government had earlier identified these projects as priority links. What led to the disagreement between the two BJP-ruled states? The river-linking projects

Among the priority river interlinking projects were the Damanganga-Pinjal (DP) and Par-Tapi-Narmada (PTN) links, involving Maharashtra and Gujarat. The other priority links were Ken-Betwa (UP and MP) and Godavari-Cauvery (Andhra and Tamil Nadu). Maharashtra has now announced that it would develop the DP link on its own, along with four intrastate links. The DP link was planned to augment water supply to Mumbai; the other projects are expected to benefit North Maharashtra and Marathwada. The interstate interlink project was designed to transfer water from surplus west-flowing river basins to water-stressed distributaries of Godavari in Maharashtra, and Tapi and





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Narmada in Gujarat. It was conceived in 1980, but took until May 3, 2010 for an MoU to be executed between the Centre and the states to examine techno-economic viability, and prepare a detailed project plan. A separate MoU was to be signed for the execution of the project. In September 2017, Maharashtra circulated a draft MoU, which the Centre okayed. However, Gujarat is yet to consent to it. The basins of the links

The DP link proposes to tunnel unutilised water from the Bhugad (in Gujarat’s Valsad district) and Khargihill (in Maharashtra’s Palghar district) reservoirs in the Damanganga basin to Mumbai via the Pinjal river in the Vaitarna basin. Estimated to cost Rs 2,800 crore, it involves the construction of two dams — in Valsad’s Kaprada and Palghar’s Jawahar — and three gravity-based tunnel links.

The PTN link, estimated to cost Rs 10,211 crore, envisages transfer of surplus flows from the west-flowing Par, Auranga, Ambika, and Purna rivers between the Par and Tapi basins to water-scarce regions in Saurashtra and Kutch, and the Narmada, Chhota Udepur and Panchmahal districts in South Gujarat. The PTN link involves the construction of six dams: one on the Jheri reservoir across the Par in Nashik, two in Valsad’s Dharampur, and three in Dang’s Ahwa. Subsequently, on Maharashtra’s request, the Centre included four intrastate links — Nar-Par-Girna, Par-Godavari, Damanganga-Godavari, and Damanganga-Vaitarna — to transfer surplus flows from these rivers into the Godavari and Girna basins to benefit drought-prone Maharashtra regions. The Centre agreed to fund 90% of the total project cost of the two interstate links.






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The questions of politics

The issue was the compensation for the water contributed from the Maharashtra catchments for the PTN link. About 15.32 thousand million cubic (TMC) feet water from the Jheri reservoir was proposed to be diverted to Gujarat. But wary of the political opposition to the diversion of the water, the Devendra Fadnavis government demanded that Gujarat should release the same amount of water from the Ukai dam. Gujarat was initially open to the idea, but resistance from the local tribal population led to a controversy. In the Gujarat Assembly election in 2017, the BJP’s tally in water-scarce Saurashtra came down from 35 to 23 seats, which the party’s leadership in the state attributed to discontent over water shortages. In 2018, Gujarat conveyed its unwillingness to meet Maharashtra’s condition. With Opposition leaders accusing him of “selling the state’s interest to Gujarat”, the impasse resulting in time and cost overruns, Fadnavis decided to opt out. (Source:https://indianexpress.com/article/explained/how-a-project-to-link-rivers-has-divided-bjp-ruled-maharashtra-gujarat-5899867/)

7. Supreme Court orders committee to review ecological aspects of Chardham project

(Relevant for GS Prelims & Mains Paper III; Environment)

What does SC ask?

The Supreme Court has ordered the setting up of an independent committee take a view on whether the Centre’s ambitious 900 kilometre, ₹12,000 crore ambitious Char Dham project to improve road network connecting pilgrimage spots in Uttarakhand, needs to be “revised” to minimise its ecological damage.





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What is the chardham project?

The project proposes the widening of single lane roads into double lanes by up to 10 metres, developing highways in Uttarakhand and thereby improving access to the Char Dham (four shrines) — Yamunotri, Gangotri, Badrinath and Kedar Nath. What is the environmental concern on the project?

It has also evoked widespread concern among environmentalists, and has been challenged in the courts. Environmentalist groups, led by the Dehradun-based Citizens for Green Doon, had filed petitions last February in the National Green Tribunal (NGT) contending that the project was proceeding without environmental clearances and debris was being disposed haphazardly. The fragile Himalayan hills slopes were being cut open indiscriminately and the project posed an environmental threat, the petitioners said. NGT approval

However, on September 26, the NGT ruled that an environmental clearance wasn’t required and allowed the project to proceed but with several caveats. A seven-member committee of experts led by a former judge of the Uttarakhand court was to ensure that an environmental management plan would be in place and properly adhered to. Subsequently, the NGT nod for the project was stayed by the Supreme Court on technical grounds. But on August 8, the apex court backed portions of the Tribunal’s order allowing the project to continue with assessment by an independent committee. The order, which was made available late on Friday, modified portions of the earlier NGT order regarding the constitution of the High Powered Committee (HPC). Instead of being headed by a judge, it would be led by Ravi Chopra, Director of the Dehradun People’s Science Institute. It would also have representatives from the Department of Space, the Wildlife Institute of India, Dehradun, and a representative from the Ministry of Defence. Mr. Chopra has been strongly critical of the Char Dham project and has frequently spoken of the impact of large hydropower projects and constructions on the Himalayan ecology. Four-month deadline to Chopra committee

The Chopra committee is expected to make assessments and give recommendations to the Road Transport Ministry within four months, the SC said. The Committee would consider the “cumulative and independent impact” of the Char Dham project on the Himalayan ecology. It also had the prerogative to “give directions” to conduct environment impact assessments by the project proponents or the Ministry of Road Transport and Highways.






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(Source:https://www.thehindu.com/news/national/supreme-court-orders-committee-to-review-ecological-aspects-of-chardham-project/article29121551.ece)

8. India biggest emitter of sulphur dioxide: report using NASA data (Relevant for GS

Prelims & Mains Paper III; Environment)

A new report by Greenpeace India shows the country is the largest emitter of sulphur dioxide in the world, with more than 15% of all the anthropogenic sulphur dioxide hotspots detected by the NASA OMI (Ozone Monitoring Instrument) satellite. Almost all of these emissions in India are because of coal-burning, the report says. The vast majority of coal-based power plants in India lack flue-gas desulphurisation technology to reduce air pollution. The Singrauli, Neyveli, Talcher, Jharsuguda, Korba, Kutch, Chennai, Ramagundam, Chandrapur and Koradi thermal power plants or clusters are the major emission hotspots in India, the report says. In a first step to combat pollution levels, the Ministry of Environment, Forest and Climate Change introduced, for the first time, sulphur dioxide emission limits for coal-fired power plants in December 2015. But the deadline for the installation of flue-gas desulphurisation (FGD) in power plants has been extended from 2017 to 2022. The report also includes NASA data on the largest point sources of sulphur dioxide. The largest sulphur dioxide emission hotspots have been found in Russia, South Africa, Iran, Saudi Arabia, India, Mexico, United Arab Emirates, Turkey and Serbia. Air pollutant emissions from power plants and other industries continue to increase in India, Saudi Arabia and Iran, the report says. In Russia, South Africa, Mexico and Turkey, emissions are currently not increasing — however, there is not a lot of progress in tackling them either. Of the world’s major emitters, China and the United States have been able to reduce emissions rapidly. They have achieved this feat by switching to clean energy sources; China, in particular, has achieved success by dramatically improving emission standards and enforcement for sulphur dioxide control. (Source:https://indianexpress.com/article/explained/india-biggest-emitter-of-sulphur-dioxide-report-using-nasa-data-5918283/)

9. Report on illegal global tiger trade counts 2,359; highest in India (Relevant for GS







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From 2000 to 2018, nearly 2,359 tigers were traded across 32 countries and territories globally. India has the world’s largest tiger population — 2,967 in the Tiger Census released last month — and the highest extent of tiger trade also happens in the country. Who have published the report?

The report has been compiled by Traffic, a NGO working in conservation and currently in partnership with the World Wildlife Fund (WWF) and the International Union for Conservation of Nature. What it found, how

Overall, a conservative estimate of 2,359 tigers were seized from 2000 to 2018 across 32 countries and territories globally. These occurred from a total of 1,142 seizure incidents, the report said. Apart from live tigers and whole carcasses, tiger parts were seized in various forms such as skin, bones or claws. On average, 60 seizures were recorded annually, accounting for almost 124 tigers seized each year. The top three countries with the highest number of seizure incidents were India (463 or 40.5% of total seizures) and China (126 or 11.0%), closely followed by Indonesia (119 or 10.5%). The India findings

While the latest census has put India’s tiger population at 2,967, the Traffic report uses the 2016 WWF estimate of 2,226, with India home to more than 56% of the global wild tiger population. India is the country with the highest number of seizure incidents (463, or 40% of all seizures) as well as tigers seized (625). In terms of various body parts seized, India had the highest share among countries for tiger skins (38%), bones (28%) and claws and teeth (42%).






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(Source:https://indianexpress.com/article/explained/tiger-trade-report-counts-2359-shows-where-5924998/)

10. Man-made fires in Amazon forest have sent smoke to populated cities and the

Atlantic coast. Why does it bring focus on President Bolsonaro’s policies? What impact

can it have on the environment? (Relevant for GS Prelims & Mains Paper III;

Environment)

Over the last several days, the Amazon rainforest has been burning at a rate that has alarmed environmentalists and governments worldwide. Mostly caused by farmers clearing land, the fires have thrown the spotlight on Brazil President Jair Bolsonaro’s policies and anti-environment stance. Where are the Amazon fires happening?

Started in the Amazonian rainforests, the fires have impacted populated areas in the north, such as the states of Rondônia and Acre, blocking sunlight and enveloping the region in smoke. Brazil’s National Institute for Space Research (INPE) has reported that forest fires in the region have doubled since 2013, and increased by 84% compared to the same period last year. This year alone there have been 72,843 fires, it said, and more than 9,500 of those have happened over the past few days. How did the Amazon fires start?

President Bolsonaro’s anti-environment rhetoric has emboldened farmers. The local farmers had set fire to sections of the rainforest a few days ago to get the government’s attention. “We need to show the President that we want to work and the only way is to knock it down. And to form and clear our pastures, it is with fire,” Folha do Progresso quoted one farmer as saying. The Amazon fires are so large that they are visible from space. NASA released images on August 11 showing the spread of fires and reported that its satellites had detected heightened fire activity in July and August. Why are the Amazon fires a cause for concern?

The Amazon rainforest is a repository of rich biodiversity and produces approximately 20 per cent of oxygen in the Earth’s atmosphere. It is also home to indigenous communities whose lives and homelands are under threat due to encroachment by the Brazil government, foreign corporations and governments with economic interests in the resource-rich region, and local farmers. What environmental protections do Brazil’s laws provide, and what has changed in

recent times?

Under Brazil’s Forest Code of 1965, farmers could purchase Amazon land but could farm only 20% of it. Following the collapse of the military dictatorship in 1988, a new constitution gave indigenous populations legal ownership of their land and the right to reject development of





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their land. In 2012, the Forest Code was revised to reduce the area of deforested land required to be restored, and to reduce penalties for illegal deforesting. In 2018, Brazil’s Supreme Court upheld these changes. Bolsonaro, who took office in January 2019, had promised during his election campaign that his government would open up the Amazon region for business. The Amazon has large reserves of gold and other minerals. Along with aggressive policies of promoting agribusiness, Bolsonaro has opposed protections for indigenous tribal land. After the election victory, Bolsonaro was quoted as saying: “Brazil should not sit on its natural reserves because a handful of Indians want to conserve it.” Conservationists believe that for Brazil’s government, short-term economic interests pushed by lobbies take precedence over environmental concerns. How has the international community reacted?

Germany and Norway have suspended funding for programmes that aim to stop deforestation in the Amazon and have accused Brazil of doing little to protect the forests. Indigenous groups and environment activists have led protests and criticised Bolsonaro for his comments and policies. (Source:https://indianexpress.com/article/explained/explained-why-amazon-fires-are-worrying-5928565/)

11. How do governments set climate targets? (Relevant for GS Prelims & Mains Paper

III; Environment)


During Prime Minister Narendra Modi’s visit to Paris last week, a substantial part — nine out of 34 paragraphs — of the joint statement by India and France was dedicated to the related issues of climate change, biodiversity, renewable energy, and ocean resources. It talked about the two countries’ commitment to enhanced climate actions. It mentioned the need for sustainable use of marine resources, acknowledging the link between environment and security, and promised to work towards “ocean governance”. The two sides also promised to develop, by next year, strategies for containing their greenhouse gases in the long-term period, possibly for the next 30 or 50 years. From India’s point of view at least, a longer-term low-carbon pathway would be a new development. Countries & climate targets

Under the 2015 Paris Agreement on climate change, which will come into force next year, every signatory country is supposed to declare and implement a climate action plan, called Nationally Determined Commitments (NDCs). Until now, countries have mostly announced their targets for 2025 or 2030. India’s declared targets, for example, are for 2030. It has said it would bring down its emission intensity, or emission per unit of GDP, by 33 to 35 per cent by 2030 compared to 2005 levels. It has further promised to ensure that at least 40 per cent





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of its electricity in 2030 would be generated from non-fossil sources, and to create an additional carbon sink of 2.5 to 3 billion tonnes through forests. Each of these actions, and many more for which specific targets have not been declared, would contribute in reducing India’s greenhouse gas emissions. All other signatories to the Paris Agreement have declared similar action plans. NDCs have to be updated every five years. The first set of NDCs were declared in 2015 ahead of the climate change conference in Paris. Countries will have to update these next year. The Paris Agreement asks all signatories to ensure that successive NDCs represent a progression from their current targets. Countries have also been asked to evolve a common time-frame for their action plans. Successive NDCs, therefore, would all be five-year or ten-year action plans. Longer-term vision

It has long been argued that countries need to finalise and commit to longer-term climate targets, over 30-year or 50-year time horizons. This will not just help in bringing more predictability into climate actions but also make it easy to monitor whether the world was progressing adequately to avoid the catastrophic impacts of climate change. It is argued that short-term targets can lack the urgency of the task, and can delay ambitious action, so that a couple of decades later, the climb could become so steep that it would be impossible to scale. In this context, there is a growing clamour to put pressure on the big emitters – China, the United States, European Union, India, Russia, Brazil, Australia – to come up with long-term action plans, in particular to aim for net-zero emissions in the year 2050. The noise is strongest in Europe, since it is the biggest combined emitter from the developed country group after the United States, which has announced a withdrawal from the Paris Agreement under the Trump administration. As part of its NDCs, the European Union of 27 countries has set a combined target of 40 per cent reduction in its greenhouse gas emissions by 2030 from the 1990 levels. Last year, however, it also came up with a long-term vision, saying Europe would aim to become climate-neutral, or attain the goal of net-zero emissions, by 2050. Two months ago, the United Kingdom became the first major economy to legislate a law to make itself climate-neutral by 2050. It had been previously aiming to achieve an 80 per cent reduction from the 1990 levels. As climate-induced extreme weather events bring in more and more disasters across the world, the demand for longer-term commitments on climate action has been increasing. Two recent reports by the Intergovernmental Panel on Climate Change (IPCC) – on the feasibility of containing global rise in temperatures to within 1.5°C from pre-industrial times, and another on state of climate-induced land degradation – have also stressed the need for more urgent and ambitious climate action in longer term. Long-term action in India

India, being a developing country, is treated differently from developed country parties like the US, European Union or Australia in the Paris Agreement. It is not obligated to take as ambitious targets as the developed world. But India also happens to be the third biggest emitter of greenhouse gases, after China and the United States, if the European Union is not






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counted as one entity. As such, there have been demands from India, as well as other major developing economies such as Brazil and South Africa, to also come up with longer-term commitments. In fact, there was a move from France to encourage India to make a commitment like this in the joint statement itself, but New Delhi resisted the pressure. India says, being a developing country, it was already doing much more than many developed countries, and committing to anything more than that was likely to hamper its development imperatives. It has also said that it was on course for achieving all its targets under its NDC well in time, and may even over-achieve them. But New Delhi is also conscious of the fact that the developed countries are far from delivering on their climate promises, especially on their obligation to provide money and technology to help developing and poor countries in fighting climate change. (Source:https://indianexpress.com/article/explained/how-govts-set-climate-targets-pm-modi-paris-visit-5936297/) 12. What is CITES, what does it do? (Relevant for GS Prelims & Mains Paper III;

Environment)


Protection to Otter

At the ongoing Eighteenth Conference of the Parties (CoP18) of the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES) in Geneva, over a hundred nations approved a proposal by India, Nepal, and Bangladesh to prohibit commercial international trade in a species of otter native to the subcontinent and some other parts of Asia.

Smooth-coated otter in South India





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Protection to gecko lizard

The Conference also accepted a separate proposal by India, moved together with the EU, the US and the Philippines, for inclusion of a species of gecko lizard found widely in South and Southeast Asia, the US, and Madagascar for protection as a “species not necessarily threatened with extinction, but in which trade must be controlled in order to avoid utilisation incompatible with their survival”.

Tokay gecko Description of Appendix to Cites

Members at the Conference have voted to move the smooth-coated otter from CITES Appendix II to CITES Appendix I “because it is considered to be facing a high risk of extinction and is detrimentally affected by international trade, as well as habitat loss and degradation and persecution associated with conflict with people (and fisheries)”. The other proposal that was passed was to include the Tokay gecko (Gekko gecko) in CITES Appendix II. What are Appendix I, II and III?

Appendix I includes species “threatened with extinction”; according to the CITES website, “trade in specimens of these species is permitted only in exceptional circumstances”. Appendix II provides a lower level of protection. There is also an Appendix III, which “contains species that are protected in at least one country, which has asked other CITES Parties for assistance in controlling the trade”. Apart from the smooth-coated otter, India had proposed Appendix I status for the small-clawed otter, mako shark (Isurus oxyrinchus), the Indian star tortoise (Geochelone elegans) and the Tokay gecko. The International Convention






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The CITES website describes it as an international agreement aimed at ensuring “that international trade in specimens of wild animals and plants does not threaten their survival”. CITES was drafted after a resolution was adopted at a meeting of the members of the International Union for Conservation of Nature (IUCN) in 1963. The text of the Convention was agreed at a meeting of the representatives of 80 countries in Washington, DC, on March 3, 1973; the Convention is, therefore, sometimes referred to as the Washington Convention. CITES entered into force on July 1, 1975, and now has 183 parties. States and regional economic integration organisations adhere voluntarily to CITES. The Convention is legally binding on the Parties in the sense that they are committed to implementing it; however, it does not take the place of national laws. In effect, CITES provides a framework for Parties to make domestic legislation to ensure that the Convention is implemented effectively in their national jurisdictions. (Source:https://indianexpress.com/article/explained/international-protection-for-cute-otters-what-is-cites-what-does-it-do-5939325/)

13. Centre releases Rs. 47,436 crore to 27 States for afforestation (Relevant for GS


Source: The Hindu

The Union Environment Ministry on Thursday transferred Rs. 47,436 crore to 27 States for afforestation. These are long-pending dues part of the Compensatory Afforestation Fund (CAF), a Rs. 54,000 crore tranche that has been collected for nearly a decade as environmental compensation from industry, which has razed forest land for its business plans. Basis of collecting compensatory fund

The amount to be paid by industry depends on the economic value of the goods and services that the razed forest would have provided. These include timber, bamboo, firewood, carbon sequestration, soil conservation, water recharge, and seed dispersal. Industrialists pay this money and this is eventually transferred to the States concerned to carry out afforestation. Only a fraction of this corpus had actually been disbursed to States, due to the lack of a legal framework and instances of States using it for non-forestry purposes. Independent authority

The CAF Act 2016, which came into being more than a decade since it was devised, established an independent authority — the Compensatory Afforestation Fund Management and Planning Authority — to execute the fund. However, it was not until last August that the rules governing the management of the fund were finalised.





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Environment Minister Prakash Javadekar, while presenting cheques to senior officials in State forest administration, said the Centre would use geographic tagging technology to keep a tab on whether States were using their allotted funds appropriately. How can the funds be used?

The Fund will be used as per provisions of the CAF Act and Rules. These include catchment area treatment, wildlife management, forest fire prevention, soil and moisture conservation work in the forest. They cannot be used for payment of salary, travelling allowances, making buildings and buying office equipment for forest officers. Recipient States

Odisha, the top recipient of funds, got nearly Rs. 6,000 crore followed by Chhattisgarh and Madhya Pradesh with Rs. 5,791 crore and Rs. 5,196 crore respectively. Kerala got the least with Rs. 81.59 crore.

Science and Technology

1. What is the country’s Deep Ocean Mission all about? What are the metals that can

be extracted? (Relevant for GS Prelims & Mains Paper III; Science & Technology)

India’s ambitious ‘Deep Ocean Mission’ is all set to be launched this year. Dr. Madhavan Rajeevan, Secretary, Union Ministry of Earth Sciences, announced on July 27 that the 8,000-crore plan to explore deep ocean minerals will start from October. What will be mined from the deep ocean?

One of the main aims of the mission is to explore and extract polymetallic nodules. These are small potato-like rounded accretions composed of minerals such as manganese, nickel, cobalt, copper and iron hydroxide. They lie scattered on the Indian Ocean floor at depths of about 6,000 m and the size can vary from a few millimetres to centimetres. These metals can be extracted and used in electronic devices, smartphones, batteries and even for solar panels. Where will the team mine?

The International Seabed Authority (ISA), an autonomous international organisation established under the 1982 United Nations Convention on the Law of the Sea, allots the ‘area’ for deep-sea mining. India was the first country to receive the status of a ‘Pioneer Investor ‘ in 1987 and was given an area of about 1.5 lakh sq km in the Central Indian Ocean Basin (CIOB) for nodule exploration. In 2002, India signed a contract with the ISA and after complete resource analysis of the seabed 50% was surrendered and the country retained an area of 75,000 sq km. According to a release from the Ministry of Earth Sciences, the estimated polymetallic nodule resource potential in this area is 380 million tonnes (MT), containing 4.7 MT of nickel, 4.29 MT of copper, 0.55 MT of cobalt and 92.59 MT of manganese. Further studies have helped narrow the mining area to 18,000 sq km which will be the ‘First Generation Mine-site’.






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Which are the other countries that are in the race to mine the deep sea?

Apart from the CIOB, polymetallic nodules have been identified from the central Pacific Ocean. It is known as the Clarion-Clipperton Zone. According to the ISA’s website, it has entered into 15-year contracts for exploration for polymetallic nodules, polymetallic sulphides and cobalt-rich ferromanganese crusts in the deep seabed with 29 contractors. Later it was extended for five more years till 2022. China, France, Germany, Japan, South Korea, Russia and also some small islands such as the Cook Islands, Kiribati have joined the race for deep sea mining. Most of the countries have tested their technologies in shallow waters and are yet to start deep-sea extraction. What will be the environmental impact?

According to the International Union for Conservation of Nature (IUCN), these deep remote locations can be home to unique species that have adapted themselves to conditions such as poor oxygen and sunlight, high pressure and extremely low temperatures. Such mining expeditions can make them go extinct even before they are known to science. Environmentalists are also worried about the sediment plumes that will be generated as the suspended particles can rise to the surface harming the filter feeders in the upper ocean layers. Additional concerns have been raised about the noise and light pollution from the mining vehicles and oil spills from the operating vessels.






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Is deep sea mining economically viable?

The latest estimate from the ISA says it will be commercially viable only if about three million tonnes are mined per year. More studies are being carried out to understand how the technology can be scaled up and used efficiently. (Source:https://www.thehindu.com/sci-tech/science/why-is-india-pulled-to-deep-sea-mining/article28809029.ece)

2. State-run oil marketing companies to buy biodiesel made from used cooking oil

(Relevant for GS Prelims & Mains Paper III; Science & Technology)

Biodiesel from used cooking oil

In a bid to encourage the biofuel sector, Petroleum and Natural Gas Minister Dharmendra Pradhan announced that the state-run oil marketing companies would procure the entire supply of biodiesel produced from used cooking oil for a three-year period. Details of the scheme

The move, announced on World Biofuel Day, means that biodiesel plants using used cooking oil as their raw material will be assured that their entire production will be procured by the oil marketing companies to be blended with normal diesel. The scheme is being launched in 100 cities across the country. Under the scheme, the OMCs — Indian Oil, Bharat Petroleum and Hindustan Petroleum — will pay biodiesel producers ₹51 per litre in the first year, ₹52.7 per litre in the second, and ₹54.5 per litre in the third year. The oil companies will also bear the cost of transportation and GST for the first year. Facilitate collection of used cooking oil

The Minister’s announcement comes just a day after the Food Safety and Standards Authority of India’s (FSSAI) has directed Food Safety Commissioners to ensure that Food Business Operators (FBOs), whose consumption of edible oils for frying is more than 50 litres per day, stop reusing the oil more than three times. Mr. Pradhan also launched a ‘Repurpose Used Cooking Oil (RUCO)’ sticker and a phone app to enable the collection of used cooking oil. Restaurants and hotels interested in supplying used cooking oil can affix the sticker to show availability. Steps to promote alternate sources of energy

1. The government is promoting the alternate sources of energy by adopting four-pronged strategy such as promoting ethanol, second-generation ethanol, compressed biogas and biodiesel. 2. “Ethanol blending in petrol has gone up from 1.5% to about 8% and is likely to touch 10% soon,” Mr Pradhan said. “The government is planning to allow production of ethanol from surplus foodgrains which now sometimes go waste and also entail expenditure on storage.”





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3. “Biodiesel is low hanging fruit in the scheme of alternate source of energies, and abundant raw material is available for the purpose,” the Minister added. “It is a good waste-to-wealth concept.” 4. The National Policy on Biofuels 2018, released by the Ministry of New and Renewable Energy has set a blending target of 20% for ethanol in petrol and of 5% for biodiesel blending in diesel by 2030. Reuse of cooking oil restricted

Food Safety and Standards Authority of India’s (FSSAI) has directed Food Safety Commissioners to ensure that Food Business Operators (FBOs), whose consumption of edible oils for frying is more than 50 litres per day, stop reusing the oil more than three times. The order says all FBOs should compulsorily dispose off their used cooking oil to authorised collection agencies or aggregators and lists eight biodiesel manufacturers enrolled with agency so far. When used multiple times, cooking oil becomes acidic and darkens in colour. This may alter the fatty acid composition of the oil. FSSAI will also ask cooking oil manufacturers to come out with colour charts (either on the product or in a booklet along with the product) that will help people to identify if the oil is fresh or re-used. State wise initiative

Although Karnataka is the first State to have a Bio Energy Development Board and used cooking oil is being collected from big chain of restaurants by biodiesel manufacturing units, the main issue is regarding the registration of such units and empanellment of re-purposed used cooking oil (RUCO) collecting aggregators. Without empanellment, many aggregators are finding it difficult to collect used cooking oil from hotel chains. These challenges were discussed at a meeting of top officials from FSSAI in Bengaluru on March 1. Similar concerns were raised by other States. Following this, FSSAI issued an Order on May 6 requiring bio diesel manufacturers to enrol with FSSAI for collection of used cooking oil from FBOs. (Source:https://www.thehindu.com/sci-tech/energy-and-environment/state-run-oil-marketing-companies-to-buy-biodiesel-made-from-used-cooking-oil/article28979554.ece) 3. Dealing with doping: On BCCI consent to come under WADA (Relevant for GS Prelims

& Mains Paper III; Science & Technology)

Administration of Anti-Doping rules in India

The World Anti-Doping Agency (WADA), since its inception in 1999, has imposed stringent measures so that sport stays drug-free. In India, WADA’s rules have been enforced by the Government-run National Anti-Doping Agency (NADA) and almost all sports federations had fallen in line except one — the Board of Control for Cricket in India (BCCI). BCCI under NADA





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However, now BCCI has agreed to come under NADA’s supervision. Indian cricket’s governing body finally agreed to subject its players to NADA’s testing routines. Earlier, the BCCI had resisted NADA’s intervention.

What was the objection raised by BCCI?

The main objection pertained to the ‘where-abouts’ clause, which made it mandatory for a player to reveal where he would be on a daily basis. The need for privacy was offered as an excuse. Conflict of interest

Earlier, the BCCI had its in-house dope-tests but it only lent credence to the allegations about conflict of interest. The issue came to a boil when Prithvi Shaw was given a back-dated eight-month suspension after he tested positive for a banned drug, Terbutaline. The 19-year-old batsman, who was checked in February, claimed that the substance was present in an over-the-counter cough syrup. Shaw’s excuse and the BCCI’s quick acceptance of his self-medication, bred scepticism. It is either naivety or a classic cover-up from an Indian cricketer, who had been advised about the chemicals that have to be avoided even for therapeutic purposes. Implications of this episode

This episode hastened the BCCI’s move into the NADA’s ambit and also cleared the decks for the Indian women’s cricket team to compete in the 2022 Commonwealth Games at Birmingham. With the BCCI belatedly allowing NADA to monitor its domestic cricketers, by extension the International Cricket Council too has finally come under the WADA’s unerring gaze. In these hyper-kinetic times, it is a fallacy to stress that cricket is just a reflection of skill and that drug-enhanced muscular efficiency cannot influence match results. Sport has to be a level playing-field and it is finally one with the willow-game subjecting itself to universal drug-testing rules. (Source:https://www.thehindu.com/opinion/editorial/dealing-with-doping/article28984776.ece)

4. What is a notifiable disease? (Relevant for GS Prelims & Mains Paper III; Science &

Technology)

A month after Union Health Minister Dr Harsh Vardhan asked the Delhi government to make malaria and dengue notifiable diseases, the South Delhi Municipal Corporation (SDMC) has initiated the work to notify malaria in the capital. What is a notifiable disease?

A notifiable disease is any disease that is required by law to be reported to government authorities. The collation of information allows the authorities to monitor the disease, and provides early warning of possible outbreaks. The World Health Organization’s International Health Regulations, 1969 require disease reporting to the WHO in order to help with its global surveillance and advisory role.





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Making a disease legally notifiable by doctors and health professionals allows for intervention to control the spread of highly infectious diseases. Registered medical practitioners need to notify such diseases in a proper form within three days, or notify verbally via phone within 24 hours depending on the urgency of the situation. This means every government hospital, private hospital, laboratories, and clinics will have to report cases of the disease to the government. The process helps the government keep track and formulate a plan for elimination and control. In less infectious conditions, it improves information about the burden and distribution of disease. Which disease fall in this category?

The Centre has notified several diseases such as cholera, diphtheria, encephalitis, leprosy, meningitis, pertussis (whooping cough), plague, tuberculosis, AIDS, hepatitis, measles, yellow fever, malaria dengue, etc. The onus of notifying any disease and the implementation lies with the state government. Any failure to report a notifiable disease is a criminal offence and the state government can take necessary actions against defaulters. (Source:https://indianexpress.com/article/explained/notifiable-disease-malaria-who-notifies-a-disease-and-how-does-it-help-5906376/)

5. India gets its first national essential diagnostics list (Relevant for GS Prelims;

Science & Technology)

India has got its first National Essential Diagnostics List (NEDL) finalised by the Indian Council of Medical Research (ICMR) which aims to bridge the current regulatory system’s gap that do not cover all the medical devices and in-vitro diagnostic device (IVD). The current system is equipped to manage only the few notified devices. With this, India has become the first country to compile such a list that would provide guidance to the government for deciding the kind of diagnostic tests that different healthcare facilities in villages and remote areas require. The list is meant for facilities from village till the district level, noted ICMR. WHO list

WHO released first edition of essential diagnostics list (EDL) in May 2018. Even though WHO’s EDL acts as a reference point for development of national EDL, India’s diagnostics list has been customised and prepared as per landscape of India’s health care priorities. Benefits of National Essential Diagnostics List

He said implementation of NEDL would enable improved health care services delivery through evidence-based care, improved patient outcomes and reduction in out-of-pocket expenditure; effective utilisation of public health facilities; effective assessment of disease





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burden, disease trends, surveillance, and outbreak identification; and address antimicrobial resistance crisis too. While affordability of diagnostics is a prime concern in low, middle-income countries like India, low cost, inaccurate diagnostics have made their way into the Indian market which has no place in the quality health care system. In India, diagnostics (medical devices and in vitro diagnostics) follow a regulatory framework based on the drug regulations under the Drugs and Cosmetics Act, 1940 and Drugs and Cosmetics Rules 1945. Diagnostics are regulated under the regulatory provisions of the Medical Device Rules, 2017. (Source:https://www.thehindu.com/news/national/india-gets-its-first-national-essential-diagnostics-list/article29112959.ece)

6. ISRO’s Chandrayaan-2 reaches key stage, what next? (Relevant for GS Prelims &

Mains Paper III; Science & Technology)

On Wednesday, the Chandrayaan-2 spacecraft left Earth’s orbit and moved towards the Moon, which it will orbit over a series of manoeuvres before the ultimate soft landing, scheduled on September 7. SO FAR, since its launch on July 22, Chandrayaan-2 had been orbiting the Earth, moving into higher and orbits. This is achieved by a series of “Earth-bound orbit-raising manoeuvres”. There were five such manoeuvres before the mission left Earth orbit on Wednesday. These raised the orbits around Earth successively to 230 × 45,163 km (July 24), 251 × 54,829 km (July 26), 276 × 71,792 km (July 29), 277 × 89,472 km (August 2) and 276 × 1,42,975 km (August 6). The two figures with each orbit refer to the distance at the nearest and farthest points. ON WEDNESDAY, the final orbit-raising manoeuvre was carried out. Chandrayaan 2 has now entered the Lunar Transfer Trajectory, and is now heading for its next orbit, which will be around the Moon. ON AUGUST 20, Chandrayaan-2 will approach Moon and the spacecraft’s liquid engine will be fired again to insert the spacecraft into a lunar orbit. Following this, there will be further four orbit manoeuvres to take the spacecraft into its final orbit, passing over the lunar poles at a distance of about 100 km from the Moon’s surface (see table).





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After that, the soft landing. The Vikram lander will separate from the orbiter on September 2. Two orbit manoeuvres will be performed on the lander before the initiation of powered descent on September 7.






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Chandrayaan 2 will land on the Moon’s south polar region, unexplored by science so far. ISRO said in a statement that the south pole is especially interesting because of the lunar surface area here that remains in shadow is much larger than that at the north pole. There is a possibility of the presence of water in permanently shadowed areas around it. (Source:https://indianexpress.com/article/explained/isros-chandrayaan-2-reaches-key-stage-what-next-5908750/)

7. Chandrayaan-2 has just entered a lunar orbit. What makes it a milestone big enough

for the ISRO head to announce it to the country? What are the next milestones coming

up before the September 7 landing? (Relevant for GS Prelims & Mains Paper III;

Science & Technology)


On Tuesday, India’s Chandrayaan-2 mission crossed a major milestone on its journey towards the Moon, having entered a lunar orbit, almost exactly 30 days after being launched on July 22. The mission has several more milestones to cross before the Lander and Rover components of the spacecraft, called Vikram and Pragyaan respectively, make a soft landing on the Moon’s surface in the early hours of September 7. But Tuesday’s milestone was big enough for India Space Research Organisation (ISRO) Chairman K Sivan to call a press conference and inform the nation about the event. So, what exactly did Chandrayaan-2 achieve on Tuesday?

After being launched, Chandrayaan-2 had been put in an elliptical orbit around the Earth. Until August 14, it had been going around the Earth, incrementally raising its orbit by firing boosters on five occasions. Eventually, it reached an orbit that was 276 km from the Earth’s surface at its closest and 142,975 km at the farthest. It spent nearly a week in that orbit,





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before firing a booster once again to break free from the Earth orbit and begin its journey towards the Moon. This transit from orbit to orbit happened on August 14. After five days of this journey, Chandrayaan-2 came sufficiently close to the Moon to experience its gravity. And on Tuesday, it entered into an orbit around the Moon. What exactly is meant by ‘insertion into lunar orbit’?

Just like it was going around the Earth at the start of its journey, Chandrayaan-2 is now orbiting the Moon. On Tuesday, it was placed into an elliptical orbit that was 114 km from the Moon’s surface at its nearest, and 18,072 km at the farthest. The spacecraft will carry out a few more manoeuvres to eventually place itself in a circular orbit of 100 km × 100 km around the Moon. The Lander and Rover modules will detach themselves from here and descend into lower orbits before finally making a landing on September 7. The main spacecraft, however, will continue to orbit the Moon in the 100 km circular orbit for at least one year, making observations through the several instruments it has on board. But why are these manoeuvres needed in the first place?

Indeed. it is possible to fly straight to the Moon, without getting into the Earth orbits. The lunar orbit, however, cannot be avoided. The spacecraft cannot land directly on the Moon. In fact, none of the Apollo missions that landed astronauts on the Moon took the route that Chandrayaan-2, or all other recent missions to Moon, have taken. The Apollo missions flew directly to the Moon. But this is not considered wise or economical.






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That is because the rockets need to be extraordinarily powerful to carry the spacecraft all the way to Moon. An enormous amount of fuel too is required. Taking a longer route, however, makes it much easier for the spacecraft to travel. The rocket has to take the spacecraft only about 200 km from the Earth’s surface and deposit it in Low-Earth Orbit. Thereafter, the spacecraft moves around the Earth under the influence of gravity. This stable position is also a good time for ground controllers to check on the health of the equipment on board. While circling the Earth, a substantially lower amount of energy is required to propel the spacecraft into higher orbits due to reduction in atmospheric drag. This is easily possible with a small amount of fuel onboard. With each higher orbit, however, the gain in energy is enormous, enabling the spacecraft to achieve great velocities, and the power to move much deeper into space. To put things in perspective, the Apollo missions were carried on giant Saturn V rockets, which even today remain the most powerful rockets ever built. They were 111 metres tall, higher than a modern 30-storey building, and weighed 2,800 tonnes, a significant part being contributed by the fuel it carried. According to information on NASA website, the fuel it burnt to land astronauts on the Moon — several million litres of liquid oxygen and liquid hydrogen in different stages — could take a normal car 800 times around the Earth. It is said to have consumed 20 tonnes of fuel every second. In comparison, ISRO’s GSLV Mk-III rocket used to launch Chandrayaan-2 is extremely modest. At 43.43 metres, it has less than half the height of Saturn V, and weighs 640 tonnes, less than one-fourth of Saturn V. It can carry less than 350 tonnes of fuel, roughly about one-fifth of what Saturn V needed for its Apollo missions. Chandrayaan-2 is said to have slowed down before entering lunar orbit. Why did it

need to slow down?

ISRO Chairman Sivan said Chandrayaan-2, after coming under the influence of lunar gravity on Monday, had begun to accelerate. At one point, it had reached a velocity of 2.4 km per second (8,640 km per hour). This is just about equal to the escape velocity of the Moon. If Chandrayaan-2 had been allowed to speed up unrestrained, it would have escaped the Moon’s gravity and moved away. To keep it in the lunar orbit, therefore, its velocity was brought down to 2.1 km per second (7,560 km per hour). Spacecraft increase or decrease their velocities by firing on-board thrusters. To speed up, the thrusters are fired in a direction opposite to the motion of the spacecraft. It has an effect similar to the recoil that a gun experiences after firing. Velocity can be reduced if the thrusters are fired in the direction of motion. (Source:https://indianexpress.com/article/explained/isro-chandrayaan-2-enters-the-lunar-orbit-milestone-now-moon-in-sight-5921745/)





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8. Power Minister Shri RK Singh approves proposal to declare ocean energy as

Renewable Energy (Relevant for GS Prelims & Mains Paper III; Science & Technology)

In a decision that would give boost to the ocean energy in India, Union Minister of State for Power and New & Renewable Energy (IC) and Skill Development & Entrepreneurship, Shri RK Singh approved a proposal to declare ocean energy as Renewable Energy today. Accordingly, the Ministry of New and Renewable Energy has clarified to all the stakeholders that energy produced using various forms of ocean energy such as tidal, wave, ocean thermal energy conversion etc. shall be considered as Renewable Energy and shall be eligible for meeting the non-solar Renewable Purchase Obligations (RPO). Background: Ocean Energy

1. Introduction to Ocean Energy

Oceans cover 70 percent of the earth’s surface and represent an enormous amount of energy in the form of wave, tidal, marine current and thermal gradient. A variety of different technologies are currently under development throughout the world to harness this energy in all its forms. Deployment is currently limited but the sector has the potential to grow, fuelling economic growth, reduction of carbon footprint and creating jobs not only along the coasts but also inland along its supply chains. As Government of India steps up its effort to reach the objectives to contemplate its Renewable Energy and climate change objectives post 2022, it is opportune to explore all possible avenues to stimulate innovation, create economic growth and new jobs as well as to reduce our carbon footprint. India has a long coastline with the estuaries and gulfs. MNRE looks over the horizon at development of new technology and considers the various options available to support its deployment. Most types of technologies are currently at pre-R&D / demonstration stage or the initial stage of commercialization. Basic R&D is being looked after by the Ministry of Earth Sciences (example: National Institute of Ocean Technology, Chennai). MNRE intends to support demonstration projects of proven technologies and as approved by expert committee constituted by MNRE. 2. Potential • Total identified potential of Tidal Energy is about 12455 MW, with potential locations identified at Khambat & Kutch regions, and large backwaters, where barrage technology could be used. • The total theoretical potential of wave energy in India along the country’s coast is estimated to be about 40,000 MW – these are preliminary estimates. This energy is however less intensive than what is available in more northern and southern latitudes. • OTEC has a theoretical potential of 180,000 MW in India subject to suitable technological evolution.






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3. Technology Although currently under-utilised, Ocean energy is mostly exploited by

just a few technologies: Wave, Tidal, Current Energy and Ocean Thermal Energy.

a) Tidal Energy

The tidal cycle occurs every 12 hours due to the gravitational force of the moon. The difference in water height from low tide and high tide is potential energy. Similar to traditional hydropower generated from dams, tidal water can be captured in a barrage across an estuary during high tide and forced through a hydro-turbine during low tide. The capital cost for tidal energy power plants is very high due to high civil construction and high power purchase tariff. To capture sufficient power from the tidal energy potential, the height of high tide must be at least five meters (16 feet) greater than low tide. The Gulf of Cambay and the Gulf of Kutch in Gujarat on the west coast have the locations in the country where potential exists. b) Wave Energy

Wave energy is generated by the movement of a device either floating on the surface of the ocean or moored to the ocean floor. Many different techniques for converting wave energy to electric power have been studied. Wave conversion devices that float on the surface have joints hinged together that bend with the waves. This kinetic energy pumps fluid through turbines and creates electric power. Stationary wave energy conversion devices use pressure fluctuations produced in long tubes from the waves swelling up and down. This bobbing motion drives a turbine when critical pressure is reached. Other stationary platforms capture water from waves on their platforms. This water is allowed to runoff through narrow pipes that flow through a typical hydraulic turbine. c) Current Energy

Marine current is ocean water moving in one direction. This ocean current is known as the Gulf Stream. Tides also create currents that flow in two directions. Kinetic energy can be captured from the Gulf Stream and other tidal currents with submerged turbines that are very similar in appearance to miniature wind turbines. Similar to wind turbines, the movement of the marine current moves the rotor blades to generate electric power. d) Ocean Thermal Energy Conversion (OTEC)

Ocean thermal energy conversion, or OTEC, uses ocean temperature differences from the surface to depths lower than 1,000 meters, to extract energy. A temperature difference of only 20°C can yield usable energy. Research focuses on two types of OTEC technologies to extract thermal energy and convert it to electric power: closed cycle and open cycle. In the closed cycle method, a working fluid, such as ammonia, is pumped through a heat exchanger and vaporized. This vaporized steam runs a turbine. The cold water found at the depths of the ocean condenses the vapor back to a fluid where it returns to the heat exchanger. In the open cycle system, the warm surface water is pressurized in a vacuum chamber and converted to steam to run the turbine. The steam is then condensed using cold ocean water from lower depths. 4. Technology Objectives






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The objective of the technology programme is to accelerate and enhance support for the resource assessment and deployment of ocean energy in the country and to harness it for power generation and to overcome the barriers. The technology programme is open to public and private sectors to carry out projects in India. Industry lead R&D proposals are invited from stakeholders, for solving problems in Indian conditions. Basic R&D is being looked after by the Ministry of Earth Sciences (example: National Institute of Ocean Technology, Chennai). All the stakeholders desirous of utilizing Ocean Energy are invited by MNRE for demonstration projects of proven technologies under Research, Design, Development and Demonstration (RDD&D) programme/policy of the Ministry, in force at the time. (Source:https://pib.gov.in/PressReleseDetail.aspx?PRID=1582638&RegID=3&LID=1)

9. What are the polygraph, narco tests that PNB accused has refused? (Relevant for GS

Prelims & Mains Paper III; Science & Technology)

Called the 'Lie Detector Tests', several instruments are used including cardiographs, sensitive electrodes and injections in the course of these examinations to put a person in a hypnotic state to 'reduce' their ability to lie or manipulate. CBI wants to conduct polygraph and narcoanalysis tests on a former staffer of Punjab National Bank (PNB), who is in custody in the alleged Rs 7,000-crore fraud involving the absconding jewellers Nirav Modi and Mehul Choksi. On Wednesday, Gokulnath Shetty, the 63-year old retired deputy manager of PNB, refused to give his consent for the test, stating among other reasons, that it could have an adverse effect on his health. He also cited a Supreme Court judgment that makes it mandatory to obtain the consent of the accused for such tests. What are polygraph, narcoanalysis tests?

A polygraph test is based on the assumption that physiological responses that are triggered when a person is lying are different from what they would be otherwise. Instruments like cardio-cuffs or sensitive electrodes are attached to the person, and variables such as blood pressure, pulse, respiration, change in sweat gland activity, blood flow, etc., are measured as questions are put to them. A numerical value is assigned to each response to conclude whether the person is telling the truth, is deceiving, or is uncertain. A test such as this is said to have been first done in the 19th century by the Italian criminologist Cesare Lombroso, who used a machine to measure changes in the blood pressure of criminal suspects during interrogation. Similar devices were subsequently created by the American psychologist William Marstron in 1914, and by the California police officer John Larson in 1921. Narcoanalysis, by contrast, involves the injection of a drug, sodium pentothal, which induces a hypnotic or sedated state in which the subject’s imagination is neutralised, and they are





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expected to divulge true information. The drug, referred to as “truth serum” in this context, was used in larger doses as anaesthesia during surgery, and is said to have been used during World War II for intelligence operations. More recently, investigating agencies have sought to employ these tests in investigation, and are sometimes seen as being a “softer alternative” to torture or ‘third degree’ to extract the truth from suspects. However, neither method has been proven scientifically to have a 100% success rate, and remain contentious in the medical field as well. Are Indian investigators allowed to put suspects through these tests?

In Selvi & Ors vs State of Karnataka & Anr (2010), a Supreme Court Bench comprising Chief Justice of India K G Balakrishnan and Justices R V Raveendran and J M Panchal ruled that no lie detector tests should be administered “except on the basis of consent of the accused”. Those who volunteer must have access to a lawyer, and have the physical, emotional, and legal implications of the test explained to them by police and the lawyer, the Bench said. It said that the ‘Guidelines for the Administration of Polygraph Test on an Accused’ published by the National Human Rights Commission in 2000, must be strictly followed. The subject’s consent should be recorded before a judicial magistrate, the court said. The results of the tests cannot be considered to be “confessions”, because those in a drugged-induced state cannot exercise a choice in answering questions that are put to them. However, any information or material subsequently discovered with the help of such a voluntarily-taken test can be admitted as evidence, the court said. Thus, if an accused reveals the location of a murder weapon in the course of the test, and police later find the weapon at that location, the statement of the accused will not be evidence, but the weapon will be. The Bench took into consideration international norms on human rights, the right to a fair trial, and the right against self-incrimination under Article 20(3) of the Constitution. “We must recognise that a forcible intrusion into a person’s mental processes is also an affront to human dignity and liberty, often with grave and long-lasting consequences,” the court said, observing that the state’s plea that the use of such scientific techniques would reduce ‘third degree’ methods “is a circular line of reasoning since one form of improper behaviour is sought to be replaced by another”. In which recent criminal investigations have these tests been used?

The CBI has sought to give these tests to the driver and helper of the truck that hit the vehicle carrying the Unnao rape victim in Uttar Pradesh in July. In May 2017, Indrani Mukerjea, who is facing trial for allegedly murdering her daughter Sheena Bora in 2012, had offered to undergo the lie detector test. The CBI refused, saying they already had sufficient evidence against her.






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Dr Rajesh Talwar and Dr Nupur Talwar, who were accused of killing their daughter Aarushi and help Hemraj in Noida in 2008, were given polygraph tests. A video of the narco test on their compounder, Krishna, was leaked to the media. Why has the CBI sought to use these tests in the PNB case?

The CBI has said that it has been unable to ascertain Shetty’s “other motives and details of undue pecuniary advantage obtained by him”. Shetty is alleged to have issued fraudulent Letters of Understanding in favour of Nirav Modi, Mehul Choksi, and their firms in violation of bank rules. Shetty has been in custody since March 2018. CBI has already filed the chargesheet in the case. The court will decide on Shetty’s refusal of consent next week. (Source:https://indianexpress.com/article/explained/explained-polygraph-narco-analysis-lie-detector-test-5926426/) 10. E-cigarette ban: the science behind proposal, and industry counter-view (Relevant

for GS Prelims & Mains Paper III; Science & Technology)


When the NDA government completes 100 days of its second term on September 7, the Health Ministry will hope to have in place an ordinance banning the manufacture, sale and marketing of e-cigarettes. One of the three 100-day goals the ministry has set for itself, The Prohibition of E-cigarettes Ordinance 2019 is being sent to a Group of Ministers as directed by the Prime Minister’s Office. What are e-cigarettes?

An e-cigarette, short for electronic cigarette, is a battery-operated device. One of a large variety of Electronic Nicotine Delivery Systems (ENDS), an e-cigarette emits vaporised nicotine, or non-nicotine solutions. The user inhales it looking for a sensation similar to inhaling tobacco smoke, but without the smoke. The pros and cons of e-cigarettes are hotly debated, with the industry refuting scientific evidence about the product being harmful, and users urging the government to legalise it. India’s market for e-cigarettes, while nascent today, is projected to grow annually at more than 25 per cent in the next five years. The draft ordinance

The draft ordinance was necessitated by the fact that an earlier order by the Centre asking the states to crack down against e-cigarettes could not stand judicial scrutiny. However, a recent order, in which the High Court threw out a petition asking for protection from an ordinance against e-cigarettes, has emboldened the Health Ministry, which now seeks legal backing for a ban (rather than just an advisory) in the form of an ordinance. The ordinance makes any violation of its provisions punishable by imprisonment of one to three years, and a fine of Rs 1-5 lakh. Participation of State Governments





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Some states, including Punjab, Karnataka, Kerala, Bihar, Uttar Pradesh, Himachal Pradesh, Tamil Nadu, Maharashtra, Jharkhand, Rajasthan and Mizoram, have already banned use and sale of e-cigarettes, vape and e-hookah. In August last year, the ministry had written to states asking them to stop sale (including online), manufacture, distribution, trade, import and advertisements of e-cigarettes. Under the Constitution, health is a state subject, so any move to ban manufacture and sale of a product on health grounds needs to come from the state government. The Delhi High Court stayed the Centre’s circular banning sale and manufacture of ENDS like e-cigarettes and e-hookah with nicotine flavour, saying as the products were not a “drug”. The scientific position In a white paper in May, the Indian Council of Medical Research (ICMR) wrote: “The use of ENDS or e-cigarettes adversely affects almost all the human body systems with impact across the life course, from the womb to tomb. The cartridges used in ENDS or e-cigarettes are filled with liquid nicotine, flavouring agents and other chemicals. A typical cartridge contains about as much nicotine as a pack of 20 regular cigarettes and can act as a potential source for nicotine addiction.” Published in the Indian Journal of Medical Research, the ICMR white paper added: “Studies on these nicotine solvents had shown a varied degree of release of potential carcinogens… depending on the battery output voltage. The liquid-vaporizing solutions also contain toxic chemicals and metals that have been demonstrated to be responsible for several adverse health effects, including cancers and diseases of the heart, lungs and brain.”

The industry’s opposition

Trade Representatives of ENDS in India (TRENDS), has questioned the scientific documents that the government has cited in favour of a crackdown on e-cigarettes: “It is ironical that it has been acknowledged by the ICMR itself that it has proffered no research or study to support the claims made in the white paper and that it is merely a compendium of available reports in the international medical field. By the same token, may we humbly suggest that an equal number of studies are available in the medical world that argue against the conclusions derived by ICMR.”

Social Issues

1. Ravish Kumar wins 2019 Ramon Magsaysay Award (Relevant for GS Prelims &

Mains Paper I; Social Issues)

2019 Ramon Magsaysay Award

Senior Indian journalist Ravish Kumar was awarded this year’s Ramon Magsaysay Award, regarded as the Asian version of the Nobel Prize, for harnessing journalism to give voice to the voiceless.






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He is among five individuals who were declared winners of the award, which is Asia’s premier prize and highest honour and celebrates greatness of spirit and transformative leadership in Asia. The four other winners of the 2019 Ramon Magsaysay Award are Ko Swe Win from Myanmar, Angkhana Neelapaijit from Thailand, Raymundo Pujante Cayabyab from the Philippines and Kim Jong-Ki from South Korea. About Ravish Kumar

Kumar, 44, who is NDTV India’s senior executive editor is one of India’s most influential TV journalists. About Ramon Magsaysay Awards

The Ramon Magsaysay Award is an annual award established to perpetuate former Philippine President Ramon Magsaysay's example of integrity in governance, courageous service to the people, and pragmatic idealism within a democratic society. The prize was established in April 1957 by the trustees of the Rockefeller Brothers Fund based in New York City with the concurrence of the Philippine government. The award is internationally-recognized as the Nobel Prize counterpart of Asia and is the highest award given to Asian individuals and organizations. It is named after Ramon Magsaysay, the third president of the Republic of the Philippines after World War II. The Ramon Magsaysay Award Foundation gives the prize to Asian individuals achieving excellence in their respective fields. The awards were given in six categories, five of which were discontinued in 2009. Now, the award is given for Emergent Leadership or is uncategorized: * Government Service (1958–2008) * Public Service (1958–2008) * Community Leadership (1958–2008) * Journalism, Literature, and Creative Communication Arts (1958–2008) * Peace and International Understanding (1958–2008) * Emergent Leadership (2001– ) * Uncategorized (2009– ) (Source:https://www.dailypioneer.com/2019/india/ravish-kumar-wins-2019-ramon-magsaysay-award-.html)

2. Sex ratio at birth: Kerala on top, Northeast states show decline (Relevant for GS

Prelims & Mains Paper I; Social Issues)

National level sex ratio at birth

The sex ratio at birth (SRB) in the country, defined as the number of female births per 1,000 male births, improved from 914 to 919 between the third and fourth National Family Health Surveys (NFHS), carried out in 2005-06 and 2015-16 respectively.





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State wise indicators

The highest improvement was in Punjab at 126 points, but its SRB remained among the lowest among the states at 860 in NFHS-4. The sharpest decline was in Sikkim, where the SRB dropped 175 points to reach 809, the lowest among all states in 2015-16.

Next to Punjab, the highest improvement in SRB was in Kerala, by 122 points from 925 in 2005-06. Its 1,047 in 2015-16 was the highest SRB among all states. Next to Sikkim, the five states with the highest declines included four more in the Northeast.






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(Source:https://indianexpress.com/article/explained/sex-ratio-at-birth-kerala-on-top-northeast-states-show-decline-5890615/)

3. Pehlu Khan lynching case: Rajasthan court acquits six accused (Relevant for GS

Prelims & Mains Paper I; Social Issues)

Two years after Haryana dairy farmer Pehlu Khan was allegedly lynched by a mob of cow vigilantes on the Jaipur-Delhi National Highway, a sessions court in Alwar acquitted all six persons accused of beating him to death, while giving them the benefit of the doubt. The April 1, 2017, incident, caught on camera, had sparked nationwide outrage. Khan, 55, and his sons were transporting cows, after purchasing them in a cattle fair in Jaipur, to their hometown Nuh in Haryana, when they were targeted by the cow vigilantes and beaten up on the accusation of smuggling cattle. Khan died of his injuries in a hospital after two days.





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View of the judge

While giving the benefit of the doubt to the accused, the court noted “contradictions” in the investigation carried out by the police and the prosecution’s evidence. The court ruled that the video footage of the incident that went viral on the social media could not be treated as admissible evidence in the absence of its certification by the forensic science laboratory. Besides, Khan’s sons reportedly could not identify the accused and the prosecution could not prove that they were the ones visible in the video. The court also found contradictions in the cause of death, as due to heart attack and injuries inflicted during the attack. The man who recorded the video on his mobile phone did not testify, which created doubts about the identity of the accused. In 2017, the CID-CB had given a clean chit to six persons who were named as accused in the case on the basis of Khan's statement before his death. The investigating agency had found after examining the mobile phone records and the statement of a cow shelter caretaker that they were not present on the spot. After registering the murder case, the police had also lodged the cases with the cow smuggling charges against Khan, his sons and other companions. Law to deal with lynching

The judgment has come barely nine days after the State Assembly passed a Bill against mob lynching on August 5, making Rajasthan the second State after Manipur to have a dedicated legislation that criminalises lynching as a special offence. After Khan's alleged murder, the State has witnessed several incidents of similar nature. The Bill has made lynching punishable with life sentence and a fine up to Rs.5 lakh.






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(Source:https://www.thehindu.com/news/national/pehlu-khan-lynching-case-all-six-accused-acquitted-by-rajasthan-court/article29092863.ece)

4. What fertility rate data show (Relevant for GS Prelims & Mains Paper I; Social

Issues)

PM has flagged ‘challenges’ posed by India’s ‘population explosion’. While India is expected to soon overtake China as the world’s most populous country, the total fertility rate has been falling almost everywhere in India The graph (below) shows trends for the total fertility rate (TFR) in various states. TFR, defined as the number of children born to a woman until the end of her child-bearing age, is a key indicator for population trends. The graph is based on TFR data from the Sample Registration System (SRS) undertaken by the Office of the Registrar General of India. The SRS also looks at other indicators such as crude birth rate, general fertility rate, age specific/marital fertility rate, gross reproduction rate along with sex ratio at birth. While Census figures provide the total population every decade, the regular SRS estimates provide dynamic trends underlying the population growth.

After four successive years (2013-2016) when the TFR stagnated at 2.3 births per woman of child-bearing age, the latest SRS estimates (2017) show the TFR dropping to 2.2. This figure is only marginally higher than the fertility rate (2.1) required for replacement of the existing population.





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SRS estimates over the last decade and more, meanwhile, show a declining trend across the country. Trend among states

Even the states that have a higher TFR — Uttar Pradesh (3.0), Bihar (3.2), MP (2.7), Rajasthan (2.6), Assam (2.3), Chhattisgarh (2.4) and Jharkhand (2.5) — have been witnessing a declining trend in fertility rates. These seven states account for about 45 per cent of the total population in the 2011 Census. Two more states, Gujarat and Haryana, recorded a TFR of 2.2, which is above the replacement rate but is equal to the national average. Taken together, these nine major states account for 52 per cent of the 2011 population. This means that in the states barring these nine, and accounting for almost half the population, the replacement level is either 2.1 or has gone below it. These states with a lower TFR include Kerala (1.7), Tamil Nadu (1.6), Karnataka (1.7), Maharashtra (1.7), Andhra Pradesh (1.6), Telangana (1.7), West Bengal (1.6), Jammu and Kashmir (1.6) and Odisha (1.9). (Source:https://indianexpress.com/article/explained/fertility-rate-what-the-data-show-5908777/)

Internal Security

1. How forces are tackling Maoists in Chhattisgarh, what challenges remain (Relevant

for GS Prelims & Mains Paper III; Internal Security)

Seven Maoists were killed in an encounter with the Chhattisgarh Police on August 3 in the Bagnadi area of Rajnandgaon district. On July 27, another seven had been killed in Machkot in Bastar. With these operations, over the last week, 16 Maoists have been killed. While security forces have made continuous inroads, the Central Committee of the CPI (Maoist) has repeatedly admitted in various reports and meetings that their base area has shrunk, fresh recruitment almost dried up, and desertions increased. Traditionally, the monsoon has been considered a lean period in the conflict. What

explains the Chhattisgarh police’s recent successes?

Though anti-Maoist operations do get restricted by various seasonal factors, these continue to be launched if there is actionable intelligence of Maoist movement. Further, security forces have learnt to overcome many impediments. Use of satellite technology helps in keeping track of jawans’ movement from any location, and the target can be identified with more clarity; staff trained in ‘battlefield nursing’ courses (conducted by the Army) can treat wounded jawans on the field itself; night helicopter landing facilities keep jawans motivated even at odd hours. Of late, local police in the form of DRG (District Reserve Guard) have been more and

more successful in countering Left Wing Extremism (LWE). What has made this

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Chhattisgarh’s state police, with the support of specialised training institutes (CTJW College, Kanker and four CIAT Schools) have built up capacity and raised specialised forces. The Centre, besides helping the state strengthen training capacity and capabilities, is also providing financial support to strengthen the specialised wings of STF (Special Task Force) and SIB (State Intelligence Bureau). DRGs have been constituted in many districts consisting of local policemen of affected areas. They not only have the best knowledge of the terrain but are also well-versed in the local dialect. Their natural instincts have been supplemented with professional ethos from the Counter-Insurgency and Jungle Warfare School of Vairengte, Mizoram. The August 3 encounter was in the proposed ‘MMC Zone’?

The CPI(Maoist), following a decision taken in the 2014 Central Regional Bureau (CRB) meeting, is trying to develop the new MMC Zone. This is where Maharashtra, Madhya Pradesh and Chhattisgarh (MMC) meet, broadly the districts of Gondia in Maharashtra, Balaghat in Madhya Pradesh, and parts of Rajnandgaon, Kabirdham, and Mungeli in Chhattisgarh. Maoists intend to create an entity like the Dandakaranya (DK) Special Zonal Committee in Bastar. This area is predominately tribal, forested and hilly and suitable for guerrilla warfare. Except for a few, most of the cadres in the MMC Zone were transferred there from Bastar. The state governments took proactive steps by deploying additional resources and are trying their best to check Maoists’ expansion. Despite the last two successful encounters, don’t Maoists retain the ability to strike

back soon after suffering a major setback — like the Maoist attack in Kurkheda of

Maharashtra, after 50 Maoists had been killed in Gadchiroli in April 2018? If we analyse the pattern, most such attacks have taken place during the ‘Tactical Counter Offensive Campaign’ (TCOC) period which generally extends from February-March to May-June each year. During this TCOC period, most of their field formations (political as well as military) join together to form area or division command (which are much bigger in size) and launch major attacks. Thus, despite the fact that the overall strength of the CPI (Maoist) has thinned and the capacity of the security forces has improved, Maoists can still manage to strike security forces and cause casualties this way. The security forces therefore need to be extra vigilant during this TCOC period. What is the best way to fight IEDs, like the one used in Kurkheda or the one that blew

up an MPV in Sukma in March 2018?

One way to avoid destruction and casualties caused by IEDs is to ensure that these are successfully detected through visual surveillance or using technical gadgets and defused in time. Second, a road opening party may dominate the surrounding area thoroughly enough to make certain that no suspicious elements are hiding around to trigger IEDs. Third, law-enforcement agencies can crack down on miscreants who supply explosive substances to the Maoists. Fourth, explosive substances and most importantly detonators can be made identifiable at the production stage using a unique number for identification. However, all these measures have their limitations. Also, the use of IEDs, being inhumane, must be condemned by all at appropriate international forums.






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What is the way forward for security forces here on?

Though, Maoists have weakened in DK, Odisha State Committee and other zones, and their expansionist policy is under check, security forces cannot afford to ignore their protracted war strategy. The mobile war (capability to attack at will in base areas and escape unscathed) has to be reversed and the areas of security vacuum (where there is no presence of the security forces) plugged. Better technologies, including Ground Penetration Radar, are required to detect and defuse IEDs. Security forces also need to learn from previous tactical errors and adhere to time-proven SOPs. The information network should improve with better road and telecom connectivity in far-flung areas. Surrender and rehabilitation policies must be implemented in letter and spirit. The administrative and political vacuum in remote areas must be filled. ‘The Forest Rights Act’ should be interpreted in favour of forest dwellers. The root cause of the problem that is exploited by the Maoists —socio-economic deficits — must be bridged. The human rights of the local populace must be protected by the administration and security forces if the credibility of efforts so far is to be established. (Source:https://indianexpress.com/article/explained/how-forces-are-tackling-maoists-in-chhattisgarh-what-challenges-remain-5886790/)

2. Manmohan Singh set to lose SPG cover (Relevant for GS Prelims & Mains Paper III;

Internal Security)

Source: The Hindu

The Narendra Modi government is likely to withdraw the Special Protection Group (SPG) from former Prime Minister Manmohan Singh’s security. How the decision has been taken?

The decision, reportedly taken after a three-month review involving the Cabinet Secretariat and the Ministry of Home Affairs with inputs from intelligence agencies the Research and Analysis Wing and the Intelligence Bureau has not yet been formally communicated in writing, but was “orally” conveyed to the former Prime Minister. Who all are covered?

This would mean that the elite protection force of about 3,000 officers meant for the Prime Ministers, the former Prime Ministers and their families would now be tasked with protecting only Mr. Modi, Congress president Sonia Gandhi and her children Rahul Gandhi and Priyanka Gandhi Vadra.





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Procedure adopted for giving security cover

According to an official privy to the development, who asked not to be identified, the government had, according to the procedures laid down by the SPG Act, 1988, renewed Dr. Singh’s SPG detail for a year after he demitted office in 2014, and subsequently, on an annual basis after reviewing the threats faced by him and his wife Gursharan Kaur. (Dr. Singh’s daughters, who were also eligible, had given up SPG cover voluntarily in 2014). However, on May 25 this year, the government decided not to fully renew the SPG cover, and instead ordered a three-month review process. Criticism for decision

Plans for the move raised some eyebrows within the security establishment. One official said that while the government was technically within the law to withdraw SPG protection to any former Prime Minister, it had chosen not to do so for Atal Bihari Vajpayee, who demitted office in 2004 and had SPG protection until he passed away in 2018. A prolonged illness had kept Vajpayee home-bound for the past decade. About Special Protection Group

The SPG was set up in 1985 after the assassination of Prime Minister Indira Gandhi, and Parliament passed the SPG Act in 1988 dedicating the group to protecting the Prime Minister of India. At the time, the Act did not include former Prime Ministers, and when V.P. Singh came to power in 1989 his government withdrew SPG protection to the outgoing PM Rajiv






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Gandhi. After Rajiv Gandhi was assassinated in 1991 the SPG Act was amended, offering SPG protection to all former Prime Ministers and their families for a period of at least 10 years. During his tenure that began in 1999, PM Vajpayee’s government conducted a major review of the SPG’s operations, and decided to withdraw SPG protection to former PMs P.V. Narasimha Rao, H.D. Deve Gowda, and I.K. Gujral. In 2003, the Vajpayee government also amended the SPG Act to bring the period of automatic protection down from 10 years to “a period of one year from the date on which the former Prime Minister ceased to hold office and beyond one year based on the level of threat as decided by the Central Government.” (Source:https://www.thehindu.com/news/national/manmohan-singh-set-to-lose-spg-cover/article29254685.ece)

Disaster Management

1. Cabinet approves Establishment of an International Coalition for Disaster Resilient

Infrastructure (Relevant for GS Prelims & Mains Paper III; Disaster Management)

Source: PIB

The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has given ex-post facto approval for the Establishment of an International Coalition for Disaster Resilient Infrastructure (CDRI) along with its supporting Secretariat Office in New Delhi. The CDRI is proposed to be launched at the UN Climate Action Summit in New York, USA on 23rd September 2019. Organized by the UN Secretary General, this event will bring together the largest number of Heads of States to generate commitments for combating the effects of climate change and resulting disasters, and will provide the high-level visibility required for the CDRI. Major Impact:

The CDRI will serve as a platform where knowledge is generated and exchanged on different aspects of disaster and climate resilience of infrastructure. It will bring together technical expertise from a multitude of stakeholders. In doing so, it will create a mechanism to assist countries to upgrade their capacities and practices, with regard to infrastructure development in accordance with their risk context and economic needs. This initiative will benefit all sections of society. Economically weaker sections of society, women and children, are the most vulnerable to the impacts of disasters and hence, will be benefitted from the improvement of knowledge and practice in creating disaster resilient infrastructure. It will also benefit all areas with high disaster risk. In India, the north-eastern and Himalayan regions are prone to earthquakes, coastal areas to cyclones and tsunamis and central peninsular region to droughts. Innovation:





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There are many initiatives on different aspects of disaster risk reduction and many initiatives on infrastructure development in different in a range of countries with different disaster risk and development contexts. A global coalition for disaster resilient infrastructure would address concerns that are common to developing and developed countries, small and large economies, countries at early and advanced stages of infrastructure development, and countries that have moderate or high disaster risk. Few concrete initiatives work at the intersection of Sendai Framework, Sustainable Development Goals (SDGs) and Climate Change Adaptation with a focus on infrastructure. Focus on disaster resilient infrastructure would simultaneously address the loss reduction targets under the Sendai Framework, address a number of SDGs and also contribute to climate change adaptation. Hence, there is a clear niche for a Global Coalition for Disaster Resilient Infrastructure. Publication of natural hazard risk information about the different regions in India will allow the public to understand the risk in their regions and demand for risk mitigation and preparedness measures from their local and State Governments.

Miscellaneous

1. Assam’s golden tea sells for ₹50,000 per kg (Relevant for GS Prelims)

Rajan Lohia produces about 25 lakh kilograms of tea annually from his three estates in eastern Assam’s Dibrugarh and Sivasagar districts. Of this, only 2 kg has struck gold. His Manohari Gold tea fetched ₹50,000 a kg at the Guwahati Tea Auction Centre (GTAC). This was the highest price commanded by any tea sold in any auction centre in India. Manohari Gold tea is handmade tea. (Source:https://www.thehindu.com/news/national/assams-golden-tea-sells-for-50000-per-kg/article28764588.ece)

2. Satwik and Chirag won men double Thailand Open championship (Relevant for GS

Prelims)

India’s Satwiksairaj Rankireddy and Chirag Shetty won men’s doubles final of the Thailand Open badminton championship in Bangkok after defeating World champions Li Jun Hui and Liu Yu Chen, both from China. Relevance of this victory

This is the first-ever Indian men’s combination to win a Badminton World Federation (BWF) Super 500 title. It was a revenge win for the Indians, who had lost to the World champions at the Australian Open early this year.





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(Source:https://www.thehindu.com/sport/other-sports/thailand-open-rankireddy-shetty-become-first-indian-pair-to-win-bwf-super-500-tourney/article28813611.ece)

3. Sushma Swaraj, a BJP stalwart with socialist roots, passes away (Relevant for GS

Prelims)

Former Union Minister Sushma Swaraj passed away after suffering a heart attack in New Delhi. Ms. Swaraj, 67, had a long career in politics known for her skilled oratory and had been, at 25 years, the youngest-ever Cabinet Minister in the Haryana government led by the late Devi Lal. A lawyer by training, Ms. Swaraj was part of the legal team put together by the Opposition when socialist leader George Fernandes was arrested around the Emergency. Since she and Swaraj Kaushal, who was also involved with the Socialists, were part of the legal team and had to travel to Mumbai together, their law professor and later Chief Justice of India A.S. Anand suggested that they get married, a story later recounted by her with much relish. Sushma Swaraj was a woman of many firsts. She was the first woman Chief Minister of Delhi and the first woman Chief Minister from the BJP. Picture shows Swaraj taking oath as Delhi Chief Minister on October 13, 1998.

Sushma Swaraj pays floral tributes at the samadhi of former Deputy Prime Minister Devi Lal in New Delhi on April 6, 2014. At 25, Swaraj became the youngest-ever Cabinet Minister in 1977 in the Haryana government led by Devi Lal.





https://www.thehindu.com/sport/other-sports/thailand-open-rankireddy-shetty-become-first-indian-pair-to-win-bwf-super-500-tourney/article28813611.ece

https://www.thehindu.com/sport/other-sports/thailand-open-rankireddy-shetty-become-first-indian-pair-to-win-bwf-super-500-tourney/article28813611.ece

https://www.thehindu.com/news/national/sushma-swaraj-1952-2019/article28840642.ece


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Leader of Opposition Sushma Swaraj speaks in the Lok Sabha on August 27, 2011. She was India’s first woman Leader of the Opposition.








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President Pranab Mukherjee greets Sushma Swaraj after administering her the oath at a ceremony at Rashtrapati Bhavan in on May 26, 2014. Swaraj was India’s first full-time woman External Affairs Minister.

Sushma Swaraj assumes charge as the Minister of External Affairs on May 28, 2014. During her tenure at the Ministry, Swaraj was known for her prompt response on Twitter to address grievances of overseas Indians. She was variously Information and Broadcasting, Parliamentary Affairs and Health Minister in the Vajpayee government and also served as Delhi Chief Minister in 1998, a position she lost to Sheila Dikshit who also passed away recently. She was the Leader of the Opposition in the Lok Sabha between 2009 and 14. Ill health

Ill health (she had a kidney transplant a couple of years ago) made her opt out of electoral politics, and later also from the new Cabinet formed by Mr. Modi in his second term. Her death has brought to a close an important chapter in Indian politics. (Source:https://www.thehindu.com/news/national/former-union-minister-sushma-swaraj-passes-away/article28839808.ece)





https://www.thehindu.com/news/national/former-union-minister-sushma-swaraj-passes-away/article28839808.ece

https://www.thehindu.com/news/national/former-union-minister-sushma-swaraj-passes-away/article28839808.ece



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4. Ministry of Skill Development and Entrepreneurshipannounces fourth edition of

National Entrepreneurship Awards, 2019 (Relevant for GS Prelims)

What is the eligibility criteria?

There are a total of 45 specially designed awards to be bestowed – 39 Enterprise Awards and 6 Awards for Entrepreneurship Ecosystem Builders. To be eligible for these awards, the nominee must be under the age of 40 years; they must be first-generation entrepreneurs; the nominee (entrepreneur) must hold 51% or more equity and ownership of the business; and women entrants must individually or collectively own 75% or more of the enterprise. Process of selection

The annual awards aim to recognise individual or organization(s) that have made outstanding contributions in the entrepreneur ecosystem of India. The purpose is to highlight models of excellence for others to emulate and improve upon. Nominations are encouraged for individuals or teams of individuals from across India. I therefore urge to all the budding entrepreneurs to come forth and be a part of this National Entrepreneurship Award and showcase how their contribution has made a difference in the country.” Candidates will be mobilised through Nomination/Self-nomination, and will undergo a three-level rigorous evaluation process, wherein, in the last step the National Jury of eminent persons drawn from academia/research, industry, social sector, banking etc., will selectthe winners. To ensure excellence of the National Award, the Jury has the power to not award any applicant in a given category, if applications are found unsatisfactory. Indian Institute of Technology (Madras, Delhi, Guwahati, Kanpur), IRMA, NABARD, National Innovation Foundation, National Small Industries Corporation, National Institute IAEM, Rural Development and Self-employment and Training Institute, TISS, Xavier’s School of Management are the organisations supporting the implementation of NEA 2019. These institutes will assist in outreach and primary selection of award entries. What do awardees get?

Winners will be felicitated in a grand Award Ceremony, organised by the Ministry of Skill Development & Entrepreneurship, and will be presented with a Trophy, Certificate and a Cash Prize of ₹5 lakh (enterprises/ individuals) and ₹10 lakh (organizations/ institutes). The ceremony has been proposed to take place in November 2019. About National Entrepreneurship Awards (NEA)

As an important step to catalyse a cultural shift in youth for entrepreneurship, the Ministry of Skill Development and Entrepreneurship (MSDE) has instituted the National Entrepreneurship Awards (NEA) to recognise and honor outstanding young first generation Entrepreneurs and their Ecosystem Builders for their outstanding contribution in entrepreneurship development.The National Entrepreneurship Awards (NEA 2019) is the 4th edition in the NEA series. The awards seek to instill and entrench the entrepreneurial attitude among the future generations and the Youth of India. (Source:http://pib.nic.in/PressReleseDetail.aspx?PRID=1581564&RegID=3&LID=1)





http://pib.nic.in/PressReleseDetail.aspx?PRID=1581564&RegID=3&LID=1


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5. President of India Presents Bharat Ratna Awards (Relevant for GS Prelims)

The Bharat Ratna is the highest civilian award of the Republic of India. Instituted in 1954, the award is conferred "in recognition of exceptional service/performance of the highest order", without distinction of race, occupation, position, or sex. The award was originally limited to achievements in the arts, literature, science, and public services, but the government expanded the criteria to include "any field of human endeavour" in December 2011. The recommendations for the Bharat Ratna are made by the Prime Minister to the President, with a maximum of three nominees being awarded per year. Recipients receive a Sanad (certificate) signed by the President and a peepal-leaf–shaped medallion; there is no monetary grant associated with the award. Bharat Ratna recipients rank seventh in the Indian order of precedence. 2019 Bharat Ratna Awardees

19

Pranab Mukherjee

Mukherjee is an Indian politician who served as the 13th President of India from 2012 until 2017. In a political career spanning five decades, Mukherjee has been a senior leader in the Indian National Congress and has occupied several ministerial portfolios in the Government of India. Prior to his election as President, he was Union Finance Minister from 2009 to 2012.

Bhupen Hazarika

Hazarika was an Indian playback singer, lyricist, musician, poet and film-maker from Assam, widely known as Sudhakantha. His songs, written and sung mainly in the Assamese language by himself, are marked by humanity and universal brotherhood and have been translated and sung in many languages, most notably in Bengali and Hindi.

Nanaji Deshmukh

Chandikadas Amritrao Deshmukh also known as Nanaji Deshmukh (11 October 1916 – 27 February 2010) was a social activist from India. He worked in the fields of education, health, and rural self-reliance. He was a leader of the Bharatiya Jana Sangh and also a member of the Rajya Sabha.

(Source: http://pib.nic.in/PressReleseDetail.aspx?PRID=1581577&RegID=3&LID=1)





http://pib.nic.in/PressReleseDetail.aspx?PRID=1581577&RegID=3&LID=1

https://en.wikipedia.org/wiki/File:Pranab_Mukherjee_Portrait.jpg

https://en.wikipedia.org/wiki/File:Bhupen_Hazarika_2013_stamp_of_India.jpg

https://en.wikipedia.org/wiki/File:Nanaji_Deshmukh_2017_stamp_of_India.jpg


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6. Newly-discovered 'Kajin Sara' lake in Nepal likely to become world's highest

(Relevant for GS Prelims)

A newly-discovered lake in Nepal is likely to set a new record of being the world's highest lake replacing Tilicho, which is situated at an altitude of 4,919 metres in the Himalayan nation and currently holding the title. The Kajin Sara lake in Manang district was discovered about a few months ago by a team of mountaineers, the Himalayan Times reported.It is located at Singarkharka area of Chame rural municipality. As per the measurement of the lake taken by the team, it is located at an altitude of 5,200 metres, which is yet to be officially verified. It is estimated to be 1,500-metre-long and 600-metre-wide. The Tilicho lake, situated at an altitude of 4,919 metres, is 4 km long, 1.2 km wide and around 200 metres deep. (Source:http://www.newindianexpress.com/world/2019/aug/10/newly-discovered-kajin-sara-lake-in-nepal-likely-to-become-worlds-highest-2017060.html)

7. What is Bakrid? (Relevant for GS Prelims)

Id–ul–Azha is the commemoration of sacrifice by Prophet Hazrath Ibrahim celebrated the world over by the Muslims annually on the 10th of the Islamic month of Zilhaj. One night Hazrath Ibrahim (Alaihissalam or peace be upon him) saw in a vision that he was sacrificing his then only son Ismail (pbuh). It was a dream and in reality it was an order from





http://www.newindianexpress.com/world/2019/aug/10/newly-discovered-kajin-sara-lake-in-nepal-likely-to-become-worlds-highest-2017060.html

http://www.newindianexpress.com/world/2019/aug/10/newly-discovered-kajin-sara-lake-in-nepal-likely-to-become-worlds-highest-2017060.html


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the Omnipotent Allah which demanded sacrifice both from the father and the son. Hazrath Ibrahim consulted his son Hazrath Ismail, also a Prophet, who in turn readily consented. The rising sun of the 10th of Zilhaj saw the scene of a father preparing to sacrifice his son in implicit obedience to his Maker. Hazrath Ibrahim (pbuh) walked towards the hill of Marwa along with Ismail (pbuh). Ibrahim (pbuh) put his arm around Ismail (pbuh) and hugged him with tear-streaked face. He laid him down, blind-folded himself and got ready to perform the sacrifice. Disappointment flooded through Ibrahim (pbuh) as the thoughts finally took shape. Surprise was in store for Ibrahim (pbuh) when he saw his son Ismail (pbuh) standing, his eyes sparkling with vitality and a smile on his tranquil face. Hazrath Ibrahim (pbuh) construed that his sacrifice had been rejected. Thereupon Allah said: “We called out to him “O Abraham!. Thou hast already fulfilled vision! — thus indeed Do we reward those who do right. For this was obviously a trial — And we ransomed him with a Great Sacrifice. And we left (This blessing) for him among generations (To come) in later times” (The Holy Qur’an: XXXVII–104 to 108). Allah requires our will and devotion (22:37) and sacrificing the goat is one of the rites of the Haj to be performed by every Muslim who can afford it. (Source:https://www.thehindu.com/society/faith/what-is-bakrid/article28988672.ece)

8. Assam tea at Rs 75,000/kg: How is it valued, how is it sold? (Relevant for GS Prelims)

Assam accounts for nearly 55% of India’s tea production. On Tuesday, a kilogram of a speciality Assam tea called “Golden Butterfly” was sold for Rs 75,000 at the Guwahati Tea Auction Centre (GTAC) — a new record. “Golden Butterfly” is produced by Dikom Tea Estate. The tea was purchased by Assam Tea Traders, one of the oldest tea shops in Guwahati. According to growers, the tea is named such because only “the soft golden tips go into making this exceptionally rare and special tea”. said “Golden Butterfly” has an “extremely mellow and sweet caramel flavour”. A flurry of records

Assam tea has, in fact, been repeatedly setting price records at auctions. On July 31, an Assam tea variety known as “Maijan Golden Tips” sold for Rs 70,501 per kilogram at the GTAC. A day earlier, Manohari Gold Special tea was auctioned for Rs 50,000 per kg at the Centre. Tea and auction centres Assam accounts for nearly 55% of India’s tea production. The GTAC has 665 sellers, 247 buyers, and nine brokers, besides 34 warehouses, registered with it. Auctions are held normally on Tuesdays and Wednesdays. Any registered member of any auction centre can operate in any auction in any centre.





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Buying and selling process

Buyers and sellers associated with the tea industry in Assam say auctioning is the best way to know the value of a tea. The indicators that buyers look at, include appearance, quality/strength of the liquid form, aroma, and “keeping quality”, i.e., how well the tea will keep if stored for a long time in a shop or godown. The auctioning process involves the tasting of tea by tasters, who give their opinion on the quality of the leaf. The tea is taken from the garden to the warehouse, where brokers do the tasting and sampling. Their valuation data is then entered on the Tea Board of India’s auction website. (Source:https://indianexpress.com/article/explained/assam-tea-at-rs-75000-kg-how-is-it-valued-how-is-it-sold-5905707/)

9. Sabka Vishwas - Legacy Dispute Resolution Scheme notified; to be operationalized

from 1st September 2019 (Relevant for GS Prelims)

Source: PIB

In the Union Budget 2019-20, the Hon’ble Finance Minister announced the Sabka Vishwas-Legacy Dispute Resolution Scheme, 2019. The Scheme has now been notified and will be operationalized from 1stSeptember 2019. The Scheme would continue till 31st December 2019. Government expects the Scheme to be availed by large number of taxpayers for closing their pending disputes relating to legacy Service Tax and Central Excise cases that are now subsumed under GST so they can focus on GST. (Source:https://pib.gov.in/PressReleseDetail.aspx?PRID=1582683&RegID=3&LID=1)

10. PV Sindhu wins historic gold, crushes Nozomi Okuhara in BWF World

Championships final (Relevant for GS Prelims)

Source: India Today

BWF World Championships 2019: World No. 5 PV Sindhu crushed higher-ranked Nozomi Okuhara in straight games in the women’s singles final to win the elusive gold in her third successive final. Sindhu became the first Indian to win gold in BWF World Championship. Achievements

1. Sindhu finishes with her fifth medal at the world championships: 2013 - Bronze. 2014 - Bronze. 2017 - Silver. 2018 - Silver. 2019 - GOLD! 2. PV Sindhu became only the 4th singles player ever to have a full set of world championship medals. She has won 5 medals in just 6 appearances. 3. 5th rank PV Sindhu took on 3rd rank and former champion Nozomi Okuhara in a repeat of the 2017 World Championships final in Basel. Two years ago, the two shuttlers battled for





https://indianexpress.com/article/explained/assam-tea-at-rs-75000-kg-how-is-it-valued-how-is-it-sold-5905707/

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110 minutes, the longest final in the history of the tournament. However, Sindhu lost that final. Two years later, Sindhu never gave an opportunity to Okuhara to do anything close to what she did in 2017. The final was over in just 32 minutes. Sindhu won it 21-7, 21-7 in just 38 minutes to become the first Indian to win a gold at the BWF World Championships. (Source:https://www.indiatoday.in/sports/badminton/story/pv-sindhu-gold-medal-bwf-world-championships-2019-1st-indian-crushes-nozomi-okuhara-basel-straight-games-1591446-2019-08-25)

11. Manmohan Singh continues to have Z+ security: MHA (Read only for

understanding)

Source: The Hindu

Former

The Ministry of Home Affairs (MHA) said former Prime Minister Manmohan Singh continued to have Z plus security, a day after The Hindu reported that the Special Protection Group (SPG) would be withdrawn from his security detail shortly. About Special protection Group

The SPG, an elite protection force, was set up in 1985 after the assassination of former Prime Minister Indira Gandhi. The force comprising 3,000 officers meant for the Prime Minister, former Prime Ministers and their families would now be tasked with protecting only Prime Minister Narendra Modi, Congress president Sonia Gandhi and her children Rahul Gandhi and Priyanka Gandhi Vadra. Former Prime Minister A.B. Vajpayee continued to have SPG cover from 2004 when he demitted office till his death in 2018. During his tenure from 1999, the Vajpayee government conducted a review of the SPG’s operations and decided to withdraw its protection to former Prime Ministers P.V. Narasimha Rao, H.D. Deve Gowda, and I.K. Gujral. (Source:https://www.thehindu.com/news/national/manmohan-singh-continues-to-have-z-plus-security-mha/article29258434.ece)

12. Mobile application-“Janaushadhi Sugam” launched for locating outlets and

searching Generic medicines (Relevant for GS Prelims)

Source: PIB

Union Minister for Chemicals and Fertilizers, Shri D.V. Sadananda Gowda launched a mobile application “Janaushadhi Sugam” and had announced that “Jan Aushadhi Suvidha Oxo-Biodegradable Sanitary Napkin” will now be available at only One Rupee per pad.





https://www.indiatoday.in/sports/badminton/story/pv-sindhu-gold-medal-bwf-world-championships-2019-1st-indian-crushes-nozomi-okuhara-basel-straight-games-1591446-2019-08-25



https://www.thehindu.com/news/national/manmohan-singh-continues-to-have-z-plus-security-mha/article29258434.ece

https://www.thehindu.com/news/national/manmohan-singh-continues-to-have-z-plus-security-mha/article29258434.ece


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He said that the “Janaushadhi Sugam” will enable people to search Janaushadhi generic medicines and the stores on their mobile phones. Jan Aushadhi Suvidha Oxo-Biodegradable Sanitary Napkin

The Government of India launched “Jan Aushadhi Suvidha Oxo-Biodegradable Sanitary Napkin” at Rs 2.50 per pad on the eve of the World Environment Day 4thJune 2018. Jan Aushadhi Suvidha comes with a special additive, which makes it biodegradable when it comes in contact with oxygen after being discarded. Till 31stJuly 2019, over 1.30 crore pads were sold at Pradhan Mantri Bhartiya Janaushadhi Kendras. Janaushadhi Sugam

“Janaushadhi Sugam” mobile application would have user-friendly options like- to locate nearby Janaushadhikendra, direction guidance for location of the Janaushadhikendra through Google Map, search Janaushadhi generic medicines, analyse product comparison of Generic vs Branded medicine in form of MRP & overall Savings, etc. The mobile application is available on both Android & iOS platforms. It can be downloaded free of cost by the user from Google Play Store and Apple Store. (Source:https://pib.gov.in/PressReleseDetail.aspx?PRID=1583141&RegID=3&LID=1)

13. Tenzing Norgay National Adventure Award 2018 Announced (Relevant for GS

Prelims)

Source: PIB

Tenzing Norgay National Adventure Awards are given every year to recognize the achievements of persons in the fields of adventure, to encourage young people to develop the spirit of endurance, risk–taking, cooperative teamwork and quick, ready and effective reflexes in challenging situations and to provide incentive to the young people for getting exposed to the adventure activities. The award is given in four categories namely, Land Adventure, Water Adventure, Air Adventure and Life Time Achievement. This year National Selection Committee was constituted under the chairpersonship of Secretary (Youth Affairs). The Committee had expert members from the field of adventure. Based on the recommendations of the Committee and after due scrutiny, the Government has decided to confer awards The awardees will receive their awards from the President of India along with other Sports Awardees at the Rashtrapati Bhawan on 29th August, 2019. They will receive statuettes, certificates and award money of Rs. 5 lakh each. (Source:https://pib.gov.in/PressReleseDetail.aspx?PRID=1583116&RegID=3&LID=1)








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14. Kotla stadium renamed after Jaitley, not the ground (Relevant for GS Prelims)


Minutes after renaming Feroz Shah Kotla as Arun Jaitley Stadium, the Delhi and District Cricket Association (DDCA) Tuesday issued a clarification to state that “the stadium has been named as Arun Jaitley Stadium. The ground will continue to be called Feroz Shah Kotla”.

‘San-Sadhan’ Hackathon (Relevant for GS Prelims)

Source: PIB

The government calls for applications for its latest initiative under the Swachh Bharat Mission, called the ‘San-Sadhan’ Hackathon, an initiative to ease lives of Persons with Disabilities (Divyangjan) by making toilets smarter, more accessible, and easier to use. In this hackathon, the government is looking for smart, scalable and innovative solutions for economical toilets for individual and community use in rural and urban contexts. The initiative is being organized jointly by the Ministry of Jal Shakti and the Department of Empowerment of Persons with Disabilities, in collaboration with Atal Innovation Mission, NITI Aayog, Bill & Melinda Gates Foundation, and 91springboard. 15. NISHTHA -world’s largest teachers’ training programme (Relevant for GS Prelims)

Source: PIB

Union Human Resource Development Minister Shri Ramesh Pokhriyal ‘Nishank’ launched the National Mission to improve Learning Outcomes at the Elementary level- NISHTHA, National Initiative for School Heads and Teachers Holistic Advancement. NISHTHA Website, Training Modules, Primer Booklet and a Mobile App were also launched by the Minister. About NISHTHA

‘NISHTHA’ is to motivate and equip teachers to encourage and foster critical thinking in students. He said that teachers will get awareness and develop their skills on various aspects.





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