Daily Prelims Notes 22 November 2024

Daily Prelims Notes

22 November 2024

Table Of Contents

1. Chief Economic Advisor (CEA) Urges India Inc to Move Beyond Weak Currency Reliance
2. Supreme Court Allows Telecom Companies to Claim CENVAT Credit on Mobile Towers and Shelters
3. Curbs imposed on temple jathra in Bandipur
4. What is Global Alliance Against Hunger and Poverty, launched at Brazil G20?
5. Hit Ukraine with new mid-range ballistic missile, says Putin on TV
6. Sanjay Murthy assumes office as India’s new CAG
7. Rock-cut footprints, human figure dating back to Megalithic period unearthed at Kerala’s Kanhirapoil
8. ICC issues arrest warrants against Netanyahu, Gallant, and Hamas leaders
9. Is Delhi Becoming an Uninhabitable City?
10. Strengthening Immunization Efforts to Combat Antimicrobial Resistance in India
11. Exponential Rise in Peafowl Population in Tamil Nadu

1. Chief Economic Advisor (CEA) Urges India Inc to Move Beyond Weak Currency Reliance

Sub : Eco

Sec : External sector

• Avoid Over-Reliance on Weak Currency:
  • Chief Economic Advisor (CEA) stressed that weak currency should not be relied upon as the primary means to boost exports.
  • Weak currency may temporarily make exports cheaper, but long-term competitiveness should be driven by productivity, R&D investment, and quality improvements.
• Caution Against Using Weak Currency as a Protective Shield:
  • CEA pointed out that in the past, India and some other developing countries used weak currency to mask inefficiencies rather than addressing them.
  • Unlike India’s approach, China leveraged weak currency alongside significant productivity gains, amplifying its export competitiveness.
• Global Context of Exchange Rate Policies:
  • Many nations are now using exchange rate policies as industrial tools, leading to reactions and counter-reactions in the global economy.
  • With the world shifting toward de-globalization, relying on global GDP and export growth to drive domestic exports is no longer sustainable.

CEA’s Recommendations for India Inc

• Focus on Human Capital Development:
  • Investing in human capital is critical to achieving industrial growth and long-term competitiveness.
• Industrial Growth and Energy Transition:
  • India’s industrial transformation is necessary for higher economic growth.
  • Achieving this requires affordable energy and resolving the challenges posed by energy cross-subsidization.
• Export Performance:
  • India’s export growth has shown improvement in FY 2024 compared to FY 2023.

India’s Economic Growth Trajectory

• Economic Growth Stats:
  • India’s average annual economic growth between 2013-14 and 2023-24 was 5.9%.
  • Industrial growth is key to returning to higher growth rates.
• Job Creation Challenges:
  • With a population of 1.4 billion, creating decent jobs is a pressing need.

Production-Linked Incentive (PLI) Scheme Success

• The PLI scheme has made India a major player in smartphone manufacturing, a sector where it previously had no presence.
• This aligns with the Make in India initiative, which aims to generate jobs and boost manufacturing.

Production Linked Incentive (PLI) Scheme

• The Production Linked Incentive (PLI) Scheme is an initiative by the Government of India aimed at enhancing domestic manufacturing, reducing reliance on imports, and fostering economic growth. It provides performance-based financial incentives to companies on incremental sales of products manufactured in India.

Objectives of the PLI Scheme

• Boost Domestic Manufacturing:
  • Encourage global and domestic companies to set up manufacturing units in India.
• Reduce Import Dependence:
  • Promote self-reliance in critical sectors.
• Increase Employment Opportunities:
  • Spur job creation across key industries.
• Foster Economic Growth:
  • Enhance India’s position as a manufacturing hub and contribute to GDP growth.

Implementation: Each sector’s scheme is overseen by the respective Ministry/Department, with schemes currently in various stages of implementation. 

Incentive Mechanism: Incentives are provided on incremental production and sales made by domestic units.

2. Supreme Court Allows Telecom Companies to Claim CENVAT Credit on Mobile Towers and Shelters

Sub: Eco

Sec: Fiscal policy

Why in News

• The Supreme Court recently delivered a significant judgment in favour of telecom companies, allowing them to claim Central Value Added Tax (CENVAT) credit for mobile towers and pre-fabricated shelters. This decision clarifies the classification of these items as ‘capital goods’ or ‘inputs’ under the CENVAT Rules, impacting the telecom sector’s taxation landscape.

Supreme Court Ruling:

• The Supreme Court, in its ruling, classified mobile towers and pre-fabricated buildings (PFBs) as ‘capital goods’ or ‘inputs’ under the CENVAT Rules, 2004. This recognition entitles telecom service providers to claim CENVAT credit for the excise duties paid on these items.
• The Supreme Court agreed with the Delhi High Court’s interpretation, acknowledging that mobile towers and PFBs play a crucial role in providing “output service,” specifically mobile telecommunication services. This alignment provided clarity on the entitlement of MSPs to CENVAT credit.

The ruling clarified the definition of ‘capital goods’ and ‘inputs’ under the CENVAT Rules:

• Capital Goods: Items that are indispensable for the delivery of telecom services, such as mobile towers and PFBs.
• Inputs: Goods that are used to facilitate the provision of output services, including mobile communication.

According to Rule 3(1)(i) of the CENVAT Rules, 2004, MSPs are entitled to CENVAT credit on excise duties paid for goods that qualify under the defined categories. The court highlighted that if a good is used in providing an output service, it falls within the purview of ‘input’, enabling credit claims on excise duty paid for those items.

About CENVAT:

• CENVAT (Central Value Added Tax)is a tax credit mechanism to avoid double taxation on goods and services in India.
• It allows manufacturers and service providers to claim credit for excise duties paid on inputs, capital goods, and input services.
• The CENVAT system is governed by the CENVAT Credit Rules, 2004.
• It helps reduce the overall tax burden on businesses by offsetting tax paid at earlier stages of production or service.
• CENVAT is applicable to excise duties on goods and service tax on services.

Base Transceiver Station (BTS):

• It is a communication system that facilitates wireless communication between mobile devices and the network.
• The court noted that mobile towers form an integral part of the Base Transceiver Station (BTS) along with antennas, all of which are essential for maintaining a functional telecom system. Without these components, mobile services cannot be efficiently provided.

Role of Pre-Fabricated Buildings (PFBs):

• The PFBs serve as shelters for critical equipment such as battery backups, rectifiers, Uninterruptible Power Supplies (UPS), and generators, which are necessary for the continuous operation of telecom services.

Implications for the Telecom Sector:

• This ruling is expected to provide a financial boost to telecom companies by enabling them to claim tax credits on essential infrastructure components, potentially leading to cost reductions.
• The decision sets a legal precedent for similar cases involving the classification of goods and tax credits, particularly in the telecom and infrastructure sectors.
• The Supreme Court’s decision provides a uniform interpretation of the CENVAT Rules, reducing ambiguity and legal disputes for telecom operators.

3. Curbs imposed on temple jathra in Bandipur

Sub : Env

Sec: Protected Areas

Context:

• The annual jathra of Beladakuppe Sri Mahadeshwaraswamy Temple, located in the core area of Bandipur Tiger Reserve, will face several restrictions this year to minimize the impact on the wildlife habitat.

Measures Imposed by the Forest Department:

• Transportation:
  • Private vehicles are banned from entering the tiger reserve, a rule in effect for a few years.
  • KSRTC buses will ferry devotees from the outskirts of the forest to the temple and back.
• Security:
  • Adequate deployment of Forest Department staff and security personnel to ensure compliance with laws.

Concerns of Conservationists:

• The core critical area of the tiger reserve faces disturbances due to:
  • Movement of tens of thousands of people.
  • Past activities such as temporary kiosks, stalls, loudspeakers, and lighting, though most of these have been banned.
• Impact on Wildlife: Wildlife habitats are disrupted, causing significant stress to the ecosystem.
• Relocation Proposal:
  • The National Tiger Conservation Authority (NTCA) has recommended relocating the temple to mitigate disturbances. However, implementation has been stalled due to political resistance.

Bandipur Tiger Reserve:

• Bandipur National Park is a national park covering 868.63 km2 (335.38 sq mi) in Chamarajnagar district in the Indian state of Karnataka. 
  • Location: Situated in the Western Ghats, part of the Nilgiri Biosphere Reserve, and adjacent to other key reserves like Nagarahole, Wayanad, and Mudumalai.
• It was established as a tiger reserve under Project Tiger in 1973.
• It is part of the Nilgiri Biosphere Reserve since 1986.

Flora and Fauna:

• Wildlife:
  • Home to flagship species such as Bengal tigers, Indian elephants, and leopards.
  • Other species include gaurs, chitals, sloth bears, and various bird species.
• Vegetation:
  • Comprises dry deciduous forests, moist deciduous forests, and shrublands, supporting diverse biodiversity.

Source: TH

4. What is Global Alliance Against Hunger and Poverty, launched at Brazil G20?

Sub: IR

Sec: Int Org

Context:

• The G20 Leaders’ Summit in Rio de Janeiro, Brazil (2024) marked the official launch of the Global Alliance Against Hunger and Poverty, a key initiative under Brazil’s G20 presidency.

About the Alliance:

• Purpose:
  • To connect countries requiring assistance with partners offering expertise or financial support.
  • Focused on creating and implementing public policies to eradicate hunger and poverty.
• Function: Serves as a collaborative platform for:
  • Addressing hunger and poverty globally.
  • Promoting food security and improved nutrition.

Membership and Structure

• Members: 148, including 82 countries; African Union and European Union; 24 international organizations; 9 financial institutions; 31 philanthropic and non-governmental organizations.
• Available to non-G20 countries since July 2024.
• Early members include Brazil, Bangladesh, and G20 members, with participants spanning all continents.

Key Pillars of the Alliance

• National: Coordination of public policies specific to eradicating hunger.
• Knowledge: Integration of data and technologies for evidence-based solutions.
• Financial: Large-scale resource mobilization to fund programs.

Context and Urgency:

• 2030 Agenda for Sustainable Development:
  • Adopted in 2015 by all 193 UN Member States.
  • Aims to:
    • End poverty and hunger.
    • Achieve food security and improved nutrition by 2030.
• The Alliance aligns with these global goals to tackle these persistent challenges more effectively.
• Projections indicate 622 million people will live below the extreme poverty line of $2.15 per day by 2030.

Source: IE

5. Hit Ukraine with new mid-range ballistic missile, says Putin on TV

Sub : Sci

Sec: defence

Context:

• Russian President Vladimir Putin delivered a televised address where he discussed the country’s recent military actions, including the launch of a new mid-range ballistic missile, Oreshnik.

New Missile System:

• The missile is called Oreshnik, which translates to hazel tree in Russian.
• It is a Russian hypersonic intermediate-range ballistic missile (IRBM).
• The missile is claimed to have a speed of Mach 10 (around 2.5-3 km per second), cannot be intercepted by current air defence systems. This makes the missile particularly advanced in terms of evading defensive measures.
• The missile was deployed in a non-nuclear hypersonic configuration. The test was described as successful, having hit its intended target in Ukraine’s central city of Dnipro.

Types of ballistic missiles based on the range:

• Short-range ballistic missile (SRBM): Range between 300 km and 1,000 km.
• Medium-range ballistic missile (MRBM): 1,000 km to 3,500 km.
• Intermediate-range (Long-Range) ballistic missile (IRBM or LRBM): 3,500 km and 5,500 km.
• Intercontinental ballistic missile (ICBM): more than 5,500 km.

About Dnipro:

• Formerly referred to as Dnipropetrovsk, Dnipro is a major industrial city in Ukraine.
• The city is located on the banks of the Dnieper River.

6. Sanjay Murthy assumes office as India’s new CAG

Sub: Polity

Sec: Constitution

Context:

• Sanjay Murthy, a senior Indian Administrative Service (IAS) officer from the Himachal Pradesh, has assumed office as the Comptroller and Auditor General (CAG) of India.

Comptroller and Auditor General of India (CAG):

• The Constitution of India (Article 148) provides for an independent office of the Comptroller and Auditor General of India (CAG).
• He is the head of the Indian Audit and Accounts Department.

Term and appointment:

• The CAG is appointed by the President of India.
• The CAG holds office for a term of 6 years or until the age of 65 years, whichever is earlier.
• He can resign any time from his office by addressing the resignation letter to the president. He can also be removed by the president on same grounds and in the same manner as a judge of the Supreme Court.
• The CAG is not eligible for any further office after the end of their tenure either in the Government of India or any State Government.

Role and functions of the CAG:

• The primary role of the CAG is to audit the accounts of the Union and State governments. The CAG ensures that government funds are used properly and that public resources are accounted for correctly.
• The CAG also audits the accounts of public sector undertakings (PSUs) and other organizations that are financed by the government.
• After conducting audits, the CAG submits the audit reports to the President of India, who lays the report before Parliament.
• The Public Accounts Committee (PAC) of Parliament examines the CAG’s reports.

7. Rock-cut footprints, human figure dating back to Megalithic period unearthed at Kerala’s Kanhirapoil

Sub: History

Sec: Ancient India

Context:

• A remarkable archaeological discovery has been made in Kanhirapoil, located in the Madikkai Grama Panchayat of Kerala.

Details of the discovery:

• The discovery consists of 24 pairs of footprints, which vary in size from six to 10 inches, suggesting they represent both adults and children.
• A human figure has been carved at the end of the footprints, accompanied by four circular pits surrounding the figure. The carvings are believed to date back to the Megalithic period.
• The carvings were made using iron tools, indicating advanced tool-making skills of the period. The intricate nature of the carvings suggests high level of craftsmanship.

Cultural Interpretation:

• According to archaeologists, the footprints likely represent the souls of deceased individuals and were carved to honour them. The footprints are all oriented towards the west, which may hold symbolic significance.
• Local traditions interpret the footprints as belonging to a goddess.

Regional parallels:

• The carvings at Kanhirapoil bear similarities to prehistoric rock art found in other regions:
  • Avalakki Pera in Udupi district, Karnataka
  • Erikulam Valiyapara in Kasaragod, Kerala
  • Cheemeni Ariyittapara in Kerala
  • Edakkal Caves in Wayanad, Kerala
• These similarities suggest a shared cultural heritage among prehistoric sites in north Kerala and neighbouring regions.

Megalithic period:

• Megalithic period refers to a period characterized by the use of large stones for monuments and burial practices.
• While megalith is often used to describe a single piece of stone, it also can be used to denote one or more rocks hewn in a definite shape for special purposes.
• The period coincides with the Iron Age in the Indian subcontinent.

8. ICC issues arrest warrants against Netanyahu, Gallant, and Hamas leaders

Sub: IR

Sec: Int Organisation

Context:

• The International Criminal Court (ICC) issued arrest warrants for several individuals, including Israeli Prime Minister Benjamin Netanyahu, former Defence Minister Yoav Gallant, and key Hamas officials.
• These warrants are related to accusations of war crimes and crimes against humanity stemming from their roles in the ongoing conflict in Gaza.

Details of the charges:

• The ICC issued warrants for Netanyahu and Gallant, accusing them of intentionally depriving the civilian population in Gaza of basic survival necessities, such as food, water, and medical supplies, during Israel’s military operations in Gaza.
• The ICC issued a warrant for Mohammed Deif, a senior Hamas leader, for his role in orchestrating the October 7, 2023, attacks on Israel, which led to Israel’s subsequent military offensive in Gaza.

International Criminal Court (ICC):

• The International Criminal Court (ICC), located in The Hague, is the court of last resort for prosecution of genocide, war crimes, and crimes against humanity.
• It is the first permanent, treaty based, international criminal court established to help end impunity for the perpetrators of the most serious crimes of concern to the international community.
• Its founding treaty, the Rome Statute, entered into force on July 1, 2002.
• It does not have the capacity to arrest suspects and depends on member states for their cooperation.

Composition and voting power:

• The Court’s management oversight and legislative body, the Assembly of States Parties, consists of one representative from each state party.
• Each state party has one vote and every effort is taken to reach decisions by consensus. If consensus cannot be reached, decisions are made by vote.
• The Assembly is presided over by a president and two vice-presidents, who are elected by the members to three-year terms.

9. Is Delhi Becoming an Uninhabitable City?

Sub: Env

Sec: Pollution

Why in News

• Delhi’s air pollution has become a critical concern, with severe health implications for its residents. The alarming pollution levels, especially during winter and the impact of extreme weather, raise questions about Delhi’s liveability. These issues disproportionately affect vulnerable populations, making it a subject of ongoing discussion.

Air Quality Index (AQI):

• The Air Quality Index (AQI), as defined by the Central Pollution Control Board (CPCB), measures the concentration of eight pollutants: PM10, PM2.5, NO₂, SO₂, CO, O₃, NH₃, and Pb.
• Each pollutant is given a sub-index score, and the worst score determines the AQI for a location, translating complex data into understandable figures.

Sources of Air Pollution in Delhi:

• Beyond Stubble Burning: During peak stubble-burning days, PM2.5 contribution ranges from 15-35%. However, even without stubble burning, Delhi’s AQI would not fall below “very poor” levels, suggesting deeper systemic problems.
• Internal Pollution Sources:  According to a 2023 report by IIT Kanpur, IIT Delhi, TERI, and Airshed Kanpur, half of the PM2.5 in winter originates from Delhi itself.
• Vehicle Emissions: Contribute 58% to Delhi’s pollution—34% from exhaust and 24% from tyre and brake wear.
• A significant reduction in pollution would require a shift from private to public transport using cleaner energy, with effective last-mile connectivity.

10. Strengthening Immunization Efforts to Combat Antimicrobial Resistance in India

Sub : Sci

Sec: Health

Why in News

• The observance of Antimicrobial Resistance (AMR) Awareness Week from November 18-24 has highlighted the critical role of vaccination in reducing antibiotic use and combating AMR. Recent data and studies underscore the importance of expanding vaccination coverage in India, especially for diseases like pneumococcal pneumonia and Haemophilus influenzae, which continue to pose significant health risks.

Current State of Vaccination in India:

• India’s effort to restore childhood vaccination rates after the COVID-19 pandemic has been commendable.
• Data Gaps in Vaccination: There is a lack of precise data on certain vaccines like the Pneumococcal Conjugate Vaccine (PCV)and the Haemophilus influenzae type b (Hib) vaccine, which were added to the national immunization program in recent years.
• These vaccines target pathogens such as Streptococcus pneumoniaeand Haemophilus influenzae, which are leading causes of respiratory infections.
• Estimates from 2015 indicated that these pathogens caused around 84 million casesand 84,000 deaths annually in India.
• These infections are a significant concern, particularly for children under five, causing ear infections, pneumonia, and meningitis.
• Global Vaccination Trends: Many developed nations and 60 of the 73 Gavi-eligible countries have incorporated PCV into their immunization schedules. This has led to a notable reduction in pneumonia cases and associated deaths among children.

About Haemophilus Influenzae Vaccine (Hib):

• The Hib vaccine prevents infections caused by Haemophilus influenzae type b bacteria.
• Hib bacteria can cause pneumonia, meningitis (brain infection), septicemia (bloodstream infection), and epiglottitis (swelling in the throat).
• Children under 5 years of ageare most at risk for Hib infections, particularly those under 2 years.
• Typically administered in multiple dosesstarting from 6 weeks of age, often combined with other vaccines like DPT (Diphtheria, Pertussis, Tetanus).
• The Hib vaccine has been highly effective in reducing cases of Hib meningitis,one of the leading causes of bacterial meningitis in young children.
• The Hib vaccine was introduced in India’s national immunizationprogram to reduce child mortality and combat the spread of respiratory infections.

About Pneumococcal Conjugate Vaccine (PCV):

• PCV is designed toprevent infections caused by Streptococcus pneumoniae, which includes diseases like pneumonia, meningitis, and sepsis.
• The vaccine is conjugate,meaning it combines several different strains of pneumococcal bacteria to provide broad immunity.
• Children under 5, adults over 65,individuals with chronic illnesses, and smokers are most susceptible to pneumococcal infections.
• Typically involves a series of doses starting from infancy,with additional doses recommended for older adults and at-risk populations.
• PCV has been effective in preventing pneumococcal diseases, reducing hospitalizations, and decreasing the spread of antibiotic-resistant strains.
• Majorburden states include Uttar Pradesh, Bihar, Madhya Pradesh, Rajasthan, and Jharkhand.

About Anti-microbial resistance:

• Antimicrobial resistance (AMR) threatens the effective prevention and treatment of an ever-increasing range of infections caused by bacteria, parasites, viruses and fungi.
• AMR occurs when bacteria, viruses, fungi and parasiteschange over time and no longer respond to medicines making infections harder to treat and increasing the risk of disease spread, severe illness and death.
• As a result, the medicines become ineffective and infections persist in the body,increasing the risk of spread to others.
• Antimicrobials – including antibiotics, antivirals, antifungals and antiparasitic– are medicines used to prevent and treat infections in humans, animals and plants. Microorganisms that develop antimicrobial resistance are sometimes referred to as “superbugs”.

Non-Vaccination and AMR:

• Non-vaccination contributes to a broader global challenge: antimicrobial resistance (AMR).
• Unvaccinated children are more susceptible to preventable diseases, which often result in unnecessary medical interventions, including the misuse of antibiotics.
• The inappropriate use of antibiotics exacerbates the AMR crisis, making it harder to treat infections.

Antibiotic Usage in South Asia:

• South and Southeast Asia account for approximately 6.5% of global antibiotic consumption.
• The region also uses around 54.9% of antibiotics classified under the WHO’s Watch list, raising concerns over the rise of drug-resistant infections.
• The AMR crisis is compounded by a lack of new drug development, leading to potentially dire consequences.

11. Exponential Rise in Peafowl Population in Tamil Nadu

Sub : Env

Sec: Species in news

Why in News

• Recent research by the Salim Ali Centre for Ornithology and Natural History (SACON), Coimbatore, has revealed a significant increase in the peafowl population in Tamil Nadu. This growth has raised concerns among farmers due to increased crop damage and prompted discussions on conservation strategies and wildlife management.

About Indian Peafowl:

• The Indian Peafowl is designated as the national bird of India, symbolizing beauty and grace.
• It is one of the most rapidly increasing bird species in India, with a noticeable rise in both range and population density.
• In the last 20 years, Indian Peafowls have expanded into previously unoccupied regions such as the high Himalayas and the rainforests of the Western Ghats.
• Peafowls are now found in every district of Kerala, a state where they were once extremely rare.
• Traditionally found in scrub forests and dry habitats, Indian Peafowls have adapted to urban and semi-urban environments.
• Increasing peafowl populations have led to frequent crop damage, impacting farmers in states like Tamil Nadu.
• Sorghum, vegetables, paddy, and flowers are particularly vulnerable to peafowl attacks, with damage reported almost daily in some regions.
• The main causes of peafowl deaths include pesticide poisoning, electrocution, and vehicular accidents.
• Listed under Schedule-I of the Wildlife Protection (Amendment) Act, 2022, the Indian Peafowl enjoys the highest degree of protection.
• The peafowl’s diet includes snakes and seeds, and its population surge may affect the balance of local ecosystems.
• A decrease in natural predators like jackals and jungle cats has been linked to the increase in peafowl numbers.
• The peafowl holds religious and cultural importance in India, particularly as the vehicle of Lord Muruga in Hindu mythology.
• eBird Data Trends: According to the Nature Conservation Foundation, peafowl sightings in Tamil Nadu have increased six-fold over the past 20 years, while they have doubled across India during the same period.

About Salim Ali Centre for Ornithology and Natural History (SACON):

• SACON was established in 1990 in Coimbatore, Tamil Nadu.
• The centre is named after Dr. Salim Ali, the “Birdman of India.”
• SACON specializes in ornithology (the study of birds) and biodiversity conservation.
• It operates under the Ministry of Environment, Forest and Climate Change, Government of India.
• SACON conducts research on bird ecology, wetland conservation, and human-wildlife conflict mitigation.
• Plays a key role in monitoring avian diversity and bird habitats in India.
• SACON publishes scientific papers, research reports, and policy recommendations on avian and ecological conservation.