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  • Panchayati Raj Institutions: Issues and Challenges

    How the PESA has boosted Forest Conservation in India?

    Explained | Polity | Mains Paper 2: Panchayats & Local Bodies

    Why in the News?

    Conservation policies in India have long wrestled with dual conflicts: balancing conservation goals against local communities’ resource extraction needs, and reconciling conservation with the imperative of economic development.

    Structural Mandate of Panchayat (Extension to Scheduled Areas) Act (PESA):

    • PESA was passed in 1996 and it mandates local government councils in Scheduled Areas to reserve all chairperson positions and at least half of the seats for Scheduled Tribes (ST).
    • This legislative framework is designed to empower marginalized communities by giving them a direct say in local governance and resource management.

    Implementation in India:

    • Unlike the 73rd Amendment (which applies to non-Scheduled Areas), PESA ensures mandated representation for STs in decision-making bodies.
    • Variations in PESA implementation across states highlight challenges and successes in translating legislative intent into effective governance structures.

    How it Ensures Equitable Representation:

    • Impact on Forest Conservation: The study employs a “difference-in-differences” methodology to analyze the effect of PESA on forest cover. Findings indicate that areas with mandated ST representation under PESA experience lower rates of deforestation and higher afforestation rates compared to areas without such representation.
    • Economic Incentives for Conservation: ST communities, dependent on forest resources for livelihoods, are incentivized to protect forest cover under PESA. This “forest stewardship” mechanism emerges as STs engage in sustainable practices and resist deforestation pressures driven by mining and commercial interests.

    On Democratic Decentralization:

    • Comparison with Administrative Decentralization: The paper distinguishes between administrative decentralization (focused on efficiency) and democratic decentralization. Democratic decentralization, as exemplified by PESA, emphasizes representative and accountable local governance structures with decision-making autonomy over resource management.
    • Single Umbrella Institution: Advocates for consolidating power into a single, empowered institution that integrates both conservation and development objectives. Such an institution would better navigate the complexities of balancing local economic interests with sustainable conservation practices.

    Conclusion: PESA serves as a critical example of how legislative mandates for political representation can drive positive environmental outcomes while addressing socio-economic disparities among forest-dwelling communities in India.

    Mains PYQ:

    Q What are the two major legal initiatives by the state since Independence, addressing discrimination against Scheduled Tribes (ST)? (UPSC IAS/2017)

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  • Coal and Mining Sector

    Power markets in India: their working, advantages, and the road ahead

    Explained | Economics | Mains Paper 3: Infrastructure: Energy, Ports, Roads, Airports, Railways Etc.

    Why in the news?

    Amid rising summer demand, the government has permitted the trading of excess electricity produced from “linkage coal” within the nation’s power markets.

    What is the Power Market?

    • A power market is a platform where electricity is bought and sold, enabling generators and consumers to trade electricity based on market-driven prices and conditions.

    Types of Markets related to Power exchanges in India include:

    • Spot Markets: These include real-time markets (RTM) and day-ahead markets (DAM). RTM allows for immediate buying and selling of electricity, while DAM involves bidding for electricity to be delivered the next day.
    • Term-Ahead Markets: These markets facilitate trades for longer durations, ranging from hours to several days in advance, providing more certainty and planning for market participants.

    Their working and Power exchanges in India

    • Market Operation: Power exchanges in India operate as platforms where electricity generators (sellers) and consumers (buyers) participate in trading electricity. Generators submit offers indicating the quantity of electricity they can supply at various prices, while buyers submit bids indicating the quantity they wish to purchase at various prices.
    • Renewable Energy Certificates (REC): Power exchanges also manage the trading of Renewable Energy Certificates (RECs). RECs represent the environmental attributes of renewable electricity generated and can be sold to utilities to meet their renewable purchase obligations (RPOs).
    • Regulation: Power exchanges are regulated by the Central Electricity Regulatory Commission (CERC) in India. The regulatory framework ensures fair and transparent trading practices, oversees market operations and sets rules to promote market integrity.
    • Market Dominance: The Indian Energy Exchange (IEX) is the dominant power exchange in India, handling the majority of electricity trading volume. Other exchanges include Power Exchange India Limited (PXIL) and Hindustan Power Exchange Ltd (HPX), though IEX holds more than 90% of the market share.

    Their advantages 

    • Flexibility: Enables generators to respond swiftly to fluctuating electricity demand by selling surplus power at market-driven prices, enhancing grid stability.
    • Efficiency: Optimizes utilization of coal-based power generation assets, minimizing wastage and maximizing revenue through market-based transactions.
    • Transparency: Promotes transparent pricing mechanisms in the electricity sector, fostering competitive market dynamics and benefiting consumers with potentially lower electricity costs.

    The Road Ahead for Power Exchanges:

    • Market Coupling: It matches bids from different power exchanges to discover a uniform market clearing price, promoting efficiency and reducing price disparities across regions.It enhances price discovery, market stability, and regional grid integration by providing a reliable reference price for policymakers.
    • Capacity Markets: It compensates generators for maintaining available capacity, incentivizing investment in reliable generation infrastructure. They ensure long-term grid reliability, especially during peak demand periods, aligning India’s power market with international standards and attracting investment.
    • International Alignment and Competitiveness: India’s adoption of advanced market structures (like market coupling and capacity markets) aims to align with mature international markets.These developments can foster greater competition, attract investment, and enhance overall sector efficiency and reliability.

    Mains PYQ: 

    Q Write a note on India’s green energy corridor to alleviate the problem of conventional energy. (UPSC IAS/2013)

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  • Climate Change Impact on India and World – International Reports, Key Observations, etc.

    Create the space for governance with a green heart

    Explained | Enviro & Biodiversity | Mains Paper 3: Conservation, Environmental Pollution & Degradation, Eia

    Why in the news?

    As a new term begins for the government and the Lok Sabha, it must prioritize environmental concerns. No government has ever truly prioritized the environment, and the last one, focused on development, actively harmed it.

    Present Himalayan states

    • The Indian Himalayan Region (IHR) encompasses the portion of the Himalayas located within India, extending across thirteen Indian States and Union Territories, including Ladakh, Jammu and Kashmir, Himachal Pradesh, Uttarakhand, Sikkim, West Bengal, Manipur, Meghalaya, Mizoram, Nagaland, Tripura, Assam, and Arunachal Pradesh.

    Problems Associated with Lack of Political Will on Environmental Governance

    • Neglect of Climate Change Mitigation and Adaptation: Inadequate actions to reduce carbon emissions and build climate resilience.And failure to address the remediation aspects of climate change, such as food security and disaster preparedness.
    • Degradation of Forest Cover: Significant decline in both quantitative and qualitative forest cover.Recent legislation weakening forest protections, leading to further environmental damage.
    • Deteriorating Urban Environments: Severe air pollution and water scarcity in major cities, adversely affect public health.Poor sewage treatment infrastructure, resulting in heavily polluted rivers and water bodies.
    • Environmental Degradation in the Himalayas: Rapid glacial melting and altered weather patterns threatening water and food security. Government inaction on local environmental protests and concerns highlights a disconnect between policy and grassroots needs.
    • Ineffective Environmental Impact Assessments (EIA): EIAs are reduced to mere formalities, failing to prevent environmentally harmful projects.Dilution of EIA regulations and lack of meaningful stakeholder engagement, compromising environmental protection efforts.

    How This Can Be Restored?

    • Enhanced Environmental Impact Assessments (EIA): Strengthen EIA mechanisms, elevate them to statutory status, and ensure they are thorough and transparent to prevent projects from causing environmental harm.
    • Restoration Projects: Initiate large-scale conservation and restoration projects for glaciers, forests, and rivers in the Himalayan region.
    • Community Involvement: Actively involve local communities and stakeholders in decision-making processes to ensure their concerns and knowledge are integrated into policy-making.
    • Strict Enforcement of Environmental Laws: Improve enforcement of existing environmental regulations and increase penalties for violations to deter harmful activities.
    • Sustainable Development Policies: Develop and implement policies that balance development with environmental conservation, ensuring long-term ecological health and resilience.
    • Revised Legislation: Reassess and amend legislation like the Forest (Conservation) Amendment Bill, 2023, to provide stronger protections for natural habitats.
    • Resilience Building: Invest in infrastructure and programs aimed at enhancing resilience against climate change impacts, such as improved water management systems and disaster preparedness plans.

    Government steps taken: 

    • The National Mission for Sustaining the Himalayan Ecosystem (NMSHE) was launched as part of India’s National Action Plan on Climate Change to holistically address the vulnerabilities of the Himalayan ecosystem.
    • Under NMSHE, the government has developed a common framework and methodology for climate vulnerability and risk assessment across 12 Himalayan states.
    • The government has also established the “G.B. Pant Institute of Himalayan Environment & Development” to focus on sustainable development and environmental conservation in the Indian Himalayan Region.

    Conclusion: To achieve Sustainable Development Goal 13 (Climate Action), India must enhance environmental governance, prioritize climate resilience, and enforce robust conservation policies to protect the Indian Himalayan Region and its ecosystems.

     

    Mains PYQ:

    Q Climate change is a global problem. How India will be affected by climate change? How Himalayan and coastal states of India will be affected by climate change? (15) (UPSC IAS/2017)

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  • Railway Reforms

    Indian Railways and safety challenges

    Explained | Governance | Mains Paper 2: Governance, Transparency & Accountability, Citizens Charters

    Why in the news?

    The turmoil has not subsided since the tragic accident involving the GFCJ container train, which, while travelling at high speed, collided with the 13174 Agartala-Sealdah Kanchanjunga Express, resulting in 11 deaths and approximately 40 injuries.

    Indian Railways: Recent Issues

    • Tragic Accident: The GFCJ container train collided with the 13174 Agartala-Sealdah Kanchanjunga Express, causing 11 deaths and around 40 injuries.
    • Premature Conclusions: The Chairperson of the Railway Board prematurely blamed the container train crew and provided incorrect information about casualties.
    • Slow Rollout of Kavach System: Kavach, an indigenous signalling system to prevent collisions, has been slowly implemented due to limited industrial capacity.
    • Staffing Issues: Indian Railways is overstaffed but has critical vacancies in safety-sensitive positions, leading to stress and overwork for existing staff.
    • Ambiguous Protocols: Ambiguous rules for handling Automatic signal failures create confusion and increase the risk of accidents.

    What are the major challenges that Indian Railways faces?  

    • Safety Concerns: Inadequate measures to prevent collisions and improve overall safety, despite technological advancements.
    • Staffing Shortages: Critical vacancies in essential roles such as loco pilots, train managers, and signal maintainers, lead to overworked staff.
    • Slow Technological Implementation: Delayed implementation of safety technologies like the Kavach system due to limited industrial capacity and lack of focus.
    • Ambiguous Safety Protocols: Poorly drafted rules and unclear protocols for handling signal failures and emergencies.
    • Managerial and Communication Issues: Premature conclusions and miscommunication by top management, undermine trust and effective crisis management.

    What can be the solution?

    • Enhanced Safety Protocols: Strengthen and clarify protocols for Automatic signal failures and other emergency situations.
    • Accelerated Technology Adoption: Fast-track the implementation of safety technologies like the Kavach system, with targets of 4,000 to 5,000 km/year.
    • Increase Recruitment in Critical Areas: Fill vacancies in essential safety roles promptly to reduce stress and workload on existing staff.
    • Encourage Industrial Capacity Building: Support and incentivize allied industries to increase capacity for producing and implementing safety technologies.
    • AI-Enabled Safety Monitoring: Implement AI-enabled applications to analyze digital data from station loggers and train microprocessors for actionable safety insights.
    • Focus on Managerial Accountability: Ensure that managerial issues are thoroughly investigated and addressed to improve overall safety management.

    Steps taken by the government:

    • The government has established the Rashtriya Rail Sanraksha Kosh (RRSK), a dedicated fund with a corpus of Rs. 1 lakh crore over 5 years, to finance critical safety asset replacement, renewal, and upgradation.
    • The government has implemented Electrical/Electronic Interlocking Systems at 6,427 stations as of May 2023, which centrally operate points and signals to eliminate human error-related accidents.

    Conclusion: Strengthen and clarify safety protocols for handling signal failures and emergencies, ensuring clear guidelines and training for staff. Fast-track the implementation of safety technologies like the Kavach system, setting annual targets of 4,000 to 5,000 km to improve overall safety and prevent collisions.

    Mains PYQ:

    Q Why is Public Private Partnership (PPP) required in infrastructural projects? Examine the role of PPP model in the redevelopment of Railway Stations in India. (UPSC IAS/2022)

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  • India among a select few countries that have not conducted the Census    

    Explained | Governance | Mains Paper 2: Governance, Transparency & Accountability, Citizens Charters

    Why in the news?

    India’s last census was conducted in 2011, and the scheduled Census 2021 has been indefinitely postponed, citing the COVID-19 pandemic. This delay has significant implications for welfare schemes and policy planning reliant on accurate population data.

    Significance of Census Calculation  

    • Foundation for Policy Planning and Governance: Census data forms the foundational basis for policy planning and governance across various sectors such as education, healthcare, infrastructure development, and social welfare.
    • Allocation of Resources and Welfare Benefits: Census figures are crucial for determining the allocation of resources and distribution of welfare benefits like food subsidies, housing schemes, healthcare facilities, and educational resources.
    • Monitoring Socio-Economic Development: Census data enables monitoring of socio-economic development indicators over time, such as literacy rates, employment patterns, poverty levels, and household incomes.

    Present Observations:

    • Global Comparison: India is among a minority of countries (44 out of 233) that have not conducted the latest census, despite most nations managing to proceed with their census rounds after March 2020, amidst the pandemic. This delay places India alongside conflict-affected countries and those facing economic crises.
    • Regional Context: Among BRICS nations, India is the only country yet to conduct its latest census, contrasting with others such as Brazil, China, South Africa, and Russia, which have completed their census rounds during or after the pandemic.
    • Dependency on Census Data: Census data serves as the primary source for accurate demographic information at grassroots levels, crucial for planning and implementing welfare schemes across various sectors, including education, healthcare, and social security.

    Implications for Society:

    • Welfare Scheme Implementation: The absence of updated census figures hampers the effective implementation of welfare schemes such as the Public Distribution System (PDS), National Family Health Survey, and National Family Security Act. Outdated population data from 2011 leads to inaccuracies in identifying beneficiaries, potentially excluding millions from essential services and entitlements.
    • Education and Social Development: Schemes like the Eklavya Model Residential School (EMRS), aimed at providing quality education to Scheduled Tribe (ST) children, are adversely affected. Allocation decisions based on 2011 census data may not accurately reflect current demographic realities, leading to misplaced resource distribution and missed opportunities for targeted interventions.
    • Economic and Social Planning: Census data plays a pivotal role in economic planning, resource allocation, and policy formulation. Without updated population figures, India faces challenges in devising evidence-based policies that address regional disparities, socio-economic needs, and demographic shifts effectively.

    Conclusion: The indefinite postponement of Census 2021 in India has profound implications for governance, socio-economic planning, and equitable development. Addressing these challenges requires expedited efforts to conduct the census and ensure accurate demographic data to inform inclusive policy frameworks.

    Mains question for practice: 

    Q Discuss the present observations regarding India’s census delay and analyze its implications. 15M

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  • Goods and Services Tax (GST)

    What is the GST Council, and what does it do?   

    Explained | Economics | Mains Paper 3: Indian Economy

    Why in the news?

    The 53rd meeting of the Goods and Services Tax (GST) Council convened in Delhi, chaired by Nirmala Sitharaman, Union Minister for Finance and Corporate Affairs, on Saturday, June 22nd.

    What is the GST Council?

    • The GST Council is a constitutional body established under Article 279A of the amended Constitution of India.
    • It is a joint forum consisting of the Union Finance Minister (as Chairperson), the Union Minister of State for Finance, and representatives from each state and Union Territory (UT) with legislatures.
    • The Council is responsible for making recommendations on issues related to GST, including tax rates, exemptions, and model GST laws.

    Powers and Functions of the GST Council

    • Recommendations on GST Issues: The Council advises the Union and State Governments on matters related to the goods and services tax.
    • Tax Rates: It decides on the rates of GST applicable to goods and services, including any modifications or exemptions.
    • Dispute Resolution: It addresses disputes that may arise between the Union and States or among States regarding GST.
    • Administrative Changes: The Council can recommend administrative changes to improve the efficiency of GST implementation.
    • Review and Revision: Periodically review GST rates and provisions to align with economic realities and policy objectives.

    Evolution of the GST Council since its inception:

    • Formation and Initial Years: Established in 2016 after the passage of the 122nd Constitutional Amendment Act. The Council began functioning in 2017 when GST was implemented nationwide.
    • Operational Efficiency: Over the years, the Council has evolved to streamline decision-making processes, including real-time discussions and consensus-building among members.
    • Expansion of Scope: Initially focusing on setting basic tax rates and exemptions, the Council’s scope expanded to include amendments to GST laws and procedural changes.
    • Judicial Scrutiny: In 2022, the Supreme Court clarified that the Council’s recommendations are not binding but reflect collaborative efforts between the Union and States.
    • Adaptation to Challenges: Adapted to economic fluctuations, pandemic challenges (like the postponement of GST filing deadlines during COVID-19), and evolving sectoral needs.
    • Interstate Dynamics: The voting structure of the Council, with states collectively having a two-thirds voting share, underscores its federal and cooperative nature.

    Conclusion: The GST Council, pivotal since 2017, advises on GST matters, sets tax rates, resolves disputes, and evolves with economic shifts. Its federal structure ensures collaborative decision-making for efficient tax administration in India.

    Mains PYQ:

    Q Enumerate the indirect taxes which have been subsumed in the Goods and Services Tax (GST) in India. Also, comment on the revenue implications of the GST introduced in India since July 2017. (UPSC IAS/2019)

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  • Nuclear Energy

    Nuclear Study provides major update on Plutonium Isotope Fission

    Prelims Only | Science Tech | Mains Paper 3: Achievements Of Indians In S&T

    Why in the News?

    Recently a study was conducted on Prompt Fission Neutron Spectrum (PFNS) by the US. This study holds significance for design updates in India’s second stage of its nuclear power programme.

    India’s Progress in Nuclear Energy

    On March 4, India advanced to the second stage of its nuclear power programme by beginning the core-loading process of the Prototype Fast Breeder Reactor (PFBR) at the Madras Atomic Power Station in Kalpakkam. 

    India’s 3-stage Nuclear Power Program:

    Description Timeline
    Stage 1 Relies on pressurized heavy water reactors (PHWRs) using natural uranium as fuel. Initiated in the 1950s;

    Operational since the 1960s
    Stage 2 Focuses on developing fast breeder reactors (FBRs) using plutonium-239 produced in Stage 1. Initiated in the 1970s;

    Development phase
    Stage 3 Involves the development of thorium-based reactors utilizing India’s significant thorium reserves. Initiated in the late 1980s/early 1990s;

    Research & Development phase

    What is Prompt Fission Neutron Spectrum (PFNS)?

    • Definition: PFNS refers to neutrons emitted right after a Pu-240 nucleus captures a neutron but before it reaches a stable state.
    • Previous Studies: To date, only one study has investigated PFNS for Pu-240-induced fission at 0.85 mega-electron-volt (MeV). Recently, researchers in the U.S. conducted a second study with neutrons of higher energy than 0.85 MeV.
    • New Findings: The findings reveal significant differences between predicted and measured PFNS, aiding reactor designers and nuclear medicine practitioners.

    About Plutonium-240 and its Fission

    • Neutron Capture: When a Pu-239 nucleus captures a neutron, it can either undergo fission or become Pu-240.
      • Pu-240 is common in nuclear reactors and nuclear weapon test fallout.
    • Pu-240 Behavior: Pu-240 capturing a neutron typically turns into Pu-241.
      • If Pu-240 undergoes fission, there’s uncertainty about the energy of its fission products.
      • Current models use complex calculations to estimate this output.

    Do you know?

    • Plutonium is created from Uranium-238 in nuclear reactors.
    • Plutonium-239 is a weapon-grade fissile material (i.e. used to make nuclear weapons).
      • Pu-239 and Pu-240 are by-products of nuclear reactor operations and nuclear bomb explosions.

    Relevance of PFNS Study to India’s PFBR

    • PFBR Use: The PFBR uses plutonium from CANDU (Canada Deuterium Uranium) reactor spent fuel, which contains Pu-240. Reprocessed PFBR spent fuel will also contain Pu-240.
    • Importance of New Data: New data on Pu-240 behaviour is essential for improving reactor efficiency and safety.

    Production and Characteristics of Pu-240

    • Creation of Pu-239: Pu-239 is created when U-238 is exposed to neutrons in a reactor. As Pu-239 captures neutrons, it turns into Pu-240, which builds up over time.
    • Spontaneous Fission: Pu-240 undergoes spontaneous fission, emitting alpha particles, and is considered a contaminant in weapons-grade plutonium, where its composition is kept below 7%.
    • Reactor-Grade Plutonium: Plutonium with more than 19% Pu-240 is classified as reactor-grade.

    Experimental Findings on PFNS

    • Research at LANSCE: Researchers at Los Alamos Neutron Science Centre (LANSCE) conducted tests by bombarding a pure Pu-240 sample with neutrons of 0.01-800 MeV energy.
    • Detection Setup: The setup included liquid scintillators to detect emitted particles, using a small Pu-240 sample to minimize alpha particle emission.
    • Measurement Focus: They measured the energies of neutrons and other fission products, focusing on neutron-induced fission data.

    PYQ:

    [2023] Consider the following statements:

    • Statement-I: India, despite having uranium deposits, depends on coal for most its electricity production.
    • Statement-II: Uranium, enriched to the extent at of least 60%, is required for the production of electricity.

    Which one of the following is correct in respect of the above statements?

    (a) Both Statement-I and Statement-II are correct and Statement-II is the correct explanation for Statement-I

    (b) Both Statement-I and Statement-II are correct and Statement-II is not the correct explanation for Statement-1

    (c) Statement-I is correct but Statement-II is incorrect

    (d) Statement-I is incorrect but Statement-II is correct

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  • Foreign Policy Watch- India-Central Asia

    [pib] Cabinet approves Central Sector Scheme “National Forensic Infrastructure Enhancement Scheme” (NFlES)

    Prelims OnlySchemes | Science Tech | Mains Paper 3: Awareness in various sc and tech fields

    Why in the News?

    The Union Cabinet, chaired by PM Narendra Modi, approved the National Forensic Infrastructure Enhancement Scheme (NFIES).

    Do you know?

    • Central sector schemes: They are 100% funded by the Union government and implemented by the Central Government machinery. It covers subjects from Union List (central subjects).
    • Centrally Sponsored Scheme (CSS): It has a certain percentage of the funding borne by the States and the implementation is by the State Governments.It covers subjects from Concurrent List (shared subjects).
      • States have some flexibility to modify schemes to suit local needs within central guidelines.

    About National Forensic Infrastructure Enhancement Scheme (NFlES)

    • The Central Sector Scheme NFIES aims to strengthen national forensic infrastructure, expand NFSU’s reach, and establish CFSLs to meet growing forensic demands.
    • It aligns with India’s goals of enhancing forensic capabilities and securing robust criminal justice outcomes.

    Key Components of NFlES:

    • Campuses of NFSU: Establishing campuses of the National Forensic Sciences University (NFSU) across India.
    • Central Forensic Science Laboratories (CFSLs): Setting up new CFSLs nationwide.
      • Delhi Campus Enhancement: Upgrading infrastructure at the Delhi Campus of NFSU.
      • Financial outlay: Rs. 2254.43 crore for 2024-25 to 2028-29, funded by the Ministry of Home Affairs.
    • Objectives:  
      • Enhancing the criminal justice system with timely and scientific forensic examinations.
      • Addressing the increased workload due to new criminal laws requiring forensic investigation for serious offences.
      • Mitigating the shortage of trained forensic professionals in Forensic Science Laboratories (FSLs).

    Impact and Benefits

    • Improved Efficiency: Ensuring high-quality forensic examinations for efficient criminal justice processes.
    • Technology Integration: Leveraging advancements to handle evolving crime methods effectively.
    • Capacity Building: Training more forensic professionals to reduce case backlogs and support a high conviction rate exceeding 90%.

    PYQ:

    [2017] ‘Recognition of Prior Learning Scheme’ is sometimes mentioned in the news with reference to:

    (a) Certifying the skills acquired by construction workers through traditional channels.

    (b) Enrolling the persons in Universities for distance learning programmes.

    (c) Reserving some skilled jobs to rural and urban poor in some public sector undertakings.

    (d) Certifying the skills acquired by trainees under the National Skill Development Programme.

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  • Agricultural Sector and Marketing Reforms – eNAM, Model APMC Act, Eco Survey Reco, etc.

    [pib] Release of Statistical Report on Value of Output from Agriculture and Allied Sectors, 2024

    DOMR | Agriculture | Mains Paper 3: Agriculture and related issues

    Why in the News?

    The National Statistical Office (NSO), under the Ministry of Statistics and Programme Implementation (MoSPI), has released the ‘Statistical Report on Value of Output from Agriculture and Allied Sectors 2024’.

    Data Collection Strategies by NSO:

    • Crops are divided into 12 groups: Cereals, pulses, oilseeds, sugars, fibres, indigo, dyes and tanning material, drugs and narcotics, condiments & spices, fruits & vegetables, other crops, by-products, and kitchen garden.
    • Livestock products are divided into 7 groups: milk, meat, eggs, wool and hair, dung, silk worm cocoons & honey, and increment in livestock.

    About the National Statistical Office (NSO)

      • The NSO was established in 1950 as the Central Statistical Office (CSO) under the Ministry of Planning.
      • It was later renamed the National Sample Survey Office (NSSO) in 1970 and subsequently became the NSO in 2019.
      • Over the years, it has evolved to become the primary statistical agency in India.
    • Organizational Structure:  The NSO consists of several divisions and units responsible for different statistical functions.

    Key organizations under NSO: Central Statistical Office (CSO)

    • The CSO is a part of the NSO and focuses on macroeconomic statistics and national income accounting.
    • It is responsible for producing key economic indicators such as the Gross Domestic Product (GDP), Index of Industrial Production (IIP), Consumer Price Index (CPI), and Wholesale Price Index (WPI).

    Key Reports released by NSO:

    • Household Consumption Expenditure Survey
    • EnviStats India 2024: Environment Statistics
    • Energy Statistics India 2024
    • National Accounts Statistics 2024
    • Quarterly Estimates of GDP

    Sector-wise share of Value of Output

    Salient Features and Summary Results

    • India’s Agricultural Rankings: India ranks second worldwide in arable land, third in cereal production, and is a leading producer of groundnut, fruits, vegetables, sugarcane, tea, and jute. It is also the largest producer of milk, second in egg production, and fifth in meat production.
    • GVA Contribution: The shares of Crop, Livestock, Forestry and Fishing sub-sectors in value of output of Agriculture and allied sector were 54.3%, 30.9%, 7.9% and 6.9% respectively in 2022-23.
    • Crop Sub-sector Trends: The crop sub-sector remains the largest contributor to the Gross Value of Output (GVO) but has seen its share decline from 62.4% in 2011-12 to 54.3% in 2022-23. Fruits and vegetables’ output has significantly increased, highlighting the growing importance of horticulture.
    • Livestock Sub-sector Growth: The livestock sub-sector has seen an increase in the output of milk, meat, and eggs, indicating a steady growth in this area.
    • Forestry and Fishing: The forestry sector has diversified its output sources, and the fishing and aquaculture sector has seen significant growth, especially in Andhra Pradesh.

    State-wise Details from 2011-12 to 2022-23

    State-wise Value of Output of Crop

    • Highest Output: Uttar Pradesh leading in cereals and sugarcane production.
    • Lowest Output: Lakshadweep:

    State-wise Value of Output of Livestock

    • Highest Output:
      • Uttar Pradesh and Rajasthan together accounted for about a quarter of the livestock sub-sector’s output.
    • Lowest Output:
      • Goa: Output remained at ₹0 lakh throughout the period.
    • Key Trends:
      • Madhya Pradesh: Significant increase in livestock output, particularly in milk and meat production.
      • West Bengal: Steady growth in egg production.

    State-wise Value of Output of Forestry and Logging

    Major products: Industrial wood (68%), Fuelwood (20%), and Non-Timber Forest Products (NTFP) (12%) in 2022-23.

    • Top States in 2022-23:Maharashtra: 16.4% share, Rajasthan: 10.6% share,Uttar Pradesh: 8.7% share, Madhya Pradesh: 7.7% share and Odisha: 5.3% share.

    State-wise Value of Output of Fishing and Aquaculture

    • Highest Output: Andhra Pradesh: Share increased from 17.7% in 2011-12 to almost 40.9% in 2022-23, leading in fish and prawn farming.
    • Lowest Output: Arunachal Pradesh: Output increased from ₹0 lakh (2011-12) to ₹3 lakh (2022-23).

    All India Item-wise Value of Output from Agriculture, Livestock, Forestry, and Fishing

    • Cereals: Paddy and wheat are the top contributors to the cereals sub-sector. Paddy output in 2022-23 was ₹220,200 crore, while wheat output was ₹137,300 crore.
    • Pulses: Gram and Arhar together accounted for nearly 59% of the pulses output. Madhya Pradesh led in pulses production with a 22% share in 2022-23.
    • Oilseeds: Groundnut and Rapeseed & Mustard are the highest contributors within the oilseeds group. Gujarat and Rajasthan are the leading states in oilseeds production.
    • Sugar Crops: Uttar Pradesh remains the largest producer of sugarcane, increasing its share from 41% in 2011-12 to 54.5% in 2022-23.
    • Livestock Products: Milk, meat, and eggs are the major contributors within the livestock sub-sector. The share of milk, meat, and eggs in the livestock sub-sector was 66.5%, 23.6%, and 3.7% respectively in 2022-23.
    • Forestry Products: The forestry sector’s output is mainly driven by industrial wood, fuelwood, and NTFP. The share of industrial wood increased to 68% in 2022-23.
    • Fishing and Aquaculture: The fishing and aquaculture sector has seen a significant increase in output, with Andhra Pradesh leading the production. The output of fishing and aquaculture increased from ₹80 thousand crore in 2011-12 to ₹195 thousand crore in 2022-23.

    PYQ:

    [2011] A state in India has the following characteristics:

    1. Its northern part is arid and semiarid.
    2. Its central part produces cotton.
    3. Cultivation of cash crops is predominant over food crops.

    Which one of the following states has all of the above characteristics?

    (a) Andhra Pradesh

    (b) Gujarat

    (c) Karnataka

    (d) Tamil Nadu

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  • Renewable Energy – Wind, Tidal, Geothermal, etc.

    [pib] Viability Gap Funding (VGF) Scheme for Offshore Wind Energy Projects

    Prelims Only | Economics | Mains Paper 3: Infrastructure: Energy, Ports, Roads, Airports, Railways Etc.

     

    Why in the News?

    • The Union Cabinet, chaired by the PM, approved the Viability Gap Funding (VGF) scheme for offshore wind energy projects.

    Note: Offshore wind energy projects refer to developing and operating wind farms located offshore, typically in coastal waters or oceans.

    Back2Basics: Viability Gap Funding (VGF) Scheme

    • The VGF scheme is a financial tool to support infrastructure projects that are economically justified but face financial viability challenges.
    • It was launched in 2004 to address the gap between economically viable infrastructure projects and their financial feasibility under traditional financing models.
      • Administration: Administered by the Ministry of Finance, Government of India, the scheme operates as a Plan Scheme with annual budget allocations.

    Features:

    1. Capital Subsidy: VGF provides a grant (capital subsidy) to infrastructure projects to make them financially attractive for private sector participation. This subsidy helps cover part of the cost that private investors would find economically unviable.
    2. Project Eligibility: Projects eligible for VGF are typically selected through competitive bidding processes. They must demonstrate economic justification but face challenges in attracting private investment solely on commercial terms.
    3. Disbursement Timing: The VGF grant is disbursed during the construction phase of the project. However, disbursement is conditional upon the private sector developer making the required equity contribution to the project.
    4. Budgetary Allocation: Funds for VGF are allocated from the government’s budget. Sometimes, contributions may also come from the statutory authority that owns the project asset.
    5. Limitations: Additional financial assistance beyond the VGF amount is capped at 20% of the total project cost. This additional support can be provided by the sponsoring Ministry, State Government, or the statutory entity involved.

    Benefits:

    • Encouraging Investment: By reducing the financial risks associated with infrastructure projects, VGF encourages private sector participation, leading to faster project implementation and improved service delivery.
    • Infrastructure Development: The scheme supports the development of critical infrastructure such as transportation (roads, railways, airports), energy (power generation, transmission), and public utilities.

    About VGF Scheme for Offshore Wind Energy Projects

      • The VGF scheme aligns with the National Offshore Wind Energy Policy (2015) to harness India’s offshore wind potential.
      • It aims to reduce power costs from offshore wind projects, making them viable for DISCOMs through government support.
      • It seeks installation and commissioning of 1 GW of offshore wind energy projects (500 MW each off the coast of Gujarat and Tamil Nadu).
    • Functionaries: 
      • Private Developers will execute projects via transparent bidding.
      • Power Grid Corporation of India Ltd (PGCIL) will build power evacuation infrastructure.
    • Total outlay: Rs. 7453 crore, including Rs. 6853 crore for installing and commissioning 1 GW of projects in Gujarat and Tamil Nadu.

    Advantages of Offshore Wind Energy:

    • Offshore wind offers higher reliability, lower storage requirements, and greater employment potential than onshore wind and solar.
    • The development will attract investments, build indigenous manufacturing capabilities, and foster technology advancements.

    Environmental and Economic implications:

    • 1 GW projects will generate 3.72 billion units annually, reducing CO2 emissions by 2.98 million tons per year for 25 years.
    • Expected to kickstart India’s offshore wind sector, supporting initial development of 37 GW capacity with an investment of Rs. 4,50,000 crore.
    • Creates an ecosystem for ocean-based economic activities, contributing to India’s energy transition goals.

    PYQ:

    [2018] With reference to solar power production in India, consider the following statements:

    1. India is the third largest in the world in the manufacture of silicon wafers used in photovoltaic units.
    2. The solar power tariffs are determined by the Solar Energy Corporation of India.

    Which of the statements given above is/are correct?

    (a) 1 only

    (b) 2 only

    (c) Both 1 and 2

    (d) Neither 1 nor 2

    [2016] Give an account of the current status and the targets to be achieved pertaining to renewable energy sources in the country. Discuss in brief the importance of National Programme on Light Emitting Diodes (LEDs).

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