Current Affairs – November 22, 2025

{GS2 – Governance} Royalty Rationalisation for Critical Minerals **

Context (IE | TH): The Union Cabinet approved revised ad valorem royalty rates for graphite, caesium, rubidium, and zirconium to boost domestic mining and reduce India’s rising import dependence.

Revised Rates of Critical Minerals

For Caesium, it is 2% of Average Sale Price (ASP) on metal content in ore, and for Rubidium, it is 2% of ASP on metal content in ore.
For Zirconium, 1% of ASP on metal content in ore and for Graphite, if it is 80% fixed carbon, 2% of ASP and < 80% fixed carbon, 4% of ASP.

India’s Need to Reform Critical Mineral Royalty

High Import Dependence: India is 100% import-dependent for lithium, cobalt, nickel, REEs and imports 60% of its graphite needs.
Low Auction Success: Only 34 out of 81 blocks (42%) auctioned since 2023 found bidders due to high royalties and lack of pricing clarity.
Rising Green-Tech Demand: EV battery demand alone is expected to increase 5–6 times by 2030, necessitating large quantities of graphite, zirconium, and REEs.
Unviable Mining at Old Rates: A fixed per-tonne royalty made low-grade graphite extraction commercially unviable during price downturns.
China Risk: They process ~90% of global REEs, and their export controls disrupted global supply chains.

Bottlenecks in India’s Critical Mineral Ecosystem

Weak Exploration Capacity: India accounts for <0.9% of global mineral exploration spending, compared to Australia’s ~13% and Canada’s ~15% (CSEP).
Poor Processing Capability: India contributes only 3% of global refined copper output, and processes <2% of global REEs, keeping it dependent on imports.
High Capital & Technology Gaps: Private exploration forms <10% of India’s total mineral exploration expenditure, versus >60% in mature mining economies.
Limited Skilled Workforce: India has fewer than 20 geologists per million population, significantly below Australia’s 140+ per million, which hinders deep-mining capabilities.
Fragmented Policy Ecosystem: Critical mineral auctions have only 42% success, with 34 of 81 blocks securing bidders due to regulatory delays and unclear pricing.

Way Forward

Exploration Push: Strengthen the National Mineral Exploration Trust (NMET) to fund high-risk exploration. E.g. Australia’s “Exploration Incentive Scheme” reimburses drilling costs for private explorers.
Domestic Processing Capacity: Launch a targeted PLI scheme for processing to reduce import dependence. E.g. China’s state-backed refining clusters process more than 90% of the global rare earths.
Fast-Track Clearances: Adopt a unified national portal integrating environmental, forest and concession approvals to cut delays in auctions. E.g. Canada’s “One-Window” mining clearance system.
Tech & Skills Partnership: Build joint R&D and training programmes with countries leading in mineral tech. E.g. US–Australia Critical Minerals Partnership for shared processing technologies.
Strategic Stockpiles: Create a strategic buffer of key minerals like lithium, cobalt, and REEs to stabilise supply during disruptions. E.g. Japan’s JOGMEC stockpiles REE to protect from geopolitical shocks.

About Royalty Rate

Definition: A royalty is the statutory payment that mining companies make to the government, the sovereign owner of mineral resources, in exchange for the right to extract and sell minerals.
Purpose: To ensure states receive equitable value from mineral extraction while maintaining public ownership, accountability, and sustainable resource management.
Legal Basis: Royalty is governed by the Second Schedule of the Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act), which regulates mineral concessions and licensing.
Collection: Royalty collected by state governments from leaseholders.
Types of Royalty Systems:
- Unit-based (per tonne): Fixed fee per quantity extracted.
- Ad valorem: % of sale value; used for most critical minerals.
- Profit-based: Share of miner’s net earnings.

{GS2 – Governance} MGNREGS Work Demand Falls Across States

Context (TH): Report by Lib Tech (a consortium of academics & activists) showed a fall in the number of person-days granted under the Mahatma Gandhi National Rural Employment Guarantee Scheme.

Person–days: Total number of workdays performed by a registered worker under MGNREGS in a year.

More About the Report

Overview: Lib Tech analysed data from 20 states most active in MGNREGS for April-September 2025, and compared it with corresponding periods in 2023-24 and 2024-25.
Findings: 132.5 crore person days were generated from April-Sept 2025 – a 11.7% fall from 150 crore person days recorded for the same period in FY 24-25, and 25.6% fall from 178 crore in FY 23-24.
- 11 out of the 20 states assessed reported a decline.
Top/Worst performers: Uttarakhand (-54.3%) and Telangana (-47.6%) recorded the steepest declines, while Jharkhand (+56.4%) and Madhya Pradesh (+30.5%) emerged as outliers.

Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS)

Legal basis: Launched in 2006 under the Mahatma Gandhi National Rural Employment Guarantee Act 2005 (MGNREGA), guaranteeing 100 days of unskilled manual work per rural household.
Nodal Ministry: Ministry of Rural Development is monitoring the scheme with state governments.
Scale: Covers all rural districts (except those with 100% urban areas) and engages 8.32 crore workers (FY 23-24) annually. Wages are linked to Consumer Price Index-Agricultural Labourers (CPI-AL).
Asset Creation: Focuses on water conservation, soil productivity, rural connectivity, & drought-proofing works with mandated social audits.

Read More About MGNREGA

{GS3 – Infra} Railways’ New Bulk Cement Transport Policy

Context (IE): Indian Railways has launched a new policy to promote bulk cement transport, introducing a uniform freight rate to cut logistics costs and support affordable construction for consumers.

Key Features of the New Policy

Uniform Freight Rate: A flat ₹0.90/tonne/km replaces earlier slab-based rates, removing distance-band anomalies and reducing overall freight cost.
Bulk Cement Movement: Supports shift from bagged to bulk cement (50% share in major metros).
Special Wagons & Containers: Railways and Container Corporation of India (CONCOR) are introducing specialised pollution-free bulk cement containers and wagons.
Railway Land Use & Concessions: Railways to provide land and concessions to companies to develop hoppers, silos, and bagging plants.

Significance of the New Policy

Higher Rail Share: Railways moved 87 MT of cement in FY25, of which only 7 MT was bulk; the new policy targets 30% bulk share in 5 years (vs ~10% now).
Lower Construction Costs: Flat rate of ₹0.90/tonne/km can cut freight cost by up to 30%, reducing cement price in high-demand markets.
Cement Supply Chains: Bulk cement already constitutes 18–20% of total cement consumption, and specialised containers reduce dust pollution along handling points by over 90% (CONCOR estimate).
Infrastructure & Housing Demand: Cement demand expected to grow at 7–8% annually, driven by housing and infra; improved logistics will support India’s ~550 MTPA cement capacity utilisation.
Reduced Dependence on Road Transport: Road transport currently carries ~83% of cement, but rail is 20–25% cheaper per tonne-km and far safer for heavy cargo.

Cement Sector in India

India is the 2^nd-largest cement producer globally.
60–65% of cement consumption occurs within 300 km of plants.
Bulk cement share is 18–20% of total consumption; only ~10% currently moves by rail. Railways’ total freight in FY25: 1600+ MT, with coal ~50% share.
Cement manufacturing accounts for 7–8% of India’s industrial CO₂ emissions.
Despite large players like UltraTech, Shree Cement, and ACC, over 150+ mini and regional cement plants contribute to a scattered supply system.

{GS3 – Agri} Record Foodgrain Output 2024–25 **

Context (PIB | ET): India has achieved its highest-ever foodgrain production in 2024–25, marking nearly 8% growth over last year.

Key Highlights of the Record Output

Total foodgrain production touched 357.73 MT, rising by 106 MT compared to 2015–16, reflecting the strongest growth phase in a decade.
Rice output reached a record 1501.84 lakh tonnes, which is 123.59 lakh tonnes higher than in 2023–24.
Wheat production climbed to 1179.45 lakh tonnes, marking a 46.53 lakh tonne increase over last year.
Pulse production improved to 256.83 lakh tonnes, driven by higher chickpea (111.14 lakh tonnes) and moong (42.44 lakh tonnes).
Coarse cereals recorded 639.21 lakh tonnes, with maize alone climbing to 434.09 lakh tonnes.
Oilseed output touched a record 429.89 lakh tonnes, supported by bumper soybean (152.68 lakh tonnes) and groundnut (119.42 lakh tonnes) harvests.
Sugarcane production reached 4546.11 lakh tonnes, while cotton and jute stood at 297.24 lakh bales and 88.02 lakh bales, respectively.

Drivers Behind the Record Production

MSP-backed expansion: Steady MSP procurement increased farmer confidence and acreage in pulses and cereals. E.g. MSP procurement drive for tur–urad under the PM-AASHA framework.
Mission-mode productivity gains: Targeted crop missions boosted yields in oilseeds and pulses. E.g. “Self-Reliance in Pulses Mission” improving chana & moong output.
Improved technology adoption: Use of hybrids, biofertilisers, and drone-based nutrient spraying enhanced per-acre productivity. E.g. Sub-Mission on Seeds & Planting Material.
Better water management: Higher micro-irrigation coverage and watershed projects stabilised yields. E.g. PMKSY – Per Drop More Crop.
Diversification: larger acreage under soybean, mustard, maize, and sugarcane supported total output. E.g. National Food Security Mission (NFSM) expansion.
Favourable monsoon distribution: Improved rainfall in kharif regions supported paddy, pulses, and oilseed performance. E.g., IMD-reported normal rainfall pockets in 2024.

Significance of the Record Harvest

Strengthens food security: India now maintains one of the world’s largest grain buffers, with FCI + state stocks routinely crossing 500+ lakh tonnes.
Reduces import dependence: Higher oilseed and pulse output eases India’s ₹1–1.3 lakh crore edible oil import bill and ₹10,000+ crore pulse import bill.
Boosts farmer incomes: Larger procurement of pulses and coarse cereals directly benefits millions of farmers; chana procurement alone rose by 20–25% in 2024–25.
Controls inflation: Increased supply moderates retail prices of cereals and pulses, helping regulate CPI Food inflation, which contributes ~45% to CPI.
Enhances export potential: Surplus in rice, maize, and oilseeds strengthens India’s Agri-export capacity; Agri exports grew 6.7% in H1 FY25.
Enables climate resilience: Higher diversification into millets and oilseeds strengthens adaptation to extreme weather; the millet area expanded by >5% in 2024.

{GS3 – Envi} India to Submit NDC and Biennial Transparency Report by December 2025 **

Context (TH): India announced at COP30 in Belém that it will submit its updated Nationally Determined Contribution (NDC) for 2035 and the first Biennial Transparency Report (BTR) by December 2025.

Global Context: Countries are required to submit their first BTRs in 2024 and their third round of NDCs (for 2031-2035) in 2025.
No Sanctions: There is no punitive penalty for delayed NDC or BTR submissions under the Paris Agreement; the compliance mechanism is facilitative and non-adversarial.

Nationally Determined Contribution (NDC)

Nationally Determined Contributions (NDCs) are non-binding national climate mitigation goals submitted by each Party to the UNFCCC under the Paris Agreement.
Legal Mandate: Article 4 of the Paris Agreement requires Parties to prepare, communicate, and maintain successive NDCs and adopt domestic measures to achieve them.
Five-Year Cycle: New and progressively ambitious NDCs must be submitted every five years, in sync with the Global Stocktake cycle.
- Submission Rounds: The first NDC cycle (targets up to 2025 or 2030) was submitted in 2015-16; the second NDC (2030) was due in 2020; the third round will set targets up to 2035.

India’s Nationally Determined Contribution

Last Submission: India submitted its updated 2030 NDC to the UNFCCC in August 2022, formalising the enhanced targets announced at COP26.
Nodal Ministry: The MoEFCC is responsible for preparing the NDCs, but the Union Cabinet provides final approval.

NDC Target (Updated August 2022)	Performance & Status
Reduce emissions intensity of GDP by 45% by 2030 from 2005 levels.	On track. India achieved a 36% reduction by 2020.
Achieve 50% cumulative installed electric power capacity from non-fossil sources by 2030.	Achieved early. Non-fossil capacity crossed 50% by June 2025.
Create an additional 2.5-3 billion tonnes CO₂-equivalent carbon sink through forest and tree cover by 2030.	On track. India created a 2.29 billion-tonne CO₂-eq sink between 2005-2021.

Read More> Nationally Determined Contributions

About Biennial Transparency Report (BTR)

The Biennial Transparency Report (BTR) is a standardised and mandatory report that every Party to the Paris Agreement must submit every two years detailing national climate actions.
Flexibility Clause: Least Developed Countries (LDCs) and Small Island Developing States (SIDS) are exempt from the biennial requirement and may submit BTRs at their discretion.
Updated Framework: It is part of the Enhanced Transparency Framework (ETF) and replaces the earlier Biennial Reports (BRs) and Biennial Update Reports (BURs) under the UNFCCC framework.
Objective: Its purpose is to build mutual trust and confidence among Parties and to track the progress of each country’s climate actions and support provided or received.
GST Linkage: The information reported in BTRs serves as a key input for the Global Stocktake (GST).

Components of the Biennial Transparency Report (BTR)
Mandatory Components	Optional Components
National Greenhouse Gas (GHG) Inventory Report (NIR)	Information on Loss and Damage
National Inventory Arrangements	Information on Adaptation Actions
Information on Flexibility (for developing countries)	Information on Adaptation Metrics
Tracking Progress of NDC Implementation	Information on Mitigation Co-benefits
Structured Summary of NDC Progress	Capacity-Building Support Needed/Received
Information on Climate Finance Provided (for Developed Parties)	Technology Support Needed/Received
Information on Climate Finance Mobilised (for Developed Parties)	Voluntary Information under Article 13.8
Information on Support Provided (Technology/Capacity)	Additional Mitigation Policies and Measures
Information on Support Needed and Received	Any Other Voluntary Information
Information on Technical Expert Review (TER)
Areas for Improvement (post-TER)

{GS3 – Envi} Western Ghats as a Natural Site of ‘Significant Concern’

Context (IE): The Western Ghats were identified as a natural site of “significant concern” in the 2025 World Heritage Outlook report by the International Union for Conservation of Nature (IUCN).

About Western Ghats

The Western Ghats constitute a 1,600 km-long continuous mountain chain running parallel to India’s western coastline.
The range spans six states—Gujarat, Maharashtra, Goa, Karnataka, Kerala, and Tamil Nadu.
Global Status: It is one of the 36 global biodiversity hotspots and one of India’s four; it was designated a UNESCO World Heritage Site (WHS) in 2012.
Biodiversity: The region shows high species diversity and endemism. It supports many threatened species like Nilgiri Tahr, Lion‑tailed Macaque, Tiger, and Asian Elephant.

Major Threats Highlighted in the Report

Climate Change: Altered rainfall patterns, rising temperatures, and recurring disasters disrupt ecosystems, compelling endemic species to migrate into shrinking habitats.
Fragmentation: Expanding infrastructure like roads, railways, and dams fragments landscapes, obstructing movement and gene flow for animals like elephants and tigers.
Monoculture: Replacing native forests with plantations such as tea, coffee, rubber, and areca reduces biodiversity, accelerates soil degradation, and diminishes ecosystem resilience.
Invasive Species: Fast‑growing non‑native species such as acacia and eucalyptus displace indigenous flora, alter nutrient cycles, and weaken natural forest regeneration.
Tourism Pressure: Rapidly expanding tourism and pilgrimage activities generate waste, cause pollution, and disturb sensitive wildlife habitats.
Governance Gaps: The Western Ghats have 39 protected areas across six states, which complicates management and leaves ecological corridors vulnerable.

Government Initiatives for Protecting the Western Ghats

Regulatory Laws: The Forest (Conservation) Act 1980, and Wildlife (Protection) Act 1972 regulate the diversion of forest land and provide statutory protection for wildlife habitats.
Protected Areas: Includes two biosphere reserves, 13 national parks—such as Silent Valley and Periyar—and several wildlife sanctuaries protecting vital species and ecosystems.
UNESCO Status: The 2012 World Heritage inscription mandates site‑specific conservation plans and highlights the region’s ecological priorities.
ESA Proposals: The MoEFCC proposed Ecologically Sensitive Area (ESA) notifications for specific areas in the region to regulate mining, quarrying, and thermal power activities.
- It is based on the Gadgil (2011) and Kasturirangan (2013) committee reports,
CAMPA Funding: Kerala and Tamil Nadu utilise Compensatory Afforestation Management & Planning Authority (CAMPA) funds for shola–grassland restoration and other conservation activities.

Read More > IUCN World Heritage Outlook Report

{GS3 – Envi} CAFE-III Norms and Emerging Small–Big Car Efficiency Divide

Context (IE): India’s proposed CAFE-III fuel-efficiency norms (FY28–FY32) use a weight-based formula that tightens CO₂ targets over time.

This has created a divide in the auto industry, as the rules impose unequal efficiency improvement burdens on small cars versus heavier SUVs.

How the Norms Negatively Impact Small Cars?

Steep Targets: Lighter cars must improve fuel efficiency far more than heavier vehicles; a 740-kg car must become ~48% more efficient, increasing compliance pressure.
Tech Constraints: Small cars cannot easily integrate expensive hybrid or electric components due to tight margins and compact design, risking price hikes for first-time buyers.
Affordability Hit: Adding costly technologies to meet stricter targets can make budget cars unaffordable, shrinking the mass-market segment that drives India’s car ownership.

How the Norms Positively Impact Bigger Cars?

Lower Burden: A 2,500-kg SUV needs only ~25% improvement, making compliance easier despite emitting more CO₂ in absolute terms.
Tech Ready: Bigger vehicles have more space and higher price bands, allowing easier adoption of hybrids, strong hybrids, and EV-ready powertrains.
Competitive Edge: Companies with SUV-heavy lineups can meet norms at a lower cost and strengthen their position in the domestic market.

Key Issues Within the New CAFE-III Norms

“Brick in the Boot” Concern: Manufacturers may be incentivised to increase vehicle weight to qualify for easier targets. E.g. heavier cars face only ~25% improvement vs 48% for light cars.)
Technology Bias: Norms favour vehicles that can integrate hybrid/EV systems more easily in mid-sized SUVs, far harder in compact hatchbacks with low margins.
No Global Alignment: Unlike the EU, US, Japan or South Korea, India’s norms do not relax targets for lighter vehicles, creating a competitive imbalance.

Way Forward

EV Alignment: Align CAFE norms with India’s EV transition plan so manufacturers can optimally plan hybrid-to-EV pathways.
Category Targets: Define separate emission targets for small, compact, and SUV categories to ensure fair compliance. E.g. EU uses segment-based CO₂ norms that relax limits for lighter cars.
Green Incentives: Offer fiscal incentives to support hybrid/powertrain upgrades in budget cars without raising prices sharply. E.g. Japan provides tax rebates for light cars with efficiency upgrades.
Light-Weighting Push: Promote high-strength steel and aluminium to improve fuel efficiency while maintaining safety. E.g. EU lightweighting mandates reduced average fleet weight over time.

Corporate Average Fuel Efficiency (CAFE)

CAFE specifies average fuel efficiency targets for all passenger vehicles sold by a manufacturer.
The norms aim to decrease India’s oil imports and lower carbon emissions while promoting the use of electric, hybrid, and flex-fuel vehicles.
Applicable to M1 passenger cars, which have up to nine seats and weigh no more than 3,500 Kg.
The Bureau of Energy Efficiency (BEE) enforces compliance under the Energy Conservation Act, 2001. It was first notified in 2017.
Manufacturers can earn, trade, or carry forward CAFE credits to meet emission targets.
CAFE-III Norms:
- Applies from FY28 to FY32, replacing the current CAFE-II norms.
- Uses the new formula 0.002 × (W – 1170) + c, where the constant c decreases every year (FY28: 3.7264 → FY32: 3.0139), making targets tighter.

{Prelims – Defence} Man-Portable Autonomous Underwater Vehicles

Context (DD | PIB): Defence Research and Development Organisation has developed a new generation of Man-portable Autonomous Underwater Vehicles (MP-AUVs) for mine detection operations.

Man-portable: Designed light and compact enough for personnel to carry, deploy, and recover without specialised vehicles or heavy equipment.
Autonomous: Navigates, detects, & classifies underwater threats on its own using on-board sensors and algorithms, without continuous human control.

About New-Gen MP-AUVs

Platform type: Lightweight, man-portable autonomous underwater vehicles for mine-countermeasure (MCM) missions in littoral and harbour zones.
Sensors: Equipped with Side Scan Sonar, underwater electro-optical cameras, and on-board deep-learning classifying algorithms for real-time mine detection and identification.
Autonomy: Uses autonomous navigation, obstacle avoidance, and mission-planning algorithms that minimise operator intervention and shorten mission duration.
Networking: Features underwater acoustic communication enabling multi-AUV coordination, data sharing, and collaborative mapping during MCM operations.
Operational value: Offers rapid deployment, low logistical footprint, and reduced diver risk, aligning with global trends in smart, unmanned naval mine-warfare systems.

Sonar: Stands for Sound Navigation and Ranging; Underwater sensing technique that uses sound waves to map the seabed & detect objects, effective in low-visibility environments where light cannot penetrate.
Electro-Optical Cameras: Imaging systems that capture high-resolution visuals in visible spectrum.

About Underwater Mining

Overview: Use of submerged explosive devices placed on seabed or in water columns to deny access, damage ships, or block strategic routes.
Deployment scale: Mines can be laid by submarines, aircraft, ships, or unmanned systems; over 30 naval powers maintain active mining capabilities.
Security threat: Adversaries can covertly lay mines in littoral and harbour zone, making continuous MCM operations essential to keep shipping lanes and naval bases secure.

{Prelims – In News} YUVA AI for ALL *

Context (PIB): Ministry of Electronics & Information Technology (MeitY) launched YUVA AI for ALL under IndiaAI Mission, a free AI course to provide basic AI literacy to all citizens, especially the youth.

Key Features of YUVA AI for ALL

Goal: MeitY aims to empower one crore citizens with foundational AI skills, help bridge the digital divide, promote ethical AI adoption & make India’s workforce future-ready.
Cost & Accessibility: Available for free on leading learning platforms like FutureSkills Prime, iGOT Karmayogi, & so on.
Curriculum: 4.5-hour course divided into 6 modules that cover the basics, applications, ethics & future of Artificial Intelligence.
Content: Includes real-world AI use cases from India, practical applications of generative AI tools & new opportunities ahead.
Certification: Upon course completion, an official Government of India certificate is awarded.
Partners: Organizations, schools & universities can partner with IndiaAI to make avail the course.