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Read more about THE GIST of Editorial for UPSC Exams : 23 June 2020 (A case to exempt GST in Central Police Canteens (The Hindu))

THE GIST of Editorial for UPSC Exams : 23 June 2020 (A case to exempt GST in Central Police Canteens (The Hindu))

A case to exempt GST in Central Police Canteens (The Hindu)

Mains Paper 2:Governance
Prelims level: Central Armed Police Force
Mains level: Government policies and interventions for development in various sectors and issues arising out of their design and implementation

Context:

Union Home Minister Amit Shah announced in early May that only indigenous products will be sold in all Central Police Canteens run by the Central Armed Police Force (CAPF).
This is a welcome step in keeping with Prime Minister Narendra Modi’s directive to promote indigenously manufactured products, or swadeshi products, in India.
As almost all products sold in CAPF canteens are indigenous, detailed instructions.......................

Canteen sales:

There are over 119 master canteens functioning as depots and 1,700 canteens running across the country catering to over 50 lakh family members of 10 lakh serving personnel.
the Central Police Canteen boasts of sales of over ₹2,800 crore worth of products annually.
Baba Ramdev’s Patanjali has already made inroads into these canteens with various products and is expected to expand.
The Khadi and Village Industries Commission is also channelising the sale of its products like textiles and uniform things through these canteens.
Non-exemption of GST on all products sold through canteens has been a sore point among the CAPF personnel.
The rates at which the products are sold at present in the canteens are marginally less than the market rates.
Exemption of GST will reduce the costs further making the products more easily affordable and lucrative.
The government has to pay serious attention to this aspect.

Paying VAT:

Before the GST came into effect, certain States had exempted the levy of VAT while many others, including Delhi, were reluctant to extend this benefit.
While VAT was exempted for all Canteen Stores Department items, the Central Police Canteens in most States had to continue paying VAT.
The authorities cannot ignore the fact that the CAPF is working in difficult conditions across the country at grave risk to their lives.

Conclusion:

While sale of indigenous products in CAPF canteens is a step in the right direction, the issue of ..........................

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Read more about THE GIST of Editorial for UPSC Exams : 23 June 2020 (A case to exempt GST in Central Police Canteens (The Hindu))

THE GIST of Editorial for UPSC Exams : 23 June 2020 (New-age mobility (Indian Express))

New-age mobility (Indian Express)

Mains Paper 3:Economy
Prelims level: Electric vehicles
Mains level: Improving transport system with sustainable development

Context:

Electric mobility is a definitive way to retain this pristine air without compromising functionality.
Continuing with the ICE (internal combustion engine) vehicles with the same alacrity as in the past may never enable us to see AQI of about 50 in Delhi and Mumbai.
A shift to electric mobility is imminent and long overdue in India just as the trends show for Europe, the UK, China and other countries.

Initiatives towards promoting electric vehicles:

There were indications of this shift at the recently concluded Delhi Auto Expo 2020.
Electric vehicles were the most photographed or Instagrammed stars of the show. A range of electric buses, commercial vehicles, cars, e-scooters and e-bikes were on display.
Electric buses are making an appearance in large cities, stimulated by the incentives available to municipal bodies.
People find the idea of an electric bus sans noise and pollution.......................

What is preventing electric cars from becoming the preferred option?

The most cited reason is the lack of charging infrastructure.
Our obligation to the Paris Agreement may fall short unless we make the transition to electric—big and swift.
We do have public chargers in most large cities in India.That’s because worldwide everyone charges their electric cars at home.
Recharging an electric vehicle is unlike refuelling an ICE car. It’s a fundamental behavioural change that needs to sink in.
The electric cars we buy come bundled with a home charging kit. It’s like your own private petrol pump.
The charger is installed next to the location where you park your car, whether your apartment is in a high-rise or an independent house. When we come back from work, plug the charger into our car and relax.
Our car will be charged in a few hours. New-generation electric cars in India have a real-world driving range of 275-375 km. And if your commute is largely within your city, you are completely sorted for the week.
A smart home charger can be controlled through a mobile app. This means you can switch the charger on and off from your living room and don’t need to physically reach out to the charging spot or the car.
The app also gives you the current state of charge, cost, range, ability to charge with discounted off-peak rates (if offered by your discom), total monthly consumption, etc.
Public chargers are typically required for emergency top-ups or intercity journeys.
Similarly, if we run low on charge within the city, we may find a public charger at a mall, a municipal public parking lot, a supermarket or even our workplace.
Operators like Tata Power, Fortum, etc, are putting up rapid chargers along highways, at malls, residential complexes, public parking lots, commercial complexes, etc.
However, setting up ubiquitous charging infrastructure needs collaboration between the automakers, utilities, end-users or the community and government agencies—supported by a policy framework.

What can we do to make a difference now?

Take an electric cab or bus:

Electric buses are being deployed on many routes these days by almost all city transport bodies. Similarly, there are a lot of options for e-cabs in all the big cities—Evera Cabs, BluSmart, Glyd, Lithium, Ryds, Meru and others. We will be comfortable, cocooned in silence and, more importantly, emission-free and guilt-free.

Encourage charging infrastructure:

Ask your municipality, organisation or RWA to put an EV charger in your premises. Have conversations with people who matter, the corporators, municipal officials, the society/RWA committee, etc.
A potential buyer will be comforted to see a charger in the vicinity and this can swing her buying decision.

Drive an EV:

We have some gorgeous EVs in India, and more are waiting in the wings. Promise to buy an electric car as your next purchase. There are a lot of incentives like deeply discounted or free registration, free toll, free parking or similar such.
Furthermore, an electric car is so much fun to drive—thrilling linear torque, no gears, noiseless operation, etc. Top that with low cost of running, low maintenance, low cost of ownership, and you have a winner on your hands.

Conclusion:

When we do buy an electric car. We have made a responsible choice.
We are driving with the ultimate badge of honour—a green number plate...............

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Read more about THE GIST of Editorial for UPSC Exams : 23 June 2020 (New-age mobility (Indian Express))

UPSC MAINS TOPIC WISE PAPER : International Relations

Read more about UPSC MAINS TOPIC WISE PAPER : International Relations

THE GIST of Editorial for UPSC Exams : 22 June 2020 (Fighting a double pandemic (The Hindu))

Fighting a double pandemic (The Hindu)

Mains Paper 1:Society
Prelims level: National Commission for Women
Mains level: Gender based violence and associated issues

Context:

Waking up to screams, angry shouting and the troubling sound of someone crashing into a wall, a table, a door.
This is the cruel reality of many children and young people across our Commonwealth.
Economies, institutions and social welfare sectors continue to buckleunder the strain of the unprecedented COVID-19 pandemic crisis.
During such times, there is a dangerous escalation in the risk to the millions of people caught in the clutchesof domestic and gender-based violence.

Emerging evidences:

Emerging evidence on the impact of essential lockdown measures and the economic fallout of the pandemic on gender-based and domestic violence, paints a frightening picture.
The crisis has led to an alarming escalation of violence in the home, with women bearing the brunt of the frustration and anger.
In some areas, there have been reports of women being prevented from seeing doctors, and female doctors being spat on while testing other women for COVID-19.
We are seeing surging numbers of emergency calls to helplines — with rises of anything between 25% and 300%.
We see dramatic increases in Internet searches for support for those affected by domestic violence, and higher numbers of domestic homicides.
These are extremely disturbing trends..............................

Barriers to care:

Experience teaches us that women tend often to be at a disadvantage during crises, epidemics and now this pandemic, and that domestic violence tends to increase.
In West Africa, 60% of total deaths in the 2014 Ebola virus outbreak were women. Following the Canterbury earthquake in New Zealand, there was a 53% rise in domestic violence.
In many cases this is because gender roles and harmful practices, including customs such as early and forced marriage, limit women’s access to health services.
Women do three times as much unpaid care work at home compared to men, and make up 70% of workers in the health and social care sectors. They are squarely in infection’s path.
During the present COVID-19 pandemic, mass school closures are tending to entrench learning gaps between girls and boys, and putting many more girls at risk of sexual exploitation, early pregnancy and early or forced marriage.
They also mean that children are unable to report abuse to a trusted teacher.
And with restrictions on home visits by police and health workers, violence shelters being converted into health facilities, and courts being forced to close, many victims may find themselves trapped and feeling abandoned.
Mitigating the devastating impacts of this hidden pandemic of domestic violence requires strong and concerted action.

Organisations at work:

The Commonwealth Secretariat is working alongside partner organisations on measures which will help our 54 member countries to stemthe rising tide of gender-based violence.
Meetings were held with counterpart organisations such as the Organisation Internationale de la Francophonie, the Pacific Islands Forum, the Council of Europe and the Community of Spanish Language Countries.
Outcome was we have explored collaboration and mechanisms to ensure that women are at the centre of post-COVID-19 recovery planning.
We will work with our respective members to implement policy responses and interventions to safeguard victims and those at risk.
These discussions allowed us to share concerns and ideas conveyed by our member governments, and to outline key considerations for the upcoming ministerial meetings being arranged by the Commonwealth.

Health systems link:

An important priority is the provision of basic health care to all individuals and communities free of charge at the point of delivery.
All evidence points to a clear link between weak health systems and vulnerabilities to domestic violence.
So urgent action needs to be taken to ensure that during this COVID-19 pandemic, victims of abuse are able to access the health care they need, including mental health services.

Make financially reliant:

It is also key that post COVID-19 strategies include dedicated funding and support for micro, small and medium sized businesses and the informal sector, which are predominantly led by women.
Many of whom need the assurance of financial independence to escape from dangerous domestic situations.
It is encouraging, in this regard, that throughout the Commonwealth, we already see evidence of renewed commitment and action to end violence against women and girls.
Much is being done in our member countries to keep domestic violence refuges open during the outbreak.
There are also examples of innovative partnerships with businesses and organisations to provide alternative locations for victims to use as shelters.
Some governments have been able to provide additional resourcing and funding to organisations supporting victims, so they can upscale operations and continue providing services in a safe manner.
Other useful innovations such as virtual hearings and legal advice, are allowing survivors to continue to access justice.

Key concerns:

What is clear from my meetings with officials and development leaders is the immense urgency of taking action to protect women and girls who are being abused, isolated, punched, kicked and even killed in their homes.
Sadly, children living in violent homes not only witness violence but may themselves suffer abuse.
Violence in the home is one of the most pervasive human rights challenges of our time.
Research from the Commonwealth project, The Economic Cost of Violence against Women and Girls: A Study of the Seychelles, carried out in 2019 before the pandemic, shows that gender-based violence leads to estimated costs of 4.625% of GDP.

Conclusion:

The Commonwealth collectively stands ready to bring the power of its advocacy and support to the planned UN Declaration on Women and COVID-19.
We are increasing our ongoing advocacy through a range of initiatives, including ..................

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Read more about THE GIST of Editorial for UPSC Exams : 22 June 2020 (Fighting a double pandemic (The Hindu))

THE GIST of Editorial for UPSC Exams : 22 June 2020 (Reforms push to coal is justified (The Hindu))

Reforms push to coal is justified (The Hindu)

Mains Paper 3:Economy
Prelims level: Coking coal
Mains level: End of captive mining in coal production

Context:

The Prime Minister announced the auction of 41 coal blocks.
To virtually anyone who might be interested with the government having removed end-use restrictions and relaxed prior mining experience as bidding criteria.
This is a watershed effort to break the public sector monopoly on coal production, the enabling legal changes have been made over time.

Background:

The focus on self-sufficiency in this sector is justified; India imported 243 million tonnes of coal in 2019-20, about a third of its domestic output of 729 million tonnes, of which Coal India accounted for 602 million tonnes.
Imports will only rise as the economy returns to its growth potential. Of these imports, high-grade metallurgical coal (or coking coal) used for making steel accounts for 50 million tonnes annually.
Coking coal is scarce in India; most of the remaining imported coal can be substituted by domestic mining.
The Centre has said that commercial mining can save ₹30,000 crore in coal imports, or about a sixth of India’s coal import bill.
The move is expected to draw in an investment of ₹30,000 crore.....................

End captive mining:

The move to virtually end ‘captive mining’, or the allotment of mining rights only to those who directly use the coal as an input rather than trade in it, is justified.
Captive mining of small blocks, a decontrol move that was initiated in 1993 and continued right up to the coal scam, has been an inefficient process.
CIL has continued to account for well over 80 per cent of total output while being unable to meet the needs of input industries.
The cancellation of the 204 captive mining licences and the reallotment of 89 of them has not helped ramp up output either.
Commercial miningis likely to spur output in the medium term (assuming that private players will make a difference in five years), and provide some competition to CIL.
It should spur CIL to ramp up its efficiency in summer months to deal with the coal shortage that typically sets in after the monsoon, leading to power plants tripping up on output.
Experts estimate that there is considerable scope for CIL to ramp up its output by 15 per cent in the summer months.
Given the current role of thermal power in the energy mix, additional coal output and imports would be needed.
The key issue is whether the rise of renewables can temper coal demand — as indeed it should.

Conclusion:

India’s coal push should not undermine its achievements in renewables. Coal gasification is an idea whose environmental effects are uncertain.
The impact of coal in terms of forest loss and air pollution (to get worse if unwashed coal is used) cannot be discounted in the context of climate change.

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Read more about THE GIST of Editorial for UPSC Exams : 22 June 2020 (Reforms push to coal is justified (The Hindu))

THE GIST of Editorial for UPSC Exams : 22 June 2020 (Tale of two flawed agri ordinances (The Hindu))

Tale of two flawed agri ordinances (The Hindu)

Mains Paper 3:Economy
Prelims level: Farmers Producer Organisation
Mains level: Criticism of APMC Act and role of FPOs

Context:

Agricultural market reforms have been on the agenda of many Union governments, including the present one.
However, they were so far being attempted more by nudging and persuading the States, being a State subject. But the NDA government has, after trying the same approach, concluded that States cannot be pushed beyond a point. Therefore, it has taken the ordinance route.
The stated purpose is to create ‘one nation one market’, and provide farmers with the choice to sell their produce for better price discovery, and also to attract private investment in the agricultural market.
There are major aspects of the two major ordinances that deal with regulation and promotion of agricultural produce markets.

Trade and commerce:

The Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Ordinance, 2020, shifts the domain from the State to the Centre.
It intends to promote efficient, transparent and barrier-free inter- and intra-State trade of farmer produce outside the physical premises of markets or deemed markets notified under various State agricultural produce marketing legislations, and to provide a facilitative framework for electronic trading.
Like the Agricultural Produce and Livestock Market (APLM) Act, 2017, this Ordinance defines a trader to include ‘agent’.
It is common knowledge that traders take titles to goods......................

Status and role of FPOs:

On the positive side, the Ordinance provides for the establishment of e-markets by farmer producer organisations (FPOs), though one is not sure how many can make use of this opportunity, given their poor capital and professional resources. This is similar to the State APMCs allowing private wholesale markets being set up by such collectives.
The Ordinance defines a farmer as a person engaged in the production of crops by self or hired labour or otherwise; this definition includes the FPO.
It is important to note that no FPO is involved in farm production; most are into pre- and post-production aggregation, trading and value addition.
The FPOs are also not defined as buyers, while cooperatives and co-operative societies are. This is problematic, especially for FPOs.

Agricultural transaction:

The Ordinance defines a transaction between traders, both within and across States,as one pertaining to ‘farmers’ produce’.
How can this be justified, as once the primary transaction is completed, it stops being farmers’ produce?
This is akin to the FPOs asking for exemption from income tax arguing that since they deal with the produce of their member-farmers, who are exempt from paying income tax, the FPOs should also be accorded the same exemption.

Regulation and role of States:

The Ordinance attempts to regulate traders undertaking intra- and inter-State trade by mandating the use of PAN and electronic registration of a trade, besides directing that payments be made within 1-3 days.
In case they are not, it imposes penalties of ₹25,000-5 lakh, with an additional ₹5,000 per day for physical trade (in case of the electronic platform, the penalties range from ₹50,000-₹10 lakh, plus an additional ₹10,000 per day). But the fact that it only provides for Central regulation of e-markets, and not all transactions, is difficult to justify.
The Ordinance still goes by State APMC-notified produce to define scheduled farmer produce.
What is the relevance of APMC-notified produce here, when its domain is reduced only to the market yards? This leaves a part of the larger agricultural produce market unregulated, despite existing Acts.

Contract farming:

The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Ordinance, 2020, is nothing but a badly designed contract farming law.
The use of the term ‘farming agreement’ itself is unusual, as it can be confused with other arrangements like share-cropping or leasing.
Contract farming is about contract first, with farming being a part of it.

Direct purchase:

The way it is defined, the Ordinance also includes direct purchase, which is not the appropriate transaction under this ordinance.
One indication that direct purchase is a part of this Ordinance is the fact that large retailers are mentioned as contracting parties.
In both global and Indian contexts, large retailers or supermarkets don’t have contract agreements with farmers, and buy directly without any prior price commitment.
Although it is desirable that they sign an agreement, under this Ordinance a written contract is not mandatory. This shows a lack of appreciation for the concept of contract farming.

The definition of an FPO:

Here, too, the definition of an FPO as a farmer is not correct.
There are many FPOs in India which undertake contract farming directly or indirectly with their members and non-member farmers, like in seed production.
So, clubbing them with farmers is not appropriate. They are ..............

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Poor design of contract:

The very basic aspects of contract farming like acreage, quantity, and time of delivery are not specified, which is a must for any regulatory law as these are mandatory aspects of such an arrangement, whether by the supply of inputs or otherwise.
On the other hand, the farm-gate pick-up of produce by buyers has been made mandatory, which was unnecessary.
The parties should be able to decide themselves whether the farmer will deliver the produce at factory gate, collection centre, or whether the buyer would pick up the produce from the farm.
The Ordinance also leaves out many sophisticated aspects of modern contract farming practices, like contract cancellation clauses; delayed deliveries or purchases, and damage therein; and ‘tournaments’ in contract farming, where farmers compete with each other and are paid on relative performance, a practice which is banned in many countries.

Act as Anti-contract farming:

The Act links the contract price with the APMC mandi price or electronic market price, which is anti-contract farming in nature.
The price, like many other basic aspects of contract, should be left to the parties to negotiate and shouldn’t be tied to any other channel — especially the APMC price, as the very rationale for bringing this law was to provide alternative channels to farmers and create competition in APMC markets, as price discovery was not efficient.
Now, going back to the same mandi does not speak very well of the Ordinance.

Regulation or facilitation:

Unlike the Trade and Commerce Ordinance, this Ordinance does not specify any penalties for any violations of the contract provisions, which is surprising to say the least.
Rather, it facilitates and promotes and facilitates the contract farming mechanism in lieu of regulating it.
The Act goes all the way to facilitate contract farming is clear from the fact that it mentions that the stock limits law (ESA Ordinance) would not apply to contract-farmed produce.

Conclusion:

The aspects of ‘farmer empowerment’ and ‘protection’, mentioned in the title of the Ordinance, have been given a go by in its contents.
The proof of any law is in its implementation, but as far as farmer interest protection is concerned...............

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