Nobel Peace Prize 2022

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Post-Facto Environmental Clearances

Why in News?

Recently, the Supreme Court has concluded that ex post facto (after being started) Environmental Clearances (EC) are acceptable.

• The court has concluded in response to a claim that a bio-medical treatment facility was set up and run without an EC and it raises concern over Environmental Degradation.

What is an Ex Post Facto Environment Clearance?

• Ex post facto environmental clearance refers to allowing functioning of an industry or project which has started operating without obtaining the green clearance and disclosing the probable environmental impacts of the project.
• A bench of SC observed that the Environment (Protection) Act, 1986, did not absolutely prohibit the grant of ex post facto environmental clearance.
  • It should not be granted routinely, but in exceptional circumstances taking into account all relevant environmental factors.

What are the Related Concerns?

• A post facto assessment defeats the very purpose of Environment Impact Assessment (EIA) because irreversible ecological damage will already have been committed with the commencement of operations.
  • The Food and Agriculture Organisation (FAO) of the United Nations defines the purpose of EIA as alerting decision makers, regulatory agencies and the public of environmental consequences of projects “so that those projects can be modified, if need be, to prevent environmental deterioration, to avoid construction errors and to forestall economic losses caused by negative side effects.
• The industries are encouraged to commence operations without bothering for clearance and eventually get regularised by paying the penalty amount. It is likely to open a floodgate of violations and give rise to a situation where damage to the environment is irreversible.

What is the Environment Clearance Process?

• An EIA report is prepared to get Environment Clearance (EC) for a project.
• A process of ‘Public Hearing’ is conducted before the issue of ‘Consent to Establish (NOC)’ by state regulators. Concerns of people living in the proposed project area are heard.
• An application form with EIA report, details of public hearing and NOC is submitted for environmental clearance with the Ministry of Environment and Forests and Climate Change (MoEFCC) if the project falls under Project A category or the state government if the project falls under Project B category.
  • Category A projects require mandatory environmental clearance and thus they do not undergo the screening process.
  • Category B projects undergo a screening process and they are classified into two types.
    • Category B1 projects (Mandatorily requires EIA).
    • Category B2 projects (Do not require EIA).
• The documents submitted are then analyzed by an Expert Appraisal Committee (EAC) under the Ministry. The recommendations of the Committee get processed in the MoEFCC for final approval or rejection.

Source: DTE

Joint Comprehensive Plan of Action (JCPOA)

Why in News?

Recently, the US imposed sanctions against a Mumbai based petrochemical company, Tibalaji Petrochem Pvt Ltd. as it was accused of selling Iranian petroleum products.

• It is the first Indian entity to face the US designation under unilateral sanctions passed in 2018-19, after the US walked out of the Joint Comprehensive Plan of Action (JCPOA).

What was the Joint Comprehensive Plan of Action (JCPOA)?

• The deal is also known as 2015 Iran Nuclear Deal.
• The JCPOA was the result of prolonged negotiations from 2013 and 2015 between Iran and P5+1 (China, France, Russia, the United Kingdom, the United States + Germany).
• Under the deal, Iran agreed to significantly cut its stores of centrifuges, enriched uranium and heavy-water, all key components for nuclear weapons.
• Iran also agreed to implement a protocol that would allow inspectors from the International Atomic Energy Agency (IAEA) to access its nuclear sites to ensure Iran would not be able to develop nuclear weapons in secret.
• While the West agreed to lift sanctions related to Iran’s nuclear proliferation, other sanctions addressing alleged abuses of human rights and Iran’s ballistic missile programme remained in place.
• The US committed to lifting sanctions on oil exports, but continued to restrict financial transactions, which have deterred international trade with Iran.
• Nonetheless, Iran’s economy, after suffering years of recessions, currency depreciation, and inflation, stabilized significantly after the deal took effect, and its exports skyrocketed.
• After US abandoned the deal in 2018 and reinstated banking and oil sanctions, Iran ramped up its nuclear programme in earnest, returning to approximately 97% of its pre-2015 nuclear capabilities.

What Happened After the US Pulled Out of the Deal?

• In April 2020, the US announced its intention to snap back sanctions. However, the other partners objected to the move, stating that since the US was no longer part of the deal, it could not unilaterally reimpose sanctions.
• Initially following the withdrawal, several countries continued to import Iranian oil under waivers granted by the Trump administration. A year later, the US ended the waivers to much international criticism and, by doing so, significantly curbed Iran’s oil exports.
• The other powers, in an attempt to keep the deal alive, launched a barter system known as Instrument in Support of Trade Excahanges (INSTEX) to facilitate transactions with Iran outside the US banking system. However, INSTEX only covered food and medicine, which were already exempt from US sanctions.
• In January 2020, after the US assassinated the top Iranian general Qasem Soleimani, Iran announced that it would no longer limit its uranium enrichment.
• In September 2022, Iran and International Atomic Energy Agency officials held a round of talks to discuss the possibility of Iran’s agreement to reallow inspectors back to Iran for oversight over reactors.
  • The U.S. and Iran have also exchanged their stands indirectly via the European Union for a “final draft” on rejoining the JCPOA.

What is the significance of JCPOA for India?

• Enhance Regional Connectivity:
  • Removing sanctions may revive India’s interest in the Chabahar port, Bandar Abbas port, and other plans for regional connectivity.
  • This would further help India to neutralize the Chinese presence in Gwadar port, Pakistan.
  • Apart from Chabahar, India’s interest in the International North-South Transit Corridor (INSTC), which runs through Iran, and will improve connectivity with five Central Asian republics, may also get a boost.
• Energy Security:
  • Due to the pressure linked to the US Countering America’s Adversaries Through Sanctions Act (CAATSA), India has to bring down oil imports to zero.
  • Restoration of ties between the US and Iran will help India to procure cheap Iranian oil and aid in energy security.

Source: TH

Tokenisation of Cards in India

Why in News?

Recently, the Reserve Bank of India (RBI) has made tokenisation mandatory for all credit and debit cards used in online, point-of-sale, and in-app transactions.

• The customer will not be charged for availing the tokenisation service.

What is Tokenisation?

• It refers to the replacement of actual card details with a unique alternate code called the ‘token’, which shall be unique for a combination of card, token requester (i.e., the entity which accepts requests from the customer for tokenisation of a card and passes it on to the card network to issue a corresponding token) and the device.

What was the Need for Tokenisation?

• Vulnerability of Sensitive Data: E-commerce giants like Amazon, Myntra, Flipkart, Bigbasket, etc., save sensitive card details with them like card number, expiration date, and CVV get stored in these companies’ databases.
  • But if the databases get hacked, it poses a real problem as all the card data will become easily accessible.
• Rise of Digital Fraud: The COVID-19 pandemic has pushed drastic changes into the digital economy. With more and more customers and merchants adapting to digital payments, it is now more important than ever to tighten security.
  • With an average of 6 billion transactions happening every month, fraud could also grow proportionally if not taken care of.
  • This fraud can be a huge threat to the entire country’s financial system. From 2019 to 2020, card fraud has increased by 14% Compounded Annual Growth Rate (CAGR), while in the last three years, it has increased by 34%.
• Outdated Present System: The current Card-on-File system (CoF) can be easily breached, and the data can be stolen. So, to take care of the security concerns, RBI has come up with the Tokenization system, which guarantees that the customers’ details cannot be breached and cannot be misused by anybody.
  • A CoF transaction is a transaction where a cardholder has authorised a merchant to store the cardholder’s Mastercard or Visa payment details.

Who can Offer Tokenisation Services?

• Authorised Card Networks: Tokenisation can be performed only by the authorised card network and recovery of the original Primary Account Number (PAN) should be feasible for the authorised card network only.
  • Further, adequate safeguards have to be put in place to ensure that PAN and other sensitive data cannot be found from the token and vice versa, by anyone except the card network. RBI has emphasised that the integrity of the token generation process has to be ensured at all times.

What are the Benefits of Tokenisation?

• A tokenised card transaction is considered safer as the actual card details are not shared with the merchant during transaction processing. Real card data, tokens and other relevant information are stored securely by the authorised card networks.
  • The token requestor cannot store Primary Account Number (PAN), or any other card details. Card networks are also mandated to get the token requester certified for safety and security that conforms to international best practices/globally accepted standards.
• Tokenization paves the way for advanced innovations in the payment ecosystem. It has become the cornerstone for payments, whether in-store, online or through mobile wallets.
• Strengthens trust between customers and businesses.
• Reduces the level of red tape for businesses.
• Creates an ecosystem of smoother and safer payment experiences for all parties involved.

What is the Status of Card Payments in India?

• As per RBI’s annual report for 2021-22, payment transactions carried out through credit cards increased by 27% to 223.99 crores in volume terms and 54.3% to 9.72 lakh in value terms during 2021-22.
• Till July (2022), the number of credit cards issued stood at around 8 crores, and debit cards in the system were 92.81 crores.

Source: IE

Parliament Committees

Why in News?

Recently, reorganization of 22 Standing Committees took place.

What are Committees of Parliament?

• About:
  • A Parliamentary Committee is a panel of MPs that is appointed or elected by the House or nominated by the Speaker/Chairman.
  • The committee works under the direction of the Speaker/chairman and it presents its report to the House or to the Speaker/chairman.
  • Parliamentary Committees have their origins in the British Parliament.
  • They draw their authority from Article 105 and Article 118.
    • Article 105 deals with the privileges of MPs.
    • Article 118 gives Parliament authority to make rules to regulate its procedure and conduct of business.
• Need:
  • A Bill is introduced in either House of Parliament to begin legislative business but the process of lawmaking is often complex, and Parliament has limited time for detailed discussions.
  • Also, the political polarisation and shrinking middle ground has been leading to increasingly rancorous and inconclusive debates in Parliament.
    • Due to these issues, a great deal of legislative business ends up taking place in the Parliamentary Committees instead.

What are the Various Committees of Parliament?

• India’s Parliament has multiple types of committees. They can be differentiated on the basis of their work, their membership and the length of their tenure.
• However, broadly there are two types of Parliamentary Committees– Standing Committees and Ad Hoc Committees.
  • The Standing Committees are permanent (constituted every year or periodically) and work on a continuous basis.
    • Standing Committees can be classified into the following six categories:
      • Financial Committees
      • Departmental Standing Committees
      • Committees to Enquire
      • Committees to Scrutinise and Control
      • Committees Relating to the Day-to-Day Business of the House
      • House-Keeping Committees or Service Committees
  • While the Ad Hoc Committees are temporary and cease to exist on completion of the task assigned to them.
    • They are further subdivided into Inquiry Committees and Advisory Committees.
    • The principal Ad hoc Committees are the Select and Joint Committees on Bills.

What is the Significance of Parliamentary Committees?

• Provides Legislative Expertise:
  • Most MPs are not subject matter experts on the topics being discussed — they are generalists who understand the pulse of the people but rely on advice from experts and stakeholders before making decisions.
    • Parliamentary committees are meant to help MPs seek expertise and give them time to think about issues in detail.
• Acting as a Mini-Parliament:
  • These committees act as a mini-parliament, as they have MPs representing different parties are elected into them through a system of the single transferable vote, in roughly the same proportion as their strength in Parliament.
• Instrument for Detailed Scrutiny:
  • When bills are referred to these committees, they are examined closely and inputs are sought from various external stakeholders, including the public.
• Provides a Check on the Government:
  • Although committee recommendations are not binding on the government, their reports create a public record of the consultations that took place and put pressure on the government to reconsider its stand on debatable provisions.
  • By virtue of being closed-door and away from the public eye, discussions in committee meetings are also more collaborative, with MPs feeling less pressured to posture for media galleries.

Why is the Sidelining of the Parliamentary Committees an Issue?

• Weakening of Parliamentary System Government:
  • A parliamentary democracy works on the doctrine of fusion of powers between parliament and the executive, but the Parliament is supposed to maintain oversight of the government and keep its power in check.
    • Thus, by circumventing the Parliamentary committees in the passing of significant legislation, there is a risk of weakening democracy.
• Enforcing Brute Majority:
  • In the Indian system, it is not mandatory for bills to be sent to committees. It’s left to the discretion of the Chair — the Speaker in the Lok Sabha and Chairperson in the Rajya Sabha.
    • By giving discretionary power to the Chair, the system has been specially rendered weak in a Lok Sabha where the ruling party has a brute majority.

Way Forward

• Mandating scrutiny for the significant bills passed is by no means a hurdle to the legislative process, rather it is necessary to uphold the quality of legislation, and by extension, the quality of governance.
• Thus, a strong parliamentary committee system is required to ensure Parliament’s sanctity in the law-making process.

Source: IE

India-made Syrups and Deaths in Gambia

Why in News?

Recently, the World Health Organisation (WHO) issued an alert about four Indian-manufactured cough syrups, which are said to be linked to acute kidney injury in children and 66 deaths in the small West African nation of The Gambia.

• The WHO analysis of samples of each of these products had confirmed the presence of “unacceptable amounts of diethylene glycol and ethylene glycol as contaminants”. These ingredients are not allowed in food or drugs, as they can cause abdominal pain, vomiting, diarrhoea, headache, severe renal injury and neurological toxicity.
• The company said these were not sold in India and are only for export markets already approved by the DGCI.

What are the Related Regulations in India?

• The Drugs and Cosmetics Act:
  • The Drugs and Cosmetics Act, 1940 and Rules 1945 have entrusted various responsibilities to central and state regulators for regulation of drugs and cosmetics.
  • It provides the regulatory guidelines for issuing licenses to manufacture Ayurvedic, Siddha, Unani medicines.
  • It is mandatory for the manufacturers to adhere to the prescribed requirements for licensing of manufacturing units & medicines including proof of safety & effectiveness, compliance with the Good Manufacturing Practices (GMP).
• Central Drugs Standard Control Organisation(CDSCO):
  • Prescribes standards and measures for ensuring the safety, efficacy and quality of drugs, cosmetics, diagnostics and devices in the country.
  • Regulates the market authorization of new drugs and clinical trials standards.
  • Supervises drug imports and approves licences to manufacture the above-mentioned products.
  • CDSCO regulates export of drugs in India, any manufacturer with the certification from CDSCO can export drugs outside India.
• Drugs Controller General of India:
  • DCGI is the head of department of the CDSCO of the Government of India responsible for approval of licences of specified categories of drugs such as blood and blood products, IV fluids, vaccines and sera in India.
  • DCGI also sets standards for manufacturing, sales, import, and distribution of drugs in India.

Source: HT

Sustainable Finance

Why in News?

A Committee on Sustainable Finance, constituted by International Financial Services Centres Authority (IFSCA) submitted its report on Sustainable Finance suggesting development of the carbon market among others.

What is Sustainable Finance?

• Sustainable finance is defined as investment decisions that take into account the environmental, social, and governance (ESG) factors of an economic activity or project.
  • Environmental factors include mitigation of the climate crisis or use of sustainable resources.
  • Social factors include human and animal rights, as well as consumer protection and diverse hiring practices.
  • Governance factors refer to the management, employee relations, and compensation practices of both public and private organizations.

What are the Recommendations of the Committee?

• Developing a voluntary carbon market, framework for transition bonds, enabling de-risking mechanisms, promoting regulatory sandbox for green fintech and facilitating the creation of a global climate alliance among others.
• Setting up of a dedicated MSME (Micro, Small and Medium Enterprises) platform for sustainable lending.
• Facilitating the use of innovative instruments such as catastrophe bonds, municipal bonds, green securitisation, blended finance among others.
• Enabling aggregation facilities, impact funds, green equity etc. in IFSC.
• IFSCA has to play a vital role in capacity building which lays the foundation for greening the financial system.

What is IFSCA?

• Establishment:
  • The IFSCA was established in 2020 under the International Financial Services Centres Authority Act, 2019.
  • It is headquartered at GIFT (Gujarat International. Finance Tec-City) City, Gandhinagar in Gujarat.
• Role:
  • The IFSCA is a unified authority for the development and regulation of financial products, financial services and financial institutions in the International Financial Services Centre (IFSC) in India.
  • At present, the GIFT IFSC is the maiden international financial services centre in India.
  • Prior to the establishment of IFSCA, the domestic financial regulators, namely, RBI, SEBI, Insurance Regulatory and Development Authority of India (IRDAI), and the Pension Fund Regulatory and Development Authority (PFRDA) regulated the business in IFSC.
• Members:
  • The International Financial Services Centres Authority consists of nine members, appointed by the central government.
  • They include the chairperson of the authority, a member each from the RBI, SEBI, the IRDAI, and the PFRDA, and two members from the Ministry of Finance. In addition, two other members are appointed on the recommendation of a Selection Committee.
• Term:
  • All members of the IFSCA have a term of three years, subject to reappointment.

Source: IE

Nobel Peace Prize 2022

Why in News?

Recently, the 2022 Nobel Peace Prize was awarded to human rights advocate Ales Bialiatski from Belarus, the Russian human rights organisation Memorial, and the Ukrainian human rights organisation Center for Civil Liberties.

• The Prize recognizes their contribution for many years, promoting the right to criticize power and protecting the fundamental rights of citizens.
• With the awardees being from Belarus, Ukraine, and Russia, an implicit message has been sent about the ongoing conflict between Russia and Ukraine.
• In 2021, Nobel Peace Prize was awarded to journalists Maria Ressa of the Philippines and Dmitry Muratov of Russia for their efforts to safeguard freedom of expression, which is a precondition for democracy and lasting peace.
• Other 2022 Nobel Prizes for Literature, Chemistry, Physics and Medicine have already been announced.

Who are the Winners?

• Belarus’s Ales Bialiatski:
  • Ales Bialiatski was one of the initiators of the democracy movement in Belarus in the mid-1980s.”
  • Bialiatski is also credited with founding the organisation Viasna (Spring) in 1996 in response to the controversial constitutional amendments that gave the president (Alexander Lukashenko) dictatorial powers.
  • Over time, Viasna evolved into a “broad-based human rights organisation that documented and protested against the authorities’ use of torture against political prisoners”.
  • In 2020, he was one of the three recipients of the Right Livelihood Award by the Swedish Right Livelihood Foundation, sometimes referred to as the “Alternative Nobel”.
  • He is the fourth person to get the Nobel Peace Prize in Jail.
• Russian Human Rights Organisation, Memorial:
  • The organisation was established in 1987, “by human rights activists in the former Soviet Union who wanted to ensure that the victims of the communist regime’s oppression would never be forgotten.”
  • Nobel Peace Prize laureate Andrei Sakharov, who won the prize in 1954, and human rights advocate Svetlana Gannushkina were among the organisation’s founders.
  • It has been described as the largest human rights organisation in Russia, and in the present day, it helped in gathering information on “the political oppression and human rights violations in Russia”.
• Ukrainian Human Rights Organisation, Center for Civil Liberties:
  • The Center for Civil Liberties was founded in Kyiv in 2007 “for the purpose of advancing human rights and democracy in Ukraine”.
  • The Centre describes itself as “one of the leading actors in Ukraine, influencing the formation of public opinion and public policy, supporting the development of civic activism, and actively participating in international networks and solidarity actions to promote human rights”.
  • After Russia’s invasion of Ukraine in February 2022, the Center for Civil Liberties has engaged in efforts to identify and document Russian “war crimes” against the Ukrainian civilian population.

Source: IE

Indian Air Force Day

Why in News?

The Indian Air Force (IAF) is celebrating 90^th Air Force Day on 8th October.

What are the Key Highlights of the celebrations?

• The primary event of the day is being observed at Chandigarh Air Force Station and consists of a parade and flyover.
• LCH "Prachanda, Light Combat Aircraft (LCA) Tejas, Sukhoi, Mig-29, Jaguar, Rafale, IL-76, C-130J, and Hawk have taken part in the fly-past.
• Among helicopters, Advanced Light Helicopter Dhruv, Chinook, Apache and Mi-17 will be part of the aerial display.

What is the Indian Air Force?

• Background:
  • The Indian Air Force was established in 1932 during World War II to support the Royal Air Force of the United Kingdom in its war against Japan.
    • To stop the Japanese army's progress into India, the IAF was utilised to target Japanese bases in Burma.
  • In 1945, King George VI bestowed the prefix "Royal" in recognition of the IAF's accomplishments. After India became a republic in 1950, this honorary title was abolished.
  • After the independence of the nation, it evolved into the Indian Air Force in 1950.
• About:
  • President of India is the Supreme Commander of the Armed Forces,
  • The fourth-largest air force in the world is the Indian Air Force.
  • Headquarters: New Delhi
  • Motto of India Air Force: Touch the sky with Glory.
    • It was taken from the eleventh chapter of the Bhagavad Gita.
  • The Chief of Air Staff, an air chief marshal is responsible for the operational command of the air force.

What are the most Significant Operations of the IAF?

• After independence, IAF took part in wars with Pakistan and the People's Republic of China.
  • Operation Meghdoot: To regain control of the heights commanding the Siachen glacier, the Indian Army, Indian Air Force, and paramilitary troops launched "Operation Meghdoot" on April 13, 1984.
• IAF took part in relief operations during natural calamities such as Gujarat cyclone in 1998, the tsunami in 2004, etc.
• Other significant operations of the IAF:
  • Operation Vijay (1961)
  • The Second Kashmir War (1965)
  • The Bangladesh Liberation War (1971)
  • Operation Poomalai (1987)
  • Operation Cactus (1988)
  • The Kargil War (1999)
  • The Balakot airstrike
  • The India-Pakistan standoff of 2019

Source: The Hindu