Ken-Betwa Inter-Linking Project

Why in News

Recently, the Union Cabinet has approved the funding and implementation of Ken-Betwa inter-linking of rivers project.

• The project envisages transferring water from the Ken river to the Betwa river, both tributaries of the Yamuna. The project will be completed in eight years. 

Key Points

• About: It is the first project under the National Perspective Plan for interlinking of rivers. The Ken-Betwa Link Canal will be 221 km long, including a 2-km long tunnel.

Ken and Betwa Rivers

• Ken and Betwa rivers originate in MP and are the tributaries of Yamuna.
• Ken meets with Yamuna in Banda district of UP and with Betwa in Hamirpur district of UP.
• Rajghat, Paricha and Matatila dams are over Betwa river.
• Ken River passes through Panna tiger reserve.

• Background: The idea of linking Ken with Betwa got a major push in August 2005, when a tripartite memorandum of understanding for preparation of a Detailed Project Report (DPR) was signed among the Centre and governments of Madhya Pradesh and Uttar Pradesh.
  • In 2008, the Centre declared KBLP a National Project. Later, it was included as part of the Prime Minister’s package for development of drought-prone Bundelkhand region.
  • In 2021, a memorandum of agreement was signed for implementation of this project among the Ministry of Jal Shakti and the two states.
• Implementing Agency:
  • A Special Purpose Vehicle (SPV) called Ken-Betwa Link Project Authority (KBLPA) will be set up to implement the project.
  • The National Interlinking of Rivers Authority (NIRA) has the powers to set up SPV for individual link projects.
• Phases of the Project: The project has two phases, with mainly four components.
  • Phase-I will involve one of the components — Daudhan Dam complex and its subsidiary units such as Low Level Tunnel, High Level Tunnel, Ken-Betwa Link Canal and power houses.
  • Phase-II will involve three components — Lower Orr Dam, Bina Complex Project and Kotha Barrage.
• Benefits: The project lies in Bundelkhand, a drought-prone region, which spreads across 13 districts of Uttar Pradesh and Madhya Pradesh.
  • According to the Jal Shakti Ministry, the project will be of immense benefit to this water-starved region.
  • Further, it will pave the way for more interlinking of river projects to ensure that scarcity of water does not become an inhibitor for development in the country.
  • According to the Jal Shakti Ministry, the project is expected to provide annual irrigation of 10.62 lakh hectares, supply drinking water to about 62 lakh people, and generate 103 MW of hydropower and 27 MW of solar power.
• Associated Challenges:
  • Submergence of Panna Tiger Reserve: According to the National Water Development Agency, the reservoir of Daudhan dam will involve “a submergence of 9000 ha area, out of which 5803 ha comes under Panna Tiger Reserve (PTR).
    • To mitigate this, three WildLife Sanctuaries (WLS), viz Nauradehi, Rani Durgawati of MP and Ranipur WLS of UP are planned to be integrated with PTR.
  • Several Clearances Required: Various types of clearances are required, such as:
    • Techno-economic clearance: To be given by the Central Water Commission;
    • Forest clearance and environmental clearance: To be given Ministry of Environment, Forests & Climate Change
    • Resettlement and rehabilitation plan of tribal population: to be given by the Ministry of Tribal Affairs.

History of Interlinking of Rivers in India

• Colonial Idea:
  • The idea was first mooted during the British Raj when Sir Arthur Cotton, a British general and irrigation engineer suggested linking the Ganga and the Cauvery for navigational purposes.
• Projects undertaken by the British:
  • In the past, several river linking projects have been taken up. For instance, the Periyar Project, under which transfer of water from Periyar basin to Vaigai basin was envisaged, was commissioned in 1895.
    • Other projects such as Parambikulam Aliyar, Kurnool Cuddapah Canal, Telugu Ganga Project, and Ravi-Beas-Sutlej too were undertaken.
• National water Grid:
  • In the 1970s, the idea of transferring surplus water from a river to a water-deficit area was mooted by the then Union Irrigation Minister Dr K L Rao.
  • He suggested construction of a National Water Grid for transferring water from water-rich areas to water-deficit areas.
• Garland Canal:
  • Later, Captain Dinshaw J Dastoor proposed a Garland Canal to redistribute the water from one area to another. However, the government did not pursue these two ideas further.
• National Perspective Plan:
  • It was not until August 1980 that the Ministry of Irrigation prepared a National Perspective Plan for water resources development envisaging inter-basin water transfer.
  • The NPP comprised two components: Himalayan Rivers Development, and Peninsular Rivers Development.
  • Based on the NPP, the National Water Development Agency (NWDA) identified 30 river links– 16 under the Peninsular component and 14 under Himalayan Component.
  • The Ken-Betwa Link Project is one of the 16 projects under the peninsular component.

Source: IE

Revised Coal Stocking Norms

Why in News

Recently, the Central Electricity Authority (CEA) has revised Coal Stocking Norms at thermal power generation plants with an aim to prevent a repeat of the low coal stock situation at various plants.

• CEA is an organization under the Electricity Act, 2003. Its objective is to formulate a National Electricity Plan every five years for optimum utilization of available resources for power generation.

Key Points

• Background:
  
  • In October 2021, India’s thermal power plants faced a severe coal shortage, whereby coal stocks had come down to an average of four days of fuel across an increasing number of thermal stations.
  • A sharp uptick in demand, a rise in the price of imported coal, and low coal procurement by power stations prior to the monsoon contributed to the low stock situation.
  • This was one of the biggest coal crises in India, impacting the slowdown of economic reopening and some businesses’ downscale production.
  • The low coal stock situation had forced a number of states to purchase power on the energy exchange, bidding up the average market clearing price of power to Rs 16.4 per unit in October, prompting the government to revise Coal Stocking Norms.
• Previous Norms:
  
  • It mandated 15-30 days of coal stock based on the distance of the plant from the source of coal.
  • Earlier, power plants located at pit head plants were required to keep 15 days of coal stock, while the requirement increased to 20 days for plants located within 200 km from the mines, 25 days for those within 1,000 km and 30 days for plants situated further away from the mines.
• Revised Norms:
  
  • It mandates the coal stock of 17 days at pit head stations and 26 days at non-pit head stations to be maintained by power plants from February to June every year.
    
    • Non-pit head plants are power plants where the coal mine is more than 1,500 km away.
  • The daily coal requirement at the power plant at any given day will be calculated based on 85% Plant Load Factor (PLF).
    
    • The previous norms determined coal stock volumes according to the average consumption pattern of the plant over the last seven days at a minimum 55% PLF.
    • PLF is the ratio between the actual energy generated by the plant to the maximum possible energy that can be generated with the plant working at its rated power and for a duration of an entire year.
  • The new methodology implies power plants which have lower utilisation rates will need to stock more coal than they did earlier.
  • Power plants will have to strictly follow these parameters, failing which penalties will be levied — an aspect that was not present in CEA regulations so far.
• Significance:
  
  • It will prevent a situation like the one that faced the country recently when post monsoons, several of the 135 coal-based power plants in the country were found to be sitting with critical coal stock levels sufficient to meet just three to four days of supply.
  • Relaxed coal stocking norms will also better distribution the fuel amongst generating stations.
    
    • This will prevent shortages and ensure uninterrupted power supply irrespective of the demand situation in the country.
  • It will also lower the fuel requirement for each power plant and enable better distribution amongst all stations.

Coal

• It is one of the most abundantly found fossil fuels. It is used as a domestic fuel, in industries such as iron and steel, steam engines and to generate electricity. Electricity from coal is called thermal power.
• The coal which we are using today was formed millions of years ago when giant ferns and swamps got buried under the layers of earth. Coal is therefore referred to as Buried Sunshine.
• The leading coal producers of the world include China, US, Australia, Indonesia, India.
• The coal producing areas of India include Raniganj, Jharia, Dhanbad and Bokaro in Jharkhand.
• Coal is also classified into four ranks: anthracite, bituminous, subbituminous, and lignite. The ranking depends on the types and amounts of carbon the coal contains and on the amount of heat energy the coal can produce.

Source: IE

Global Health Security Index 2021

Why in News

Recently, the Global Health Security (GHS) Index 2021 has been recently released.

• In India NITI Aayog releases its own health index.

Key Points

• GHS Index:
  
  • About:
    
    • It is an assessment and benchmarking of health security and related capabilities across 195 countries.
    • It has been developed in partnership by the Nuclear Threat Initiative (NTI) and the Johns Hopkins Center.
      
      • NTI is a nonprofit global security organization focused on reducing nuclear and biological threats imperiling humanity.
      • Johns Hopkins Center was created to recognize the crucial role of communication in public health.
  • Methods of Ranking:
    
    • The GHS Index assesses countries’ health security and capabilities across six categories. 
    • The six categories are as follow:
      
      • Prevention: Prevention of the emergence or release of pathogens.
      • Detection and Reporting: Early detection and reporting for epidemics of potential international concern.
      • Rapid Response: Rapid response to and mitigation of the spread of an epidemic.
      • Health System: Sufficient and robust health system to treat the sick and protect health workers.
      • Compliance with International Norms: Commitments to improving national capacity, financing plans to address gaps, and adhering to global norms.
      • Risk Environment: Overall risk environment and country vulnerability to biological threats.
    • The index measures countries’ capabilities from 0-100, with 100 representing the highest level of preparedness. The GHS Index scoring system includes three tiers.
      
      • Low Scores: Countries that score between 0 and 33.3 are in the bottom tier.
      • Moderate Scores: Countries that score between 33.4 and 66.6 are in the middle tier and
      • High Scores: Countries that score between 66.7 and 100 are in the upper or “top” tier.
• Ranking:
  
  • India’s:
    
    • India, with a score of 42.8 (out of 100) has slipped by 0.8 points since 2019.
  • World:
    
    • Three neighbouring countries of India like Bangladesh, Sri Lanka and Maldives have improved their score by 1-1.2 points.
    • The world’s overall performance on the GHS Index score slipped to 38.9 (out of 100) in 2021, from a score of 40.2 in the GHS Index, 2019.
    • In 2021, no country scored in the top tier of rankings and no country scored above 75.9.
• Overall Performance of the Countries:
  
  • Unprepared for Future Epidemic:
    
    • Countries across all income levels remain dangerously unprepared to meet future epidemic and pandemic threats.
      
      • This, even as infectious diseases are expected to have the greatest impact on the global economy in the next decade.
  • Insufficient Health Capacities:
    
    • All countries had insufficient health capacities.
      
      • This left the world acutely vulnerable to future health emergencies, according to the Index that measured the capacities of 195 countries to prepare for epidemics and pandemics.
  • National Public Health Emergency:
    
    • 65% of assessed countries had not published and implemented an overarching national public health emergency response plan for diseases with epidemic or pandemic potential.
  • Medical Countermeasures:
    
    • 73% of countries did not have the ability to provide expedited approval for medical countermeasures, such as vaccines and antiviral drugs, during a public health emergency.
    • Thus, the world was acutely vulnerable to health emergencies in the future.
  • Lack of Financial Investments:
    
    • Most countries, including high-income ones, have not made dedicated financial investments in strengthening epidemic or pandemic preparedness.
      
      • Close to 79% of the 195 countries assessed had not allocated national funds within the past three years to improve their capacity to address epidemic threats.
  • Public Confidence in their Governments:
    
    • A whopping 82% of countries have low to moderate levels of public confidence in their government.
      
      • Health emergencies demand a robust public health infrastructure with effective governance. But the trust in government, which has been a key factor associated with success in countries’ responses to Covid-19, is low and decreasing.
• Recommendations:
  
  • Allocate Health Security Funds:
    
    • Countries should allocate health security funds in national budgets and conduct assessments using the 2021 GHS Index to develop a national plan to identify their risks and fill gaps.
  • Additional Support:
    
    • International organizations should use the GHS Index to identify countries most in need of additional support.
  • Involvement of Private Sector:
    
    • The private sector should use the GHS Index to look for opportunities to partner with governments.
  • New Financing Mechanisms:
    
    • Philanthropies and funders should develop new financing mechanisms and use the GHS Index to prioritize resources.

Status of India’s Health Response

• Underprepared:
  
  • The influenza A (H1N1) outbreaks since 2009 in Rajasthan, Maharashtra, Tamil Nadu and other States have acutely underscored the need for better detection, awareness of symptoms and quarantining.
  • Covid-19 pandemic has also shaken the foundations of India’s healthcare system.
• Low Expenditure:
  
  • Health expenditure by the government in India is less than 1.35% of Gross Domestic Product, which is low for a middle-income country.
• Availability of Health Professionals:
  
  • There is one doctor for every 1,445 Indians as per the country's current population estimate of 135 crore, which is lower than the World Health Organization (WHO) prescribed norm of one doctor for 1,000 people.
• Impact of Climate Change:
  
  • India’s health status is being worsened by climate shocks.
    
    • According to the Climate Vulnerability Index, more than 80% of Indians live in climate vulnerable districts.

Source: DTE

Road Accidents in India

Why in News

Recently, the Minister of Road Transport and Highways has informed in a written reply to the Lok Sabha about the death due to Road Accident in India.

• The Minister also informed that the ministry has issued guidelines for improving the road safety through road safety audits at all stages (design stage, construction stage and Operation & Management stage) by engaging independent road safety experts.

Key Points

• Road Accidents:
  
  • Related Data:
    
    • Road Accidents killed as many as 47,984 people on National Highways (NHs), including on expressways, during 2020 and 53,872 people killed in 2019.
    • Globally, road accidents account for 1.3 million deaths and 50 million injuries. Of this, India’s contribution to the fatalities is 11%.
  • Major Causes:
    
    • The major causes of the accidents on the NHs were vehicle design and condition, road engineering, speeding, drunken driving/ consumption of alcohol and drugs, driving on the wrong side, jumping the red light, use of mobile phones, etc.
• Impact of Road Accidents:
  
  • Economic:
    
    • India's socio-economic cost of road traffic accidents for the year 2019 was in the range of USD15.71 billion to USD38.81 billion, which amounts to 0.55–1.35% of the Gross Domestic Product (GDP).
  • Social:
    
    • Burden on Households:
      
      • At the individual level, road crash injuries and deaths impose a severe financial burden and push entire (non-poor) households into poverty and the already poor into debt.
      • Every road accident death causes depletion of nearly seven months’ household income in poor families, and pushes the kin of victims in a cycle of poverty and debt.
    • Vulnerable Road Users (VRUs):
      
      • VRUs bear a disproportionately large burden of road crashes and account for more than half of all road crash deaths and serious injuries in the country.
      • It is often the poor, especially male road-users of working age, that constitute the category of VRUs.
        
        • Daily wage workers and workers employed as casual labourers in informal activities are more prone to be defined as vulnerable compared to workers engaged in regular activities.
      • In India, where VRUs are forced to share space with other less vulnerable road users, the income level of an individual has a direct bearing on the mode of transport used.
    • Gender Specific Impact:
      
      • Women in the families of victims bore the burden across poor and rich households, often taking up extra work, assuming greater responsibilities, and performing caregiving activities.
        
        • About 50% of women were severely affected by the decline in their household income after a crash.
        • About 40% of women reported a change in their working patterns post-accident, while around 11% reported taking up extra work to deal with the financial crisis.
    • Rural-Urban Divide:
      
      • The income decline for low-income rural households (56%) was the most severe compared to low-income urban (29.5%) and high-income rural households (39.5%).
• Related Initiatives:
  
  • World:
    
    • Brasilia Declaration on Road Safety (2015):
      
      • The declaration was signed at the second Global High-Level Conference on Road Safety held in Brazil. India is a signatory to the Declaration.
      • The countries plan to achieve the Sustainable Development Goal 3.6 i.e. to half the number of global deaths and injuries from road traffic accidents by 2030.
    • UN Global Road Safety Week:
      
      • It is celebrated every two years, the fifth edition (held from 6-12 May 2019) highlighted the need for strong leadership for road safety.
    • The International Road Assessment Programme (iRAP) :
      
      • It is a registered charity dedicated to saving lives through safer roads.
  • India:
    
    • Motor Vehicles Amendment Act, 2019:
      
      • The Act hikes the penalties for traffic violations, defective vehicles, juvenile driving, etc.
      • It provides for a Motor Vehicle Accident Fund, which would provide compulsory insurance cover to all road users in India for certain types of accidents.
      • It also provides for a National Road Safety Board, to be created by the Central Government through a notification.
      • It also provides for the protection of good samaritans.
    • The Carriage by Road Act, 2007:
      
      • The Act provides for the regulation of common carriers, limiting their liability and declaration of value of goods delivered to them to determine their liability for loss of, or damage to, such goods occasioned by the negligence or criminal acts of themselves, their servants or agents and for matters connected therewith or incidental thereto.
    • The Control of National Highways (Land and Traffic) Act, 2000:
      
      • The Act provides the control of land within the National Highways, right of way and traffic moving on the National Highways and also for removal of unauthorised occupation thereon.
    • The National Highways Authority of India Act, 1998:
      
      • The Act provides for the constitution of an authority for the development, maintenance and management of NHs and for matters connected therewith or incidental thereto.

Way Forward

• The safety of roads needs to be seen as a public health issue rather than a transportation issue.
  
  • There is a need to focus on the behavioral change in society now. Road safety should be dealt with in a mission mode.
• The design of roads needs to be thoroughly audited before any action regarding the same takes place.
• Road safety needs to be assured from the mobility point of view as well, how to move goods and ourselves in a better, faster and safer way.
• The vulnerable population of the society should be given top priority while ensuring the safety regarding road accidents.
  
  • The road designing should be done in such a way that the most vulnerable user is safe, eventually making the better protected ones safe as well.

Source: IE

Monetary Policy Report: RBI

Why in News

The Reserve Bank of India (RBI) has released the Monetary Policy Report (MPR) for the month of December 2021.

• It kept the policy rate unchanged for the Ninth time in a row maintaining an accommodative stance. 

Key Points

• Unchanged Policy Rates:
  
  • Repo Rate - 4%.
  • Reverse Repo Rate - 3.35%.
  • Marginal Standing Facility (MSF) - 4.25%.
  • Bank Rate- 4.25%.
• GDP Projection:
  
  • Real Gross Domestic Product (GDP) growth for 2021-22 has been retained at 9.5%.
• Inflation:
  
  • RBI has retained the projection for Consumer Price Index (CPI) inflation at 5.3 %.
• Variable Reverse Rate Repo (VRRR):
  
  • It increased the amount of money it will absorb VRRR to Rs 7.5 lakh crore by the end of December 2021.
    
    • In order to absorb additional liquidity in the system, the RBI announced conducting a VRRR program in August 2021 because it has higher yield prospects as compared to the fixed rate overnight reverse repo.
• Accommodative Stance:
  
  • RBI decided to continue with an accommodative stance until there is sustainable recovery in the economy.
    
    • An accommodative stance means the MPC is willing to either lower rates or keep them unchanged.
  • Significance:
    • It encourages more spending from consumers and businesses by making money less expensive to borrow through the lowering of short-term interest rates.
    • When money is easily accessible through banks, the money supply in the economy increases. This leads to increased spending.
    • It allows the fiscal reserve to increase in relation to national income and the positive function of money demand.
    • It helps energize the national money stock and prevent a weak aggregate demand obviating an economic recession.
    • Therefore it can be said that an accommodative stance will help improve India’s growth.
• No Permission for Infusing Capital:
  
  • The RBI allowed banks to infuse capital in their overseas branches as well as repatriate profits without seeking its prior approval, subject to fulfilling certain regulatory capital requirements.
    
    • At present, banks incorporated in India can infuse capital in their overseas branches and subsidiaries, retain profits in these centres and repatriate/ transfer the profits with prior approval of the RBI.
  • With a view to providing operational flexibility to banks, it has been decided that banks need not seek prior approval of the RBI if they meet the regulatory capital requirements.

Monetary Policy Report

• It is published by the Monetary Policy Committee (MPC) of RBI. It is a statutory and institutionalized framework under the RBI Act, 1934, for maintaining price stability, while keeping in mind the objective of growth.
• It determines the policy interest rate (repo rate) required to achieve the inflation target of 4% with a leeway of 2% points on either side. The Governor of RBI is ex-officio Chairman of the MPC.

Key Terms

• Repo and Reverse Repo Rate:
  
  • Repo rate is the rate at which the central bank of a country (RBI in case of India) lends money to commercial banks in the event of any shortfall of funds. Here, the central bank purchases the security.
  • Reverse repo rate is the rate at which the RBI borrows money from commercial banks within the country.
• Bank Rate:
  
  • It is the rate charged by the RBI for lending funds to commercial banks.
• Marginal Standing Facility (MSF):
  
  • MSF is a window for scheduled banks to borrow overnight from the RBI in an emergency situation when interbank liquidity dries up completely.
• Open Market Operations:
  
  • These are market operations conducted by RBI by way of sale/purchase of government securities to/from the market with an objective to adjust the rupee liquidity conditions in the market on a durable basis.
• Government Security:
  
  • A G-Sec is a tradable instrument issued by the Central Government or the State Governments. It acknowledges the government’s debt obligation.
• Consumer Price Index:
  
  • It measures price changes from the perspective of a retail buyer. It is released by the National Statistical Office (NSO).
  • The CPI calculates the difference in the price of commodities and services such as food, medical care, education, electronics etc, which Indian consumers buy for use.

Source: IE

C Rajagopalachari

Why in News

Recently, C. Rajagopalachari is remembered on his 143^rd birth anniversary.

• He is remembered for his contributions to the freedom struggle, administrative and intellectual prowess. 

Key Points

• About:
  
  • Chakravarti Rajagopalachari, popularly known as Rajaji, was born on December 10^th in 1878.
  • He studied law from the Presidency College in Madras (now Chennai), and began practice in Salem in the year 1900.
  • In 1916, he formed the Tamil Scientific Terms Society, an organisation that translated scientific terms of chemistry, physics, mathematics, astronomy and biology into simple Tamil words.
  • He became the chairperson of the municipality of Salem in 1917 and served there for two years.
  • In 1955, he was honoured with India’s highest civilian award Bharat Ratna.
  • He died on 25^th December, 1972.
• Political Career:
  
  • Pre-independence:
    
    • He joined the Indian National Congress and acted as a legal advisor.
    • He defended Indian Independence activist, P. Varadarajulu Naidu against charges of sedition in 1917.
    • He was elected as the first premier of the Madras Presidency in 1937.
    • In 1939, Rajagopalachari took a step to abolish untouchability and caste prejudice and issued the Madras Temple Entry Authorisation and Indemnity Act.
      
      • After the Madras Temple Entry Authorisation Dalits were allowed to enter inside temples.
    • At the time of Partition, he was appointed as the Governor of West Bengal.
    • In 1947, during the absence of Lord Mountbatten, the last British viceroy and independent India’s first Governor General, Rajagopalachari was temporarily chosen to hold the office.
      
      • Therefore he was the last governor general of India.
  • Post-independence:
    
    • Rajagopalachari took over as the chief minister of Madras in April 1952.
    • During his tenure as the chief minister of Madras, he actively participated in reforming the education system and bringing changes in the society.
      
      • He also made Hindi a compulsory language in Tamil schools.
      • His move led to protests against him, following which Rajagopalachari resigned as the CM.
    • He was a social conservative but advocated a free market economy.
      
      • He wanted to reintroduce the Varna system into society.
      • He believed in the significance of religion for society.
    • Rajagopalachari was made Home Affairs Minister after the death of Sardar Patel in 1950.
    • In 1959, he resigned from the Indian National Congress and founded the Swatantra Party.
• Role in Freedom Struggle:
  
  • Non-Cooperation Movement: He met Mahatma Gandhi for the first time in 1919 in Madras (now Chennai) and participated in Gandhi’s Non-Cooperation Movement.
    
    • He was also jailed for two years in Vellore in 1920.
    • After his release, he opened his own ashram to promote Gandhi’s principles of Hindu-Muslim harmony and the abolition of untouchability.
    • He was also a proponent of khadi.
  • Vaikom Satyagraha: He was also involved in the Vaikom Satyagraha movement against untouchability
  • Dandi March: When Gandhi led the Dandi March to break the salt law in 1930, Rajagopalachari carried out a similar march at Vedaranyam in the Madras Presidency.
    
    • He also became the editor of Gandhi’s newspaper, Young India.
  • Quit India Movement: During the Quit India Movement, Rajagopalachari opposed Gandhi.
    
    • He was of the view that the British were going to leave the country eventually, so launching another Satyagraha was not a good decision.
• Literary Contributions:
  
  • He wrote a Tamil translation of the Ramayana, which was later published as Chakravarthi Thirumagan.
    
    • The book won the Sahitya Akademi Award in Tamil language in 1958.

Source: TH

Main Bhi Digital 3.0 Campaign

Why in News

Recently, the Ministry of Housing and Urban Affairs (MoHUA) and Ministry of Electronics & Information Technology (MeitY) launched 'Main Bhi Digital 3.0' Campaign under PM SVANidhi ( Prime Minister Street Vendor’s AtmaNirbhar Nidhi) Scheme.

Key Points

• About:
  
  • It is a special Campaign for Digital Onboarding and Training (DOaT) for Street Vendors (SVs).
  • It is aimed at digital onboarding of SVs who have already been provided loans under PM SVANidhi Scheme.
  • Lending Institutions (LIs) have been instructed to issue a durable QR Code & Unified Payments Interface (UPI) ID at the time of disbursement and train the beneficiaries in conduct of digital transactions.
  • An Integrated IT Platform has been developed for implementation of this Scheme. SVs can apply for loans directly through PM SVANidhi Portal.
• PM SVANidhi Scheme:
  
  • About:
    
    • It was announced as a part of the Economic Stimulus-II under the Atmanirbhar Bharat Abhiyan.
    • It has been implemented since 1st June 2020, for providing affordable working capital loans to street vendors to resume their livelihoods that have been adversely affected due to Covid-19 lockdowns, with a sanctioned budget of Rs. 700 crore.
  • Aims:
    
    • To benefit over 50 lakh street vendors who had been vending on or before 24th March 2020, in urban areas including those from surrounding peri-urban/rural areas.
    • To promote digital transactions through cash-back incentives up to an amount of Rs. 1,200 per annum.
      
      • As of 31^st January 2021, the PM SVANidhi scheme has disbursed loans to 13.82 Lakh beneficiaries amounting to Rs 1,363.88 Crores.
  • Features:
    
    • The vendors can avail a working capital loan of up to Rs. 10,000, which is repayable in monthly installments in the tenure of one year.
    • On timely/early repayment of the loan, an interest subsidy of 7% per annum will be credited to the bank accounts of beneficiaries through Direct Benefit Transfer on a quarterly basis.
    • There will be no penalty on early repayment of the loan. The vendors can avail the facility of the enhanced credit limit on timely/early repayment of the loan.
  • Challenges:
    
    • Several banks are seeking applications on stamp papers worth between Rs. 100 and Rs. 500.
    • There have also been instances of banks seeking PAN cards and even checking the CIBIL or Credit score of applicants or state authorities asking for voter ID cards, which many migrant vendors do not carry with them.
      
      • CIBIL score is an evaluation of one's credit history and determines their eligibility for a loan.
    • There have also been complaints of harassment by police and municipal officials.

Other Initiatives for Street Vendors

• Pradhan Mantri Jeevan Jyoti Bima Yojana.
• Pradhan Mantri Suraksha Bima Yojana.
• Jan-Dhan Yojana.
• Building and Other Construction Workers Act 1996.
• Pradhan Mantri Shram Yogi Maandhan Yojana.
• Pradhan Mantri Matru Vandana Yojana.

Way Forward

• PM SVANidhi scheme should be permanent: It should be reimagined as a permanent development scheme for 'ultra-micro industries' (street vendors). This would allow them to access credit on a permanent basis.
• Inclusion of all India vendor representatives in monitoring committees: Section 19 of the PM SVANidhi scheme guidelines (establishing central, state and local monitoring committees to assess its progress) should be modified to include representatives from the vendor unions. They were involved in the conception of the scheme, so should be included in its implementation too.
• Local administrations should operate according to Street Vendors Act: Street Vendors Act 2014 envisages the formation of TVCs (Town Vending Committee) in various districts to ensure that all street vendors identified by the government are accommodated in the vending zones subject to norms.
  
  • To avoid widespread evictions and harassment of vendors, the scheme, along with related procedures such as declaring of vending zones, drafting of state rules, schemes and bye-laws, must be dealt with in the context of this Act.

Source: PIB