Daily Prelims Notes 17 August 2022

August 17, 2022
Posted by: OptimizeIAS Team
Category: DPN

Daily Prelims Notes

17 August 2022

Table Of Contents

Subject :History

Section: Modern India

Context: Union Minister of State for Information and Broadcasting for authorizing a commemorative postal stamp for freedom fighter Ondiveeran.

Concept:

Ondiveeran was a native of NerkattumSeval near Sankarankoil in the erstwhile Tirunelveli district (since bifurcated and now in Tenkasi district).
Ondiveeran was a trusted lieutenant in thePulithevan Army that had taken onthe British Company forces.
Ondiveeran led one of the army units of Puli Thevar. Fighting by the side of Puli Thevar, he caused much damage to the Company’s army.
According to oral tradition, in one battle, Ondiveeran’s hand was chopped off and Puli Thevar was saddened. But Ondiveeran said it was a reward for his penetration into the enemy’s fort causing many heads to roll.
Ondiveeran were important men who tried to destroy the camp of the Nawab and the Company troops. And hero stones were erected for soldiers who died in the battle.
He died in 1771.

2. Corporate Tax

Subject :Economy

Section: Fiscal Policy

Context: Corporate tax cut has led to a revenue loss of ₹1.84 lakh crore to the public exchequer as per the Parliamentary Estimates Committee report.

Details:

The Taxation Laws (Amendment) Bill, 2019 caused a reduction in the base corporate tax rate, that is, from 30 percent to 22 per cent for the existing businesses and
For new manufacturing firms that have been established post 1st October, 2019 and prior to 31st March, 2023, the base corporate tax was reduced from 25 per cent to 15 per cent.
The new corporate tax rates in India are much lower than USA (27%), Japan (30.62%), Brazil (34%), and Germany (30%) and for the new firms the tax rate is similar to Singapore (17%).

Concept:

A corporate tax, also called corporation tax or company tax, is a direct tax imposed by a jurisdiction on the income or capital of corporations or analogous legal entities.
Corporate tax is the tax which is levied on the income of the domestic and foreign companies that arose in India.
It is levied on both the public and private companies registered under the Companies Act of 2013.
The rate at which the tax is imposed as per the provisions of the Income Tax Act, 1961 is known as the Corporate Tax Rate.
The Minimum Alternate Tax (MAT) does not apply to such companies.
- The Minimum Alternate Tax is a measure to include all companies in the income tax loop. The MAT ensures that no company with healthy finances and substantial income can avoid paying income tax, even after claiming exemptions.
Taxes are levied on a company’s taxable income, which comprises revenue minus cost of goods sold, general and administrative expenses, selling and marketing, R&D, depreciation, and other operating costs.
Corporate tax is an expense of a business levied by the government that represents a country’s main source of income, whereas income tax is a type of tax governmentally imposed on an individual’s income, such as wages and salaries.
Corporate tax rate to be 22 per cent without exemptions and Effective corporate tax rate after surcharge and cess to be 25.17 percent for existing companies.
The effective tax for new companies shall be 17.01 percent, including cess and surcharge. Companies enjoying tax holidays would be able to avail concessional rates post the exemption period.

Estimates Committee

The Estimates Committee is a Committee of Lok Sabha. The motion for election of the first Estimates Committee was adopted by the Provisional Parliament on 3^rdApril, 1950 and the Committee was elected on 10^th April 1950.
The Committee consist of not more than 30 Members from Lok Sabha who shall be elected by the House every year from amongst its members according principle of promotional representation by means of single transferable vote. The Speaker is empowered to appoint the Chairman of the Committee from amongst its members.

Functions of the Committee

Rule 310 of the Rules of Procedure and Conduct of Business in Lok Sabha define the scope of functions of the Committee as under:-

(a) to report what economies, improvements in organization, efficiency or administrative reform, consistent with the policy underlying the estimates, may be effected;

(b) to suggest alternative policies in order to bring about efficiency and economy in administration;

(d) to suggest the form in which the estimates shall be presented to Parliament;

3. Decentralised Finance (DeFi)

Subject: Economy

Section: Monetary Policy

Context :With the massive rise in cryptocurrency investments, individuals and institutions are now beginning to explore decentralized finance (DeFi).

Concept :

Decentralized finance, or DeFi, loosely describes an alternative finance ecosystem where consumers transfer, trade, borrow and lend cryptocurrency, theoretically independently of traditional financial institutions and the regulatory structures
It’s a computer-controlled market that automatically executes transactions, like issuing loans backed by crypto or paying interest on holdings.
DeFi platforms are structured to become independent from their developers and backers over time and to ultimately be governed by a community of users whose power comes from holding the protocol’s tokens.
The DeFi movement aims to “disintermediate” finance, using computer code to eliminate the need for trust and middlemen from transactions.
DeFi uses smart contract technology on the blockchain network with zero human intervention. This reduces the chances of errors and increases efficiency.
DeFi removes middlemen and enables more efficient financial services at low costs.
DeFi is on a blockchain network and generally open source, anyone with an internet connection can view, audit the source code and see all the transactions.
Blockchain data is immutable in nature, which means once the information is on the blockchain network, it cannot be changed.
How does DeFi work?
- A DeFi protocol uses computer code called smart contracts that run on the blockchain network.
- The source code of most of the DeFi projects are available for anyone in the world to check and audit.
- Users of the DeFi protocol can communicate with these smart contracts using their wallets to transfer funds, borrow, lend or avail any service that the DeFi provides.
- Decentralized Exchanges (DEXs) users can interact directly with the blockchain protocol to execute trades or avail services.
- The non-custodial framework of a DEX means that users can retain their cryptocurrency ownership and have complete control over their assets in their wallets.

4. Super Vasuki

Subject: Economy

Section: Infrastructure

Context:To mark the beginning of Amrit Kaal, Indian Railways ran Super Vasuki, five loaded train long haul on 15th Aug 2022 as a part of Azadi Ka Amrit Mahotsav Celebration.

Concept:

Super Vasuki is a 3.5-km-long freight train with 295 wagons carrying 27,000 tonnes.
The effort came from South East Central Railway
Super Vasuki carried coal from Korba in Chhattisgarh to Rajnandgao in Nagpur. It covered the distance of 267 km. Five goods trains were combined into one rake to create the train.
The national transporter claimed that this is the longest and heaviest freight train that the Railways has ever operated, and that it crosses a station in around four minutes.
Super Vasuki carries enough coal to operate a 3000 MW power plant for a whole day. This can transport three times as much coal in a single trip as the 90-car, 100-ton rail rakes that are now in use.

5. Global pandemic treaty

Subject: International Relations

Section: International Organisation

Context :A draft international pandemic treaty governing prevention, preparedness and response of future pandemics will be ready for negotiation in 18 months, said Soumya Swaminathan, chief scientist of the World Health Organization (WHO).

Details:

The genesis of the treaty was at the second special session of the World Health Assembly (WHA) held in December 2021, which formally launched the process for the development of the historical global accord.
The document will help address global public health challenges made conspicuous by the ongoing COVID-19 pandemic
These include equitable distribution of vaccines and health services among and within countries, knowledge and data sharing as well as realising capability-based responsibilities of various economies.
WHA established an International Negotiating Body (INB) to formulate ‘WHO convention, agreement or other international instrument’ for the world to unitedly respond to and recover from infectious disease crises in the future.

6. DoT bats for auction of satellite spectrum

Subject: Economy

Section: Monetary Policy

Context:

The Department of Telecommunications (DoT) is batting decisively for the auction of satellite spectrum. After nearly two years of intense lobbying from satellite players, including Low Earth Orbit (LEO) players such as OneWeb, Telesat and Starlink — who were seeking administrative assignment of satellite spectrum
As the soon-to-be-announced new space policy is likely to encourage private entrants into the Satcom space, satellite players were eyeing spectrum between 27.5 to 31.5 GHz to provide new services such as satellite broadband.
Telecom operators were also eyeing spectrum between 27.5GHz to 28.5 GHz for 5G, and the government had decided during deliberations for 5G auctions that this band would be shared between satellite players as well as telcos and be used for mixed-use purposes.
As India reckons with a new age of telephony with 5G, new technologies such as low latency satellite broadband and satellite backhaul will also make entry into the Indian market.
Big tech giants such as Amazon’s Kuiper, Elon Musk’s Starlink and Sunil Mittal’s OneWeb are eyeing the Indian market, as regulators deliberate on the new wave of regulations for the upcoming technologies.

Satellite Internet and LEO Technology:

Positioning of Satellites: LEO satellites are positioned around 500km-2000km from earth, compared to stationary orbit satellites which are approximately 36,000km away.
Latency: Latency, or the time needed for data to be sent and received, is contingent on proximity.
- As LEO satellites orbit closer to the earth, they are able to provide stronger signals and faster speeds than traditional fixed-satellite systems.
- Additionally, because signals travel faster through space than through fibre-optic cables, they also have the potential to rival if not exceed existing ground-based networks.
Higher Investment: LEO satellites travel at a speed of 27,000 kph and complete a full circuit of the planet in 90-120 minutes.
- As a result, individual satellites can only make direct contact with a land transmitter for a short period of time thus requiring massive LEO satellite fleets and consequently, a significant capital investment.
- Due to these costs, of the three mediums of Internet – fibre, spectrum and satellite – the latter is the most expensive.

7. SC to examine convict’s plea on validity of child gangrape law

Subject: Economy

Section: Monetary Policy

Context:

The Supreme Court on Tuesday agreed to examine the validity of a law which sends a guilty man either to a lifetime in prison or to the gallows for gangraping a child under 12 years without affording him a chance to atone for his crime or reform.
Section 376DB (gangrape of a child under 12 years of age) of the Indian Penal Code restricted the trial judge’s options to either a sentence for “the remainder of the person’s natural life” or death penalty. Life imprisonment is the “minimum, mandatory” punishment under the provision.
The minimum punishment prescribed under Section 376AB (rape of a child under 12 years of age) was 20 years of imprisonment.
The petition argued that Section 376DB violated Articles 21 (right to life) and 14 (right to equality) of the Constitution.
S. Supreme Court had held that in extreme cases, a disproportionate sentence violated the Eighth Amendment, which prohibits cruel and unusual punishment, of the U.S. Constitution.

8. Central Pool foodgrain stocks at lowest in 5 years

Subject: Economy

Section: Monetary Policy

Context:

Rice and wheat stock in the Central Pool, managed by the Food Corporation of India (FCI), is at a five-year low, mainly due to lower procurement of wheat.
Rice stock, though above 2020 level, may deplete fast in case there is a drop in production during current kharif season as paddy transplanting has dropped 12 per cent until last week.
According to latest data, the rice and wheat stock as on August 1 was 545.97 lakh tonnes (lt), whereas the previous low was 499.77 lt in 2017.

The Food Corporation of India

Food Corporation of India (FCI) is a Public Sector Undertaking, under the Department of Food & Public Distribution, Ministry of Consumer Affairs, Food and Public Distribution.
FCI is a statutory body set up in 1965 under the Food Corporations Act 1964. It was established against the backdrop of major shortage of grains, especially wheat.
- Simultaneously, Commission for Agricultural Costs and Prices (CACP) was created in 1965 to recommend remunerative prices to farmers.
It has primary duty to undertake purchase, store, move/transport, distribute and sell food grains and other foodstuffs.

Buffer Norms:

Buffer stock refers to a reserve of a commodity that is used to offset price fluctuations and unforeseen emergencies. It is generally maintained for essential commodities and necessities like food grains, pulses etc.
The concept of buffer stock was first introduced during the 4th Five Year Plan (1969-74)
The Cabinet Committee on Economic Affairs fixes the minimum buffer norms on quarterly basis: i.e. as on 1st April, 1st July, 1st October and 1st January of every financial year
Food Stock available in the central governments’ pool is the stock held by:
- State Government Agencies (SGAs)
- States which are taking part in the Decentralised Procurement Scheme
- Food Corporation of India(FCI)
The stock of food grains in the Central pool is distributed all around the year depending on the off-take and procurement trends. Therefore, the season of production and procurement is a major factor to determine the minimum food grain stocks required in any particular quarter of the year.
As of now, the stocking norms for buffer stock decided by the GoI comprises of:
- Operational Stocks: The stock required to meet the monthly requirements under TDPS and OWS.
- Food Security Stocks: The reserves to meet the procurement shortfall.
The food grains for issue under OWS and TDPS are considered as operational stock, whereas the surplus is considered as buffer stock and operational stock both. The stock which is over the minimum stockpiling norms is treated as excess stock and it is exported from time to time, extra allocations for some states or through open market sales.

The pesky problem of offshoring pollution

Every July, Singapore prepares to see its greenery vanish beneath a mantle of smoke. The haze from land-clearing fires drifts from Indonesia and Malaysia each dry season. But a recent study has revealed another source of air pollution from Singapore’s neighbours: heavy metals, such as chromium, from heavy industry.
That pollution lasts all year round, posing a chronic risk to human health. It comes from what experts have described as ‘pollution havens’:developing Southeast Asian economies such as Indonesia, Malaysia and Thailand that are rapidly industrialising. They house the industries Singapore and other rich countries can afford to outsource.

What are Pollution havens?

The Pollution Haven Hypothesis argues that firms will seek to avoid the cost of stringent environmental regulations (and high energy prices) by locating production in countries where environmental norms are laxer. In this context, the studies provide new reassuring evidence on the effect of energy prices on firms’ outward Foreign Direct Investment (FDI).

9. India at 75 | High points in science & technology and innovation

Subject: Economy

Section: Monetary Policy

Context:

The Council of Scientific and Industrial Research, which had been founded in 1942, has undertaken its mission effectively since Independence
The CSIR started five of its own laboratories with support from the government and industry and raising resources through crowd sourcing.
In collaboration with the Sir Dorabji Tata Trust and the Government of Bombay, the Government of India (through the CSIR) started the Tata Institute of Fundamental Research, with the CSIR providing substantial financial support in the initial years.
Among the first examples of finding science and technology-based solutions was the harmonisation of existing varied calendar systems. A committee under the Chairmanship of MeghnadSaha was formed to address this issue. The committee’s report was published by the CSIR in 1955, which then led to its acceptance as the national calendar, now one of the national identity elements.
Another example in the early years of Independence was to address the challenges in conducting democratic elections — preventing frauds, including double voting by the same person. The CSIR’s National Physical Laboratory developed the indelible ink made up of silver nitrate to address this concern.
The CSIR’s footprint in leather sector has been transformative. First, when the CSIR-Central Leather Research Institute (CLRI) was established in 1948, it developed technologies for finished leather products, such as the first ever indigenous manufacture of leather chemicals, making the transition from semi-finished to finished leather possible
During the Green Revolution, the CSIR’s footprint could be seen in the development of agrochemicals and the mechanisation of agriculture. The chemicals industry needed the necessary thrust for its maturation although the Bengal Chemicals and Pharmaceuticals Ltd. had been formed by Acharya Prafulla Chandra Ray long before Independence
Two public sector companies were founded, post-Independence, based on technologies developed in the CSIR’s laboratories — the Hindustan Insecticides Ltd. and Hindustan Organic Chemicals Ltd., the former to make agro chemicals.
Similarly, production of anti-HIV drugs by processes developed in CSIR laboratories provided the necessary impetus to the growth of generic pharmaceutical companies.

Agriculture

Samba Mahsuri Rice Variety – Bacterial Blight Resistant: CSIR has in collaboration with DRR (ICAR) and DBT part funding developed an improved bacterial blight resistant Samba Mahsuri variety. It is being cultivated in ~ 90,000 hectares in the states of Andhra Pradesh, Telangana, Karnataka and Tamil Nadu.
Rice Cultivar (Muktashree) for Arsenic Contaminated Areas: A rice variety has been developed which restricts assimilation of Arsenic within permissible limit. The variety has been released to farmers of West Bengal.
White-fly resistant Cotton variety: Developed a transgenic cotton line which is resistant to whiteflies. It is expected to render it commercially cultivable in 10 years, after due regulatory clearances.
The mechanisation of agriculture was achieved through the indigenous development of the Swaraj tractor at the CSIR-Central Mechanical Engineering Research Institute (CMERI), leading to the formation of Punjab Tractors Ltd. in 1970.
For example, in the 1950s, when solving the infant food problem appeared impossible, the CSIR successfully developed technologies to convert buffalo milk into powder and commercialised it with the help of Amul Industries.
The Aroma Mission of the CSIR in recent times has been transforming the lives of thousands of farmers across the country. The cultivation of lavender in the Union Territory of Jammu and Kashmir has been attracting attention worldwide as India’s ‘Purple Revolution’.

Strategic Sector:

Drishti Systems at Main Runway 28-10 of IGI Airport: Drishti transmissometer, a visibility measuring system provides information to pilots on visibility for safe landing and take-off operations and is suitable for all airport categories. 27 Systems installed in 10 major Indian airports across the country, in collaboration with IMD. Tata Power SED has signed Memorandum of Agreement with Tata Power SED for the supply of 54 Drishti Systems for installation in Indian Air Force Airfields; 22 units have been delivered out of which three have been installed.
Head-Up-Display (HUD) In high-tech areas, CSIR-NAL made significant contribution by developing indigenous Head-Up- display(HUD) for Indian Light Combat Aircraft, Tejas. HUD aids the pilot in flying the aircraft and in critical flight maneuvers including weapon aiming.
Design and Development of Indigenous Gyrotron: Addressing the challenges of technology denial: Design and development of indigenous gyrotron for nuclear fusion reactor has been accomplished.
Energy & Environment:
- Solar Tree: On July 22^nd a solar tree designed by CSIR- CMERI lab in Durgapur was launched which occupies minimum space to produce clean power.
- Lithium Ion Battery: India’s first lithium ion battery fabrication facility based on indigenous novel materials for making 4.0 V/14 h standard cells has been established. The so developed technology on the Li-ion batteries to be commercialized soon.

Healthcare:
- JD Vaccine for Farm Animals: Vaccine developed and commercialized for Johne’s disease affecting Sheep, Goat, Cow and Buffalo so as to immunize them and increase milk and meat production.
- Plasma Gelsolin Diagnostic Kit for Premature Births, and Sepsis related Deaths: A new kit is being developed to diagnose pre-mature birth and sepsis.
- Genomics and other omics technologies for Enabling Medical Decision – GOMED: Genetic diseases, though are individually rare, cumulatively affect a large number of individuals. A programme called GOMED (Genomics and other omics technologies for Enabling Medical Decision) has been developed by the CSIR which provides a platform of disease genomics to solve clinical problems. The present portfolio includes over 80 genes and sequencing of mitochondrial loci for mitochondrial disorders. In a short span of 9 months which encompassed the proof-of-concept stage, GOMED has catered to over 600 patients from across the country.
Food & Nutrition:
- Ksheer-scanner: The Ksheer Scanner, a new technological invention by CSIR-CEERI detects the level of milk adulteration and adulterants in 45 seconds at the cost of 10 paise, thereby putting adulterators in the milk trade in notice .
- Double-Fortified Salt: Salt fortified with iodine and iron having improved properties developed and tested for addressing anaemia in people. To be launched in the market soon.
- Anti-obesity DAG Oil: Oil enriched with Diacylglycerol (DAG) instead of conventional triacylglycerol (TAG) developed. To be launched in the market soon.
Water:
- Aquifer Mapping of Water Scarce Areas: Heliborne transient electromagnetic and surface magnetic technique based aquifer mapping carried out in six different geological locations in Rajasthan (2), Bihar, Karnataka, Maharashtra and Tamil Nadu.
- Understanding the Special Properties of the Ganga Water: Assessment of Water Quality & Sediment Analysis of Ganga from different parts being done.

Daily Mapping

10. Thousands marooned in Odisha as Mahanadi basin floods due to heavy rain

Subject : Physical Geography

Section :Mapping

Concept –

It is a multipurpose scheme conceived by Er. M. Visveswaraya in 1937, after recurrence of devastating floods in Mahanadi river. Its first hydro power was commissioned in 1956.
Hirakud Dam is built across the Mahanadi River, close to Sambalpur city in Odisha in India.
Type: It is a composite structure of earth, concrete and masonry. It is the longest major earthen dam in IndiaWith successful irrigation provided by the dam, Sambalpur is called the rice bowl of Odisha.

Mahanadi River

- The Mahanadi River system is the third largest of peninsular India after Godavari and Krishna, and the largest river of Odisha state.
- The catchment area of the river extends to Chhattisgarh, Madhya Pradesh, Odisha, Jharkhand and Maharashtra.
- Its basin is bounded by the Central India hills on the north, by the Eastern Ghats on the south and east and by the Maikala range on the west.
Source -It rises from a place near Sihawa in Bastar hills in the state of Chhattisgarh to the south of Amarkantak.
Major Tributaries of the Mahanadi river
- Seonath River
- Hasdeo River
- Mand River
- Ib River
- Jonking River
- Tel River

11. Vizhinjam Port

Subject : Physical Geography

Section :Mapping

Context: The Adani Group has temporarily stopped construction activities of the Vizhinjam international seaport, after Latin Catholic Church-backed protestors went inside the construction site.

Concept :

The Vizhinjam International Transhipment Deepwater Multipurpose Seaport is an ambitious project taken up by Government of Kerala.
It is designed primarily to cater container transhipment besides multi-purpose and break bulk cargo.
The port is being currently developed in landlord model with a Public Private Partnership component on a design, build, finance, operate and transfer (“DBFOT”) basis.
The private partner, the Concessionaire M/s Adani Vizhinjam Port Private limited has commenced the construction on 5 th December 2015.