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Current Affairs – July 31, 2024

{GS2 – Governance – Issues} Death of UPSC Aspirants

  • Context (IE | IE | IE): Three UPSC aspirants died due to waterlogging after a drain burst in a cramped basement coaching centre in Delhi.
  • Evident civic irregularities and delays in safety measures are alarming, especially when the World Bank predicts 40% of India’s population in cities by 2036 and Delhi’s population reaching 28-30 million by 2041.

Governance and Oversight Failures

  • Unchecked Proliferation: A large number of coaching centres operate in cramped, unregulated spaces.
  • Building Violations: Many centres flout building bylaws and safety norms, contributing to hazardous conditions.
  • Lack of Amenities: Insufficient cleanliness, hygiene, and basic facilities in many centres.
  • Safety Hazards: Increased risk of fire and waterlogging, poor access for rescue operations and inadequate exit points.
  • Political Blame Game: Dispute between Centre and Delhi government, with both shifting blame rather than addressing the crisis.
  • Leadership Issues: Governance problems exacerbated by the chief minister’s legal troubles.
  • Regulatory Oversight Ignored: Failure of the Municipal Corporation of Delhi to act on complaints about illegal basement usage for commercial activities.
  • Lack of Enforcement: Inadequate response to written complaints and lack of timely inspections led to preventable deaths.
  • Inadequate Building Regulations: Ignorance of MCD building bylaws permitting only specific activities in basements.
  • Unregulated Sector: Coaching centres operate with minimal regulation, and existing model guidelines are unenforced, creating a regulatory gap.
  • Inadequate Urban Planning: The inadequacies to accommodate a growing city and the failure of civic authorities to ensure storm drains are desilted or building by-laws are adhered to.

Way Forward

  • Regular safety audits are needed for coaching centres to ensure compliance with building codes and safety norms.
  • Clear, comprehensive guidelines should be developed and implemented for coaching centre operations and infrastructure.
  • Coaching centres must have effective emergency response plans and accessible escape routes.
  • Transparency and accountability require coaching centres to display detailed information about operations, safety measures, and regulatory compliance.
  • Enhanced coordination between state and central authorities is necessary for effective regulation and monitoring.
  • Greater devolution of power in urban governance, with stricter lines of accountability and attention to changing needs and contexts in urban planning.
  • Timely notification and implementation of the Draft Delhi Master Plan, 2041, which addresses the city’s future growth and infrastructure needs.

{GS2 – Polity – Bodies – Statutory} NITI Aayog

  • Context (TH): Many State and UT representatives skipped the policy “Think Tank”, NITI Aayog’s governing Council meeting.
  • It is a non-constitutional, non-statutory body, established in 2015 by an executive Resolution to replace the Plainning Commission.

Key Objectives

  • To evolve a shared vision of national development priorities, sectors and strategies with the active involvement of States.
  • To foster cooperative federalism through structured support initiatives and mechanisms with the States.
  • To develop mechanisms to formulate credible plans at the village level and aggregate these progressively at higher levels of government.
  • To design strategic and long-term policy and programme frameworks and initiatives, and monitor their progress and their efficacy.

Composition

  • Chairperson: The Prime Minister of India is the ex-officio chairman.
  • Vice-Chairperson: Appointed by the Prime Minister.
  • Ex-Officio Members: Up to four members nominated by the Prime Minister from the Union Council of Ministers.
  • Chief Executive Officer: Appointed by the Prime Minister for a fixed tenure. CEO has the rank of Secretary to the Government of India.

Importance of NITI Aayog

  • Long-term Planning: Unlike five-year plans, this enables a more flexible and visionary approach to development.
  • Promotion of innovation: Generate ideas, knowledge and innovation to accelerate development and promote entrepreneurship.
  • Co-operative Federalism: Ensures the policies are tailored to the specific needs of different regions by involving states in the decision-making process.
  • Competitive Federalism: Healthy competition among States would accelerate the country’s growth.
  • Inclusive growth: Through mechanisms to formulate credible plans at village level.
  • Monitoring: Through various reports and provides feedback and recommendations.

Key Initiatives

  • Lifestyle For Environment (LiFE): Announced in COP-26 of UNFCCC to bring individual behaviours to create a circular economy.
  • National Data and Analytics Platform (NDAP): Facilitates and improves access to Indian government data.
  • Methanol Economy programme: To reduce India’s oil import bill, greenhouse gas (GHG) emissions, and convert coal reserves and municipal solid waste into methanol.
  • Women Entrepreneurship Platform: To motivate, support and provide knowledge to women in setting up and scaling up businesses.
  • Atal Innovation Mission (AIM): Promotes a culture of innovation and entrepreneurship across India.
  • National Nutrition Mission (Poshan Abhiyaan): Comprehensive strategy to tackle malnutrition.
  • Digital India: To bridge the digital divide and ensure government services available to all.

Challenges

  • Advisory body without any powers of resource distribution or allocation to States and other bodies.
  • Focus on indices to evaluate States overshadows the need for a collaborative approach.
  • Accused of favoring states ruled by the ruling party, leading to regional imbalances in development.

Way Forward

  • Enhanced Financial Powers: Granting NITI Aayog financial resources to pilot projects and incentivize states could strengthen its influence.
  • Strengthened Cooperative Federalism: Creating platforms for regular consultations and joint decision-making with states.
  • Focus on Implementation: Establishing mechanisms to monitor and evaluate the implementation of NITI Aayog’s recommendations.
  • Political Neutrality: Ensuring NITI Aayog operates independently from political pressures is essential for credibility.

{GS2 – Social Sector – Education} NIPUN Bharat Mission

  • Context (IE): The NIPUN (National Initiative for Proficiency in Reading with Understanding and Numeracy) Bharat Mission aims to ensure that children get basic literacy and numeracy skills as part of the National Education Policy 2020.
  • In addition to school efforts, family engagement can enhance NIPUN’s success.

Implementation

  • The Department of School Education and Literacy will oversee its implementation.
  • A five-tier implementation mechanism will be established at the National, State, District, Block, and School levels across all States and UTs, under the Samagra Shiksha scheme.
  • NCERT is developing a special Foundational Literacy and Numeracy (FLN) package under NISHTHA.
  • Its targets are set at different stages, starting from pre-primary classes.
  • It aims to ensure proficiency in reading, understanding, and numeracy for children aged 3 to 9 years.
  • It will be implemented across all types of schools to achieve universal FLN by 2026-27.
  • NISHTHA (National Initiative for School Heads and Teachers Holistic Advancement) is the largest teacher training program in the world for capacity building.

Leveraging educated mothers

  • The pandemic increased parental involvement in education, especially of mothers because;
    • More available than fathers in rural India (65.5% of young men work, making them less available).
    • Lower labor force partifipation rate comparable to the rest of the educated world (LFPR for women aged 15-29 is 24.5% – 25.8% rural, 20.8% urban).

Demographic Trends

Source: IE

  • More number of educated mothers: School enrollment for has surged to over 90% in rural India since SSA began in 2001.
  • The share of educated mothers beyond Grade 5 jumped to nearly 60% (2022).
  • Mothers with 10+ years of schooling rose from <10% (2010) to >20% (2022).
  • In 2022, 30-40% of mothers in Uttarakhand, Maharashtra, Punjab, and Haryana had schooling beyond Grade 10. In Tamil Nadu and Himachal, nearly 50% of mothers have had schooling beyond Grade 10.
  • States like Kerala has almost 72% of mothers receiving high school education.

To read more > Annual Status of Education Report (ASER) 2023

{GS3 – Agri – Crops} Soybean (Golden Beans)

  • Context (IE): Paris Olympics features soybean as part of athlete diets.
  • They are native to East Asia and grows well in warm and moist climates.
  • It is a Kharif crop, which requires an average rainfall of 90 cm and a temperature between 26o and 30o C and grown in fertile, well-drained loamy soils.
  • Leading Producer: Brazil. India is 5th in production.
  • Major Producers: MP > Maharashtra > Rajasthan > Chhattisgarh > Andhra Pradesh
  • MACS 1407: Soybean variety which is pest resistant and best suited for the rain fed regions of North East India.

Advantages of Soybean

  • Valuable dietary component for athletes: Calcium and Magnesium enhance bone strength and amino acid profiles boost muscle growth and repair.
  • Tackle malnutrition: Owing to their rich availability and high content of essential nutrients.
  • Sustainable and Versatile crop with applications in food, animal feed, and biofuels.
  • Weight loss: High protein density, carbohydrates and fibre satisfy hunger and help to manage weight.
  • Cholestrol control: Dietary fibre aids in digestion and helps maintain healthy cholesterol levels.
  • Low glycemic index: Helps in maintaining stable blood sugar levels.
  • Improves heart health: contains Omega-3 and omega-6 fatty acids.
  • Lower LDL cholesterol levels, reducing the risk of cardiovascular diseases.
  • Antioxidant compounds will reduce the risk of chronic diseases.

{GS3 – IE – Taxes} Capital Gains Tax

  • Context (IE): The recent Budget removed indexation benefits from the Long-Term Capital Gains Tax regime.
  • Capital gains are the profit or gain that arises from the sale of capital assets.
  • They are tangible (land, buildings, vehicles) or intangible (shares, bonds, copyrights) assets held for investment or long-term use.
  • Tax on capital gains is known as Capital Gains Tax (CGT) and are of two types:

Short-Term Capital Gains Tax (STCG)

  • These are CGTs on assets held less than one year (for listed securities) and two years (for all other assets). The GoI has increased the STCG tax rate (15% to 20%) in the recent budget which is higher than LTCG.

Long-Term Capital Gains Tax (LTCG)

  • These are the CGTs on assets held more than one year (for listed securities) and two years (for all other assets).
  • For listed units of business trusts (REITs, InVITs), holding period is reduced from 36 months to 12 months. For gold and unlisted securities (other than unlisted shares) the period reduced from 36 months to 24 months.
  • The GoI reduced the LTCG tax rate to 12.5% and exempted Capital Gains up to Rs.1.25 lakh (previously 1 lakh) from paying CGT (exemption limit).
  • However, the Centre eliminated the indexation benefit for calculating LTCG on property, gold, and other unlisted assets.

Advantages of Recent Changes

  • Discourage Short-term Capital Transactions: To increase economic stability.
  • Simplifies tax structure: A single tax rate for LTCG will ease tax compliance.
  • Increase Government Revenue: Driven by higher STCG and removal of indexation benefit.
  • Increased exemption limit: encourage more people to invest in capital assets.

Disadvantages of Recent Changes

  • Higher tax burden while hodling assets for long periods due to indexation removal.
  • Discourage long-term investments: As the after-tax returns may be lower.
  • Potential for increased property prices: To offset the higher tax burden, property sellers might increase prices.
  • Impact on equity markets: Removal of indexation might offset the advantage given by LTCG reduction.

Indexation

  • Indexation is the process of adjusting the cost of an asset to account for inflation over the period.
  • This adjusted cost is called the ‘indexed cost of acquisition’.
  • By using the indexed cost instead of the original price, the inflation is taken into account and the profit made will seem smaller which will lower the tax burden.

Read More > Union Budget 2024-25 I Taxation

{GS3 – IE – Taxes} Inclusion of Crude Oil in GST

  • Context (IE): The CBIC Chairman stated that the roadmap to bring petroleum products under the ambit of the GST regime could start with crude oil.
  • Bringing crude oil into GST will integrate the entire supply chain into GST.
  • The tax on petrol varies with every state/UT and it amounts to around 40-50% of the petrol price.

Advantages of the inclusion of Crude Oil in GST

  • Uniform Pricing: By eliminating variations due to different state taxes.
  • Reduced Tax Burden as the current maximum tax slab of GST is 28%.
  • Reduced Administrative Burden eases compliance for taxpayers.
  • Input Tax Credit reduces overall tax liability, benefitting businesses.
  • Increase Productivity and competitiveness by the reduction in transport costs.
  • A comparative analysis to know the price benefit:
Present Day under excise and VAT Possible future under GST
Particulars Amount (Rs.) per litre Particulars Amount (Rs.) per litre
A. Fuel cost (Petrol) (Including freight) 57.35 A. Fuel cost (Petrol) (Including freight) 57.35
B. Excise duty (19.90/litre) 19.9 B. Dealer commission per litre 3.87
C. Dealer’s commission per litre 3.87 C. Total value (A+B) 61.22
D. Total value (A+B+C) 81.12 GST (assumed and taken highest slab of 28% on C) 17.14
VAT (Delhi) @ 19.4% on D 15.74
Retail price of petrol (RSP) 96.86 Retail price of petrol (RSP) 78.36

Challenges with the Inclusion of Crude Oil in GST

  • Revenue Loss for States as they heavily rely on petrol and diesel taxes.
  • Political Challenges: Opposition from states due to their revenue loss.
  • Upperhand of States in the GST Council with 2/3 of the total voting power.

Way Forward

  • Expansion of the tax base and creation of a compensatory cess to offset revenue losses for the Centre and states and ensure their fair distribution.
  • Conduct public awareness campaigns and build consensus among State Governments through effective communication and negotiation.

{GS3 – Infra – Issues} Drowning as a Global Public Health Crisis

  • Context (TH): The tragic drowning of IAS aspirants in a New Delhi coaching center basement highlights that anyone can drown, anywhere.
  • This preventable incident, caused by negligence and lax regulations, occurred just two days after the WHO’s Drowning Prevention Day (July 25).
  • Drowning incidences are rising due to rising seas, maximum cities, spiraling poverty, risky livelihoods, and forcibly displaced people (120 million).
  • It mainly affects children (<10) and adolescents, who account for half of drowning deaths.
    • In Vietnam and Uganda, children die in rivers and lakes while bathing or playing.
    • In Florida, USA, toddlers drown in swimming pools and hot tubs at home.
    • In India, children face perilous journeys to school, crossing dangerous rivers, trapped in a flash flood or a boat capsizing.
    • In Bangladesh, 43% of child deaths are due to drowning, mostly within 20 meters of their homes.
    • In India, 38,000 deaths occur due to drowning annually.
  • It is an underreported crisis, with a death toll equivalent to two-thirds that of malnutrition and over half that of malaria.
    • WHO reports 236,000 annual drowning deaths and further states that actual drowning rates could be four to five times higher than current estimates in low- and middle-income countries (LMICs).
    • Data gaps exist due to the exclusion of intentional drowning, water transport accidents (including refugee deaths), and natural disasters (75% of deaths during floods) from official counts.
    • 90% of drowning deaths occur in LMICs. Even in wealthy countries, poor and minority communities face higher drowning risks.

India’s Strategic Framework for Drowning Prevention

  • Released by Ministry of Health and Family Welfare in December 2023.
  • The plan addresses diverse topography and climatic zones and focuses on areas with limited access to basic services.
  • The plan aims to improve water safety infrastructure ensuring safe water transport and addressing related risks.

Way Forward

  • Adhere to WHO and UN Initiatives like the First Global Report on Drowning Prevention (2014) and the UN resolution on drowning prevention (2021).
  • Adopt water safety plans (Thailand) and focus on coastline safety with surf lifesavers and lifeguards (Australia).
  • Establish a National program with a Swim-Safe curriculum (Vietnam).
  • Promote community-based models following the example of Bangladesh’s Anchal (establishment of childcare centers to ensure institutional supervision).

{GS3 – S&T – BioTech} Increased use of grains for ethanol production

  • Context (IE): The contribution of maize and damaged foodgrains to India’s ethanol production has increased to 50% for the first time.
  • The ratio of ethanol blending in petrol has reached 13% this year against the targeted 20% by 2025.
  • Reasons for this rise in grain usage are:
    • Stoppage of the supply of surplus and damaged rice from FCI.
    • Restriction on the use of cane juice for ethanol production to control cereal and sugar price inflation.
    • Highest ex-distillery price (Rs.71.86/l) for ethanol produced from maize.
  • Using maize for ethanol production will help to raise the income of farmers.
  • However, it might lead to “food vs fuel dilemma” as decrease in availability for food would drive up food prices and their intensive cultivation can lead to soil erosion and increased pesticide use.

Read More > Ethanol Blending I Maize Revolution

{Prelims – Envi – Species} Agarwood

  • Context (TH): India has successfully prevented inclusion of agarwood (Aquilaria malaccensis) in the Review of Significant Trade (RST) of CITES.
  • It is a fast-growing evergreen tree species native to Northeast India, often referred to as the “Wood of the Gods” for its aromatic properties.
  • It has anti-inflammatory, anti-rheumatic, analgesic, and antioxidant properties, and is used in the aroma industry, water-based perfumes, medicine preparations, and in the preparation of air fresheners and purifiers.
  • It is cultivated in various parts of India, especially in Assam, Manipur, Nagaland, and Tripura.
  • Agar formation occurs when some fungi infect a tree, often following damage caused by stem borer larvae.
  • Major Export destinations: UAE, Kuwait, and Saudi Arabia.
  • It is listed as Critically Endangered and is also included in CITES: Appendix II.

Implications

  • Benefits farmers in Assam, Manipur, Nagaland, and Tripura as harvesting is allowed only from cultivated sources (not from existing wild populations).
  • Allows the legal trade of agarwood and its derivatives, thereby curbing illegal trade and reducing the cost of agarwood chips in the global market.

The Review of Significant Trade Management System

  • It tracks the progress of country/species combinations selected for review, through the four stages of the Significant Trade Review.
  • Species/country combinations currently subject to review are included, as well as those that have been eliminated from review, following satisfactory reports from the range State.

{Prelims – Envi – Species} Humboldt Penguins

  • Context (TH): Humboldt penguin population has increased at Mumbai Zoo.
  • These are medium-sized penguins which thrives at a temperature of 0 to 25°C and are usually found in Pacific coast of Peru and Chile in South America.
  • They possess large, bare skin patches around their eyes, which aid in temperature regulation, making them popular in zoos for their ability to thrive in warmer climates.
  • These penguins live at a temperature of 15-16°C at Botanical Udyan and Zoo.
  • IUCN: VU ; CITES: Appendix I.
  • There are 18 penguin species globally, with only 4 requires cold temperatures with snow and ice to survive. They live around 18-20 years in captivity and 15-18 years in the wild.

Read More > Penguins

{Prelims – Envi – Species} Melanistic Tiger

Snapshot of the black tiger found in Odisha.

Credit : Hindustan Times

  • Melanistic tigers are a rare variant of tigers with an overproduction of melanin, resulting in a darker coat colour.
  • They come under the same species as that of the Bengal Tiger, but a rare colour morph.
  • They are endemic to Simlipal Tiger Reserve, Odisha.

Read more> National Parks and Tiger Reserves of India

{Prelims – In News} Mirrar People

  • Context (IE): Australia has banned uranium mining in the Jabiluka region following protests by the Mirrar people.
  • They are an Aboriginal Australian group from the Northern Territory, recognized for their cultural heritage and advocacy for land protection.
  • The Jabiluka region, one of the world’s largest high-grade uranium deposits, is located within Kakadu National Park. Australia extended the park’s heritage listing to include the Jabiluka site, ensuring its protection from mining activities.

    A map of a park Description automatically generated.

    Source: GAC

Read More > World Uranium Distribution

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