Note4Students
From UPSC perspective, the following things are important :
Prelims level: Medical Devices (Amendment) Rules, 2020
Mains level: Regulation of medical devices in India
The Ministry of Health and Family Welfare has notified changes in the Medical Devices Rules, 2017 to regulate medical devices on the same lines as drugs under the Drugs and Cosmetics Act, 1940.
Medical Devices (Amendment) Rules, 2020
- These rules are applicable to devices intended for internal or external use in the diagnosis, treatment, mitigation or prevention of disease or disorder in human beings or animals” (as notified by the ministry).
- It requires online registration of these devices “with the Central Licensing Authority through an identified online portal established by the Central Drugs Standard Control Organisation for this purpose.
- Among the information that the manufacturer has to upload are “name & address of the company or firm or any other entity manufacturing the medical device along with name and address of manufacturing site.
- It also need to upload certificate of compliance with respect to ISO 13485 standard accredited by National Accreditation Board for Certification Bodies or International Accreditation Forum.
- This would mean that every medical device, either manufactured in India or imported, will have to have quality assurance before they can be sold anywhere in the country.
- After furnishing of the above information a registration number will be generated. Manufacturer shall mention the registration number on the label of the medical device.
What are the items covered under the new Rules?
- A large number of commonly used items including hypodermic syringes and needles, cardiac stents, perfusion sets, catheters, orthopaedic implants, bone cements, lenses, sutures, internal prosthetic replacements etc are covered under the new rules.
- For some items such as sphygmomanometers (used to monitor blood pressure), glucometers (to check blood sugar), thermometers, CT scan and MRI equipment, dialysis and X-ray machines, implants etc, different deadlines for compliance have been set.
- For example for the first three, it is January 2021, for the others it is April next year. For ultrasound equipment, it is November 2020.
Is this a sudden move?
- This has been in the offing for some time now.
- In October last year, the ministry had circulated copies of the then proposed notification for public comments following recommendations of the Drugs Technical Advisory Board (DTAB), which is the highest technical body for these decisions and has experts among its members.
- In April last year, the DTAB had recommended that all medical devices should be notified as “drugs” under the drug regulation law to ensure they maintain safety and quality standards.
- The notification makes it clear that the government has issued it in consultation with the DTAB.
Why was the move required?
- For much of the last one year, the health sector has been at the centre of attention following revelations about faulty hip implants marketed by pharma major Johnson & Johnson.
- This has caused major embarrassment to the government, too, as it exposed the lack of regulatory teeth when it came to medical devices.
- The matter dragged on, exposing the regulatory loopholes until finally the company agreed in court to pay Rs 25 lakh each to the 67 people who had had to undergo revision surgeries because the implants were defective.
- That is really where the discussion started about regulation of medical devices.
What are the penal provisions under Indian law?
- There are various penal provisions under the Drugs and Cosmetics Act, 1940 for various kinds of offences. Manufacture or sale of substandard items is punishable with imprisonment of at least 10 years, which may extend to imprisonment for life.
- There is also a provision for fine that will “not be less than Rs 10 lakh rupees or three times value of the confiscated items”.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Various articles mentioned in the newsward
Mains level: Uniform Civil Code
Last week, while hearing a matter relating to properties of a Goan, the Supreme Court described Goa as a “shining example” with a Uniform Civil Code, observed that the founders of the Constitution had “hoped and expected” a UCC for India but there has been no attempt at framing one.
What is a Uniform Civil Code?
- A UCC is one that would provide for one law for the entire country, applicable to all religious communities in their personal matters such as marriage, divorce, inheritance, adoption etc.
- Article 44 of the Constitution lays down that the state shall endeavour to secure a UCC for the citizens throughout the territory of India.
- Article 44 is one of the directive principles. These, as defined in Article 37, are not justiciable (not enforceable by any court) but the principles laid down therein are fundamental in governance.
- Fundamental rights are enforceable in a court of law. While Article 44 uses the words “state shall endeavour”, other Articles in the ‘Directive Principles’ chapter use words such as “in particular strive”; “shall in particular direct its policy”; “shall be obligation of the state” etc.
- Article 43 mentions “state shall endeavour by suitable legislation” while the phrase “by suitable legislation” is absent in Article 44.
- All this implies that the duty of the state is greater in other directive principles than in Article 44.
What are more important — fundamental rights or directive principles?
- There is no doubt that fundamental rights are more important.
- The Supreme Court held in Minerva Mills (1980): “Indian Constitution is founded on the bed-rock of the balance between Parts III (Fundamental Rights) and IV (Directive Principles).
- To give absolute primacy to one over the other is to disturb the harmony of the Constitution”.
- Article 31C inserted by the 42nd Amendment in 1976, however, lays down that if a law is made to implement any directive principle, it cannot be challenged on the ground of being violative of the fundamental rights under Articles 14 and 19.
Does India not already have a uniform code in civil matters?
- Indian laws do follow a uniform code in most civil matters – Indian Contract Act, Civil Procedure Code, Sale of Goods Act, Transfer of Property Act, Partnership Act, Evidence Act etc.
- States, however, have made hundreds of amendments and therefore in certain matters, there is diversity even under these secular civil laws.
- Recently, several states refused to be governed by the uniform Motor Vehicles Act, 2019.
- If the framers of the Constitution had intended to have a Uniform Civil Code, they would have given exclusive jurisdiction to Parliament in respect of personal laws, by including this subject in the Union List.
- But “personal laws” are mentioned in the Concurrent List. Last year, the Law Commission concluded that a Uniform Civil Code is neither feasible nor desirable.
Is there one common personal law for any religious community governing all its members?
- All Hindus of the country are not governed by one law, nor are all Muslims or all Christians.
- Not only British legal traditions, even those of the Portuguese and the French remain operative in some parts.
- In Jammu and Kashmir until August 5, 2019, local Hindu law statutes differed from central enactments.
- The Shariat Act of 1937 was extended to J&K a few years ago but has now been repealed.
- Muslims of Kashmir were thus governed by a customary law, which in many ways was at variance with Muslim Personal Law in the rest of the country and was, in fact, closer to Hindu law.
- Even on registration of marriage among Muslims, laws differ from place to place. It was compulsory in J&K (1981 Act), and is optional in Bengal, Bihar (both under 1876 Act), Assam (1935 Act) and Odisha (1949 Act).
- In the Northeast, there are more than 200 tribes with their own varied customary laws.
- The Constitution itself protects local customs in Nagaland. Similar protections are enjoyed by Meghalaya and Mizoram. Even reformed Hindu law, in spite of codification, protects customary practices.
How does the idea of a UCC relate to the fundamental right to religion?
- Article 25 lays down an individual’s fundamental right to religion; Article 26(b) upholds the right of each religious denomination or any section thereof to “manage its own affairs in matters of religion”; Article 29 defines the right to conserve distinctive culture.
- An individual’s freedom of religion under Article 25 is subject to “public order, health, morality” and other provisions relating to fundamental rights, but a group’s freedom under Article 26 has not been subjected to other fundamental rights
- In the Constituent Assembly, there was division on the issue of putting Uniform Civil Code in the fundamental rights chapter.
- The matter was settled by a vote. By a 5:4 majority, the fundamental rights sub-committee headed by Sardar Patel held that the provision was outside the scope of fundamental rights and therefore the UCC was made less important than freedom of religion.
What was the view of Muslim members in the Constituent Assembly?
- Some members sought to immunise Muslim Personal Law from state regulation.
- Mohammed Ismail, who thrice tried unsuccessfully to get Muslim Personal Law exempted from Article 44, said a secular state should not interfere with the personal law of people.
- B Pocker Saheb said he had received representations against a common civil code from various organisations, including Hindu organisations.
- Hussain Imam questioned whether there could ever be uniformity of personal laws in a diverse country like India.
- B R Ambedkar said “no government can use its provisions in a way that would force the Muslims to revolt”.
- Alladi Krishnaswami, who was in favour of a Uniform Civil Code, conceded that it would be unwise to enact Uniform Civil Code ignoring strong opposition from any community.
- Gender justice was not mentioned in these debates.
How did the debate on a common code for Hindus play out?
- In June 1948, Rajendra Prasad, President of the Constituent Assembly, warned Jawaharlal Nehru that to introduce “basic changes” in personal law was to impose “progressive ideas” of a “microscopic minority” on the Hindu community as a whole.
- Others opposed to reforms in Hindu law included Sardar Patel, Pattabhi Sitaramayya, M A Ayyangar, M M Malaviya and Kailash Nath Katju.
- When the debate on the Hindu Code Bill took place in December 1949, 23 of 28 speakers opposed it.
- On September 15, 1951, President Prasad threatened to use his powers of returning the Bill to Parliament or vetoing it.
- Ambedkar eventually had to resign. Nehru agreed to trifurcation of the Code into separate Acts and diluted several provisions.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Mandamus
Mains level: Writ Jurisdiction of SC and HC and their scope
- The Supreme Court has ruled that reservation in the matter of promotions in public posts is not a fundamental right, and a state cannot be compelled to offer the quota if it chooses not to.
- It ruled that there is no fundamental right which inheres in an individual to claim reservation in promotions.
- Hence no mandamus can be issued by the court directing state governments to provide reservations,” the bench of Justices L Nageswara Rao and Hemant Gupta said.
What is ‘Mandamus’?
- Mandamus is among the “prerogative writs” in English common law — meaning the extraordinary writs or orders granted by the Sovereign when ordinary legal remedies are inadequate.
- These are habeas corpus, mandamus, prohibition, certiorari, and quo warranto.
- In India, the Supreme Court can issue prerogative writs under Article 32 of the Constitution, and the High Courts under Article 226.
- Mandamus literally means ‘we command’. When issued to a person or body, the writ of mandamus demands some activity on their part.
- It orders the person or body to perform a public or quasi-public duty, which they have refused to perform, and where no other adequate legal remedy exists to enforce the performance of that duty.
When is it used?
- The writ cannot be issued unless the legal duty is of public nature, and to whose performance the applicant of the writ has a legal right.
- The remedy is of a discretionary nature — a court can refuse to grant it when an alternative remedy exists.
- However, for enforcing fundamental rights, the alternative remedy argument does not hold as much weight, since it is the duty of the Supreme Court and the High Courts to enforce fundamental rights.
- When a public officer or government does an act that violates the fundamental right of a person, the court would issue a writ of mandamus against such authorities so that the person’s rights are not infringed.
- The writ can also be issued against inferior courts or other judicial bodies when they have refused to exercise their jurisdiction and perform their duty.
Limitations
- Under Article 361, mandamus cannot be granted against the President or Governor of a State, “for the exercise and performance of the powers and duties of his office or for any act done or purporting to be done by him in the exercise and performance of those powers and duties”.
- The writ also cannot be issued against a private individual or body, except where the State is in collusion with the private party for contravening a provision of the Constitution or a statute.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Not much.
Mains level: Regulation of parliamentary speech and conduct of the representatives.
Two days of heated exchanges in Parliament have brought back recurring questions around “unparliamentarily” speech and conduct.
No absolute privilege
- Article 105(2) of the Constitution lays down that “no Member of Parliament shall be liable to any proceedings in any court in respect of anything said or any vote given by him in Parliament or any committee thereof”.
- However MPs do not enjoy the freedom to say whatever they want inside the House.
Checks on MPs’ speech
- Whatever an MP says is subject to the discipline of the Rules of Parliament, the “good sense” of Members, and the control of proceedings by the Speaker.
- These checks ensure that MPs cannot use “defamatory or indecent or undignified or unparliamentary words” inside the House.
- Rule 380 (“Expunction”) of the Rules of Procedure and Conduct of Business in Lok Sabha regulates the speech of MPs.
- It says: “If the Speaker is of opinion that words have been used in debate which are defamatory or indecent or unparliamentary or undignified, the Speaker may, while exercising discretion order that such words be expunged from the proceedings of the House.”
- Rule 381 says: “The portion of the proceedings of the House so expunged shall be marked by asterisks and an explanatory footnote shall be inserted in the proceedings as follows: ‘Expunged as ordered by the Chair’.”
What are Unparliamentary expressions?
- There are phrases and words, literally in thousands, both in English and in other Indian languages that are “unparliamentary”.
- The Presiding Officers — Speaker of Lok Sabha and Chairperson of Rajya Sabha — have the job of keeping these bad words out of Parliament’s records.
- For their reference and help, the Lok Sabha Secretariat has brought out a bulky tome titled ‘Unparliamentary Expressions’, the 2004 edition of which ran into 900 pages.
- The list contains several words and expressions that would probably be considered rude or offensive in most cultures; however, it also has stuff that is likely to be thought of as being fairly harmless or innocuous.
- The state legislatures too are guided mainly by the same book, which also draws heavily from unparliamentarily words and phrases used in the Vidhan Sabhas and Vidhan Parishads of India.
Examples of unparliamentary
- Among the words and phrases that have been deemed unparliamentary are “scumbag”, “shit”, “badmashi”, “bad” (as in “An MP is a bad man”), and “bandicoot”, which is unparliamentary if an MP uses it for another, but which is fine if he uses it for himself.
- If the Presiding Officer is a “lady”, no MP can address her as “beloved Chairperson”.
- The government or another MP cannot be accused of “bluffing”. “Bribe”, “blackmail”, “bribery”, “thief”, “thieves”, “dacoits”, “bucket of shit”, “damn”, “deceive”, “degrade”, and “darling”, are all unparliamentary.
- MPs or Presiding Officers can’t be accused of being “double minded”, having “double standards”, being of “doubtful honesty”, being “downtrodden”, indulging in “double talk”, being “lazy”, “lousy”, a “nuisance” or a “loudmouth”.
- No Member or Minister can be accused of having “deliberately concealed”, “concocted”, of being of a “confused mind”, or being “confused and unintelligent”.
- An illiterate MP can’t be called “angootha chhaap”, and it is unparliamentary to suggest that a member should be sent to the “ajayabghar” (museum).
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Not Much
Mains level: FGM
Every year, February 6 is observed as the International Day of Zero Tolerance for Female Genital Mutilation (FGM). As per the WHO, globally, over 200 million girls alive today have suffered FGM in over 30 countries.
Female Genital Mutilation
- FGM is the name given to procedures that involve altering or injuring the female genitalia for non-medical or cultural reasons.
- It is recognised internationally as a violation of human rights and the health and integrity of girls and women.
- Most girls and women who have undergone FGM live in sub-Saharan Africa and the Arab States, but it is also practiced in some countries in Asia, Eastern Europe and Latin America.
- According to the United Nations Population Fund (UNFPA), while the exact origins of the practice remain unclear, it seems to have predated Christianity and Islam.
- It says that some Egyptian mummies display characteristics of FGM.
- Significantly, the ancient Greek historian Herodotus has claimed that in the fifth century BC, the Phoenicians, the Hittites and the Ethiopians practised circumcision.
Why is Female Genital Mutilation practiced?
- Depending on the region, there can be various reasons why FGM is performed. The UNFPA has categorised the reasons into five categories —
- psycho-sexual reasons (when FGM is carried out as a way to control women’s sexuality, “which is sometimes said to be insatiable if parts of the genitalia, especially the clitoris, are not removed);
- sociological or cultural reasons (when FGM is seen as part of a girl’s initiation into womanhood and an intrinsic part of a community’s cultural heritage);
- hygiene and aesthetic reasons (this may be the reason for those communities that consider the external female genitalia as ugly and dirty);
- religious reasons (the UNFPA maintains that while FGM is not endorsed by Christianity or Islam, “supposed” religious doctrines may be used to justify the practice);
- socio-economic factors (in some communities FGM is a pre-requisite for marriage, especially in those communities where women are dependent on men economically).
- Other reasons cited by the WHO include- an attempt to ensure women’s premarital virginity since FGM is believed to reduce libido, and therefore believed to help her resist extramarital sexual acts.
- FGM may also be associated with cultural ideals of feminity and modesty.
Economic cost of FGM
- Beyond the immense psychological trauma it entails, FGM imposes large financial costs and loss of life.
- In 2018, a study on FGM in India said that the practice was up to 75 per cent across the Bohra Muslim community.
- The economic costs of treating health complications arising out of FGM amount to roughly $1.4 billion for 2018 for 27 countries where FGM is performed.
- If the prevalence remains the same, the amount is expected to rise up to $2.3 billion by 2047.
FGM in India
- According to the aforementioned study, the reasons for FGM referred to as “Khafd” in India include continuing an old traditional practice, adhering to religious edicts, controlling women’s sexuality and abiding by the rules stated by the religious clergy.
- It also states that the issue first rose to prominence in India because of two international legal cases on FGM against practising Bohras in Australia and the US.
- In 2018, a bench of then CJI Dipak Misra referred a petition seeking a ban on FGM among Dawoodi Bohra girls to a five-judge Constitution Bench.
- The Dawoodi Bohra community, on the other hand, maintained that the practice should be allowed since the Constitution grants religious freedom under Article 25.
For detailed health risks associated with FGM, navigate to the page:
Health hazards of FGM
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: FRBM act
Mains level: Read the attached story
Context
- As the years have rolled by, fiscal deficit has become a key factor to watch out for in every Budget presentation.
- It is considered the most important marker of a government’s financial health.
- A government that abides by the FRBM rules enjoys greater credibility among the rating agencies and market participants – both national and international.
FRBM Act
- The FRBM is an act of the parliament that set targets for the Government of India to establish financial discipline, improve the management of public funds, strengthen fiscal prudence and reduce its fiscal deficits.
- It was first introduced in the parliament of India in the year 2000 by Vajpayee Government for providing legal backing to the fiscal discipline to be institutionalized in the country.
- Subsequently, the FRBM Act was passed in the year 2003.
Features of the FRBM Act
- It was mandated by the act that the following must be placed along with the Budget documents annually in the Parliament:
- Macroeconomic Framework Statement
- Medium Term Fiscal Policy Statement and
- Fiscal Policy Strategy Statement
Fiscal Indicators
It was proposed that the four fiscal indicators be projected in the medium-term fiscal policy statement viz.
- Revenue deficit as a percentage of GDP,
- Fiscal deficit as a percentage of GDP,
- Tax revenue as a percentage of GDP and
- Total outstanding liabilities as a percentage of GDP
Why FRBM is back in debate?
- Not letting the fiscal deficit go completely out of control has been one of the standout achievements of the incumbent NDA government.
- However, as India’s economic growth has decelerated, there have been growing pressures on the government to breach the FRBM orthodoxy and spend in excess of fiscal deficit targets to reboot domestic growth.
- Others, however, continue to caution that the “real” fiscal deficit is already far more than the official number, and as such, there is no room for further increasing the expenditure by the government.
Which of these narratives is true?
- Actually, neither. But to understand that one has to first understand what are the different types of deficits and why does it matter to limit them.
Different types of deficits
- Fiscal is the excess of what the amount the government plans to spend over what the government expects to receive.
- Obviously, to make up this gap, the government has to borrow money from the market.But all government expenditure is not of the same kind.
- For instance, if the expenditure is for paying salaries then it is counted as “revenue” expenditure but if it goes into building a road or a factory – that is, something that in turn increases the economy’s capacity to produce more – then it is characterized as “capital” expenditure.
- The fiscal deficit is another key marker and it maps the excess of revenue expenditure over revenue receipts.
- The difference between fiscal deficit and revenue deficit is the government’s capital expenditure.
What FRBM says on deficits?
- As a broad rule, it is considered fiscally imprudent for a government to borrow money for “revenue” purposes.
- As a result, the FRBM Act of 2003 had mandated that, apart from limiting the fiscal deficit to 3% of the nominal GDP, the revenue deficit should be brought down to 0%.
- This would have meant that all the government borrowing (or fiscal deficit) for the year would have funded only capital expenditure by the government.
Why prefer capital expenditure over revenue expenditure?
- In any economy, when the government spends money or cuts taxes it has an impact on the economic activity of the country.
- But this impact (also called the “Multiplier” effect) is quite different for revenue expenditure and capital expenditure.
- In other words, when the government spends Rs 100 on increasing salaries in India, the economy grows by a little less than Rs 100.
- But, when the government uses that money to make a road or a bridge, the economy’s GDP grows by Rs 250.
- The question then is: How to get governments to switch from revenue expenditure to capital expenditure? That’s where the FRBM Act comes in handy.
What is the significance of an FRBM Act?
- The popular understanding of the FRBM Act is that it is meant to “compress” or restrict government expenditure. But that is a flawed understanding.
- The truth is that FRBM Act is not an expenditure compressing mechanism, rather an expenditure switching one.
- In other words, the FRBM Act – by limiting the total fiscal deficit (to 3% of nominal GDP) and asking for revenue deficit to be eliminated altogether – is helping the governments to switch their expenditure from revenue to capital.
- This also means that – again, contrary to popular understanding – adhering to the FRBM Act should not reduce India’s GDP, rather increase it.
Here’s how: When you cut on revenue deficit – that is, reduce your borrowings for funding revenue expenditure – and instead borrow to only spend on building capital, you increase the overall GDP by 2.5 times the amount of money borrowed. So adhering to FRBM Act is a win-win.
What has been India’s record on adhering to FRBM Act?
- Between 2004 and 2008, the Indian government had made giant strides on reducing both revenue deficit and fiscal deficit.
- But this process was reversed thereafter thanks largely to the Global Financial Crisis and a domestic slowdown.
- Since then, there have been several amendments to the Act essentially postponing the targets.
- But the worst development happened in 2018 when the Union government stopped targeting revenue deficit and instead focussed only on fiscal deficit.
Way Forward
- There is a need to revert back to the original FRBM Act if 2003 by recognising and prioritizing the reduction in revenue deficit.
- Doing this will help the government boost the kind of expenditure that actually increases the GDP.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: West Asia Peace Plan
Mains level: Palestine & Israel conflicts
With West Asia Peace plan US plans to revive the stalled two-state talks between the Israelis and the Palestinians. Israeli PM Benjamin Netanyahu, who had earlier spoken against the two-state solution, has accepted the Trump plan.
West Asia Peace Plan
The West Asia peace plan unveiled by U.S. President Trump seeks to give the Israelis what they have long wanted — an expansive state with Jerusalem as its “undivided capital” and tight security control over a future Palestinian state.
What’s the plan about?
- The Trump plan seeks to address most of the contentious issues in the conflict such as the border of Israel, status of Palestinian refugees, Jewish settlements on the West Bank, land swap between Israel and Palestine, Israel’s security concerns and the status of the city of Jerusalem.
- However US have proposed to almost all of these issues favour the Israeli positions.
- For example, Israel would be allowed to annex the Jewish settlements on the West Bank as well as the Jordan Valley.
- The Palestinian refugees, who were forced out from their homes during the 1948 Arab-Israeli war that followed the declaration of the state of Israel in the historic Palestine, would not be allowed to return.
- They could move to the future Palestinian state, be integrated into the host countries or settled in other regional countries.
Jerusalem: The undivided Capital
- Jerusalem, perhaps the most contentious issue, would be “the undivided capital” of Israel, with Palestine gaining its capital in the east of the city — beyond the security border Israel has already built.
- In return, Israel would freeze further settlement activities on the West Bank for four years — the time for negotiations.
Land Swap
- According to the Oslo Accords, the West Bank was divided into three areas and only one of them is under the direct control of the Palestinian Authority.
- The plan proposes some land swap for the Israeli annexation of the West Bank Jewish settlements.
- It seeks to enlarge Gaza and connect the strip with the West Bank through a tunnel.
- The Arab towns in the southeast of Israel, which are close to Gaza, could become part of a future Palestinian state.
Curb on Hamas
- During this period, the Palestinian Authority should dismiss its current complaints at the International Criminal Court against Israel and refrain itself from taking further actions.
- It should also crack down on “terrorist” groups such as Hamas and the Islamic Jihad.
Investment Plans
- US has also proposed $50 billion in investment over 10 years should Palestine accept the proposals.
- In the final settlement, Palestine would get control over more land than what it currently controls.
Implications for Palestine
- The Palestine position is backed by most of the world powers is the formation of an independent, sovereign Palestinian state based on the 1967 border.
- It means the whole of the West Bank and the Gaza Strip with East Jerusalem as its capital including the Old City that houses Haram esh-Sharif, also known as Temple Mount, a holy site for both Muslims and Jews.
- Issues like the right of return of the Palestinian refugees are to be settled in final negotiations.
- But US has effectively rejected the Palestinian claims outright and asked them to make more compromises.
- He seeks to give Jerusalem and about 30% of the West Bank to the Israelis and has denied the right of return of the Palestinian refugees.
- And for this, the Palestinians should take action against militant groups, stop supporting Palestinian families of those jailed or killed by Israel and refrain itself from questioning the occupation in international fora.
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From UPSC perspective, the following things are important :
Prelims level: Fiscal Marksmanship
Mains level: Signs of economic slowdown in the country
Over the past few years, many have questioned the government’s fiscal marksmanship.
What is fiscal marksmanship?
- Fiscal marksmanship essentially refers to the accuracy of the government’s forecast of fiscal parameters such as revenues, expenditures and deficits etc.
- In other words, if the difference between what the government projected as the likely tax revenues in the Budget and the actual figures a year later is large then it reflects poor fiscal marksmanship.
- In the Indian context, this term gained popularity after Raghuram Rajan, then India’s Chief Economic Advisor stressed on fiscal marksmanship in the Economic Survey for the year 2012-13.
- He had defined fiscal marksmanship as “the difference between actual outcomes and budgetary estimates as a proportion of GDP”.
Why does fiscal marksmanship matter?
- The salience of Budget numbers lies in their credibility.
- The central purpose of publicly disclosing the Budget or the annual financial statement in a democracy and seeking approval from the legislature is to make the policymaking and governance transparent and participatory.
- Everyone knows that Budget numbers are forecasts and estimates, and as such, unlikely to tally exactly with the actual numbers a year later.
- But there is an underlying belief among people that when the government states, say, that its revenues will grow by 12% or that its fiscal deficit will remain within the FRBM Act’s mandate as it is based on genuine calculations.
- However, if these fiscal forecasts turn out to be way off the mark repeatedly, it will undermine the credibility of the Budget numbers and indeed the Budget presentation itself.
Why is India’s fiscal marksmanship being questioned?
Typically, the fiscal marksmanship tends to get dented every time the economy faces a bump during the financial year.
- For instance, as a result of the extent of the Global Financial Crisis in 2008, budget forecasts in the ensuing years did take a hit.
- The latest trigger has been the wide discrepancy between what the last couple of budgets — first the interim budget for 2019-20 (presented in February 2019) and then the full budget for 2019-20 (presented in July 2019).
- It expected the nominal GDP growth to be in 2019-20 and what the First Advance Estimates (FAE), released by the Ministry of Statistics and Programme Implementation in January 2020.
- For instance, the July 2019 Budget expected nominal GDP to grow by 12% in 2019-20 but the FAE expect the nominal GDP to grow by just 7.5% (which by the way is a 42-year low).
- Since all budget calculations are based on the nominal GDP, it is expected that this wide variance in nominal GDP will reflect across the board in the coming Budget.
Impact on revenue
- The government’s revenues are unlikely to grow anywhere close to the last Budget’s expectation.
- Indeed, the revenue shortfall is expected to be anywhere between Rs 2 lakh crore to Rs 5 lakh crore.
- As a result, either the fiscal deficit will overshoot from the budgeted number or the expenditure numbers will be much lower than promised.
Why has fiscal marksmanship worsened?
- As mentioned earlier, when an economy’s growth slows down (or picks up) sharply within a year, it is possible that the fiscal forecasts for that year go down (or up) substantially.
- However, such changes do not happen too often.
- In the recent past, however, there is one structural change that appears to be contributing to poor fiscal forecasts by the government.
- This structural change was the government’s decision in January 2017 to advance the presentation of the Union Budget by a whole month.
- Accordingly, the Union Budget for 2017-18 was presented on February 1 instead of the last working day of February (28th or 29th), as was the norm till then.
- It meant that the First Advance Estimates, which used to come by January end (after taking into account the economic activity of the first three quarters of the financial year), had to be brought out by the start of January.
- This, in turn, essentially meant that the estimate of the key nominal GDP data for the current year — on the base of which next year’s nominal GDP and other estimates were to be made — had to be made using the first two quarters of the current fiscal year.
Why didn’t the government course-correct and project slower economic growth in July 2019 when it presented the full Budget for 2019-20?
- It is unclear why this was not done. But could be two or three possible reasons.
- One, the FM may have favoured continuity over the Interim Budget estimates instead of providing a starkly different set of estimates.
- Two, and a related reason, could be that the government did not have enough time to make the adjustment because it may have required redoing the whole Budget afresh.
- Or third, because perhaps the government did not recognise the severity of the economic slowdown that has been underway.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Women in STEM
Across the world, there are more men who are active in science, technology, engineering and medicine (STEM) than women. Of the 866 Nobel winners so far, only 53 have gone to women.
Sociology behind the gender-divide
- Research shows that when men and women apply for jobs — be in the labour market, or in places where high level qualifications are demanded, men candidates engage in self-promotion, and are boastful while equally qualified women are more ‘modest’ and ‘undersell’ themselves.
- Even in groups and situations where men and women are present as colleagues, the views of women are either ignored or listened to less seriously than those of men.
- As a result, women tend to underestimate their ability relative to men, especially in public settings, and negotiate less successfully.
Why this imbalance?
The authors suggest three socio-psychological reasons, namely:
- masculine culture
- lack of sufficient early exposure to computers, physics and related areas compared to boys in early childhood and
- gender gap in self-efficacy
Stereotypes and role models
I] Masculine culture
- The masculine culture is due to stereotyping that men are fitter for certain jobs and skills than women, and that women are more ‘delicate’, ‘tender’ and thus unfit for ‘hard’ jobs.
- In addition, there are not enough female role models whom women may admire and follow.
II] Lack of exposure
- The lack of exposure in early childhood to certain fields and the supposed stereotyping of computer field practitioners as ‘nerds’ with social awkwardness would seem to have played a role from women shying away into other fields.
III] Gender gap in self-efficacy
- The ‘gender gap in self-efficacy’ appears to have arisen as a result of the above two, and leads to a worry in girls’ and women’s minds as to ‘whether I am really only fit for certain ‘soft’ fields and jobs or a feeling of diffidence.
- This is clearly a reflection and product of masculine culture.
- But then, even when we turn to life sciences, where both men and women compete for positions and career advancements in universities and research labs, this gender disparity is glaring.
India is no better
- The men rule roosts here too in India. India has been a patrilineal society with the notion that women need not take on jobs, and that this notion has only recently been revised.
- Women form only 10-15% of STEM researchers and faculty members in the IITs, CSIR, AIIMS and PGIs.
- In private R & D labs, there are very few women scientists.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Kashmiri Pandits and the hurdles in their rehabiliation
It is 30 years since the “exodus” from the Valley of its minority Hindu Kashmiri Pandit community.
The run-up: 1980s to 1990
- Sheikh Abdullah had died in 1982, and the leadership of the National Conference passed on to his son Farooq Abdullah, who won the 1983 election.
- But within two years, the Centre broke up the NC, and installed dissident Ghulam Mohammed Shah as Chief Minister. This led to huge disaffection and political instability.
- The Jammu & Kashmir Liberation Front (JKLF) stepped up its activities, and the hanging of the militant leader Maqbool Bhat in 1984 added to the sense of foreboding.
- In 1986, after the Rajiv Gandhi government opened the Babri Masjid locks to enable Hindus to offer prayers there, ripples were felt in Kashmir too.
- In Anantnag, the constituency of then Congress leader Mufti Mohammad Sayeed, there was a series of attacks on Hindu temples, and shops and properties of Kashmiri Pandits, blamed on separatist and secessionists.
- Pandits had begun to be targeted. Eminent persons of the community were being shot dead.
The night of January 19, 1990
- Matters came to a head on January 19. By then, the Farooq Abdullah government had been dismissed and Governor’s Rule imposed.
- According to accounts published by many eminent Kashmiri Pandits, there were threatening slogans over loudspeakers from mosques, and on the streets.
- Speeches were made extolling Pakistan and the supremacy of Islam, and against Hinduism. Finally, the Kashmiri Pandit community decided to leave.
The Gawkadal Massacre
- On January 20, the first stream began leaving the Valley with hastily packed belongings in whatever transport they could find. A second, larger wave left in March and April, after more Pandits were killed.
- On January 21, the CRPF gunned down 160 Kashmiri Muslim protesters at the Gawkadal Bridge, which has come to be known as the worst massacre in the long history of the conflict in Kashmir.
- The two events — the flight of the Pandits and the Gawkadal massacre — took place within 48 hours.
How many Pandits left?
- According to some estimates, notably by the Kashmiri Pandit Sangharsh Samiti (KPSS), of 75,343 Kashmiri Pandit families in January 1990, more than 70,000 fled between 1990 and 1992 and continued until 2000.
- The KPSS has placed the number of Kashmiri Pandits killed by militants from 1990 to 2011 at 399, the majority during 1989-90.
- Some 800 families have remained in the Valley through these three decades.
Role of the administration
- The other contentious question about the exodus is the role played by the administration, and more specifically that of the J&K Governor, Jagmohan.
- Newly appointed, he had arrived in Srinagar on January 19.
- The Kashmiri Muslim view of the exodus is that he encouraged the Pandits to leave the Valley and thus gave a communal colour to what was until then a non-religious Kashmiri cause.
- The Kashmiri Hindu view is that this is a disingenuous interpretation.
- They believe that Kashmiri Muslims, with whom they had lived amicably for centuries, drove them out with a vengeance in a frenzy of Islamism that they could not have imagined even months earlier.
- The truth, many commentators have concluded, may have been somewhere in the middle.
The question of return
- Those who had means rebuilt their lives elsewhere in the country — Delhi, Pune, Mumbai and Ahmedabad have Pandit populations, also Jaipur and Lucknow — or went abroad.
- The fleeing Pandits did not think they would never return to the Valley. But as the situation in Kashmir spiraled into a full-blown militancy, return began to look remote if not impossible.
- The longing to return to the Valley did not diminish over the years, though it may have become more an idea than a real ambition.
- Successive governments have promised that they will help this process, but the situation on the ground in Kashmir has meant this remains only an intention.
- There is an acute realization in the community that the Valley is no longer the same that they left behind in 1990.
- In many cases, their properties were either immediately vandalised or sold quickly by the owners to Kashmiri Muslims. Many fell into disrepair.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Monsoon: Its onset and retreat
Mains level: Various factors causing uncertainty in monsoon predictions
The India Meteorological Department (IMD) had decided to revise the normal onset and withdrawal dates for the monsoon in some parts of the country from this year.
Onset of Monsoon
- The four-month southwest monsoon season, which brings as much as 70 per cent of the country’s annual rainfall, officially begins on June 1, with the onset over Kerala, and ends on September 30.
- It takes about a month and half after onset on the Kerala coast to cover the entire country; and about a month, beginning from the northwestern parts of the country on Sept. 1 to withdraw completely.
- Although the June 1 date for the onset of the monsoon on the Kerala coast is unlikely to be changed, the dates for onset in many other parts of the country are expected to be revised.
- Mumbai, for example, expects to start getting rain from June 10 the revision is likely to push this date back by a few days.
- Effectively, the monsoon is now expected to have later arrival and withdrawal dates in most parts of the country.
Why was this revision needed?
- The main reason for the revision in the normal dates is the changes in precipitation patterns that have been taking place over the last many years.
- In the last 13 years, for example, only once has the onset over the Kerala coast happened on June 1.
- While two or three days of earlier or later onset falls within the yearly variability in several years the onset happened five to seven days late.
- Similarly, the commencement of withdrawal has happened in the first week of September only twice during this period, and last year, the withdrawal started as late as October 9 — and was completed in around just a week.
Recent peculiarity with the exam
- One of the significant changes being noticed is that rainfall is getting increasingly concentrated within a narrow band of days within the monsoon season.
- So, there are extremely wet days followed by prolonged periods of dry days.
- IMD data show that over several previous years, nearly 95 per cent of monsoon precipitation in 22 major cities of the country had happened over a period of just three to 27 days.
- Delhi, for example, had received almost 95 per cent of its monsoon rainfall over just 99 hours. And half of Mumbai’s monsoon rain had fallen over just 134 hours, or five and a half days, on average.
Regional variations
- Patterns of regional variations in rainfall are also changing
- Areas that have traditionally received plenty of rainfall are often remaining dry, while places that are not expected to get a lot of monsoon rain have sometimes been getting flooded.
- Climate change could be one of the factors driving these changes, but there could be other reasons as well.
What will be the impact of IMD’s move?
For Farmers
- The revisions are meant to reflect the changes in precipitation patterns in recent years.
- New dates will likely nudge farmers in some parts of the country to make slight adjustments in the time of sowing their crops.
- It would definitely have an impact on our agriculture practices — when to start sowing, when to harvest.
- So, even if there is a delay in the arrival of monsoon by three to four days over a region, it would not matter much if there is a fairly good rainfall distribution thereafter.
- The change in dates would affect water management practices as well.
For Industries
- The planning that goes to beat the heat — several cities execute heat action plans — just ahead of the monsoon would have to factor in the need to be prepared for longer periods of heat.
- Rajeevan said many other activities including industrial operations, the power sector, or those using cooling systems, would also need to change their behaviour.
- The power grid can, for example, have more realistic planning for peak periods of electricity consumption in certain months.
Way Forward
- The changed dates are expected to be announced in April, when the IMD makes its first forecast for the monsoon.
- Agro-meteorologists, however, agree that more than the onset, it is the information about the spatio-temporal distribution of rainfall that will be more helpful for farmers.
- Ultimately, the change in normal dates of the onset and withdrawal of the monsoon would help people understand when to expect rains, and to plan their activities accordingly.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: NIA Act
Mains level: Policing Issues with NIA
The Chhattisgarh state govt. moved the Supreme Court against the 2008 National Investigative Agency (NIA) Act, stating it is violative of the Constitution. In its civil suit, the government told the apex court the NIA should have no power over state policing matters.
What is the NIA Act, 2008?
- The NIA Act, 2008 governs the functioning of India’s premier counter-terror agency.
- It was introduced by then home minister P Chidambaram in the wake of the 26/11 Mumbai terrorist attacks and was passed in Parliament with very little opposition.
- The Act makes the NIA the only truly federal agency in the country, along the lines of the FBI in the United States, more powerful than the CBI.
- It gives the NIA powers to take suo motu cognizance of terror activities in any part of India and register a case, to enter any state without permission from the state government, and to investigate and arrest people.
Objections made by CG
- In its petition, the Chhattisgarh govt. said the Act is “ultra vires the Constitution” and “beyond the legislative competence of the Parliament”.
- According to the state, the 2008 Act allows the Centre to create an agency for investigation, which is a function of the state police.
- ‘Police’ is an entry in the State List of the Constitution’s 7th Schedule.
- The petition says the 2008 Act takes away the state’s power of conducting an investigation through the police, while conferring unfettered, discretionary and arbitrary powers” on the Centre.
- The provisions of the Act leave no room of coordination and pre-condition of consent, in any form whatsoever, by the Centre from the State govt. which clearly repudiates the idea of state sovereignty as envisaged under the Constitution.
Changes made to the NIA’s powers last year
- The 2019 NIA Amendment Act expanded the type of offences that the investigative body could investigate and prosecute.
- The agency can now investigate offences related to human trafficking, counterfeit currency, manufacture or sale of prohibited arms, cyber-terrorism, and offences under the Explosive Substances Act, 1908.
- The amendment also enables the central government to designate sessions courts as special courts for NIA trials.
- The Unlawful Activities (Prevention) Amendment (UAPA), also passed in 2019, allows an NIA officer to conduct raids, and seize properties that are suspected to be linked to terrorist activities without taking prior permission of the DG of Police of a state.
- The investigating officer only requires sanction from the Director General of NIA.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Art. 131, 32, 226
Mains level: Original Jurisdiction of the Supreme Court and High Courts
- The Kerala government moved the Supreme Court against the Citizenship (Amendment) Act becoming the first state to challenge the law.
- It filed a petition under Article 131 of the Constitution and asked for the law to be declared unconstitutional and in violation of Articles 14 (equality before law), 21 (protection of life and personal liberty) and 25 (freedom of conscience and free profession, practice, and propagation of religion).
What is Article 131 of the Constitution?
- The Article vests the Supreme Court with original jurisdiction over disputes occurring between states or between states and the Centre.
- The original jurisdiction of a court means the power to hear a case for the first time, as opposed to appellate jurisdiction, in which the court reviews the decision of a lower court.
- Unlike the original jurisdiction under Article 32 (which gives the top court the power to issue writs, etc.), the jurisdiction in Article 131 is exclusive, meaning it is only the Supreme Court which has this authority.
- Under Article 226, the High Courts too have the power to issue writs, directions etc.
Original jurisdiction
- Article 131 reads, “Original jurisdiction of the Supreme Court. — Subject to the provisions of this Constitution, the Supreme Court shall, to the exclusion of any other court, have original jurisdiction in any dispute —
(a) between the Government of India and one or more States; or
(b) between the Government of India and any State or States on one side and one or more other States on the other; or
(c) between two or more States,
if and in so far as the dispute involves any question (whether of law or fact) on which the existence or extent of a legal right depends:
- The said jurisdiction shall not extend to a dispute arising out of any treaty, agreement, covenant, engagement, sanad, or other similar instrument which, having been entered into or executed before the commencement of this Constitution.
- However they continue in operation after such commencement, or which provides, that the said jurisdiction shall not extend to such a dispute.
What kinds of disputes are covered under Article 131?
- In ‘State of Rajasthan vs Union of India’, 1977, the Supreme Court ruled that the existence or extent of a legal right is a precursor before a suit under Article 131 is entertained. But mere wrangles between governments have no place in the scheme of that Article.
- Similarly, in the 1978 case, ‘State of Karnataka vs Union of India’, which involved the Centre’s authority to order an inquiry into a state Chief Minister’s conduct, jurisdiction under Article 131 was held valid.
- In the present case filed by Kerala, central legislation (CAA) is being challenged. In 2011, a two-judge Supreme Court Bench in ‘Madhya Pradesh v Union of India’ had held such a suit was not maintainable.
- Later in 2013, another two-judge Bench in ‘State of Jharkhand v State of Bihar and Another’ disagreed with the previous verdict and referred the matter to a larger Bench. Kerala’s plaint relies on the 2013 verdict.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Police Commissionerate System
Mains level: Read the attached story
The UP Cabinet has approved the Commissionerate system of policing for state capital Lucknow, and Noida.
The Police Commissionerate System
- The system gives more responsibilities, including magisterial powers, to IPS officers of Inspector General of Police (IG) rank posted as commissioners.
- Under the 7th Schedule of the Constitution, ‘Police’ is under the State list, meaning individual states typically legislate and exercise control over this subject.
- In the arrangement in force at the district level, a ‘dual system’ of control exists, in which the Superintendent of Police (SP) has to work with the District Magistrate (DM) for supervising police administration.
- At the metropolitan level, many states have replaced the dual system with the commissionerate system, as it is supposed to allow for faster decision-making to solve complex urban-centric issues.
Additional powers to Police
- In this system, the Commissioner of Police (CP) is the head of a unified police command structure, is responsible for the force in the city, and is accountable to the state government.
- The office also has magisterial powers, including those related to regulation, control, and licensing.
- The CP is drawn from the Deputy Inspector General rank or above, and is assisted by Special/Joint/Additional/Deputy Commissioners.
Where is the system in force?
- Previously, only four cities had the system: Kolkata, Mumbai, Hyderabad and Chennai.
- However, with rapid urbanisation, states felt an increasing need to replicate the system in more places.
- The sixth National Police Commission report, which was released in 1983, recommended the introduction of a police Commissionerate system in cities with a population of 5 lakh and above, as well as in places having special conditions.
- Over the years, it has been extended to numerous cities, including Delhi, Pune, Bangalore and Ahmedabad. By January 2016, 53 cities had this system, a PRS study said.
- Depending on its success, the policing system may gradually be implemented in other districts as well.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Doctrine of ‘Presumption of Constitutionality’
Mains level: Read the attached story
Recently the Supreme Court declined urgent hearing on a plea seeking to declare the CAA as constitutional and said that there was already a “presumption of constitutionality” to a law passed by Parliament. CJI has said that the court’s role was to examine the validity, and not declare a law constitutional.
Doctrine of Presumption of Constitutionality
- The term ‘presumption of constitutionality’ is a legal principle that is used by courts during statutory interpretation — the process by which courts interpret and apply a law passed by the legislature, such as Parliament.
- In the 1992 Supreme Court case ‘ML Kamra v New India Assurance’, Justice K Ramaswamy said: “The court ought not to interpret the statutory provisions, unless compelled by their language, in such a manner as would involve its unconstitutionality.
- The legislature of the rule making authority is presumed to enact a law which does not contravene or violate the constitutional provisions.
- Therefore, there is a presumption in favour of constitutionality of a legislation or statutory rule unless ex facie it violates the fundamental rights guaranteed under Part III of the Constitution.
- If the provisions of a law or the rule is construed in such a way as would make it consistent with the Constitution and another interpretation would render the provision or the rule unconstitutional, the Court would lean in favour of the former construction. ” (“ex facie” meaning ‘on the face’)
When does this apply?
- It is a cardinal principle of construction that the Statute and the Rule or the Regulation must be held to be constitutionally valid unless and until it is established they violate any specific provision of the Constitution.
- Further it is the duty of the Court to harmoniously construe different provisions of any Act or Rule or Regulation, if possible, and to sustain the same rather than striking down the provisions out right.
- The presumption is not absolute, however, and does not stand when there is a gross violation of the Constitution.
Limitations to the doctrine
- A three-judge Bench in ‘NDMC v State of Punjab’ (1996) spoke of the limitations to the doctrine.
- The Bench observed that the Doctrine is not one of infinite application; it has recognised limitations.
- The Court has consistently followed a policy of not putting an unnatural and forced meaning on the words that have been used by the legislature in the search for an interpretation which would save the statutory provisions.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Fundamentals as mentioned in the newscard
Mains level: Fundamentals of Indian Economy
PM Modi highlighted the strong absorbent capacity of the Indian economy while referring to certain fundamentals. He emphasized the strength of these basic fundamentals in absorbing the shocks of ongoing economic slowdown.
What are the ‘fundamentals of an economy’?
- The PM has reiterated a phrase of reassurance — underscoring the strong fundamentals of the Indian economy — that has been often used by policymakers in the past when the economy is seen to be faltering.
- When one talks about the fundamentals of an economy, one wants to look at economy-wide variables such as the overall GDP growth, the overall unemployment rate, the level of fiscal deficit, the valuation of a country’s currency against the US dollar, the savings and investment rates in an economy, the rate of inflation, the current account balance, the trade balance etc.
- There is intuitive wisdom in looking at these “fundamentals” of an economy when it goes through a tough phase.
- Such an analysis, when done honestly, can give a sense of how deep the strain in an economy run.
- It can answer the question whether the current crisis just an exaggerated response to a sectoral problem or is there something more “fundamentally” wrong with the economy that needs urgent attention and “structural” reform.
- To be sure about the broader health of the economy, one looks at the broader variables. That way, one reduces the chances of getting the diagnosis wrong.
Their relevance
- The first advance estimates of national income for the current financial year, released earlier in the week, found that nominal GDP was expected to grow at just 7.5% in 2019-20.
- This is the lowest since 1978. Real GDP is calculated after deducting the rate of inflation from the nominal GDP growth rate.
- So, if for argument sake, the inflation for this financial year is 4%, then the real GDP growth would be just 3.5%.
- Just for perspective, the Union Budget presented in July 2019 expected a real GDP growth of 8% to 8.5% and a nominal GDP growth of 12% to 12.5%, with a 4% inflation level.
So, what is the current state of the fundamentals?
The data on most variables that one may call as fundamentals of the Indian economy are struggling.
- Growth rate — both nominal and real — has decelerated sharply; now trending at multi-decade lows. Gross Value Added, which maps economic growth by looking at the incomes-generated is even lower; and its weakness in across most of the sectors that traditionally generated high levels of employment.
- Inflation is up but the consolation is that the spike is largely due to transient factors.
- However, a US-Iran type of conflagration could result is a sharp hike in oil prices and, as such, domestic inflation may rise in the medium term.
- Unemployment is also at the highest in several decades.According to some calculations, between 2012 and 2018, India witnessed a decline in the absolute number of employed people — the first instance in India’s history.
- Fiscal deficit, which is proxy for the health of government finances, is on paper within reasonable bounds but over the years, the credibility of this number has come into question. Many, including the CAG, has opined that the actual fiscal deficit is much higher than what is officially accepted.
- Bucking the trend, the current account deficit, is in a much better state but trade weakness continues as do the weakness of the rupee against the dollar; although on the rupee-dollar issue, a case can be made that the rupee is still overvalued and thus hurting India’s exports.
- Similarly, while the benchmark stock indices have run up, and grabbed all attention, the broader stock indices like the BSE500 have struggled.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: GST Council
Mains level: Functioning of the GST Council
- Breaking the tradition of consensus-based decisions in its 37 earlier meetings, the GST Council voted for the first time in its 38th meeting held on December 18.
GST Council voting rules
- As per The Constitution (One Hundred and First Amendment) Act, 2016, in case of a voting, every decision of the GST Council has to be taken by a majority of not less than three-fourths of the weighted votes of the members present.
- The vote of the central government has a weightage of one-third of the total votes cast, and the votes of all the state governments taken together have a weightage of two-thirds of the total votes cast in that meeting.
- As of now, out of the total 30 states and UTs (excluding J&K), 20 are ruled by the NDA.
- This essentially means that a vote in the Council could largely be an academic exercise — unless a number of the BJP’s allies switch sides.
Impacts of imbibing Voting
- With the precedent of voting now established, consensus at the Council could be challenged again in the future.
- The rules of voting in the GST Council are such that the odds are stacked in favour of the Centre in the normal course.
- However, in case of a vote, any disagreements within the ruling coalition at the Centre may bring its support below the three-fourths majority that is needed for the passage of a decision.
Way Forward
- Differences of opinion are likely to crop up on proposals to raise rates, especially of the lower slabs, in the future — a concern that made most states rule out an immediate rate hike in the last Council meeting, even as they were in agreement over a broader overhaul of the GST structure.
- So far, even if states voiced their differences over a proposal in the Council, all decisions had been taken by consensus in the meetings of the GST Council.
- With a departure from the consensus approach having been made, there could be more instances of voting exercises going forward — especially as revenue-raising measures come up in future meetings.
Back2Basics
GST Council
- The GST Council is a federal body that aims to bring together states and the Centre on a common platform for the nationwide rollout of the indirect tax reform.
- It is an apex member committee to modify, reconcile or to procure any law or regulation based on the context of goods and services tax in India.
- The GST Council dictates tax rate, tax exemption, the due date of forms, tax laws, and tax deadlines, keeping in mind special rates and provisions for some states.
- The predominant responsibility of the GST Council is to ensure to have one uniform tax rate for goods and services across the nation.
How is the GST Council structured?
- The Goods and Services Tax (GST) is governed by the GST Council. Article 279 (1) of the amended Indian Constitution states that the GST Council has to be constituted by the President within 60 days of the commencement of the Article 279A.
- According to the article, GST Council will be a joint forum for the Centre and the States. It consists of the following members:
- The Union Finance Minister will be the Chairperson
- As a member, the Union Minister of State will be in charge of Revenue of Finance
- The Minister in charge of finance or taxation or any other Minister nominated by each State government, as members.
Terms of reference
- Article 279A (4) specifies that the Council will make recommendations to the Union and the States on the important issues related to GST, such as, the goods and services will be subject or exempted from the Goods and Services Tax.
- They lay down GST laws, principles that govern the following:
- Place of Supply
- Threshold limits
- GST rates on goods and services
- Special rates for raising additional resources during a natural calamity or disaster
- Special GST rates for certain States
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: GDP, GNP, GVA etc.
Mains level: First Advance Estimates
The First Advance Estimates (FAE) were recently released by the Ministry of Statistics and Programme Implementation (MoSPI).
The First Advance Estimates and their significance
- The First Advance Estimates (FAE) extrapolate a variety of data, such as the Index of Industrial Production (IIP), the financial performance of listed companies, first advance estimates of crop production etc., for the first 7 to 8 months to arrive at the annual figure.
- The significance of the FAE is that this is the final bit of official data before the government presents its next Budget.
- The sector-wise Estimates are obtained by extrapolation of indicators like-
- IIP of first 7 months of the financial year,
- financial performance of Listed Companies in the Private Corporate sector available upto quarter ending September, 2019
- 1st Advance Estimates of Crop production,
- accounts of Central & State Governments, information on indicators like Deposits & Credits, Passenger and Freight earnings of Railways, Passengers and Cargo handled by Civil Aviation, Cargo etc., available for first 8 months of the financial year”.
Estimates for 2018-19
- It estimated India’s GDP will grow by just 5 per cent in the current financial year (2019-20). Last financial year, 2018-19, the Indian economy grew at 6.8 per cent.
- The gross value added (GVA), which maps the economic activity from the income side as against the GDP which maps it from the expenditure side, is expected to grow by 4.9 per cent in 2019-20 as against 6.6 per cent in 2018-19.
Drivers of the GDP
There are four main drivers of the GDP:
- One, the private consumption expenditure – that is the expenditure that you and I make in our personal capacity. This category has grown by just 5.7 per cent in 2019-20 while it grew by 8 per cent last financial year.
- The second driver is the expenditure made by the Government. This grew by 10.5 per cent, which is higher than the rate of growth (9.2 per cent) in the last financial year.
- But the most disappointing number is the deceleration in business investments in the economy.
- This driver, which is the key to sustainable long-term growth, grew by less than 1 per cent; last financial year it grew by 10 per cent.
- This shows that while the private consumption demand is tepid, businesses have completely turned off the tap on new investments despite the government making a once-in-generation cut in corporate taxes.
Performance in terms of GVA
- The GVA data provides a detailed picture. Given that the overall GVA has decelerated sharply, almost all sectors have witnessed slower growth in economic activity.
- Only “Public Administration, Defence and Other Services,“ which essentially measures how the government did, grew by 9.1 per cent.
- All other sectors saw a GVA growth that was slower than the average growth in the last financial year.
- The worst performing sectors are ‘Agriculture, Forestry and Fishing’, ‘Mining and Quarrying’, ‘Manufacturing’ and ‘Construction’, which are expected to see a GVA growth of 2.8 per cent, 1.5 per cent, 2.0 per cent and 3.2 per cent respectively.
Back2Basics
Real vs. Nominal GDP
- GDP is the total market value of all goods and services produced in the economy during a particular year, inclusive of all taxes and subsidies on products.
- The market value taken at current prices is the nominal GDP.
- The value taken at constant prices — that is prices for all products taken at an unchanged base year (2011) — is the real GDP.
- In simple terms, real GDP is nominal GDP stripped of inflation.
- Real GDP growth thus measures how much the production of goods and services in the economy has increased in actual physical terms during a year.
- Nominal GDP growth, on the other hand, is a measure of the increase in incomes resulting from rise in both production and prices.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Urban lakes in India
Mains level: Wetland conservation in India
Context
- Historically, cities were built along waterways or lakes.
- Over time, human settlements near water bodies and lakes have transformed the natural environment into the towns and cities we see today.
- Urban lakes are an important part of city ecosystems as they play a major role in providing environmental, social and economic services.
Famous Urban Lakes in India
Carambolim (Goa), Chilika (Odisha), Dal (Jammu and Kashmir), Deepor Beel (Assam), Khabartal (Bihar), Kolleru (Andhra Pradesh), Loktak (Manipur), Naini (Uttrakhand), Nalsarovar (Gujarat), and Vembanad (Kerala)
Threats to these Lakes
These lake ecosystems are presently endangered due to anthropogenic disturbances caused by Urbanisation as they have been heavily degraded due to pollution from disposal of untreated local sewage or due to encroachment, resulting in shrunken lakes.
Why conserve them?
- Lakes in urban areas provide us with prime opportunities for recreation, tourism and domestic purposes.
- They hold historical and traditional values and at places are a source of water supply for a municipality.
- Appropriate lake function can ease the impact of floods and droughts by storing large amounts of water and releasing it during shortages.
- Lakes also help in replenishing groundwater level as they are essential receptors for groundwater recharge, positively influencing water quality of downstream watercourses and preserving the biodiversity and habitat of the surrounding area.
- Lakes in urban areas are also used as a source of water for industries, irrigation and agriculture.
Defining Urban Lakes
- There is no specific definition for ‘urban lakes’ in India.
- According to the National Lake Conservation Plan (NLCP), a water body having a minimum depth of three metres, spread over more than 10 hectares, and having no or very little aquatic vegetation, is considered as a lake.
The definition provided by NLCP is based on broad hydrological and morphometry criteria of a lake:
- The apparent definition of urban lakes seems to those located entirely within city limits (census town) and directly surrounded by urban developments, with some recreation facilities limited to the shoreline area (parks, playgrounds).
OR
- The lakes which are predominantly affected by urban human populations and their drainage basin is dominated by urbanisation, rather than geology, soils or agriculture. Such lakes are situated only partially within city limits, or attached but not necessarily surrounded, entirely by city development.
Issues with the definition
- One of the obstacles for effective protection of these interlinked lakes in cities is the lack of a clear definition of an ‘urban lake’ in the Indian context.
- The definition provided under the guideline of NLCP acknowledges only broad hydrological criteria to define a water body as a lake.
- This definition ignores the fact that the water depth and spread keep changing every year, depending on various environmental factors.
- In fact, there are very few urban lakes that fit into this definition since most of them occupy a small area (<10 ha), are seasonal and shallow.
Various policy measures
Water (Prevention and Control of Pollution) Act in 1974
- Planning interventions for water bodies started as early as 1927.
- In the Water (Prevention and Control of Pollution) Act in 1974, directions were given to control the flow of sewage and industrial effluents into water bodies.
Ramsar Convention
- The need for lake conservation was felt when India became a signatory to the Ramsar Convention on Wetlands, 1982.
- The Convention called for the conservation and wise use of wetlands (including water bodies).
- Twenty-six Ramsar sites, covering an area of 689,000 ha, were identified in India.
National Wetland Conservation Programme
- The Indian government operationalised the Programme in closed collaboration with concerned state governments during 1985-86 under the MoEFCC notification.
- Recognising the importance of lakes, the Ministry launched NLCP, a centrally sponsored scheme exclusively aimed at restoring the water quality and ecology of lakes in different parts of the country.
- Under the programme, 115 wetlands were identified, which required urgent conservation and management initiatives.
- The selection of lakes was on hydrological (Lake size over 10 acres or 3 acres if of religious and cultural importance and lake depth more than three metres), scientific and administrative criteria.
- The scheme was approved by the Union government during the Ninth Plan (June 2001) as 100 per cent central grant.
- From 100 per cent central funding, the costs are now shared according to a ratio of 70:30 between the Union and the concerned state government.
Repair, Renovation and Restoration of Waterbodies’ Scheme
- In continuation with the NLCP, the Centre had launched this Scheme in 2005,
- The objectives of the scheme were comprehensive improvement and restoration of traditional waterbodies, including increasing tank storage capacity, ground water recharge, etc.
National Plan for Conservation of Aquatic Eco-systems (NPCA)
- Later, in 2016, the National Lake Conservation Plan was merged with National Wetlands Conservation Programme to form NPCA.
- The principal objectives of NPCA are holistic conservation and the restoration of lakes and wetlands through an integrated and multidisciplinary approach with a common regulatory framework.
- All lakes that were a part of NLCP, were brought under this scheme, and are being restored till date.
Why Urban Lakes still needs more attention?
- Even after 26 years of pollution abatement works, only ten per cent of waste water generated in the country is treated.
- The rest collects as cess pools or is discharged into the 14 major, 55 minor and several hundred other rivers.
- It is quite clear that the overall status of quality of water in rivers, lakes and its links to groundwater has not been adequately addressed.
- Out of the 43 Indian guidelines passed by the central and state government, 41 per cent of those talk about conservation and restoration of waterbodies but only 10 per cent exactly describe the conservative measure.
- Only 22 per cent of the guidelines are on subjects related to policies to be adopted by state government, urban local bodies etc.
- This clearly identifies the missing links and marks the future prospects that India should adopt for the preparation of better and sustainable lake management plans.
Need for a comprehensive Lake Management Plan
- ‘Lake management planning’ is an approach for different stakeholders to come together with a common interest in improving and protecting their lake.
- Focusing on planning process rather than quick-fix solutions makes lake rejuvenation a manageable process.
- Moreover, it guides how time and resources are utilised, keeping future sustainability of the lake in account. It includes:
- Encourages partnerships between concerned citizens, special interest groups, government body and water resources management practitioners
- Identifies the concerns regarding the catchment/watershed of the lake
- Sets realistic goals, objectives, and (short, medium and long-term) actions, and identifies needed funds and personnel.
Conclusion
- Under the Jal Shakti mission and AMRUT, the revival /rejuvenation of water bodies is in piecemeal approach, with short-term measures like beautification, enhancing recreational activities, addressing immediate solid waste dumping into waterbody etc.
- Although cities have initiated to work towards water bodies’ rejuvenation, the long-term approach is still missing.
Way Forward
- Since a lake is a reflection of its catchment area, it is essential to first understand the significant changes or trends concerning the primary land uses within the catchment area / watershed draining into the lake.
- There is no approach which defines the planning process for preparation of short, medium and long-term action plans for lake rejuvenation, considering its watershed area.
- It is essential to have a document with clear understanding of the lake’s watershed area, with specific goals, objectives, producing time-bound action plans.
- Conservation of Lakes and wetlands through an integrated and multidisciplinary approach with a common regulatory framework should be carried out.
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