May 17, 2024

Mains Article
17 May 2024

Draft Digital Competition Bill, 2024

Why in news? The Internet and Mobile Association of India (IAMAI) has expressed apprehensions about the draft Digital Competition Bill 2024. It suggested that this bill could have adverse effects on Indian startups and other digital enterprises.

IAMAI is a key industry body that represents numerous digital entities, including big tech firms.

What’s in today’s article?

  • Digital Competition Bill, 2024
  • Key proposals of the draft digital competition Bill
  • Criticism of the bill

Digital Competition Bill, 2024

  • About
    • The bill seeks to further regulate large digital enterprises, including news aggregators, as part of efforts to ensure a level-playing field and fair competition in the digital space.
      • It was proposed in March 2024.
    • The new law could prevent big tech companies like Google, Facebook, and Amazon from favoring their own services or using data collected from one of their businesses to help another one of their businesses.
    • It has provisions to set presumptive norms to curb anti-competitive practices before they actually take place.
    • It promises to impose heavy penalties — which could amount to billions of dollars — for violations.
  • Similarity with EU’s Digital Markets Act (DMA)
    • The new law is similar to the EU’s Digital Markets Act (DMA), which went into complete effect earlier this year.
    • DMA requires large tech firms like Alphabet, Amazon and Apple to open their services, and not favour their own at the expense of rivals.
  • Nodal ministry: The Ministry of Corporate Affairs (MCA) is handling the draft.

Need for such bill

  • Ex post antitrust framework being followed in India
    • Currently, India follows an ex post antitrust framework under the Competition Act, 2002.
    • One of the biggest criticisms of the law has been that regulating after the incidence of market abuse involves delays.
      • By the time the offending company has been penalised, market dynamics change to rule out smaller competitors.
  • Growing need for an ex-ante framework to deal with the complexities of digital markets
    • Due to the complex world of digital markets, regulating for market abuse after it takes place (as in an ex-post framework) is not optimal.
    • A forward-looking, preventive, and presumptive law (an ex ante framework), which foresees the potential harms that can arise out of antitrust issues and prescribes pre-determined no-go areas is perhaps the way forward.
  • Big tech companies have shown a history of engaging in anti-competitive practices
    • In 2023, Google was fined Rs 1.337 crore by the CCI for its anti-competitive conduct in the Android ecosystem.
  • High market barriers for new entrants
    • Many analysts believe that majority of the innovation has been confined to within the stables of a handful of big tech companies, mostly from the US.
    • A big reason for this is the high market barriers for new entrants in the sector — in the online market.
      • Once a company gets a significant portion of the market, their product becomes the default way to access that particular service, with rivals finding it increasingly difficult to challenge their dominance.

Key proposals of the draft digital competition Bill

  • List of Core Digital Services (CDS)
    • The list of core digital services has been mentioned under Schedule I of the bill.
    • It consists of
      • online search engines,
      • online social networking services,
      • video-sharing platform services,
      • interpersonal communications services,
      • operating systems, web browsers, cloud services, advertising services, and
      • online intermediation services (includes web-hosting, service providers, payment sites, auction sites, app stores, e-commerce marketplaces and aggregators, etc.)
  • Significant entities
    • The Bill proposes to designate certain enterprises as Systemically Significant Digital Enterprises (SSDEs).
      • SSDEs are those enterprises that provide core digital services in India and have a significant presence and significant financial strength in the country.
  • Parameters to determine whether the enterprise may be designated as SSDE
    • If an enterprise is engaged in a CDS, the Bill proposes two tests – the financial strength test and spread test (user base test) to determine whether the enterprise may be designated as SSDE.
    • The quantitative parameters for a company to be designated a SSDE are:
      • If in the last 3 financial years, its turnover in India is not less than Rs 4,000 crore; or its global turnover is not less than $30 billion; or
      • Its gross merchandise value in India is not less than Rs 16,000 crore; or
      • Its global market capitalisation is not less than $75 billion; or
      • The core digital service provided by these companies should also have at least 1 crore end users, or 10,000 business users.
    • Entities that donot fall under these parameters can still be designated as SSDEs if the CCI believes that they have a significant presence in any given core digital service.
  • Obligations imposed on SSDE
    • Entities which are designated as SSDEs, have been prohibited from engaging in practices such as self-preferencing, anti-steering, and restricting third party applications.
    • If they violate these requirements, they can be fined up to 10% of their global turnover.
  • Associate Digital Enterprises
    • The Bill proposes to designate associate digital enterprises (ADEs) to understand the role that data collected by one company of a major technology group can play in benefiting other group companies.
    • If an entity of a group is determined to be an associate entity, they would have the same obligations as SSDEs.
      • However, this will depend on the level of their involvement with the core digital service offered by the main company.
    • For example, Google Maps could be seen as an associate entity because Google Search directs users to it.
    • The same goes for YouTube, depending on how much data is shared between Google Search and YouTube, affecting the video recommendations YouTube makes to users.

Criticism of the bill

  • Significant compliance burden
    • An ex-ante framework with its strict prescriptive norms could lead to significant compliance burden for big tech companies.
    • It may lead to shift of focus from innovation and research to ensuring that companies do not presumptively engage in an anti-competitive practice.
  • Stringent requirements of the EU’s DMA and associated impact
    • Experts have highlighted the fact that because of the stringent requirements of the EU’s DMA, there has been an increase of 4,000 per cent in the time it takes to find things via Google search.
  • Broad definition of who a significant platform could be
    • Companies are concerned about the broad definition — both quantitative and qualitative — of who a significant platform could be.
    • Unlike EU’s DMA which specifically names the ‘gatekeeper’ entities, that decision in India’s draft law has been left to the discretion of the CCI.
      • Companies believe that could lead to arbitrary decision making, which could potentially also impact start-ups.
  • May affect smaller businesses
    • Companies are claiming that the bill would force them to make the changes to their platform and cut down on data sharing.
    • It could also impact smaller businesses who rely on their platforms to reach a big target audience.

 

 

Polity & Governance

Mains Article
17 May 2024

Land Acquisition Valid Only if it Passes Constitutional Test

Why in News? In a landmark verdict to protect the interests of landowners against acquisition of their property by the government, the Supreme Court of India ruled that all acquisitions would have to pass the test of Article 300A. The SC quashed the decision of Kolkata Municipal Corporation to acquire private land to build a public park, as the law does not authorise the body to acquire the land and the acquisition was illegal.

What’s in Today’s Article?

  • The Right to Property in India
  • What were the Observations Made by the SC in the Recent Case?

The Right to Property in India:

  • Before the enactment of the 44th Constitutional Amendment (1978):
    • Part III of the Indian Constitution (Fundamental Rights) included Article 19 (1) (f) and Article 31.
    • Indian residents were given the right to purchase, possess, and dispose of their property under Article 19(1)(f).
    • Article 31 safeguarded the right against being deprived of one’s property. The right was absolute and could not be denied in any circumstance.
    • However, there was a clash, because the above provisions limited the state’s ability to acquire any movable property in the public interest because the right to property was a fundamental right.
  • The 44th Amendment to the Indian Constitution:
    • It abolished Article 19 (1) (f) and Article 31, and a modified version of it (Article 31) was inserted as Article 300-A.
    • This changed the very nature of the right to property in India from being a fundamental right to a legal/constitutional right.
  • What is stated in Article 300-A?
    • Article 300-A states that “no person shall be deprived of his property except by authority of law”.
    • The article gives the government the authority to seize someone else’s property for the benefit of the general welfare.
  • How the courts interpreted Article 300-A?
    • The Madhya Pradesh HC (2022) clarified that the law requiring the property acquisition needed to be legitimate and that the state’s acquisition of land had to be for the benefit of the public.
    • In Vidya Devi v. the State of Himachal Pradesh (2022), the SC ruled that under a welfare state, even the government authorities cannot seize property without following the necessary legal process.
    • In Vimlaben Ajitbhai Patel vs. Vatslaben Ashokbhai Patel, the SC ruled that although it may no longer be a fundamental right, the right to property is still a human right.

What were the Observations Made by the SC in the Recent Case?

  • Nature of right to property: Under the current constitutional scheme, the right to property is protected as a constitutional right and has even been interpreted to be a human
  • Seven basic rights:
    • The court said Article 300A confers seven basic procedural rights to landowners and similar duties upon the state which must be followed and fulfilled for any valid acquisition. These are:
    • First, duty of State to inform the owners that it intends to acquire his property - right to notice;
    • Second, duty of State to hear objections - right to be heard;
    • Third, duty of State to inform its decision on acquisition - right to a reasoned decision;
    • Fourth, duty of State to demonstrate that acquisition is for public cause - acquisition only for public purpose;
    • Fifth, duty of State to restitute and rehabilitate - right to fair compensation;
    • Sixth, duty of State to conduct the process of acquisition efficiently and within prescribed timelines - right to an efficient conduct; and
    • Seventh, final conclusion of the proceedings - the right of conclusion.
  • Procedural justice - A significant mandate of Article 300A: The existence of and adherence to procedural safeguards is crucial for the protection of the right to property as they ensure -
    • Fairness,
    • Transparency,
    • Natural justice, and
    • Non-arbitrary exercise of power in the process of acquisition.

 

Polity & Governance

Mains Article
17 May 2024

ECI’s Report on the Enforcement of the Model Code of Conduct (MCC)

Why in News? In its report on the enforcement of the Model Code of Conduct (MCC), the Election Commission of India (ECI) made it clear that it expects star campaigners to lead by example rather than undermining social fabric. The report also highlighted issues related to the Registered Unrecognised Political Parties (RUPPs).

What’s in Today’s Article?

  • ECI’s Report on the Enforcement of the MCC
  • Issues Related to the Registered Unrecognised Political Parties (RUPPs) Highlighted in the ECI Report
  • Way Ahead

ECI’s Report on the Enforcement of the MCC:

  • In its second suo motu report, the ECI stressed the responsibility of the party leaders to “correct the course” of their statements in the remaining phases of the election.
  • The purpose of the report is to increase the political party's accountability for adhering to the MCC by all of its cadres.
  • The ECI also clarified the move to send notices to party chiefs instead of leaders who allegedly violated the poll code with their divisive statements.
    • The political parties have prime responsibility to stop their star campaigners from committing such violations.

Issues Related to the Registered Unrecognised Political Parties (RUPPs) Highlighted in the ECI Report:

  • What are registered parties?
    • Section 29A of the Representation of the People Act 1951 (RP Act) lays down the requirements for registration of a political party with the ECI. There are 2,790 active registered political parties in India.
    • These political parties enjoy the following legal benefits -
      • Tax exemption for donations received under Section 13A of the Income Tax Act 1961;
      • Common symbol for contesting general elections to the Lok Sabha/State Assemblies; and
      • 20 ‘star campaigners’ during the election campaign.
  • What are RUPPs?
    • Political parties are recognised as a ‘national’ or ‘State’ party under the provisions of the Election Symbols (Reservation and Allotment) Order 1968 (Symbols Order) by the ECI.
      • They are so recognised based on winning the requisite number of seats and/or obtaining the required percentage of votes in a general or State Assembly election.
      • At present, there are 6 national and 61 State parties that have been recognised. These recognised parties enjoy additional concessions of having a reserved symbol during elections and 40-starcampaigners.
    • A registered party not recognised as a ‘national’ or ‘State’ party is referred to as a RUPPs.
  • What are the issues with the RUPPs?
    • It has been noticed that less than a third of RUPPs contest elections.
    • The RUPPs that don’t contest elections raise concerns over the possible misuse of income tax exemption and donations collected being used for money laundering.
  • ECI’s power to de-register a RUPP:
    • The RP Act does not confer explicit powers on the ECI to de-register a political party, which fails to
      • Contest elections,
      • Conduct inner-party elections or lodge requisite returns.
    • The SC (2002) had held that the ECI does not have power to de-register any political party under the RP Act.
    • It may de-register only under exceptional circumstances like -
      • Registration being obtained by fraud or
      • The political party ceasing to have allegiance to the Constitution or
      • If it is declared unlawful by the Government.

Way Ahead:

  • Memorandum for electoral reforms (2016): The ECI has suggested an amendment to the law that would empower the ECI to deregister a party.
    • Under the Symbols order, the ECI has the power to suspend or withdraw recognition of only a recognised political party for its failure to observe MCC or follow lawful directions of the Commission.
  • 255th report of the Law Commission (2015): It has also recommended amendments for de-registration of a political party if it fails to contest elections for 10 consecutive years. These recommendations should be implemented.

 

Polity & Governance

Mains Article
17 May 2024

Supreme Court limits ED’s power to arrest PMLA accused

Why in news? In a landmark judgment, the Supreme Court of India ruled that the Enforcement Directorate cannot arrest someone under Section 19 of the PMLA after the Special Court has taken cognizance of the complaint.

What’s in today’s article?

  • Prevention of Money Laundering Act (PMLA)
  • Section 45 of the PMLA
  • Background of the case
  • Key highlights of the judgement

Prevention of Money Laundering Act (PMLA), 2002

  • Enacted in January 2003, the Act has three main objectives –
    • To prevent and control money laundering
    • To confiscate and seize the property obtained from the laundered money; and
    • To deal with any other issue connected with money laundering in India.
  • Sec. 3 of the Act defines offence of money laundering as –
    • whosoever directly or indirectly attempts to indulge or knowingly assists or knowingly is a party or is actually involved in any process or activity connected with the proceeds of crime and projecting it as untainted property shall be guilty of offence of money-laundering.
  • The Act was amended by the Prevention of Money Laundering (Amendment) Act, 2009 and by the Prevention of Money Laundering (Amendment) Act, 2012.
  • Most recently, the PMLA was amended through the -
    • Finance Act, 2015; Finance Act, 2018; Finance Act, 2019

Section 45 of the PMLA

  • About
    • It states that no accused person shall be granted bail unless:
      • the Public Prosecutor has been given an opportunity to oppose the application for such release; and
      • where the Public Prosecutor opposes the application, the Court is satisfied that:
        • there are reasonable grounds for believing that he is not guilty of such offence and
        • that he is not likely to commit any offence while on bail.
  • Stringent norms
    • The twin conditions of bail under Section 45 of the PMLA pose stringent thresholds for an accused.
      • For one, the person has to prove in court that he or she is prima facie innocent of the offence.
      • Secondly, the accused should be able to convince the judge he would not commit any offence while on bail.
    • The burden of proof is entirely on the incarcerated accused, who would be often handicapped to fight the might of the state.
    • The twin conditions make it almost impossible for an accused to get bail.

Background of the case:

  • The current judgment was based on an appeal filed by Tarsem Lal against the ED challenging a Punjab and Haryana High Court denying him anticipatory bail.
  • The questions of law in the case were whether an accused, appearing in the special court pursuant to its summons, can apply for bail under the regular provisions of the CrPC.
  • If so, whether such a bail plea would also have to satisfy the twin conditions imposed by Section 45 of the PMLA.

Key highlights of the judgement

  • Gave a fillip to the right to personal liberty
    • SC held that a person summoned by a designated special court under the PMLA, is presumed to be not in custody.
    • Hence, they need not apply for bail under the draconian conditions posed by the anti-money laundering law.
  • Limits the power of arrest by the ED
    • The judgment limits the power of arrest by the ED after a special court takes cognisance of a case.
    • The Bench said the ED would have to separately apply for the custody of a person once he appears in court.
    • The central agency would have to show specific grounds that necessitated custodial interrogation.
  • Accused can be directed to furnish bonds
    • The special court can require the accused to provide a bond under Section 88 of the Code of Criminal Procedure.
      • Section 88 of the CrPC gives a court officer the power to require a person to sign a bond for their appearance in court.
      • The bond can be with or without sureties.
    • SC observed that bond under Section 88 is just a promise to appear in court. It is just an undertaking
    • Hence, an order accepting bond under Section 88 does not amount to grant of bail and hence the twin conditions of Section 45 of the PMLA are not applicable to it.
  • Provided further relief to the accused
    • The judgment said an accused, who appears in a special court pursuant to its summons, could be exempted from personal appearance in the future.
    • On the other hand, if an accused does not appear after a summons is served, the special court could issue a bailable warrant followed by a non-­bailable one.
  • ED may arrest a person not shown as an accused
    • When ED wants to conduct further investigation concerning the same offence, it may arrest a person not shown as an accused in the complaint already filed, provided the requirements of Section 19 are fulfilled.
      • Section 19 of the PMLA deals with the procedures of arrest.
Polity & Governance

May 16, 2024

Mains Article
16 May 2024

The CDS That Should Be: Has the Chief of Defence Staff Post Improved India’s Combat Efficiency?

Context

  • The ongoing discussions and media reports indicate a significant policy shift towards the reorganisation of India's military into integrated theatre commands (ITC).
  • This initiative, driven by the armed forces' need to enhance jointness and operational efficiency, proposes the introduction of a Vice Chief of Defence Staff (VCDS) and a Deputy Chief of Defence Staff (Dy CDS).
  • While the formal announcement is awaited, it is timely to review the implications of these changes and the role of the Chief of Defence Staff (CDS) within India's higher defence management.

The Need for Jointness of Tri-Military Services

  • The Indian military has long recognised the lack of sufficient jointness among its three branches; Army, Navy, and Air Force as a structural weakness.
  • Addressing this, Prime Minister Narendra Modi announced the creation of the CDS in August 2019, marking a bold step towards military integration.
  • The CDS was envisioned to be a pivotal role, bridging the gap between military and governmental defence operations, thus necessitating a combination of military expertise, bureaucratic skills, and political advisory capabilities.

Role and Responsibilities of the Chief of Defence Staff

  • First Among Equals
    • As a four-star general, the CDS is positioned alongside the chiefs of the Army, Navy, and Air Force.
    • This role demands a fine balance of authority and cooperation, ensuring that each branch of the armed forces operates in unison rather than in silos.
    • The CDS must foster inter-service collaboration and resolve any conflicts that arise between the services.
  • Secretary to the Government of India in the Ministry of Defence
    • This bureaucratic role involves significant administrative responsibilities.
    • The CDS acts as a bridge between the military and the civilian government, ensuring that military strategies and operations are aligned with national policies.
    • This role requires not only military expertise but also an in-depth understanding of governmental processes and the ability to navigate the complexities of civilian-military relations.
  • Principal Adviser to the Defence Minister on Inter-Service Matters
    • The CDS provides crucial strategic advice to the Defence Minister, particularly on issues that involve multiple branches of the military.
    • This advisory role is pivotal in shaping defence policy and ensuring that the minister is well-informed on the intricacies of military operations and needs.

Challenges Before the Chief of Defence Staff

  • Operational Challenges
    • Harmonising Diverse Interests
      • One of the primary challenges is to harmonise the interests and operational philosophies of the three services.
      • Each branch of the armed forces has its own traditions, priorities, and strategic doctrines.
      • The CDS must mediate these differences and promote a unified approach to defence strategy.
    • Administrative Overload
      • Serving as the Secretary to the Government of India in the Ministry of Defence entails significant administrative duties that can detract from the CDS’s primary military functions.
      • This dual responsibility can lead to an overload, making it difficult to focus on strategic military leadership.
      • The proposal to create a Vice CDS to handle some of these bureaucratic tasks aims to address this issue, allowing the CDS to concentrate more on operational and strategic matters.
    • Maintaining Professional Independence
      • As the principal military adviser to the Defence Minister, the CDS must provide unbiased, professional advice that serves the best interests of national security.
      • This requires maintaining a delicate balance between supporting the government’s policies and advocating for the military's operational needs without succumbing to political pressures.
      • Upholding professional independence is crucial to the credibility and effectiveness of the CDS.
  • Institutional Challenges
    • Initial Transition and Tragic Setbacks
      • The initial transition saw General Bipin Rawat appointed as the first CDS in January 2020.
      • However, his tenure was abruptly ended by a tragic air accident in December 2021.
      • This sudden loss not only created a leadership vacuum but also disrupted the continuity of policies and initiatives that were in progress.
      • The subsequent delay of nine months in appointing Lt Gen Anil Chauhan (retd) as the new CDS further compounded these challenges, highlighting the fragility and complexities inherent in this role.
    • Unprecedented Appointments and Reactions
      • The decision to recall and promote a retired officer to the position of CDS was unprecedented and stirred significant debate.
      • Critics questioned the rationale behind bypassing serving officers and the potential implications for military hierarchy and morale.
      • This move underscored the need for clear guidelines and transparent processes in such high-stakes appointments.
    • Structural and Hierarchical Adjustments
      • The proposed creation of additional high-ranking positions, such as the Vice CDS, brings with it concerns about rank dynamics and command authority.
      • The military's hierarchical structure is central to its functioning, and any changes to this structure must be carefully managed to avoid confusion and ensure clear lines of command.
      • Integrating these new roles while maintaining the effectiveness and morale of the armed forces is a delicate task that requires thoughtful planning and execution.

Ways Ahead to Overcome the Challenges and Ensure the Success of CDS

  • Clearly Defining the Roles
    • Clarifying the roles and responsibilities of the CDS, VCDS, and other senior military positions is
    • This will help in delineating the boundaries of authority and reduce the risk of overlapping duties that can lead to inefficiencies.
  • Strengthening Inter-Service Cooperation
    • Initiatives to enhance jointness among the services should be prioritised.
    • Regular joint training exercises, integrated planning sessions, and shared resources can foster a more cohesive approach to defence strategy.
  • Focus on Strategic Leadership
    • By delegating bureaucratic responsibilities to the VCDS, the CDS can focus more on strategic leadership and long-term defence planning.
    • This will enable the CDS to drive initiatives that enhance the military’s operational capabilities and readiness.
  • Maintaining Professional Integrity
    • Upholding the professional independence of the CDS is crucial.
    • Mechanisms should be in place to ensure that the CDS can provide honest and unbiased advice to the government while also advocating effectively for the needs of the armed forces.

 Conclusion

  • The proposed restructuring and the introduction of new posts within India's military command are steps in the right direction.
  • However, their successful implementation will require careful consideration of rank dynamics, operational logistics, and long-term strategic objectives.
  • Ensuring that these changes enhance jointness and overall combat efficiency without compromising the military's integrity and effectiveness is paramount.

 

 

Editorial Analysis

Mains Article
16 May 2024

Abortion Laws in India

Why in the News?

Recently, the Supreme Court refused to entertain a plea of a 20-year-old unmarried woman seeking termination of her over 27-week pregnancy, saying the foetus in the womb also has a fundamental right to live.

What’s in Today’s Article?

  • Abortion Laws in India (MTP Act, Amendment to MTP Act)
  • Supreme Court’s Judgements (Right of Women, Right of Foetus)
  • News Summary

Abortion Laws in India:

  • The law on abortion in India is primarily governed by Sections 312-316 of the Indian Penal Code and the provisions of the Medical Termination of Pregnancy Act, 1971.
  • The MTP Act 1971, by laying down certain permissible grounds under which a woman can undertake medical termination of pregnancy, creates an exception to the general law against abortion.
  • In March 2021, the Parliament passed the Medical Termination of Pregnancy (Amendment) Act, 2021 to amend the MTP Act, 1971.
  • The MTP (Amendment) Act, 2021 has expanded the access to safe and legal abortion services on therapeutic, eugenic, humanitarian and social grounds to ensure universal access to comprehensive care.
  • The MTP (Amendment) Act, 2021 came into force in September, 2021.

Major Provisions of the MTP (Amendment) Act, 2021:

  • Increase in Gestation Periods:
    • The Amendment Act increases the maximum gestational limit for pregnancies that may be aborted on the advice of one 'registered medical practitioner' from 12 weeks to 20 weeks.
    • For pregnancies that may be aborted on the advice of two medical practitioners, the limit has been raised to 24 weeks.
    • Earlier, if the length of the pregnancy was over 20 weeks and a woman wished to undergo a termination, she would have to file a writ petition before the High Court concerned or the Supreme Court.
  • Recognition of Pregnancies outside of Traditional Marriages:
    • The Amendment reflects the change in definition from "pregnant married woman" to "pregnant woman" and from "her husband" to "her partner".
  • Termination due to Failure of Contraceptive Method/Device:
    • Another laudable amendment is the inclusion of unwanted pregnancies due to the failure of contraceptives as a ground for abortion.
    • Under the original MTP Act, abortions could take place only by proving that there was grave risk to the pregnant woman or grave risk of serious physical or mental abnormality.
  • Setting up of Medical Boards:
    • All state and union territory governments will constitute a Medical Board.  
    • The Board will decide if a pregnancy may be terminated after 24 weeks due to substantial foetal abnormalities.
    • Earlier, medical boards are created by various High Courts and Supreme Court after entertaining writs filed by women and were not in any way statutorily mandated.
  • Privacy:
    • A registered medical practitioner may only reveal the details of a woman whose pregnancy has been terminated to a person authorised by law.

Important Judgement(s) by the Supreme Court w.r.t. Abortion:

  • X v/s NCT of Delhi (2022):
    • In this judgement, the Supreme Court held that termination of pregnancies between 20 and 24 weeks is available to all women who are undergoing any “change in their material circumstances”.
    • The Court said that ‘it is the woman alone who has the right over her body’ and is the ‘ultimate decision-maker’ in deciding if she wants an abortion.

Rights of a Foetus Under Indian Law:

  • The rights of a foetus under the Indian Constitution are unclear as there has been no upfront articulation of it.
  • Whether the foetus possesses rights, or simply ‘interests’ (as the 2009 Supreme Court decision termed it) is also ambiguous.
  • A 2016 Bombay High Court decision relied on international human rights law to hold that the foetus does not have rights till birth.
  • Hence, there is an urgent need to articulate the rights of a foetus under the Indian Laws.

Foetus in the womb has a fundamental right to live:

  • The Supreme Court on May 15 refused to entertain a plea of a 20-year-old unmarried woman seeking termination of her over 27-week pregnancy.
  • It passed the order while hearing the woman's plea challenging the Delhi High Court's May 3 order refusing to allow termination of her pregnancy.

Key Observations Made by the Court:

  • The Supreme Court said that the pregnancy was in excess of seven months now and asked what about the right of the child to survive? How do you address that?.
  • The petitioner argued that the Medical Termination of Pregnancy Act primarily laid stress on the rights of the mother and that she is in a very delicate state.
    • Under the MTP Act, termination of pregnancy of a duration exceeding 24 weeks can be allowed only in case of substantial foetal abnormality as diagnosed by a medical board.
  • The Delhi High Court had set up a panel of doctors of All India Institute of Medical Sciences (AIIMS) to look into the matter.
  • The panel said that there is no congenital abnormality in the foetus nor is there any danger to the mother to carry on with the pregnancy which will mandate termination of the foetus.

 

Social Issues

Mains Article
16 May 2024

Working of Polling Stations in India

Why in News?

There are 10.5 lakh polling stations around the country where 96.8 crore voters are registered to vote in the ongoing Lok Sabha elections.

Therefore, it is necessary to examine the procedures involved in establishing and operating these voting stations.

What’s in Today’s Article?

  • Process of Setting up Polling Stations
  • Officers at the Polling Stations
  • What are Critical Polling Stations?
  • Provisions for Persons with Disabilities (PwD)

Process of Setting up Polling Stations:

  • Legal provisions: Under Section 25 of the Representation of the People Act 1951 (RPA), the district election officer (DEO) is assigned the responsibility to set up and publish the list of polling stations in their district.
  • Principles on the basis of which polling stations are set up:
    • These include ensuring that
      • Voters do not have to travel more than two km to cast their vote,
      • A station has a minimum area of 20 sq m,
      • A station serves at most 1,500 electors, and
      • A village with over 300 voters is provided with a polling station.
    • However, these principles are flexible.
  • Locations for polling stations:
    • Preferably, government or semi-government institutions are chosen to set up polling stations.
    • Usually, private buildings are avoided and they can be taken with the written consent of the owner or forcefully under Section 160 of the RPA.
  • The list of polling stations: The draft list is prepared with input from local political parties and citizens. After the final list is approved by the Election Commission of India’s (ECI’s), it is distributed to parties and candidates.

Officers at the Polling Stations:

  • Inside the polling station:
    • There is a polling party comprising a Presiding Officer and 3 Polling Officers inside a polling station on the voting day.
    • The first Polling Officer verifies the elector’s identity, the second applies indelible ink on their left index finger, maintains the voters’ register and issues voter slips.
    • The third Polling Officer takes back the voter slip issued by the 2nd polling officer, manages the EVM’s control unit, and ensures that an elector has been properly inked before being allowed to vote.
  • Outside the polling station:
    • Sector Officers or Zonal Magistrates are appointed for around 10-12 polling stations to facilitate the link between polling staff and the Returning Officer.
    • Micro Observers are deployed in vulnerable areas to report any deviations.
    • Booth Level Officers (BLO) at the Voter Assistance Booths assist voters in finding their polling booth and serial numbers in the alphabetically arranged electoral roll.

What are Critical Polling Stations?

  • A critical polling station includes those
    • In vulnerable areas;
    • In areas with abnormal law and order situations;
    • With unusually high (over 90%, with over 75% votes polled in favour of one candidate), or low (under 10%) voter turnout rates;
    • Where re-polling is held due to electoral offences, with instances of violence on polling day in the last five years; and
    • With a disproportionate number of Absentee, Shifted and Dead (ASD) voters.
  • In these polling stations, the ECI takes some extra measures to ensure the security and integrity of the voting process. For example,
    • Before the poll, the ECI -
      • Conducts pre-poll confidence building initiatives,
      • Gets regular feedback from candidates and intelligence agencies,
      • Legally binds identified trouble-mongers, and
      • Uses preventive detention under appropriate sections of law.
    • On the day of the poll, Central Armed Police Forces (CAPF) and Micro Observers are deployed.

Provisions for Persons with Disabilities (PwD):

  • There are approximately 88.4 lakh PwD registered to vote in the ongoing Lok Sabha elections.
  • According to the ECI’s stringent guidelines,
    • All polling stations must have a ramp, wheelchairs and designated parking spaces close to the station.
    • PwDs are allowed to cast their vote without waiting in queues.
    • Transport facilities are provided for voters with impaired mobility (including senior citizens).
    • For the visually impaired, electronic voting machines (EVMs) and dummy ballot papers come with Braille facilities.
  • They can use ECI’s Saksham App to book wheelchairs, pick and drop service, get assistance at the polling booth, etc.

 

Polity & Governance

Mains Article
16 May 2024

Centre issues first set of citizenship certificates under CAA

Why in news? The ministry of home affairs has issued the first set of citizenship certificates under the Citizenship (Amendment) Act.

Union home secretary handed over citizenship certificates to first 14 people in New Delhi after their applications were processed online through a designated portal.

What’s in Today’s Article?

  • The Citizenship (Amendment) Act (CAA) 2019
  • Vociferous opposition faced by the CAA in several states

The Citizenship (Amendment) Act (CAA) 2019:

  • About:
    • The Act seeks to amend the definition of illegal immigrant for Hindu, Sikh, Parsi, Buddhist, Jains and Christian (but not Muslim) immigrants from Pakistan, Afghanistan and Bangladesh, who have lived in India without documentation.
    • They will be granted fast track Indian citizenship in 5 years (11 years earlier).
    • The Act (which amends the Citizenship Act 1955) also provides for cancellation of Overseas Citizen of India (OCI) registration where the OCI card-holder has violated any provision of the Citizenship Act or any other law in force.
  • Who is eligible?
    • The CAA 2019 applies to those who were forced or compelled to seek shelter in India due to persecution on the ground of religion. It aims to protect such people from proceedings of illegal migration.
    • The cut-off date for citizenship is December 31, 2014, which means the applicant should have entered India on or before that date.
    • The act will not apply to areas covered by the Constitution's sixth schedule, which deals with autonomous tribal-dominated regions in Assam, Meghalaya, Tripura, and Mizoram.
    • Additionally, the act will not apply to states that have an inner-line permit regime (Arunachal Pradesh, Nagaland and Mizoram).
  • Process
    • Applicants will have to submit their applications through citizenship portal.
    • The portal requires applicants to declare the country of origin, and also submit at least one document tracing their roots to Bangladesh, Pakistan or Afghanistan.
    • Upon submission, applications will be scrutinised and finalized.
    • After fulfilling all the criteria mentioned in the CAA rules, certificates will be sent by post to beneficiaries in other parts of the country.
  • Rules for the CAA
    • On March 11, the MHA notified the Citizenship Amendment Rules, 2024 that enabled the implementation of the CAA
    • The rules specified the evidence needed for applicants to prove their credentials and eligibility for citizenship under the new law. For example,
      • If someone enrolled his children in a government school, he would have declared the religion.
      • If someone acquired Aadhaar before December 31, 2014 and declared his or her religion as one among the six mentioned in the Act, it will be acceptable.
      • Likewise, any form of government document declaring religion will be accepted.
    • The MHA may also accept a demand from Assam that an application for citizenship under the CAA is time-bound.
      • Assam had asked the MHA to limit the time period for applying under CAA to 3 months as keeping it open-ended could accentuate anxieties over the CAA in the state.
    • The rules are not likely to ask for evidence of religious persecution but will presume that all those who came to India did so because they either faced persecution or had fear of being persecuted.
    • The Rules grant the final authority to accord citizenship to an empowered committee headed by the Director, Census Operations.
      • The scrutiny of applications will be done by a district level committee (DLC) headed by Department of Post officials.

Vociferous opposition faced by the CAA in several states

  • One of the prime reasons is the vociferous opposition faced by the CAA in several states including Assam and Tripura.
  • The protests in Assam were fuelled by fears that the legislation would permanently alter the demographics of the state.
    • The CAA is seen in Assam as a violation of the 1985 Assam Accord which allows foreign migrants who came to Assam after January 1, 1966 but before March 25, 1971 to seek citizenship.
    • The cut-off date for citizenship under the CAA is December 31, 2014.
  • The protests didn’t remain confined to the North-East, but spread to other parts of the country.
    • A clutch of petitions, including by the Indian Union Muslim League, are before the Supreme Court, challenging the constitutional validity of the CAA.
    • The petitioners have contended that the law is anti-Muslim, violating Article 14 (Right to Equality) of the Indian Constitution.
    • It is arbitrary as it leaves out the persecuted Rohingya of Myanmar, Tibetan Buddhists from China and Tamils from Sri Lanka.

 

Polity & Governance

Mains Article
16 May 2024

NewsClick founder released

Why in news? Invalidating his arrest in a terror case, the Supreme Court ordered the release of Newsclick founder-editor Prabir Purkayastha. The court ruled that the Delhi Police had failed to inform Purkayastha of the grounds for his arrest before taking him into custody. The founder-editor was arrested in October 2023 under the Unlawful Activities (Prevention) Act following allegations that the portal had received funds for promoting pro-China propaganda.

What’s in today’s article?

  • Background
  • Observations made by SC in present case
  • Analysis

NewsClick founder released: Background

  • FIRs registered
    • The Special Cell of Delhi Police had registered a FIR in the case in August 2023.
    • The police registered the case under Sections 13, 16, 17, 18 and 22 of the UAPA.
      • Section 13 - Punishment for unlawful activities
      • Section 16 - Punishment for terrorist act
      • Section 17 - Punishment for raising funds for terrorist act
      • Section 18 - Punishment for organising of terrorist camps
      • Section 22 - Punishment for threatening witness
    • Cases were also registered under Sections 153A and 120B of the IPC.
      • Section 153A - imposes criminal liability upon those who spread enmity and disharmony between different groups.
      • Section 120B - being part of a criminal conspiracy to commit a serious offense punishable.
    • The FIR was registered days after The New York Times published a report in August 2023 that the portal received money from American businessman to spread Chinese propaganda.
  • Allegations are already under investigation by Enforcement Directorate (ED) since 2021.
    • The ED has accused the company of money laundering, claiming that the portal received ₹77 crore as foreign remittance between the years 2018-21.
  • Police raid
    • Police raided the homes and offices of journalists, authors, academics, contributors and a satirist associated with the news portal in a terrorism case.
    • The journalists were asked questions about:
      • the Delhi communal riots;
      • CAA agitation of 2019-20,
      • farmers protest of 2020-21 and
      • whether they used encrypted messaging applications such as Signal on their phones.
    • The phones and laptops of all the employees, contributors and consultants of the news portal were seized.

NewsClick founder released: Observations made by SC

  • Right to be informed about the grounds of arrest in writing
    • SC observed that the right to life and personal liberty was the most sacrosanct fundamental right guaranteed under Articles 20, 21 and 22 of the Constitution.
    • It said that any person arrested over allegations of commission of offences under the UAPA or other offences has a fundamental and a statutory right to be informed about the grounds of arrest in writing.
  • Highlighted technicalities involved
    • Article 22(1): “No person who is arrested shall be detained in custody without being informed, as soon as may be, of the grounds for such arrest nor shall he be denied the right to consult, and to be defended by, a legal practitioner of his choice.”
    • The court also observed the judgement delivered by the SC in Pankaj Bansal versus Union of India (on October 3, 2023).
    • In this case, the SC held that to give true meaning to constitutional and statutory mandates, it is important that whenever someone is arrested, they should always be given a written explanation for why they are being arrested, without any exceptions.
  • Importance of these technicalities
    • This technicality is crucial because the bar for granting bail in stringent special legislation such as PMLA and UAPA is very high, making it virtually impossible to get bail.
    • Therefore, the protection against unlawful arrests is even more important in stringent offences.

NewsClick founder released: Analysis

  • Principle of mandatorily sharing the grounds of arrest in writing has been extended to UAPA
    • The Supreme Court’s October 3, 2023 decision on an investigative agency mandatorily sharing the grounds of arrest in writing to the accused was in the context of the Prevention of Money Laundering Act (PMLA).
    • The SC has now extended this principle to the UAPA.
  • Attempts to violate fundamental right would be dealt with strictly
    • The SC observed that any attempt to violate such fundamental right, guaranteed by Articles 20, 21 and 22 of the Constitution of India, would have to be dealt with strictly.
  • Extending procedural safeguards to UAPA is crucial
    • UAPA gives the state wide powers — from relaxing timelines for the state to file chargesheets and its stringent conditions for bail — compared to the IPC.
    • SC has in the past allowed very few procedural safeguards in the UAPA cases as these cases often involve serious charges and the prosecution invokes the arguments of national security.
      • E.g., although the bar for grant of bail is very high under UAPA, the Supreme Court, in 2021, allowed bail under UAPA for the first time over inordinate delay in conducting trial.
Polity & Governance

May 15, 2024

Mains Article
15 May 2024

Young People Fade Away When There Is No Vision

Context

  • Recent incidents in Kota, Rajasthan, have highlighted a disturbing trend: young people driven to suicide by the overwhelming pressures of entrance examinations and this alarming phenomenon is not isolated to only Kota.
  • The pressure to excel in competitive exams, compounded by familial and societal expectations, has created an environment where the mental health and well-being of students are severely compromised.
  • Therefore, it is imperative to understand the root causes of this issue and to implement solutions that prioritise the holistic development of young people.

The Pressure Cooker Environment: Cause and Consequence

  • The Rise of Coaching Institutes
    • Kota has earned its reputation as the coaching capital of India due to the proliferation of coaching institutes that prepare students for entrance exams like the IIT-JEE (Joint Entrance Examination) and NEET (National Eligibility cum Entrance Test).
    • These institutes promise high success rates and have become the default choice for students aiming for top-tier engineering and medical colleges.
    • However, this comes at a substantial cost to students' mental and emotional well-being.
  • Inhumane Methods and Rigid Schedules
    • Many coaching institutes employ rigorous and often inhumane teaching methods.
    • Students are subjected to gruelling schedules that leave little time for relaxation or personal development.
    • A typical day in such an institute might begin at 5 a.m. and extend until 10 p.m. or later, packed with study sessions, tests, and more study sessions.
    • These schedules are designed to maximise academic output but often disregard the basic needs of the students, such as adequate sleep, recreation, and social interaction.
  • Loss of Adolescent Normalcy
    • The relentless focus on academic performance means that students miss out on crucial aspects of adolescent development.
    • Normal activities like sports, hobbies, and social interactions are sidelined or completely sacrificed.
    • As a result, students often become socially isolated, their lives revolving solely around academics.
    • This isolation can lead to a range of psychological issues, including anxiety, depression, and a profound sense of loneliness.
  • The High Cost of Failure
    • The stakes are extraordinarily high in this pressure cooker environment and success in entrance exams is often seen as the sole determinant of a student’s future.
    • Failure, on the other hand, can lead to severe consequences, including social stigma and disappointment from family members who have invested heavily in their child's education, both emotionally and financially.
    • The fear of failure and the resulting consequences can be overwhelming, driving some students to extreme measures.
  • Psychological Toll and Mental Health Crisis
    • The constant pressure to perform well academically takes a significant toll on students' mental health.
    • Reports of stress, anxiety, and depression are common among those attending these coaching institutes.
    • Unfortunately, mental health issues are often stigmatised in Indian society, leading to a lack of adequate support and resources for struggling students.
    • The tragic suicides in Kota are symptomatic of this larger mental health crisis.

Impact of India’s Education System’s Reliance on Entrance Examinations (NEET, JEE, CUET, etc)

  • Decline in Cognitive Skills and Critical Thinking
    • A significant consequence of the narrow focus on entrance exams is the decline in cognitive skills and critical thinking among students.
    • The coaching institute model emphasises rote learning and memorisation over conceptual understanding and analytical thinking.
    • Students are trained to excel in multiple-choice questions and standardised tests, but this often comes at the expense of deeper learning and intellectual curiosity.
    • Teachers in universities and colleges have reported a noticeable decline in the quality of students admitted through entrance exams like the Common University Entrance Test (CUET).
    • These students often struggle with basic concepts and lack the ability to engage in higher-order thinking.
    • This decline is concerning as it suggests that the current system is failing to prepare students for the intellectual challenges of higher education and beyond.
  • Educational Equity and Accessibility
    • Access to high-quality coaching centres is often limited to students from affluent backgrounds who can afford the high fees.
    • This creates a significant disparity in opportunities between wealthy students and those from lower socio-economic backgrounds.
    • As a result, the education system perpetuates and even deepens social inequalities, limiting upward mobility for disadvantaged students.
    • Moreover, the pressure to attend coaching centres has led many families, including those of first-generation learners, to take on substantial financial burdens.
    • These families invest heavily in their children's education, often at the cost of other essential needs.
    • Despite this investment, the high-stakes nature of entrance exams means that many students still do not achieve the desired outcomes, leading to financial strain and disappointment.
  • Broader Societal Implications
    • The narrow focus on entrance exams has broader implications for society. It fosters a culture of competition rather than collaboration, where success is measured solely by academic achievement.
    • This mindset can perpetuate a zero-sum view of success, where individuals see their peers as rivals rather than potential collaborators.
    • Furthermore, the emphasis on standardized testing and narrow academic criteria limits the diversity of talents and skills within the workforce.

Way Forward

  • The Need for a Holistic Approach
    • To address these consequences, a shift towards a more holistic approach to education is essential.
    • This approach should value diverse aspects of student development, including academic performance, critical thinking, creativity, and emotional intelligence.
    • Educational reforms should also focus on improving the quality and accessibility of schooling, reducing reliance on coaching centres, and ensuring that all students have the opportunity to succeed regardless of their socio-economic background.
    • By nurturing a supportive and inclusive educational environment, we can better prepare students for the challenges of the modern world and create a more equitable society.
  • Strengthening School Education
    • Strengthening government schools by recruiting qualified teachers and improving infrastructure can provide a solid foundation for students.
    • The National Education Policy's emphasis on school education is a step in the right direction, but it needs to be implemented effectively.
    • Schools should be seen as the primary institutions for learning, with coaching centres playing a supplementary role rather than dominating the educational experience.
  • Focus of Personal Interviews
    • One of the most effective ways to humanise the admission process is to incorporate personal interviews as a significant component of entrance exams.
    • Personal interviews can assess a student's personality, interests, and talents, providing a more holistic view of their capabilities.
    • Institutions like St. Stephen’s College have successfully used personal interviews for over 70 years, proving that this method can mitigate the pressure associated with high-stakes exams and offer students a sense of worth beyond their academic scores.

Conclusion

  • The crisis of student suicides in India is a multifaceted issue that requires a comprehensive approach involving educators, policymakers, parents, and society at large.
  • By prioritising the well-being of students over mere academic performance, and by implementing policies that recognise the importance of holistic development, we can create an educational environment that nurtures rather than destroys young minds.
  • The incorporation of personal interviews and the strengthening of school education are crucial steps in this direction.
Editorial Analysis

Mains Article
15 May 2024

GPT-4o, OpenAI’s newest AI model

Why in news?

OpenAI introduced its latest large language model (LLM) called GPT-4o, terming it as their fastest and most powerful AI model so far. The company claims that the new model will make ChatGPT smarter and easier to use. Until now, OpenAI’s most advanced LLM was the GPT-4, which was only available to paid users. However, the GPT-4o will be freely available.

What’s in today’s article?

  • Generative Pre-trained Transformers (GPTs)
  • ChatGPT
  • Large Language Model (LLM)
  • GPT-4o

Generative Pre-trained Transformers (GPTs)

  • GPTs are a type of large language model (LLM) that use transformer neural networks to generate human-like text.
  • GPTs are trained on large amounts of unlabelled text data from the internet, enabling them to understand and generate coherent and contextually relevant text.
  • They can be fine-tuned for specific tasks like: Language generation, Sentiment analysis, Language modelling, Machine translation, Text classification.
  • GPTs use self-attention mechanisms to focus on different parts of the input text during each processing step.
  • This allows GPT models to capture more context and improve performance on natural language processing (NLP) tasks.
    • NLP is the ability of a computer program to understand human language as it is spoken and written -- referred to as natural language.

Large Language Models (LLMs)

  • Large language models use deep learning techniques to process large amounts of text.
  • They work by processing vast amounts of text, understanding the structure and meaning, and learning from it.
  • LLMs are trained to identify meanings and relationships between words.
  • The greater the amount of training data a model is fed, the smarter it gets at understanding and producing text.
    • The training data is usually large datasets, such as Wikipedia, OpenWebText, and the Common Crawl Corpus.
    • These contain large amounts of text data, which the models use to understand and generate natural language.

ChatGPT

  • ChatGPT is a state-of-the-art natural language processing (NLP) model developed by OpenAI.
  • It is a variant of the popular GPT-3 (Generative Pertained Transformer 3) model, which has been trained on a massive amount of text data to generate human-like responses to a given input.
  • The answers provided by this chatbot are intended to be technical and free of jargon.
  • It can provide responses that sound like human speech, enabling natural dialogue between the user and the virtual assistant.

GPT-4o

  • About
    • GPT-4o (“o” stands for “Omni”) is considered a groundbreaking AI model designed to make interactions between humans and computers better.
    • It allows people to input text, audio, or images and get responses in those same formats.
    • This makes GPT-4o a special kind of AI that can handle different types of information, which is a big improvement from older models.
  • Functions
    • GPT-4o is capable of interacting using text and vision, meaning it can view screenshots, photos, documents, or charts uploaded by users and have conversations about them.
    • It will also have updated memory capabilities and will learn from previous conversations with users.
  • Technology behind the GPT-4o
    • LLMs are the backbone of AI chatbots. Large amounts of data are fed into these models to make them capable of learning things themselves.
    • It uses a single model trained end-to-end across various modalities – text, vision, and audio.
    • Essentially, this means the GPT-4o comes with an integration that allows it to process and understand inputs more holistically.
    • For example, GPT-4o can understand tone, background noises, and emotional context in audio inputs at once.
  • Comparison with earlier version
    • When it comes to features and abilities, GPT-4o excels in areas like speed and efficiency.
      • It responds to queries as fast as a human does in conversation, in around 232 to 320 milliseconds.
      • This is a big leap over previous models, which came with response times of up to several seconds.
    • It comes with multilingual support, and shows significant improvements in handling non-English text, making it more accessible to a global audience.
    • The GPT-4o also features enhanced audio and vision understanding.
      • During the demo session at the live event, ChatGPT solved a linear equation in real-time when the user was writing it on paper.
    • It could gauge the emotions of the speaker on camera and identify objects.
  • Limitations and safety concerns
    • GPT-4o is still in the early stages of exploring the potential of unified multimodal interaction.
    • This means certain features like audio outputs are initially accessible in a limited form only, with preset voices.
    • It is being claimed that the new model has undergone extensive safety evaluations and external reviews, focussing on risks like cybersecurity, misinformation, and bias.
    • Right now, GPT-4o has been rated as having a medium-level risk in various areas.
    • OpenAI mentioned that they're working constantly to find and solve any new risks that might come up.
Science & Tech

Mains Article
15 May 2024

India VIX Index

Why in the News?

India Volatility Index (India VIX) surged past the 21-mark on May 14th. The rise shows that fear among traders or market participants on the expected volatility is more now, as compared to 15 days earlier. Currently, the fear among the market players is coming from the outcome of the ongoing Lok Sabha elections.

What’s in Today’s Article?

  • About Volatility Index (Meaning, Working, Significance, Difference from NIFTY, etc.)
  • Reasons for Rising VIX

What is the Volatility Index?

  • India VIX or India Volatility Index is a volatile index that is calculated by the NSE to measure the market’s anticipation for volatility and fluctuations in the near term.
  • This index was first introduced by the NSE in the year 2003.
  • However, the original concept of a volatile index goes back 1993, when it was introduced by the Chicago Board Options Exchange.
  • Working of VIX:
    • The India VIX gets its value derived by using the Black and Scholes model or the B&S model as it is popularly known.
    • This index uses five variables including the strike price, market price of the stock, time to expiry, risk free rate and volatility.
    • The India VIX value is determined by the bid-ask quotes of near and next month NIFTY options contracts traded on the NSE’s F&O segment.
    • The India VIX value has a direct relation with the volatility, which means that higher the value of India VIX, higher is the volatility. Whereas, lower the value of the India VIX, lower will be the volatility in the market.
  • Significance of VIX:
    • This index represents the investors’ perception of the market over the next near term, that is the next 30 days.
    • One can see a rise in the volatile index when the market is continuously fluctuating and going up and down. This shows the increase in volatility in the market.
    • Similarly, when the market is more stable and the volatility is less, one can see a fall in the volatility index.
    • The rise and fall in the India VIX or volatile index determine the volatility of the market and helps the investors to better understand the market conditions before making their next big investment or while keeping a track of their previously made investment.
  • Difference Between NIFTY and VIX:
    • It is important to know that the volatile index is in no way similar to the price index like the NIFTY.
    • The price index is calculated by taking into account the price movement of the underlying equities.
    • On the other hand, volatile index or India VIX is calculated using the orderbook of the underlying index options and is represented in the form of a percentage.

Why Has India VIX Surged Recently?

  • In May so far, the India VIX has risen by around 53 per cent to above 20. On 14th May, the index touched a high of 21.88 in afternoon trades.
    • The benchmark for India VIX is not a fixed value, but generally, a value around 20 is considered as a threshold for determining market volatility.
    • If India VIX was previously at 20 and then increases to 21.88, it indicates a rise in expected volatility.
  • The volatility is due to the concerns over the results of the ongoing elections, set to be declared on June 4.
  • The market participants said a lower voter turnout ratio in this election may have some impact on the final outcome of the election and hence there is a sense of uncertainty among investors.
  • Heavy selling by foreign portfolio investors, who have dumped Rs 18,375 crore (till May 13) of Indian equities, have also led to the fall in the domestic market.
  • A high number indicates participants are getting more cautious and expect volatility as the elections unfold.
Economics

Mains Article
15 May 2024

Impact of Solar Storms

Why in News? ISRO said it closely monitored (through Aditya-L1 and Chandrayaan-2 orbiter) and captured the signatures of the powerful solar storm triggered by the highly active sunspot region (AR13664), that impacted Earth

The astronomers of the IIA (Bengaluru), who captured the auroras (triggered by the solar storm) around the IAO in Hanle (Ladakh), explained why auroras were seen across a wider region, including India.

What’s in Today’s Article?

  • What is Happening to the Sun and How Hazardous are Solar Storms?
  • What are the Observations Made by the ISRO About Solar Storm?
  • Why were Auroras Visible from Ladakh?

What is Happening to the Sun and How Hazardous are Solar Storms?

  • Currently, there are several magnetically active regions on the visible solar disk, producing multiple high-energy flares.
    • For example, a series of Coronal Mass Ejections (CMEs), emerged from AR13664 (currently an active region on the Sun), that hit the Earth recently.
    • CMEs are large ejections of magnetic particles and plasma from the Sun’s corona - the outermost part of its atmosphere.
  • These continuous solar storms hold a strong potential for disturbing Space weather and causing major disturbances to the Earth’s magnetosphere.
  • Intense solar storms can be harmful as they can interfere with and threaten the smooth operations of satellites operating in the Low Earth Orbit/ LEO (an altitude ranging between 200-1,600km).
  • The highly energetic particle environment created by these solar storms can also induce heating in the upper atmosphere.
  • This increases the risk of radiation hazards, causing a drag effect/ friction on satellites positioned at LEO, which in extreme cases can ignite and burn down the satellites.

What are the Observations Made by the ISRO About Solar Storm?

  • Spacecraft OK:
    • Earth observation satellites including the 30 GEO spacecraft operated by ISRO were reported to be operating normally.
    • However, the increased atmospheric density caused by the solar event led to increased orbit decay, with some satellites experiencing 5-6 times higher decay.
      • Orbital decay is a gradual decrease of the distance between two orbiting bodies at their closest approach (the periapsis) over many orbital periods.
    • Also, ISRO’s navigation centre has not observed any significant decline in the NaVIC service
  • Ground observations:
    • On 11 May daytime Total Electron Content (TEC) was high by about 10% with large variations indicating disturbed ionosphere.
    • TEC is the total number of electrons present along a path between a radio transmitter and receiver.
    • Radio waves are affected by the presence of electrons. The more electrons in the path of the radio wave, the more the radio signal will be affected.
  • Aditya-L1 observations:
    • Aditya-L1 spacecraft recorded high-speed solar wind, high-temperature plasma, and energetic ion flux associated with the CMEs using its ASPEX payload.
    • The X-ray instruments on-board Aditya-L1 (SoLEXS and HEL1OS) also captured the powerful X-class flares, while the magnetometer detected changes in the interplanetary magnetic field.
  • Chandrayaan-2 observations:
    • Chandrayaan-2 orbiter’s X-ray Monitor (XSM) observed many interesting phenomena associated with a geomagnetic storm.
    • It captured solar X-ray flux, autonomously identified large solar flares, and monitored the local high-energy particle environment.

Why were Auroras Visible from Ladakh?

  • It has to do with increased space solar flare activity.
    • Solar physicists at the IISER (Kolkata) said that at least four strong solar storms arrived over Earth between 10- 11 May. The source of these storms was CMEs.
  • Travelling at 700 km/s (close to the Earth’s atmosphere) and at a speed of 815 km/s (when they hit the Earth), the intensity of these incoming solar storms (most intense since 2003)was much higher than average.
  • One of the manifestations of the solar storm’s interactions with the Earth’s atmosphere was the emergence of auroras in red, violet and blue colours.
  • So strong were the storms that the aurora lights were visible from many lower-latitude regions.

 

Science & Tech

Mains Article
15 May 2024

Political party to be booked for money laundering

Why in news? The Enforcement Directorate (ED) has informed the Delhi high court that it will name the Aam Aadmi Party (AAP) an accused in the ongoing money laundering investigation related to alleged irregularities in the Delhi excise policy scam. ED said that it is planning to invoke Section 70 of the Prevention of Money Laundering Act to probe the role of AAP in this regard.  Main allegation of the ED is that AAP was the recipient of the proceeds of crime in the excise scam.

What’s in today’s article?

  • Prevention of Money Laundering Act, 2002
  • Laws under which a political party can be booked for money laundering
  • Challenges faced by EC if a political party is accused of money laundering

Prevention of Money Laundering Act (PMLA), 2002

  • PMLA, 2002 was enacted in January, 2003. The act has three main objectives –
    • To prevent and control money laundering
    • To confiscate and seize the property obtained from the laundered money; and
    • To deal with any other issue connected with money laundering in India.
  • Sec 3 of the Act defines offence of money laundering as –
    • whosoever directly or indirectly attempts to indulge or knowingly assists or knowingly is a party or is actually involved in any process or activity connected with the proceeds of crime and projecting it as untainted property shall be guilty of offence.
  • The Act was amended by the Prevention of Money Laundering (Amendment) Act, 2009 and by the Prevention of Money Laundering (Amendment) Act, 2012.
  • Most recently, the PMLA was amended through the -
    • Finance Act, 2015
    • Finance Act, 2018
    • Finance Act, 2019

Laws under which a political party can be booked for money laundering

  • Section 70 of the PMLA, 2002
    • It states that if a company commits a contravention of any provision of the Act, every person who was in charge of the company's business at the time of the contravention is also liable.
    • The proviso to Section 70 states that the person in charge of the company's business can defend themselves by proving that the contravention took place without their knowledge or despite all due diligence.
  • Is political party a company?
    • The political party is not a ‘company’ incorporated under the Companies Act 2013.
    • However, the provision of PMLA under Section 70 has crucial explanation that could bring political party under the ambit of the anti-money laundering law.
    • Explanation 1[1] --For the purposes of this section (i.e., Section 70 of PMLA) says that company means any body corporate and includes a firm or other association of individuals.
    • The phrase ‘association of individuals’ can include political parties.
      • A party, according to Section 29A of the Representation of the People Act (RPA), is any association or body of individual citizens of India registered with the EC and calling itself a political party.

Has a political party ever been booked for money laundering?

  • If AAP is directly named as an accused in the excise scam under the PMLA, it would be the first instance of political party being accused in money laundering.
  • However, political parties have been booked and investigated under the Income Tax act.

Challenges faced by Election Commission (EC) if a political party is accused of money laundering

  • Suspend or withdraw a party’s recognition under The Election Symbols (Reservation and Allotment) Order
    • If a political party is made an accused in money laundering, it will place EC in uncharted territory. This is because in such cases there is no prescription in the electoral rules and laws
    • As per experts, the EC is, at best, empowered to suspend or withdraw a party’s recognition under The Election Symbols (Reservation and Allotment) Order.
    • However, even then, Para 16A of the Symbols Order clearly outlines the grounds on which the Commission can take such action against a party. It is when the party fails to observe the Model Code of Conduct (MCC) or does not follow the orders and instructions of the Commission.
    • There is nothing on what should happen if the party is accused of illegality.
  • De-register a party
    • The second punitive option before the Commission is to de-register a party. But this is an extremely limited option.
    • While Section 29A of RPA, 1951, empowers the EC to register a party, it can review its decision only under three exceptions.
      • First, if the party has obtained its registration by fraud.
      • Second, if the party informs the EC that it has ceased to have faith and allegiance to the Constitution of India or to the principles of socialism, secularism and democracy or it will not uphold the sovereignty, unity and integrity of India.
      • Third, if the party is declared unlawful by the Union Government under the provision of the Unlawful Activities (Prevention) Act, 1967 or any other similar law.
    • So, analysts believe, if a political party were to be named or even convicted under the PMLA, the RPA has no provision to deal with it.
Polity & Governance

May 14, 2024

Mains Article
14 May 2024

Bail in A Broken System: Arvind Kejriwal Has Got Bail, But His Arrest Indicates a Broken Criminal Justice System

Context

  • The recent grant of interim bail to Delhi Chief Minister has ignited a crucial debate regarding the rights of political leaders to campaign during national elections.
  • While Kejriwal's bail marks a temporary relief, it underscores the broader challenges within the criminal justice system that require urgent attention.
  • Amid these debates it is crucial to examine the intricacies of this case, analysing the intersection of democratic principles, legal frameworks, and the functioning of the criminal justice system.

The Right to Political Expression and Campaigning

  • At the heart of this issue lies the fundamental right to political association and expression, which encompasses the formation and promotion of political parties.
  • For a party's convenor, this right is inseparable from the duty to lead the party to electoral success, making campaigning a crucial aspect of their role.
  • This right also extends to dissent, particularly for opposition leaders, reflecting the essence of democratic processes enshrined in the Constitution.

Intricacies of the Legal Framework and Bail in Delhi CM’s Case

  • Balancing Individual Liberties and State Interests
    • The grant of interim bail to Arvind Kejriwal brings into focus the intricate balance between individual liberties and the state's interest in maintaining law and order.
    • In theory, the legal system upholds the principle of "innocent until proven guilty," placing the burden of proof squarely on the prosecution.
    • However, this principle often faces challenges, particularly in cases categorised as "heinous" or politically sensitive.
  • Complexities of Legislation
    • One such challenge arises from the interpretation and application of laws that grant wide discretionary powers to law enforcement agencies.
    • Complex legislation, such as the Unlawful Activities (Prevention) Act (UAPA) and the Prevention of Money Laundering Act (PMLA), allows for the invocation of stringent measures even before conclusive evidence is presented.
    • The vague definition of offenses under these laws gives significant leeway to investigators, prosecutors, and politicians, leading to arbitrary arrests and denial of bail.
  • Complexities of Bail Conditions and Subjectivity
    • Moreover, the conditions imposed for the grant of bail pending trial further complicate matters.
    • Courts are often required to be convinced that prima facie no offense has been committed, a subjective standard that can vary depending on the interpretation of the facts.
    • This requirement, coupled with the lack of clear thresholds for satisfaction and reasonableness, leaves room for discretion and potential abuse.
  • Political Considerations and Legal Proceedings
    • In cases involving politically influential individuals like Kejriwal, the legal proceedings often become entangled with broader political considerations.
    • The presumption of innocence can be overshadowed by the presumption of guilt, particularly when charges cannot be substantiated with concrete evidence.
    • This leads to the substitution of charges with vague allegations of "larger conspiracy," prolonging investigations and denying individuals their right to liberty.

Broader Systematic Failures and Challenges in Indian Criminal Justice System

  • Arbitrary Prosecution and Lack of Evidence-based Investigations
    • The system often witnesses arbitrary prosecution, where individuals are targeted based on political affiliations or personal vendettas rather than concrete evidence of wrongdoing.
    • This politicisation of the legal process undermines the integrity of investigations and erodes public trust in law enforcement agencies.
  • Vague Definitions of Offenses and Abuse of Legal Processes
    • The invocation of laws such as the Unlawful Activities (Prevention) Act (UAPA) and the Prevention of Money Laundering Act (PMLA) highlights the problem of vague definitions of offenses and the abuse of legal processes.
    • These laws provide authorities with sweeping powers to arrest and detain individuals without clear evidence, leading to violations of fundamental rights and liberties.
  • Absence of Clear Thresholds for Satisfaction and Reasonableness
    • The lack of clear thresholds for satisfaction and reasonableness in granting bail exacerbates the problem of arbitrary detention.
    • Judges are often left to rely on subjective interpretations of evidence and legal standards, leading to inconsistent rulings and unequal treatment before the law.
  • Targeted Prosecutions and Denial of Liberty
    • Individuals, especially those with political affiliations, often face targeted prosecutions aimed at silencing dissent or curbing political opposition.
    • The denial of bail becomes a tool for stifling voices of dissent and perpetuating a culture of fear and intimidation.
  • Substitution of Charges and Prolonged Investigations
    • In cases where charges cannot be substantiated with concrete evidence, authorities often resort to the substitution of charges or allegations of "larger conspiracy."
    • This tactic prolongs investigations, denies individuals their right to liberty, and undermines the presumption of innocence.
  • Political Influence in Legal Proceedings
    • Political considerations often permeate legal proceedings, influencing decisions related to investigations, prosecutions, and bail.
    • This politicisation of the legal process compromises the independence and impartiality of the judiciary, eroding public confidence in the rule of law.
  • Challenges to Equality Before the Law
    • The comparison of Kejriwal's role to that of an agricultural worker or businessperson by Solicitor General Tushar Mehta reflects a concerning trend in the understanding of equality before the law.
    • Such comparisons downplay the significance of political leadership and fail to acknowledge the unique challenges faced by public figures in exercising their rights within a democratic framework.

The Role of the Supreme Court and Urgent Need for Reforms

  • The burden on the Supreme Court to address these systemic failures and legal challenges is
  • The Court's intervention is crucial in safeguarding individual rights, upholding democratic principles, and restoring public trust in the criminal justice system.
  • Urgent reforms are needed to ensure fairness, accountability, and transparency in legal proceedings and to protect the rights of all individuals before the law.

Conclusion

  • The responsibility to address challenges associated with India’s criminal justice system lies not only with the judiciary but also with policymakers and society at large.
  • Ensuring a fair and equitable system is essential to uphold democratic principles and protect the rights of all individuals, regardless of their political affiliations.
  • As the burden on the Supreme Court remains high, the call for systemic reforms and accountability echoes louder than ever.

 

 

 

Editorial Analysis

Mains Article
14 May 2024

What is Xenotransplantation?

Why in the News?

The first recipient of a modified pig kidney transplant passed away around two months after the surgery was carried out.

Richard "Rick" Slayman had the transplant at Massachusetts, USA in March at the age of 62. Surgeons said they believed the pig kidney would last for at least two years.

What’s in Today’s Article?

  • About Transplantation (Meaning, Human Transplantation)
  • About Xenotransplantation (Meaning, Need, Why Pig’s Organs are Used, Etc.)
  • News Summary

Transplantation:

  • Transplantation is a surgical procedure in which tissue or an organ is transferred from one area of a person's body to another area, or from one person (the donor) to another person (the recipient).
  • In the last 50 years, transplantation has become a successful worldwide practice.

Human Transplantation:

  • Human cells and tissues for transplantation can save lives or restore essential functions. For example:
    • A corneal graft can restore sight in corneal blindness;
    • The transplantation of haematopoietic stem cells can cure congenital or acquired diseases including leukaemia.
    • The transplantation of a human heart valve often constitutes the best replacement situation and recipient patients do not require long term anti-coagulation therapy.

What is Xenotransplantation?

  • Xenotransplantation involves the transplantation of nonhuman tissues or organs into human recipients.
  • The development of xenotransplantation is driven by the fact that the demand for human organs for clinical transplantation far exceeds the supply.
  • Scientists are still exploring the risks and benefits of xenotransplantation.

Why Pig’s Organsare Used for Xenotransplantation?

  • Since the 1990s, researchers have attempted to use pigs as the source animal for xenotransplantation, and the pig is currently considered the most appropriate candidate species.
  • Reasons for selecting the pig as a source animal include:
    • Pig's relatively large litter size and short maturation period,
    • Its size and physiological similarity to humans,
    • Low risk of xenozoonosis (an infectious disease transmitted from animal to human by transplantation), and
    • Readily application of genetic engineering techniques to produce porcine organs that are resistant to rejection.
  • Thanks to genetically modified pigs and immunosuppressive therapy, survival time results for xenografts have improved considerably in preclinical xenotransplantation models.

What is Immunosuppressive Therapy?

  • Immunosuppressive therapy is a drug regimen that patients use to lower their bodies' immune response.
  • These drugs help doctors stop the immune system from overreacting and damaging transplanted organs and tissues.

 

 

Science & Tech

Mains Article
14 May 2024

An Overview of the Smart Cities Mission

Why in News?

In this year's list of poll promises and accomplishments, the NDA-1 government's flagship program - Smart Cities Mission (SCM), has taken a back seat.

What’s in Today’s Article?

  • What is the Smart Cities Mission (SCM)?
  • What are the Main Components of SCM?
  • What are the Achievements of SCM?
  • Some Success Stories of SCM
  • What are the Criticisms of SCM?

What is the Smart Cities Mission(SCM)?

  • It is a Centrally Sponsored Scheme of the Union Ministry of Housing and Urban Affairs (MoHUA), launched on 25 June, 2015.
  • Its objective is to promote cities -
    • To ensure a decent quality of life to their citizens through the application of ‘smart solutions’.
    • To drive economic growth through comprehensive work on social, economic, physical and institutional pillars of the city.
    • To drive sustainable and inclusive development.
  • 100 cities were selected for five years under the mission, which did not clearly define a smart city.
    • The Central Government will give financial support to the extent of Rs. 48,000 crores over 5 years i.e. on an average 100 crore per city per year.
    • An equal amount on a matching basis is to be provided by the State/ULB.
  • The mission that was to be completed in 2020, was given two extensions till June 2024.

What are the Main Components of SCM?

  • The SCM had two main aspects:
    • Area-based development consisting of three components [redevelopment (city renewal), retrofitting (city improvement), and green field projects (city extension)] and
    • Pan-city solutions based on ICT.
  • These further comprised some six categories that would include e-governance, waste management, water management, energy management, urban mobility, and skill development.

What are the Achievements of SCM?

  • Around ₹2 lakh crore was kept aside for the mission, with public-private partnerships (PPP) an important driver of the same (though, not more than 5% has come through the PPP route).
  • In order to make the mission effective, a business model of governance was adopted bypassing the existing models of city governance in the country.
    • An SPV (special purpose vehicle) led by a bureaucrat or a representative of an MNC, and other major stakeholders was created and registered under the Companies Act.
  • The SCM, with an allocation of ₹86,850 crore over eight years, has achieved an impressive completion rate of 83%.
  • Participating cities have utilised ₹72,571 crore, focusing on 21 sectors including education, health, housing, water supply, solid waste management, and public transport.
  • The most common feature across all cities - Integrated Command and Control Centers (ICCCs), enable monitoring and management of various urban functions.
    • They have been instrumental in disaster response, flood monitoring, and traffic management.

Some Success Stories of SCM:

  • Davanagere's (Karnataka) Stormwater Drainage System:
    • It successfully implemented a holistic stormwater drainage system, significantly reducing instances of flooding.
    • This project exemplifies the mission's effectiveness in addressing crucial urban challenges.
  • Jabalpur's (MP) Water Supply Enhancement:
    • Jabalpur is set to provide 24x7 water supply to 2,000 households, showcasing the mission's focus on improving essential services.
    • However, challenges remain in retrofitting existing infrastructure with new technologies.

What are the Criticisms of SCM?

  • The selection of 100 cities on a competitive basis and implementation of SCM was flawed, as the urbanisation in India is dynamic and not static like the West.
  • The SCM became an exclusionary scheme wherein not more than 1% of a city’s geographical area was selected for development.
  • The projects sanctioned under the SCM have seen a fall in the total outlay from the expected ₹2 lakh crore to ₹1,67,875 crore.
    • This is 16% less than the projected capital flow in 100 cities.
  • The SPV model designed for smart cities was not aligned with the 74th Constitutional Amendment, resulting in a top-bottom governance structure.
  • In the name of executing smart city projects, there was displacement of people living in poorer localities. For example, street vendors.
  • Another major consequence of the SCM has been enhanced urban flooding, because infrastructure projects dismantled water channels in some of the towns.
Polity & Governance

Mains Article
14 May 2024

Review of India’s human rights accreditation status deferred

Why in news?

The Geneva-based, United Nations-linked Global Alliance of National Human Rights Institutions (GANHRI) deferred the accreditation of the National Human Rights Commission-India (NHRC) for the second year in a row. This is the first time India’s status has been suspended for two years in a row, in 2023 and in 2024. The decision was taken during the meeting of the Sub Committee on Accreditation (SCA) on May 1, 2024. This decision could now affect India’s ability to vote at the Human Rights Council and some UNGA bodies.

What’s in today’s article?

  • National Human Rights Commission (NHRC)
  • Global Alliance for National Human Rights Institutions (GANHRI)
  • NHRC-India accreditation status review

National Human Rights Commission (NHRC)

  • About
    • It is a statutory body established under the Protection of Human Rights Act, 1993.  The Commission is the watchdog of human rights in the country.
  • Composition of NHRC
    • It is a multi-member body consisting of a chairperson and five members.
    • The chairperson should be a retired chief justice of India or a judge of the Supreme Court.
    • Members should be a serving or retired judge of the Supreme Court, a serving or retired chief justice of a high court and three persons (out of which at least one should be a woman) having knowledge or practical experience with respect to human rights.
  • Appointment & Tenure
    • The chairperson and members are appointed by the President on the recommendations of a six-member committee consisting of:
      • Prime Minister as its head; Speaker of the Lok Sabha; Deputy Chairman of the Rajya Sabha; Leaders of the Opposition in both the Houses of Parliament; Central Home Minister
    • The chairperson and members are appointed for the term of 3 years or till the age of 70 years, whichever is earlier.
    • The chairperson and members are eligible for reappointment.

Global Alliance for National Human Rights Institutions (GANHRI)

  • About
    • It is an organisation affiliated to the UN High Commissioner for Human Rights.
    • It is a global network of national human rights institutions (NHRIs) that works to promote and protect human rights.
      • GANHRI represents 120 NHRIs from around the world.
    • GANHRI's mission is to unite, promote, and strengthen NHRIs to operate in line with the UN Paris Principles.
  • Accreditation by the GANHRI
    • Sub-Committee on Accreditation (SCA) reviews NHRIs every five years, and there is an appeal process for NHRIs to ensure greater transparency and due process.
    • In a unique peer-review-based accreditation process, GANHRI ensures individual NHRIs’ compliance with internationally recognised standards – the Paris Principles – to ensure their independence, pluralism and accountability.
      • The Paris Principles set out internationally agreed minimum standards that NHRIs must meet to be considered credible.
      • The six principles require a country‘s human rights agency to be independent from the government in its structure, composition, decision-making and method of operation.
    • An NHRI is reviewed by the SCA when –
      • It applies for initial accreditation
      • It applies for re-accreditation every five years
      • The circumstances of the NHRI change in any way that may affect its compliance with the Paris Principles.
    • NHRIs that are assessed as complying with the Paris Principles are accredited with ‘A status’, while those that partially comply are accredited with ‘B status’.
      • This accreditation status affects a country’s ability to vote at the UN Human Rights Council and some UNGA bodies.
    • India’s accreditation: India’s NHRC got ‘A’ status of accreditation for the first time in 1999, which it retained in 2006, 2011, and in 2017 after it was deferred for a year.

NHRC-India accreditation status review

On May 1, 2024, NHRC’s performance was to be reviewed in order to decide on the accreditation status.

  • Observations made by SCA
    • The committee’s latest report is still awaited. However, its previous report (2023 report) had cited a number of reasons for recommending the deferral. These included:
      • Composition: lack of transparency in appointing members to the NHRC,
      • appointment of police officers to oversee human rights investigations
      • lack of gender and minority representation on the member panel.
    • The NHRC’s ratings were put on hold in 2023 over these concerns
  • India’s stand
    • GANHRI wanted India to make some structural changes and incorporate a few suggestions given by them. However, this was not possible at this time due to the ongoing general elections in India.

 

 

International Relations

Mains Article
14 May 2024

India, Iran sign 10-year contract for Chabahar port operation

Why in news?

India and Iran signed a long-term agreement covering Indian operations at the Chabahar port, eight years after concluding the general framework of cooperation for the port in Iran.

What’s in today’s article?

  • Chabahar port
  • Significance of Chabahar Port
  • 10-year agreement for Chabahar port operation

Chabahar port

  • About
    • Chabahar is a deep-water port in Iran’s Sistan-Baluchistan province. It is the Iranian-port that is the closest to India.
    • It is located in in south-eastern Iran, on the Gulf of Oman, providing easy and secure access for large cargo ships.
    • It is Iran’s first deepwater port that puts the country on the global oceanic trade route map.
  • Development of port
    • An MoU for the development of Chabahar port by India was signed in May 2015. The contract was executed in May, 2016 during the visit of PM Modi to Iran.
  • Current status
    • India has so far supplied six mobile harbour cranes (two of 140-tonne and four of 100-tonne capacity) and other equipment worth $25 million.
    • India Ports Global Ltd (IPGL has been operating Chabahar port through its wholly owned subsidiary, India Ports Global Chabahar Free Zone (IPGCFZ), since December 24, 2018.
    • The port has handled more than 90,000 twenty-foot-equivalent units (TEUs) of container traffic and more than 8.4 million metric tonnes (MMT) of bulk and general cargo since then.

Significance of Chabahar Port

  • Strategic significance to both Iran and India
    • It can potentially help Tehran ward off the effect of Western sanctions.
    • It offers New Delhi an alternative route that bypasses Pakistan in order to ensure access to Afghanistan and Central Asia.
      • The port is partly intended to provide an alternative for trade between India and Afghanistan as it is 800 kilometres closer to the border of Afghanistan than Pakistan's Karachi port.
      • Pakistan does not allow India, land access for trade with Afghanistan and Central Asia.
  • Humanitarian corridor
    • The port has also facilitated the supply of humanitarian assistance, especially during the Covid-19 pandemic.
    • Till date, a total of 2.5 million tonnes of wheat and 2,000 tonnes of pulses have been transshipped from India to Afghanistan through Chabahar port.
    • In 2021, India supplied 40,000 litres of the environment friendly pesticide (malathion)through the port to Iran to fight locust attacks.
  • Chabahar and International North-South Transport Corridor (INSTC)
    • The INSTC, which was initiated by Russia, India, and Iran, is a multi-modal transportation route envisaged to link the Indian Ocean and Persian Gulf to the Caspian Sea via Iran, and onward to northern Europe via St Petersburg in Russia.
    • The INSTC envisages the movement of goods:
      • from Mumbai to Bandar Abbas in Iran by sea;
      • from Bandar Abbas to Bandar – e- Anzali, an Iranian port on the Caspian Sea, by road;
      • from Bandar-e-Anzali to Astrakhan, a Caspian port in the Russian Federation by ship; and
      • onward to other parts of the Russian Federation and Europe by rail
    • Hence, INSTC and Chabahar Port will complement each other for optimising Indian connectivity with Russia and Eurasia.
  • Tool to strengthen India’s relation with Iran & Afghanistan
    • This port has potential to herald a new age of trade, marine cooperation, and transshipment while boosting trilateral trade between India, Iran, and Afghanistan.

10-year agreement for Chabahar port operation – key highlights

  • Agreement signed
    • The long-term agreement was signed between Indian Ports Global Ltd. (IPGL) and Port and Maritime Organisation (PMO) of Iran, enabling operation of the Shahid-Behesti terminal.
  • Funding
    • IPGL will invest approximately $120 million in equipping the port.
    • India has also offered a credit window equivalent to $250 million for mutually identified projects aimed at improving Chabahar-related infrastructure.
  • Significance
    • This agreement has cleared the pathway for bigger investments to be made in the port.
      • The signing of long-term agreement got delayed due to some tricky issues, including arbitration.
      • In the absence of long-term agreement, the two countries had concluded short-term leases.

 

 

International Relations

May 13, 2024

Mains Article
13 May 2024

The Path Back from the Brink: Modi Government Has Improved the Performance of State-Owned Companies

Context

  • In any democracy, a competent opposition is crucial for fixing accountability and ensuring balanced governance but the absence of a capable opposition can hinder the democratic process, leading to baseless accusations and ineffective critiques.
  • Prime Minister Narendra Modi's government has faced such challenges, particularly regarding its management of public sector enterprises (PSEs).
  • Therefore, it is important to analyse the performance of PSEs under the Modi administration, contrasting it with the past, and highlights the government's strategic approach towards their transformation.

A Comprehensive Analysis of PSEs Under the Modi Government

  • Oil and Gas Sector
    • Oil India Ltd, a prominent upstream oil company, reported its highest-ever crude and natural gas production.
    • Similarly, Indian Oil Corporation Limited (IOCL) capped an exceptional year with historically high refinery throughput, sales volume, and net profit.
    • These achievements not only underscore the efficiency and productivity of these enterprises but also contribute significantly to India's energy security.
  • Energy Generation
    • Furthermore, Bharat Petroleum Corporation Limited (BPCL) reported its highest-ever profit for the first nine months of any fiscal year, showcasing the company's resilience and adaptability in a competitive market.
    • Coal India, another key player in the energy sector, recorded its highest-ever production, underscoring the government's focus on maximising domestic coal production to meet growing demand.
  • Financial Sector
    • One of the most notable achievements of the Modi government has been the revitalisation of the banking sector, particularly public sector banks (PSBs).
    • Inherited with a legacy of non-performing assets (NPAs) from previous administrations, PSBs were on the brink of a crisis.
    • However, decisive government intervention, coupled with structural reforms, has turned the tide.
    • PSBs reported their highest-ever profits and lowest-ever NPAs in the fiscal year 2022-23, signalling a turnaround in their financial health.
    • The government's emphasis on transparency, accountability, and prudent risk management has instilled confidence in the banking sector and restored investor trust.
  • Infrastructure Development and Expansion
    • In addition to the energy sector, PSEs have played a pivotal role in driving infrastructure development across the country.
    • National Thermal Power Corporation (NTPC) set a new record for the highest-ever electricity generation in a year, bolstering India's power infrastructure and ensuring reliable electricity supply to industries and households.
    • Moreover, the government's emphasis on strategic infrastructure projects has led to significant investments in sectors such as railways, highways, and ports.
    • PSEs like Indian Railways and Ports have undertaken ambitious expansion plans, leveraging their expertise and resources to modernise and enhance infrastructure capacity.

Significant Differences in Approach and Outcomes Between the Current Government and its Predecessors

  • UPA Era Mismanagement
    • During the UPA regime, PSEs were often treated as personal fiefdoms of those in power, leading to rampant corruption, inefficiency, and stagnation.
    • PSEs, including Indian Railways and other key sectors, were plagued by systemic issues such as bureaucratic red tape, political interference, and lack of accountability.
    • This resulted in suboptimal performance, missed targets, and a general decline in the public sector's contribution to the economy.
  • Corruption and Cronyism During Past Administrations
    • The UPA era was marred by numerous corruption scandals, including the infamous "2G scam," "Coalgate," and "Commonwealth Games scam."
    • These scandals not only tarnished the reputation of PSEs but also eroded public trust in the government's ability to manage public resources effectively.
    • The nexus between politicians, bureaucrats, and corporate interests further undermined the integrity and efficiency of PSEs, hindering their ability to fulfil their mandate of serving the public interest.
  • Policy Paralysis and Inefficiency
    • Under the UPA regime, policy paralysis and bureaucratic inertia stifled innovation and growth in the public sector.
    • Projects were delayed or shelved due to indecision and administrative bottlenecks, resulting in missed opportunities for economic development and job creation.
    • PSEs were often burdened with unviable projects and excessive government interference, impeding their ability to compete in a rapidly changing global market.
  • Modi Government's Transformative Reforms
    • In contrast, the Modi government has pursued a comprehensive agenda of reform and restructuring aimed at revitalising the public sector and enhancing its competitiveness.
    • The government's approach has been characterised by a combination of strategic vision, bold decision-making, and emphasis on transparency and accountability.
  • Decisive Leadership and Accountability
    • Prime Minister Modi's leadership has brought a renewed focus on accountability and performance in the public sector.
    • The government has introduced measures to streamline decision-making processes, reduce bureaucratic red tape, and hold PSEs accountable for their performance.
    • This has created a culture of responsibility and efficiency, driving improved outcomes across various sectors.
  • Proactive Governance and Strategic Initiatives
    • The Modi government has implemented a series of strategic initiatives to modernise and strengthen PSEs, including divestment, strategic partnerships, and investment in critical infrastructure.
    • These initiatives have unlocked new growth opportunities, enhanced operational efficiency, and positioned PSEs for long-term success in a competitive global environment.

Divestment Strategy Pursued by the Modi Government

  • Air India Privatisation
    • Air India, despite its storied history, had become a loss-making entity requiring substantial government subsidies to sustain operations.
    • Recognising the need for structural reform in the aviation sector, the government opted for privatisation as the most viable solution.
    • By divesting its stake in Air India, the government aimed to inject flexibility and efficiency into the airline's operations, enabling it to compete more effectively in a fiercely competitive industry.
    • Post-privatisation, Air India has initiated ambitious plans for fleet expansion, signalling a renewed focus on growth and profitability.
  • Retaining Stake in BPCL
    • In contrast to Air India, the government decided to retain its stake in Bharat Petroleum Corporation Ltd (BPCL), citing its strategic importance in sectors such as fuel retailing and energy transition.
    • BPCL's extensive network of fuel retail outlets, along with its expertise in areas like ethanol blending and carbon emissions reduction, aligns closely with the government's long-term energy objectives.
    • By retaining control over BPCL, the government ensures continued influence over critical sectors while leveraging the company's capabilities to drive national priorities such as sustainability and energy security.
  • Strategic Considerations
    • The decision-making process regarding divestment involves a careful assessment of strategic considerations beyond immediate financial gain.
    • Factors such as sectoral importance, market dynamics, and long-term implications are meticulously evaluated to determine the optimal course of action.
    • By adopting a strategic approach to divestment, the government seeks to strike a balance between fiscal objectives and broader national interests, ensuring that divestment decisions align with the country's development goals and priorities.

Conclusion

  • The stewardship of PSEs under Prime Minister Modi's leadership signifies a new era of governance characterised by proactive reforms, effective management, and a vision for national development.
  • Despite accusations from the opposition, the government's strategic interventions have enabled PSEs to emerge as key drivers of India's growth story, paving the way for a brighter and more prosperous future for all citizens.
Editorial Analysis

Mains Article
13 May 2024

China reclaims India’s top trading partner tag

Why in news?

China has emerged as the largest trading partner of India with USD 118.4 billion two-way commerce in 2023-24, narrowly overtaking the US (India-US two-way trade came in at $118.3 billion in FY24). This has been revealed by the data released by the think tank Global Trade Research Initiative (GTRI).

The US was India’s top trading partner during FY22 and FY23 after China was the top bilateral trading partner in FY21.

What’s in today’s article?

  • Bilateral trade between India and China
  • India – US bilateral trade
  • Trade relations with other countries

Bilateral trade between India and China

  • Statistics
    • India’s bilateral trade with China in FY24 stood at $118.4 billion.
    • India’s imports increased by 3.24 per cent to $101.7 billion and exports rose by 8.7 per cent to $16.67 billion in FY24 compared to FY23.
  • Surge in imports for China in recent years - statistics
    • Between FY19 and FY24, India’s exports to China witnessed a marginal decline in exports by 0.6 per cent, down from $16.75 billion to $16.66 billion.
    • However, during the same period, imports from China surged by 44.7 per cent, up from $70.32 billion to $101.75 billion.
  • Major Imports from China to India
    • Electrical, electronic equipment, engineering goods, chemicals and related products, plastics, other manufacturing goods and textiles.
  • Major Exports from India to China
    • Engineering goods, agricultural and allied products, ores and minerals, chemicals and related products, Petroleum & crude products etc.
  • Existing trade deficit
    • Rising from USD 53.57 billion in FY2019 to USD 85.09 billion in FY2024.
  • Reasons behind high trade deficit
    • Gap between domestic production and demand for various products
    • Export of raw materials while importing finished goods
      • India’s predominant exports have consisted of iron ore, cotton, copper, aluminum and diamonds/natural gems. However, majority of Chinese exports consist of machinery, power-related equipment, telecom equipment, organic chemicals and fertilizers.
    • Indian pharmaceutical industry is heavily dependent(~68% ) on APIs from China
    • Other factors: A narrow basket of commodities, mostly primary, that India exports to China.
      • Market access impediments for most Indian agricultural products and competitive markets, such as pharmaceuticals, IT/ITES etc.
  • Strategic implications of widening trade deficit
    • India trade relations with China have been under scrutiny largely due to India’s dependence on the neighbouring country’s critical products.
      • These products include telecom & smartphone parts, pharma, advanced technology components among others.
      • It should be noted that China is the top supplier in eight major industrial sectors, including machinery, chemicals, pharmaceuticals, and textiles.
    • In the fast-emerging EV sector too, India’s dependence on China is high as lithium-ion batteries for EVs, imported from China.
      • These were valued at $2.2 billion, comprising 75 per cent of such imports, and are critical for India’s electrification of transport.
    • The strategic implications of this dependency are profound and affects not only economic but national security dimensions.
    • Now, India has undertaken significant measures to decrease its dependence on China through production linked incentive schemes (PLI), anti-dumping duties along with quality control orders.

India – US bilateral trade

  • Statistics
    • India-US two-way trade came in at $118.3 billion in FY24 after exports dipped by 1.32 per cent to $77.5 billion compared to the previous financial year.
      • During this period, imports also dipped 20 per cent to $40.8 billion.
  • Recent trend
    • During the last five years, trade with the US showed positive growth, with exports increasing significantly by 47.9 per cent from $52.41.
    • Imports from the US grew by 14.7 per cent, rising from $35.55 billion.
    • This resulted in an expanded trade surplus for India, which grew from $16.86 billion to $36.74 billion.

Trade relation with other countries (for 2019 – 2024)

  • In 2023-24, the UAE with USD 83.6 billion, was the third largest trading partner of India.
  • It was followed by Russia (USD 65.7 billion), Saudi Arabia (USD 43.4 billion), and Singapore (USD 35.6 billion).
  • With Russia
    • During the last five years, Russia’s trading figures were marked by a dramatic increase, with exports growing by 78.3 per cent to $4.26 billion.
    • On the other hand, imports soared by 952 per cent to $61.44 billion, widening the trade deficit to $57.18 billion.
  • With Saudi Arabia
    • Saudi Arabia’s exports more than doubled, with a 107.9 per cent increase to $11.56 billion.
    • Imports rose at a slower pace by 11.7 per cent to $31.81 billion, which slightly reduced the trade deficit to $20.25 billion.
  • With UAE
    • Exports to the UAE rose by 18.3 per cent to $35.63 billion, and imports increased substantially by 61.2 per cent to $48.02 billion.
    • This shift turned a marginal trade surplus of $0.34 billion in FY19 into a deficit of $12.39 billion by FY24.
International Relations

Mains Article
13 May 2024

The Poll Promise of Affordable Housing

What’s in Today’s Article?

  • Background (Context of the Article)
  • About PMAY-G& PMAY-U (Objectives, Features, etc.)
  • Achievements of the PMAY

Background:

  • With the ongoing 2024 general elections, various political parties attempted to woo voters with schemes, freebies and promises including affordable housing.
  • India has around 1.7 million homeless people, according to the 2011 Census.
  • Even for people with houses, the quality of build, congestion, and inadequate amenities and infrastructure remain major concerns.

Pradhan Mantri Awas Yojana – Gramin (PMAY-G):

  • About
    • The main aim of the scheme is to provide pucca house with some of the basic amenities.
    • This scheme is meant for people who do not own a house and people who live in kutcha houses or houses which are severely damaged.
    • At present, the minimum size of the houses to be built under the PMAY-G scheme is 25 sq. mt., with a hygienic cooking space.
    • Concerned Ministry: Ministry of Rural Development
  • Funding:
    • The cost of the unit is shared in a 60:40 ratio between the Central and State governments in plain areas, i.e., Rs. 1.20 lakh of assistance for each unit.
    • In the Himalayan states, north-eastern states, and the Union Territory (UT) of Jammu & Kashmir, the ratio is 90:10 with up to Rs. 1.30 lakh of assistance for each unit.
    • 100% financing from the Centre for Union Territories including the UT of Ladakh.
  • Salient Features of the Scheme
    • Beneficiaries are identified using parameters from Socio-Economic and Caste Census (SECC) 2011 data and verified by Gram Sabhas.
    • Beneficiaries are entitled to 90/95 person-days of unskilled labour under Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS).
    • Assistance for construction of toilets of up to Rs.12,000 to be provided under Swachh Bharat Mission-Gramin (SBM-G) in collaboration with MGNREGS or other schemes.
    • Payments are made electronically directly to bank accounts or post office accounts that are linked to Aadhaar.

Pradhan Mantri Awas Yojana – Urban (PMAY-U):

  • About
    • The Pradhan Mantri Awas Yojana-Urban was launched to tackle urban homelessness.
    • The duration of the PMAY-U was initially seven years, from FY 2015-16 to FY 2021-22. It has now been extended up to December 31, 2024.
    • The Mission promotes women empowerment by providing the ownership of houses in name of female member or in joint name.
    • Concerned Ministry: Ministry of Housing and Urban Affairs (MoHUA)
  • Salient Features of the Scheme : There are 4 verticals under PMAY-U.
    • In-situ Slum Redevelopment:
      • This is done with the participation of private developers.
      • Beneficiary households are granted Rs. 1 lakh by the Centre.
      • Besides this, State governments often match this amount, and additional funds may be provided by urban local bodies.
    • Credit Linked Subsidy Scheme (CLSS):
      • A subsidy is offered on home loan interest rates.
    • Affordable housing in partnership with public or private sector:
      • Under this, the government provides incentives for building affordable housing.
      • In a project where 35% of homes are built for economically weaker sections (EWS), the central government provides funds of Rs 1.5 lakh per EWS house.
    • Beneficiary-led individual house construction or enhancement (BLC):
      • This applies to eligible families in the EWS section who have land or homes in need of upgradation.
    • Funding:
      • The Centre makes available funds of Rs 1.5 lakh for individual families, and States and urban local bodies may add another Rs. 1 lakh to this amount.

Achievements of the PMAY So Far:

  • Under PMAY-U:
    • A total of 118.63 lakh houses have been sanctioned under PMAY-U; of which 78.15 lakh houses have been constructed/delivered till December 2023.
  • Under PMAY-G:
    • Out of the overall mandated target of 2.95 crore houses allocated to States/UTs under the PMAY-G, more than 2.94 crore houses have already been sanctioned to the eligible beneficiaries by the States/UTs.
    • Over 2.55 crore houses have already been completed.
  • Both components (rural and urban) of the PMAY combined received 80,671 crores in the interim budget released in February 2024.

 

Social Issues

Mains Article
13 May 2024

Different Types of Investment Models and the Challenges in NH Construction

Why in News?

Credit rating agency CareEdge Ratings expects the execution pace of national highways (NH) in India to decline by 7-10% year-on-year - from 12,350 km in FY24 to about 11,500 km in FY25.

This is mainly because projects under the hybrid annuity model (HAM) - a PPP model that combines EPC and BOT models - haven’t taken off as anticipated.

What’s in Today’s Article?

  • What is the Need of the Different Investment Models?
  • What is the Build-Operate-Transfer (BOT)?
  • What is the Engineering, Procurement and Construction (EPC) Model?
  • What is the Hybrid Annuity Model (HAM)?
  • What are the Challenges in NH Construction?

What is the Need of the Different Investment Models?

  • If India wants to achieve double-digit growth, infrastructure development will be critical.
  • As a result, the Government of India has increased investment in the infrastructure sector, which can be better utilised through efficient distribution of funds as well as consistent and uninterrupted implementation of infrastructure projects.
  • For the smooth implementation of such plans, the government may occasionally involve and enter into contracts with other private companies and such contracts are known as public-private partnership (PPP).
  • In these agreements, a private entity is hired by the public body and is remunerated on a performance basis.
  • They are typically long-term arrangements (for a 20-30 years term), whose rationale is to combine the capabilities of the public and private sector to achieve optimal results.
  • Such models are intended to enable the completion of projects in a timely and cost-effective manner.
  • Some of the important types of PPP contracts are BOT, Build-Own-Operate (BOO), Build-Operate-Own-Transfer (BOOT), Buy-Build-Operate (BBO).

What is the Build-Operate-Transfer (BOT)?

  • Meaning:
    • Under this, a private player is granted a concession to finance, build and operate a project for a set period of time (20 or 30 years).
    • The developer recovers its investments through user fees or tolls charged to customers who use the facility, after which it is taken over by the government.
  • Pros of BOT model: Partnerships between private companies (contributes by bringing technology and innovation) and governments (provides incentives for the private sector to deliver projects on time and within budget) provide advantages to both parties by -
    • Improving the operational efficiency of providing public services.
    • Creating economic diversification.
  • Downsides of BOT model:
    • Private partners may face special risks: Such as the construction risks, availability (of promised services) risk, demand risk, etc.
    • Lack of accountability: Partnerships may shield the private players from accountability to the public, offering subpar service.
    • May Lead to monopoly of private entities: The private partner may be in a position to raise tolls, tariffs and fees for consumers who may be compelled to pay for their services.
    • Can result in crony capitalism: This may facilitate corrupt dealings, pay-offs to political cronies and general rent-seeking activity.

What is the Engineering, Procurement and Construction (EPC) Model?

  • Meaning:
    • These are the contracts used primarily in complex industrial and infrastructure projects like power plants, bridges, dams etc.
    • It entails a contract between the owner and a contractor who is responsible for delivering specified design, construction, logistics, transportation and other associated activities to the Project financer.
  • EPC vs PPP:
    • In the PPP model one party is a government or public sector enterprise and the other is a private party while the EPC model can have two private entities as parties to the contract.
    • In the PPP model,
      • While implementing the project, if there is a delay in the project, the private entity will have to fix the problem, which will incur expenditures.
      • It will now have to submit a new offer to be compensated for the costs incurred and have to deal with the government's slow machinery in order to get the new proposal approved.
    • In an EPC model,
      • The government would invite individual bids for engineering expertise, raw material procurement and actual construction work.
      • The government carries the whole financial burden and will handle any difficulties that emerge.
      • As a result, the private party can concentrate on project planning and design, boosting the project's efficiency.
      • As a result, the Government of India chose the EPC model over the PPP model for national highway construction.

What is the Hybrid Annuity Model (HAM)?

  • Meaning:
    • As the name suggests, it is a mix of the EPC and BOT models.
    • Under the HAM model, 40% of the project cost is paid by the government as construction support to the private developer, and the remaining 60% is to be arranged by the developer.
    • Here, the developer usually invests not more than 20-25% of the project cost, while the remaining is raised as debt.
  • Importance:
    • HAM arose from the need for a more efficient financial mechanism for road development.
    • HAM is a good trade-off because it spreads risk among developers and the government.
    • In this case, the government contributes 40% of the project cost, which reduces overall debt and improves project returns.

What are the Challenges in NH Construction?

  • Declining pace of execution: NH construction is expected to slow from 34 km/day in FY24 to 31 km/day in FY25 (a 7-10% annual decline), primarily due to an influx of mid-level developers post-March 2020.
  • HAM model setbacks: HAM projects face delays, with nearly one-third delayed by 4-6 months, and others awaiting 'appointed dates' for over a year.
    • This resulted in cost over-run and thus impacting execution.
  • Regulatory and financial concerns:
    • Regulatory ambiguity and financing challenges exacerbate delays.
    • Recent RBI draft guidelines on project financing, which increased equity requirements for HAM projects, potentially resulted in reducing developer interest.
    • Also, a large increase in provisioning requirements during the construction phase - from 0.4 to 5% - is probably going to reduce developers' desire to bid in the medium run.
    • Therefore, regulatory clarity and alternative funding avenues are needed for smoother implementation.
Economics

Mains Article
13 May 2024

Integrated commands structure plan

Why in news?

The Armed Forces have finalized the structure for making integrated theater commands. They are now considering appointing a Vice Chief of Defence Staff and a Deputy Chief of Defence Staff.

What’s in today’s article?

  • Theaterisation of Armed Forces
  • Theatre commands and India
  • Current command structure in India
  • Recent steps taken by India towards theaterisation
  • Proposed organisational structure for integrated theatre commands – key highlights

Theaterisation of Armed Forces

  • It is a concept which seeks to integrate the capabilities of the three services - army, air force and navy – in order to optimally utilise their resources for wars and operations.
  • A theatre command/unit will be created by integrating elements/assets from all the three services.
    • Simply put, a theatre command deploys elements of the three services under a single, unified command structure.
  • Each command is assigned a specific geographical region for operational roles.
  • Almost all major countries like China, Russia, US, UK and France work on a theatre command concept.
    • For example, China’s Western Theatre Command looks after the entire borders with India.

Theatre commands and India

  • The Kargil Review Committee, the Naresh Chandra Committee and the Group of Ministers (GoM) had called for structural changes in higher defence management.
  • It was the Shekatkar committee, which had recommended the creation of the post of Chief of Defence Staff (CDS) and theatre commands.

Current command structure in India

  • At present, India has 17 single service commands and only two tri-service commands.
  • The 17 single service commands are divided as:
    • Army – 7 commands; Airforce – 7 commands; Navy – 3 commands
  • The two tri-service commands are: Andaman and Nicobar Command (ANC), and The Strategic Force Command (handles the nuclear weapons).
    • The Andaman and Nicobar command is a full-fledged command raised as a tri-service command in 2001.

Recent steps taken by India towards theaterisation

  • Proposal to create a national defence committee
    • There is a proposal for theatre commanders under a national defence committee likely to be headed by the Defence Minister.
  • Inter-Services Organisation (Command, Control and Discipline) Act 2023
    • The act empowers the commander-in-chief and the officer-in-command of inter-services organisations with disciplinary and administrative powers over personnel from the other services serving in them.
    • Limited cross-postings between the Army, Navy and IAF have already been implemented to promote jointness.
      • Restructuring of the headquarters and the subsequent postings will take place after the final approval from the govt.
  • First tri-service common defence station
    • In March 2024, the decision was taken to transform Mumbai into the first tri-service common defence station.
      • A common defense station would merge all Army, Navy, and Air Force facilities, like logistics and maintenance, under one leadership.
    • It was also decided to set up additional joint logistics nodes across the country to boost integration in logistical needs and streamline their supply chains.

Proposed organisational structure for integrated theatre commands – Key highlights

  • Organisational structure for the creation of integrated theatre commands is ready
    • The Armed Forces have finalised the organisational structure for the creation of integrated theatre commands.
    • However, the organisational structure plan may be fine tuned after it gets government approval.
  • Appointment of a Vice Chief of Defence Staff (CDS)
    • The Vice CDS is likely to be an officer of the rank of General or equivalent.
    • He is expected to look after strategic planning, capability development and procurement-related matters.
  • Appointment of a Deputy CDS
    • The Deputy CDS is likely to be an officer of the rank of Lieutenant General or equivalent.
    • He will be responsible for operations, intelligence and will coordinate the allocation of assets between theatres.
  • Creation of commands
    • The proposal entails creation of the western theatre command headquarters in Jaipur where the Army’s South Western Command is located.
    • The northern theatre command is likely to be in Lucknow.
    • The maritime theatre command is likely to have its base in Coimbatore.
      • It will involve the IAF’s Prayagraj-headquartered Central Command and its Southern Air Command based in Thiruvananthapuram.
      • Earlier, the plans were to set up the maritime theatre command headquarters in Karwar.
  • Overall Plan is to create three adversary-based theatre commands
    • one facing Pakistan,
    • another opposite China, and
    • a maritime theatre command to tackle maritime threats outside the coastal borders of the country.
  • Role of three service chiefs
    • The three service chiefs will be responsible for raising, training and sustaining the individual services.
    • It is not known yet whether they will continue to retain some operational roles. The three theatre commanders will be responsible for operations.
  • No additional manpower is likely to be enrolled for creation of the theatre commands
    • Only readjustments within organisations will be carried out.
Defence & Security
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