Friday, December 18, 2015

COP-21 and the Paris Agreement

The recently concluded COP-21 has been hailed as a historic step towards tackling climate change through reduction in emissions and collective responsibility. The conference witnessed intensive negotiations and it was widely speculated that the agreement would get shelved but it was on the very last day of the conference that all the countries came together and by consensus, agreed to the final global pact. The Paris Agreement of the COP was but a culmination of the efforts of the UNFCCC over a period of almost 25 years to address the challenge of global warming and its impact on the environment.

History

United Nations Framework Convention on Climate Change (UNFCCC)

The UNFCCC was an international environmental treaty negotiated at the Earth Summit in Rio de Janeiro in June 1992 and entered into force on 21 March 1994. The objective of UNFCCC is to stabilise greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic influence with the climate system. The Framework sets no binding limits on greenhouse gas emissions for individual countries and contains no enforcement mechanisms. Instead the framework outlines how specific international treaties are to be negotiated in the future. As of now the UNFCCC has 196 parties. Parties to the convention have been meeting annually from 1995 in the Conference Of Parties (COP) to assess the progress in dealing with climate change.

Kyoto Protocol

The Kyoto Protocol was proclaimed in 1997 and went into effect in 2005. It was ratified by 141 nations. It bound the 35 industrialized countries to reduce their emissions by year 2012 to 5% less than levels prevalent in 1990. Kyoto protocol set emission targets for developed countries which were binding under international law. It had two commitment periods, 2005-2012 and 2012-2020. The US did not participate in the Kyoto protocol.

Bali Action Plan

The Bali Action Plan was adopted in 2007. As per the Bali Action plan all developed countries agreed to "quantified emission limitations and reduction objectives, while ensuring comparability of efforts among them, taking into account differences in their national circumstances". 42 developed countries, 57 developing countries and the African Group submitted their mitigation targets to UNFCCC.

Copenhagen Negotiations

A number of countries produced the Copenhagen Accord in the year 2009. It states that global warming should be limited to below 2.0 degree C (3.6 degree F) relative to pre-industrial temperatures. 114 countries agreed to the accord. The developed and developing countries submitted their respective mitigation plans as part of the Cancun Agreements.

Durban Platform

In 2011, parties adopted the 'Durban Platform for Enhanced Action' and agreed to develop a protocol, an agreement with legal force under the Convention applicable to all parties. This paved the way for the Paris Agreement which got adopted at COP-21.


Conference of Parties-21 (COP-21)

The COP-21 took place in Paris, France from 30 November to 12 December, 2015. The Conference negotiated the Paris Agreement, a global agreement on climate change, the text of which represented a consensus of the representatives of the 196 participating countries. The agreement will not become legally binding on its members until it is ratified by 55 countries which account for 55% of global emissions all over the world. Each country that ratifies the agreement will have to set a target for reduction in emission but amount will be voluntary. There will be a mechanism to force a country to set the emission target by a specific date but no enforcement if set target is not met. After every five years a party country will choose the most ambitious target that can be met as its target and continue in the direction of mitigation and reduction to achieve that target.
Article 2 defines the objectives of the Paris Agreement which states that the Agreement aims to strengthen the global response to the threat of climate change, in the context of sustainable development and efforts to eradicate poverty, including by:

  • Holding the increase in the global average temperature to well below 2 degree C above pre industrial levels and to pursue efforts to limit temperature increase to 1.5 degree C above pre industrial levels, recognising that this would significantly reduce the risks and impacts of climate change.
  • Increasing ability to adapt to the adverse impacts of climate change and foster climate resilience and low greenhouse gas emissions development, in a manner that does not threaten food production.
  • Making finance flows consistent with a pathway towards low greenhouse gas emissions and climate resilient developments.
Article 2 (2) states that 'This Agreement will be implemented to reflect equity and the principle of common but differentiated responsibilities and respective capabilities, in light of different national circumstances'. This article became a very contentious issue and one of the biggest roadblocks in the way of consensus as several parties felt that the developing countries were being dealt with too leniently and the developed countries had an increased share of responsibilities.
Article 4 explains in detail the responsibilities of the developed and the developing countries and how to proceed in the direction of economy-wide emission reduction. Developing countries have been given more breathing space regarding peaking time and mitigation efforts. Article 4(5) says that 'support shall be provided to developing country parties for implementation of this Article, in accordance with Articles 9, 10 and 11, recognising that enhanced support for developing countries will allow for higher ambition in their actions'. In this context Article 9 states that the developed country parties will provide financial assistance to developing country parties with respect to mitigation and adaptation, while Article 11 emphasises 'capacity-building' by enhancing the capacity and ability of developing countries and least developed countries, to take effective climate change action like mitigation, technology development etc.
The Agreement also establishes a 'global stocktaking process' where the parties will take 'stock of the implementation of this agreement to assess the collective progress towards achieving the purpose of this Agreement'. The first global stocktake will be undertaken in 2023 and will be repeated every 5 years.

How does the Paris Agreement affect India?

India's main concern regarding the Paris Agreement has been the undue limits that could have been placed on India's energy options. India will be requiring a great deal of energy in the coming decades for commercial cooking, fuels, electricity, and industrial and commercial purposes. It is very difficult to ascertain how much energy will be consumed in the coming years and that is one of the reasons why India was apprehensive to commit too much.
Since the beginning of the conference, India had pitched for CBDR (Common But Differentiated Responsibilities). The developed countries have long argued for the dilution of this principle saying that the world has changed since 1990 when convention was negotiated, particularly referring to the rise of China. Statistics show that China, US, the European Union, India and Russia top the list when it comes to carbon dioxide emissions but if per capita emissions are compared India is much much behind than all these countries. India has contributed very little to the problem and has limited capacity to address it, and it did not want to be placed under pressure to limit emissions prematurely. One can say that CBDR was the best option that India could root for. Critics point out that the Paris Agreement is toothless as it does not bind countries to actual emission limits, no mechanisms to enforce actions and therefore will have very little impact. But international actions have influenced policy making at domestic levels and countries cannot afford to ignore the problem for long especially when it could have disastrous effects on the world.

Sources: Wikipedia and unfccc.int.

Thursday, November 26, 2015

International Monetary Fund: Structure, Functions and Reforms

Post World War 2, the economy of most of the European countries as well as the U.S. economy was in shambles. In the year 1944, the representatives of 45 governments met at the Bretton Woods Conference in Bretton Woods, New Hampshire to discuss a framework for international economic cooperation and how to rebuild Europe. The conference led to the birth of three international organisations, namely, the World Bank, the International Monetary Fund and the General Agreement on Tariff and Trade, which was later renamed as the World Trade Organisation in the year 1995.
The IMF website describes the IMF as 'an organization of 188 countries, working to foster global monetary cooperation, secure financial stability, facilitate international trade, promote high employment and sustainable economic growth, and reduce poverty around the world.' But one of the most important functions of the IMF in recent years has been bailing out member countries which are facing a BoP (Balance of Payments) crisis. India itself had to seek the IMF's help in the year 1991 when faced with the BoP crisis of 1991.

Structure of IMF
The IMF is governed and accountable to its 188 members. It consists of the Board of Directors, the Executive Board and the Managing Director. The Board of Directors comprises the finance ministers or central bank governors of all the 188 member countries. They meet annually to elect new executive directors, approving quota increases, SDR allocations, admittance of new members etc. The Executive Directors are responsible for the day to day activities of the IMF.  There are 24 executive directors out of which 5 directors are elected by the five largest quota holders. The Managing Director is the chairman of the Executive Directors and is elected every five years. The MD is eligible for reappointment and is assisted by an internationally recruited staff, operating from the IMF's headquarters in France.

Functions of IMF

  • Surveillance of economies on a global, regional and national scale.
  • Helping members recover from BoP crisis and in the process, strengthening international trade.
  • Technical assistance, training and advisory role regarding BoP maintenance, forex reserve building etc.
Any member country facing a BoP crisis can seek short-term capital from the IMF to recover from the crisis. The IMF negotiates some conditions in exchange for the financial help, requiring the government of the borrowing country to correct macroeconomic imbalances through policy reforms. The member must adhere to these conditions most of which pertain to trade liberalization, privatization and cutting down on subsidies. The capital must be returned along with the interest over a period of time to the IMF. The rate of interest fixed by the IMF is 1.050%.

Special Drawing Rights
These are supplementary foreign exchange reserve assets defined and maintained by the IMF. The value of the SDRs are based on the exchange rate of four currencies (called the SDR basket). As of now the four currencies that form the basket of the SDR are the dollar, the euro, the pound and the yen. The exchange rates of each of the four currencies are multiplied by their respective weights and the value of the SDR is determined. As of now the value of 1 SDR equals 1.4 dollars. The weight is assigned to the currencies as per their importance in International Trade. The currencies and their respected weights are given below:
Yen - 9.4%
Pound - 11.3%
Euro - 37.4%
Dollar - 41.9%

IMF Quota
Every member of the IMF contributes to the reserves of the IMF and the IMF pays interest at the rate of 0.05% to its members. The amount contributed is called the quota and it is linked to the size of the economy, the GDP and the openness to international trade of that nation. Increase in quota, means increase in the SDR contribution which also gives more voting power to that member which it can use to elect executive directors, SDR allocations etc. Presently, the largest contributions are made by:
USA - 17.7%
Japan - 6.5%
Germany - 6.1%
Chinese quota stands at 4.0% while Indian quota is 2.4%.

IMF Reforms
There has been increasing demand from members of the BRICS countries for reforms in the quota allocation and governance of the IMF. The BRICS nations contribute 1/5th of the world GDP and also house 2/5th of the world's population. The quota alloacted to them is very less in contrast to their importance and enormity in the world economy. In the year 2010, the IMF proposed several reforms considering the demand from the BRICS countries.
Pertaining to Quota

  • Increasing the quota of emerging economies; India's quota would be increased to 2.7% from 2.4% thus promoting it up 3 places to the 8th position; similarly China's quota would increase from 4% to 6.4%.
  • Decreasing the quota of poor nations. This proposal was criticised by the poor countries as the IMF chose to decrease the quota of poor countries rather than the large countries like US and Japan.
  • These proposals need 70% votes and without the support of the US, Japan and other large European economies, these reforms cannot be implemented.
Pertaining to Governance

  • All executive directors should be elected and there should be no permanent chairs. Current provision allows top 5 quota holders to select 5 out of 24 directors.
  • Review composition of executive directors every 8 years.
  • These proposals need 85% votes and as mentioned above, US approval is required to put the reforms in place.
All these proposals are pending mainly because of US support. This has prompted the BRICS countries to come up with their own multilateral agencies like the BRICS bank and the AIIB bank as alternatives to the IMF and the World Bank.

Criticism
Many experts are of the opinion that the IMF has failed in predicting several economic breakdowns and crises. Although one of the chief functions is to predict and try to contain these crises, the IMF has failed time and again. Many believe that the Mexico crisis (1995), East Asian Crisis (1997), the sub prime crisis, PIGS crisis, European Sovereign Debt crisis etc could not predicted by the IMF and they could have been avoided by timely intervention. The IMF has also faced criticism for keeping a high SDR rate as well as dragging its feet on reforms in quota and governance.





Thursday, November 12, 2015

Reservation and Rise of Mandal Politics

With the 'Mahagatbandhan' RJD-JDU-Congress Alliance sweeping the Bihar elections, there are speculations of the resurgence of the Mandal politics of the 90s. If the NDA sources are to be believed, caste-based politics has made a come back in the Hindi heartland and will upset quite a few political pundits who had written off caste politics after Narendra Modi stormed to power in the Lok Sabha elections of 2014. The 'reservation' debate has assumed national importance once again with the Patel community in Gujarat and the Gujjars of Harayana demanding reservation, while RSS chief Mohan Bhagwat calling for an end to caste-based reservation, the repercussions of which were felt in Bihar.

What the Constitution says
Article 15 of the Constitution says that the State shall not discriminate against any citizen on the grounds only of religion, race, caste, sex or place of birth.
There are three exceptions to this rule:

  • State is permitted to make any special provisions for women and children.
  • State is permitted to make any special provisions for the advancement of socially and educationally backward classes of citizens or for scheduled castes and scheduled tribes.
  • State is empowered to make any special provisions for the advancement of any socially and educationally backward classes of citizens or for scheduled castes and scheduled tribes, regarding their admission to educational institutions, whether aided or unaided by the state, except minority educational institutions. 
The last provision was added by the 93rd Amendment Act of 2005. In order to give effect to this provision, the government enacted the Central Educational Institutions (Reservations in Admission) Act, 2006, providing a quota of 27% for candidates belonging to the OBCs in all central higher educational institutions including the IITs and IIMs.

Article 16 of the Constitution provides for equality of opportunity for all citizens in matters of employment or appointment to any office under the state. No citizen can be discriminated against or be ineligible for any employment or office under state on grounds only of religion, race, caste, sex, descent or place of birth.
There are exceptions to this general rule:

  • Parliament can prescribe residence as a condition for certain employment or appointment in a state or union territory or local authority or other authority.
  • State can provide for reservation of appointments or posts in favour of any backward class that is not adequately represented in the State services.
  • A law can provide that the incumbent of an office related to a religious or denominational institution or a member of its governing body should belong to the particular religion or denomination.
Other articles concerning to the rights and interests of SCs, STs and other weaker sections are Articles 46 and 330 to 342.
It is thus clear that although the Constitution does believe in equality of all citizens, it also asserts that the interests of the backward 'classes' must be given due attention.


Mandal Commission and its aftermath
The Mandal commission, under the chairmanship of B.P. Mandal, was appointed by the Morarji Desai government in 1979 to investigate the conditions of socially and educationally backward classes and suggest measures for their advancement, in terms of article 340 of the Constitution.
The commission submitted its report in 1980 and identified 3743 castes which were socially and educationally backward. These castes constituted nearly 52% of the population excluding SCs and STs. The commission recommended for reservation of 27% government jobs for the Other Backward Classes (OBCs) so that the total reservation amounts to 50%, as 22.5% of the seats were already reserved for the SCs and STs.
After 10 years, in 1990, the V.P.Singh government declared reservation of 27% government jobs for the OBCs. This move resulted in widespread protests all over the country against giving government jobs on the basis of caste rather than merit of the candidate. The protests closed down roads, highways, transportation services, government services, businesses and schools and escalated enough to close parts of the nation. A number of Bandhs, Hartals, Dharnas were organised with simultaneous reportings of looting, rioting and destruction of public property. It ultimately led to the resignation of V.P. Singh as the Prime Minister of India while his party, the Janata Dal was split up into many different parties like Rashtriya Janata Dal (Bihar), Samajwadi Party (UP), Biju Janata Dal (Orissa), Janata Dal Secular (Karnataka) and the Janata Dal United (Bihar).
Several of these parties assumed caste-based identities and projected themselves as representatives of a particular community of the backward class. These communities already felt threatened at that time because of the ongoing protests against reservation. This paved the way for 'votebank' politics, where every party tried to identify itself with one or more community (mainly from the backward classes). This type of politics reaped dividends for several parties in various states, given the political scenario at that time, and was subsequently referred to as 'Mandal politics'.
In 1991, Narasimha Rao government introduced two changes to those made in 1990:

  • preference to poorer sections among OBCs in 27% quota, i.e. adoption of economic criteria in granting reservation.
  • reservation of another 10% of jobs for poorer (economically backward) sections of higher castes who were not covered by any schemes of reservation.
In the Mandal Case of 1992 (Indra Sawhney vs Union of India), the Supreme Court rejected additional reservation of 10% for poorer section of higher castes, but upheld constitutional validity of 27% reservation for OBCs with certain conditions.

The present reservation system has faced a lot of criticism from various fronts. But the strongest voice of protest comes from the student community which sees the current system of reservation as regressive and counter-productive. Caste-based reservation has caused many meritorious students to miss out on a chance to bag a seat at the premier institutions while simultaneously these institutions have to do with mediocre students, with many even dropping out before the end of the course.
In cases of government jobs and appointments to other state run institutes, a compromise has to be made by employing people who are not worthy or capable but have to be employed to fill up the quota that has been specified. This creates problems in the effective and smooth functioning of the state machinery. Several others have pointed out the fact that the caste-based reservation system has emerged as a political tool rather than a social backwardness alleviation scheme, which has created deep seated resentment among members of various castes which is against the spirit of nationalism.
The makers of the Constitution were of the opinion that as the country would progress in the field of education and science, reservation would be phased out systematically, but the Parliament has always succeeded in extending that period, which raises the question whether our elected representatives themselves want to do away with reservation or not.

Wednesday, November 4, 2015

India to be a member of the Nuclear Supply Group?

NSG (Nuclear Supply Group) chairperson, Rafael Grossi has said that the NSG will start consultations on India's membership to the elite nuclear group this month. He also ruled out an 'India-specific' rule which leaves room for Pakistan and Israel (both have not signed the NPT like India) to apply. India has sought membership of the NSG since 2008.
The NSG (Nuclear Supply Group) is a 48-member multinational body concerned with reducing nuclear proliferation by controlling the export and re-transfer of materials that may be applicable to nuclear weapon development and by improving safeguards and protection on existing materials. Ironically, NSG was founded in response to India's nuclear tests in 1974 to stop what it called 'misuse' of nuclear material meant for peaceful purposes. Although, India received a special waiver to conduct nuclear trade with all nuclear exporters in 2008, it has not been accepted as a member of the 'club'.
The NSG works by consensus, which means no votes, but all members have to agree to a proposal. Although the NSG has been admitting new members, it has admitted only those countries which are part of the NPT (Non-Proliferation Treaty) and the CTBT (Comprehensive Test Ban Treaty). India has neither signed the NPT or the CTBT. In the past few months President Pranab Mukherjee's visit to Sweden, Prime Minister Modi's visit to Ireland and Foreign Secretary S. Jaishankar's visit to Switzerland saw intense discussions over the NSG question. Support of all these countries, including Norway was critical, as they were previously seen as 'non-proliferation' hardliners, insisting that India sign the Non-Proliferation Treaty before it could be admitted. However, in recent years, their position has softened, as they have been calling for India to align its civil nuclear safeguards with NSG guidelines. Both the US and Russia have pledged support for India's inclusion to the NSG. With Prime Minister Modi looking to conclude the nuclear deal between India and Australia and a possible deal with Japan on the cards when Prime Minister Shinzo Abe visits in December, India seeks to garner enough support to lobby for a position in the NSG. China maybe the only country opposing India's inclusion but it has repeatedly denied these claims, while stating that India should sign the NPT so as to be included in the NSG.
Officials are also hopeful of being considered for the MTCR (Missile Technology Control Regime), the Australian Group and the Wasenaar Arrangement. The MTCR, formed in 1987, is an informal and voluntary partnership of 34 nations to prevent the proliferation of missile and unmanned aerial vehicle technology capable of carrying a 500kg payload for atleast 300 km. The Australia Group and Wasenaar Arrangement are similar groups for control on export of biological/chemical weapons and conventional arms respectively. This will be an important step towards inclusion of India in the global nuclear order.

Tuesday, October 27, 2015

Uniform Civil Code in India: The Past and the Future

On the 13th of this month, a Bench of Justices of the Supreme Court, questioned the government about its mandate on framing a Uniform Civil Code so that all religions are regulated by the same yardstick in measures of law. The Bench was hearing a petition, challenging a provision that compels Christian couples to wait for at least two years for divorce, whereas this period for other religions is one year. The BJP which has always supported the need for a uniform civil code in the country is under attack from various sections of the society for delaying the much needed reforms.
The Uniform Civil Code are a set of laws which will replace the personal laws, based on scriptures and customs of each religion (Hindu Code and Muslim Personal Law). This new set of laws will govern each and every citizen of the country irrespective of his religion. As of now, Goa is the only state with a uniform civil code called the 'Goa Family Law' (continuing after its annexation in 1961).

History:
(Pre-Independence)

  • The British allowed personal laws to be governed by religious scriptures and customs of various communities. These personal laws involved inheritance, succession, marriage and religious ceremonies. The British took care of laws pertaining to crime, taxation, revenue, contracts, etc.
  • The Lex Loci Report of October 1840 emphasised importance and necessity of uniformity in 'codification' of Indian law, relating to crimes, evidences and contract but recommended that personal laws of Hindus and Muslims should be kept outside of codification.
  • These religious and customary laws were often discriminatory against women. Several reforms were made to these laws in the 19th century, like the Abolition of Sati and Widow Remarriage Act, with active participation of reformers like Raja Rammohan Roy and Ishwarchandra Vidyasagar.
  • Women's organisations demanded a uniform civil code to replace existing personal laws, basing it on the Karachi congress resolution (1931) which guaranteed gender-equality.
(Post-Independence)

  • In 1946, there were extensive debates in the Constituent assembly over the place of personal laws in the new Indian legal system. Some were of the opinion that India's personal laws were too divisive and a uniform civil code should be instituted in their place. Others resisted the proposal on the grounds that its imposition would destroy the cultural identity of the minorities.
  • After independence, the then prime minister Jawaharlal Nehru, his supporters and other women members wanted a uniform civil code to be implemented. At the same time, then Law Minister pushed for reforms in the Hindu laws. Nehru saw this as the first step towards Hindu unity and the uniform civil code.
  • The bill was met by severe opposition from many quarters including the then president, Rajendra Prasad and Congress party president, Vallabhbhai Patel and members of the Hindu fundamentalist parties. The conservative Hindu politicians, organisations and devotees were unhappy about being singled out as the only community whose laws had to be reformed.
  • The main provisions opposed were those concerning monogamy, divorce, coparcenaries and inheritance to daughters. A scaled down version of four Hindu bills were successfully passed in the Parliament in 1955-56. They were Hindu Marriage Act, Hindu Succession Act, Hindu Minority and Guardianship Act, Hindu Adoptions and Maintenance Act.
  • Since Act applied only to Hindus, women from the other communities remained subordinated. 
(Shah Bano Case, 1985)

  • Shah Bano was a 73 year old woman who sought maintenance from her husband, Muhammad Ahmad Khan. Khan divorced her after 40 years of marriage by oral Talaaq and denied her maintenance. Unilateral divorce was permitted under Muslim Personal Law.
  • Supreme Court ruled in favour of Shah bano under "maintenance of wives, children and parents" provision (section 125) of All India Criminal Code, which applied to all citizens irrespective of their religion. It also recommended that a uniform civil code be set up.
  • This became a nation-wide political issue. The All India Muslim Board defended application of their laws. Criminal Code was seen as a threat to Muslim Personal Law, which they considered their cultural identity. For them, the judiciary recommending the uniform civil code was evidence that Hindu values would be imposed on every Indian.
Countries like Turkey and Tunisia have modernised their Islamic personal laws as have also Pakistan and Bangladesh. The Uniform Civil Code is not a magic wand and will not take care of all the problems faced by women overnight. It must emerge from an evolutionary process where participation of the civil society itself is important for the drafting of the code.
Justice R.M. Sahai in Sarla Mudgal, suggested that the Law Commission of India and the commission of minorities could work together to propose reforms, while co-opting bodies like All India Muslim Personal Law Board. There have also been recommendations to adopt a parallel civil and religious system, where in, certain matters like maintenance, inheritance, etc. civil law would prevail and be mandatory. These parallel systems exist in London, New York and Toronto. Such a parallel system would encourage an idea of uniformity that would respect autonomous laws for religious communities and address provisions inconsistent with the constitution.
In a country as diverse as India, it becomes cumbersome for the judiciary to judge cases when different laws apply to different communities. The Uniform Civil Code will be an important step towards national integration and national unity. Article 44 of the Constitution says that 'the state shall endeavor to secure for the citizens a uniform civil code throughout the territory of India'. Although this article is not justiciable, the state has an obligation towards civil society to set up the uniform civil code. It is important in the sense, that it will promote gender equality and do away with archaic personal laws of Muslims which allow unilateral divorce and polygamy.

(sources: Indian Express and Wikipedia)

Wednesday, October 21, 2015

Supreme Court strikes down NJAC Act (99th Constitutional Amendment Act)

The Supreme Court, recently, declared that the National Judicial Appointment Commission Act was ultra vires to the provisions of the constitution. A five-judge Constitution Bench ruled with a 4:1 majority that judges' appointment shall continue to be made by the Collegium System which consists of the Chief Justice of India and the four senior-most judges of the Supreme Court. The Bench underlined that the NJAC sought to interfere with the independence of the judiciary, of which appointment of judges and primacy of judiciary in such appointments, were 'indispensable' features. By striking down the 99th Constitutional Amendment Act, the Supreme Court has raised a lot of eyebrows, with the country divided over whether the move has been in the best interests of the society or not.
To read more about the composition and working of the NJAC visit the following link. http://zamanexplains.blogspot.in/2015/04/independence-of-judiciary-in-danger.html

History:

  • First Judges Case (1982) - Supreme Court held that in matters of appointment of judges, the government must consult the Chief Justice and other judges of the Supreme Court, but the consultation does not mean concurrence. In short, the advice of the judges was not binding on the government.
  • Second Judges Case (1993) - Supreme Court reversed its earlier ruling and made the advice of the CJI (Chief justice of India), binding on the President, in matters of appointment of judges. But CJI had to consult his two senior-most colleagues.
  • Third Judges Case (1998) - Supreme Court opined that the consultation process adopted by CJI requires 'consultation of plurality of judges'. This paved the way for the Collegium System for appointment of judges. The CJI was to consult a collegium of four senior-most judges of the SC and even if two judges gave an adverse opinion, the recommendation to the government would not be made.
Ever since then, the Collegium System has been followed to make judicial appointments to the Supreme Court and the High Courts. But the Parliament passed the NJAC bill and also got it ratified in twenty State Legislative Assemblies, thus putting an end to the Collegium System.

Views in support of the ruling:

  • Basic structure of the Constitution was violated by the Act, as it encroached upon 'Independence of Judiciary'. As per the Supreme Court, the composition of the NJAC was flawed. The presence of the Union Law Minister and two eminent experts, in the six member NJAC and the two member veto provisions seemed to violate the 'Primacy of the Judiciary'. 
  • The Constitution also directs State to separate the Executive from the Judiciary but the inclusion of the Union Law Minister in the NJAC went against this provision.
  • The government is the biggest litigant before the courts. India is one of the few countries where actions of political executive are brought before the judiciary in public interest litigations. Then how can judges appointed by the government be expected to be neutral while judging a case.       

Voices of Dissent:
The government and different sections of the society has expressed disappointment with the ruling.

  • The government thinks that the Supreme Court is ignoring the will of the people of this country as the bill had been passed by both the houses of the Parliament and ratified by most of the state assemblies.
  • The Supreme Court has made the assumption that 'primacy of the judiciary' is indispensable for 'independence of judiciary'. The Supreme Court felt that the composition of the NJAC and the veto provisions would reduce the 'primacy of the judiciary'. But there are other ways to protect the 'independence of the judiciary'.
  • Supreme Court feared that the 'two eminent persons' in the NJAC would be political appointees, but they were to be selected by a panel which consisted of the CJI, the Prime Minister and the Leader of Opposition, which did not leave much room for favoritism.     
Although the NJAC Act has been struck down and the Collegium system revived, the Supreme Court has invited the government to propose and discuss theories which will improve the Collegium system and make it more transparent, efficient and accountable.                                                                


Monday, October 19, 2015

Human Development Index and Multidimensional Poverty Index: A brief overview

Human Development Index:
The Human Development Index is an indicator to define and measure the levels of development of a nation. Every year the UNDP(United Nations Development Programme) releases an HDR (Human Development Report) which ranks the countries as per their HDI. The HDI was developed by Mahbub ul Haq and Amartya Sen, along with other economists in the 1990s.
HDI measures development by combining 3 indicators-
  1. Health
  2. Education
  3. Standard of Living
Health component is measured by life expectancy at birth with a minimum value of 20 years and a maximum value of 83.57 years.
Education component of HDI is measured by two indicators; Mean of years of schooling (for adults aged 25 years) and Expected years of schooling (for children of school entering age).
Standard of living is measured by calculating GNI (Gross National Income) at PPP (Purchasing Power Parity) in US dollars. The HDI is the geometrical mean of the normalised indices which gives a value in the range of 0.0-1.0.
As per their achievements, countries can be broadly classified into 3 categories-
  1. High Development Countries with an HDI of 0.8-1.00
  2. Medium Development Countries with an HDI of 0.5-0.799
  3. Low Development Countries with an HDI of 0.0-0.499
The last HDR released in 2015 by the UNDP which stated the HDI of India to be 0.586 with a life expectancy at birth of 66.4 years. India ranks 135th among 187 countries and is ranked poorly compared to other BRICS nations. The top five ranked countries as per the HDR 2014 are Norway, Australia, Switzerland, Netherlands and the United States. The medium ranked countries include are South Africa, Egypt, Mongolia, Philippines and Indonesia. The bottom five ranked countries are Sierra Leone, Chad, Central African Republic, DR Congo and Niger.

Multidimensional Poverty Index:
The global Multidimensional Poverty Index is an international measure of acute poverty covering over 100 developing countries. It was introduced as a replacement for the Human Poverty Index (HPI). The HPI (1997-2009) used country averages to reflect aggregate  deprivations in health, education and standards of living but failed to identify the deprivations of an individual, a household or a group of people. The MPI overcomes these shortcomings by capturing overlapping deprivations and how many deprivations people face on an average. The MPI can be successfully broken down by indicators to show how multidimensional poverty affects different persons, regions and ethnic groups. It was developed in 2009 by the Oxford Poverty and Human Initiative and the UNDP.
The same three dimensions are used for the calculation of MPI which were used for HDI. Each dimension consists of several indicators. They are-
  • Health: Child Mortality and Nutrition.
  • Education: Years of Schooling and School Attendance.
  • Standards of Living: Cooking Fuel, Toilet, Water, Electricity, Floor, Assets.
These 10 indicators are used to calculate the MPI. The first four indicators are weighted at 1/6 whereas the rest are weighted at 1/18. An individual or household can be classified as MPI poor if they are deprived in 1/3rd or more of the indicators i.e. greater than or equal to 33.33%.
 The formula used for calculation of MPI of a country is, MPI = H . A, where H= Percentage of people who are MPI poor and A = Average Intensity of MPI poverty across the poor.
The MPI has emerged as a powerful tool to identify regions and groups afflicted by severe poverty which can help policy makers to target these groups and support them through various poverty alleviation schemes.
Between 1999 and 2006 India has reduced its MPI by 0.050 units or 16%, from 0.300 to 0.251. This reduction is mainly due to reduction in H, the number of people identified as poor. Reduction in intensity in A was small but still significant. Reduction in India's MPI has been positive at 1.2 % per year but the progress has been less than some of its neighbours, which are significantly poorer in terms of income. Nepal reduced the percentage of poor people from 64.7% to 44.2% from 2006-2011, 4.1 percentage points per year, while Bangladesh's poverty rates decreased by 3.2 points per year.

Human Poverty Index:
Before the MPI was introduced, the HDR also contained the HPI statistics for various countries. Although the HPI was supplanted with the MPI, it was an important measure of poverty for policy makers in developing countries. The first HPI data was released in the year 1997.
HPI concentrates on three essential elements of human life already reflected in HDI: longevity, knowledge and decent standards of living. The HPI was calculated separately for developing countries and high-income OECD (Organisation for Economic Co-operation and Development) countries.
HPI-1 (for developing countries) =  \left[\frac{1} {3}\left(P_1^\alpha+P_2^\alpha+P_3^\alpha\right)\right]^{\frac{1} {\alpha}}
P1 : Probability at birth of not surviving to age 40 (times 100)
P2 : Adult illiteracy rate
P3 : Unweighted average of population without sustainable access to an improved water source and children under weight for age
a : 3

HPI-2 (for OECD countries) = \left[\frac{1} {4}\left(P_1^\alpha+P_2^\alpha+P_3^\alpha+P_4^\alpha\right)\right]^{\frac{1} {\alpha}}
P1 : Probability at birth of not surviving to age 60 (times 100)
P2 : Adults lacking functional literacy skills
P3 : Population below income poverty line (50% of median adjusted household disposable income)
P4 : Rate of long-term unemployment (lasting 12 months or more)
a: 3

       




Thursday, October 8, 2015

Insurgency in the North-East: NSCN(I-M) in Manipur

The peace accord signed between the NSCN(I-M) (National Socialist Council of Nagaland(Issac Muivah)) and Prime Minister Narendra Modi in August this year, was a major breakthrough for India in containing insurgency in the North-East. The NSCN, a Naga nationalist Military group, was formed in 1980 by Issac Swu, T. Muivah and S.S. Khaplang. It later split into two factions: NSCN(I-M) led by Issac Swu and T. Muivah, and the NSCN(K) led by S.S. Khaplang. The main objective of both the NSCN factions is to establish a sovereign state, "Nagalim", unifying all the areas inhabited by the Nagas in North-Eastern India and northern Myanmar.
The formidable presence of NSCN(I-M) in Nagaland and various parts of Manipur, Assam and Arunachal Pradesh was a huge security concern for India. With the peace treaty signed, the central government also ensured that the NSCN(I-M) is distanced from other insurgent groups such as the NSCN(K) (National Socialist Council of Nagaland(Khaplang)), ULFA (United liberation Front of Assam), National Democratic Front of Bodoland-Songbijit and KLO (Kamtapur Liberation Organisation) which had come together under an umbrella organisation known as the UNLFW (United National Liberation Front of Western South East Asia). The major terror attack in Manipur in June this year was the handiwork of UNLFW. The biggest benefit of the accord will be in respect with China. China has been known to be covertly aiding UNLFW and other insurgent groups. With the peace accord signed India has ensured that NSCN(I-M) will share much needed intelligence, thus helping Indian Armed Forces to strengthen their position in the North-East.
On paper, everything is running smoothly but the ground reality has been different altogether. Since the signing of the peace accord, there have been reports of the NSCN(I-M) setting up training camps in Manipur and recruiting cadres. This may contribute to flare-up of inter-tribal tensions in the fragile state which is already fraught with communal tensions. Cases of extortion, arms and drugs smuggling have risen and it is reported that most of these are carried out by NSCN(I-M) cadres. The NSCN(I-M) is looking to increase its 2500 strong cadre by another 1000 from Manipur. With the legitimacy of the peace accord, it is looking to expand its operations in Manipur. The parallel government of NSCN(I-M) in Nagaland is running smoothly.
The possibility of the Manipur insurgents uniting against the NSCN(I-M) looms large and the NSCN(K) will not let go of any opportunity to destabilise the region by directly supporting the Manipur insurgents. The Centre must ensure that peace in Manipur is not broken due to the NSCN(I-M)'s activities which might worsen the conditions in the coming months. 

Thursday, October 1, 2015

Elections and Aadhar Cards

With elections due in Assam, Kerala, West Bengal, Tamil Nadu and Puducherry in the first half of the next year, the Election Commission has started the annual revision of electoral rolls throughout the country. One of the major challenges of the EC is to have a clean electoral roll with full enrolment. Relentless Urbanization, inter-city and intra-city movements are major roadblocks to having an accurate and updated electoral roll in urban areas.
Duplication of names on electoral rolls is another problem which the EC has to face and before the Electoral Photo Identity Cards (EPICs) were made mandatory for voting, bogus voting was prevalent in various parts of India. To curb this menace of bogus voting, the Electoral Photo Identity Cards were introduced. This proved to be a very important step and reduced bogus voting substantially.
But the problem of duplication of names on electoral rolls still persists. Although the EPIC assigns a unique number to each person, there is no way to prevent a person from issuing a second one if he/she does not voluntarily disclose information and there is no reliable reference against which checking can be done. The only option left is matching of photos which is a very tedious and time consuming affair. This problem can be solved with the help of Aadhar Cards.

  • Duplication of Aadhar Cards is near impossible as they have reliable backing by the way of fingerprints and iris scans for identification. Election officials just need the Aadhar number and check for its authenticity through the UIDAI (Unique identification Authority of India) website.
  • With the help of Aadhar Card, it is possible to enrol a person in a particular polling station/constituency and remove his name from other polling stations/constituencies, thus avoiding duplication and also making voter enrolment simpler.
  • Unlike EPICs, Aadhar Cards can be issued to minors also, they can automatically be included in the electoral rolls as they turn 18. Updating of electoral rolls will become much more easier.
  • Aadhar Cards may prove to be very important in the process of e-voting, if it is embarked upon in the near future.
Just as the EPICs helped in tackling the menace of impersonation in booths, Aadhar Cards can be the answer to duplication as well as efficient and accurate update of electoral rolls. The EPICs can be slowly phased out to make way for Aadhar Cards which will also save cost. A recent Supreme Court order has stated that the Aadhar Card will be used only for Public Distribution System (PDS) and kerosene and cooking gas subsidies. The Election Commission must move the Supreme Courts to allow Aadhar number in the electoral rolls to ensure smooth functioning of elections in the country.

Thursday, September 17, 2015

Can India become a permanent member of the Security Council

The adoption of a resolution by the United Nations General Assembly to use a framework text as the basis of discussions on Security Council reforms is an important step towards India's bid to become a permanent member of  the Security Council. This is the first time in the history of intergovernmental negotiations process that the decision on UN reform has been adopted.
The United Nations Security Council is one of the six principal organs of the United Nations charged with the maintenance of international peace and security as well as accepting new members to the Security Council and approving any changes to the UN charter. Its power includes establishment of peacekeeping operation, establishing of international sanctions and authorization of military action through the Security Council resolutions. The five permanent members of the security council wield the power of veto which they can use to block any resolution of the UNSC. The five permanent members of the UNSC are US, Russia, China, France and UK. The UNSC was formed to meet the challenges post World War 2 but struggled to cope with dynamics of the Cold War.
The UN must take into cognizance the fact that developing nations like India play important roles in international economy and politics but they are denied any substantial power in the Security Council where only the veto wielding members take all the important decisions. The Security Council should be a more democratic body to tackle global challenges.
Three of the five permanent members of the Council i.e. US, Russia and China, are against any major restructuring of the Council.   Although the US and Russia have promised to support India's claim to become a permanent member of the Security Council their current positions on the issue are contradictory. While the US is in favour of a 'modest expansion', Russia is against any change in the veto arrangement. Even if the General Assembly reach a consensus on the reforms it will be vetoed by one of the permanent members.
India must press for dialogue on the issue with all the permanent members reminding them of the promises that were made. India along with the other G4 nations must constantly push their agenda to make the UNSC a more democratic body. 

Wednesday, September 9, 2015

Doing away with Coal Plants a viable option?

Even though the future of Renewable Energy in India is bright, coal will still be used for generation of power and stopping it altogether may be impractical. There are a large number of plants that run on coal and more are under construction. The carbon emissions due to the combustion of coal are a major environmental concern but rather than doing away with coal plants steps should be taken to optimize power generation from coal. The following steps can be taken to improve and clean up coal combustion:

  • Evaluating and restructuring old plants so as to increase their efficiency.
  • Coal utilization is the key. Techniques should be adopted which use less coal to generate more output. This could reduce coal usage by 15 percent and help reduce other pollutants.
  • Reducing local environmental impacts especially regarding water use, particulate emissions and treatment of waste ash.
  • Innovative technique should be used to work with Indian coal (high ash content).
  • These steps must be complemented by state-of-the-art technology, policy support and financing from the government.
Hydro-generated power and power from gas are not enough to feed the energy requirements of this country. Doing away with coal plants completely is not a viable option in the current scenario but we must definitely look at ways to reduce environmental pollution caused by carbon emissions.

Friday, August 21, 2015

Payment Banks: A step towards financial inclusion

The recent move by the RBI to give licenses to eleven private parties to set up "payment banks" has raised a few eyebrows. Payment banks are basically banks which provide almost all banking facilities like taking deposits, pay bills, issue cheques, drafts etc except it cannot lend to anyone apart from the government. Companies like Vodafone, Airtel, Aditya Birla group, India Post, Paytm and Tech Mahindra among others have got these licenses. But how does these banks affect the regular banking setup?
First and foremost, these banks will provide last mile connectivity as they do not require bank branches for transaction. Thus penetration of these banks in rural areas will be comparatively more than regular banks, as most of these transactions will take place through mobile phones. Though physical branches will be required for opening of accounts but payment banks will mostly rely on technology to reach to the customer.
Secondly, payment banks, with their zero balance accounts and low fee for banking services will create competition for both public sector and private banks which make us pay through our noses for banking services. The proliferation of payment banks will thus reduce the cost of banking services resulting in a considerable loss of customers by regular banks.
Thirdly, the payment banks can be very useful in implementing the Direct-Benefit-Transfer schemes where subsidies can be directly transferred to accounts. Payment Banks, along with the Aadhar Card and Jan Dhan Yojana scheme will enable direct cash subsidy to the poor, without the problem of fake recipients arising. This is a very important step taken in the direction of Financial Inclusion and subsidy reforms.
Fourthly, these banks will offer better return rates to depositors and the 4 percent for savings account norm will be a thing of the past. Higher return rates will attract more customers and subsequently may cause the banks to lose customers.
Lastly, the government will be one of the biggest beneficiaries of the move as they will get access to cheap funds. Currently, banks are major investor in government bonds. But since payment banks can lend only to the government, they can invest in short-term bills or T-bills of upto one year's maturity. Short term rates will come down and government will be able to borrow cheaply.
Though, it is quite evident that the ease of banking and lucrative interest rates offered by payment banks may cause some portion of the customer base of regular banks to shift to payment banks, it does not mean the banks will run out of business. They can still give loans to public and private entities and a considerable amount of their profits comes from these loans. A competitive atmosphere, will actually be beneficial for the public and make some public sector banks to come out of their sleep and take note of the current situation.

Tuesday, July 28, 2015

Right to Property and Articles 31A, 31B and 31C of Indian Constitution

Originally, there were seven Fundamental Rights under Part III of the Constitution. Article 19 (1)(f) guaranteed to every citizen the right to acquire, hold and dispose property. Article 31, on the other had, stated that no person, citizen or non-citizen can be deprived of his property, except by authority of law. The State was empowered to acquire or requisition the property only under two conditions: (a)It should be for public purpose. (b)It should provide for payment of compensation to the owner.
Since the commencement of the Constitution, these two articles have created many controversies and pitched the Supreme Court and the Parliament against one another more than once. The Parliament saw this right as a hurdle when it came to acquire land and numerous amendments were made (1st, 4th, 7th, 25th, 39th, 40th and 42nd) to add and modify Articles 31A, 31B and 31C so as to nullify the effect of Supreme Court judgments and protect certain laws from being struck down by the courts on the grounds contravention of the Fundamental Rights. Most of the litigation centered around the obligation of the state to pay compensation for acquisition of private property.
Finally, the Parliament abolished the Right to Property as a Fundamental Right by repealing articles 19(1)(f) and 31 from part III by the 44th Amendment act, 1978. Thus, the Right to property was no more a Fundamental Right. But to say that the Right to Property was totally discarded would be wrong, because it was added to the  constitution as Article 300A. It can be said, that the Right to property no more remains a Fundamental right but exists as a legal right and consequently no longer a part of the basic feature of the Constitution.
The implications of the Right to property as a legal right is that a constitutional amendment is not required to curtail or abridge or modify this right. An ordinary law of the Parliament will suffice.
Furthermore, a person cannot move the Supreme Court under Article 32 (right to constitutional remedies) if it is violated and the SC cannot issue any writ regarding the violation. The person can approach the High Courts under Article 226 in case of violation of the Right, to which the courts are empowered to issue legal writs. It should also be noted that Article 300A protects property from executive action but not legislative action and the right to compensation is not guaranteed in case of acquisition or requisition of private property.
Though the Right to Property was abolished as a Fundamental Right, Part III still carries provisions for the guaranteed right to compensation on acquisition or requisition of property in two cases:
  • When the State acquires the property of a minority educational institution (Article 30)
  • When the State acquires the land held by a person under his cultivation and the land is within the statutory ceiling limits.(Article 31 A).
If we take a look at the practical implications and the effects of abolishing Right to Property as a Fundamental Right, we will realize that it has created a dangerous situation wherein a poor person can be deprived of his property by law and he will have no legal remedy under the sky. This is contrary to Article 13 of the USSR Constitution 1977 which says 'personal property of a citizen and the right to inherit it are protected by the state'. Similarly, Article 9 of 1978 Constitution of China protects the right of a citizen to own private property.
Articles 31A, 31B and 31C have also had their own share of controversies. These articles contain certain laws that the Supreme court cannot challenge as unconstitutional on the grounds of contravention of articles 14 and 19 of the Constitution.
Article 31A saves five categories of laws from being challenged in court. These are related to agricultural land reforms, industry and commerce and include the following:
  • Acquisition of estates and related rights by the State
  • Taking over the management of properties in the State
  • Amalgamation of corporations
  • Modification or extinguishment of rights of directors or shareholders of corporations, and
  • Extinguishment or Modification of mining leases.
Article 31B on the other hand saves laws in the Ninth schedule from being challenged in the Supreme Court on the grounds of contravention of Fundamental Rights. But the honorable Supreme Court, in the year 2007 ruled that there could be no blanket immunity from judicial review since judicial review was a 'basic feature' of the constitution. If the laws made in the Ninth Schedule are found to be in violation of the Fundamental Rights guaranteed in articles 14, 15, 19 and 21 or the basic feature of the Constitution, it can be struck down by the Supreme Court.
Article 31C was inserted by the 25th Amendment Act, 1971 with the object of getting over difficulties in giving effect to Directive principles in part IV of the Constitution. As it originally stood, Article 31C shielded any law from being challenged in SC for violation of Articles 14, 15 and 31 which was enacted for implementing the Directive Principles mentioned in clause (b) and (c) of Article 39. Further, it provided that no such law which was enacted for the purpose of giving effect to Article 39(b)(c) would not be open to judicial review. The Supreme Court struck down the second part as offending against the basic structure of the Constitution, as per the ruling of Sc in Keshavananda Bharti case (1973). It is also to be noted that the Parliament tried to shield laws enacted to give effect to any of the Directive Principles in part IV, by the 42nd Constitutional Amendment Act, 1976. But the Supreme Court held that the extension of shield of Article 31C to all the Directives over the Fundamental Rights was beyond the amending power of the Parliament, as it gave primacy to the Directive Principles over the fundamental rights and also destroyed the power of judicial review, as the 42nd Amendment Act totally excluded judicial review of a law implementing a Directive Principle if it offended against Article 14 or 19 (Minerva Mills case 1980). The result was that Article 31 C was restored to its original pre 1976 position, namely to protect laws which gave effect to Directive Principles mentioned in clause a, b of Article 39, subject, of course to judicial review. Clause b of Article 39 directs the state to secure equitable distribution of material resources of the community for the common good while clause c directs the state to secure prevention of concentration of wealth and means of production. Thus Article 31C makes possible the nationalisation or the taking under public management and control of all means of production, key industries, mines, minerals, public supplies, utilities and services.


Friday, April 17, 2015

The Indo-French meet and Make in India

The off-the-shelf purchase of 36 Rafale jet fighters from France by Prime Minister Narendra Modi on his trip to France is a clear detraction from the 'Make in India' initiative. After much negotiations with Dassault, the company manufacturing Rafale, PM Modi took the decision of buying 36 Rafale jets in fly-off condition. Dassault's reluctance of becoming partners with the state-run Hindustan Aeronautics Limited is speculated to be one of the reasons why Dassault did not consent to manufacturing the jets in India which could have provided a major impetus to PM Modi's Make in India campaign. Defence minister Manohar Parrikar has hinted at further deals with Dassault keeping in line with the 'Make in India' campaign. FDI in defence set at 49%, the remaining 51% will be invested by a consortium of private companies with HAL rather than HAL itself. This opens up the lucrative defence sector open to private players.
When it comes to defence, India is the largest arms importer in the world. It is thus absolutely imperative that India must reduce its defence procurement and strive to manufacture domestically.
The current 'Make in India' campaign has laid much emphasis on investment which will create jobs and increase tax revenues and GDP but not much attention has been given to technology sharing.
The 'Make in India' campaign encourages companies to manufacture in India in the hope of bringing in investment as well as job creation and skill enhancement. But it can be much more than just an investment based campaign. Valuable technology and expert technical knowledge from foreign companies will be essential for India to make itself self dependent in the defense sector. It is thus, important to strike up a deal with Dassault so that the remaining jets are manufactured in India which will bring much needed investment along with technology that can help domestic companies to manufacture defence equipments without foreign aid.
PM Modi may have not got what he planned regarding the Rafale but a lot of other things went in his favour. A supplementray deal, was struck involving french company Areva and L&T, to produce heavy forging metal casing for nuclear reactors in India. This is a major step in localizing some of the expensive parts in India. The six nuclear plants will be set up at Jaitapur, Maharashtra. Prime Minister Modi is looking to strengthen the nuclear power producing capability of India as he also signed a deal with Canada to buy 3000 tons of Uranium from Canada over the next few years.
Other things discussed at Indo-French meet are preservation of heritage, development of Chandigarh and Puducherry as smart cities, construction of semi high speed railway lines, cooperation on a space mission to Mars, discussing anti terror training, tackling climate change through renewable technologies and robust nuclear partnership.

Monday, April 13, 2015

What is all this fuss about Net-Neutrality?

The Internet has been one of the greatest inventions of mankind and though only a few decades old, it has grown in size exponentially, finding its way to the remotest of villages and the busiest of boardrooms. Technological advancements in the field of telecommunication and the fact that human beings are inherently an information-hungry species, have led to the internet's growth. Easy access has been one of the major factors which has appealed to the people and with a host of services and applications which can be availed for free, the Internet has become a powerful tool in the hands of the public. For a country like India, which has a sizable rural population, the Internet can play a very useful role by providing for easy access of information, banking facilities, connectivity with the rest of the country and most important of all, spreading awareness of their rights and the programs launched by the government. Apart from that, the average urban Indian is very well acquainted with the Internet and it can be said that the Internet has become a part of their daily lives. With mobile phones and tablets equipped with browsing applications, access to the internet has become all the more easier and hassle free.
The openness of the Internet has always appealed to its users. Anyone can access any site, page or information as long as it is legally available. This is where the term net-neutrality comes in. Net-neutrality has been defined as the guiding principle of the Internet among all the other definitions that exist. In simple terms, 'net-neutrality' refers to the equal availability of all content on the Internet not subjected to blocking or discrimination of certain content by the ISPs (Internet Service Providers) or the government. Indian telecom companies made a lot of money in the last two decades as more and more people used their services but now with the advent of applications like WhatsApp, Facebook and YouTube which make millions riding on their back, the telecom companies want to charge us differently. In simple words, the telecom companies want to charge the consumers more for over-the-top applications such as WhatsApp, YouTube, Skype etc. In making such a demand the telecom companies argue that they spend billions of dollars in setting up infrastructure and bring themselves under regulatory scrutiny while numerous applications ride on their backs for free. So is it really for them to decide for us which applications are free and which are to be charged?
First of all, ISPs are not the creators of the content on the Internet nor do they own the internet. Their services are required for accessing the Internet. As of now, if a person buys a data pack from a telco, it is totally upto him, how he spends it but with the demand for net-neutrality different applications and websites will be charged differently based on their popularity. Violating net-neutrality could also have adverse effects on start-ups. Many Internet giants like Google and YouTube had humble beginnings, with hardly any resources or capital. But innovative ideas and the openness of the Internet helped them grow to become success stories. Telecom companies, if given the power to violate net-neutrality will charge big companies like Google and YouTube to make their applications free on the Internet or priced at lower rates. On the contrary, start-ups which do not have enough capital will not be able to compete with big, established companies and their content will not be accessed by consumers owing to higher rates set by the ISPs.
 The TRAI (Telecom Regulatory Authority of India) has released a 117 page document listing the reasons why telecom companies should be allowed to break net-neutrality and also asked for the opinion of the general public to help take a decision. You can mail your views at 'advqos@trai.gov.in'. It must be noted that the US, Chile, Netherlands and Brazil have already ruled in the favour of net-neutrality. The Internet is a very valuable resource and laws should be made to ensure that the ISPs do not monopolise the Internet or discriminate between applications so as to reap profits.

How India stands to benefit from the Iran Nuclear Deal

 The Iranian foreign minister and the P5+1(Security council and Germany), also known as E3+3(Europe 3+US,Russia and China) announced that they had reached a 'framework agreement' to take forward their twin objectives of reducing Iran's nuclear capabilities for civilian use only, while lifting the financial sanctions imposed on it by US, UN and the European Union. As per the agreement, Iran will limit Uranium enrichment to only one facility (Natanz). It has consented to redesign the plutonium heavy-water reactor at Arak so it cannot produce weapons-grade usable fuel while the enrichment site at Fordo will be converted to a research facility and production of medical isotopes. Uranium stocks will be also brought down from ten thousand kilograms to three hundred kilograms LEU(Low Enriched Uranium). While Saudi Arabia has decided not to comment on the developments, Israel has vociferously opposed the move on the grounds that any type of nuclear development facility in Iran will be used for developing nuclear weapons and a nuclear equipped Iran is a threat to world peace. 
The lifting of financial sanctions will give a boost to the Iranian economy which has been lagging since the imposition of these sanctions. Iran has been one of the major oil suppliers to India, and before the imposition of the sanctions Iran was the second-largest supplier of crude oil to India. The financial sanctions were a setback to India as much as it was for Iran. Though India still kept importing oil from Iran despite the financial sanctions, transactions became difficult as India had to pay Iran through Turkey and Russia. Iran, on the other hand, had to accept the payments in Indian currency and consequently has large reserves of unused Indian rupees. The agreement is a welcome move for India and there is already news of some Indian companies planning to import oil from Iran. The agreement will once again revive India's trade with Iran which will be economically beneficial to both the nations. India will also use this opportunity to bring up the Chabahar deep-sea port which will be a major breakthrough as it can become an important transit point for trade between India, Iran and Afghanistan. The Chabahar port will facilitate trade between India and Iran by totally bypassing Pakistan. With so many trade opportunities opening up for India, it stands to gain a lot from this agreement.

Sunday, April 12, 2015

Independence of Judiciary in Danger?

The National Judicial Appointments Commission Bill, introduced in Lok Sabha in August 2014 by the then minister of Law and Justice, Mr. Ravi Shankar Prasad got the President's assent in December and now has become the National Judicial Appointments Commission Act effecting a constitutional amendment (99th amendment act). It has added an article 124 A to the Constitution which deals with the composition and the procedure for appointment and transfer of judges.
Before this law was passed, judicial appointments to the Supreme Courts and the High Courts were made by the President of India who was to do so in consultation with the Chief Justice of India, who himself would consult a collegium of the four seniormost judges of the Supreme Court (as opined by the SC in third judges case,1998). Even if two judges gave an adverse opinion regarding an appointment, the recommendation would not be sent to the government.
With the passing of the NJAC bill, the government has made key changes in the method of appointment of judges of Supreme Court and high Courts. The Act provides for the establishment of a National Judicial Appointments Commission which will recommend names to the President for judicial appointments to the Supreme Court and the High Courts. The NJAC will comprise of the Chief Justice of India, two senior-most judges of the Supreme Court, the Union Law Minister and two eminent experts. The two experts are to be selected by the Chief Justice, the Prime Minister and the leader of Opposition and one of them must be from a scheduled caste, scheduled tribe, minority community or a woman. As per normal procedure, the senior-most judge of the Supreme Court will be chosen as the Chief Justice of India and all other appointments will be made as per the recommendations by the NJAC. If any two members of the NJAC disagree on a nomination, his/her recommendation will not be made to the President. The President has also been given powers to ask for the reconsideration of the recommendations made by the NJAC, but if NJAC makes a unanimous decision recommendation after such reconsideration, President must make the appointment accordingly.
The bill has faced strong criticism from several sections, some even calling it unconstitutional as it encroaches upon the power of the judiciary in matters of appointment. There is growing concern that with the inclusion of the Union Minister of Law and Justice in the Commission, the government may try to influence the decisions of the NJAC so as to appoint loyalists as judges to the apex court. Many are of the opinion that the judiciary should be independent of the executive, which has been an important feature of the judiciary of India and the establishment of the NJAC will be a stark violation of the principles on which the Supreme Court of India has been established.
On careful examination of the law, one realizes that the position of the courts are not in danger.
First of all, the system which existed was not too different from the one proposed now. With the inclusion of the Union Law Minister and two experts in the commission, the law has provided for the representation of the 'government' as well as the 'people' in the body. Since the previous procedure of appointments was proposed to curtail the absolute power of the Chief Justice of India in making recommendations, this comes as a welcome move as it curtails the absolute power of the judges (including the CJI) and takes in consideration the views and opinions of the Executive as well as experts. The law has also provided that the two experts should not be selected arbitrarily by the government but will be selected by the PM, the leader of Opposition and the CJI thus nullifying the argument that the government could create its own lobby within the commission.
The matter is still being discussed and debated upon, in the public domain, while the Supreme Court has constituted a bench to decide upon the 'constitutionality' of the law. Watch this space for more.