Daily Current Affairs

February 12, 2026

Current Affairs

NITI Aayog’s Methane Roadmap: Decarbonising India’s Waste Sector

Context: NITI Aayog’s report “Scenarios Towards Viksit Bharat and Net Zero – Sectoral Insights: Waste” identifies the waste sector as a methane-intensive emissions source. Although it contributes a small share of India’s overall greenhouse gas emissions, its climate impact is significant due to methane’s high warming potential. The report outlines strategies to decarbonise waste systems and support India’s long-term Net Zero pathway.

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Waste Sector Emissions Profile

The waste sector contributes only about 2.56% of India’s total GHG emissions, yet it remains disproportionately damaging because of methane dominance. Methane (CH₄) has a global warming potential nearly 25 times higher than CO₂, making its control crucial for near-term climate gains.

A key finding is that nearly 74% of waste-sector emissions originate from wastewater systems, highlighting gaps in sewage collection, treatment infrastructure, and anaerobic decomposition management.

Under the Net Zero Scenario (NZS), waste-sector emissions are projected to decline by around 95.9%, reaching only 10.9 MtCO₂e by 2070, provided aggressive methane mitigation and circular waste management are implemented.

Strategic Pillars for Waste Sector Decarbonisation

NITI Aayog proposes multiple transformation pillars:

1. Universal Methane Recovery

Achieve 100% methane recovery by 2040, especially from industrial wastewater. Sewage treatment should prioritise anaerobic processes integrated with energy recovery systems to prevent methane leakages.

2. Decentralised Circularity

Biodegradable waste should be processed through bio-methanation and Bio-CNG production, stabilising per capita waste generation while converting waste into clean fuel.

3. Wastewater Reuse Expansion

Sewerage coverage should expand towards 85% national coverage, along with large-scale reuse of treated wastewater in agriculture, industry, and urban services.

4. Legacy Waste Remediation

India must accelerate scientific closure of open dumpsites and shift towards engineered sanitary landfills, reducing methane release from decaying organic waste.

5. IoT-Based Monitoring

A unified national waste-data architecture using IoT-enabled sensors can support real-time monitoring, transparency, and regulatory compliance.

Aerobic vs Anaerobic Treatment

  • Aerobic treatment uses oxygen and produces mainly CO₂, with relatively lower methane emissions.
  • Anaerobic treatment generates methane, but if methane is captured, it enables biogas recovery and higher energy efficiency.
    Thus, anaerobic systems are preferable only when paired with strict methane capture mechanisms.

Key Challenges

  • Weak segregation and only 75–78% collection efficiency
  • Sewage generation of 72,000 MLD, but treatment capacity only 31,000 MLD
  • Presence of 3,000+ dumpsites, continuously emitting methane
  • Infrastructure gaps in STPs, landfills, and scientific processing systems

Way Forward

NITI Aayog recommends methane recovery expansion through schemes like SATAT, improving segregation via SBM (Urban) 2.0, scaling STPs under AMRUT, and strengthening rural circular economy models through GOBAR-dhan.

Conclusion

Waste sector decarbonisation is a high-impact climate strategy for India. Methane mitigation through wastewater reform, circular bioenergy systems, and scientific dumpsite remediation can deliver rapid emission cuts and support the Net Zero vision.

RBI Draft Guidelines for Loan Recovery Agents: Strengthening Borrower Protection

Context: As reported by The Hindu, the Reserve Bank of India (RBI) has issued comprehensive draft guidelines to regulate the conduct of bank employees and loan recovery agents. These directions aim to curb coercive recovery practices, safeguard borrower dignity, and strengthen ethical standards in credit recovery. The guidelines will apply to all Commercial Banks, including Regional Rural Banks (RRBs) and Small Finance Banks, and are proposed to come into force from 1 July 2026.

Key Highlights of the Draft Guidelines

  1. Civil and Ethical Conduct
    Banks and their agents must interact with borrowers strictly in a civil manner. Harassment, abusive language, intimidation, or threats are explicitly prohibited, reinforcing fair debt collection norms.
  2. Contact Restrictions
    Recovery-related calls or visits are permitted only between 8:00 AM and 7:00 PM. Agents are barred from contacting borrowers during sensitive personal occasions such as bereavement, weddings, or medical emergencies.
  3. Authorisation and Transparency
    Before assigning a recovery agent, banks must inform borrowers in writing. Agents must carry a valid authorisation letter and identity card during visits, ensuring transparency and accountability.
  4. Agent Certification and Training
    All recovery agents must undergo ethical debt collection training and obtain certification from the Indian Institute of Banking and Finance (IIBF), professionalising recovery practices.
  5. Privacy Protection
    The guidelines reinforce the borrower’s Right to Privacy. Agents may communicate only with the borrower or guarantor, and not with family members, neighbours, or workplace colleagues.
  6. Grievance Redressal First
    Banks can refer recovery cases to agents only after resolving pending borrower grievances, preventing premature or unfair recovery action.
  7. Incentive Structure Reform
    Banks must redesign incentive mechanisms to ensure they do not encourage aggressive or unethical recovery behaviour.

Significance

  • Borrower Dignity: Curtails harassment and coercion in loan recovery.
  • Consumer Protection: Aligns banking practices with constitutional privacy principles.
  • Institutional Accountability: Shifts responsibility squarely onto banks for agent conduct.
  • Ethical Credit Culture: Encourages trust-based lending and repayment systems.

UAE–India Corridor: A New Axis of Trade, Capital and Technology

Context: The UAE–India corridor is emerging as a high-impact economic partnership driven by aligned policies, cross-border investments, and technology collaboration. It reflects how India’s Gulf engagement is evolving from an energy-focused relationship to a strategic growth corridor connecting Asia with Africa, West Asia, and Eurasia.

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India–UAE Upswing

India and the UAE have witnessed a major acceleration in economic ties after the Comprehensive Economic Partnership Agreement (CEPA), 2022. The CEPA target of $100 billion bilateral trade by 2030 was achieved five years early, leading both sides to set a new goal of $200 billion trade by 2032.

The partnership is also diversifying rapidly:

  • Non-oil trade rose by 20% last year to $65 billion, reflecting reduced dependence on hydrocarbons.
  • Since 2000, the UAE invested $22 billion in India, while India invested $16 billion in the UAE.

The corridor is reinforced by strong people-to-people ties, with nearly 5 million Indians living in the UAE and enabling over 1,200 weekly flights, making it one of the world’s most connected migration and business routes.

Strategic Significance of the Corridor

The corridor is being reshaped by advanced sectors such as manufacturing, logistics, finance, and technology. Major projects include:

  • Reliance–TA’ZIZ $2 billion low-carbon chemicals initiative
  • Ashok Leyland’s shift of electric bus production to the UAE
  • L&T’s Abu Dhabi solar-plus-storage expansion

Financial integration is also deepening:

  • Emirates NBD’s acquisition of RBL Bank marks the largest FDI in Indian banking.
  • DP World’s additional $5 billion commitment to Indian infrastructure strengthens port-led connectivity.

Further, Bharat Mart is envisioned as a regional export platform for Africa, West Asia and Eurasia, potentially doubling India’s exports to these regions.

Key Pillars of India–UAE Cooperation

  • Policy Architecture: CEPA removed nearly 90% tariffs, and the 2024 Bilateral Investment Treaty strengthened investor confidence.
  • Technology Partnership: Collaboration on AI, data centres, and digital infrastructure, with India set to host the Global South AI Summit 2026.
  • Energy Security: ADNOC signed multi-billion-dollar LNG agreements with Indian Oil and HPCL.
  • Investment Depth: Mubadala has deployed $4 billion in India’s health, renewables and technology sectors, while the Abu Dhabi Investment Authority has a presence in GIFT City.

Challenges

  • Regional geopolitical instability may disrupt investment flows.
  • Regulatory differences in taxation, labour laws and compliance create friction.
  • AI and advanced manufacturing require strong talent pipelines.
  • Overdependence on a single corridor may increase vulnerability to external shocks.

Way Forward

India and the UAE should expand joint skill development, diversify investments into healthcare and renewables, and strengthen AI-driven innovation ecosystems to make the corridor a model for Global South cooperation.