Context:

Recently, Lok Sabha passed the Biological Diversity (Amendment) Bill 2021 to amend the Biological Diversity Act, 2002.

About Biological Diversity Act, 2002: 

• It was enacted to conserve the country’s biological diversity and promote the sustainable use of its biological resources. 
• Regulatory Structure:  It sets up a three-tier structure for regulation: 
  • National Biodiversity Authority(NBA) at the national level.
  • State Biodiversity Boards(SBB) at the state level.
  • Biodiversity Management Committees at the local body level.
• Benefit Sharing: The Act provides for sharing of benefits with conservers of biodiversity and holders and creators of associated knowledge. 
  • Benefits may be shared in various forms such as monetary compensation, sharing of intellectual property rights, or  technology transfer.
• Adherence to UN Convention: It was framed to give effect to the United Nations Convention on Biological Diversity (CBD), 1992.
• Inclusion of Intellectual Property Rights (IPRs): The Act includes in its ambit the transfer of research results and application for IPRs relating to Indian biological resources. 

Key Provisions of the Biological Diversity (Amendment) Bill, 2021:

Concerns

• Ambiguity: The term Codified Traditional Knowledge has not been defined.  A broad interpretation might exempt all local traditional knowledge from benefit sharing requirements.
• Removal of  Prior Informed Consent: There is no provision for a mechanism for obtaining prior informed consent of the local and indigenous communities. This is in contrast with the framework under Nagoya Protocol.
  • For Example: In Divya Pharmacy vs Union of India (2018), the Uttarakhand High Court had observed that under the Nagoya Protocol, the concept of fair and equitable benefit sharing is focused on the benefits for local and indigenous communities.

• Removal of Direct Role of Local Communities: The Bill removes the direct role of local communities in determining benefit sharing provisions.
• No Differentiation in Offenses: The Bill has not made any differentiation based on the type of offence.  
  • For Example: The punishment is the same for failing to take approval for either research or commercial utilization.
• Empowerment Executive: The Bill changes the adjudicating authority from a Judge to a government official.  The penalty decisions will be based on an inquiry instead of a judgment after arguments in an open court. 

Significance of Biological Diversity (Amendment) Bill, 2021 :

• Boost Foreign Investments: It seeks to bring more foreign investments in the chain of biological resources, including research, patent and commercial utilization and promotes ‘ease of doing business’.
• Promotion of Indian System of Medicine: It intends to encourage the Indian system of medicine, facilitate fast-tracking of research, the patent application process and cultivation of wild medicinal plants.
• Congruency in Legislation: Definition of a foreign company in the bill has been aligned with the definition already given in the Companies Act, 2013 to ensure that companies come under the Regulatory Framework of NBA for commercial utilization and obtaining patent and other companies by SBB.

Way Forward:

• Protected Areas and Conservation Reserves: Establish and expand protected areas and conservation reserves to safeguard critical habitats and ecosystems. 
• Community Involvement and Indigenous Knowledge: Engage local communities, including indigenous peoples, in conservation efforts. 
• Sustainable Agriculture and Fisheries: Promote sustainable agricultural practices that prioritize biodiversity conservation, such as organic farming, agroforestry, and supporting biodiversity-friendly fishing practices.
• Research and Monitoring: Invest in scientific research and monitoring programs to understand biodiversity patterns, threats, and the effectiveness of conservation measures.
• International Cooperation: Engage in international agreements and initiatives, such as the Convention on Biological Diversity and the Nagoya Protocol, to enhance biodiversity conservation on a global scale.
• Corporate Responsibility: Encourage businesses to adopt sustainable practices and consider biodiversity conservation in their operations and supply chains.

News Source: The Hindu

DOWNLOAD PDF

Context: 

A landslide in Maharashtra’s Raigad district has once again brought attention to the Dr. Madhav Gadgil report on conserving the Western Ghats.

About Gadgil Commission: 

• In 2010, the Ministry of Environment appointed the Western Ghats Ecology Expert Panel (WGEEP), to be chaired by ecologist Dr Madhav Gadgil.
• Aim: To study the impact of population pressure, climate change and development activities on the Western Ghats.

Recommendations of the Dr. Madhav Gadgil report on the Western Ghats:

• Classification of Ecologically Sensitive Zones (ESZs): The report proposed classifying 64 percent of the Western Ghats, spread over six states, into three categories – ESZ 1, ESZ 2, and ESZ 3.
• Ecologically Sensitive Area (ESA): The entire Western Ghats region was recommended to be designated as an Ecologically Sensitive Area.
• Developmental Activities: The report called for a halt to almost all developmental activities like mining, construction of thermal power plants, and dams in ESZ 1. 
• Bans and Restrictions: Genetically modified crops, plastic bags, Special Economic Zones, new hill stations, and changes in land use from farmland to non-farm land were  to be prohibited. 
  • The diversion of rivers to protect the ecology of the region and conversion of public lands into private lands were also discouraged.
• Bottom-to-Top Governance: The report suggested a decentralized approach to governance with more power given to local authorities. 
  • It recommended the establishment of a Western Ghats Ecology Authority under the Environment (Protection) Act, 1986, to manage the region’s ecology and ensure sustainable development.
• Ban on Single Commercial Crops: The report called for a ban on growing single commercial crops like tea, coffee, cardamom, rubber, banana, and pineapple in the Western Ghats, as they had negative environmental impacts.

The Kasturirangan-led panel formulated a report as an alternative to the Gadgil Reports: 

Key suggestions of the Kasturirangan panel report:

• Reduced Ecologically Sensitive Area: It has designated only 37 percent of the Western Ghats as ecologically sensitive, which was significantly lower than the 64 percent suggested by the Gadgil panel.
• Categorization of Regions: The panel split the Western Ghats into two categories – cultural regions (human settlements) and natural regions (non-human settlements). 
  • It proposed designating cultural lands as an Ecologically Sensitive Area (ESA).
• Categorization of Activities: The report introduced a classification of activities into three categories – red, orange, and green.
  • Red Category: Activities, such as mining, stone quarrying, were recommended to be banned.
  • Orange Category: Activities would be regulated and allowed with appropriate permissions.
  • Green Category: All agricultural, horticultural, and certain commercial activities were allowed.

News Source: The Indian Express

DOWNLOAD PDF

Context: 

Indian Council of Medical Research’s National Institute of Virology (ICMR-NIV) has found evidence of the Nipah virus circulation in the bat population across nine states and one Union Territory.

About Nipah Virus:

• The first outbreaks of the Nipah virus among humans was reported from Malaysia (1998) and Singapore (1999).
• It belongs to the family Paramyxoviridae, genus Henipavirus.
• Fatality Rate: The WHO estimates that between 40% and 75% of cases can result in death.
• Spread: 
  • It is a zoonotic virus, transmitted from animals to humans.
  • Reservoir: The fruit bat, also known as the flying fox, serves as the animal host reservoir for the virus.
  • Fruit bats transmit the virus to other animals such as pigs, dogs, cats, goats, horses, and sheep.
  • Humans can get infected through direct contact with these infected animals or by consuming food contaminated with their saliva or urine.
• Symptoms: Fever, headache, drowsiness, disorientation, mental confusion, coma, potential death.
• Preventive Measures: 
  • Avoid physical contact with an infected person.
  • Wash hands after caring for an infected person.
  • Stay away from consuming raw date palm sap or toddy.
  • Discard fruits with signs of bat bites.
• Treatments: No specific treatment for Nipah Virus, primary treatment is intensive supportive care.

News Source: The Indian Express

DOWNLOAD PDF

Context: 

Due to the large number of available written-off loans with lenders and the government’s efforts to recover these loans, ARCs are utilizing the chance to purchase these loans.

About Asset Reconstruction Companies (ARCs):

• Definition: It is a Specialized financial institution dealing with Non-Performing Assets (NPAs) in the banking sector.
• Objective: Acquire and manage distressed assets from banks and financial institutions.
• Underlying Act: The Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002 provides the legal basis of an ARC.
• Capital Needs for ARCs:
  • Minimum Net Owned Fund: As per the 2016 amendment to the SARFAESI Act, ARCs should have a minimum Net owned fund of Rs. 2 crores.
    • In 2017, the RBI raised the minimum amount for ARCs to Rs. 100 crores.
  • Capital Adequacy Ratio (CAR): ARCs are required to maintain a CAR of 15% of their risk-weighted assets.
• NPA Acquisition: ARCs buy NPAs from banks at reduced prices, bringing liquidity and improving the balance sheet of the bank.
• Benefits to Banks: Allows banks to offload NPAs, focus on core banking activities, and reduce the burden of bad loans.

News Source: Livemint

DOWNLOAD PDF

Context:

• The Reserve Bank of India (RBI) recently authorized non-bank companies to establish, own, and operate White Label ATMs (WLAs) in India. This measure improves ATM accessibility in Tier III to VI centers. 

What are White Label ATMs (WLAs)?

• They are the machines established, owned, and operated by non-bank entities. Non-bank entities incorporated in India under the Companies Act 1956 are allowed to operate WLAs.

Operation of WLAs:

• Services offered:  WLA allows customers of any bank to withdraw funds and also offer other services such as bill payment and cash deposit services. 
• Value Added Services: Services like mobile recharge, energy bill payments are also provided.
  • In return, WLA operators charge fees to the card-issuing bank for providing the facility to bank customers.
• Operating Entities: A WLA operator operates through a lending bank, a sponsor bank that manages settlements, and an ATM network provider like NPCI. 

Benefits of WLAs

•  Banks benefit from this because it eliminates the need for a large staff/office (in comparison to a system without ATMs). It reduces their branch’s operational costs. 

Limitations of White Label ATMs:

• Lengthy dispute resolution: In the event of a failed transaction, the WLA operator, the WLA operator’s sponsor bank, and the customer’s bank are all parties to the dispute resolution procedure. As a result, it’s possible that the resolution will take a while.
• Restricted number of free transactions: The cost issue may discourage customers, as they will have to bear a fee for using White Label ATMs, since these ATMs only allow a restricted number of free transactions. 

News Source: pib

DOWNLOAD PDF

Context:

• The SEBI recently shortened the settlement cycle to trade-plus-one (T+1) from T+2.

T+1 Trade settlement:

• The current cycle of ‘T+1’ in India means trade-related settlements happen within a day, or within 24 hours of the actual transaction. The migration to the T+1 cycle came into effect in January this year.
• Under the current T+1 settlement cycle, if an investor sells securities, the money gets credited into her account the following day.
• Status of India: India became the second country to start the T+1 settlement cycle in top listed securities after China, bringing operational efficiency, faster fund remittances, share delivery, and ease for stock market participants.

T+0 Trade settlement:

• Under the T+0 settlement cycle, if investors sell shares, they will get the money in their account instantaneously, and the buyers will get the shares in their demat accounts the same day.

What is meant by trade settlement?

• A trade settlement is said to be complete once purchased securities of a listed company are delivered to the buyer, and the seller gets the money.
  • Settlement is a two-way process that involves the transfer of funds and securities on the settlement date. As of now, there is a lag between trade and settlement — the settlement date is different from the trade date. 

News Source: Indian Express 

DOWNLOAD PDF

Context: 

• India is exploring the possibility of trilateral cooperation with France and Australia in the strategic Pacific Islands. 

Pacific Islands:

• The Pacific Islands are a group of islands in the Pacific Ocean. It comprises three ethnogeographic groupings—Melanesia, Micronesia, and Polynesia.
• Melanesia:
  • The main island groups include Fiji, New Caledonia, Vanuatu, the Solomon Islands, and Papua New Guinea. 
  • All are independent countries except New Caledonia, which is under the French government. 
  • The island of New Guinea is shared between Papua New Guinea and Indonesia. 

Image Credits: saylordotorg.

• Micronesia :
  • Location: North of the Solomon Islands and Papua New Guinea is the large region of Micronesia. 
  • Etymology: The “micro” portion of the name refers to the fact that the islands are small in size, often only one square mile or so in physical area. 
  • Composition: Most of the islands are composed of coral and do not extend above sea level to any large extent. These low islands dominate the high islands. 
  • Volcanic origin: The high islands are usually of volcanic origin and reach elevations in the thousands of feet.

Image Credits: saylordotorg.

• Polynesia :
  • The largest region of the Pacific is Polynesia, a land of many island groups with large distances between them. 
  • Numerous groups of islands have come together under separate political arrangements. 
  • The region includes the Hawaiian Islands in the north and the Pitcairn Islands and Easter Island to the east. 
  • Diverse: Polynesia has a mixture of island types ranging from the high mountains of Hawaii to low-lying coral atolls that are only a few feet above sea level. 
  • Culture: Polynesian culture stems from island resources. Fishing, farming, and an understanding of the seas created a way of life that gave Polynesia its identity. 
  • Cartographic excellence :Polynesians created innovative maps that provided a means of sailing across large expanses of open seas to connect with distant islands. 

Image Credits: saylordotorg.

News Source: Live Mint

DOWNLOAD PDF