Daily News Notes: 15th March, 2012

· The Economic Survey 2011-2012 Highlights: [1.] GDP growth is expected to grow at 6.9 per cent in the current financial year, 7.6 per cent in 2012-13 and 8.6 per cent in 2013-14; [2.] Projected Growth Rate - Agricultural sector at 2.5%, Services sector at 9.41% (and contribute 59 per cent of GDP), Industrial sector at 4-5%; [3.] WPI Food inflation dropped from over 20 per cent in February 2010 to 1.6 per cent in January 2012; [4.] fiscal consolidation is on track and saving and capital formation is expected to rise; [5.] The Central funding on social services went up from 13.4 per cent in 2006-07 to 18.5 per cent in the current fiscal; [6.] Exports grew by 40.5 per cent in the fist half of this fiscal and imports by 30.4 per cent; [7.] A Chapter on Sustainable Development and Climate Change has been first time introduced in the annual Economic Survey;
· The Reserve Bank of India (RBI) has decided to keep the cash reserve ratio (CRR), repo rate and other key bank rates of scheduled banks unchanged in its Mid-Quarter Review of Monetary Policy announced today. It said that recent growth-inflation dynamics have prompted the Reserve Bank to indicate that no further tightening is required and that future actions will be towards lowering the rates. However, notwithstanding the deceleration in growth, inflation risks remain, which will influence both the timing and magnitude of future rate actions.
· The Economic Survey 2011-12, presented in Parliament today, suggests making lower carbon sustainable growth a central element of our 12th Five Year Plan commencing in April 2012. The Survey points out that India’s per capita CO₂ emissions are much lower (1.52 CO₂ tons) than those of the developed countries even if historical emissions are excluded. Nevertheless, India has already taken a number of actions on voluntary basis with own resources in pursuance of a sustainable development strategy. Like adoption of the National Action Plan on Climate Change (NAPCC) in 2008 which has both mitigation and adaptation measures an announcement of a domestic goal of reducing the emission intensity of its GDP by 20-25 per cent of the 2005 level by 2020 is a noteworthy measure. A Chapter on Sustainable Development and Climate Change has been first time introduced in the annual Economic Survey which will reflects the growing challenges of sustainable development and climate change. Citing the Durban meeting in December 2011 which has set some directions for appropriate responses to climate change, the Survey hopes that the Earth Summit in Rio in June 2012 will take stock of sustainable development priorities globally. It says, as a responsible and enlightened member of the international community, India showed flexibility along with other developing countries toward the success of the Durban Conference. Developed countries are expected to reciprocate the flexibility shown by G-77 countries and India at Durban. Outlining the challenges ahead, the Survey comments that the 2009 State of the Environment Report by the Ministry of Environment and Forests (MoEF) clubs the issues under five key main challenges faced by India, which are climate change, food security, water security, energy security and managing urbanization. Broad-based economic and social development is ultimately the answer for greater environmental sustainability. Economic pricing of energy and other resources will be a key to switching to more sustainable development path. New technologies will be crucial, mostly in the private sector. But social justice will also require stepped-up public spending on energy access and other elements, the Survey suggests.
· Major cable TV operators in the country have ordered about 9 million set-top boxes to ensure a smooth transition from analogue television transmission to digital transmission in the four metros by the June 30 deadline set by the Supreme Court. The deadline for digitalisation in the four metros—Delhi, Mumbai, Chennai and Kolkata—is June 30, 2012, while it is December 31, 2014 for the rest of the country.Parliament had passed the Digitisation Bill in December 2011. Chennai is currently leading the digitalisation race among the four metros as settop boxes are already installed in nearly 100% of the TV households in Chennai.
· The government is considering to amend the existing Investment Policy of 2008 in order to attract new investments in urea projects in public and private sector. The current shortage in urea production in the country is about one crore tonne. It is expected that the proposed amendments in the Investment Policy of 2008 will motivate investors to set up eight new Greenfield or expansion plants in the next five years to bridge the gap between the demand and supply of urea, a vital component of agriculture.
· Employment of persons as manual scavengers is prohibited under "The Employment of Manual Scavengers and Construction of Dry Latrines (Prohibition) Act, 1993", and is a criminal offence under it. Remaining manual scavengers, identified by concerned State/UT, are meant to be rehabilitated under the Central Sector Self Employment Scheme for Rehabilitation of Manual Scavengers. During a Conference of State Ministers of Welfare and Social Justice held in June, 2011, the Prime Minister had, in his inaugural address, urged States to eliminate manual scavenging within the next six months. This information was given by the Minister of State for Social Justice and Empowerment.
· The Sixth Central Pay Commission has recommended the introduction of new performance based pecuniary benefit, over and above the regular salary, for Government employees. The benefit will be called Performance Related Incentive Scheme (PRIS) and will be payable taking into account the performance of the employees during the period under consideration. The recommendation has been accepted by the Government. All India Services (DCRB) Rules, 1958 has been amended which provides that the Central Government may in consultation with the State Government concerned, require a Member of the All India Service (AIS) to retire from Service in public interest, after giving such Member at least three month’s previous notice in writing or three month’s pay and allowances in lieu of such notice: [1.] After the review when such Member completes 15 years of qualifying Services; or [2.] After the review when such Member completes 25 years of qualifying Services; or [3.] Attains the age of 50 years, as the case may be; or [4.] If the review referred to in (i) or (ii) above has not been conducted, after the review at any other time as the Central Government deems fit in respect of such Member. So far as Central Government employees are concerned, Government in public interest may retire any Government Servant after he has attained the age of 50/55 years or after completion of 30 years service by giving him notice of not less than three months in writing or three months pay and allowances in lieu of such notice. [imp. for P’Ad]
· The Ministry of Micro, Small and Medium Enterprises is implementing a Scheme to support 5 selected Universities/Colleges to run 1200 Entrepreneurship Clubs. Under the scheme, 5 selected universities, one each from Northern, Western, Eastern, Southern and North-East region, have to run entrepreneurship clubs to bring entrepreneurs, universities and MSME-Development Institutes (MSME-DI) together. The club acts as a forum for exchange of ideas on new concepts, technology, market trend, credit, anti-dumping etc.
· The National Land Records Modernisation Programme, NLRMP is being implemented in a time bound manner in all the districts of the country by the government and all the districts in the country will be covered by the end of the 12th five year Plan. The cabinet has already approved merging of the centrally sponsored schemes of strengthening of revenue administration and updating of land records.
· Three years ago the state approved plans for setting up a 309-foot tall Shivaji statue in the Arabian Sea off Marine Drive. But the project has now been shelved on technical grounds. According to officials, the plan had to be dropped as the Union ministry of environment and forests (MoEF) was opposed to the idea of reclamation. The state government is now exploring the option of constructing a statue of the warrior king astride a horse on a rock near Worli Fort. While the original site (1 km from the shore) is in the highly restrictive coastal regulation zone-I (CRZ-I), officials say the new site is in CRZ-II. While granting approvals for the Arabian Sea project, the government had okayed designs submitted by a consortium of Thailand-based architects Bensley Design Studios and city-based Team One Architects. The designs, approved following a global tender, included construction of a multi-utility complex including water sports facilities and a revolving restaurant. It is unclear whether the design will be considered for the new site.
· In order to mobilize financial resources for speedy implementation of the Shukla Commission recommendations relating to Basic Minimum Services (BMS) and infrastructure development of North east, a policy decision was taken to earmark at least 10% of the Plan Budget(s) of the Central Ministries/Departments for development of the North Eastern States. Government of India also created a Non-Lapsable Central Pool of Resources (NLCPR) consisting of unspent balance of mandatory 10% of the budgetary allocation for NER. The Ministry of Development of North Eastern Region is the nodal Ministry for administration and management of NLCPR and also for matters relating to the planning, execution and monitoring of development schemes and projects of NER. North Eastern Council (NEC) has been instrumental in setting in motion a new economic endeavour aimed at removing the basic handicaps that stood in the way of development of the region. The NEC Act was amended in 2002. The amended NEC Act provides that NEC will function as the Regional Planning Body for the North East and will formulate specific projects and schemes, which will benefit two or more States. NEC was instrumental in the preparation of North Eastern Region Vision 2020, which provides the road-map, outlines the goals, identifies the challenges and suggests implementation strategies for various sectors for peace, prosperity and development of the North Eastern Region. It helps in formulation of an integrated plan for the development of the North Eastern Region.
· A project report on National Mission on Monsoon has been finalized. Its objective is to develop an advanced method for monsoon forecasting. The rainfall data at different places across the country will be maintained. Presently, the Mission is awaiting appropriate clearances by the competent authorities in the government.
· The Deendayal Disabled Rehabilitation Scheme (DDRS) is being implemented since 1999 with the objective of ensuring effective implementation of the Persons with Disabilities Act, 1995, by creating an enabling environment and encouraging Non-Governmental Organizations (NGOs) through financial assistance for undertaking projects for providing education, vocational training and rehabilitation of persons with disabilities, including mental disabilities. Further, under the National Mental Health Programme (NMHP) implemented since 1982, a total of 123 Districts in 30 States/UTs have been covered. The NMHP provides for various components like (i) schemes for up-gradation of psychiatry wings of government hospitals/ medical colleges, their modernization, monitoring and evaluation, research and training, information, education and communication activities, (ii) setting up of centers of excellence in mental health and establishment of PG training departments in mental health specialties & (iii) suicide prevention services, work place stress management, life skills training and counseling in schools and colleges etc. In addition, there are three mental health institutes run by Government of India, 40 State run mental hospitals along-with 335 Departments of Psychiatry in various medical colleges across the country, equipped to treat patients suffering from mental illness.
· In the first phase of the Revised Business Plan (RBP) on Jan Aushadhi Campaign subject to observations/suggestions of Planning Commission the Government proposes to focus on 11 States for opening of Jan Aushadhi Stores where the scheme has shown some success, namely Punjab, Haryana, Uttrakhand, Odisha, Rajasthan, Himachal Pradesh, Andhra Pradesh, West Bengal, Jammu & Kashmir, Union Territories of Chandigarh and Delhi. There are a total of 204 districts in these 11 States and it is proposed to open at least 3 Jan Aushadhi Stores (JAS) in each district of these States.
· An international consortium, consisting of two Japanese multinational companies (MNCs), Hitachi and Itochu, and a Singaporean enterprise, Hyflux, a leading firm in water management projects, will set up a major desalination plant (capacity would be 75 million gallons per day) at Dahej, Gujarat. A minister suggested, the state government decided to go in for the desalination option after it found that it would not be possible to provide enough water to industry from Narmada.
· The Ministry of Tourism (MOT), at present, has identified 53 Mega Destinations/Circuits for development in the country, including Maharashtra and Goa, in consultation with the concerned State Governments/Union Territories (UTs) on the basis of footfalls and their future tourism potential. Out of the 53 identified projects, 35 have already been sanctioned. Implementation of the sanctioned Mega Destinations/Circuits is primarily the responsibility of the concerned State/UT. For each identified mega destination and circuit, the Ministry of Tourism contribution as central financial assistance is capped at Rs.25.00 crore and Rs.50.00 crore respectively under the scheme of “Product/Infrastructure Development for Destinations and Circuits”.
· The draft bill for the formation of National High Speed Rail Authority (NHSRA) has already been moved for approval of the Government. There are total 6 proposed high speed rail corridor which are as Pune-Mumbai-Ahmedabad, Delhi-Chandigarh-Amritsar, Delhi-Agra-Lucknow-Varanasi-Patna, Howrah-Haldia, Hyderabad-Dornakal-Vijaywada-Chennai and Chennai-Bangalore-Coimbatore-Ernakulam-Thiruvananthapuram. National High Speed Rail Authority will initiate steps for pre-construction activities. No time-frame has been set for it.
· Exactly a month after ‘international terrorism’ hit New Delhi with a bomb attack on an Israeli diplomat’s car, the Delhi Police and intelligence agencies say they have identified the three Iranian nationals (all holding Iranian passports) who planned and executed the bombing. They came to Delhi 15 days before the attack on tourist visas and left after the bombing for a Middle Eastern country. Their names were revealed by arrested Indian journalist S M A Kazmi. After identifying the attackers, the Delhi Police on Wednesday got “open warrants” issued against them. India will now formally give the names to the Iran government.
· The World Bank has announced 4.3 billion US dollar financial aid to India through a new innovative and flexible financing arrangement to help the country fight poverty. This arrangement has been designed in a way to maintain net exposure of the lending arm of World Bank, International Bank for Reconstruction and Development, IBRD within the limit of 17.5 billion dollar established by it. In a statement, the World Bank said the new arrangement will allow for special bonds to be issued by the World Bank and purchased by India, to offset additional planned lending. This will enable India to continue accessing long-term, low-interest IBRD finance for development projects aimed at improving the lives of its people, one third of whom are yet to make their way out of poverty.
· World Consumer rights day is being observed today to create awareness among consumers about their rights. The day is an opportunity to promote basic rights of the consumers, demand those rights are respected and protected. It also aims to protest against market abuses and social injustices undermining the rights. This year the theme is “Our money, our rights: campaigning for real choice in financial services.” The day was first celebrated in 1983 and since became an important annual occasion for mobilizing citizens action and solidarity within the international consumer movement.