GS Analyst: Daily Current Affairs

In a move to tighten scrutiny of domestic Indian solar cell and module-manufacturing companies, the Centre has ordered them to upload details of their annual imports and exports and the location of their manufacturing facilities on two online portals.

About the news:

• The government has ordered solar cell manufacturers to upload details of their annual imports and exports, as well as the location of their manufacturing facilities on two online portals
• The move by MNRE comes in the backdrop of allegations by some manufacturers that imported solar cell are being passed off as domestic cells by some in the industry to claim DCR status.
• The Ministry of New and Renewable Energy (MNRE) recently amended a provision under the “Approved Modules and Manufacturers of Solar Photovoltaic Modules (Requirement for Compulsory Registration) Order, 2019.”
• MNRE’s latest provision establishes an online portal operated by NISE.
• This portal collects data on production, sales, and exports from solar PV manufacturers. Manufacturers enlisted in the Approved list of Models and Manufacturers (ALMM) must enter data on this portal regarding their solar PV manufacturing facilities starting from April 2023.

Objective of the reform:

• The new clause aims to improve the verification process for domestically manufactured content.
• The provision mandates that NISE’s portal will ensure traceability of domestically manufactured solar PV cells and modules.
• It will also assist in verifying Domestic Content Requirements (DCR) for solar PV modules deployed in the country.

Significance:

• The order was introduced to address India's heavy reliance on imported solar modules, especially from China, and to promote the local manufacturing of high-quality solar panels.
• It also aims to protect the domestic solar industry from the influx of low-quality imports and to encourage the production of solar modules within the country.
• Foreign companies can participate if they establish manufacturing facilities in India and pass the inspection to be listed as approved manufacturers. This promotes foreign investment in India’s solar sector while ensuring technology transfer and quality production.
• By promoting domestic manufacturing, the order supports India’s ambitious solar energy targets, including sourcing 280 GW from solar power by 2030. Increased local production is crucial for meeting these targets by ensuring a steady supply of solar panels and components.

Challenges:

• One concern is whether India's existing manufacturing capacity can meet the surge in demand driven by government projects and incentives. Additionally, there’s uncertainty about the global solar market dynamics, especially with potential changes in trade policies affecting imports and exports of solar components.

For the second time in two years, a record-breaking heatwave is sweeping through Antarctica at the height of its winter season. Ground temperatures have been 10 degrees Celsius higher than normal on average since mid-July, and up to 28 degrees higher on certain days.

About ‘Antarctica’ Heatwave:

• In June, the extent of Antarctic Sea ice was the second-lowest ever for that time of year — a little more than the extent recorded in June 2023, the lowest ever.
• The 2024 Antarctica heat wave refers to a prolonged and significant mid-winter increase in Antarctic temperatures compared to prior winters, causing several regions of Antarctica to reach temperatures 10 °C (18.0 °F) above normal in July 2024, up to a 28 °C (50.4 °F) increase above average.

Why Antarctica Heatwave is dangerous?

• Due to the presence of ice caps: In parts of East Antarctica, the relatively higher-elevation swathe that makes up two-thirds of the world’s coldest continent, temperatures are currently in the range of minus 25 degrees to minus 30 degrees Celsius.
• Deep-winter temperatures here usually vary between minus 50 degrees and minus 60 degrees Celsius.
• Melting of Ice: Sea ice plays a crucial role in keeping temperatures down in the polar regions, as its bright, white surface reflects more sunlight (solar energy) to space than liquid water.
• Sea ice also ensures that the air remains cool by acting as a barrier between the cold air and the relatively warmer water below.
• Rising sea level: A sea level rise of only a few feet will displace the roughly 230 million people who live within about 3 feet of the high tide line today, according to a report by the environmental organization Antarctic and Southern Ocean Coalition.
• Disturbance in global ocean circulation: Rising temperatures will also impact the global ocean circulation system, which regulates climate by storing and transporting heat, carbon, nutrients, and freshwater around the world.

What are the reasons for these heat waves?

• Weakening of Polar vortex: Scientists believe that the higher temperatures are mainly a consequence of the weakening of the polar vortex, the band of cold air and low-pressure systems that spins around the poles of the Earth in the stratosphere.
• The vortex usually remains strong and stable during winter in the southern hemisphere — keeping cold air trapped over Antarctica and not letting hot air come in — but it has been disturbed this year by large-scale atmospheric waves (periodic disturbances in the fields of atmospheric variables).
• Warmer air travel from other continents: Due to this, the vortex released trapped cold air, and opened the door for warmer air to enter the region. As this warmer air travelled downwards from the upper atmosphere, it caused an increase in temperatures.

Recently, after the resignation of Sheikh Hasina as Prime Minister of Bangladesh, the other caretaker government is going to take the oath, in the middle of which India reminds Bangladesh caretaker government of its responsibility to protect minorities and also to restore law and order.

About Caretaker Government:

• A caretaker government is a temporary government that performs some governmental duties and functions in a country until a regular government is elected or formed.
• Caretaker governments may be put in place when a government in a parliamentary system is defeated in a motion of no confidence or in the case when the house to which the government is responsible is dissolved, to be in place for an interim period until an election is held and a new government is formed.
• In this sense, in some countries that use a Westminster system of government, the caretaker government is simply the incumbent government, which continues to operate in the interim period between the normal dissolution of parliament for the purpose of holding an election and the formation of a new government after the election results are known.
• Unlike in ordinary times, the caretaker government’s activities are limited by custom and convention.
• In systems where coalition governments are frequent a caretaker government may be installed temporarily while negotiations to form a new coalition take place.
• This usually occurs either immediately after an election in which there is no clear victory or if one coalition government collapses and a new one must be negotiated. Discretionary Powers of President.
• Though the President has no constitutional discretion, he has some situational discretion like in appointment of the Prime Minister when no party has a clear majority in the Lok Sabha or when the Prime Minister in office thes suddenly and there is no obvious successor.

In the wake of the rapid spread of the mpox outbreak, the World Health Organization (WHO) has convened an emergency meeting.

• It is reported that considering the magnitude of the viral outbreak, the United Nations body could classify it as a global emergency.

About M-pox:

• It is a viral zoonotic disease caused by the monkeypox virus.
• The first human case of mpox was recorded in 1970 in the Democratic Republic of the Congo (DRC).
• There are two known types (clades) of mpox virus — one that originated in Central Africa (Clade I) and one that originated in West Africa (Clade II).
• Symptoms: Common symptoms of mpox are a skin rash or mucosal lesions, which can last 2–4 weeks accompanied by fever, headache, muscle aches, back pain, low energy, and swollen lymph nodes.
• Transmission: Human-to-human transmission of mpox occurs through direct contact with body fluids, lesions, prolonged face-to-face contact, including sexual contact, and indirect contact with contaminated clothing or bedding.
• Treatment: There are no specific treatments for monkeypox virus infection. Early and supportive care is important to help manage symptoms and avoid further problems.

The landmark antitrust ruling by the U.S. District Court against Google, likening its significance to a previous ruling against Microsoft, explores the potential implications for Big Tech companies.

Legal Ruling and Its Implications

• Antitrust Violation: The U.S. District Court found Google guilty of violating antitrust laws by suppressing competition.
• Monopolistic Practices: Google maintained its monopoly by securing exclusive agreements with smartphone makers like Apple and Samsung.
• Precedent for Big Tech: This ruling may establish a new regulatory framework for Big Tech's business operations.

Potential Remedies and Broader Impact

• Remedies Under Consideration: Possible remedies include breaking up Google or ending its exclusive deals with smartphone manufacturers.
• Impact on Handset Makers: Ending exclusive agreements could push companies like Apple to develop their search engines.
• Influence on Other Cases: The ruling might affect ongoing antitrust cases against other tech giants like Meta, Amazon, and Apple.

Mains Question:

Q. Discuss the implications of recent antitrust rulings in the U.S. against Big Tech companies like Google on the global digital economy and consumer welfare. How should India respond to these developments?

The Reserve Bank of India's (RBI) recent monetary policy decisions highlight challenges related to inflation, growth, and future policy directions. It emphasizes the complexity of targeting inflation in a volatile food price environment.

RBI's Monetary Policy Stance and Inflation Challenges

• Unchanged Policy Rates: The RBI's Monetary Policy Committee (MPC) kept the policy rate and stance unchanged in its August meeting.
• Food Inflation Concerns: High food inflation, driven by climatic factors, influences household inflationary expectations, complicating future monetary policy decisions.
• CPI Inflation Complexity: CPI inflation has been around 5% due to spikes in food prices, making it difficult for RBI to achieve its 4% target.

Economic Outlook and Global Factors

• GDP Growth Projections: RBI retained its GDP growth projection at 7.2% for FY25, with concerns around consumption demand and private investment recovery.
• Global Economic Dynamics: Geopolitical turmoil and monetary policy divergence among central banks globally add uncertainty to India's economic outlook.
• Banking Sector Risks: The RBI highlighted risks related to slow deposit growth compared to credit growth and the sharp rise in personal loans.

Mains Question

Q. Examine the challenges faced by the Reserve Bank of India in targeting inflation in the context of volatile food prices. How should monetary policy adapt to these challenges while ensuring sustainable economic growth?

The Indian Olympic Association's (IOA) preparations for the Paris Olympics highlight the positive steps taken and the internal conflicts that could undermine future goals.

Positive Steps by the IOA for the Paris Olympics

• Comprehensive Medical Support: The IOA assembled a 13-member medical team, including a sleep therapist, psychologist, and nutritionists, ensuring 24x7 athlete care during the Paris Olympics.
• Support for Athletes' Needs: The IOA addressed requests for personal coaches and ensured accommodation for support staff outside the Games Village.
• Ceremonial Kit and Robust Preparation: A Tarun Tahiliani-designed ikat-inspired kit was introduced, with smooth preparation thanks to support from the sports ministry and SAI.

Internal Conflicts and Future Implications

• Chef de Mission Appointment Delay: Gagan Narang was appointed as chef de mission after a delay, but IOA members remain divided over the appointment of CEO Raghuram Iyer.
• Impact on 2036 Olympic Bid: Internal discord in the IOA may weaken India's 2036 Olympic Games bid, highlighting the need for a united front.
• IOC and Government Involvement: Despite the CEO's endorsement by the IOC, a lasting resolution to the internal conflict remains uncertain, potentially affecting future negotiations.

Mains Question:

Q. Discuss the significance of organizational unity within national sports bodies like the Indian Olympic Association (IOA) in the context of global sports diplomacy. How can internal conflicts affect a country's international sports aspirations?