Current Affairs

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Prussian Blue drug

Recently, the Drugs Controller General of India (DCGI) has granted manufacturing and marketing licenses for the commercial use of Prussian blue insoluble formulations, developed under the Technology Development Fund (TDF) scheme.

About Prussian blue:

  • or potassium ferric hexacyanoferrate is used as a medication to treat Thallium poisoning or radioactive Caesium poisoning.
  • It is one of the critical medicines listed by the World Health Organisation (WHO) for radiological and nuclear emergencies.

Drugs Controller General of India (DCGI):

  • DCGI is responsible for the approval of licences for specified categories of drugs such as blood and blood products, IV fluids, vaccines, and sera in India. It also sets standards for the manufacturing, sales, import, and distribution of drugs in India.
  • It comes under the Ministry of Health & Family Welfare.

Technology Development Fund (TDF) scheme:

  • TDF has been established to promote self-reliance in defence technology as a part of the 'Make in India' initiative.
  • It encourages the participation of public/private industries especially MSMEs to create an eco-system for enhancing cutting-edge technology capability for defence applications.
  • It is an initiative of the Ministry of Defence executed by the Defence Research and Development Organisation meeting the requirements of Tri-Services, Defence Production and DRDO.

Very Short Range Air Defence Systems (VSHORADS)

Defence Research and Development Organisation (DRDO) conducted two consecutive successful flight tests of the Very Short Range Air Defence System (VSHORADS) missile at the Integrated Test Range, Chandipur off the coast of Odisha recently.

About VSHORADS:

  • VSHORADS is a Man Portable Air Defence System (MANPAD) meant for neutralising low-altitude aerial threats at short ranges.
  • Designed and developed by: Defence Research and Development Organisation
  • The missile is propelled by a dual-thrust solid motor that incorporates many technologies including Dual-band Imaging Infra-Red Seeker, a miniaturised Reaction Control System (to increase mid-air manoeuvrability) and integrated avionics.

Significance:

  • An effective Air Defence weapon system that can be deployed quickly in rugged terrain and maritime domain.
  • Being man-portable and lightweight compared to the other missile systems, it can be deployed in the mountains close to the LAC at a short notice and will be the best option for mountain warfare.

What are MANPADS?

  • MANPADS are short-range, lightweight and portable surface-to-air missiles.
  • They can be fired by individuals or small groups to destroy aircraft or helicopters.
  • They are fitted with infrared (IR) seekers that identify and target the airborne vehicle through heat radiation being emitted by the latter.
  • They have ‘fire and forget’ guidance systems i.e., the operator is not required to guide the missile to its target, enabling them to run and relocate immediately after firing.
  • They shield troops from aerial attacks and are most effective in targeting low-flying aircraft.
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Judicial Activism & Overreach

The Supreme Court’s decision to refer to a Constitution Bench the issue of granting legal recognition to same-sex marriages can be seen as an important step towards ensuring gender equality, despite apprehension that it is encroaching on the legislative domain.

Judicial legislation / Judicial Activism

  • Higher judiciary has given several prominent decisions which have raised the eyebrows of constitutional experts regarding the breach of separation of power in India.
  • There are several instances where legislature has delayed the anticipated or warranted actions. Such legislative inaction on burning social issues legitimises and invite judicial intervention.

Instances of Judicial legislation

  • Placing limitations on the President rule through S.R. Bommai Judgement in 1994.
  • The much needed sexual harassment at work place guidelines through Vishaka Guidelines.
  • Supreme Court in  M.C. Mehta vs Union Of India (2018); ruled that  no   motor   vehicle conforming   to   the   emission   standard   Bharat   Stage IV shall be sold or registered in the entire country with effect from 1st April 2020.
  • Supreme Court of India in a landmark case of Laxmi Kant Pandey Vs. Union of India (1984) laid down few principles governing the rules for Inter-Country adoption.

What exactly is Judicial Activism?

  • Judicial activism in India refers to the proactive role played by the judiciary in interpreting the Constitution and laws to promote social justice and protect fundamental rights. The Supreme Court of India has been particularly active in shaping public policy and addressing issues that affect the lives of millions of people in India. Judicial activism has been seen as a positive force for change in India, particularly in cases where the legislature or executive has failed to take action on important issues. However, there have also been concerns about judicial overreach, where the courts are perceived to have gone beyond their constitutional role and interfered with the functioning of the other branches of government.
  • One of the most famous examples of judicial activism in India is the case of Kesavanada Bharati v. State of Kerala, which established the principle of "basic structure" of the Constitution. The Court held that certain fundamental features of the Constitution, such as democracy, secularism, and the rule of law, are essential and cannot be amended by the Parliament.
  • While judicial activism can be seen as a positive force for change, critics argue that it can also undermine the democratic process and encroach on the role of the legislature and executive. Nevertheless, the Supreme Court of India continues to be an active participant in shaping the country's legal and political landscape.
 Judicial Activism  Judicial Overreach
What is it?Judicial activism is manifested when the Supreme Court (or High Court) becomes an activist and compels the authority to act and sometimes also direct the government, government policies and administration.  It is an extreme form of judicial activism where arbitrary and unreasonable interventions are made by the judiciary into the domain of the legislature or executive. The court encroaches upon the role of the legislature by making laws.
Instances:Directing the Centre to create a new policy to handle drought.   Directing the Centre to set up a bad loans panel.   Reforming Board for the Control of Cricket in India (a private body).Directing the govt to constitute collegium to appoint EC.   Instituting collegiums (an extra-constitutional body)   Invalidating the National Judicial Accountability Commission Act, 2014 seeking to ensure transparency and accountability in higher judiciary

Causes of Judicial activism and Judicial Overreach:

  • Asymmetry of power: Supreme Court is the most powerful branch of governance. It’s every judgment is binding on the other two branches (legislature and executive) and it can strike down their actions as well as their laws.
  • Public Interest Litigation (PIL): PIL permitted any member of the society to file a case for appropriate directions against any injustice. Consequently, the expectations of the public went high for judicial intervention to improve the administration.
  • Lackadaisical approach of other organs: Lax functioning of the legislature and executive may result in corruption, delay, non-responsiveness, or inefficiency in the governance. These things create a vacuum in governance. Most of the time such vacuums are filled by the judiciary.
  • Other factors: Growing consciousness of people for their rights, globalization, active media and civil society organizations, concerns for the environment among others are also considered important reasons for judicial activism and judicial overreach.

Concerns over Judicial overreach in India

While judicial activism has been seen as a positive force for change in India, there have also been concerns about judicial overreach, where the courts are perceived to have gone beyond their constitutional role and interfered with the functioning of the other branches of government.

  • Undermines the separation of powers between the judiciary, legislature, and executive. Critics argue that by making policy decisions, the judiciary is encroaching on the domain of the elected representatives and upsetting the delicate balance of power between the branches of government.
  • Lack of accountability towards people: Judiciary as an institution is not accountable to the people in the same way as the legislature and the executive. Further, the judiciary also has the power to punish for ‘Contempt of court.’ This way the judiciary may evade public criticism for many of its actions.
  • Creates a sense of uncertainty and instability, as policies that have been enacted through the democratic process can be challenged in court. This can lead to a situation where the courts are perceived as overriding the will of the people and the democratic process.
  • There have been instances where the Supreme Court of India has been accused of judicial overreach. For example, the Court has been criticized for interfering in matters of executive decision-making, such as the appointment of government officials, the regulation of environmental policies, and the management of religious sites.

How to address the Judicial Activism?

To address these concerns, there have been calls for greater judicial restraint and for the courts to limit their interventions in matters that are primarily the responsibility of the other branches of government.

  • Encourage Judicial Restraint: Judicial restraint refers to the idea that judges should limit their role to interpreting laws rather than creating them. To ensure that judicial activism does not undermine the democratic process, it is important to encourage judges to practice restraint and only intervene when necessary to protect fundamental rights or address clear injustices.
  • Foster Public Education: One of the criticisms of judicial activism is that it can be perceived as anti-democratic or elitist. To address this, it is important to foster public education on the role of the judiciary and the benefits of judicial activism. This can help citizens understand why judges sometimes need to use their power to protect the interests of marginalized groups or uphold constitutional values.
  • Promote Transparency and Accountability: To ensure that judicial activism is not abused, it is important to promote transparency and accountability in the judicial process. This can include measures such as public access to court proceedings and records, clear guidelines for judicial decision-making, and oversight mechanisms to ensure that judges are held accountable for their actions.
  • Foster Judicial Diversity: To promote fair and just decision-making, it is important to foster judicial diversity. This can include increasing the representation of women, minorities, and other marginalized groups on the bench, as well as promoting judicial education on issues related to social justice and human rights.
  • Encourage Dialogue and Debate: Finally, it is important to encourage dialogue and debate on the role of the judiciary and the use of judicial activism. This can include public forums, academic conferences, and other platforms for discussing the benefits and drawbacks of judicial activism and how it can be used in a way that is consistent with democratic principles.

By adopting these approaches, we can ensure that judicial activism is used in a way that upholds the principles of democracy, rule of law, and justice, and helps to promote a more just and equitable society.

Why is WhatsApp threatening to leave U.K.?

During a recent visit to the UK, WhatsApp's head Will Cathcart stated that the company would not comply with the proposed Online Safety Bill, which would effectively ban end-to-end encryption.

What is end-to-end encryption?

The concept of end-to-end (E2E) encryption provides a high level of security for communication by ensuring that only the intended recipient can access the message. Each message is encrypted using a unique decryption key that is specific to both the sender-recipient pair and the message itself. As a result, even the messaging service provider is unable to decrypt the message, providing complete privacy and security. E2E encryption has gained significant traction in recent years, and several popular messaging platforms like WhatsApp, Signal, Apple's iMessage and FaceTime have already adopted it as the default security measure.

What is United Kingdom’s Online Safety Bill?

The proposed British Online Safety Bill aims to improve online safety by placing "duty of care" obligations on online platforms. Clause 110 of OSB, allows the regulator to issue notices to internet service providers to identify and take down terrorism and Child Sex Exploitation and Abuse content communicated "publicly or privately." This would require messaging apps to scan messages and potentially break end-to-end encryption.

Criticism of Online Safety Bill:

  •  The provisions of the bill would erode the benefits of encryption in private communications, reduce internet safety for UK citizens and businesses, and compromise freedom of speech.
  • Matthew Hodgson, co-founder of Element, argues that the idea of effectively requiring backdoors into private content such as encrypted messaging is controversial and would be used by bad actors.
  • Concerns have been raised about how some of the provisions in the bill will be enforced and whether the government will prosecute vulnerable individuals, such as teenagers, for posting their own self-harm images online.

What if the platforms don’t comply?

They may face penalties up to £18 million or 10% of the platforms global revenue of the preceding accounting year.

Similar law in India:

Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules 2021:  It is made mandatory for messaging platforms with more than 5 million users in India to “enable the identification of the first originator” of a message (also called traceability). This does not involve scanning and flagging of all encrypted content, but rather aims to locate the initial source of a message that has been forwarded multiple times.

Conclusion:

Social media platforms need careful regulation and content moderation to address the spread of harmful content, while preserving benefits. Balancing regulation with freedom of expression and respecting individuals' rights is crucial. Collaboration between governments, tech companies, civil society organizations, and users is needed to create a responsible online environment.

Declining Bad Assets

  • The Reserve Bank of India (RBI) has reported a sharp decline in gross non-performing assets (NPAs), or bad loans, in the banking system in the last two years, but wilful defaults have shot up with more legacy loan accounts now getting added to the wilful default category.
  • There has been a rise of 38.50% or Rs 94,000 crore, in wilful defaults in the last two years, reflecting the gaps in loan appraisals and risk management in the banking sector.
  • According to the RBI’s ‘Report on trends and progress of banking’, overall NPAs have fallen from 7.3% (of total advances) in 2021 to 5% by September 2022. In absolute numbers, gross NPAs (which also include wilful defaults) of banks reduced by 19.5% to Rs 6.1 lakh crore as of December 31, 2022 as against Rs 7.5 lakh crore over a year ago.

Basics Of Bad Assets:

  • Non-Performing Assets (NPA): An asset that is not returning in the form of principal or interest during the last 90 reporting days is classified as NPA.
  • Gross Non-Performing Assets (GNPA): GNPA is an absolute amount which reflects the total value of non-performing assets for the bank in a particular financial year.
  • Net Non-Performing Assets (NNPA): NNPA subtracts the provisions made by the bank from the gross NPA. Hence, net NPA gives you the exact value of non-performing assets after the bank has made specific provisions for it.
  • Provisioning is a mechanism to deal with bad assets. Under provisioning, banks have to set aside some funds to a prescribed percentage of their bad assets. The percentage of bad assets that has to be ‘provided for’ is called provisioning coverage ratio. The provisioning coverage ratio is the percentage of bad assets that the bank has to provide for from their own funds –most probably from profit.
  • Wilful default: is deemed to have occurred if the borrower has defaulted in meeting their repayment obligations to the lender even when they have the capacity to honour the said obligations.

Impact of Non-Performing Assets:

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Reasons For Declining NPAs:

  • Drop in slippage ratio: The slippage ratio is the rate at which good loans are turning bad. It is the ratio of “Fresh accretion of NPAs during the year” to “Total standard assets at the beginning of the year”.
  • The slippage ratio is around 2% in September 2022 for SCBs, which is the lowest since 2015. Low slippage shows how well the asset qualities are managed by the bank.
  • Increasing write-offs: Banks voluntarily choose to write off NPAs to maintain healthy balance sheets. According to the data given by the Finance Ministry, banks had written-off bad loans worth ₹ 10,09,511 crore in the last 5 years. In the first half of FY 2022-23, the loan write-offs as a ratio of GNPAs increased to 22.6%.

These factors not only helped in reducing the share of bad assets but also increased the profitability of scheduled commercial banks in the last one year.

EU-India: Trade and Technology Council (TTC)

Aim of the TTC

  • The EU-India Trade and Technology Council (TTC) is a high-level coordination platform, which will allow the EU and India to tackle strategic challenges at the nexus of trade, trusted technology and security, and to deepen their bilateral relationship in these fields. It should help ensure political commitments are implemented on the ground.

Why is it Needed?

  • In a rapidly changing geopolitical environment, the EU and India have a common interest in ensuring security, prosperity and sustainable development based on shared values.
  • The TTC will provide the political steer and the necessary structure to coordinate approaches and advance technical work.
  • To lay the groundwork, both sides have agreed to work on critical areas such as connectivity, green technologies and resilient supply chains.

Format:

  • The TTC will be co-chaired on the EU side by the Executive Vice-Presidents (EVP) of the European Commission in charge of digital technology and trade.
  • The TTC will be co-chaired on the Indian side by the Ministers in charge of External Affairs, Commerce & Industry, and Electronics & Information Technology.
  • Both sides will invite other Members of the College/Ministers to contribute to TTC meetings depending on the issues discussed. When issues to be discussed at the TTC fall under the competences of the High Representative/Vice-President the HRVP will participate in the relevant meeting.
  • Meetings of the TTC will take place at least once a year, with the venue alternating between the EU and India. Meetings of the TTC could take place in person or virtually.
  • Ministerial meetings of the TTC will rely on the preparatory work of three working groups:
    • Strategic technologies, digital governance and digital connectivity: the group will work jointly on areas of mutual interest such as digital connectivity, Artificial Intelligence, 5G/6G, high performance and quantum computing, semiconductors, cloud systems, cybersecurity, digital skills and digital platforms.
    • Green & clean energy technologies: this group will focus on green technologies, including investment and standards, with emphasis on research and innovation. Areas to be explored could be clean energy, circular economy, waste management, plastic and litter in the ocean. It will also foster cooperation between EU and Indian incubators, SMEs and start-ups.
    • Trade, investment and resilient value chains: the group will work on the resilience of supply chains and access to critical components, energy, and raw materials. It will also work to resolve identified trade barriers and global trade challenges by promoting cooperation in multilateral fora. It will work towards promotion of international standards and cooperation on addressing global geopolitical challenges.
  • Ministerial meetings of the TTC will take place at least once a year, with the venue alternating between the EU and India. As of today, the three working groups are established and will begin their cooperation. The first EU-India ministerial meeting is planned to be held in spring 2023.

Way Forward:

  • The partnership with India is one of the most important relationships for the upcoming decade and strengthening this partnership, including through the TTC, is a priority. The cooperation in the TTC should focus on key issues of shared strategic importance, including trade, trusted technology and security, notably in respect of challenges posed by rival governance models. In this context, cooperation on research and innovation are important to unlock potential.
  • The EU-India Trade and Technology Council is the second such bilateral forum for the EU and the first one established with any partner for India. It will complement the Digital Partnerships already launched with Asian partners as part of the EU Strategy for Cooperation in the Indo-Pacific.

Petroleum and Natural Gas Regulatory Board (PNGRB)

  • The Petroleum and Natural Gas Regulatory Board (PNGRB) was constituted under The Petroleum and Natural Gas Regulatory Board Act, 2006.
  • The Act provides for the establishment of Petroleum and Natural Gas Regulatory Board to protect the interests of consumers and entities engaged in specified activities relating to petroleum, petroleum products and natural gas and to promote competitive markets and for matters connected therewith or incidental thereto.
  • Further as enshrined in the act, the board has also been mandated to regulate the refining, processing, storage, transportation, distribution, marketing and sale of petroleum, petroleum products and natural gas excluding production of crude oil and natural gas so as and to ensure uninterrupted and adequate supply of petroleum, petroleum products and natural gas in all parts of the country.

Vision of PNGRB

To create a vibrant energy market with rapid and orderly growth, we aim to facilitate the flow of investments into basic infrastructure. This infrastructure supports the efficient transportation and distribution of petroleum, petroleum products, and natural gas at minimum cost.

Additionally, we are committed to a high level of protection of consumer interests. This is achieved through fair trade practices and fostering competition amongst entities. Our goal is to ensure the enhanced competitiveness of the Indian economy and achieve high customer satisfaction.

Powers regarding complaints and resolutions of disputes by the Board

  • The Board shall have jurisdiction to:
    • Adjudicate upon and decide any dispute or matter arising amongst entities or between an entity and any other person on issues relating to refining, processing, storage, transportation, distribution, marketing and sale of petroleum, petroleum products and natural gas, unless the parties have agreed for arbitration.
    • Receive any complaint from any person and conduct any inquiry and investigation connected with the activities relating to petroleum, petroleum products and natural gas on contravention of:
      • Retail service obligations;
      • Marketing service obligations;
      • Display of retail price at retail outlets;
      • Terms and conditions subject to which a pipeline has been declared as common carrier or contract carrier or access for other entities was allowed to a city or local natural gas distribution network, or authorisation has been granted to an entity for laying, building, expanding or operating a pipeline as common carrier or contract carrier or authorisation has been granted to an entity for laying, building, expanding or operating a city or local natural gas distribution network;
      • Any other provision of this Act or the rules or the regulations or orders made there under.
  • While deciding a complaint, the Board may pass such orders and issue such directions as it deems fit or refer the matter for investigation.

Functions of Board: The Board shall

  • Protect the interest of consumers by fostering fair trade and competition amongst the entities;
  • Register entities to:
    • Market notified petroleum and petroleum products and, subject to the contractual obligations of the Central Government, natural gas;
    • Establish and operate liquefied natural gas terminals;
    • Establish storage facilities for petroleum, petroleum products or natural gas exceeding such capacity as may be specified by regulations;
  • Authorise entities to: lay, build, operate or expand a common carrier or contract carrier or expand city or local natural gas distribution networks;
  • Declare pipelines as common carrier or contract carrier;
  • Regulate, by regulations:
    • Access to common carrier or contract carrier so as to ensure fair trade and competition amongst entities and for that purpose specify pipeline access code;
    • Transportation rates for common carrier or contract carrier;
    • Access to city or local natural gas distribution network so as to ensure fair trade and competition amongst entities as per pipeline access code;
  • In respect of notified petroleum, petroleum products and natural gas:
    • Ensure adequate availability;
    • Ensure display of information about the maximum retail prices fixed by the entity for consumers at retail outlets;
    • Monitor prices and take corrective measures to prevent restrictive trade practice by the entities;
    • Secure equitable distribution for petroleum and petroleum products;
    • Provide, by regulations, and enforce, retail service obligations for retail outlets and marketing service obligations for entities;
    • Monitor transportation rates and take corrective action to prevent restrictive trade practice by the entities;
  • Levy fees and other charges as determined by regulations;
  • Maintain a data bank of information on activities relating to petroleum, petroleum products and natural gas;
  • Lay down, by regulations, the technical standards and specifications including safety standards in activities relating to petroleum, petroleum products and natural gas, including the construction and operation of pipeline and infrastructure projects related to downstream petroleum and natural gas sector;
  • Perform such other functions as may be entrusted to it by the Central Government to carry out the provisions of this Act.

National Horticulture Board

About National Horticulture Board (NHB):

  • The NHB was set up by the Government of India in 1984 as an Autonomous organisation under the administrative control of the Ministry of Agriculture and Farmers Welfare.
  • It is registered as a society under Societies Registration Act with its headquarters at Gurugram.
  • Presently, NHB has 29 field offices located all over the country.

Aims & Objectives of NHB Schemes:

The main objectives of the NHB are to improve integrated development of the Horticulture industry and to help in coordinating, sustaining the production and processing of fruits and vegetables. Detailed objectives of the Board are as under:-

  • Development of hi-tech commercial horticulture in identified belts and make such areas vibrant with horticultural activity, which in turn will act as hubs for development of horticulture.
  • Development of modern post-harvest management infrastructure as an integral part of area expansion projects or as a common facility for clusters of projects.
  • Development of integrated, energy efficient cold chain infrastructure for fresh horticulture produce.
  • Popularisation of identified new technologies / tools / techniques for commercialization / adoption, after carrying out technology and need assessment.
  • Assistance in securing availability of quality planting material by promoting setting up of scion and rootstock banks / mother plant nurseries and carrying out accreditation / rating of horticulture nurseries and need based imports of planting material.
  • Promotion and market development of fresh horticultural produce.
  • Promotion of field trials of newly developed/imported planting materials and other farm inputs; production technology; PHM protocols, INM and IPM protocols and promotion of applied R&D programmes for commercialization of proven technology.
  • Promotion of Farm Mechanization in Horticulture through demonstration and its uses at farmers field level to reduce labour cost and increase the productivity of Horticulture crops.
  • Promotion of applied R & D for standardising PHM protocols, prescribing critical storage conditions for fresh horticulture produce, benchmarking of technical standards for cold chain infrastructure etc.
  • Transfer of technology to producers/farmers and service providers such as gardeners, nurserymen, farm level skilled workers, operators in cold storages, work force carrying out post harvest management including processing of fresh horticulture produce and to the master trainers.
  • Promotion of consumption of horticulture produce and products.
  • Promoting long distance transport solutions for bulk movement of horticulture produce through rail etc.
  • Carrying out studies and surveys to identify constraints and develop short and long term strategies for systematic development of horticulture and providing technical services including advisory and consultancy services.

Power Sector in India

  • Power is among the most critical components of infrastructure, crucial for the economic growth and welfare of nations. The existence and development of adequate power infrastructure is essential for sustained growth of the Indian economy.
  • The fundamental principle of India’s power industry has been to provide universal access to affordable power in a sustainable way.
  • The Government has made significant efforts over the past few years to turn the country from one with a power shortage to one with a surplus by establishing a single national grid, fortifying the distribution network, and achieving universal household electrification.
  • India’s power sector is one of the most diversified in the world. Sources of power generation range from conventional sources such as coal, lignite, natural gas, oil, hydro and nuclear power, to viable non-conventional sources such as wind, solar, agricultural and domestic waste.
  • Electricity demand in the country has increased rapidly and is expected to rise further in the years to come. In order to meet the increasing demand for electricity in the country, massive addition to the installed generating capacity is required.

Facts Associated with Power Sector in India:

  • India was ranked 4th in wind power, 5th in solar power and 4th in renewable power installed capacity, as of 2020.
  • India is the only country among the G20 nations that is on track to achieve the targets under the Paris Agreement.
  • As of October 31, 2022, India’s installed renewable energy capacity (including hydro) stood at 165.94 GW, representing 40.6% of the overall installed power capacity.
    • Solar energy is estimated to contribute 61.62 GW, followed by 41.84 GW from wind power, 10.70 GW from biomass, 4.92 GW from small hydropower, and 46.85 GW from hydropower.
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  • The peak power demand in the country stood at 210.79 GW on June 9, 2022.

Why is India at an Advantage:

  • Growing Demand:
    • India is the third-largest producer and consumer of electricity worldwide, with an installed power capacity of 408.71 GW as of October 31, 2022.
    • Growing population along with increasing electrification and per-capita usage will provide further impetus. Power consumption is estimated to reach 1,894.7 TWh in 2022.
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  • Attractive Opportunities:
    • Under the Union Budget 2022-23, the government announced the issuance of sovereign green bonds, as well as conferring infrastructure status to energy storage systems, including grid-scale battery systems.
    • In the same budget, Rs. 19,500 crore (US$ 2.57 billion) was allocated for a PLI scheme to boost manufacturing of high-efficiency solar modules.
  • Policy Support:
    • 100% FDI allowed in the power sector has boosted FDI inflow in this sector.
    • Schemes such as Deen Dayal Upadhyay Gram Jyoti Yojana (DDUGJY) and Integrated Power Development Scheme (IPDS) are expected to augment electrification across the country.
  • Higher Investments:
    • As per the National Infrastructure Pipeline 2019-25, energy sector projects accounted for the highest share (24%) out of the total expected capital expenditure of Rs. 111 lakh crore (US$ 1.4 trillion).
    • Total FDI inflow in the power sector reached US$ 16.39 billion between April 2000-June 2022.

Issues Associated with Power Sector

  • Challenges in fuel supply: include unequal contractual provisions, inadequate supply, and poor transport logistics. Coal is transported over long distances through railways, but such long haulage leads to increased delivery costs, thefts and life-cycle energy consumption
  • Challenges to open access: While all states in India have notified open access, only 19 have determined all the charges (cross-subsidy charges, wheeling charges, transmission charge) on open access.
  • Poor financial health of DISCOMS: The main causes of which include unmetered consumption, low collection efficiency, and high technical losses due to insufficient capital expenditure on up-gradation of existing infrastructure. The extent of commercial losses of DISCOMS across India increases by over 50% in the absence of subsidy.
  • High Transmission & Distribution Losses: averaging about 22.3% of electricity which is very high as compared to those of the developed countries (6-11%).
  • Under-procurement of power by states - cancelling out costlier Power Purchase Agreements (PPAs) in favour of newer and cheaper agreements.
  • Coordination Issues: Multiple ministries and agencies are currently involved in managing energy-related issues which presents challenges of coordination and optimal resource utilisation, thus undermining efforts to increase energy security.

Government Policies & Initiatives

The Government of India has identified the power sector as a key sector of focus to promote sustained industrial growth. Some initiatives by the Government to boost the Indian power sector are as below:

  • In the Union Budget 2022-23, the government allocated Rs. 19,500 crore (US$ 2.57 billion) for a PLI scheme to boost manufacturing of high-efficiency solar modules.
  • As of August 24, 2022, over 36.86 crore LED bulbs, 72.18 lakh LED tube lights and 23.59 lakh energy-efficient fans have been distributed across the country, saving around 48,411 million kWh per year and around Rs. 19,332 crore (US$ 2.47 billion) in cost savings.
  • As of November 2022, over 51.62 lakh smart metres have been deployed under the National Smart Grid Mission (NSGM), with a further 61.13 lakh to be deployed.
  • Electrification in the country is increasing with support from schemes like Deen Dayal Upadhyay Gram Jyoti Yojana (DDUGJY), Ujwal DISCOM Assurance Yojana (UDAY), and Integrated Power Development Scheme (IPDS).
  • In order to meet India’s 500 GW renewable energy target and tackle the annual issue of coal demand supply mismatch, the Ministry of Power has identified 81 thermal units which will replace coal with renewable energy generation by 2026.
  • In February 2022, a parliamentary standing committee recommended the government to take steps to increase the loan limit for the renewable energy sector under priority sector lending. The current limit stands at Rs. 30 crore (U$ 3.93 million).
  • In November 2021, the government announced future plans to increase the funding under the PLI scheme for domestic solar cells and module manufacturing to Rs. 24,000 crore (US$ 3.17 billion) from the existing Rs. 4,500 crore (US$ 594.68 million) to make India an exporting nation.
  • In November 2021, Energy Efficiency Services Limited (EESL) stated that it will partner with private sector energy service companies to scale up its Building Energy Efficiency Programme (BEEP).
  • The Pradhan Mantri Sahaj Bijli Har Ghar Yojana, “Saubhagya”, was launched by the Government of India with an aim of achieving universal household electrification. As of March 2021, 2.82 crore households have been electrified under this scheme.

Road Ahead

  • In the current decade (2020-2029), the Indian electricity sector is likely to witness a major transformation with respect to demand growth, energy mix and market operations.
  • India wants to ensure that everyone has reliable access to sufficient electricity at all times, while also accelerating the clean energy transition by lowering its reliance on dirty fossil fuels and moving toward more environmentally friendly, renewable sources of energy.
  • Future investments will benefit from strong demand fundamentals, policy support and increasing government focus on infrastructure.
  • The Government of India is preparing a 'rent a roof' policy for supporting its target of generating 40 GW of power through solar rooftop projects by 2022. It also plans to set up 21 new nuclear power reactors with a total installed capacity of 15,700 MW by 2031.
  • The Central Electricity Authority (CEA) estimates India’s power requirement to grow to reach 817 GW by 2030. Also, by 2029-30, CEA estimates that the share of renewable energy generation would increase from 18% to 44%, while that of thermal energy is expected to reduce from 78% to 52%.
  • The government plans to establish a renewable energy capacity of 500 GW by 2030.

TELANGANA GOVT. MOVES SC AGAINST GOVERNOR

Delaying of Bills by the Governors has become a recent flashpoint especially in opposition ruled states. On this premise, State Government of Telangana has filed a writ petition before the Supreme Court under its extraordinary jurisdiction under Article 32 of the Indian Constitution against Telangana Governor for her refusal to approve ten bills passed by state assembly. Providing assent to Bills passed by the State Legislature has been provided under Article 200 of the Indian Constitution.

Relation of Extraordinary Jurisdiction with PILs

  • Supreme Court has started entertaining matters in which interest of the public at large is involved.
  • Such petitions can be moved by any individual or group of persons either by filing a Writ Petition at the Filing Counter of the Court or
  • by addressing a letter to Hon'ble the Chief Justice of India highlighting the question of public importance for invoking this jurisdiction.
  • Such concept is popularly known as 'Public Interest Litigation' and several matters of public importance have become landmark cases.
  • This concept is unique to the Supreme Court of India only and perhaps no other Court in the world has been exercising this extraordinary jurisdiction.
  • A Writ Petition filed is dealt with like any other Writ Petition and processed as such.
  • In case of a letter addressed to Hon'ble the Chief Justice of India the same is dealt with in accordance with the guidelines framed for the purpose.

Writ Petition Filed by Telangana Govt. Against Governor

  • Bench of Supreme Court led by Chief Justice of India agreed to hear a petition filed by the Telangana government against Governor for creating a “constitutional impasse” by refusing to act on several Bills passed by the State legislature.   
  • Arguments by the State Government
  • The state government highlighted that ten Bills have been pending awaiting the assent of the Governor since September 2022.
  • The Governor may or may not give assent to the Bill but should not delay the legislations by pocketing the Bill indefinitely.
  • Any refusal on the part of the Governor, including delay, will defeat parliamentary democracy and will of the people.
  • In a parliamentary democracy, the Governor has no discretion to delay necessary assent as required on the Bills.       
  • The State urged the court to declare that the inaction, omission and failure to comply with the constitutional mandate i.e. assent of the Bills by the Governor as highly irregular, illegal.   
  • The state also suggested that under Article, 163 the Governor is not “expected to act independently”.

Understanding the Powers of Governor to give Assent to Bills

  • Article 200 of the Indian Constitution empowers the Governor to declare either that he assents to the Bill or that he withholds assent therefrom or that he reserves the Bill for the consideration of the President.
  • Thus, a Bill passed by the Assembly or both houses in case of Bicameral Legislature, is presented to the Governor who has the following alternatives:
  • He/she may give assent to the Bill; or
  • He/She may withhold assent therefrom; or
  • He/She may return the Bill to the Legislature for reconsideration; or
  • He/She may reserve it for the consideration of the President.
  • When the Bill is so returned as per the third scenario, the House or Houses shall reconsider the Bill accordingly. And if the Bill is passed again by the House or Houses with or without amendment and presented to the Governor for assent
  • The Governor shall not withhold assent therefrom (so it becomes mandatory for the Governor to give assent to the Bill if the Bill is passed by the House the second time with or without changes as suggested by the Governor).
  • Another proviso clause under Article 200 states that the Governor shall not provide assent to the Bill and reserve the same for the consideration of the President if the bill intends to take away powers of High Court.   

ARTICLE 201 - Bills reserved for President’s consideration

Understanding Article 201 - Bills reserved for consideration

  • When a Bill is reserved by a Governor for the consideration of the President, the President shall declare either that he assents to the Bill or that he withholds assent therefrom.
  • Provided that, where the Bill is not a Money Bill - the President may direct the Governor to return the Bill to the House or Houses of the Legislature of the State together with such a message as is mentioned in the first proviso to article 200.
  • And when a Bill is so returned, the House or Houses shall reconsider it accordingly within a period of six months from the date of receipt of such message and, 
  • if it is again passed by the House or Houses with or without amendment, it shall be presented again to the President for his consideration.

No Time Limit Imposed Under Article 200 or 201

Article 200

  • The Constitution does not impose any time limit within which the Governor needs to make decisions under Article 200 regarding providing assent to Bills.
  • There is no means to compel the Governor to make him/her provide his/her assent if the Governor decides to keep the Bills pending.
  • Further, a bill pending the assent of Governor under Article 200 does not lapse as a result of dissolution of state assembly.

Article 201

  • Even under Article 201, no time limit has been provided under which the President has to assent or reject the Bill once the Governor reserve the Bill for President’s Assent.
  • The Article ends with the words that the Bill shall again be presented again to the President for his consideration.
  • But what happens after the Bill is presented again has not been mentioned. So, technically, the President is not time bound to assent or reject the Bill which is sent again for his consideration and the Bill can be delayed.

Article 163

  • Another constitutional provision of importance is Article 163 which states that there shall be a Council of Ministers with the Chief Minister at the head to aid and advise the Governor in the exercise of his functions, except in so far as he is by or under this Constitution required to exercise his functions or any of them in his discretion.  
  • However, the discretionary powers of the Governors have not been explicitly defined in the constitution and can only be ascertained by going through certain constitutional provisions.

Governor’s Discretionary Powers

  • Article 163 of the Indian Constitution empowers the council of minister to aid and advise the Governor in the exercise of his functions along with certain discretionary powers. This acts as mechanism of checks and balance against any unconstitutional decisions taken by the state government.   
  • Governor functions both and head of the state and as an agent of the centre and accordingly has been bestowed with the following discretionary powers:
  • Reserve any Bill for the consideration of the President - Article 201.
  • Appoint Chief Minister of State - Article 164(1), inviting leader of the single largest party in to prove majority in case of hung assembly. 
  • Dismiss the ministry as the CM and his ministers holds office during the pleasure of the Governor - Article 164(1) 
  • Sending report to the President under Article 356 - failure of Constitutional machinery in States. 
  • Governor’s responsibility for administration of Tribal Areas and responsibilities placed on the Governor under Article 371A (Nagaland), 371C (Manipur), 371H (Arunachal Pradesh). 

Important Supreme Court Judgments on Powers of Governor

  • Shamsher Singh v. State of Punjab (1974) - Supreme Court said: “The Governor has no right to refuse to act on the advice of the Council of Ministries. Such a position is antithetical to the concept of ‘responsible government’.”     
  • B.P. Singhal v. Union of India (2010)
  • Five Judge Bench of Supreme on removal of governors mentioned about the dual role of governor: 1. Agent of the Centre & 2. Head of the state.
  • SC also held that there may be instances of conflict between Centre and states where the governor has to act neutrally.
  • Nabam Rebia and Bamang Felix v Deputy Speaker
  • Supreme Court decided that Governor can summon, prorogue and dissolve the House, only on the aid and advice of the Council of Ministers with the Chief Minister as the head and not at his own.
  • The Court gave its decision based on discussion in Constituent Assembly debates whereby it was finalised not to give discretionary power to Governor under Article 174. 

Need for Politically Neutral Governor – Sarkaria Commission’s Recommendation

  • Sarkaria Commission on Centre-State Relations, the National Commission to Review the Working of the Constitution and Punchhi Commission has reiterated the need for politically neutral governor.
  • Neutrality of governor is best displayed when he uses his discretionary powers as per the constitution. However, the use of discretionary power by the Governor also leaves certain space for its misutilisation.
  • Sarkaria Commission has recommended the following criteria which must be considered while appointing Governors of state:
  • He should be eminent in some walk of life.
  • He should be a person from outside the State.
  • He should be a detached figure and not too intimately connected with the local politics of the State; and
  • He should be a person who has not taken too great a part in politics generally and particularly in the recent past.  
  • In selecting a Governor in accordance with the above criteria, persons belonging to the minority groups should continue to be given a chance.

Way Forward –

Let us wait for the Supreme Court’s order on the aspect of time limit under which Governor needs to provide assent under Article 200 of the Indian Constitution.

Europe picks up more arms even as global weapon imports drop (SIPRI)

SIPRI’s has released its latest report titled “Trends in International Arms Transfers, 2022”

Stockholm International Peace Research Institute (SIPRI)

SIPRI is an independent international institute dedicated to research into conflict, armaments, arms control and disarmament. Established in 1966, SIPRI provides data, analysis and recommendations, based on open sources, to policymakers, researchers, media and the interested public. SIPRI defines major arms as aircrafts, warships, tanks, artillery, missiles and various heavy defence systems. SIPRI uses the Trends Indicator Values (TIV) methodology to present the figures on global arms imports.

Highlights of the report:

  1. Ukraine was the third largest importer of arms in 2022 (sharp increase of imports from U.S. and Europe in the latest period after Russian invasion).
  2. Europe’s share in global volume of arms transfers increased significantly by 47% in the five-year period between 2013-17 and 2018-22.
  3. The global volume of international arms transfers fell by 5.1% between 2018-22.
  4. The share of West Asia, Americas, Asia, and Oceania decreased marginally in the last five years.
  5. U.S. arms exports increased by 14% between 2013-17 and 2018-22. It accounted for 40% of global arms exports in 2018-22.
  6. Russia’s arms exports fell by 31% between 2013-17 and 2018-22.

Why European countries has increased their arms imports?

  1. Security concerns: Many European countries have increased arms imports due to security concerns, including conflicts in Ukraine, instability in the Middle East, and tensions with Russia.
  2. Modernization: European countries are also increasing arms imports as part of modernization efforts, which involve replacing outdated or obsolete weapons systems with new equipment and technologies.
  3. Geopolitical considerations: Some countries may view arms imports as a way to build strategic relationships with other countries, such as purchasing weapons from the United States to strengthen ties or signal commitment to NATO.

Way Forward:

The prioritization should shift towards investing in human development by reducing defense spending. To achieve global peace, reduce armed conflicts, and foster sustainable development, disarmament is an essential step. While there has been some success in eliminating certain weapons, significant obstacles still exist. It is imperative that governments, organizations, and individuals unite in their efforts to promote disarmament through advocacy, education, and action. Ultimately, the aim should be to create a safer and more secure future for everyone.

Intergovernmental Panel on Climate Change (IPCC)

The Intergovernmental Panel on Climate Change (IPCC) is meeting in Switzerland this week to finalise the last report of its sixth assessment cycle, which is expected to set up the tempo for a string of climate change-focused discussions over the next fortnight.

About Intergovernmental Panel on Climate Change (IPCC)

  • It was set up in 1988 by the World Meteorological Organisation (WMO) and the UN Environment Programme (UNEP). 
  • It has a secretariat in Geneva, Switzerland, hosted by the WMO, and is governed by 195 member states.
  • Its main activity is to prepare Assessment Reports, special reports, and methodology reports assessing the state of knowledge of climate change.
  • It is  a scientific body whose periodic assessments of climate science form the basis of global climate action, is set to finalise what is known as the Synthesis Report, incorporating the findings of the five reports that it has released in the sixth assessment cycle since 2018.
  • However, the IPCC does not itself engage in scientific research.
  • Instead, it asks scientists from around the world to go through all the relevant scientific literature related to climate change and draw up the logical conclusions.

About Assessment Reports

  • The IPCC’s Assessment Reports (ARs), form the basis for government policies to tackle climate change, and provide the scientific foundation for the international climate change negotiations.
  • Six Assessment Reports have been published so far, the sixth report (AR6) coming in three parts — the first in August 2021, the second in February 2022, and the third to be finished in March 2023.

About Synthesis Report

  • It is the last of the Sixth Assessment reports.
  • It is supposed to be a relatively non-technical summary of the previous reports, aimed largely at policymakers around the world.
  • It is meant to address a wide range of policy-relevant scientific questions related to climate change, but, like all IPCC reports, in a non-prescriptive manner.

What previous reports have said

  • The first Assessment Report (1990)  formed the basis for the negotiation of the UN Framework Convention on Climate Change (UNFCCC) in 1992, known as the Rio Summit.
  • The second Assessment Report (1995) -AR2 was the scientific underpinning for the Kyoto Protocol of 1997.
  • The third Assessment Report (2001) presented new and stronger evidence to show global warming was mostly attributable to human activities.
  • The fourth Assessment Report (2007) won the 2007 Nobel Peace Prize for IPCC. It was the scientific input for the 2009 Copenhagen climate meeting.
  • The fifth Assessment Report (2014) -AR5 formed the scientific basis for negotiations of the Paris Agreement in 2015.

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