DAILY CURRENT AFFAIRS ANALYSIS

  

27 SEPTEMBER 2022 

 

. No.	Topic Name	Prelims/Mains
1.	About the General Data Protection Regulation of European Union	Prelims & Mains
2.	Details of the Asian Development Bank	Prelims & Mains
3.	About the Soft Power of India	Prelims & Mains
4.	Details of the Electric Power Sector of India	Prelims & Mains

 

1 – About the General Data Protection Regulation of European Union:

 

GS II

 

Topic  International Relations

 

·       Context:

 

·       The world’s democracies will eventually need to harmonise their Internet legislation, according to Rajeev Chandrasekhar, Minister of State for Electronics and IT, who emphasised that the Internet has no physical borders. He talked about upcoming rules for the digital economy, why India might not embrace the same data protection requirements as Europe, the issue of bots, and the algorithmic accountability of social media companies in an interview with Soumyarendra Barik. Verified passages:

 

·       What is the goal of the General Data Protection Regulation?

 

·       The GDPR changes the way we view the relationship between an individual and their personal data.

 

·       When it comes to identifying a living human, names, email addresses, ID card numbers, physical addresses, and IP addresses are all taken into consideration.

 

·       The person has many rights under this law while dealing with:

 

·       Government or private news websites are two instances of data controllers, who determine why and how data is collected.

 

·       Data processors, like an Indian IT firm that obtained data analytics outsourcing from an EU firm, handle data on behalf of controllers.

 

·       What function does this law fulfil?

 

·       The GDPR will require a data controller to provide authorization terms that are simple to understand.

 

·       Under the GDPR, data collectors are required to identify the “who” and “how” of their operations.

 

·       People may also be entitled to have their personal data deleted in certain situations.

 

·       The reporting requirements and enforcement are strengthened under the GDPR.

 

·       Data breaches must now be reported within 72 hours or risk fines of up to 4% of the company’s annual global revenue, or a maximum fine of 20 million Euros, for breaking the new law.

 

·       What consequences might India expect?

 

·       Since the GDPR is applicable to those outside the EU who either observe how EU citizens behave or market to them, it has an impact on everyone in the globe.

 

·       The European Union is India’s largest trading partner, with bilateral trade in services alone totaling more than €28 billion (Rs.2.2 lakh crore).

 

·       As a result, it will have a big impact on Indian service providers and IT businesses doing business in the EU.

 

·       However, only one-third of Indian IT firms are implementing the GDPR, and a further one-third are unaware of it.

 

·       Penalties, lost income, missed chances, and political squabbling are likely to follow in trade talks between India and the EU.

 

·       Source  The Indian Express

 

2 – Details of the Asian Development Bank:

:

 

GS II

 

Topic  International Relations

 

·       Context:

 

·       The Asian Development Bank (ADB) decreased India’s predicted economic growth for 2022–2023 from 7.2% to 7.3%, citing higher than expected inflation and monetary tightening.

 

·       About:

 

·       It serves as a bank for local growth.

·       on December 19, 1966, created.

·       Philippines’ Manila is the location of the main office.

·       official United Nations Observer.

·       Who may participate in it?

 

·       Both members of the United Nations Economic and Social Commission for Asia and the Pacific and non-regional developed countries are accepted by the bank (UNESCAP, originally the Economic Commission for Asia and the Far East or ECAFE).

 

·       49 of the ADB’s 68 active members hail from Asia.

 

·       Election rights:

 

·       It closely resembles the World Bank and employs a weighted voting method, wherein votes are distributed in accordance with members’ capital contributions, similar to those of that organisation.

·       As of the end of 2019, the top five shareholders of ADB were the People’s Republic of China (6.4%), India (6.3%), Australia (5.8%), Japan (15.6% of all shares), and the United States (15.6% of all shares).

 

·       Responsibilities:

 

·       committed to reducing poverty in Asia and the Pacific through interregional cooperation, environmentally sound economic development, and fair distribution of wealth.

·       Investments in infrastructure, healthcare services, financial systems, and public administration systems are made to achieve this. Among other things, these investments assist nations in better managing their natural resources or preparing for the effects of climate change.

 

·       Source  The Indian Express

 

3 – About the Soft Power of India

 

GS II

 

Topic  International Relations

 

·       Context:

 

·       According to American political scientist Joseph Nye Jr. in the late 1980s, military hard power exhibits “soft power,” which is a “power of attraction through culture, political ideas, and policies rather than coercion.” Since winning these contests is thought to improve a nation’s chances of attaining soft power, this is now being reflected in a rise in interest in top sports, especially among smaller nations worldwide.

 

·       Performance of Soft Power Required:

 

·       Building goodwill requires outstanding project delivery, but Indian attitudes and practises have helped the nation earn a generous reputation and immense goodwill internationally.

·       As a Strategic Investment: If India wants to become a significant strategic investor in infrastructure projects that are both financially and economically viable, it must uphold its obligations.

·       after-pandemic changes With increased collaboration and the understanding that global concerns necessitate global efforts, India’s position as the world’s pharmacy has gained significance.

·       Trade and investment flow: If India wants to gain a reputation as a dependable and trustworthy partner, it must persuade other countries to believe in its ability to deliver. This will result in increased trade and investment into the developing Indian markets.

 

·       India’s Delivery Framework:

 

·       A five-modality development compact with a comprehensive framework has emerged from India’s development cooperation.

·        

·       India focuses on local training, expert delegations to partner countries, and project site equipment as its three main areas of capacity building. India has also brought up more important problems at various global organisations, including the World Trade Organization (WTO) and the World Intellectual Property Organization (WIPO).

 

·       Flexible Financing:

 

·       Concessional loans make up over 70% of India’s portfolio for international development.

·       Under the Indian Development and Economic Assistance Scheme, the Indian government provides development assistance in the form of concessional Lines of Credit (LOCs) through the Exim Bank of India (IDEAS). 306 LOCs totaling $30.59 billion have been distributed to 65 different nations.

 

·       Technology cooperation:

 

·       Innovation and entrepreneurship, both domestically and abroad, should be the preferred soft power.

·       For instance, in the areas of irrigation, electricity, and railway management, Indian engineers provided help and training in Ethiopia.

 

·       Grants:

 

·       India provides $6.48 billion in annual development aid and receives ODA from significant partners worth $6.09 billion (ODA).

 

·       Trade:

 

·       by granting access to the Indian market without restrictions and with no duties. India was one of the first few countries to declare duty-free, quota-free access to low-income countries.

·       Indian private investment in the world economy has grown as a result of major investments made in the telecommunications, IT, energy, and automobile industries over time.

 

·       Concerns/Challenges:

 

·       Lack of institutional framework:

 

·       India needs an independent organisation for development partnerships that sets priorities, develops long- and short-term goals, and promotes knowledge growth.

·       Internal institutional hurdles, such as bureaucratic and policy delays, must be overcome in order for the government to achieve its infrastructure goals.

 

·       Inadequate resources:

 

·       India has a limited ability to finance infrastructure projects, so it must properly use its resources while keeping in mind its strategic objectives.

·       Additionally, liberalising the market and growing the Indian economy can help India raise money for international projects.

 

·       A country with a delivery deficit:

 

·       India’s neighbours have often complained that the nation makes grand promises but then falls short of keeping them.

·       The bulk of the countries where India has undertaken initiatives, such as developing integrated border crossings, road and train lines, and hydroelectric projects, can attest to this.

 

·       Protectionism:

 

·       Protectionism has a tremendous impact on economic diplomacy. India placed 24th out of 25 countries in the Asia-Pacific region in an examination by the Asian Development Bank (ADB) that looked at trade openness.

·       Processes that waste time and money, such as additional truck inspections and administrative delays, have made it difficult for border crossings with integrated checkposts to function.

 

·       How to Proceed:

 

·       Establishing an institutional framework:

 

·       For results to be professionally delivered right now, a specialised agency is needed. In 2018, China, for instance, launched its international agency for development cooperation.

·       Unbiased development partnership organisation that quickly mobilises resources, ensures coordinated activities necessary for development gains, and makes it easier for information sharing and platforms for policy coordination among government departments.

·       The organisation must work with the governmental and corporate sectors, academic institutions, and civil society to coordinate efforts to achieve the Sustainable Development Goals (SDGs).

 

·       Private sector and civil society involvement:

 

·       In order to utilise their expertise and support the realisation of India’s development cooperation goals, cutting-edge public-private partnership (PPP) approaches are being explored with Indian enterprises.

 

·       Multilateralism:

 

·       Covid-19 showed how cooperation between states may speed up the response to a global health emergency both within and outside of regions. It comprises creating, changing, transferring, and sharing knowledge and experiences while maximising previously existing resources and capabilities in order to improve health.

 

·       Other funding sources:

 

·       A non-sovereign window like the private sector window of the Asian Development Bank would provide more flexibility and capacity.

·       In addition to brand-new greenfield ventures, the fund may also take on ongoing projects and set up future timelines for their completion.

·       Trade openness: India must simplify its clearance procedures, import policy barriers, testing and certification requirements, and anti-dumping and countervailing measures in order to promote trade openness.

·       If India wants to benefit from expanding regional and economic integration and avoid being cut off from its neighbours’ economies, it needs to invest more and trade more with them.

 

·       Conclusion:

 

·       India has to update its system for financing international development so that it can participate in more meaningful and fruitful discussions and adapt to the rapidly evolving, more competitive development financing environment.

 

·       India’s own development experience is also evolving thanks to programmes like Gati Shakti, the JAM Trinity, and Ayushman Bharat. The portfolio that will be distributed to other developing nations should include the lessons learned from these programmes.

 

·       Source  The Hindu 

 

4 – Details of the Electric Power Sector in India:

 

GS III

 

Topic  Environmental Conservation

 

·       Context:

 

·       The Union Territory’s rising particle air pollution has a substantial impact on the use of fossil fuels, which is why Chandigarh’s new Electric Vehicle (EV) Policy 2022 seeks to reduce it. Chandigarh aims to have one of the highest rates of zero-emission car penetration in India by the end of the five-year policy timeframe (ZEV). The strategy addresses the delayed adoption of EVs as well as the sector’s altering regulatory, technological, and economic settings. It was authorised by Chandigarh Administrator Banwarilal Purohit and entered into effect earlier this week.

 

·       India is currently the fifth-largest car market in the world and has the potential to become one of the top three in the near future, with an estimated 40 crore people needing mobility solutions by the year 2030.

 

·       To be consistent with the goals of the Paris Agreement, the rise in car ownership should not be seen as an increase in the consumption of conventional fuels.

 

·       In order to achieve India’s Net Zero Emissions goal by 2070, a revolution in Indian transportation is required. Greater “walkability,” public transportation, railroads, better roads, and cars will all be products of this revolution. Undoubtedly, many of these “better cars” will be electric.

 

·       Experts in the automobile industry and the general public have recently agreed that electric vehicles are the future. In this regard, India still has a lot of work to do, including the creation of a charging infrastructure and battery production.

 

·       Indian origins of electric vehicles and their rising use: The push for electric vehicles is motivated by the global climate agenda established by the Paris Agreement to reduce carbon emissions in order to limit global warming (EVs).

·       The rapid adoption of electric cars (EVs) in modern society serves as the standard for the global move toward electric mobility.

·       By 2020, 2.1 million electric vehicles (EVs) will have been purchased, or nearly two out of every 100 new cars purchased today.

·       Around the world, 8.0 million EVs were in use in 2020, accounting for 1% of all vehicles on the road and 2.6% of all new vehicles sold.

·       Also boosting EV demand globally are falling battery costs and rising performance efficiencies.

·       Electric vehicles are required in India as the country’s transportation system needs to be revolutionised.

·       It is not possible to carry on with the existing trend of introducing more and more cars that consume expensive imported petroleum and fill up already crowded cities that experience infrastructure problems and severe air pollution.

·       The move to electric mobility is one potential global strategy for decarbonizing the transportation industry.

·       India’s support for EVs: The global EV30@30 campaign, which aims to have at least 30% of new vehicle sales be electric by 2030, is supported by only a small number of countries, including India.

·       India made a commitment to the same at the COP26 in Glasgow by endorsing “Panchamrit,” a programme with five components to address climate change.

·       During the Glasgow summit, India made a number of ideas, including using renewable energy to meet 50% of the nation’s energy needs, reducing carbon emissions by 1 billion tonnes by 2030, and achieving net zero emissions by 2070.

·       A few of the steps the Indian government has taken to develop and promote the EV ecosystem in the country include the Production-Linked Incentive (PLI) scheme for Advanced Chemistry Cell (ACC) for the supplier side and the Faster Adoption and Manufacturing of Electric Vehicles (FAME II) scheme, which has been modified.

·       Electric vehicle manufacturers can now make use of the just-announced PLI programme for Auto and Automotive Components.

 

·       Associated Difficulties:

 

·       Battery manufacturing: India’s total demand for batteries is predicted to be between 900 and 1100 GWh for the years 2020 to 2030.

·       It is concerning because India lacks a basis for battery production, necessitating a whole reliance on imports to meet the country’s rising need.

·       Despite the electricity sector’s slow adoption of electric vehicles and battery storage, India imported lithium-ion cells worth more than $1 billion in 2021, according to government statistics.

·       Consumer Concerns: In contrast to its neighbours, which have more than 5 million charge stations, India was reported to have only 650 stations in 2018.

·       Consumers can’t travel far since there aren’t enough charging stations.

·       In addition, it can take a vehicle up to 12 hours to fully charge when utilising a private light-duty slow charger at the owner’s home.

·       Furthermore, the cost of a basic electric car is considerably greater than the average cost of a conventionally-fueled vehicle.

·       Policy Barriers: Manufacturing electric vehicles is a capital-intensive business that needs long-term planning to break even and turn a profit. Investment in the sector is discouraged by the lack of clarity surrounding government policy regarding EV production.

·       India lacks the technological capability to develop the necessary electronics—batteries, semiconductors, controllers, etc.—that are the cornerstone of the EV business.

·       The cost of EV maintenance is higher, and more sophisticated skills are required. For India to acquire these abilities, specialised training programmes are required.

·       Lack of Resources for Domestic Production: The battery is the most important component of electric vehicles.

·       There are no known reserves of the metals lithium and cobalt, which are needed to make batteries, in India.

·       Total independence in the battery manufacturing sector is hampered by the industry’s partial reliance on the import of lithium-ion batteries from other countries.

 

·       Next Steps:

 

·       Electric cars as the future EVs will contribute to a better overall state of energy security as the country imports over $100 billion, or nearly 80% of its total demand for crude oil.

·       In terms of creating jobs, it is projected that the local EV manufacturing industry will gain a lot from the push for EVs.

·       Through a range of grid support services, EVs are also expected to strengthen the system and help accommodate greater renewable energy penetration while maintaining secure and stable grid operation.

·       Opportunities for Battery Storage and Production: Battery storage offers a big possibility to enhance sustainable development in the country given government policies to support e-mobility and renewable energy (450 GW energy capacity target by 2030).

·       As per capita income levels have increased, there has been a significant demand for consumer electronics that use advanced chemistry batteries, such as mobile phones, UPS systems, laptops, power banks, etc.

·       The development of better batteries is therefore one of the biggest business opportunities of the twenty-first century.

·       An EV charging infrastructure that can be constructed in private residences, public locations like gas stations and CNG stations, and in the parking lots of companies like shopping malls, railroad stations, and bus terminals can all be powered by a local energy source.

·       The Ministry of Power has mandated the existence of at least one charging station in a grid of three kilometres and every 25 kilometres on both sides of the roadways.

·       The Ministry of Housing and Urban Affairs mandated the Model Building Bye-laws, 2016 (MBBL), which state that 20% of the parking spots in residential and commercial buildings must be reserved for EV charging stations.

·       To bring the MBBL into effect, the state governments will also need to make the necessary adjustments to each of their own building byelaws.

·       Increasing EV R&D: From an economic and strategic standpoint, the Indian market needs to support indigenous technologies that are suitable for India.

·       Utilizing nearby educational institutions and well-established industrial hubs makes sense because supporting local R&D is crucial for reducing costs.

·       India should work with countries like the UK to coordinate EV development.

 

·       Source  The Hindu