Daily Prelims Notes 4 July 2024

Daily Prelims Notes

4 July 2024

1. HIV breakthrough: Drug trial shows injection twice a year is 100% effective against infection

Sub: Science and tech

Sec: Public Health

Context:

• A large clinical trial in South Africa and Uganda has shown that a twice-yearly injection of a new pre-exposure prophylaxis drug gives young women total protection from HIV infection.

More on news:

• The trial tested whether the six-month injection of lenacapavir would provide better protection against HIV infection than two other drugs, both being daily pills. 
• All three medications are pre-exposure prophylaxis (or PrEP) drugs.
• Purpose 2 is being conducted in a number of regions including some sites in Africa among cisgender men, and transgender and nonbinary people who have sex with men.

About the trials:

• Lenacapavir (Len LA) is a fusion capside inhibitor.
• It interferes with the HIV capsid, a protein shell that protects HIV’s genetic material and enzymes needed for replication.
• It is administered just under the skin, once every six months.

Significance of these trials:

• There were 1.3 million new HIV infections globally in the past year.
• Although that’s fewer than the 2 million infections seen in 2010, it is clear that at this rate we are not going to meet the HIV new infection target that UNAIDS set for 2025 or potentially even the goal to end Aids by 2030.
• PrEP should be provided alongside HIV self-testing, access to condoms, screening and treatment for sexually transmitted infections and access to contraception for women of childbearing potential.

What is PrEP?

• PrEP refers to the use of antiretroviral drugs to prevent HIV infection in individuals who are at high risk of acquiring the virus. 
• The drugs used in PrEP are called Truvada, a combination of two antiretroviral medications – Tenofovir disoproxil fumarate (TDF) and Emtricitabine (FTC).

What is HIV?

• HIV (human immunodeficiency virus) is a virus that attacks cells that help the body fight infection, making a person more vulnerable to other infections and diseases.
• It is spread by contact with certain bodily fluids of a person with HIV, most commonly during unprotected sex (sex without a condom or HIV medicine to prevent or treat HIV), or through sharing injection drug equipment.
• If left untreated, HIV can lead to the disease AIDS (acquired immunodeficiency syndrome).
• The human body can’t get rid of HIV and no effective HIV cure exists.
• However, effective treatment with HIV medicine (called antiretroviral therapy or ART) can reduce the amount of HIV in the blood (also called the viral load) to a very low level.

2. Spiral galaxies evolved 4 billion years sooner than expected

Sub: Science and tech

Sec: Space

Context:

• A new study has revealed more spiral galaxies in the universe’s youth than astronomers had expected.

More on news:

• The universe is about 13.8 billion years old and is home to different kinds of galaxies, from spiral to elliptical and those with or without bulges.
• While the universe’s younger galaxies have tended to spiral, the older ones have a variety of shapes.
• Studying the older galaxies is more difficult because the light from them is fainter.

Seeing further into the past:

• The first step is to use light of the infrared and optical wavelengths to detect galaxies in the early universe.
• Since older galaxies are harder to detect, powerful telescopes were required.
• Ideally, astronomers would like to observe light emitted when the universe was around 500 million years old, when the galaxies were thought to be forming.
• NASA’s James Webb Space Telescope, launched in 2021, has helped astronomers gaze much deeper into the universe’s past than before.
• Some of them dated to 1.5 billion years after the universe’s birth.

3. Scientists propose a new measure of flexibility for crystals

Sub: Science and tech

Sec: Msc

Context:

• Professor Umesh V. Waghmare from the Theoretical Sciences Unit at Jawaharlal Nehru Centre for Advanced Scientific Research, (JNCASR) Bengaluru and his team recently introduced a novel quantitative measure of mechanical flexibility for crystals that can be used to screen materials databases to identify next-generation flexible materials.

More on news:

• Researchers have carried out an in-depth analysis of the mechanisms underlying the flexibility of crystals of Metal-organic frameworks (MOFs) and attributed the flexibility to large structural rearrangements associated with soft and hard vibrations within a crystal that strongly couples to strain fields.

About Metal-organic frameworks (MOFs):

• Metal-organic frameworks (MOFs) are a large class of crystalline materials which possess the remarkable ability to absorb gasses, such as carbon dioxide, and store them as well as act as filters for crude oil purification.
• MOFs derive their ability from the presence of nanopores, enhancing their surface areas that, in turn, make them adept at absorbing and storing gasses. 
• However, limited stability and mechanical weakness have hindered their broader applications.
• Flexibility in crystals has been assessed in terms of a parameter called elastic modulus, which is a measure of a material’s resistance to strain-induced deformation. 
• In contrast, this study proposes a unique theoretical measure based on the fractional release of elastic stress or strain energy through internal structural rearrangements under symmetry constraints. 
• This new metric can be readily calculated using standard techniques of simulation and can rate the flexibility of a crystal on a scale of zero to one, zero signifying the least flexibility while one indicates maximum flexibility.

4. Centre issues advisory, self-declaration for ads on food and health products only

Sub: Sci

Sec: Health

Context:

• The Ministry of Information & Broadcasting (MIB) issued a fresh advisory, asking the advertisers and advertising agencies issuing advertisements for products and services related to the food and health sectors to upload an annual self-declaration certificate on the platforms made available for the purpose.

More on news:

• The advisory is limited to the food and health sector only, meaning these sectors are only required to provide the self-declaration certificate annually. 
• The media houses are relieved from the responsibility of checking/validating the certificates.

New Advisory:

• According to the new advisory, the facility for uploading the self-declaration certificate by the advertisers/advertising agencies has been made available on the Broadcast Seva Portal for TV/radio advertisements and on the portal of the Press Council of India for the advertisements on print media/internet.
• The advertisers/advertising agencies issuing advertisements for products and services related to food and health sectors have been advised to upload an annual self-declaration certificate on above platforms.
•  It shall be the responsibility of the advertisers/advertising agencies to ensure that every advertisement being issued by them is in adherence to the applicable Indian laws, rules, and regulations in letter and spirit.

Supreme court view:

• The Supreme Court  in its judgment under Article 32 of the Constitution of India has stressed on  the right of a consumer to be made aware of the quality of products being offered for sale by manufacturers, service providers, advertisers, and advertising agencies.
•  It was  directed that before an advertisement is printed/aired/displayed, a self-declaration shall be submitted by the advertiser/advertising agency on the lines contemplated in Rule 7 of the Cable Television Networks Rules, 1994.

5. NITI Aayog to launch ‘Sampoornata Abhiyan’

Sub: Schemes

Sec: Msc

Context:

• NITI Aayog is launching ‘Sampoornata Abhiyan’, a 3-month campaign from 4th July – 30th September 2024, to undertake a sustained effort to achieve saturation of 6 key indicators in Aspirational Districts and 6 key indicators in Aspirational Blocks across the country.

More on news:

• NITI Aayog has provided a list of activities that districts and blocks can organize as part of the ‘Sampoornata Abhiyan’ launch.
• NITI Aayog, in collaboration with the relevant Central Ministries and Departments, as well as the Governments of States and Union Territories, will work together to ensure the effective and rapid development of these Districts and Blocks.

About Sampoornata Abhiyan-

‘Sampoornata Abhiyan’ will focus on the following 6 identified KPIs across all Aspirational Blocks:

• Percentage of pregnant women registered for Antenatal Care (ANC) within the first trimester
• Percentage of persons screened for Diabetes against the targeted population in the Block
• Percentage of persons screened for Hypertension against the targeted population in the Block
• Percentage of pregnant women taking Supplementary Nutrition under the ICDS Programme regularly
• Percentage of Soil Health Cards generated against the soil sample collection target
• Percentage of SHGs that have received a Revolving Fund against the total SHGs in the block.

The 6 identified KPIs across Aspirational Districts under ‘Sampoornata Abhiyan’ are:

• Percentage of pregnant women registered for Antenatal Care (ANC) within the first trimester
• Percentage of pregnant women taking Supplementary Nutrition under the ICDS Programme regularly
• Percentage of children fully immunized (9-11 months) (BCG+DPT3+OPV3+Measles 1)
• Number of Soil Health Cards distributed
• Percentage of schools with functional electricity at the secondary level
• Percentage of schools providing textbooks to children within 1 month of the start of the academic session

About About Aspirational Districts and Blocks Programme:

6. India to host UNESCO World Heritage Committee session in New Delhi from July 21

Sub: IR

Sec: Int org

UNESCO World Heritage Committee 46th Session:

• Held at: Bharat Mandapam, New Delhi, India
• Organized by: Archaeological Survey of India (ASI)
• Participants:
  • Total Delegates: Over 2,500 from 195 countries, including State Parties, advisory bodies, senior diplomats, heritage experts, scholars, and researchers

UNESCO World Heritage Committee:

• Established: November 16, 1972
• Comprises representatives from 21 States Parties to the World Heritage Convention (1972) elected by the General Assembly of UNESCO.
• Previous Session: The 45th session was held in Riyadh, Saudi Arabia
• Purpose: Implementation of the World Heritage Convention
• Responsibilities:
  • Allocates financial assistance from the World Heritage Fund
  • Decides on the inscription of sites on the World Heritage List
• Last Rules of Procedure Revision: 39th session, Bonn, 2015
• Current Members (elected November 2023):
  • Argentina, Belgium, Bulgaria, Greece, India, Italy, Jamaica, Japan, Kazakhstan, Kenya, Lebanon, Mexico, Qatar, Republic of Korea, Rwanda, Saint Vincent and the Grenadines, Senegal, Türkiye, Ukraine, Vietnam, Zambia

What is the World Heritage Convention?

• The World Heritage Convention, more accurately the Convention Concerning
• the Protection of the World Cultural and Natural Heritage, was adopted in 1972 at the UNESCO General Conference in Paris, France.
• It came into force in 1975. India ratified the convention in 1977.
• The convention aims to promote cooperation among countries to protect heritage all over the world that is of such outstanding universal value that its conservation is important for current and future generations.
• Currently, there are 194 State Parties to the convention.
• State Parties agree to:
  • Adopt a general policy that aims to give the cultural and natural heritage a function in the life of the community and to integrate the protection of that heritage into comprehensive planning programs.
  • Undertake appropriate legal, scientific, technical, administrative and financial measures necessary for the identification, protection, conservation, presentation and rehabilitation of this heritage.
  • Refrain from ‘any deliberate measures which might damage, directly or indirectly, the cultural and natural heritage’ of other Parties to the Convention, and to help other Parties in the identification and protection of their properties.
• The World Heritage Convention links together in a single document the concepts of nature conservation and the preservation of cultural properties.

India’s UNESCO World Heritage Sites:

• Total Sites: 42
• Recent Addition: Sacred Ensembles of the Hoysalas in Karnataka (42nd site), Santiniketan (41st site)

Source: TH

7. New Study Links CO2 Increase to Rainfall Changes, Impacts on Biodiversity Hotspots

Sub: Environment

Sec: Climate Change

Context:

• Research by scientists from the Birbal Sahni Institute of Palaeosciences (BSIP) suggests that evergreen forests in the Western Ghats, northeast India, and the Andaman Islands may be replaced by deciduous forests due to these climate shifts.

Details:

• Rising greenhouse gas levels could significantly alter rainfall patterns in equatorial regions, potentially transforming India’s biodiversity hotspots.
• The study examined fossil pollen and carbon isotope data from the Eocene Thermal Maximum 2 (ETM-2), a period of global warming that occurred approximately 54 million years ago.
• This era serves as a potential analogue for future climate scenarios, offering valuable insights into the effects of increased atmospheric carbon dioxide on tropical ecosystems.

Research Focus and Findings:

• Researchers focused on the Panandhro Lignite Mine in Gujarat, which provided a unique opportunity to study vegetation-climate relationships near the equator during the ETM-2.
• Analysis of fossil pollen revealed that when atmospheric CO2 concentrations exceeded 1000 ppmv near the paleo-equator, rainfall decreased significantly, leading to an expansion of deciduous forests.
• The study raises important questions about the survival of equatorial/tropical rainforests and biodiversity hotspots under increased carbon emissions.
• It helps understand the relationship between CO2 and the hydrological cycle and aids in the future conservation of biodiversity hotspots.

Deep-Time Hyperthermal Events as Climate Analogs:

• Deep-time hyperthermal events are considered potential analogues for future climate predictions. However, data on these hyperthermal events are mainly known from the mid- and high-latitude regions.
• There is a lack of quantitative data from the equatorial or tropical regions.
• Researchers from BSIP, an autonomous institute of the Department of Science and Technology, used fossil pollen and carbon isotope data from the ETM-2 to quantify the terrestrial hydrological cycle during that period.
• During the ETM-2, the Indian plate lingered near the equator during its journey from the southern to the northern hemisphere, making it a perfect natural laboratory to understand the vegetation-climate relationship near the equator.

Biodiversity Hotspots:

• There are currently 36 recognized biodiversity hotspots. These are Earth’s most biologically rich—yet threatened—terrestrial regions.
• To qualify as a biodiversity hotspot, a region must meet two strict criteria:

1. It must have at least 1,500 vascular plants as endemics — which is to say, it must have a high percentage of plant life found nowhere else on the planet. A hotspot, in other words, is irreplaceable.
2. It must have 30% or less of its original natural vegetation. In other words, it must be threatened.

• There are 4 BHs in India:

1. The Himalayas.
2. Indo-Burma Region.
3. The Western Ghats.
4. Sundaland.

Source: PIB

8. Is viability gap funding enough to power India’s offshore wind dreams?

Sub: Economy

Sec: Infrastructure

Government of India’s Viability Gap Funding (VGF) Scheme for Offshore Wind Energy:

• The Government of India approved a viability gap funding (VGF) scheme worth Rs 7,453 crore ($890 million) to promote offshore wind energy projects.
• Rs 6,853 crore (~$820 million) is allocated for the installation and commissioning of 1 GW of offshore wind energy projects, with 500 MW each off the coasts of Gujarat and Tamil Nadu.
• Rs 600 crore (~$70 million) is designated for upgrading ports Pipavav and Thoothukudi to support these projects.
• The Union Ministry of New and Renewable Energy (MNRE) and the Union Ministry of Power will handle the cost and construction of power evacuation infrastructure.

About the Viability Gap Funding (VGF) for Wind Energy in India:

• VGF is a financial support mechanism to ensure infrastructure projects are commercially viable, attracting private investment by reducing the gap between the project’s cost and expected returns.
• The 1 GW offshore wind projects are expected to generate approximately 3.72 billion units of renewable electricity annually, reducing 2.98 million tonnes of CO2 emissions per year for 25 years.
• This initiative aims to create a robust ecosystem for offshore wind energy, facilitating the development of 37 GW with an estimated investment of Rs 4,500 billion.

Implementation Mechanism of VGF:

• Private developers will execute the projects through a bidding process, with the Power Grid Corporation of India Limited constructing the necessary power evacuation infrastructure.
• The Ministry of New and Renewable Energy will coordinate with other ministries and departments to ensure seamless implementation, while the Ministry of Ports, Shipping and Waterways will support port development.

Anticipated Challenges:

• Concerns exist about whether the VGF amount is sufficient for Independent Power Producers (IPPs) to generate and sell offshore wind power at competitive rates to state DISCOMs.
• Considerations include waiving customs duty on offshore wind turbine generators, submarine cables, and foundations to address supply chain limitations in India.
• The MNRE may extend the RLMM waiver for offshore wind turbines or provide higher tariff restrictions to encourage manufacturing in India.

Conclusion

• The VGF scheme is a significant step towards a greener, more sustainable India, encouraging state governments to provide additional subsidies to transform coastal areas and create employment opportunities.
• The success of offshore wind energy in India requires resolving power procurement risks from DISCOMs and defining environmental standards for offshore wind.
• Sectoral policies need to enhance domestic manufacturing, logistics, transport, employment generation, and security in the Indian Ocean.
• Strengthening the National Institute of Wind Energy’s institutional capacity, with offices in Gujarat and Tamil Nadu, is crucial for smooth project approval and development.

Source: DTE

9. A grassroots model to tackle cement pollution

Sub: Environment

Sec: Pollution

Context:

• Cement is a major industrial polluter with CO2 emissions (contributing approximately 7-8% of global CO2 emissions) being an inevitable output in clinker production, releasing 576 kg per tonne of cement.

Rural Prosperity Mission (RPM):

• RPM aims to transform adversity into prosperity by involving an anchor client (cement plant), an anchor municipality, surrounding villages, and innovative technology.
• Rajapalayam in Tamil Nadu, with a 1.5 million tonnes per annum cement plant, serves as a model.
• The municipality, with 184,000 residents and 100 nearby villages, faces financial constraints and pressing community needs such as water supply, fair-priced agricultural produce, women’s empowerment, education, skilling, and CO2 emissions.

Addressing CO2 Emissions and Boosting Revenue:

• Substituting coal with hydrogen in the cement plant can eliminate CO2 emissions, with hydrogen having six times the calorific value of coal.
• The cement manufacturer will switch to hydrogen if its adjusted cost, including carbon tax, is equal to or lower than coal costs. There is a demand for green cement, potentially available at a 15% premium.
• Given the current coal costs and hydrogen’s calorific value, the levelised hydrogen price would be around Rs 158/kg, about $2/kg.

Economics of Hydrogen:

• Clean energy for hydrogen production will come from a 70 MW solar plant in Rajapalayam and 2-3 MW solar plants in each village, supplemented by remote renewable energy for 24/7 operations.
• The project involves three phases: water sourcing and transport piping (Rs 775 crore), electrolyser and floating solar plant (Rs 1,336 crore), and village electrolysers (Rs 1,211 crore), totalling Rs 1,622 crore.
• Financing includes 60% (Rs 982 crore) from government grants and 40% (Rs 640 crore) as soft loans and vendor financing.
• Annual operating expenses are Rs 343 crore, with revenue from hydrogen sales to the cement plant at Rs 158/kg, plus a government subsidy of Rs 35/kg. First-year sales revenue is estimated at Rs 558 crore, with a surplus of Rs 215 crore after expenses, sufficient for loan repayments and distribution to the municipality and villages. Profits are projected to rise to Rs 164 crore/year after loan repayment from the sixth year onwards.

Implementation and Benefits:

• Phase-1 includes identifying five new water sources to be stored in a refurbished 180-acre reservoir, meeting human, agricultural, and industrial needs.
• Clean hydrogen will be generated with 180 MW electrolyser capacity, distributed between Rajapalayam reservoir (55 MW) and the cement plant (125 MW) across villages, with hydrogen trucked from 100 villages.
• The project will significantly reduce carbon emissions and social costs, generating an additional Rs 50 crore/year for the municipality.
• The RPM concept can be replicated in other cement factory locations and heavy carbon emission industries in Tamil Nadu and across India, substantially lifting incomes for below poverty line (BPL) families.

Source: THBL

10. India Faces High Debt but Sustainable for Now: NCAER

Sub: Economy

Sec: National Income

India’s public debt is very high, almost 82% of GDP, but the country doesn’t face a debt-sustainability issue due to its high growth rate and the higher share of local-currency debt, according to NCAER.

Key Points:

• High Debt Levels:
  • Current Situation: India’s public debt stands at nearly 82% of GDP.
  • Sustainability: Despite high debt levels, the situation is sustainable for now because of higher real or nominal GDP and the fact that most of the debt is held in rupees.
• State-Level Debt:
  • Proportion of Debt: States collectively hold one-third of the total debt.
  • Future Projections: In a ‘business-as-usual’ scenario, state debt levels are expected to increase over the next five years.
  • Example: In states like Punjab and Himachal Pradesh, the Debt-to-GDP ratio could increase by 50%.
• Factors Supporting Debt Sustainability:
  • Implicit Guarantee: States, including the most indebted ones, do not face sustainability issues due to the implicit guarantee of the Centre.
  • Debt Characteristics: States cannot hold debt in foreign currency or at a floating rate, reducing associated risks.
• Comparison of States:
  • Interest Rates: Most indebted states ironically fare better because the interest rate is similar for all states.
  • Debt Maturity: More indebted states often hold longer maturity debt and pay little premium.
• Policy Recommendations:
  • Incentives for Prudent States: NCAER highlighted the need for more prudent states to receive a better deal as they are effectively subsidising the more indebted states.
  • Finance Commission’s Role: NCAER suggested that the Finance Commission should reward fiscally prudent states and incentivise profligate ones to become more fiscally responsible.

Summary: India’s public debt is high but sustainable due to its economic growth and local currency debt structure. State-level debt is projected to increase, but the implicit central guarantee and debt characteristics support sustainability. Policy changes are recommended to reward fiscally prudent states and promote fiscal responsibility among more indebted ones.

National Council for Applied Economic Research (NCAER)

• Established: 1956
• Nature: India’s oldest and largest independent, non-profit, economic policy research institute.
• Function: Undertakes grant-funded research and commissioned studies for governments and industry. It is one of the few think tanks globally that also collect primary data.

Key Thematic Areas of Work:

• Growth, Macro, Trade, and Economic Policy:
  • Focuses on macroeconomic stability, economic growth, trade policies, and overall economic policy formulation.
• Investment Climate, Industry, Infrastructure, Labor, and Urban:
  • Analyzes the business environment, industrial performance, infrastructure development, labor markets, and urbanization.
• Agriculture and Rural Development, Natural Resources, and Environment:
  • Studies agricultural policies, rural development strategies, sustainable use of natural resources, and environmental conservation.
• Poverty, Equity, Human Development, and Consumers:
  • Investigates issues related to poverty alleviation, social equity, human capital development, and consumer behavior and protection.

Significance:

• Independent and Non-Profit: NCAER operates independently without any profit motive, ensuring unbiased and rigorous research output.
• Primary Data Collection: Unlike many think tanks, NCAER collects primary data, which enhances the accuracy and reliability of its research findings.
• Policy Impact: The institute’s research supports informed policy-making that addresses India’s socio-economic challenges and fosters sustainable development.

11. VRR: Banks Park Less than Notified Sum

Sub: Economy

Sec: Monetary Policy

Key Highlights:

• Surplus Liquidity Absorption: The Reserve Bank of India (RBI) has observed that banks have parked significantly less than the notified amount for three consecutive days since the beginning of July.
• Implication: This indicates that while the RBI is attempting to absorb surplus liquidity from the banking system in line with its “withdrawal of accommodation” monetary policy stance, banks do not have a significant surplus to park.

Auction Details:

1. Two-Day VRRR Auction (₹50,000 crore) – July 3, 2024:
   • Funds Deployed by Banks: ₹25,145 crore
   • Weighted Average Rate (WAR):49%
2. Three-Day VRRR Auction (₹75,000 crore) – July 2, 2024:
   • Funds Deployed by Banks: ₹38,227 crore
   • WAR:49%
3. Four-Day VRRR Auction (₹75,000 crore) – July 1, 2024:
   • Funds Deployed by Banks: ₹4,200 crore
   • WAR:49%

Analysis:

• Liquidity and Monetary Policy: The overall system liquidity remains somewhat positive due to ongoing government spending.
• Monetary Policy Objective: The RBI’s VRRR auctions aim to maintain the weighted average call rate (WACR) at or above 6.50%, aligning with its monetary policy stance.

Conclusion:

The recent VRRR auction results reflect a lower-than-notified participation by banks, suggesting limited surplus liquidity in the banking system. Despite the RBI’s efforts to absorb excess liquidity, the banks’ responses indicate a cautious approach, influenced by the current economic and monetary policy environment.

Variable Repo Rate:

• Variable Repo Rate allows banks to borrow funds from RBI at rates determined through auctions, which may vary but typically remain above the Reverse Repo Rate.
• Example: If RBI conducts a Variable Repo auction and the prevailing market rates are lower than the standard Repo Rate (6.5%), banks may bid to borrow funds from RBI at rates slightly above the Reverse Repo Rate (e.g., 3.5%). This allows banks to access liquidity at competitive rates for short-term needs.
• Purpose: Variable Repo Rate supports RBI’s efforts to manage liquidity by providing banks with an alternative to the standard Repo operations. It ensures that banks can access funds at rates reflective of market conditions, facilitating smoother liquidity management in the banking system.

Variable Reverse Repo Rate (VRRR):

• VRRR allows RBI to conduct auctions where banks bid to deposit excess funds at rates determined by market demand, rather than a fixed rate set by RBI.
• Example: During a VRRR auction, banks bid to deposit funds with the RBI for a specified duration (e.g., 14 days). If market conditions suggest higher rates, banks may bid higher than the standard Reverse Repo Rate to earn a better return on their excess funds.
• Purpose: VRRR provides flexibility for RBI to manage liquidity effectively, especially when market rates differ significantly from the fixed Reverse Repo Rate. It ensures that RBI can absorb liquidity at rates aligned with prevailing market conditions, thereby enhancing the effectiveness of monetary policy operations