1. PRICING OF LPG (Syllabus: GS Paper 3 - Economy)

Context: The price of domestic LPG cylinders has been cut by Rs 200 for all connections, in all markets across the country.

• This decision comes amid high inflation and ahead of crucial state and general elections. 
• India has a total of 314 million domestic LPG consumers.

 

Pricing of LPG

• The price of LPG is revised in India as per a formula known as import parity price (IPP). The common practice is to revise the price of LPG cylinders on a month-on-month basis.
• The IPP is calculated as per Saudi Aramco’s LPG price, the world’s largest producer. 
• The price includes costs like free on board (FOB) price, ocean freight, custom duties, port charges and insurance cost among other things. 
• The price thus calculated in US dollars is then converted to Indian rupees.
• To the international price, charges added domestically include inland freight costs, Oil companies’ margins, bottling costs, marketing expenses, dealer commissions and the Goods and Services Tax (GST). 
• The final price thus calculated gives the retail selling price for non-subsidised cooking gas cylinders for consumers across different states.
• Many people in India avail subsidies offered by the central government on LPG cylinders. 
• The subsidy amount is subject to change from one month to the next based on the international price of LPG and fluctuations in currency value.
• An increase in international LPG prices or weakness in the rupee, or both, translates into higher LPG prices in India. 

The international price for LPG fluctuates in accordance with the price of its main raw material, crude oil.

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2. IT HARDWARE PLI SCHEME (Syllabus: GS Paper 3 - Economy)

Context: In a big win for the government’s revised information technology (IT) hardware production-linked incentive (PLI) scheme, a total of 32 companies have expressed interest in commencing manufacturing of personal computers (PCs), laptops, tablets, servers, and edge computing devices within the country.

Key Points

• Recently, the Union Cabinet approved the modified production linked incentive ( PLI) scheme for information technology (IT) hardware to boost local manufacturing of products like tablets and laptops, and more than doubled its budgetary outlay to ₹ 17,000 crore from the previous provision of ₹ 7,325 crore.
• The revised scheme may offer incentives of up to 9 per cent on the incremental sales of tablets, laptops, allinone personal computers, servers, and edge computing devices manufactured in the country to attract investment in the sector.
• The tenure of the scheme has been extended to six years from four years announced in 2021.
• Only two of the 14 firms that applied for benefits under the scheme´s earlier version could meet their targets in the first year.

PLI Scheme

• About: PLI scheme is an initiative that provides incentives to domestic industries to boost local production.
• Through this scheme the Government aims to give companies incentives on incremental sales from products manufactured in domestic units.
• PLI has been introduced to boost domestic manufacturing and cut down on import bills.
• Eligibility: A company registered in India that proposes to produce items related to the Target Segments there and submits an application for approval under the Scheme is an applicant for the purposes of the Production Linked Incentives Scheme. 
• The applicant is permitted to run either brand-new or current production facilities to produce goods for the Target Segments.
• Sectors Included: Automobile and auto components, electronics and IT hardware, telecom, pharmaceuticals, solar modules, metals and mining, textiles and apparel, white goods, drones, and advanced chemistry cell batteries.
• Incentives Under the Scheme: The incentives, calculated on the basis of incremental sales, range from as low as 1% for the electronics and technology products to as high as 20% for the manufacturing of critical key starting drugs and certain drug intermediaries.
• In some sectors such as advanced chemistry cell batteries, textile products and the drone industry, the incentive to be given will be calculated on the basis of sales, performance and local value addition done over the period of five years.

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3. REGULATION OF UCB (Syllabus: GS Paper 3 - Economy)

Context: Reserve Bank of India (RBI) Governor said while the Urban Cooperative Bank (UCB) sector showed improved financial performance at an aggregate level in the recent times, concerns and vulnerabilities were seen for certain individual entities.

• He highlighted the need for the UCBs to strengthen financial and operational resilience to contribute to financial and banking sector stability.
• Recently, the Reserve Bank has notified four key measures, including giving them two years more to meet the priority sector lending targets.

 

4 key measures for UCBs

• New branches: UCBs can now open new branches up to 10 per cent (maximum 5 branches) of the number of branches in the previous financial year without prior approval of RBI in their approved area of operation.
• UCBs have to get the policy approved by their board and comply with the Financially Sound and Well Managed (FSWM) Norms.
• One-Time Settlement: UCBs can do One-Time Settlement at par with commercial banks.
• Now co-operative banks through board-approved policies may provide process for technical write-off as well as settlement with borrowers.
• PSL Targets: The RBI has decided to extend the timeline for UCBs to achieve Priority Sector Lending (PSL) targets by two years i.e. up to March 31, 2026.
• The deadline to achieve PSL target of 60 per cent, which was March 31, 2023, has also been extended to March 31, 2024. 
• The excess deposits, if any, after clearing the shortfall of PSL during FY 2022-23 will also be refunded to the UCB.

Nodal officer: In order to meet the long pending demand of the cooperative sector for closer coordination and focused interaction, the RBI has notified a nodal officer as well.

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4. AATMANIRBHAR BHARAT ROZGAR YOJANA (Syllabus: GS Paper 3 - Employment)

Context: The Central Government's innovative employment incentive scheme, the Aatmanirbhar Bharat Rozgar Yojana (ABRY), has exceeded its initial employment generation goals, showcasing its success in fostering job creation and recovery during the COVID-19 pandemic.

• As of July 31, 2023, the ABRY has already achieved an enrolment of over 7.58 million new employees, surpassing its initial employment generation target.

Aatmanirbhar Bharat Rozgar Yojana (ABRY)

• About: Launched effectively from October 1, 2020, the ABRY was designed to stimulate the creation of new job opportunities by extending financial support to employers of establishments registered with the Employees' Provident Fund Organization (EPFO). 

• Under this, Government of India will provide subsidy for two years in respect of new employees engaged on or after 1st October, 2020 and up to 30th June, 2021.
• Government will pay both 12% employees’ contribution and 12% employers’ contribution i.e. 24% of wages towards EPF in respect of new employees in establishments employing upto 1000 employees for two years.
• Government will pay only employees’ share of EPF contribution i.e. 12% of wages in respect of new employees in establishments employing more than 1000 employee for two years.

• Beneficiaries:

• An employee drawing monthly wage of less than Rs. 15000/- who o was not working in any EPFO registered establishment and did not have a Universal Account Number (UAN) prior to 01st October, 2020 who joins employment in any establishment on or after 01.10.2020 up to 31.03.2022 and who is allotted Aadhaar validated UAN.
• Any EPF member, already allotted with UAN, who made exit from employment during the period from 01.03.2020 to 30.09.2020 (Covid Pandemic) from any establishment and who joins in any establishment on or after 01.10.2020 and up to 31.03.2022.
• The incentive is payable by the Central Government by upfront credit in the UANs of the new employees.

• Eligibility criteria for Establishments: Establishments registered with EPFO if they add new employees compared to reference base of employees as in September, 2020 as under:

• minimum of two new employees if reference base is 50 employees or less.
• minimum of five new employees if reference base is more than 50 employees.

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5. AUCTIONING OF CRITICAL MINERAL (Syllabus: GS Paper 3 - Infrastructure)

Context: The Union government is preparing to start the auction process for some 100 critical mineral blocks in the next four months, as part of plans to secure domestic supplies of the raw materials needed to fuel the green energy transition. 

• The blocks are for minerals including nickel, lithium, cobalt and platinum, along with rare earths.
• The legal framework has been laid out and the blocks have been identified.

 

Recent amendments

• Recently, the union cabinet approved amendments to the Mines and Minerals (Development and Regulation) Act allowing commercial mining of lithium and a few other minerals.
• The development comes just weeks after a committee set up by the Union ministry of mines declared 30 minerals as ‘critical’ for the country, including these six minerals. 
• Critical minerals refer those that are at risk of supply shortage, which may have a larger impact on the economy compared to that of other raw materials.
• The amendments will lift the ban on commercial mining of six critical minerals  - lithium, beryllium, titanium, niobium, tantalum and zirconium. 
• All of India’s lithium requirement is imported from countries such as Chile, Russia, China, Ireland and Belgium. 
• Beryllium is sourced from Russia, the UK, Netherlands, South Africa and China.
• So far, most of the exploration in the country has been focussed on bulk commodities like limestone, coal and iron ore. 
• With new requirements in technology and energy transition, there is a growing demand for these critical minerals, prompting the government to focus on the exploration of deep-seated and critical minerals.
• Among these minerals, the demand for lithium has grown manifold in the past few years, as the focus has shifted towards electric mobility and grid scale battery storage amid India’s energy transition. 
• The government has also come up with a production-linked incentive scheme for advanced chemistry cells. 
• Another for niche batteries manufactured with newer chemistries is also in the works.
• The Geological Survey of India has found the presence of significant lithium reserves totalling 5.9 million tonnes in Reasi district of Jammu and Kashmir. Another reserve has been found in Rajasthan.

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6. KOLKATA METRO RAILWAY (Syllabus: GS Paper 3 - Infrastructure)

Context: Kolkata  Metro Railway has now decided to use composite Aluminium Third Rail in all the upcoming corridors being undertaken for construction along with retro fitment in existing corridor with steel Third Rail. 

• With this Metro Railway,  Kolkata would become the member of elite club of London, Moscow, Berlin, Munich, and Istanbul Metro who have also shifted from steel Third Rail to Aluminium Third Rail.

 Key Points

• Kolkata Metro Railway, India’s first Metro built by Indian Railways on 24th October 1984, has been serving as a lifeline for Kolkata, the city of Joy for nearly 40 long years.
• In Kolkata Metro Railway, the power to Metro Rake is supplied to rolling stock at 750V DC through steel Third Rail. 
• The Third Rail Current Collector (TRCC) made of steel fitted on metro rake collects the current from Third Rail. 
• Kolkata Metro Railway using steel Third Rail for the last 40 years. 

• Advantages of aluminium composite Third Rail over steel Third Rail are as under :

• Reduction in resistive current loss and improved Traction voltage level as the resistance of steel Third Rail is around six times higher than composite Aluminium Third Rail.
• On an average, for 10 km corridor with use of Aluminium composite Third Rail would require 01 no. less Traction Substation compared to steel Third Rail i.e. a straight saving of approx.₹210 Crores capital investment for  a 35 km of Metro corridor.
• The reduced voltage drop shall facilitate achieving faster acceleration with the same rake available with Kolkata Metro Railway.
• Reduced maintenance and life cycle cost. The requirement of painting of Third Rail every 5 years may not be needed anymore. The frequency of measurement of Third Rail dimension may reduce significantly. There may be no possibility of damage due to rusting etc
• Improvement in the efficiency of train operations.
• Huge     improvement       in    Energy     Efficiency     and     reduction      in    carbon footprint.
• Estimated energy saving using composite Aluminium Third Rail may be approximately 6.7 million units per annum.
• Improved headway of the trains.

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7. LADAKH ISSUE (Syllabus: GS Paper 2 - Polity)

Context: The Leh Apex Body (LAB) and Kargil Democratic Alliance (KDA) said that no one has the right to snatch legislative powers from the people of Ladakh and they will continue to strive for statehood and the implementation of Sixth Schedule in the newly-formed Union territory.

 

Demand proposed by Ladakh

• The Leh Apex Body (LAB) and the Kargil Democratic Alliance (KDA) has jointly put forward a four-point agenda to drive the agitations in the UT of Ladakh as follows:
• Statehood for Ladakh
• Safeguards under the Sixth Schedule of the Constitution
• Formation of Public Service Commission and job reservation for Ladakh youth
• Creation of two separate parliamentary constituencies for Leh and Kargil
• The LBA’s demand for statehood marks a sharp departure from the long-held position of Ladakhi Buddhists to be governed directly by the central government.
• This is because after Ladakh was declared a UT, people claimed to have lost constitutional protection on land, employment and democratic decision-making.
• The LBA and KDA leaders complained that the new UT administration, governed by bureaucrats appointed by Centre has hijacked the space for political consultation and consent.
• The demand from the local tribal communities in Ladakh is to extend the provisions of the Sixth Schedule to the region.
• This was primarily driven by concerns over the protection of tribal rights and the preservation of the unique cultural identity of the local communities.

 

Current administration in Ladakh

• Ladakh was granted Union Territory status in 2019, following the bifurcation of the state of Jammu and Kashmir into two separate Union Territories.
• The administration of Ladakh is currently governed by the Lieutenant Governor of Ladakh and an elected Ladakh Autonomous Hill Development Council (LAHDC).

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8. ADDIS ABABA DECLARATION (Syllabus: GS Paper 3 - Env & Eco)

Context: Environment ministers of the African continent have agreed to institute national and regional strategies to minimise environmental impacts in the extraction and processing of critical mineral resources.

• Fifty-four countries acknowledged key environmental challenges faced by the continent - land degradation, desertification and drought - in the Addis Ababa declaration, August 18, 2023. 
• The declaration was a key outcome of the 19th African Ministerial Conference on the Environment (AMCEN) 2023 held from August 14 to 18, 2023 at Addis Ababa, Ethiopia. 
• The theme for AMCEN 2023 was “Seizing Opportunities and Enhancing Collaboration to Address Environmental Challenges in Africa”. 

Addis Ababa declaration

• The declaration prioritises urgent, wide-ranging action on environmental challenges related to climate change, plastics pollution, marine protection, biodiversity conservation and natural capital. 
• These actions would minimise environmental impacts and contribute to the global goals of mitigating climate change, protecting ecosystems and promoting sustainable development.
• The countries also committed to take appropriate measures to implement the Kunming-Montreal Global Biodiversity Framework through updating or revising national biodiversity strategies and action plans or national targets.
• The ultimate aim is to increase the global finance flow to at least $100 billion per year, stated the declaration. 
• The countries have also agreed to work on a priority to implement Africa Blue Economy Strategy of the African Union.

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9. FUNGI AND FUNGA (Syllabus: GS Paper 3 - General Science)

Context: United Nations Biodiversity has urged people globally to use the word ‘funga’ whenever they say ‘flora and fauna’, in order to highlight the importance of fungi.

Key Points

• Fungi, along with Animalia (animals), Plantae (plants), Protista, Archaea/Archaebacteria, and Bacteria or Eubacteria form the six ‘kingdoms’ of biology.
• This is not the first time when a request has been made to include fungi along with flora and fauna.
• Two years ago, the Species Survival Commission (SSC) of the International Union for Conservation of Nature (IUCN) announced that it would use “mycologically inclusive” (referring to fungi) language in its internal and public-facing communications (“fauna, flora and funga” and “animals, fungi and plants”) and to incorporate fungi in conservation strategies with rare and endangered plants and animals.

Fungi

• Fungi are eukaryotic organisms that include microorganisms such as yeasts, moulds and mushrooms.
• The organisms found in Kingdom fungi contain a cell wall and are omnipresent. 
• They are classified as heterotrophs among the living organisms.
• Almost all the fungi have a filamentous structure except the yeast cells.
• Fungi possess a cell wall which is made up of chitin and polysaccharides.
• The cell wall comprises a protoplast, which is differentiated into other cell parts such as cell membrane, cytoplasm, cell organelles and nuclei.
• Fungi lack chlorophyll and hence cannot perform photosynthesis.
• Fungi store their food in the form of starch.
• Examples include mushrooms, moulds and yeast.

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10. CATHODE MATERIALS FOR SODIUM ION BATTERIES (Syllabus: GS Paper 3 - Sci & Tech)

Context: Scientists have developed sodium nickel manganese cobalt oxide and sodium nickel manganese iron oxide (Na-NMC and NFM) cathode materials along with novel sodium superionic conducting solid-state electrolytes designed specifically for sodium ion batteries. 

• The developed cylindrical cells and the resultant battery pack, has been developed under Ministry of Higher Education (MHE) and Science and Engineering Research Board (SERB), a statutory body under the Department of Science and Technology, supported IMPRINT II project.

 

Key Points

• The newly developed cathode materials can provide high capacity and prolonged battery life, enabling longer-lasting and more powerful sodium ion batteries. 
• The novel sodium superionic conducting solid-state electrolytes play a crucial role in efficiently transporting sodium ions within the battery.
• This breakthrough could enhance the battery's safety, stability, and energy density. 
• A compatible battery management system (BMS) and suitable charger were developed by the industry collaborator.
• Sodium ion batteries, which utilise sodium ions as charge carriers instead of lithium ions, offer numerous advantages over traditional lithium-ion batteries. Important among these advantages are lower costs, abundance and chemistry of sodium ion batteries similar to lithium.
• Additionally, sodium's wider availability and reduced environmental impact make sodium ion batteries a more sustainable choice. 
• However, safety, stability and energy density of these batteries are challenges which need to be addressed.

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