UPSC Key | CPEC, Inflation, MPLADS and more

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Explained

As Shehbaz visits China, the hope and unfulfilled promise of CPEC

UPSC Syllabus:

Preliminary Examination: Current events of national and international importance

Mains Examination: GS-II: India and its neighbourhood- relations

What’s the ongoing story- Pakistan’s Prime Minister Shehbaz Sharif is on a five-day visit to China, his country’s biggest and most important ally. The second phase of the China-Pakistan Economic Corridor (CPEC) is expected to be formally announced during the visit.

Prerequisites:

— What is the China-Pakistan Economic Corridor (CPEC)?

— What is the Belt and Road Initiative (BRI)?

— What are Special Economic Zones (SEZs)?

— Map work: Location  of CPEC on the world map

Key takeaways:

— The $62-billion CPEC, which was launched in 2015, is part of President Xi Jinping’s Belt and Road Initiative (BRI), aimed at expanding China’s geopolitical influence through billions of dollars of investments in infrastructure projects in around 100 countries.

— The CPEC would facilitate the construction of power plants, road and rail networks, and the deep-sea port of Gwadar in Pakistan. For China, the project is of strategic significance and will provide it direct access to the Indian Ocean through highways in Pakistan-Occupied Kashmir and down the length of Pakistan.

— According to the International Monetary Fund, China holds roughly $30 billion of Pakistan’s $126 billion external debt, up from just $4 billion in 2013, prior to the announcement of the CPEC. An IMF report also found that between July 2021 and March 2022, more than 80% of Pakistan’s bilateral debt service went to Beijing.

For Your Information:

— CPEC project refers to a clutch of major infrastructure works currently under way in Pakistan, intended to link Kashgar in China’s Xinjiang province to Gwadar deep sea port close to Pakistan’s border with Iran. Several other road, rail and power projects are associated with the corridor, and the project seeks to expand and upgrade infrastructure across the length and breadth of Pakistan, and to widen and deepen economic ties with its “all-weather friend”, China.

— The CPEC is part of China’s larger regional transnational ‘One Belt One Road’ (OBOR) initiative, whose two arms are the land-based New Silk Road and the 21st century Maritime Silk Road, using which Beijing aims to create a Silk Road Economic Belt sprawled over a large patch of Asia and eastern Europe, and crisscrossed by a web of transport, energy supply, and telecommunications lines.

Points to Ponder:

— Are balancing against or cooperating with China the only options that exist for China’s neighbouring states?

— What is the economic condition of Pakistan?

— Why economic dependence of Pakistan on China is a concern for India?

— What are the concerns of India with the CPEC?

— Maritime security in the Indian Ocean region

Post Read Question:

Prelims

‘Belt and Road Initiative’ is sometimes mentioned in the news in the context of the affairs of ( UPSC CSE 2016)

(a) African Union

(b) Brazil

(c) European Union

(d) China

Mains

The China-Pakistan Economic Corridor (CPEC) is viewed as a cardinal subset of China’s larger ‘One Belt One Road’ initiative. Give a brief description of CPEC and enumerate the reasons why India has distanced itself from the same. (UPSC CSE 2018)

Other Important Articles Covering the same topic:

China-Pakistan Economic Corridor: Pakistan’s road of high hopes

Experts Explain: How not to deal with China

How Delhi gets its water

UPSC Syllabus:

Preliminary Examination: Indian Polity and Governance

Mains Examination: GS-II: Polity, Inter-state relations

What’s the ongoing story- The Supreme Court on Thursday directed the Himachal Pradesh government to release on Friday 137 cusecs of water it has in surplus, to resolve the drinking water crisis in Delhi. It asked Haryana to do the needful to facilitate the water’s flow into the national capital.

Prerequisites:

— What is the status of the water crisis in India?

— What are various inter-state water-sharing disputes?

— What is the main source of freshwater in India?

Key takeaways:

— Delhi gets most of its water from the Yamuna, Ravi-Beas, and Ganga rivers.

— Two channels entering Delhi from Haryana — the Carrier Lined Channel (CLC) and the Delhi Sub Branch (DSB) — supply Delhi with water from the Yamuna and Ravi-Beas rivers.

— The Delhi Jal Board (DJB) also takes water directly from the Yamuna to try and meet demand. Put together, Yamuna water — through the CLC, DSB and directly from the river — provides a supply of 612 MGD to Delhi.

— Finally, the DJB supplements its river-water supply with ground water — around 135 MGD of which are drawn from Delhi’s tubewells and ranney wells.

— Across the states of Himachal Pradesh, Punjab, Haryana, and Delhi recorded large rainfall deficits from May 1 to 24, according to the India Meteorological Department (IMD). Scant rainfall meant that the Yamuna simply did not have enough water for the DJB to draw from the Wazirabad reservoir, a DJB official explained.

— A water sharing agreement on the ‘surface flow’ of the Yamuna among Haryana, Uttar Pradesh, Rajasthan, Himachal Pradesh and Delhi in 1994, specified that Delhi is to get 0.076 billion cubic metres of water from March to June.

— The annual allocation for Delhi is 0.724 BCM. This amounts to roughly 435 MGD. This allocation is regulated by the Upper Yamuna River Board, with the 1994 agreement due for revision in 2025.

For Your Information:

— Delhi largely depends on its neighbouring states of Himachal Pradesh, Uttarakhand, Punjab, Haryana and Uttar Pradesh to meet around 90 per cent of its drinking water demand.

— According to the Delhi Jal Board (DJB), the capital’s raw water supply comes from four primary sources — 40 per cent from the Yamuna, sourced through Haryana; 25 per cent from the Ganga; 22 per cent from the Bhakra Nangal Dam and the remaining 13 per cent from subsurface sources such as Ranney wells and tube-wells. This water is treated at nine water treatment plants (WTP) and supplied across the city through a 15,473 km long pipeline network and underground water reservoirs.

— Water quality is also a concern in some areas, with high ammonia levels (over 2.5 ppm) and toxic waste from industrial drains contaminating the Yamuna.

— Many factors contribute to the perpetuation of this ever-expanding crisis, including the over-extraction of groundwater, pollution of water sources, growth of the migrant population, adverse impacts of climate change, inefficient water management practices, and inter-state water disputes.

Points to Ponder:

— What is the mechanism of the inter-state water resolution mechanism in India?

— What is the constitutional provision related to water distribution?

— What are the issues with the inter-state water distribution tribunal?

Post Read Question:

Prelims

Consider the following pairs:

Tribunal	Concerning states
1. Mahanadi Water Disputes Tribunal	Odisha and Chattisgarh
2. Vansadhara Water Disputes Tribunal	Haryana and Rajasthan
3. Mahadayi Water Disputes Tribunal	Goa, Karnataka, and Maharashtra

How many of the above pairs are correctly matched?

(a) Only one pair

(b) Only two pairs

(c) All three pairs

(d) None of the pairs

Mains

Constitutional mechanisms to resolve the inter-state water disputes have failed to address and solve the problems. Is the failure due to structural or process inadequacy or both? Discuss. (UPSC CSE 2013)

Other Important Articles Covering the same topic:

Why Delhi struggles with water shortage — and how this problem can be fixed

How the Six-Day War of 1967 transformed the Middle East

UPSC Syllabus:

Preliminary Examination: Current events of national and international importance

Mains Examination: GS-I: History of the world

What’s the ongoing story- Fifty-seven years have passed since the Six-Day War, fought between Israel and its Arab neighbours between June 5 and June 10, 1967. The brief but intense conflict, which has shaped the course of history in the Middle East, altered the region’s map and transformed the power dynamics and relations between the countries involved.

Prerequisites:

— What is the ongoing Israeli-Palestinian conflict?

— Historical background of the conflict between Isreal and Arab nations

— Map work: Straits of Tiran, Port of Elath, Sinai Peninsula, Gaza Strip, Jordon, Syria, the Golan Heights, West Bank.

Key takeaways:

— The Six-Day War was the culmination of escalating tensions between Israel and its Arab neighbours, primarily Egypt, Jordan, and Syria, with whom the Zionist state shares its borders.

— The genesis of these tensions lay in the very establishment of Israel, in which thousands of Palestinian Arabs were killed and displaced, and which led to a massive refugee crisis.

— The immediate trigger for the Six-Day War was Egypt’s naval blockade of the Straits of Tiran in May 1967. The straits are the pathway into the Israeli port of Elath, and Egypt’s move dealt a major blow to Israeli commerce. Along with the mobilisation of Egyptian forces in the Sinai Peninsula, the blockade provided Israel with a justification for pre-emptive action.

— Israel romped to a swift victory in the war. The defeat dealt a humiliating blow to the Arabs, established Israel’s geopolitical supremacy in the region, and saw it taking control of significant strategic territory. The 1973 Yom Kippur War (which Israel again won) can be seen as a direct attempt to undo the Arab losses of the Six-Day War.

— The war contributed to the rise of Palestinian nationalism, and led to the emergence of the Palestine Liberation Organization (PLO) as a major player.

For Your Information:

— The conflict between Israel and Palestine began just under a century ago, but the significance of the land precedes even Biblical times. The area in question covers a tiny swathe of the Southern Levant, bordering Lebanon, Syria, Jordan, Egypt and the Mediterranean Sea.

Points to Ponder:

— What is the role of the First World War in the Isreal-Palestine conflict?

— What is the UN partition plan for Palestine?

— What initiatives have been taken to resolve the issue?

Post Read Question:

Consider the following statements: (UPSC CSE 2023)

Statement-1: Israel has established diplomatic relations with some Arab States.

Statement-II: The ‘Arab Peace Initiative’ mediated by Saudi Arabia was signed by Israel and Arab League.

Which one of the following is correct in respect of the above statements?

(a) Both Statement-I and Statement-II are correct and Statement-II is the correct explanation for Statement-I.

(b) Both Statement-I and Statement-II are correct and Statement-II is not the correct explanation for Statement-1.

(c) Statement-1 is correct but Statement-II is incorrect.

(d) Statement-1 is incorrect but Statement-II is correct.

Other Important Articles Covering the same topic:

The bloody history behind how Israel, and Palestine, came into existence

UPSC Issue at a Glance | Iran-Israel Conflict: 5 Key Questions You Must Know for Prelims and Mains

 

The City (Delhi Edition)

Central Information Commission can’t comment on utilisation of MPLADS funds by legislators: Delhi HC

UPSC Syllabus:

Preliminary Examination: Current events of national and international importance

Mains Examination: GS-II: Polity

What’s the ongoing story- The Delhi High Court recently observed that the Central Information Commission (CIC) has no jurisdiction to comment on the utilisation of funds by the members of Parliament under the Members of Parliament Local Area Development Scheme (MPLADS).

Prerequisites:

— What is the function of CIC?

— What is MPLADS?

— What is the RTI Act?

Key takeaways:

— The CIC in its October 16, 2018, order said, “The Commission noticed that some MPs are not spending their MPLADS amounts in the earlier years of their term, but deliberately accumulating the funds for last year, preferably before general elections to gain advantage improperly. The representatives could not say anything on this issue.

— The MPLADS is criticized for creating this kind of undue advantage to MPs vis-a-vis the contestants in the next election. If this is perpetuated there is a possibility of questioning it as unconstitutional.

— The Commission recommends the Ministry of Statistics and Program Implementation to prevent this kind of ‘abuse’ of MPLADS funds, and implement their guidelines to distribute the money equally in each year…”

— The high court said that as per section 18 of the RTI Act, the CIC can “only deal with issues relating to the information sought for under the RTI Act or any other issue which leads to dissipation of information as sought for by the applicant”.

— The court said the CIC has “no jurisdiction to comment adversely” on the “functioning” of any public authority. It further said the CIC had commented on the utilisation of MPLADS funds receivable by various members of Parliament.

— The court also said the observations in the CIC order on how the MPs are utilising the MPLADS funds “have to be expunged”. It went on to expunge two paragraphs where the CIC made observations regarding “utilization of MPLADS funds and the abuse of MPLADS funds”.

For Your Information:

— MPLAD is a central government scheme, under which MPs can recommend development programmes involving spending of Rs 5 crore every year in their respective constituencies. MPs from both Lok Sabha and Rajya Sabha, including nominated ones, can do so.

— States have their version of this scheme with varying amounts per MLA. Delhi has the highest allocation under MLALAD; each MLA can recommend works for up to Rs 10 crore each year. In Punjab and Kerala, the amount is Rs 5 crore per MLA per year; in Assam, Chhattisgarh, Maharashtra and Karnataka, it is Rs 2 crore; in Uttar Pradesh, it was recently increased from Rs 2 crore to Rs 3 crore.

Points to Ponder:

— When did the MPLAD scheme start?

— What has been the impact of the MPLAD scheme?

— What are the criticisms of this scheme?

Post Read Question:

With reference to the funds under the Members of Parliament Local Area Development Scheme (MPLADS), which of the following statements are correct? (UPSC CSE 2020)

1. MPLADS funds must be used to create durable assets like physical infrastructure for health, education, etc.

2. A specified portion of each MP’s fund must benefit SC/ST populations.

3. MPLADS funds are sanctioned on a yearly basis and the unused funds cannot be carried forward to the next year.

4. The district authority must inspect at least 10% of all works under implementation every year.

Select the correct answer using the code given below:

(a) 1 and 2 only

(b) 3 and 4 only

(c) 1, 2 and 3 only

(d) 1, 2 and 4 only

Other Important Articles Covering the same topic:

Explained: How MPLAD scheme works

 

Verdict 2024

65.79% turnout in 2024, 1.61 pc points lower than 2019

UPSC Syllabus:

Preliminary Examination: Polity

Mains Examination: GS-II: Polity

What’s the ongoing story- The overall turnout in the 2024 Lok Sabha elections stood at 65.79% — 1.61 percentage points lower than the turnout in 2019, data released by the Election Commission on Thursday showed.

Prerequisites:

— What is the voter turn out?

— What is the role of the Election Commission?

Key takeaways:

— According to the EC, male voters had a marginally higher turnout (65.80%) than female voters (65.78%). Voters of the ‘other genders’ category had a turnout of 27.08% — an increase from 14.64% in 2019.

— State-wise data showed that 19 states recorded higher female voters’ turnout than their male counterpart, with Bihar, Jharkhand, Meghalaya, Arunachal Pradesh and Himachal Pradesh being the top states where women voters outperformed men. In Bihar, the female turnout was 59.39%, while the male turnout was 53.28% — keeping with the trend seen in the state for the past many years.

— Meanwhile, Gujarat had the highest gap between male and female voter turnouts, with the male turnout recorded at 63.52% and female turnout at 56.56% — an almost seven percentage points difference. Meghalaya recorded a 100% turnout for the ‘other genders’ category.

— Bihar, however, had the lowest turnout among all states and Union territories at 56.19%, while Lakshadweep (84.16%) and Assam (81.56%) were among the UTs and states with the highest turnout, respectively.

— Nagaland had the highest decrease in voter turnout (25.35 percentage points), while Shillong had the highest increase (8.33 percentage points).

Points to Ponder: 

— What is the turnout implementation plan of the Election Commission?

— What are the various initiatives taken by the ECI to increase voter turnout?

— What are the challenges in increasing voter turnout?

— Is there a link between voter turnout and progress?

Post Read Question:

What is the significance of enhanced voter turnout? What are the challenges and way forward in increasing voter turnout?

Other Important Articles Covering the same topic:

The power of a vote

 

The Editorial Page

Roti Dal Sabzi

UPSC Syllabus:

Preliminary Examination: Current events of national and international importance

Mains Examination: GS-III: Economy

What’s the ongoing story- Among the many readings of Verdict 2024 is this one: The outcome, in many parts of the country, may have been shaped by economic issues like berozgari (unemployment) and mehengai (inflation) rising to the surface, and becoming salient. Of the two, the latter may have proved to be more decisive — Indian voters have historically blamed governments for inflation.

Prerequisites:

— What is the consumer price index (CPI)?

— What is the retail food inflation?

Key takeaways:

— Overall CPI inflation in 2024 has averaged 5.37 per cent year-on-year in the 12 months ended April, way above the Reserve Bank of India’s (RBI) medium-term target of 4 per cent. It’s been higher, at 7.88 per cent, for food inflation and even more in basic foods.

—  The price of roti-dal-sabzi would have arguably weighed much more on the ordinary voter’s mind, than in 2019.

— But a not-so-great agricultural production year in 2023-24, thanks to an El Niño-induced patchy monsoon, and supply disruptions from Covid and the Russia-Ukraine war before that, have contributed to durable inflationary pressures through much of the Modi government’s second term.

For Your Information:

— The cost of preparing a vegetarian thali at home surged 8 per cent in April to Rs 27.4, mostly contributed by rise in prices of inputs such as onion, potato and tomato, according to a report.

— On the other hand, the cost of a home-cooked non-vegetarian thali declined by 4 per cent to Rs 56.3 on a year-on-year (y-o-y) basis, in April, according to a research report by Crisil Market Intelligence and Analytics.

Points to Ponder:

— What is the Wholesale Price Index (WPI)?

— What is the difference between CPI and WPI?

— How is inflation calculated in India?

— What are the steps taken by the government and RBI to control inflation?

Post Read Question:

Prelims

Consider the following statements: ( UPSC CSE 2020)

1. The weightage of food in Consumer Price Index (CPI) is higher than that in Wholesale Price Index (WPI).

2. The WPI does not capture changes in the prices of services, which CPI does.

3. The Reserve Bank of India has now adopted WPI as its key measure of inflation and to decide on changing the key policy rates.

Which of the statements given above is/are correct?

(a) 1 and 2 only

(b) 2 only

(c) 3 only

(d) 1, 2 and 3

Mains

Do you agree with the view that steady GDP growth and low inflation have left the Indian economy in good shape? Give reasons in support of your arguments. (UPSC CSE 2019)

Other Important Articles Covering the same topic:

How food inflation played part in NDA’s Lok Sabha poll reverses

 

FRONT Page

Coalition opens space for dialogue, makes tough reforms feasible: CEA

UPSC Syllabus:

Preliminary Examination: Polity

Mains Examination: GS-II: Polity

What’s the ongoing story- During the previous two stints, the NDA government faltered on big-ticket reforms not having evolved the requisite consensus — and pushed the ball back to the states.

Prerequisites:

— What is a coalition government?

— What is the election verdict of the General Lok Sabha election 2024?

Key takeaways:

— Fitch Ratings said the government is expected to continue prioritising infrastructure capex, improvements to the business environment, and gradual fiscal consolidation, but coalition politics could make ambitious parts of the reform agenda more challenging.

For Your Information:

— The NDA has returned to power for a historic third straight term at the Centre, but the BJP itself has fallen short of the majority mark of 272. That implies there will be a coalition government in the real sense of the word.

Points to Ponder:

— What are the features of the coalition government?

— Can a coalition government derail India’s economic reforms trajectory?

— What are the pros and cons of the coalition government?

Post Read Question:

What are the positives and negatives of the coalition government? Highlight the significance of a coalition government for India.

Other Important Articles Covering the same topic:

No party wins majority: What does a coalition government mean for economic reforms in India?

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