Context:

• Banks have filed suits against 36,150 NPA accounts to recover Rs 926,492 crore as of March 2023. Many legacy accounts will likely be added to the wilful default category when the RBI issues the final guidelines.

About Wilful Defaults: On September 21, the RBI proposed that lenders complete the process of classifying a borrower as a ‘wilful defaulter’ within six months of the account being declared as a non-performing asset (NPA). 

• As per the RBI classification, a ‘wilful default’ would have occurred if the borrower has defaulted in meeting their repayment obligations to the lender even when they can honour the obligations.
• Interestingly, NPAs — loan accounts in which principal or interest is overdue for more than 90 days — which declined to a 10-year low of 3.9 percent in March 2023, is expected to fall further to 3.6 percent by March 2024, the RBI’s latest Financial Stability Report said.

RBI’s Position:On June 8, 2023, the RBI said in a circular that banks can undertake compromise settlements or technical write-offs regarding accounts categorized as wilful defaulters or fraud without prejudice to criminal proceedings against such debtors.

• Compromise Settlements to wilful defaulters is problematic for the banking sector as it will not only lead to erosion of public trust in the banking sector but also undermine the confidence of depositors.

Source: Indian Express

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Context:

• According to the World Meteorological Organization’s (WMO’s) State of Global Water Resources report 2022, the world’s water cycle is severely impacted by climate change and human activities in 2022. 

Key Findings of State of Global Water Resources Report 2022

• Increasing Extreme Weather Events: The effects on the hydrological cycle are leading to droughts and extreme rainfall events and the erratic water cycles unleashed widespread disruption, burdening livelihoods and economies.
  • The ongoing melting of snow, ice and glaciers compounded the threat, exacerbating the risk of extreme weather events such as floods. These events cast long-term consequences on the water security of millions; a key finding of Global Water Resources Report 2022.
  • For instance, North Sikkim witnessed devastating glacial lake outburst floods after the South Lhonak Lake burst in October, 2023.

• Global Water Resources Report 2022; The Asian Water Tower (AWT): It is the world’s largest reservoir of ice and snow after the Arctic and Antarctic regions which saw significant glacial melting in 2022. This altered the natural downward flow of major rivers viz. the Indus, Amu Darya, Yangtze and Yellow River in the region.
  • AWT covers the Third Pole, which includes the Tibetan Plateau, the Himalayas, the Karakorum, the Hindu Kush, the Pamirs and the Tien Shan Mountains
• Alps: The snow cover in the Alps remained below the 30-year average during the 2023 spring despite late snowfalls in May, as observed in the basins feeding the four major rivers viz. Rhine, Rhone, Danube and Po.

News Source: Down to Earth

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Context: 

• According to the paper “Tea Scenario 2023” of Indian Tea Association (ITA),  tea industry is passing through a phase of acute financial crisis with prices not keeping pace with the rising costs of production.

Challenges in the Tea Industry

• Tea prices increased at a compounded annual growth rate (CAGR) of around 4% over the last decade, costs of vital inputs like coal and gas among others grew at a CAGR of 9% to 15% during the same period.
• The exponential increase in production resulted in surplus teas remaining in the system as domestic consumption and exports have not grown to absorb it. 
• The tea industry’s export scenario remains grim as shipments to Iran are uncertain. 
  • The Iran market constitutes nearly 20% of total tea exports from India. 
• The tea industry has urged the government to consider enhancing RoDTEP (remission of duties or taxes on export products) incentive cap for high quality orthodox and Darjeeling teas.

Tea Board of India

• Set Up: Under section 4 of the Tea Act 1953 it was constituted on 1st April 1954. 
• Organisation: Tea Board functions as a statutory body of the Central Government under the Ministry of Commerce. 
  • Tea Board of India is constituted of 31 members (including Chairman).
  • The Board of India is reconstituted every three years.

Geographical Conditions for Tea Production

• Temperature: It requires a hot and wet climate. The ideal temperature for the growth of tea bushes and leaves varies between 20°C to 30°C. 
• Rainfall: It requires a good amount of rainfall ranging between 150-300 cm and the annual rainfall should be well distributed throughout the year. 

• Soil: Tea bush grows well in well drained, deep, friable loamy soil.  
• Distribution: 
  • Assam: It is the leading producer that accounts for more than 50% of tea production of India. Tea producing areas of Assam are the hill slopes bordering the Brahmaputra and Surma valleys. 
  • West Bengal: Tea is mostly grown in the districts of Darjeeling, Siliguri, Jalpaiguri and Cooch Bihar districts. 
  • Tamil Nadu: Tea growing areas are mostly restricted to Nilgiri hills. 

 News Source: Business Standard

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Context:

• To take ahead the ‘LiFE’  (Lifestyle for Environment’ movement), the Ministry of Environment, Forest and Climate Change has introduced the Green Credit Program (GCP) and the Ecomark Scheme.

What is a Green Credit Programme?

• Green Credit: It refers to a unit of an incentive provided for a specified activity; delivering a positive impact on the environment.
• Aim: Incentivizing Environmental Actions.
• About: It is an innovative market-based mechanism designed to incentivize voluntary environmental actions.
• The ministry had proposed the draft Green Credit Programme Implementation Rules 2023.
  • Rules Identified 8 Sectors: Tree plantation, water, sustainable agriculture, waste management, air pollution reduction, mangrove conservation and restoration, Ecomark and sustainable building and infrastructure.
• Focuses Areas: Water conservation and afforestation. 
• Administration: The Indian Council of Forestry Research and Education (ICFRE) is responsible for program implementation, management, monitoring, and operation.
• Digital Platform: A user-friendly digital platform will streamline the processes for project registration, verification, and issuance of Green Credits. 
  • The Green Credit Registry and trading platform, being developed by ICFRE.
  • Green Credit certificates will be tradable on the green credit platform.

What is Ecomark Scheme?

• Aim: Promoting Eco-Friendly Products.
• About: Ecomark scheme provides accreditation and labelling for household and consumer products that meet specific environmental criteria. 
  • The scheme seeks to prevent misleading information about products.
• Administration: The Central Pollution Control Board administers the Ecomark Scheme in partnership with Bureau of Indian Standards (BIS). 

News Source: Down to Earth

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Context:

• Government is looking at IT rules to make WhatsApp disclose source ID. The basis for strengthening IT rules  are multiple deepfake videos of politicians circulating on WhatsApp. 

IT Rules Enforcement: Govt Takes Steps to Uncover First Sharers of Deepfake Content

• The government is in the process of seeking the identity of the people who first shared the videos on the platform.
• Such fake videos of politicians can cause harm to electoral integrity in India.
• IT Rules: Online messaging companies will be required to divulge the identity of a person who first sends a particular message on their platform. 
• The order for traceability, can be passed either by a court, or the government.

What is deep fake?

• Deepfake AI is a type of artificial intelligence used to create convincing images, audio and video hoaxes. The term describes both the technology and the resulting bogus content, and is a combination of deep learning and fake.

• Deepfakes often transform existing source content where one person is swapped for another. 
• They also create entirely original content where someone is represented doing or saying something they didn’t do or say.
• The greatest danger posed by deepfakes is their ability to spread false information that appears to come from trusted sources. 
• IT Act 2000: Section 66E of the act is applicable in cases of deepfake crimes that involve capturing, publishing or transmitting a person’s images in mass media, violating their privacy. 
  • This offense is punishable with imprisonment of up to three years or a fine of up to ₹2 lakh.

News Source: The Indian Express

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Context:

• This article is based on the news “For Indian solar manufacturers battling Chinese threat, PLI brings hope” which was published in the Business Standard. India experienced a 76% drop in solar module imports from China in the first half of 2023, signaling a significant move towards self-sufficiency in solar manufacturing.

India’s Remarkable 76% Decline in Solar Module Imports from China

• As per the report by  global energy think tank Ember, Year-on-year, India’s solar module imports from China plummeted from 9.8 GW in the first half of 2022 to a mere 2.3 GW during the corresponding period in 2023.
• This decline is linked to India’s focus on boosting domestic manufacturing, supported by policies like a 40% customs duty on solar module and 25% on solar cells initiated in April 2022.

Solar Energy

• Solar energy is the most abundant of all energy resources and can even be harnessed in cloudy weather.
• Solar technologies convert sunlight into electrical energy either through photovoltaic (PV) panels or through mirrors that concentrate solar radiation (CSP). 
  • PV cells convert solar radiation (sunlight) into electricity. 
  • Concentrating Solar Power systems, use concentrated solar radiation as a high temperature energy source to produce electricity.

• This energy can be used to generate electricity or be stored in batteries or thermal storage.
• Global Solar Trends: China remains dominant in the solar module market, exporting 114 GW worldwide, primarily to Europe, Africa, and the Middle East, marking substantial growth.
  • China’s dominance in the solar module manufacturing market, accounting for about 80 per cent of the global market share.

Solar Energy Potential in India

• In 2010, India’s solar photovoltaic (PV) capacity was less than 10 MW.
• Over the past decade, India has made significant strides, reaching a PV capacity of over 50 GW by 2022.
• India’s Ambitious Renewable Energy Targets by 2030: India has set an ambitious target of achieving approximately 500 GW of renewable energy deployment by 2030.
  • Out of this target, around 280 GW is expected to come from solar PV, making it a dominant contributor to the renewable energy portfolio.This necessitates the deployment of nearly 30 GW of solar capacity every year until 2030.
• India stands 4th globally in Renewable Energy Installed Capacity (including Large Hydro), 4th in Wind Power capacity & 4th in Solar Power capacity (as per REN21 Renewables 2022 Global Status Report).

What are the challenges in India’s solar module manufacturing?

• Dependency on Chinese Solar Module: India heavily relies on Chinese solar module, with about 70% of the country’s solar capacity being built using Chinese-made solar module.. 
  • India has no manufacturing capacity for solar wafers and polysilicon ingots, and currently imports 100% of silicon wafers.
• Competitive Pricing and Scale by China: Chinese manufacturers dominate the global market due to their ability to provide solar module at a competitive price and scale, making it difficult for Indian manufacturers to compete effectively.
  • Costs in China are 10% lower than in India, 20% lower than in the United States, and 35% lower than in Europe.
• Policy Instability: The solar module manufacturing industry in India has faced challenges due to inconsistent policies and frequent changes in regulations related to import duties and manufacturing incentives. 
  • In 2014, following a dumping complaint by Indian solar makers, the ministry of commerce finalised duties to the tune of $0.48-$0.81 per unit on solar cells and modules imported from the US and China. But the Ministry of Finance did not impose them and let the proposed duty lapse.
• Insufficient Market Share for Indian Manufacturers: Despite various initiatives, Indian solar module manufacturers struggle to gain a significant market share, capturing less than 10% of the domestic market. This limits their ability to compete globally.
• Delayed Projects and Cost Overruns: The imposition of import restrictions and changes in policies, such as the Approved List of Module Manufacturers (ALMM), have led to project delays and increased costs for developers, hindering the growth of the solar sector.
  • In 2021, the union government announced an Approved List of Module Manufacturers (ALMM) in which all are indigenous players. Project developers were mandated to procure from the list of companies in ALMM.
• Financial Barrier to Solar Module Manufacturing Setup:  In India a major financial disadvantage for setting up of industries is the high rate of interest. The cost of debt in India is 11% or highest in the Asia-Pacific region, compared to 5% in China.
• Technology Gap: Indian industry predominantly uses older technologies and smaller wafer sizes compared to the global shift towards newer, more efficient technologies and larger wafer sizes.

What are the initiatives of the Government of India to promote solar energy?

• PM KUSUM:
  • Aims to add 30,800 MW of solar and renewable capacity by 2022.
  • Central financial support totals Rs. 34,422 Crores.
• Solar Park Scheme:
  • Aims to establish multiple 500 MW solar parks across states.
• Atal Jyoti Yojana (AJAY):
  • Launched in September 2016 for solar street lighting in states with less than 50% household grid power coverage.
• National Solar Mission:
  • A significant initiative promoting sustainable growth and addressing India’s energy security challenge.
• SRISTI Scheme: Sustainable rooftop implementation of Solar transfiguration of India (SRISTI)
  • Promotes rooftop solar power projects in India for sustainable energy implementation.
• International Solar Alliance (ISA)
  • Objective: To harness solar energy potential across 122 countries within the Tropic of Cancer and Tropic of Capricorn.
  • ISA’s vision is to promote solar energy worldwide, envisioning ‘One World, One Sun, One Grid’ (OSOWOG).

Way Forward

• Promoting Domestic Manufacturing: The Indian government’s initiatives like the Production-Linked Incentive (PLI) scheme aim to boost domestic manufacturing of solar module and reduce reliance on imports. 
• Investment in Research Facilities: Invest in creating high-quality research and development facilities to support innovation and technology development in the solar sector.
  • India has hardly invested in creating high-quality high-TRL technology centres such as IMEC Belgium or the Holst Centre in the Netherlands, which can help the industry to try and test the technologies in a cost-effective manner.
• Recycling of solar PV panels: It offers environmental, social and economic benefits while enhancing security of supply in the long term. 
  • If panels were systematically collected at the end of their lifetime, supplies from recycling them could meet over 20% of the solar PV industry’s demand for aluminium, copper, glass, silicon and almost 70% for silver between 2040 and 2050 in the IEA’s Roadmap to Net Zero Emissions by 2050. 
• Diversifying Supply Chain:
  • Work on diversifying the supply chain by exploring alternative sources and fostering collaborations to ensure a consistent and reliable raw material supply.
• Other Government Initiatives:
  • Support for Semiconductor Fabrication Plants: 50% fiscal support for setting up semiconductor fabrication plants to address silicon wafer shortages.
  • M-SIPS for Manufacturing Facilities: Modified Special Incentive Package Scheme offers a 20-25% subsidy on capital expenditure for setting up manufacturing facilities.
  • Local Sourcing Mandate for Solar Producers: Mandate for solar power producers to source a certain percentage of solar modules and cells locally to benefit from government energy purchase guarantee.

Conclusion:

India’s remarkable 76% decline in solar module imports from China in the first half of 2023 reflects a strategic shift towards self-sufficiency, driven by government initiatives like the Production-Linked Incentive (PLI) scheme, signaling a positive trajectory for domestic solar module manufacturing.

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Context:

• This article is based on the news “This article is based on the news “India’s Mental-health problem is obscured  by stigma, dearth of data” which was published in the Mint. Mental health-related issues are rising in India according to the Standing Committee on Health and Family Welfare, which tabled its 148th report on ‘Mental Health Care and Its Management in Contemporary Times’, in Parliament. 

Parliamentary Committee Report on Mental Health Care: Key Findings

• The Committee has  expressed its worry about the decrease in funding of tertiary care programs and noted that it feared that the reduced budgetary allocation would hamper the state of tertiary-level mental health institutions in the country.
• Despite one in every seven Indians suffering from mental disorders, with onset seen as early as age 14 (Global Burden of Disease Study, 1990-2017), the discourse around mental-health is insufficient. 
• World Mental Health Day 2023 was celebrated on (October 10) with the theme “Mental health is a universal human right” to promote  mental-health as a universal human right.

Also read: Spare a Thought for Psychiatric Caregivers too

What is Mental Health?

• The WHO defines mental health as a state of well-being in which a person realizes their abilities, copes with the normal stresses of life, works productively and makes a contribution to the community. 
• Researchers have identified:
• • poverty, childhood adversity, and violence as the three main risk factors for the onset and persistence of mental-health disorders.
  • Social Media detracts from face-to-face relationships, which are healthier, and reduces investment in meaningful activities.

What is the burden of mental health in India? 

• The National Mental Health Survey (NMHS) of 2015-2016 highlights 150 million adults live with a mental disorder and require access to care services, but the majority are unable to access treatment.
• According to WHO, India’s suicide rate in 2019, at 12.9/1,00,000, was higher than the regional average of 10.2 and the global average of 9.0. Suicide has become the leading cause of death among those aged 15–29 in India.
• Impact of COVID on mental health:  The Parliamentary Committee highlighted the adverse impact of the COVID-19 pandemic on the psycho-social well-being of all groups, especially children, adolescents, and caregivers. 
  • It noted the need for evidence-based intervention on developing infrastructure and other policies around mental-health.  

What are the major mental health challenges in India?

• Slower Implementation of Policies: The Rashtriya Kishor Swasthya Karyakram was rolled out in 2014. But despite having been in operation for nearly a decade, the mental-health strategies under this policy have been implemented painfully slowly.
• Underreporting of Mental-Health Issues: In India, mental health disorders are underreported due to poor awareness, lack of help-seeking behavior (stemming from stigma).
• Equity in Healthcare: Equity  remains a significant issue in India, and this also extends to mental-health. 
  • For example: Access to mental-healthcare services is often skewed along the same lines – wealth, caste, location, gender, etc.
• Understaffed Health Care:  India’s mental health care system faces a glaring challenge of severe understaffing. 
  • For example: As per WHO’s data there are merely three psychiatrists and psychologists for every 100,000 people in the country. This scarcity, exacerbated by the pandemic’s impact, is projected to worsen, potentially affecting up to 20 percent of the country’s population with mental disorders. 
• Poor Infrastructure: As per the paper published in the Indian Journal of Psychiatry around 56,600 public psychiatric beds existed for 130 crore people.
• Affordability: Experts have identified poverty and discrimination as key contributors to the treatment gap; affordability remains a major factor in availing treatment. 
  • For Example: A recent study published in the Indian Journal of Health Management found that spending on mental disorders pushed around 20% of Indian families into poverty. 

What are the Government initiatives on mental health?

• National Mental Health Policy(2014): It calls for a more accessible and holistic treatment of mental illnesses and advocates for the decriminalisation of attempted suicide. 
• Mental-Healthcare Act, 2017: It discourages the long-term institutionalization of patients and reaffirms the right of people to live independently and within communities.
• National Mental Health Programme (NMHP): It was re-strategize as the District Mental-Health Programme (DMHP) to decentralize mental care.
• Ayushman Bharat:The government has released operational guidelines on mental, neurological and substance use disorders at health and wellness centers (HWC).
• National Tele-Mental Health Programme (NTMHP): It aims to use digital technology to address growing mental-health challenges and improve access to quality mental-health counseling and care services in the country.

Way Forward

• Convergent model of Mental Health: Policymakers should endeavor to shift from the current “medical model” of mental-health to the convergent model of mental-health.
  • The latter recognises the complex interplay of behavioral, environmental, biological, and genetic factors throughout an individual’s life, especially during the crucial stages of childhood and adolescence. 
• Learning from Global Experiences: Programs like Rashtriya Kishor Swasthya Karyakram can learn from the experiences of other countries to better implement its vision.
  • For example, the successful implementation of the ‘Whole School, Whole Community, Whole Child’ model in the U.S. embraces a holistic approach to children’s well-being by considering factors such as nutrition, physical activity, and emotional health within the school environment.
• Strengthening of  mental health facilities: A recent Standing Committee report tabled in Parliament highlighted that the high treatment gap for most illnesses was due to a lack of mental-health professionals, poor infrastructure and stigma. 
  • The panel suggested the government strengthen mental health facilities at primary and secondary levels to improve overall availability and accessibility of mental-healthcare for all.
• Multi-Pronged Approach: The government should continue to make the improvement of school environments and health-promoting conditions a priority in parallel with efforts to combat pressing health concerns like malnutrition and anemia.
• Creation of Mental Health Cadre: A new cadre of community mental-health workers (CMHW) may also be created at the Primary Health Centre level for screening and facilitating treatment as recommended by policymakers.
• Public Figures, Raising Mental Health Awareness: When a celebrity speaks up about their mental-health struggles and encourages mental-health treatment, it can raise awareness on a wider scale and send the message that it’s okay to ask for help.
  • For Example: Actor Deepika Padukone is a role model that other public personalities with mental-health issues need to follow to show how they can lead productive lives for common man.

Conclusion:

In light of India’s escalating mental health challenges characterized by insufficient funds, societal stigma, and limited awareness, a holistic strategy with augmented funding, community-driven programs, and stigmatisation ndeavors is essential to establish mental well-being as a universal human right for every Indian.

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