ORN Day 11
ORN Day 11
                                                                                                                    ⏫
                                                              In India, SEBI regulates CRA.
interaction absent for 40 yrs; 60% stake of Piraeus Port
                                                              Challenge to India’s credit rating- impact of CC,            of
held by COSCO Shipping coy (chinese coy); low trade &
                                                              ⏫                                   ⏫
                                                              temp. volatility by 2030- delay in green investment→ later
investment with Greece.
                                                                  cost of borrowing for nation→            debt.
BRICS
                                                              Issues of sovereign rating of India: Flawed
BRICS Summit: Argentina, Ethiopia, Egypt, Iran, Saudi &
                                                              “issuer-pays” model-leading to CoI; Uncaptured
UAE included; idea of trading in local currency mooted;
                                                              fundamentals of India- no history of sovereign default, high
push for UN reforms.
                                                              forex reserve, low ext. Debt to GDP ratio (20%), high
Significance: aligning geopolitical & geo-ecoc
                                                              FDI/FPI; bias of CRA towards Developed countries; global
agenda-major global oil producer included; enhanced infra
                                                              regulatory void in CRAs.
linkages like INSTC; enhancing African growth; boost to
                                                              Incremental Cash Reserve Ratio (ICRR)
BRICS & global peace- 4 major middle east nation
                                                              Temporary measure dealing with excess liquidity.
included; reform push in west dominated Multilateralism.
                                                              Similar to CRR, RBI doesn’t pay interest to bank on it.
Challenges: expansion= dilute original purpose of
                                                                               ⏫
                                                              10% ICRR applied by RBI.
BRICS+Chinese maneuver to China’s vision of Int’l order;                            ed
                                                              Need: Manage             liquidity- high govt. Spending,
hinders India’s balancing interest-BRICS, SCO, QUAD;
                                                              sustained foreign inflows, banned ₹2000 notes; contain
tension b/w countries fail the group-Saudi+Iran (regional
                                                              inflation; build resilient banks.
dominance), Egypt+Ethiopia (Nile river); difficult
                                                              Other Liquidity Mgmt tools- SDF-deposit w/o G-Sec;
Intra-BRICS trade-Iran, Russia off SWIFT sys.; push to
                                                              LAF-repo & reverse repo; Open Market
Minilateralism-hinders collective action against threats to
                                                              Operation-sale/purchase of bond by RBI; Ways & Means
humanity.
                                                              Advances (WMA)- temporary loan facility to govt.
Way Forward: Strategically balance Western power;
                                                              Startups in India
check Chinese dominance-engage Russia & Iran; engage
                                                              Startup-defined by DPIIT under Startup India Scheme: age
with Global South via BRICS; push Indian Payment
                                                              ≤10 yr, turnover ≤ ₹100 Cr.
System in intra-BRICS trade; define membership criteria.
                                                              India-3rd largest Startup ecosystem, 108 unicorns
Malabar Exercise
                                                              Govt. Initiatives: Startup India; Innovation for Defence
Global concern against China- Chinese domination via its
                                                              Excellence (iDEX), MeITY Startup Hub (MSH)
land and maritime disputes; questionable intent OBOR
                                                              Impact of Startups: employment(47% recognised startup
Programme; Debt Trap Diplomacy.
                                                                                                              ⏫
                                                              4/m tier-2,3 cities); women empowerment (47%
Participants: India, USA, Japan, Australia.
                                                              recognised startup have ≥1 women director);             in
Significance
                                                                                 ⏫
                                                              R&D-Deep Tech Startups (focus on S&T soln instead of
Development of strong maritime order→ sea-control
                                                              Business model);           inclusivity-fintech reaching remote
(aircraft carriers/surface ships) and sea-denial
                                                              areas; attract investment 4/m MNCs.
(submarines, underwater drones, etc.) capabilities; Control
                                                              Challenges of Startup ecosystem in India: 5.18%
over navigational chokepoints; Strengthening India’s
                                                              startup in Agri-low focus; low IPR (11% startup’s
SAGAR policy.
                                                              application=patent); Flipping-registering in foreign
Global Value Chain (GVC)
                                                              country-better IP protection, access to overseas debt etc;
GVC=production network distributed b/w firms & countries
                                                              low utilisation of I-T exemption (1%) under Sec. 80-IAC;
to optimise cost.
                                                              Funding issues- fund 4/m angel investor only after proof of
Int’l trade Vs. GVC: Int’l trade involves 2 countries while
                                                              concept has been provided.
GVC trade cross borders multiple times.
                                                                           ⏫
                                                              CSR Spending in India
Europe is most regionally integrated (regional linkage= 4*
                                                              Data: 150%         since FY15; Health (29.5%) & Edun
global linkages); South Asia amongst least regionally
                                                              (24.5%); spending on environment doubled; ≤0.1% toward
              ⏫
integrated.
                                                              tech. incubators.
Significance:       ecoc growth; specialised industry in
                                                              Issues: lack proper enforcement; focus to avoid regulatory
               ⏫
countries; economies of scale in niche area; opportunity
                                                              liability; Geographical bias- Maharashtra, KN receive more
for tech transfer     ; distributed environment impact.
                                                              CSR,KPMG report; low spending (52/100 largest coy
Challenges: Risk of unequal distribution of gains 4/m
                                                              failed to spend 2%); lack of community participation in
                                       ⏫
GVC-countries might get locked in low-value-added
                                                              CSR activities b/c of unawareness; no availability of well
activity; Risk of ext. Shock to local eco- ed dependency &
                                                              organised NGOs.
vulnerability to disruption; spill over of local inflation;
                                                              Way Forward: bottom up approach (ex-cottage industry);
challenge to MSME- with entry of MNCs.
                                                              priotise social welfare (equitable profit distribution to
                                                ⏫
Way Forward: Building trust in GVC; encourage
                                                              tribals); diversify CSR spending.
interoperability b/w nations; map vulnerabilities;
                                                              SHG
investment in GVC; Integrate MSME in GVCs.
                                                              SHG success stories: Kudumbashree, KL; Jeevika,
Panama Canal
                                                              Bihar; Mahila Arthik Vikas Mahamandal, MH; Looms of
Shipping disrupted b/c of Drought.
                                                              Ladakh.
Panama is Isthmus (like Isthmus of Suez) connecting
                                                              Lakhpati Didi Schemes: aims for ₹1 lac annual income of
Atlantic & Pacific Ocean.
                                                              women in SHG by skill trg-plumbing, LED bulb making etc.
Isthmus= narrow strip of land connecting 2 large
                                                              by Rural Ministry.
landmasses.
                                                                         ⏫
                                                              Significance of SHG:entrepreneurship culture; finance to
Sulina Channel
                                                              members;        female labor participation; build social
Sulina Channel- distributary of Danube river, connects
                                                              capital; enhanced women posn -included in family decision
major Ukrainian ports on the river to Black Sea.
                                                              making; gender equality (goal 5 of SDG); mask mfg during
                                                              COVID; asserting rights by Pressure Group.
Challenges of SHG:low fund availability- low contribution        Govt. Initiative:Sagarmanthan Dashboard- project
of Pvt. bank to finance SHG; non-coherence b/w                   monitoring; Sagar-Setu App- real time traffic mgmt; Nat’l
members; Patriarchy-women used as face; poor marketing           Logistical Policy (NLP); Sagar Unnati- measuring
of their product; lack of core biz values.                       performance of Major Ports; 101 road/90 rail project under
Govt. initiatives: Startup Village Entrepreneurship              Sagarmala Project;
Program (SVEP)-aid SHG to set non-farm enterprise;               Recommendation: Integrated port development planning;
SHG-Bank Linkage Program.                                        Port modernisation & mechanisation; PPP investment for
Direct Benefit Transfer (DBT)                                    Mega ports, transshipment hub; port-led industrialization.
₹2.7 lac Cr. saved by DBT-MoF.                                   6th Census report on Minor Irrigation Scheme
Scope: Cash transfer, In-kind transfer, Others-govt. to          Classification of Irrigation Projects- based on Cultivable
non-govt. functionary.                                           Command Area (CCA, area fit for cultivation physically
Nodal Agency- DBT Mission; disbursement via Public               irrigated)- Major (CCA> 10,000 ha), Medium (2,000 ha),
Finance Mgmt Sys (PFMS); Adhaar not mandatory for                Minor (<2,000 ha).
DBT; Enablers of DBT- JAM Trinity, Biz Correspondents,           Offshore Areas Mineral (Development & Regulation)
Payment Banks, Mobile Money.                                     Amendment Bill, 2023
          ⏬
Significance: expedited fund transfer (PMAY, LPG Pahal           For development & regulation of Offshore Mineral
               ed
Scheme);          corruption; encourage ppl to open bank         Resources (territorial waters, continental shelf, EEZ &
a/c-finacial inclusion; better monitoring by govt.               other maritime zones).
Challenges of DBT: poor beneficiary identification- ex,          Offshore minerals regulated by GoI.
complex criteria under PM-KISAN-fund distributed to              Offshore Minerals: EEZ (2 mn km2); Lime mud (Guj &
ineligible; Operational issue- biometrics-Adhaar mismatch,       Mah),Construction-Grade sand (Kerala), Phosphorite
poor skilled data entry operator; low financial                  (Eastern and Western continental Margins), Polymetallic
inclusion-tribals don’t have bank a/c; digital divide-2.7%       Nodules (PMN) (A&N Is, Lakshadweep).
computer access & 8.9% internet access amongst poorest           Changes: Composite licensing for exploration &
20% household-Oxfam; poor GR; privacy issues.                    production (earlier different licenses); prodn lease of 50yrs
Bharat New Car Assessment Program (NCAP)                         (earlier 30yrs); competitive bidding of operating rights;
Similar to Global NCAP- by ‘Towards Zero Foundation’             mining lease in reserved area to govt./govt. Coy; mining of
Automotive Research Association of India (ARAI) will test        atomic material only to govt. Coy; creation of Offshore
Bharat NCAP.                                                     Area Mineral Trust-to explore in offshore area.
Voluntary test, though authority can select particular           Significance:Utilize offshore wealth- unutilized b/c of lack
                                                        ⏫
variant to test.                                                 of transparent legal framework to allocate operating
Significance: aid consumer making informed decision;             right;encourage pvt. Participation- auction; On the lines of
                                   ⏬
tech adoption-air bags, parking sensors; cost saving for         Mines and Minerals (Development and Regulation) Act,
manufacturer; export worthiness;        healthcare &             1957-for onshore mineral wealth.
insurance cost.                                                  Concerns:Environmental Impact- marine ecosystem,
Udan Scheme                                                      PMN mining -threat to seabed specie; big pvt. Player
About: Regional Connectivity Scheme (RCS)-enhance                threat livelihood of ppl like fishermen; expensive tech for
regional air connectivity; MoCA; Implementing                    offshore mining; operating right only to govt. In reserved
agency-AAI.                                                      area.
Features-concessions to airlines by govt.; Viability Gap         Medical Tourism
Fund; Regional Air Connectivity Fund- by a levy on               Visa for foreigners for treatment under AYUSH systems of
passenger.                                                       medicine allowed.
Urban Infrastructure Development Fund (UIDF)                     Significance:India attracts Medical Value Travellers; long
On lines of RIDF. Funded by use of PSL shortfall.                waiting period in developed countries; Improved regional
Cover Tier 2/3 Cities.                                           connectivity; demand 4/m ageing population countries; low
Aim: Loan by GoI to State/UT govt. to finance their infra        cost high quality treatment in India.
projects (sewerage and solid waste management, water             Challenges: competition 4/m Malaysia, Thailand etc.; less
supply & sanitation).                                            Joint Commission Int’l (JCI) accredited hospital (US based
Infra not covered: Housing, power and telecom, rolling           non profit int’l accreditation org.); overseas medical care
stock (buses and trams), urban transport, health, &              uncovered by insurer; exploitation by Medical tourism
education institutions.                                          middleman; lack of uniform fee structure for foreigner.
Principal loan repaid in7 yrs (including 2 yr moratorium),       Pharmacy (Amendment) Act, 2023
Interest Rate= Bank Rate-1.5                                     Act extended to J&K.
Other Infa scheme for Tier 2/3 Cities-SMART Cities               Indian Pharmacy sector: 3rd largest by volume; dominate
Mission, 2015; AMRUT Mission, 2015; HRIDAY, 2015                 in- Generic drugs, Over-the-Counter (OTC) medicines,
BharatNet                                                        low-cost vaccines.
About: CS Scheme to provide broadband connectivity to            Challenges: dependence on China for API, bulk drugs;
Gram Panchayats; funded by Universal Service Obligation          expensive domestic API (20% expensive than China);
Fund (USOF); Implementer- Bharat Broadband Network.              poor R&D; fake drugs (25% of domestic market,
Major Ports in India                                             ASSOCHAM); poor IPR protection.
Ports- Major (#12, under centre), Minor (concurrent list)        Govt. Initiatives:PLI for Pharma Sector-KSM/API/Drug
Legislation for Major Ports- Major Port Authorities              Intermediaries; Bulk Drugs Park; 100% FDI in medical
Act,2021; Indian Ports Act                                       devices; Nat’l Medical Devices Promotion Council- for
                        ⏫
Data: Turnaround time (52 hrs, FY24); Container traffic          MedTech industry.
(796 mn tonnes); 10%          in Cargo handling; Operating       Way forward: diversify export market to China, Japan
Ratio (₹48, i.e. ₹48 is spent to earn ₹100).                     etc.; create independent Pharma Ministry; edun insti for
Facts: Oldest Port= Shyama Prasad Mukherjee/Kolkata              R&D & attract global talent.
                                                                                                     ⏫
Port (only riverine port); Largest Natural port= Mumbai          Railway Finances
Port; Only port registered as coy= Kamarajar Port.               Operating Ratio=107.39% in FY22;           in Gross Traffic
Challenges:financial constraint (₹13,000 Cr pension              Receipts & CapEx;Cross-subsidised passenger fares by
liability of Mumbai Port); non-opitimised capacity utilisation   profits of freight ops.
(49%); lack of transhipment hubs (25% Indian                     Inflation Targeting
transhipment cargo handled in India); lack of multimodal         Retail inflation (CPI) =7.4% despite tighter monetary
transport infra; Lack of Mega Ports (5 Major, 2                  policy.
Non-Major≥100 MTPA); Rigid tariffs by govt. Ports.
RBI’s inability to curb inflation: short-term supply-demand     Mobile User Protection
mismatch; White Fly disease & erratic monsoon; ext.             Sanchar Saathi’s Portal: to find mobile connections
Supply shock due to geopolitical uncertainty.                   registered in their name, & report stolen/ lost mobile
Goldilock Scenario                                              handsets & block them etc.
In eco, refers to an ideal situation where there is steady      Acoustic Side Channel Attack (ASCA)
growth. Growth is neither too high (to trigger inflation) nor   Cyber attack where sound of keystrokes of keyboard used
too low for slowdown.                                           to decode passwords using AI.
Features: low-unemployment, inflation, interest rate;           Spike Non-Line of Sight (NLOS) Anti Tank Guided
steady growth rate.                                             Missile
UDGAM Portal                                                    6th gen missile capable of destroying enemy targets
By RBI to enable bank customers to find their unclaimed         hidden behind mountains.
deposits across multiple banks in one place.                    Swathi Weapon Locating Radar-Mountain (WLR-M)
Fair & Remunerative Price                                       A radar which can locate hostile artillery- mortar, rocket
Minm price to sugarcane farmers by mill owners.                 launchers etc. in mountains.
Recommended by Commission on Agril Costs & Prices.              Astra Missile
Issues of FRP: mills mandated to pay FRP within 14 days         Beyond Visual Range Air-to-Air missile, by DRDO for
else 15% pa interest rate charged; mill owner have no say       Tejas LCA.
in FRP; Sugar Commissioner empowered to attach mill             Candy Bombs
property; Cooperative mills pay more than FRP due to            3-D printed bombs to tackle ammunition shortage by
State Advised Prices (SAP).                                     Ukraine.
Regulation of Online Ads
Amendment of Allocation of Biz (AoB) rules, 1961: Ministry
of I&B as administrative authority for regulation of online     ENVIRONMENT
advertisements.                                                 Global Biodiversity Framework Fund (GBFF)
Amrit Bharat Station Scheme (ABSS)                              GBFF aims to finance Kunming-Montreal Global
For redevelopment of railway station.                           Biodiversity Framework (KMGBF).
Initiatives for railway modernisation: Vande Bharat Trains;     KMGBF adopted in COP15 (Montreal, 2022) replacing
Electronic interlocking system; KAVACH- train collision         Aichi biodiversity targets (expired in 2020).
avoidance; Dedicated Freight Corridors; Net Zero by 2030        It has been ratified @ 7th Assembly of GEF.
Stalled Housing Project                                         Unregulated Tourism in Indian Himalayan Region (IHR)
4.12 lakh housing units (44% in NCR) are stalled; lack of       Vulnerabilities of IHR: Geophysical: tectonically active,
financial viability-main cause.                                 unconsolidated deposits, under-cutting by river currents in
Way Forward: mandatory developer’s registration with            Alaknanda Valley etc, hill washing & percolation causing
RERA; SWAMIH Fund-financing stalled projects                    land subsidence (Joshimath); deforestation (lead to
RERA, 2016: RERA; protection against builders fraud;            avalanches, land slide); obstructing river flow (Tehri dam);
registration of project with State RERA.                        Rising tourism; waste generation; construction activities
Insurance Surety Bonds                                          replacing eco-friendly aesthetic infra; seasonal tourism.
3 party contract by which one party (the surety)                Shimla Case Study: Indira Gandhi Medical College-
guarantees the performance of a second party (the               constructed over substantial water springs and channels;
principal) to a third party (the obligee).                      Shimla Development Plan subjudice in SC.
Replaced Bank Guarantees.                                       Way Forward: implement Solid/Plastic Waste Mgmt
Rail Sea Rail Transportation                                    Rules, 2016; levy Green Cess.
multimodal transportation system that transports the coal.      Water Trading
PUSHP Portal
                                                                                                     ⏫
                                                                Treating water as commodity instead of public good.
By Ministry of Power to ensure greater availability of          Need of treated wastewater (WW): ing urbanisation
power during peak demand season.                                (40% WW treated); unequal water distribution (80% rain in
Namoh 108 Lotus                                                 4 month); WW- major water pollution source (80%
Discovered in Manipur, only lotus variety in India to have      wastewater to enter water bodies, UN World Water Report
had its genome sequenced.                                       2023); tackle water scarcity (80% of people under water
Lotus Mission, part of horticulutre mission to promote          stress in Asia, UN World Water Report 2023); low water
Lotus Cultivation.                                              use efficiency in Indian agri.
One Week One Lab (OWOL) by CSIR: every lab to                   Challenges:Cost of treated WW>fresh water; storage of
showcase history & scientific achievements for a week.          WW- uncontinuous demand; plant maintenance, sewage
Bhagwa Pomegranate                                              network disruption challenges assured supply; Essentiality
High antioxidant content.                                       of water=fundamental human right.
APEDA facilitated export of 1st trial shipment to USA.          Way forward: form statutory Independent Regulatory
                                                                Authority (IRA)- determine water allocation & treated
                                                                wastewater price; fix reuse targets to municipal, industrial
SECURITY                                                        and agricultural sectors and issue tradeable Water Reuse
DRDO                                                            Certificates (WRCs); identify demand; Social Impact
DRDO=R&D Wing of MoD.                                           Assessment by IRAs.
Achievements: Agni & Prithvi (missile series); BrahMos;         Best Practice: S. Africa’s sys enables existing water
Tejas (LCA); Akash (air defence system); Pinaka                 rights to be reallocated.
(multi-barrel air launcher); Arjun Mk-1 (battle tank)           Govt. Initiatives: Crop Diversification Programme; MSP
Issues of DRDO:failed to complete mission mode project;         to Oilseeds; incentive by state to use Direct-Seeded Rice.
working on obsolete tech; bureaucratisation; monopoly           Coastal Aquaculture Authority (Amendment) Act, 2023
Inter-Services Organisation (Command, Control &                 Provision: defn of Coastal Aquaculture broadened-
Discipline) Bill, 2023                                          Shrimp farming, seaweed culture, cage culture etc;
Ex of Inter-Services Org. (ISO)-A&I Command, Space              decriminalised illegal coastal aquaculture activity; certain
Defence Agency, NDA.                                            aquaculture activities allowed in CRZ (hatcheries, nucleus
Provisions:Defined ISO-body of troops including JSC             breeding); prevent use of antibiotics in coastal
subjected to Air Force/Navy/Army Act; GoI can constitute        aquaculture; Additional role of Coastal Aquaculture
ISO & Joint Service Command (JSC); Empowers                     Authority- standards of i/p, effluent discharge, regulate
Commander-in-chief to take action against personnel of          units etc; Registration under Coastal Aquaculture Authority
other service in ISO with respective Act; Supritendence of      Act to be treated as valid permission under CRZ
GoI over ISO.                                                   Notification, 2019.
Significance: sustainable growth of coastal area; EoDB;         It is a methanotroph (methane-eating microorganism)
employment; enhance export.                                     bacterial strain.
Govt. Initiatives: MPEDA under MoCI; Blue Revolution;           Consumes methane & produces biomass.
PM Matsya Sampada Yojana                                        Fujiwhara Effect
Agroforestry                                                    When 2 hurricanes/cyclones spinning in same direction,
Combination of agriculture & forestry together.                 come close to each other, they begin ‘an intense dance
Components= crop+trees+livestock                                around their common center’.
Significance: Farm profitability (combined o/p of               If 2 cyclones are intense, they may merge to form a mega
agroforestry/unit area > o/p of any 1 component);               cyclone.
                            ⏬
Resource sustainability (pollution, managing soil erosion,
establish wildlife habitats);    i/p cost (mulch/leaf litter=
                                          ⏫
manure & bio-pesticides 4/m tree components);
Biodiversity conservation; Food security; ing Farmers’
income; Carbon sequestration
Challenges: lack of superior quality seed; trees interfere
with crop yield; low R&D; long tree gestation period; lack
of market for trees grown; less remunerative tree
cultivation.
Govt. Initiatives: Sub-Mission on Agroforestry (Har medh
par pedh) Scheme; Mission for Integrated development of
Horticulture (MIDH); Bamboo removed as tree-encourage
large scale cultivation; Nat’l Agroforestry Policy, 2015
Way Forward: R&D on agroforestry models; availability of
certified seed; improve market access for trees cultivated;
Social Impact assessment of agroforestry; extension
services to such farmers.
Compressed Bio-Gas (CBG)
SATAT Scheme: set up CBG Plants & make CBG
available as automotive fuel.
Challenges of SATAT: Multiple regulatory approvals
(MoPNG, MoEFCC, MoNRE); Discontinuation of Central
Financial Assistance (CFA); disinterest among Oil PSUs;
Unregulated bio-mass supply chain; inefficient solid waste
segregation; differential tax of CNG & CBG.
Other initiatives:Nat’l Biofuel Policy, 2018; GOBAR-Dhan
Scheme (effective mgmt of rural bio-degradable waste);
PSL for CBG projects etc.
FloodWatch Mobile Application
By Central Watch Commission (CWC).
To monitor real-time flood situation in country.
Plastic Overshoot Day (POD) Report
POD= day when the amount of plastic waste > capability
of waste management systems to effectively manage
waste.
Indian categorized as ‘The Waste Sponges’ (low
consumption yet a high level of plastic pollution).
Belém Declaration
Amazon Cooperation Treaty Org. (ACTO)=Bolivia, Brazil,
Colombia, Ecuador etc.
Members of ATCO signed it which calls for including
indigenous people in decision making.
Debt-for-Nature Swap
An agreement where creditor forgoes debtor’s debt in
exchange of debtor’s commitment to invest in environment
specific project.
Dhaulpur-Karauli TR (DKTR)
NTCA gave its approval for DKTR, notification by State
govt. remaining.
54th TR of India.
State of India’s Birds Report
By Wildlife Institute of India (WII) + Zoological Survey of
⏬
India (ZSI).
    in bird richness in India.
Endangered: Indian Skimmer & Black-bellied Tern (both
around Chambal, Ganga, Mahanadi, Yamuna, and Son).
Critically Endangered:Great Indian Bustard; Bengal
Florican; Baer’s Pochard (Wetlands of Assam & Manipur)
Report on Inclusive Conservation Initiative (ICI)
Report by GEF & Conservation Int’l (CI).
                                                        ⏬
Findings:Indigenous people owns 40% of protected area;
Indigenous land mgmt has equal or greeter impact to
deforestation than state mgmt.
ICI: to support Indigenous People & Local Community
(IPLC) to secure their rights; endorsed by GEF in 2022.
Methylomicrobium buryatense 5GB1C