What’s in today’s article?

• Historical Background
• Economic & Commercial Ties
• Challenges in Relationship
• News Summary

Historical Background

• The relationship between India and China dates back over two millennia, with deep-rooted cultural and economic ties through the Silk Road.
• However, their modern diplomatic relationship began post-independence, with India becoming one of the first non-communist countries to recognize the People’s Republic of China (PRC) in 1950.
• The relationship faced a significant setback due to the Sino-Indian War of 1962, which created a long-lasting border dispute, particularly in the Ladakh and Arunachal Pradesh regions.
• Despite several rounds of negotiations, the border issue remains unresolved, casting a shadow over their bilateral relationship.

Economic & Commercial Ties

• Economic cooperation between India and China has grown rapidly, despite political differences. As of 2023:
  • China is India’s largest trading partner, with bilateral trade exceeding $135.98 billion in 2022-23.
  • India’s imports from China, primarily in electronics, machinery, and chemicals, contribute to a significant trade deficit, which stood at $83.2 billion in 2022-23.
  • Conversely, India's exports to China, which include iron ore, cotton, and other raw materials, are considerably lower, raising concerns about economic dependency on Chinese imports.
• However, recent years have seen India adopting measures to reduce this trade deficit and enhance domestic production capabilities through initiatives like Atmanirbhar Bharat.

Strategic Cooperation

• Despite tensions, India and China have cooperated on various global platforms:
  • Both countries are part of multilateral organizations such as BRICS, Shanghai Cooperation Organization (SCO), and the Asian Infrastructure Investment Bank (AIIB), reflecting their shared interests in regional and global governance.
  • India and China are key stakeholders in the Regional Comprehensive Economic Partnership (RCEP), though India has refrained from joining the agreement citing concerns over Chinese dominance in trade.
  • There has also been collaboration on climate change, where both countries push for greater action by developed nations while advocating for the rights of developing countries.

Challenges in Relationship

• Despite strong economic and multilateral engagements, the India-China relationship faces several challenges:
  • Border Disputes: The primary challenge remains the Line of Actual Control (LAC). Tensions escalated in 2020 with the Galwan Valley clash, leading to casualties on both sides.
• Even though there have been multiple rounds of military and diplomatic talks, the situation remains fragile, and troop standoffs continue in parts of the LAC.
  • China-Pakistan Nexus: China’s close strategic and economic ties with Pakistan, particularly through the China-Pakistan Economic Corridor (CPEC), which passes through the Pakistan-occupied Kashmir (PoK) region, is a significant point of contention for India.
  • Belt and Road Initiative (BRI): India has raised concerns over China's BRI project, which it perceives as undermining its sovereignty, especially given the CPEC's route through disputed territories.
  • Trade Imbalance: The growing trade deficit continues to be a major challenge for India, along with concerns over China’s trade practices and its impact on domestic industries.

News Summary

• On October 23, 2024, Prime Minister Narendra Modi and Chinese President Xi Jinping held their first formal talks in five years on the side-lines of the BRICS summit in Kazan, Russia.
• This meeting signals an important step toward recovery in India-China relations, which were severely damaged by the 2020 military clash in Ladakh.
• Both leaders emphasized the need for maturity, mutual respect, and efforts to ensure peace and stability in their ties.
• Prime Minister Modi highlighted the importance of not allowing border-related differences to disturb peace and tranquillity at the borders, while both sides welcomed the recent border agreements that resulted from sustained dialogues over the past few weeks.
• Modi and Xi stressed that a stable bilateral relationship between India and China would have a positive impact on regional and global peace.
• Diplomatic efforts have gained momentum in recent months, with talks focused on easing the border tensions.

The discussions may also pave the way for potential Chinese investments in India, as India had made improving business ties contingent on resolving the border stand-off.

Q1. What is the McMohan Line?

The McMahon Line is a border that separates Tibet and British India, and is now the de facto boundary between India and China in the Eastern Sector.

Q2. What is Macartney–MacDonald Line?

The Macartney–MacDonald Line was a boundary proposal by the British Raj for the border between the princely state of Jammu and Kashmir and the Chinese-managed territories of Xinjiang and Tibet. Broadly, it represented the watershed between the Indus River system and the rivers draining into the Tarim basin.

News: https://www.business-standard.com/external-affairs-defence-security/news/pm-modi-meets-xi-as-india-china-ties-recover-from-2020-military-clash-124102301174_1.html

What’s in today’s article?

• Why in News?
• Background of the Dispute of Taxing Industrial Alcohol
• The SC’s Verdict on Taxing Industrial Alcohol
• Implications of SC’s Verdict on Taxing Industrial Alcohol

Why in News?

• A nine-judge Bench of the Supreme Court of India (SC), in an 8:1 decision, ruled that states have the authority to impose taxes not only on alcoholic beverages but also on 'industrial' alcohol.
• This decision expands states' revenue-generating capabilities, with significant implications for both taxation and federalism.

Background of the Dispute of Taxing Industrial Alcohol:

• Background:
• Why is the taxation of industrial alcohol controversial?
  • Overlapping constitutional entries:
    • The dispute involved two entries in the Seventh Schedule of the Constitution.
    • Entry 8 of List II(State List) gives states authority over intoxicating liquors, while Entry 52 of List I (Union List) grant the Centre the power to regulate industries.
    • Additionally, Entry 33 of List III (Concurrent List) grants the Centre authority over any industry that Parliament has legally determined to be in the public interest.
  • Centre claims its jurisdiction:
    • According to the central government, industrial alcohol falls under its jurisdiction due to its inclusion in the Industries (Development and Regulation) Act, 1951.
    • The Act was passed by Parliament under the above two heads of the Union and Concurrent Lists.

The SC’s Verdict on Taxing Industrial Alcohol:

• The main question before the court:
  • The court's primary concern was whether the term "intoxicating liquor" could also encompass "industrial alcohol."
  • States argued that they should regulate industrial alcohol, given its potential misuse in creating illegal consumable alcohol.
• Majority opinion:
  • The majority, led by Chief Justice of India (CJI) D Y Chandrachud, along with eight other justices, ruled in favour of the states.
  • They reasoned that the term “intoxicating liquor” under Entry 8 of List II (State List) should be interpreted broadly, covering everything from the production of raw materials to consumption.
  • The court affirmed that states have the power to tax both alcoholic beverages and industrial alcohol, which can produce intoxication or pose health risks.
  • The court disagreed with the Centre’s argument that industrial alcohol falls under its jurisdiction due to its inclusion in the 1951 Act.
• Dissenting opinion:
  • Justice B V Nagarathna dissented, arguing that the Centre should retain control over industrial alcohol.
  • She maintained that industrial alcohol, by its nature, should not fall under the definition of intoxicating liquor, despite its potential misuse.
  • In her view, the Centre's control over industries, as outlined in the 1951 Act, should prevent states from regulating industrial alcohol.

Implications of SC’s Verdict on Taxing Industrial Alcohol:

• Overturned a previous judgement:
  • The majority ruling overturned the SC's 1990 judgement in Synthetics & Chemicals Ltd vs State of Uttar Pradesh, which had held that states could not tax industrial alcohol.
  • The latest decision affirms that states have the legislative competence to regulate and tax industrial alcohol, even though it is non-potable.
• Impact on States' revenue:
  • The court’s decision significantly impacts state revenues, with alcohol taxation already being a major source of income.
  • For example, Karnataka raised its Additional Excise Duty (AED) on Indian-made liquor by 20% in 2023.
  • The ruling reaffirms states' ability to control this critical revenue stream.
• Federal balance and Centre-State relations:
  • The ruling addressed the delicate balance between state and central powers.
  • The majority emphasised that, when constitutional entries overlap, the interpretation that preserves federal balance should prevail.
  • In this case, giving states the power over industrial alcohol aligns with maintaining that balance, avoiding redundancy in constitutional provisions.
  • This decision follows a similar 8:1 majority ruling (in July 2024), which upheld states' authority to levy royalties on mineral extraction and tax the lands where mines are located.

Q.1. How does the seventh schedule of the Indian Constitution ensure federal balance?

The Seventh Schedule of the Indian Constitution ensures federal balance by dividing powers between the Union and State governments, and by providing a clear separation of powers between the center and states.

Q.2. What is the Industries (Development and Regulation) Act, 1951?

The Industries (Development and Regulation) Act 1951 controls the activities, performance and results of industrial undertakings in the public interest.

News: States have legislative say over all alcohol, including industrial, SC rules 8-1 | IE | IE

What’s in today’s article?

• Why in News?
• Right to environment in India constitution
• Stubble burning
• Key highlights of the observation made by SC

Why in News?

Recently, the Supreme Court raised concerns over the ongoing issue of stubble burning in Punjab and Haryana. The court condemned the selective enforcement of penalties, describing it as a violation of citizens' fundamental right under Article 21 of the Indian Constitution to live in a pollution-free environment.

Right to environment in India constitution

• Right to life under Article 21
  • The Supreme Court in Subhash Kumar v. State of Bihar, 1991 held that Article 21 includes the right to a wholesome environment.
  • This position was again reaffirmed in Virender Gaur v. State of Haryana,1994.
• Directive Principle of State Policy
  • Article 48A puts a duty on the State to protect and improve the environment and further to safeguard the forests and wildlife. 
  • In Sher Singh vs State of Hp 2014, the National Green Tribunal held that the State is under a constitutional obligation to protect and improve the environment.
  • In M.C. Mehta vs Union of India, 2002, the court held that Article 39(e), 47 and 48A collectively cast a duty on State to secure public health and environment protection.
• Fundamental Duties
  • Article 51A(g) puts a fundamental duty on the citizens to protect and preserve the environment.

Stubble Burning

• Why Farmers opt for Stubble Burning?
  • Rice and wheat straws left in the field, after combine harvesting, are generally burnt by the farmers to facilitate seed bed preparation and seeding.
  • Farmers find this method as quick and cheap compared to other practices for crop residue management.
  • Since input costs of farming is going up day by day, farmers are not willing to further invest in equipments useful for crop residue management.
• Happy Seeder (a tractor-operated machine for in-situ management of paddy stubble) continues to be an expensive method for majority of farmers.
• Areas where this practice is rampant
  • Burning of agricultural residue is done on a large-scale basis in states such as Punjab, Haryana, Uttar Pradesh, Rajasthan and National Capital Region of Delhi.
  • This is prevalent in other states too. This includes: Bihar, Odisha, West Bengal etc.
• Impact
  • Environmental Pollution
    • Agriculture fires are a major contributor to air pollution in north India in October-November.
    • Pollutants from these fires spread across the region, triggering smog and extreme air quality situations.
    • An increase in the concentration of particulate matter (PM) 2.5 and PM 10 in the atmosphere is observed in these months.
  • Harmful to the health of soil
    • Burning of crop residues removes huge amount of nutrient from the soil.
    • Practices like residue burning has further reduced the organic carbon content in soil.

Steps Taken by the government to tackle the issue of farm fires

• Taken by Centre
  • A Central Sector Scheme on ‘Promotion of Agricultural Mechanisation for In-Situ Management of Crop Residue in the States of Punjab, Haryana, Uttar Pradesh and NCT of Delhi’ was approved.
  • Farmers are being provided 50 percent of the cost of machinery/equipment as financial assistance for the purchase of such machinery.
  • The central government has released Rs 3,062 crore to the governments of Punjab, Delhi and states in NCR during the five-year period from 2018 to 2023 towards effective management of stubble.
  • Profit from the left-over biomass is shared with farmers.
• Pusa Decomposer by Indian Agricultural research Institute (IARI)
  • The Pusa decomposer is a bio-enzyme developed by the Indian Agricultural research Institute (IARI) to decompose crop residue.
  • It decomposes stubble within 20-25 days after spraying and turn it into manure, improving the soil quality.
• Taken by State Governments and Other agencies
  • States governments and other agencies are sensitising farmers on healthier practices.
  • The Punjab government had proposed to provide cash incentives to farmers for not burning stubble.
  • It also decided to provide non-fiscal incentives to these industries in terms of availability of Panchayat land for storage of paddy straw with lease agreement upto 33 years.

Key highlights of the observation made by SC

• Fundamental Right to a Pollution-Free Environment
  • The Supreme Court emphasized that every citizen has a fundamental right under Article 21 of the Indian Constitution to live in a pollution-free environment.
  • It stressed that violations of this right go beyond mere implementation of laws, highlighting the blatant infringement of fundamental rights.
• Section 15 of the Environment Protection Act Rendered "Toothless"
  • The court criticized the ineffectiveness of the amended Section 15 of the Environment Protection Act-1986, which replaced criminal penalties with financial penalties for environmental violations.
  • This provision has become "toothless" due to the Centre's failure to establish necessary support systems, such as framing rules and appointing adjudicating officers, even after six months of the amendment's enactment.
• Inadequate Enforcement Mechanism
  • The absence of appointed adjudicating officers prevents law enforcement from imposing penalties under the amended Section 15, leaving environmental violations unpunished.

Q.1. Why did the Supreme Court criticize Punjab and Haryana over stubble burning?

The court noted selective penalties, where only a few violators faced consequences, despite widespread stubble burning. This inconsistent enforcement infringes on citizens' right to a pollution-free environment, a fundamental right under Article 21 of the Indian Constitution.

Q.2. What are the consequences of stubble burning in northern India?

Stubble burning contributes significantly to air pollution in northern India during October and November. It increases particulate matter, impacting air quality and health, and depletes soil nutrients, necessitating stricter enforcement of environmental laws.

Source: Supreme Court pulls up Centre: Every citizen has right to environment free of pollution | iPleaders | The Hindu

What’s in today’s article?

• Why in News?
• Geo-engineering
• Use of diamonds to cool down the Earth

Why in News?

The recent study in Geophysical Research Letters explores geo-engineering, specifically solar radiation management, to mitigate global warming.

It suggests spraying millions of tonnes of diamond dust into Earth's upper atmosphere to reflect solar radiation away from the planet, potentially cooling it.

Geo-engineering

• What is geo-engineering?
  • Geoengineering involves large-scale interventions in the Earth's climate system to combat the negative effects of global warming.
  • It includes two main approaches: Solar Radiation Management (SRM) and Carbon Dioxide Removal (CDR).
• Need for geo-engineering
  • Efforts to curb global warming have fallen short, as global temperatures continue to rise and greenhouse gas emissions have not been significantly reduced.
  • Global temperatures are currently about 1.2°C above pre-industrial levels, with 2023 seeing a 1.45°C increase.
  • The 1.5°C limit, outlined in the 2015 Paris Agreement, is unlikely to be met, though some theoretical scenarios suggest it remains possible.
  • To meet the 1.5°C target, global emissions must be reduced by at least 43% from 2019 levels by 2030.
  • However, current and planned actions are expected to achieve only a 2% reduction by that deadline.
• Main approaches of geo-engineering
  • Solar Radiation Management (SRM)
    • SRM strategies focus on reflecting incoming solar rays to reduce Earth's temperature.
    • This involves deploying reflective materials in space to block solar radiation, preventing it from reaching the planet's surface.
  • Carbon Dioxide Removal (CDR) Technologies
    • CDR aims to remove excess carbon dioxide from the atmosphere.
    • This includes technologies like:
    • Carbon Capture and Sequestration (CCS), which capture CO₂ at the source and store it underground, and
    • Carbon Capture, Utilisation, and Storage (CCUS), where captured carbon is partially reused in industrial processes while the rest is stored.
  • Direct Air Capture (DAC)
    • DAC methods involve extracting carbon dioxide directly from the ambient air using large-scale “artificial trees.”
    • The captured CO₂ is either stored or used, potentially addressing accumulated carbon emissions over the years.
    • Although promising, DAC faces significant technological and economic challenges.
• Current State of Geoengineering Efforts
  • Among the geoengineering options, CCS is the only method currently in practical use, capturing emissions from industrial sources for underground storage.
  • Experimental projects are exploring DAC and other advanced technologies, but none are widely implemented yet due to their complexities and high costs.
• Challenges
  • Challenges of Implementing Solar Radiation Management (SRM)
    • SRM, while theoretically possible, faces significant technological and financial obstacles.
    • Large-scale manipulation of natural processes carries risks, including unpredictable impacts on global and regional weather patterns.
    • Ethical concerns arise, as altering sunlight could affect agriculture, ecosystems, and biodiversity, potentially harming some species.
  • Limitations of Carbon Capture and Sequestration (CCS)
    • Although CCS is technically viable in some situations, various studies suggest that heavy dependence on CCS to meet climate goals is not practical.
    • It highlights that focusing on CCS instead of renewable energy could add at least $30 trillion to global costs by 2050.
    • Additionally, there may not be enough suitable underground sites to safely store large quantities of carbon dioxide.
• Conclusion: The Inevitable Role of CCS and CDR Technologies
  • Despite their limitations, CCS and CDR remain crucial components in any strategy to combat climate change.
  • Achieving the 1.5°C or 2°C targets is considered impossible without incorporating these technologies, given the current levels of global warming.

Use of diamonds to cool down the Earth

• About the news
  • A research study has argued that diamonds can really be the answer to the global climate crisis.
  • They were testing out various aerosols to cool Earth, when they found that more than anybody, diamonds can prove to be more effective.
• The proposal
  • As per their analysis, shooting five million tonnes of diamond dust into the stratosphere each year, over the course of 45 years, could cool our planet by an impressive 1.6°C.
• Why diamond
  • Researchers had shortlisted calcite, diamond, aluminum, silicon carbide, anatase, and rutile, and created a 3D model. 
  • They found out that diamond particles were highly effective in reflecting sunlight and heat, while simultaneously staying in the atmosphere for long enough.
  • Further since diamonds are chemically inert, they won't react with other elements in the atmosphere.
• Not the first time such a solution has been proposed
  • Several other compounds, such as sulphur, calcium, aluminium, and silicon, have been suggested previously for doing the same job.
• Sulfur dioxide has been a leading candidate for solar radiation management due to its natural cooling effects observed during volcanic eruptions, where it reflects sunlight away from Earth.
• However, artificial injection poses significant risks, including the potential for acid rain, damage to the ozone layer, and disruption of weather patterns, making it a controversial geo-engineering option.
  • The central idea here is to scatter material that can reflect solar radiation into Space and prevent it from reaching Earth, thereby cooling down the planet.
  • The installation of space-based mirrors has also been proposed.
• Associated challenge
  • While the study looks promising on paper, the biggest obstacle in making it practical is the price of diamonds, one of the most expensive elements in the world.
  • The cost of producing and distributing the required quantity of synthetic diamonds would be staggering, with estimates reaching as high as $200 trillion—which is double the global economy in 2023.

Q.1. What is Solar Radiation Management (SRM) in geo-engineering?

SRM is a geo-engineering method to combat global warming by reflecting sunlight away from Earth. It includes deploying reflective materials, such as diamond dust, to cool the planet. The approach remains theoretical due to technological, financial, and environmental concerns.

Q.2. Why are diamonds considered effective for cooling the Earth?

Diamonds were found to be highly effective at reflecting sunlight and retaining their atmospheric presence. Chemically inert, they do not react with other elements. However, the high costs make large-scale application challenging, with estimates reaching $200 trillion.

News: Spraying diamond dust to cool Earth: What a new study proposes, despite ‘geoengineering’ concerns

Times of India