Government plans new law to protect foreign investment - Pragnya IAS Academy - News Analysis.

Government plans new law to protect foreign investment.

The draft proposal is aimed at diffusing investor mistrust around the sanctity of agreements, which has worsened recently after some state governments decided to review approved projects, or threatened to cancel contracts

India is planning a new law to safeguard foreign investment by speeding up dispute resolution, aiming to attract more capital from overseas to boost stuttering domestic growth, two officials with direct knowledge of the matter told Reuters.
In a 40-page initial draft, India's finance ministry has proposed appointing a mediator and setting up fast-track courts to settle disputes between investors and the government, one of the sources said.
"The idea is to attract and promote foreign investment, but a major issue for investors is enforcement of contracts and speedy dispute resolution," said the official.
The draft proposal is aimed at diffusing investor mistrust around the sanctity of agreements, which has worsened recently after some state governments decided to review approved projects, or threatened to cancel contracts.
Both officials declined to be named as the proposal is not public, and is still being assessed by different ministries and regulators.
A spokesman for the finance ministry did not respond to a request for comment.
Foreign investors have highlighted the enforcement of contracts as one of their biggest concerns, said the second official, adding that improving on this front would also reduce litigation for the government.
While investors can still rely on the existing legal system to settle disputes, it often takes several years for cases to be decided or settled.
Investors previously had an option to take India to international arbitration courts under bilateral investment treaties (BITs) the government had agreed with dozens of nations. But, after suffering setbacks in overseas arbitration matters, India has allowed most of its treaties to lapse, giving investors little to fall back on in case of major disputes.
BITs are agreements between two countries that give foreign investors protections, and among other things, legal recourse via international arbitration in disputes with a government.
India is entangled in more than 20 such overseas arbitration cases - the most against any country - brought by companies including Vodafone, Deutsche Telekom and Nissan Motor Co for disputes over retrospective tax claims and breach of contracts.
If India loses these cases, brought before most of its BITs lapsed, it could end up paying billions of dollars in damages.
The government's thinking is that India may not need to sign investment treaties with other nations if the new law, which is modelled on a BIT, can give confidence to investors, said the first source. (Source: The Hindu)


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Government releases Good Governance Index - TN tops - Pragnya IAS Academy - News Analysis.

Government releases Good Governance Index - TN tops

Puducherry gets the first position among the union territories, Himachal Pradesh ranked first in the north-east and hill category.

Tamil Nadu has bagged the top position in the composite ranking for good governance index (GGI), followed by Maharashtra and Karnataka, according to data provided by the Personnel Ministry.
Chhattisgarh has got the fourth position, followed by Andhra Pradesh (fifth), Gujarat (sixth), Haryana (seventh) and Kerala at the eight rank, it said.
Madhya Pradesh is at the ninth rank, West Bengal at the tenth position, followed by Telangana (11th), Rajasthan (12th), Punjab (13th), Orissa (14th), Bihar (15th), Goa (16th), Uttar Pradesh (17th) and Jharkhand at eighteen position in the big states category.
The states and union territories have been divided into three groups — big states, north-east and hill states, and union territories — for the rankings based on certain indicators separately.
In the north-east and hill category, Himachal Pradesh has topped the ranking followed by Uttarakhand, Tripura, Mizoram, Sikkim, Assam, Jammu and Kashmir (now divided into two union territories of Jammu and Kashmir, and Ladakh), Manipur, Meghalaya, Nagaland and Arunachal Pradesh.
Among the union territories, Puducherry has got the first position, followed by Chandigarh, Delhi, Daman and Diu, Andaman and Nicobar Islands, Dadra and Nagar Haveli and Lakshadweep.
“At present there is no uniform index to objectively assess the state of good governance in the states. The good governance index attempts to create a tool which can be used to assess the states of governance and impact of various interventions taken by the state governments and the UTs,” the Personnel Ministry has said.
It has also given sector-wise rankings.
Under the agriculture and allied sector, Madhya Pradesh has got first position followed by Rajasthan and Chhattisgarh in the big states category. Mizoram has got the first position in north-east and hill states category and Daman and Diu has bagged the top slot in the UT category for the sector.
In the commerce and industries sector, Jharkhand has got the first position in big states category, followed by Andhra Pradesh and Telangana. Among the north-east and hill states, Uttarakhand has achieved the top rank, whereas Delhi is at the first rank in the union territories category.
Goa has got the first rank among big states for human resource development sector. Himachal Pradesh has got the first position among the north-east and hill states and Pondicherry is at the first place among the UTs for this sector.
In the public health sector ranking, Kerala is at the top position followed by Tamil Nadu and Goa among the big states.
Manipur and Pondicherry have got the first position in the north-east and hill states, and UTs category for this sector.
Tamil Nadu has been ranked first in the public infrastructure and utilities sector, followed by Gujarat and Punjab among the big states.
Himachal Pradesh and Chandigarh have got the top slot in north-east and hill states, and UTs category for this sector.
Under the economic governance sector, Karnataka has got the first position followed by Maharashtra, Telangana, Gujarat and Tamil Nadu among the big states.
Uttarakhand has got the top rank in north-east and hill states category. Delhi has got the first position in the union territories category for the sector.
Chhattisgarh has got the first position in social welfare and development sector ranking. Meghalaya has topped the slot for the north east and hill states. Daman and Diu is at the first position in the UTs category for the sector.
For the judicial and public security sector, Tamil Nadu has got the first position followed by Kerala, Chhattisgarh, Rajasthan, Maharashtra, Madhya Pradesh, Karnataka, Goa, Andhra Pradesh, Punjab, Gujarat, Haryana, Orissa, Jharkhand, Uttar Pradesh, Telangana, West Bengal and Bihar.
Himachal Pradesh is at the first position among the north east and hill states, and Pondicherry has got the top slot among the UTs, under the judicial and public security sector ranking.
Under the environment sector, West Bengal has got the first position followed by Kerala and Tamil Nadu among the big states. Jammu and Kashmir is at the first place among the north-east and hill states, and Chandigarh in the union territories category for the ranking under the environment sector.
“The tenth sector, i.e. citizen centric governance has not been included for scoring and ranking purpose as at present only one indicator is identified as part of the sector,” the Personnel Ministry said.
Minister of State for Personnel Jitendra Singh had on Wednesday launched the GGI to assess the state of governance in the country.
The objectives of GGI are to provide quantifiable data to compare the state of governance in all states and union territories, enable them to formulate and implement suitable strategies for improving governance and shift to result oriented approaches and administration.


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Government releases Good Governance Index - TN tops

Government renews push for organic farming in Ganga basin - Pragnya IAS Academy - News Analysis.Government renews push for organic farming in Ganga basin - Pragnya IAS Academy - News Analysis.

Government renews push for organic farming in Ganga basin.

• The idea is part of a larger agenda to promote sustainable agriculture in the Indo-Gangetic plains
• The council, formed in 2016, is constituted by chief ministers of the five river basin states
Two years after Bihar began developing organic farming corridors along Ganga, the Centre may renew its push for such farming along the river in five states to combat increasing pollution from toxic pesticides.

The proposal was deliberated upon in the meeting of the National Rejuvenation, Protection and Management of River Ganga Council (National Ganga Council) chaired by Prime Minister Narendra Modi in Kanpur on Saturday. The council, formed in 2016, is constituted by chief ministers of the five river basin states of Uttrakhand, Bihar, Uttar Pradesh, Jharkhand and West Bengal.
The idea is part of a larger agenda to promote sustainable agriculture in the Indo-Gangetic plains by promoting organic clusters in a 5km stretch on both sides of the Ganga basin in the five states.
“It is a good policy-move, considering the cumulative use of pesticides has doubled in last one decade and most of it, runs off in our rivers. For short-term, 5kms stretch was fine, but the government should eventually plan to stretch it to cover more area in the basin. Entire riverbed agriculture should be organic," said Dr Venkatesh Dutta, an expert working on river restoration in Lucknow.
However, experts also voiced concerns over the regulatory aspects of the move. “Plans are made, but they fail to get implemented on the ground. Ganga is in a dire state and if we do not fix accountability, we would gain nothing. Even after the plan is launched, it usually lacks any kind of monitoring, which is what happened in parts in Bihar," said Dinesh Mishra, a noted senior authority on river networks in Bihar.
In 2016 too the Ministry of Water Resources, River Development and Ganga Rejuvenation, and Ministry of Agriculture and Farmers Welfare had signed a memorandum of understanding to promote organic corridors in the Ganga basin.
The proposal was initially expected to cover 136 villages under the programme by providing incentives to farmers for input procurement like biofertilizers and biopesticides. As on June, 2019, as many as 4.53 lakh farmers were practicing organic farming under participatory guarantee scheme of the government, mostly in the north-eastern states. (Source: Livemint)


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Government plans to put companies using plastic on the radar - Pragnya IAS Academy - News Analysis.

Government plans to put companies using plastic on the radar.

• EPR includes selection of raw material and design to manufacture a product
• Plastic Waste Management Rules are central tools that the government uses to address plastic pollution in India
The government may soon roll out stringent norms and impose heavy fines on corporates, including hospitality industry, mobile manufacturers and packaging industry, for failing to stop use of plastic. Under the Extended Producer Responsibility (EPR) scheme, which the government plans to implement effectively, manufacturers, brand owners, and importers of products should realise and bear responsibility for environmental impact of their products through the product life-cycle.
The EPR includes selection of raw material and design to manufacture a product, its packaging and efficient manufacturing process that would minimize impact on environment. The producers should also develop a mechanism to collect used plastic product from their consumers and get it recycled.

Considered a solution to the growing hazard of plastic waste, EPR was introduced in the Plastic Waste Management (PWM) Rules, 2011 and was largely redefined in PWM 2016 where in producers, importers and brand owners who introduce products in the market were asked to take primary responsibility for collection of used multi-layered plastic sachets or pouches or packaging. Environment experts claim that the implementation of EPR has not been as effective and regulated and it was proposed to be.
Government is of the view that EPR schemes could be strengthened to support wide-spread adoption of secondary raw material in markets and stringent guidelines could be laid for the purpose. "We can reduce this uncertainty by adopting standards and manufacturers could be encouraged to look for alternatives and substitute their virgin feedstock with recycled materials in their production processes," said an official in the environment ministry.
“We are also planning to strengthen capacities of Central Pollution Control Board and State Pollution Control Board to monitor and evaluate the implementation of Plastic Waste Management Rules. If needed, fines will also be imposed," said the official.
Currently, Plastic Waste Management Rules are central tools that the government uses to address plastic pollution in India. However, monitoring and enforcement systems have not yet been fully implemented for effective implementation at sub-national level.
“EPR is basically a strategy to add all of the environmental costs associated with a product throughout the product life cycle to the market price of that product. So if some minimum requirements for EPR schemes are established, this could streamline the whole implementation processes," the official said.
“One of the key policy instruments to facilitate this process is developing standards for secondary raw materials, which is a major barrier to uptake of recycled materials and create demand for secondary raw materials," he said.
Complying with the rules, some companies and hotel chains have started taking steps towards environment safety. To eliminate plastic waste and ensure more sustainable carbon footprint, Hyatt Regency Delhi, last week, announced the launch of its in-house water bottling plant. The fully automated water bottling plant aims to end the use of approximately 1.08 million plastic bottles a year, by switching to reusable glass bottles. This process saves 28 tonne of plastic waste every year.


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Government to launch Jal Jeevan Mission to bring piped water to households - Pragnya IAS Academy - News Analysis.

Government to launch Jal Jeevan Mission to bring piped water to households.

• PM Modi said that providing safe drinking water to all parts of the country remains a priority
• The NDA government has formed a new ministry to address all water issues that looks at the management of water resources and drinking water supply
Under the Jal Jeevan Mission, the government will focus on rainwater harvesting and water conservation in 256 districts in the first phase and carry out other initiatives, including renovation of traditional water bodies and tanks, reuse of water and recharge structures, watershed development and intensive afforestation.
The NDA government has formed a new ministry to address all water issues that looks at the management of water resources and drinking water supply in a holistic manner. The Jal Shakti Ministry, formed by integrating the Water Resources and Drinking Water and Sanitation Ministries, aims to work with state governments to ensure Har Ghar Jal to all rural households by 2024.

This assumes importance given that water crisis has presented itself as a clear and present danger to India. Policy think-tank Niti Aayog said in a report that nearly 600 million Indians already face “high to extreme water stress." It said 21 cities, including Delhi, Bengaluru, Chennai and Hyderabad, will run out of groundwater by 2020, affecting 100 million people. Matters are only likely to worsen with the country’s water demand likely to double by 2030, indicating there will be a 6% loss in gross domestic product by 2050.
The government has identified as many as 1,592 blocks in 256 districts which are facing acute water crisis and have reported over-exploitation of groundwater. With the slow progress of the crucial southwest monsoon and below normal rains in June, water levels in reservoirs have fallen significantly.
According to documents, India’s most water-stressed blocks are in Tamil Nadu (541), followed by Rajasthan (218), Uttar Pradesh (139) and Telangana (137), with several states reeling from drought-like conditions.
Talking about several efforts to be undertaken through the scheme, Modi said the importance of water will be taught to the children.
About over 400 top government officials fanning out across the country to bolster efforts to battle one of the most severe water crises in decades. The 446 officials, in turn, are being supervised by 256 additional secretary and joint secretary level officials who will be the central nodal officers or Central Prabhari Officers responsible for each of these 256 districts. While 313 blocks have been termed critical, there are 1,186 blocks which have been over-exploited for water. In addition, there are 94 blocks with limited groundwater availability. (Source: Livemint)


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Government to launch Jal Jeevan Mission to bring piped water to households.

Why is the government merging India’s statistics bodies? - Pragnya IAS Academy - News Analysis.

Why is the government merging India’s statistics bodies?.

• NSSO and CSO are to be merged into what will be known as NSO
• The order puts the merged entity under Mospi secretary
The ministry of statistics and programme implementation (Mospi) passed an order on 23 May to merge the Central Statistics Office (CSO) and National Sample Survey Office (NSSO) into the National Statistical Office (NSO). Mint analyses what led to the decision.

When was a revamp of the statistical system first proposed?
In 2000, a committee headed by former Reserve Bank of India (RBI) governor C. Rangarajan suggested the establishment of NSO as the nodal body for all core statistical activities. It would have worked under the National Statistical Commission (NSC), which was to be answerable to Parliament, not the government. The intent was to clean up collection, calculation and dissemination of data. NSC was set up in June 2005, but didn’t have a statutory role. It was given supervisory powers over one arm of the statistical system, NSSO. The idea of an NSO that would include NSSO and CSO was not effected.
What is the row over India’s growth numbers and data systems?
The Narendra Modi government has been accused of fudging growth numbers and tinkering with jobs data that would have shown it in poor light. Numbers are sacrosanct and international organizations rely on them to arrive at their own estimates for a country’s growth trajectory and economic potential. These estimates help them make decisions related to investments and trade. The last straw came in January when two NSC members resigned because they felt NSSO was delaying the release of a jobs report at the behest of Mospi, though NSC had cleared it.
What does Mospi’s 23 May order say?
The order says NSSO and CSO are to be merged into what will be known as NSO. The Mospi secretary would head NSO and three director generals would assist him.
What does the order indicate?
The order makes no mention of NSC, reinforcing the long-held belief that the government was undermining it. The merger of CSO and NSSO—an entity separate from Mospi—will take away the latter’s autonomy. The order seems to suggest NSC’s independent oversight mechanism will no longer exist and makes no mention of that. The order clearly puts the merged entity under Mospi secretary, raising questions about the independence of the process through which official survey data is collected and published.
What are observers and the government saying about the revamp?
Some observers call it a bid to junk NSC and say this is in reaction to the resignations at NSC earlier this year that embarrassed the government. Another view is that NSC will come back in a different avatar, perhaps backed by a law, as was envisaged by the Rangarajan panel. This would make it a more effective body. Mospi said the new framework would streamline and bolster its present nodal functions and bring in more synergy by integrating its administrative functions within the ministry. (Source: Livemint)


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Why is the government merging India’s statistics bodies?.

UK Government releases new proposals to regulate internet safety in Online Harms White Paper - Pragnya IAS Academy - News Analysis.

UK Government releases new proposals to regulate internet safety in Online Harms White Paper.

The Home Office and Department for Digital, Culture, Media and Sport (DCMS) released today the Online Harms White Paper proposing a new social media duty of care which would be interpreted and enforced by a new regulatory body. Under the new proposals social media, search and other companies allowing users to share or discover user-generated content, or to interact with each other online, will be legally required to take steps to protect their users and will face tough penalties for non-compliance.

After much speculation and anticipation, DCMS’s Online Harms White Paper has been published today. The Paper proposes fundamental changes to the UK online regulatory environment. Headline items include a new statutory duty of care for online platforms and services, a new regulatory framework to protect internet users, and an independent regulator with wide-ranging enforcement powers. There is a 12 week consultation period ending on 1 July 2019.
A new statutory duty of care and regulatory framework
A new statutory duty of care and regulatory framework
The White Paper introduces a new statutory duty of care to make companies take reasonable steps to keep users safe and tackle illegal and harmful content or activity on their services. Online harms range from illegal activity and content, such as terrorism, child sexual exploitation and abuse and inciting or assisting suicide, to behaviours that may not be illegal but are nonetheless may damage to individuals or, to use the government’s phrase, “threaten our way of life in the UK”, such as the spread of disinformation and fake news.
The regulatory framework will apply to companies that allow users to share or discover user-generated content or interact with each other online. The regulation will therefore apply to a wide range of companies of all sizes; including the giants we are all familiar with such as Facebook and Twitter but also file hosting sites, public discussion forums such as The StudentRoom or Mumsnet, messaging services including SnapChat and search engines. The scope may also be wide enough to cover online games. Companies will be forced to publish annual transparency reports on the amount of harmful content on their platforms and what they are doing to address this. The Paper emphasises that the regulator should take a risk-based and proportionate approach to dealing with this wide range of companies.
A new independent regulator
Compliance with this mandatory duty of care will be overseen and enforced by an independent regulator. It is unclear at this stage whether the Government envisages a new regulator or an existing one handed new powers. Rumours are that Ofcom may be involved, but what is clear is that it will be funded by industry in the medium term. The regulator is to produce a “code of best practice” which companies falling in scope must adhere to. The Paper includes some suggestions, for example the spread of fake news could be tackled by forcing social networks to employ fact checkers and promote legitimate news sources. When it comes to particularly sensitive online harms, such as national security and the safety of children, the codes will be developed in conjunction with the Home Office, which will have the power to issue directions to the Regulator.
The regulator is to be armed with a suite of powers to take effective enforcement action, which will include imposing fines on companies and even directors in breach of the statutory duty, publishing notices naming and shaming those that break the rules. Culture Secretary Jeremy Wright has indicated that fines available to the Information Commissioner around the GDPR rules, which could be up to 4% of a company’s turnover, may be comparable here. The Government is also consulting on additional enforcement powers to be used as a last resort, such as disrupting business activities (e.g. by preventing search results or links to companies that are in breach) and requiring ISPs to block persistent offenders.
Immediate Reaction to the White Paper and Consultation now open
The White Paper has received a mixed reaction. On the one hand it has been criticised for inciting internet censorship and hindering freedom of speech. Others view it as a necessary and welcomed instrument given the proliferation of illegal and unacceptable content online that threatens democracy, national security and the safety of internet users.
The new regime has ignited many questions that remain unanswered. The Government is now consulting on some aspects of its proposals, although it appears committed to its basic proposed regime. It has set itself the somewhat paradoxical goal to make the UK both the safest place in the world online but yet the best to start a digital business. It hopes to promote a UK industry of tech-safety companies.


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UK Government releases new proposals to regulate internet safety in Online Harms White Paper.

RBI approves 28,000 crore interim dividend to the government - Pragnya IAS Academy - News Analysis.

RBI approves 28,000 crore interim dividend to the government.

• RBI board approves ₹28,000 crore ($4 billion) as interim dividend
• This is the second straight year that RBI has announced an advance payment to the Narendra Modi government
The Reserve Bank of India (RBI) on Monday approved an early transfer of a part of its profit to the government, which is desperate for cash to fund populist pledges ahead of a national election.

The RBI board, approved ₹28,000 crore ($4 billion) as interim dividend, according to a statement. This is the second straight year that the RBI has announced an advance payment to Prime Minister Narendra Modi’s government.
In approving the measure, RBI is emulating Turkey’s central bank that came to the aid of its government before municipal elections in March seen as a referendum on President Recep Tayyip Erdogan’s rule. The RBI dividend will help Modi’s government partly bridge a budget gap and could be key to funding an income support programme for farmers ahead of a national vote due by May.
The government needs cash after allocating ₹20,000 crore toward the first installment of the $10.5 billion programme by 31 March. The cash support—handing about 120 million farmers with up to 2 hectares (4.9 acres) three payments of₹2,000 per year—was Modi’s last attempt at reversing fortunes after his Bharatiya Janata Party (BJP) lost control of three key states in regional elections in December.
The transfer is “based on a limited audit review and after applying the extant economic capital framework," the central bank said in a statement. The central bank’s financial year runs from July to June.
The government has, in all, budgeted ₹74,140 crore in dividends from RBI and public sector banks in the year ending 31 March and has penciled in ₹82,910 crore for the next year.
Public standoff
The demand on RBI for more dividends and to part with a greater share of its capital has been a contentious issue between the central bank and the government. It resulted in a public standoff last year and is seen as one of the reasons for the abrupt exit of then governor Urjit Patel.
The finance ministry has asked the central bank to transfer about ₹27,000 crore of surplus capital withheld by it in the previous two financial years. Separately, finance ministry officials estimate RBI has at least ₹3.6 trillion more capital than it needs, which they say can be used to help bolster weak Indian banks.
However, a recent study by the Centre for Advanced Financial Research and Learning, a Mumbai-based think tank, showed the central bank has insufficient capital, and much less a surplus to hand over to the government. (Source: livemint)


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RBI approves 28,000 crore interim dividend to the government.

The Government of India and JICA sign Loan Agreements on Japan’s Official Development Assistance Loan to India - Pragnya IAS Academy - News Analysis.

The Government of India and JICA sign Loan Agreements on Japan’s Official Development Assistance Loan to India.

The Loan Agreements were signed here today in New Delhi between the Government of India and JICA, New Delhi under Japanese Official Development Assistance Loan Program. The Loan Agreements were signed by Dr. C.S. Mohapatra, Additional Secretary, Department of Economic Affairs, Ministry of Finance, Government of India and Mr. Katsuo Matsumoto, Chief Representative, JICA, New Delhi on Japanese Official Development Assistance Loan for the (i) Project for the Construction of Chennai Peripheral Ring Road (Phase 1) for JPY 40.074 billion (Rs.2470 Crore approx.), and (ii) Program for Japan-India Cooperative Actions towards Sustainable Development Goals in India for JPY 15.000 billion (Rs.950 Crore approx.).

The Project for the Construction of Chennai Peripheral Ring Road (Phase 1) aims to meet increasing traffic demands in Chennai metropolitan area by constructing the Chennai Peripheral Ring Road (Section 1) and installing Intelligent Transport Systems, thereby contributing to mitigation of Traffic Congestion and promoting Regional Economic Development.
The Program for Japan-India Cooperative Actions towards Sustainable Development Goals (SDGs) in India aims to contribute to promotion of SDGs in India especially in social development by supporting the efforts by the Government of India to strengthen the Policy Framework and Implementation Mechanism, thereby supporting India in achieving SDGs by 2030.
India and Japan have had a long and fruitful history of Bilateral Development Cooperation since 1958. In the last few years, the Economic Cooperation between India and Japan has steadily progressed. This further consolidates and strengthens the Strategic and Global Partnership between India and Japan. (Source: pib)


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The Government of India and JICA sign Loan Agreements on Japan’s Official Development Assistance Loan to India.

Government vs RBI: All you need to know about Section 7 of the RBI Act - Pragnya IAS Academy - News Analysis.

Government vs RBI: All you need to know about Section 7 of the RBI Act.

The government has written to the RBI hinting it may invoke Section 7 of the Reserve Bank of India Act 1934 - a provision that has never been used since the inception of the law.

The government has sent letters to the Reserve Bank of India (RBI) seeking consultations on key regulatory issues under a never-before-used provision in the law, according to sources.

The government has written to the RBI hinting it may invoke Section 7 of the Reserve Bank of India Act 1934 – a provision that has never been used since the inception of the law – to issue directions on relaxing prompt corrective action (PCA) norms, liquidity to non-banking financial companies (NBFCs), among others, sources said.
What does Section 7 of the RBI Act say?
According to it, the Central government may issue directions to the RBI as it may “consider necessary in public interest” after consultation with the RBI Governor. Section 7 deals with ‘management’ of RBI.
This provision took centre stage earlier this year when the Allahabad High Court was hearing a petition from power companies who challenged stringent non-performing assets (NPA) norms notified by the RBI in February, also popularly known as the February 12 circular.
What happened during the Allahabad High Court hearing?
The court had asked the central government to hold consultations with the RBI, under Section 7 of the RBI Act 1934, on the way forward for stressed power assets within 15 days. But the government had decided against using this provision at that time.
Can the government issue directions to the RBI on regulatory and policy matters? The answer is yes, as was noted by the Allahabad High Court. However, till date, the government has never issued directions to the RBI on its regulatory and policy affairs.
“The Central Government, however, is not expected to issue any directions, as contemplated under Section 7(1), indiscriminately or randomly. Such directions are possible when there exists sufficient material in support,” the high court had observed in its order dated August 28.
The counsel representing RBI had said that Section 7 of the RBI Act “embodies and puts in place a forum for resolution of all questions and is in one sense the repository mechanism for dealing with issues which constitute a “conflict zone”.” He argued that the fact that the government has not invoked this provision so far means there is no conflict and the government agrees with the RBI’s tightening of the NPA norms. During the hearing, the government had remained silent on whether it wants to invoke Section 7 of the RBI Act to issue directions to the regulator or not.
A similar provision is present in most statutes that deal with the regulators, such as Insurance Regulatory and Development Authority and Telecom Regulatory Authority of India, according to a Mumbai-based lawyer.
The court observed that if the RBI and the government are at variance on any policy or regulatory issue, the latter should “consider whether the circumstances warrant the initiative of the consultation process” under Section 7 of the RBI Act.
The High Court also mentioned observations made by the Supreme Court in the Joseph Kuruvilla Vellukunnel Vs. Reserve Bank case emphasising that “the Reserve Bank, apart from it being a reasonable body, is answerable to the Central Government, and the public opinion is certainly strong and vocal enough for it to heed. If the Reserve Bank were to act mala fide, the Central Government and in the last resort, the Courts, will be there to intervene.”
The High Court said that Section 7 of the RBI Act was put on the statute book in a bid to “arrive at a harmonious conclusion and evolve a consensual position.”
Various interpretation and issues
Since the clause was never invoked in the past, there were various ways to interpret it. For instance, a senior government official maintained that the provision only relates to the management of the central bank and the central government may not be empowered to issue directions to the RBI on policy-related matters.
Earlier, the finance ministry had not in favour of invoking Section 7 of the RBI Act to issue directions to the regulator for relaxing its February 12 circular. According to documents reviewed by Business Standard, the finance ministry had noted that the powers have never been used in the past, relates to the management of RBI, may lead to litigation, has a likelihood of “severe resistance” and such directions will need “strong legal footing.”
However, the Centre had told the Supreme Court during a hearing on demonetisation of old currency notes of Rs 500 and Rs 1,000 in January 2016, that it has the powers to issue directions to the RBI, citing Section 7 of the RBI Act.
“The central government has the power to control the management of the RBI and the RBI may function as per the directions given by the central government necessary for the fulfilment of its objectives,” the central government’s counter-affidavit had said.
In a report released in January this year, the International Monetary Fund had said that the “RBI Act contains provisions that undermine its independence from the government” citing Section 7 of the RBI Act as an example. “While these provisions have not been used in practice, they remain available to the central government to use at its discretion in the event that it disagrees with the central bank regarding supervisory priorities or judgements,” the IMF’s report on India’s financial sector assessment said.
History of the provision
Going back in history, the RBI had itself drafted a provision combining the provisions of the Bank of England Act, 1946 and Commonwealth Bank of Australia, 1945, on the central government’s powers to issue directions to the central bank. It had, however, suggested that the Act makes it clear “when government decided to act against the advice of the (RBI) Governor, they took the responsibility for the action they wished to force on the (Reserve) Bank,” according to the Volume I of the History of the Reserve Bank of India (1935-1951).
However, the government at that time was not in favour of this provision and the clause was re-drafted accordingly. Though the Reserve Bank of India had sought for a more elaborate provision requiring the government to ‘accept responsibility’ for the action resulting from its directions, the Section 7 of the RBI Act was amended in 1949 to empower the central government to issue directions to the central bank in public interest. (Source: The Business Standard)


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Government vs RBI: All you need to know about Section 7 of the RBI Act.

Government to create special fund to boost fish production by 2020 - Pragnya IAS Academy - News Analysis.

Government to create special fund to boost fish production by 2020.

The fund would help achieve 15 million tonnes of fish production by 2020, a target set under the Blue Revolution scheme, and help generate over 940,000 employment opportunities, a government release said.

he Cabinet Committee on Economic Affairs on Wednesday approved a Rs 7,522-crore Fisheries and Aquaculture Infrastructure Development Fund (FIDF) from which enterpreneurs, fishermen, cooperatives will get loans at subsidised interest rate and two years moratorium on repayment of principal amount. The credit facilities will help attract investment in fisheries development, boost fish production by 67% in next four years, the government said.
he Cabinet Committee on Economic Affairs on Wednesday approved a Rs 7,522-crore Fisheries and Aquaculture Infrastructure Development Fund (FIDF) from which enterpreneurs, fishermen, cooperatives will get loans at subsidised interest rate and two years moratorium on repayment of principal amount. The credit facilities will help attract investment in fisheries development, boost fish production by 67% in next four years, the government said.
“The approval entails an estimated fund size of Rs 7,522 crore, comprising Rs 5,266.40 crore to be raised by the nodal loaning entities (NLEs), Rs 1,316.6 crore from beneficiaries’ contribution and Rs 939.48 crore by budgetary support,” an official statement said. The credit from the FIDF outlay will have to be disbursed by 2022-23.
The aim is to raise India’s, the world’s second largest producer, fish production to 20 million tonne per year by 2022-23 from current level of about 12 million tonne, an agriculture ministry official said. There was an urgent need to create the necessary infrastructure in fisheries sector to achieve the target, an agriculture ministry official said.
The credit from the fund will help generate over 9.40 lakh direct and indirect employment of fishermen and others in fishing and allied activities, he said. There are about 1.5 crore people engaged in the fisheries sector. National Bank for Agriculture and Rural Development (Nabard), National Cooperatives Development Corporation (NCDC) and all scheduled banks are the designated NLEs in disbursal of the fund. The department of animal husbandry will frame guidelines, likely in next three months, to operationalise the fund during which the interest rate will be decided, the official said.
However, sources said the lending might be kept at 6% rate of interest as done in the Nabard-operated dairy sector fund.
While Nabard may be allowed to disburse to state governments and scheduled banks, the cooperatives will be allowed to avail the funding through the NCDC, the sources said. Individuals and private entrepreneurs will have to approach banks and state governments to avail the loan under the FIDF, the sources said.
The government has fixed the repayment period at maximum 12 years including moratorium of two years on principal amount.
Listing out the benefits, the government said this fund would help in creation of fisheries infrastructure facilities both in marine and inland fisheries sectors. The government aims to achieve a sustainable growth of 8-9% between 2020 and 2023. Under the Blue Revolution programme, the government had targetted 15 million tonne fish production by 2020.


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Government to create special fund to boost fish production by 2020.

Union Government to launch India’s first National Registry of Sexual Offenders - Pragnya IAS Academy - News Analysis.

Union Government to launch India’s first National Registry of Sexual Offenders.

India is all set to roll out the National Registry of Sexual Offenders on Thursday, and will become the ninth country in the world to set up and maintain such a database. The Indian registry will include names, photographs, residential address, fingerprints, DNA samples, and PAN and Aadhaar numbers, of convicted sexual offenders.

Official sources that the database will contain more than 4.5 lakh cases, including profiles of first-time and repeat offenders, based on details compiled from prisons across the country. The offenders will be classified on the basis of criminal history to ascertain if “they pose a serious danger to the community”.
“The database will be maintained by the National Crime Records Bureau (NCRB) under the Ministry of Home Affairs and made available to law enforcement agencies for various purposes, including investigation and employee verification,” a senior government official said.
The registry will be available only to law enforcement agencies in India, unlike in the US where the database maintained by the FBI can be accessed by the public. The registries maintained by other countries — UK, Australia, Canada, Ireland, New Zealand, South Africa and Trinidad & Tobago — are available only to law enforcement agencies.
India’s registry will store data for 15 years in the case of those classified as posing “low danger”, 25 years for those presenting “moderate danger” and through lifetime for “habitual offenders, violent criminals, convicts in gangrape and custodial rapes”, sources said.
The registry will also store information on arrested and chargesheeted offenders but with a clause that limits access to officers with the requisite clearance. Juvenile offenders are likely to be included in the database at a later stage, sources said.
The decision to set up the database was taken in April following nationwide outrage over cases of sexual assault on minors, including the rape and murder of an eight-year-old girl in J&K’s Kathua. The Union Cabinet had subsequently promulgated the Criminal Law Ordinance, 2018, for the death penalty to be handed out to those convicted of raping children below 12 years.
According to NCRB, there has been a three per cent increase in crimes against women and a 12 per cent rise in rapes in 2016, as compared to 2015. As many as 38,947 rape cases were registered in 2016, up from 34,651 in 2015. Overall, cases of crimes against women rose from 3,29,243 in 2015 to 3,38,954 in 2016, according to NCRB.
With the launch of this database, the Government hopes to convey the message ahead of elections next year that the safety of women and children is its top priority.
Recently, it set up a National Mission for the Safety of Women, headed by the Union Cabinet Secretary, to undertake specified actions, including setting up Special Fast Track Courts, strengthening forensic facilities, appointing additional public prosecutors, and providing appropriate medical and rehabilitation facilities to victims.(Source: The Indian Express)


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Union Government to launch India’s first National Registry of Sexual Offenders.

Government Plans to open 650 branches of India Post Payments Bank soon - Pragnya IAS Academy - News Analysis.

Government Plans to open 650 branches of India Post Payments Bank soon.

Prime Minister will launch the India Post Payments Bank. The date of launch would be decided in a day or two, says Communication Minister Manoj Sinha.

To increase banking connectivity, especially in rural areas, the government plans to open branches of India Post Payments Bank (IPPB) all across the country. The information was given by Communication Minister Manoj Sinha during the Question Hour in the Lok Sabha on Wednesday. "Prime Minister will launch the India Post Payments Bank. The date of launch would be decided in a day or two," he said.

The government will open over 650 branches of the payments bank, which will have access points across 1.5 lakh locations across India. Most of these access points -- over 1.3 lakh -- will be opened in rural areas. Considering a rising popularity of private payments banks in urban areas of India, the government has decided to expand the network of government-owned small payments banks, with a special focus on rural areas.
The initiative will certainly help in bringing untouched rural areas under the banking system, say industry experts.
Meanwhile, Sinha also said the government would soon open a Passport Seva Kendra in each Lok Sabha Constituency or within 50km radius of the same. As of now, there are total 251 Passport Seva Kendras in India.
What is a payments bank.
Payments banks perform almost all banking operations like other banking institutions but don't engage in any credit-providing service and function on a rather smaller business scale compared with other banks. They accept deposits up to Rs 1 lakh per account. There are several payments banks in India, including Paytm Payments Bank, Airtel Payments Bank, Idea Payments Bank, etc. The standard interest rate for commercial banks ranges from 3.5-6 per cent.
The Reserve Bank of India (RBI) recently gave its nod to India Post Payments Bank (IPPB) to commence operations in January 2017. The idea of setting up payments bank came to the RBI in November, 2014. The objective to set up payment banks was to promote financial inclusion (banking the unbanked areas). However, they can offer several other facilities that are already provided by full-fledged banks, which shall be of immense help in taking banking services across the country, especially in remote areas.


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Government Plans to open 650 branches of India Post Payments Bank soon.

India’s First ISTS connected Wind Power Project Commissioned Government’s plan of 175 GW RE by the year 2022 - Pragnya IAS Academy - News Analysis.

India’s First ISTS connected Wind Power Project Commissioned Government’s plan of 175 GW RE by the year 2022.

Solar Energy Corporation of India Limited (SECI) conducted India’s first auction of wind power projects in February 2017 in which tariff of Rs. 3.46 was discovered, which was much lower than feed in tariffs in vogue those days. This was a 1000 MW bid for projects to be connected on ISTS (Inter State Transmission System) wherein power generated from one state (renewable resource rich state) could be transmitted to other renewable deficient states. Mytrah, Inox, Ostro, Green Infa and Adani were winners of the bid.

As a part of this bid, M/s Ostro Kutch Wind Private Limited was issued letter of award on 05.04.2017 for a capacity of 250 MW, with commissioning period of 18 months. A part capacity of 126 MW, located in Bhuj (Gujarat) was commissioned by M/s Ostro on 24.08.2018, ahead of schedule. The energy generated from this project is being purchased by Bihar, Odisha, Jharkhand and UP.
The first auction also signified a major shift from the earlier regime of state-specific feed-in-Tariff (FiT) model to a Pan-India, market-driven mechanism. Beginning with this tender, SECI has brought out five tenders for wind power projects of cumulative capacity of 7250 MW, of which 6050 MW capacity has been awarded. Besides SECI and NTPC being central agencies, the State agencies of Tamil Nadu, Maharashtra and Gujarat have brought out bids and awarded projects based on tendering.
This 126 MW ISTS project marks the beginning of capacity additions in wind power based on market discovered tariffs, in line with the Government’s plan of 175 GW RE by the year 2022. (Source: PIB)


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India’s First ISTS connected Wind Power Project Commissioned Government’s plan of 175 GW RE by the year 2022.

Government permits Oxytocin sale through private chemists - Pragnya IAS Academy - News Analysis.

Government permits Oxytocin sale through private chemists.

Oxytocin’s import has already been banned by the Central government. From September 1, only Karnataka Antibiotics & Pharmaceuticals Limited (KAPL), a public sector entity, would be permitted to manufacture and distribute Oxytocin in India.

In a turnaround, the Central government had on Tuesday decided that private retail chemists would be free to sell Oxytocin from September 1.
Through a notification dated April 27, 2018, the Centre had stated that sale of Oxytocin through private retail chemists would be banned from July 1. However, fearing Oxytocin shortage, the government postponed the date of implementation of this ban to September 1.
Now, in a gazette notification dated August 21, 2018, the Central government announced its decision to delete the provisions of April 27 notification that stated that “Oxytocin in any form or name shall not be allowed to be sold through retail Chemist”. The Centre on Tuesday has also deleted the provisions that stated that the Oxytocin would be sold through government chemists only.
“The government’s repeated back and forth on retail sales demonstrates that the decision to restrict/ban Oxytocin was unplanned and arbitrary. It was without consultation with maternal health experts and those who would be affected,” said Malini Aisola, co-convenor, All India Drug Action Network (AIDAN).
Oxytocin is administered to pregnant women to “prevent and treat” postpartum haemorrhage (PPH), which is the leading cause of maternal mortality across the world according to World Health Organization (WHO). PPH accounts for about 35 per cent of all maternal deaths, as per WHO.
Tuesday’s government notification has not mentioned anything about the proposed ban on Oxytocin production by private companies, which will come into force from September 1. The April 27 notification stated that private companies would not be permitted to manufacture and distribute Oxytocin in India from July 1. Currently, Pfizer and Mylan are two leading producers of Oxytocin in India. Both, being private firms, would not be permitted to manufacture and distribute Oxytocin in India from September 1.
Oxytocin’s import has already been banned by the Central government. From September 1, only Karnataka Antibiotics & Pharmaceuticals Limited (KAPL), a public sector entity, would be permitted to manufacture and distribute Oxytocin in India. According to a source privacy to the development, KAPL started production of Oxytocin for the first time from July 2. (Source: The Indian Express)


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Government permits Oxytocin sale through private chemists.

Ease of Living Index - Cities: Parameters taken into consideration by the Government - Pragnya IAS Academy - News Analysis.

Ease of Living Index - Cities: Parameters taken into consideration by the Government.

The Ease of Living Index released by the Housing and Urban Affairs Ministry is based on a comprehensive report which assesses the quality of life in cities on the four broad parameters of governance, social, economic and infrastructure.

The study took into consideration 78 indicators in 15 categories. All cities were evaluated out of 100. The 'physical' pillar (infrastructure) was given the highest weightage of 45, while institutional (governance) and social were weighted 25 each. Economy was weighted 5.

Here are a few highlights from the data analysis:
• Among the 111 cities considered, Navi Mumbai, Tirupati and Karim Nagar had the best institutional sub-index.
• In terms of social indicators, Tirupati and Tiruchirapalli scored the highest.
• Chandigarh, Ajmer and Kota did best on the economic sub-index.
• Greater Mumbai, Pune and Thane topped in terms of infrastructure and other physical parameters.
• In mega-cities (Population over 4 million) Chennai came second after Mumbai, while New Delhi was the worst mega-city.
• Andhra Pradesh had 75% (three out of four cities considered for the survey) of its cities among the top 25 ranks. Maharashtra had 66% of its cities in the top 25 (eight out of 12) while four out of seven (57%) cities in Madhya Pradesh were among the top crop. (Source: The Hindu)


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Ease of Living Index - Cities: Parameters taken into consideration by the Government.

Government’s first-ever attempt to rank India’s leading cities based on ease of living - Pragnya IAS Academy - News Analysis.

Government’s first-ever attempt to rank India’s leading cities based on ease of living.

Pune India’s most liveable city, Rampur in UP the least.

Maharashtra’s main urban clusters in Mumbai and Pune raced the government’s first-ever attempt to rank India’s leading cities based on ease of living. While Pune topped the ranking, Navi Mumbai and Mumbai rounded out the top three. Rampur in Uttar Pradesh was adjudged the least liveable city.

Though Pune topped the ranking, the city scored only 58 out of a possible 100 points. India’s 111 leading cities which took part in the exercise scored a cumulative average of 35.6, a failing grade. In the first such government-led effort to quantify and estimate where Indian cities stand, all the 100 municipal bodies nominated as smart cities and state capitals participated.
While Mumbai ranked higher despite getting a bad rap from most citizens, sources in the urban affairs ministry warned that the ranking was as much a reflection of the quality of data that cities managed to furnish as the status of the physical infrastructure itself.
Since the beginning of this year, cities had been asked by the urban affairs ministry to present verifiable data on parameters, including the quality of power and water supply, the state of health and education infrastructure, prevalence of crime, levels of pollution and access to housing.
The final rankings are based on a mix of the furnished data, a third-party survey and direct feedback from citizens (around 60,000 of them).
“This is the first such attempt to empirically capture the position of India’s cities through an index,” according to Urban Affairs Minister Hardeep S Puri. “It’s time to acknowledge that the responsibility of the state is not only to deliver goods and services to citizens, but also to ensure the ‘ease of living’.”
Puri said the assessment standards evolved by the ministry were closely linked to the sustainable development goals. “This will now be an annual litmus test to assess the progress being made under various urban development schemes.”
The ministry also launched a new assessment framework for the 2019 round of its annual sanitation survey, Swachh Survekshan, which will now move towards estimating outcome and sustainability of the process, instead of just visible cleanliness. (Source: Livemint)


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Government’s first-ever attempt to rank India’s leading cities based on ease of living.

Government launches the scheme “Seva Bhoj Yojna” - Pragnya IAS Academy - News Analysis.

Government launches the scheme “Seva Bhoj Yojna”.

Scheme seeks to reimburse Central Share of CGST and IGST on Food/Prasad/Langar/Bhandara offered by Religious/ Charitable Institutions.

The Ministry of Culture, Government of India has launched the new scheme namely Seva Bhoj Yojna starting today, with a total outlay of Rs. 325.00 Crores for Financial Years 2018-19 and 2019-20.

The scheme envisages to reimburse the Central Government share of Central Goods and Services Tax (CGST) and Integrated Goods and Service Tax (IGST)so as to lessen the financial burden of such as Religious / Charitable Institutions who provide Food/Prasad/Langar (Community Kitchen)/Bhandara free of cost without any discrimination to Public/Devotees.
The Religious / Charitable Institutions such as Temples, Gurudwara, Mosque, Church, Dharmik Ashram, Dargah, Matth, Monasteries etc. which have been in existence for at least Three years before applying for financial assistance/grant and who serve free food to at least 5000 people in a month and such institutions covered under the provisions of section 10 (23BBA) of the Income Tax Act, 1961 (as amended from time to time) or registered under the provisions of section 12AA of the Income Tax Act, 1961, for Religious / Charitable purposes, or a company formed and registered under the provisions of section 8 of the Companies Act, 2013 or section 25 of the Companies Act, 1956, as the case may be, for Religious / Charitable Ipurposes, or a Public Trust registered as such for charitable/religious purposes under any Law for the time being in force, or a society registered under the Societies Registration Act, 1860, for Religious / Charitable purposes shall be eligible for grant under the scheme.
Ministry of Culture will enrol the eligible Religious / Charitable Institutions for a time period ending with financial year 2019-20 and subsequently the enrolment may be renewed by the Ministry, subject to the performance evaluation of the institutions. The details of registered institutions will be available on an online portal for the viewership of public, GST authorities and entity / institution itself.
Religious / Charitable Institution shall first register with Darpan Portal of NITI Aayog and get Unique ID generated by Darpan Portal . Thereafter, the institution shall enrol itself in CSMS Portal (http://csms.nic.in/login/sevabhoj.php ) on the Ministry of Cultures website in a prescribed format. Followed by the enrolment , the Charitable/Religious Institution shall apply online in the prescribed application form and upload required documents as listed below in CSMS Portal of Ministry of Cultures website( www.indiaculture.nic.in).


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Government launches the scheme “Seva Bhoj Yojna”.

Government approves draft Act for setting up of Higher Education Commission of India by repealing UGC Act - Pragnya IAS Academy - News Analysis.

Government approves draft Act for setting up of Higher Education Commission of India by repealing UGC Act

In a landmark decision, a Higher Education Commission of India (Repeal of University Grants Commission Act) Bill 2018 which seeks to repeal UGC Act and provides for setting up of Higher Education Commission of India has been prepared by the Ministry of HRD and placed in public domain for comments and suggestions.

The focus of Higher Education Commission of India will be on improving academic standards and the quality of Higher Education. The Union Minister for Human Resource Development, Shri Prakash Javadekar has appealed to all educationists, stakeholders and general public to furnish comments and suggestions by 7th July 2018 till 5 p.m. on the draft Bill. The comments may be mailed to reformofugc@gmail.com. The Central Government, under the leadership of Prime Minister Shri Narendra Modi has embarked on a process of reform of the regulatory agencies for better administration of the higher education sector. In fulfilment of the above, several reform measures have already been launched viz, reform of NAAC, Regulation for grant of Graded Autonomy to Universities, granting of Autonomous status to colleges, the Regulation for Open Distance Learning, Regulation for Online degrees etc. The draft Act is in accordance with the commitment of Government for reforming the regulatory systems that provide for more autonomy and facilitate holistic growth of the education system which provides greater opportunities to the Indian students at more affordable cost. The transformation of the regulatory set up is guided by the following principles:
1. Less Government and more Governance:
Downsizing the scope of the Regulator. No more interference in the management issues of the educational institutions.
2. Separation of grant functions:
The grant functions would be carried out by the HRD Ministry, and the HECI would focus only on academic matters.
3. End of Inspection Raj:
Regulation is done through transparent public disclosures, merit-based decision making on matters regarding standards and quality in higher education.
4. Focus on academic quality:
HECI is tasked with the mandate of improving academic standards with specific focus on learning outcomes, evaluation of academic performance by institutions, mentoring of institutions, training of teachers, promote use of educational technology etc. It will develop norms for setting standards for opening and closure of institutions, provide for greater flexibility and autonomy to institutions, lay standards for appointments to critical leadership positions at the institutional level irrespective of University started under any Law (including State Law).
5. Powers to enforce :
The Regulator will have powers to enforce compliance to the academic quality standards and will have the power to order closure of sub-standard and bogus institutions. Non-compliance could result in fines or jail sentence.
Highlights of the Higher Education Commission of India (Repeal of University Grants Commission Act) Bill 2018
1. The focus of the Commission will be on improving academic standards and quality of higher education, specifying norms for learning outcomes, lay down standards of teaching/research etc.
2. It will provide a roadmap for mentoring of institutions found failing in maintaining the required academic standards.
3. It shall have the power to enforce its decisions through legal provisions in the Act
4. The Commission shall have the power to grant authorization for starting of academic operations on the basis of their compliance with norms of academic quality.
5. It will also have the powers to revoke authorization granting to a higher education institution where there is a case of wilful or continuous default in compliance with the norms / regulations.
6. It will also have the power to recommend closure of institutions which fail to adhere to minimum standards without affecting students' interest.
7. The Commission will encourage higher education institutions to formulate a Code of Good Practices covering promotion of research, teaching and learning.
8. The constitution of the Commission is strengthened by the cooption of Chairpersons of regulatory bodies in higher education, namely the AICTE and the NCTE. Moreover the Chairpersons/Vice-Chairpersons and members will be scholars of eminence and standing in the field of academics and research, possessing leadership qualities, proven capacities for institution building and deep understanding of issues of higher education policy and practice.
9. The Bill also provides for the penal provisions, which albeit graded in nature, will cover withdrawal of power to grant degrees/ diplomas or direction to cease academic operations and in cases of wilful non-compliance, may result in prosecution sanction as per the Criminal Procedure Code with a punishment of imprisonment for a term which may extend up to 3 years.
10. There will be an Advisory Council to render advice to the Commission on matters concerning coordination and determination of standards in the country. This will be represented by the Chairpersons / Vice-Chairpersons of State Councils for Higher Education and chaired by the Union Minister for HRD.
11. The Commission will also specify norms and processes for fixing of fee chargeable by higher education institutions and advice the Central Government or the State Governments, as the case may be, regarding steps to be taken for making education affordable to all.
12. The Commission will monitor, through a national data base, all matters covering the development of emerging fields of knowledge and balanced growth of higher education institutions in all spheres and specially in promotion of academic quality in higher education.


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Government approves draft Act for setting up of Higher Education Commission of India by repealing UGC Act.

Government plans mega event to mark first anniversary of GST on July 1 - Pragnya IAS Academy - News Analysis.

Government plans mega event to mark first anniversary of GST on July 1

The Government is planning a mega event to mark the first anniversary of GST roll out on July 1 with the participation of industry chambers, traders, and tax officials, besides, Finance Minister Piyush Goyal.

Sources said the government has decided to celebrate July 1 as the ‘GST-Day' and the mega-event is being planned at the newly constructed Ambedkar Bhawan in the national capital.
The biggest tax reform since independence, goods and services tax (GST) was launched in the midnight of June 30 last year by Prime Minister Narendra Modi and the then President Pranab Mukherjee in the central hall of Parliament.
GST has subsumed over a dozen local taxes and transformed India to a ‘one nation one tax' country. After the initial glitches, the GST system has stabilised and tax collection has also started picking up the pace.
Union Minister Arun Jaitley too would be addressing the gathering through video conferencing.
Over 1.11 crore businesses are registered under GST.


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Government plans mega event to mark first anniversary of GST on July 1