Feb 10th 2025 Current Affairs

Index:

1. Boosting Scientific Research in India: Budget 2025-26 Highlights

Key Announcements

₹20,000 crore allocated for small modular reactors (goal: 5 reactors by 2033).
Research, Development, and Innovation Fund under the Department of Science and Technology (DST).

Private Sector Participation in R&D

Private sector R&D spending only 36% of total R&D.
India’s overall R&D spending 64% of GDP in 2020 (lowest since 1995).
Public sector R&D only 0.30% of sales turnover, compared to 46% in the private sector (2020-21).

Government Expenditure

DST’s total budget ₹28,000 crore (3x last year’s allocation, 7x actual 2023-24 expenditure).
Challenge: Absorbing massive investments effectively.

Challenges in R&D Growth

Weak private sector engagement.
Lack of essential infrastructure:
Building blocks (chipsets, semiconductor fabs).
Skilled workforce & innovation ecosystem.
Need for better industry participation & policy support.

Way Forward

Clear roadmap for private sector involvement.
Structural reforms to absorb increased funding.
Strengthen foundational R&D infrastructure.

Incentivize innovation & ensure long-term engagement of industry leaders.

2. Gold Smuggling Reduction After Import Duty Cut

Context

Gold smuggling has reduced significantly since July 2024 after the government slashed import duty from 15% to 6%.
Central Board of Indirect Taxes and Customs (CBIC) Chairman Sanjay Kumar Agarwal confirmed this trend.

Recent Seizures & Trends

April-June 2024: Customs & Directorate of Revenue Intelligence (DRI) officers seized 847 kg of gold worth ₹544 crore at airports.
2023-24 Financial Year: DRI officers seized 1,319 kg of gold.

Smuggling Routes & Challenges

Air routes: Major method; West Asian & South-East Asian countries are key sources.
Land routes: Smuggling persists through India’s porous eastern borders, especially with Bangladesh & Myanmar.

Government Measures

Increased monitoring of international passenger traffic, porous borders, and cargo to curb gold & narcotics smuggling.
DRI’s role: Apex anti-smuggling agency under CBIC leading enforcement actions.

Significance of Import Duty Reduction

High import duty earlier incentivized smuggling.

Duty cut has discouraged illegal imports while ensuring legal trade.

3. Rat-Hole Coal Mining & Article 371 in Meghalaya

Context

Meghalaya’s regional party Voice of the People Party (VPP) proposes bringing the state under Article 371 for resuming rat-hole coal mining (banned since 2014).
Article 371 provides special provisions to certain states.

Article 371A & Nagaland Example

Nagaland enjoys special provisions under Article 371A, ensuring land & resource protection under Naga customary law.
National Green Tribunal (NGT) cannot interfere in coal mining in Nagaland due to Article 371A.

Meghalaya’s Mining Ban

NGT banned rat-hole mining in 2014, citing environmental & safety concerns.
Supreme Court extended the ban to other states in the Northeast.

Sixth Schedule vs. Article 371 Debate

Sixth Schedule: Empowers Autonomous District Councils (ADCs) to regulate land, customs, and forest laws.
Conflict: Paragraph 12A of the Sixth Schedule allows state laws to override ADC laws in case of disputes.
Political Views:
VPP & Congress support incorporating Article 371 for stronger Sixth Schedule powers.
Other parties argue that Sixth Schedule & Article 371 are incompatible.

Recent Developments

Coal Controller (Ministry of Coal) signed agreements for three mining sites:

Pynedngshalang (West Khasi Hills)
Saryangkhla (West Jaintia Hills)
Lumakih Wahsarang (East Jaintia Hills)

Nagaland CM Neiphiu Rio stated that Article 371A hinders government control over illegal coal mining.

4. Chhattisgarh Maoist Encounter

Context

In a major anti-Maoist operation, security forces gunned down 31 Maoists in Bijapur district, Chhattisgarh on Sunday.
Two security personnel were killed, and two injured in the encounter.

Details of the Encounter

Location: National Park jungles, Bijapur district (near the Chhattisgarh-Maharashtra border).
Time: Encounter began at 8 a.m. and continued till 4 p.m.
Casualties:
Maoists killed: 31 (20 men & 11 women)
Security personnel killed: Head constable Naresh Dhruv (District Reserve Guard) & Constable Vasit Raote (Special Task Force).
Injured personnel: 2, later shifted to Raipur for treatment.

Weapons Recovered

AK-47, INSAS, .303 rifles
Grenades & launchers

Security Forces Involved

Nearly 650 personnel participated in the joint operation.
Forces included:
District Reserve Guards (DRG)
Special Task Force (STF)

Significance

Biggest anti-Maoist operation of 2025.
Total Maoists killed in Bastar region (2025 so far): 65.
Total Maoists killed in 2025 (first 40 days): 81 (~2 per day).

Maoists killed in 2024: 239 (indicating an intensified anti-Maoist campaign).

5. MP Dam Project & Tiger Corridor

Context

National Tiger Conservation Authority (NTCA) warns that the Morand-Ganjal Irrigation Project in Madhya Pradesh may submerge forested areas, threatening tiger movement between reserves.
The project involves building two dams on the Morand and Ganjal rivers to improve irrigation in four districts.

Key Details of the Project

States affected: Madhya Pradesh
Districts impacted: Hoshangabad, Betul, Harda, and Khandwa
Total forest land diversion: 2,250.05 hectares
People displaced:
644 families, including 604 tribal families, who depend on forests for livelihood.
Over seven lakh people affected at full reservoir level.
75 lakh trees may be removed.

Threat to Wildlife & Biodiversity

Project could destroy a crucial tiger corridor between the Satpura and Melghat Tiger Reserves.
Satpura & Melghat reserves are in a recovery phase due to increased tiger populations after voluntary village relocations.
Submergence of tiger habitats will affect genetic exchange and population stability of tigers.
Other endangered species affected: Leopards, deer, other herbivores.

NTCA Concerns & Recommendations

Long-term negative impact on wildlife and ecological connectivity.
Recommends exploring alternate sites to reduce environmental damage.
Stresses balance between development and conservation.
Site inspection needed before approval, involving NTCA, environment ministry, and soil conservation experts.

Discrepancies Noted

Forest Advisory Committee (FAC) found irregularities in Madhya Pradesh’s afforestation compensatory measures in Agar Malwa, Sagar, Betul, and Jabalpur districts.

6. Private Property & State's Right to Acquire

Eminent Domain

Legal principle allowing the state to acquire private property for public use with compensation.
Origin: Hugo Grotius (1625) in De jure belli ac pacis.
Derived from the concept of Dominium Eminens (supreme lordship).

Historical Development of Property Rights

Magna Carta (1215 CE): Established that property seizure required legal approval.
Colonial Influence: British laws shaped eminent domain in former colonies like the US, India, and South Africa.

Land Acquisition in the US & India

United States

Fifth Amendment (1791): Private property cannot be taken for public use without just compensation.
Kelo v. City of New London (2005): Allowed acquisition for economic development under public use.
State Response: Some states (Alabama, Delaware, Texas) imposed restrictions post-Kelo ruling.

India

Land Acquisition Act, 1894: Allowed acquisition for public purpose with compensation but neglected affected families.
Right to Fair Compensation and Transparency in Land Acquisition Act, 2013:
Ensured humane, participative, informed, and transparent land acquisition.
Included Social Impact Assessment (SIA).

South Africa

Constitution (Section 25): Property can be expropriated for public purpose with compensation.

Key Point

Eminent domain balances public interest with private property rights.
Land acquisition laws differ in the US, India, and South Africa but share colonial influences.
India’s 2013 Land Acquisition Act ensures social justice & transparency.

Property rights are constitutionally protected but subject to state intervention for public good.

7. Budget and Indian Railways

Background

Railway Budget was merged with the Union Budget in 2017.
Since then, Railways (IR) has received little direct attention in budget speeches.
The Budget 2024 did not explicitly mention IR.

Capital Expenditure (Capex)

₹2.62 lakh crore allocated for IR in 2024-25, similar to previous years.
Focus areas:
Infrastructure (track upgrades, station modernization).
Rolling stock (locomotives, wagons, coaches).
Concern: Railway’s earnings are outpaced by rising expenses, raising sustainability issues.

Electrification & Modernization

PM announced that IR achieved average electrification of 291 km/day (2014-23), which is 16x faster than 2004-14 levels.
India is set to become 100% electrified
Expansion plans:
300,000 km of fiber-optic network.
50,000 coaches with upgraded passenger amenities.
1000 Vande Bharat trains (doubtful feasibility).

Key Issues & Challenges

High-Speed Rail (Bullet Train)

Mumbai-Ahmedabad Bullet Train project saw no major budget allocation update.
Surat-Bilimora section (50 km) planned for 2026.
No clarity on new corridors beyond the first one.

Freight & Revenue Challenges

Freight growth is sluggish.
Passenger revenue is insufficient to sustain modernization.

Key Point

IR’s modernization depends on high capex, but revenue challenges remain.
Electrification progress is notable, but freight & operational revenue must improve.
Bullet train project remains slow, with no clarity on expansion.

Vande Bharat rollout may face feasibility concerns.

8. Budget Allocation for Urban Development

Context

2015: NDA government identified urban development as a key pillar of economic growth.
Cities contribute nearly 75% of GDP.
However, the Budget 2024 shows a reduced focus on urban transformation initiatives.

Budget Allocation for Urban Development

₹1,05,717 crore allocated for urban development in 2024-25.
Increase from ₹76,432 crore (2023-24).
Focus on capital-intensive projects (metro rail, urban infrastructure).

Reduction in ULB (Urban Local Bodies) Funds

ULB support reduced from ₹25,625 crore (2023-24) to ₹21,158 crore (2024-25).
This may worsen financial conditions of local bodies.

Funding for Major Urban Schemes

Scheme	Budget 2024-25 Allocation (₹ Crore)	Change (%)
Smart Cities Mission	3,000	-30%
Swachh Bharat (Urban)	2,300	-3%
AMRUT (Urban Infra)	10,000	-13%
Metro Rail Projects	23,843	+4.6%

New Initiatives

Urban Challenge Fund (₹10,000 crore) announced for Tier 2 & Tier 3 cities.
Aim: Sustainable urban transformation & planning.

Issues & Challenges

Declining financial support for ULBs may strain basic services.
High focus on capital projects may ignore grassroots governance needs.
Smart Cities Mission funding reduced despite pending projects.

Key Takeaways for UPSC (Mains GS-2 & GS-3)

Budget prioritizes infrastructure-heavy urban development.
ULB financial constraints may worsen local governance.
Need for better city-level governance & fund devolution.

New Urban Challenge Fund can help small cities if implemented well