Applications for the LAMP Fellowship 2026-27 are closed. Shortlisted candidates will be asked to take an online test on January 4, 2026.
Highlights of this Issue
Ordinance promulgated to amend the Insolvency and Bankruptcy Code, 2016 (p. 4)
The Ordinance amends the 2016 Act to prohibit certain category of persons from submitting a resolution plan or participation in liquidation. It also prohibits the sale of any property during liquidation, to any of these persons.
GDP grows at 6.3% in the second quarter of 2017 (p. 2)
The Gross Domestic Product (GDP) (at constant prices) of the country grew at 6.3% in the second quarter of 2017-18. This was lower than the 7.5% growth recorded in the same quarter of 2016-17.
Expert Committee releases white paper on a data protection framework for India (p. 5)
It identified seven principles on which a data protection framework should be based. These include application of the data protection law to both government and private entities, and enforcement of the law by a statutory authority.
Ordinance promulgated to amend the Indian Forest Act, 1927 (p. 5)
The Ordinance amends the definition of a tree under the Act to de-classify bamboo as a tree. Following this, felling of bamboo growing in non-forest areas will not be required to seek prior permissions.
Cabinet approves setting up of the 15th Finance Commission (p. 2)
The Commission will be chaired by Mr. N. K. Singh. It will make recommendations on matters including sharing of central taxes with the states. It will also study the impact of GST on the finances of the centre and states.
Cabinet approves setting up of the National Anti-Profiteering Authority (p. 3)
The Authority will be responsible for ensuring that any reduction in GST rates is passed on to the consumers by a reduction in the price of goods and services. It will cease to exist two years after the Chairman takes charge.
Task Force constituted to draft a new direct tax law (p. 3)
The Task Force will review the Income Tax Act, 1961 and draft a new direct tax law keeping in view: (i) direct tax system prevalent in various countries, (ii) international best practices, and (iii) economic needs of the country.
Telecom Regulatory Authority of India releases recommendations on Net Neutrality (p. 4)
TRAI recommended that internet access providers should not discriminate on the basis of content and its means of transmission. They cannot block or slow down any site based on content, applications, or services.
Draft regulations on civil use of drones announced by DGCA (p. 6)
The draft regulations classify drones on the basis of weight, provide details on the identification and permit requirements for such drones and the companies managing these drones, and the operation guidelines.
Law Commission submits report on implementing convention against torture (p. 11)
The Commission has made recommendations on matters including: (i) ratification of the convention, (ii) definition of torture, and (iii) punishment for torture. The Commission also submitted a draft Prevention of Torture Bill, 2017.
Cabinet approves creation of the National Testing Agency (p. 9)
The National Testing Agency will conduct entrance examinations for higher educational institutions. It aims to relieve certain education related bodies from the responsibility of conducting these entrance examinations.
CCEA approves export of all types of pulses (p. 10)
The Cabinet Committee on Economic Affairs (CCEA) approved the removal of the prohibition on export of all pulses. Further, the CCEA empowered a Committee to review the export and import policy on pulses.
Macroeconomic Development
Roopal Suhag (roopal@prsindia.org)
GDP grows at 6.3% in the second quarter of 2017-18
The Gross Domestic Product (GDP) (at constant prices) of the country grew at 6.3% in the second quarter of 2017-18, over corresponding period a year ago.[1] This was slightly higher than 5.7% in the first quarter of 2017-18. Trend in GDP growth in the last six quarters can be seen in Figure 1.
Figure 1: GDP growth (in %, year-on-year)
Sources: MOSPI; PRS.
GDP growth across economic sectors is measured in terms of Gross Value Added (GVA). GVA growth of the country was at 6.1% in the second quarter of 2017-18. The sectors of mining and electricity saw an increase in growth (year-on-year). Agriculture and services saw a decline in growth. Details on sectoral GVA growth are in Table 1.
Table 1: Gross Value Added across sectors in Q2 of 2017-18 (% growth year-on-year)
|
Sector |
Q2 |
Q1 |
Q2 |
|
2016-17 |
2017-18 |
2017-18 |
|
|
Agriculture |
4.1 |
2.3 |
1.7 |
|
Mining |
-1.3 |
-0.7 |
5.5 |
|
Manufacturing |
7.7 |
1.2 |
7.0 |
|
Electricity |
5.1 |
7.0 |
7.6 |
|
Construction |
4.3 |
2.0 |
2.6 |
|
Services |
9 |
8.7 |
7.1 |
|
GVA |
6.8 |
5.6 |
6.1 |
|
GDP |
7.5 |
5.7 |
6.3 |
Note: GVA is GDP without taxes and subsidies, at basic prices (2011-12 base year).
Sources: MOSPI; PRS.
Industrial production grew by 3% in the second quarter of 2017-18
The Index of Industrial Production (IIP) grew by 3.1% in the second quarter (Jul-Sept) of 2017-18, as compared to the same period in 2016-17.[2] Mining production saw the highest increase of 7.2% in this quarter, followed by an increase of 6.1% in electricity and 2.2% in manufacturing. Figure 1 shows the change in industrial production in the second quarter of 2017-18, and the average for the quarter.
Figure 2: Growth in IIP in second quarter of 2017-18 (year-on-year)
Finance
Vatsal Khullar (vatsal@prsindia.org)
Cabinet approves setting up of the 15th Finance Commission
The Union Cabinet approved the setting up of the 15th Finance Commission.[3] The Commission will be chaired by Mr. N. K. Singh (former MP and Secretary, Government of India), and have four members: (i) Mr. Shaktikanta Das (former Secretary, Government of India), (ii) Dr. Anoop Singh (Adjunct Professor, Georgetown University), (iii) Dr. Ashok Lahiri (Chairman, Bandhan Bank), and (iv) Dr. Ramesh Chand (Member, NITI Aayog).[4]
The Constitution requires the Finance Commission to be set up every five years.[5] The Commission will make recommendations for the five year period from 2020 to 2025 on subjects including: (i) sharing of central taxes with the states, (ii) principles which govern the distribution of central grants to states, and (iii) measures to improve the financial position of states in order to supplement the resources of panchayats and municipalities.
The Commission will also study the impact of the Goods and Services Tax on the finances of the central and state governments, among others. The Commission will submit its report by October 30, 2019.
The 14th Finance Commission submitted its report in February 2015 with recommendations for the five-year period between the April 2015 to March 2020. For more details on the 14th Finance Commission, please see here.
Task Force set up to draft new direct tax law
The Ministry of Finance set up a Task Force to review the Income Tax Act, 1961 and draft a new direct tax law.[6] Mr. Arbind Modi (Member, Central Board of Direct Taxes) will be the convener of the Task Force. The Task Force will comprise chartered accountants and tax advocates, among others. Mr. Arvind Subramanian, Chief Economic Adviser, will be a permanent special invitee.
The terms of reference of the Task Force is to draft a direct tax law keeping in view: (i) direct tax system prevalent in various countries, (ii) international best practices, (iii) economic needs of India, and (iv) any other connected matters. The Task Force will submit its report within six months.
Cabinet approves establishment of the National Anti-Profiteering Authority
The Union Cabinet approved the creation of the posts of Chairman and Technical Members of the National Anti-Profiteering Authority (NAPA).[7],[8] The creation of these posts will allow for the immediate establishment of the NAPA under the Goods and Services Tax (GST) framework.
Subsequently, Mr. B. N. Sharma (currently serving as Additional Secretary, Ministry of Finance) was appointed as the Chairman of NAPA.[9] The Ministry also appointed other Technical Members.
The NAPA will ensure that any reduction in GST rates is passed on to the consumers by a commensurate reduction in the price of goods and services. It will identify GST taxpayers who have not passed on such benefits by reducing prices. In the event of a taxpayer not reducing prices, the NAPA may order a reduction in prices, impose penalties or cancel the registration of a person.
The NAPA will cease to exist two years after the Chairman takes charge, unless the GST Council recommends otherwise.8
GST Council reduces tax rates on some items; increases eligibility under composition scheme
The GST Council recommended certain changes related to tax rates, dates for filling tax returns, and eligibility under the composition scheme.[10],[11] Key recommendations of the Council include:
Alternate Mechanism constituted for consolidation of public sector banks
An Alternate Mechanism was constituted for the consolidation of public sector banks.[12] The Mechanism will be chaired by Mr. Arun Jaitley, Minister of Finance. It will have Mr. Piyush Goyal (Minister of Railways and Coal), and Ms. Nirmala Sitharaman (Minister of Defence) as its members. Earlier, in August 2017, the Cabinet had given its in-principle approval for public sector banks to merge.
The Mechanism will examine proposals received from banks for approval to formulate schemes for amalgamation. It may also direct banks to examine proposals for amalgamation.
The final scheme for amalgamation of public sector banks will be approved by the central government, and laid before Parliament.
For more details on the Union Cabinet’s in-principle approval for public sector banks to merge, please see the PRS Monthly Policy Review for August 2017, here.
Age for joining the National Pension System increased to 65 years
The Pension Fund Regulatory and Development Authority increased the upper age limit for joining the National Pension System (NPS) from 60 years to 65 years.[13]
Currently, any Indian between the age of 18 to 60 years may voluntarily join the NPS. The Authority observed that due to better healthcare facilities and increased fitness, people are living an active life allowing them to be employed productively for longer. Consequently, it received suggestions to increase the age limit for joining the NPS.
A subscriber joining the NPS after the age of 60 years will be eligible to continue in the system till the age of 70. Such subscribers will have the same investment choices as available to those joining before 60 years.
The exit conditions for subscribers is: (i) if exit after three years of joining, then 40% of the amount will have to be annuitized (where amount is invested for fixed returns) and the remaining amount may be withdrawn lump sum, or (ii) if exit is before three years of joining, then 80% of the amount will have to be annuitized.
Corporate Affairs
Vatsal Khullar (vatsal@prsindia.org)
Ordinance promulgated to amend the Insolvency and Bankruptcy Code, 2016
The President promulgated the Insolvency and Bankruptcy (Amendment) Ordinance, 2017 on November 23, 2017.[14] It amends the Insolvency and Bankruptcy Code, 2016.[15] The Code provides a time-bound process for resolving insolvency in companies and among individuals. Insolvency is a situation where individuals or companies are unable to repay their outstanding debt. Key features of the Ordinance include:
Note that on November 7, 2017, the Insolvency and Bankruptcy Board of India amended its regulations to specify that a resolution plan will include certain details of the resolution applicant similar to those specified in the Ordinance.[16] These are related to: (i) conviction of any offence, (ii) disqualification as director, and (iii) identification as a wilful default, among others.
More details of the ordinance are available here.
Committee set up to review the Insolvency and Bankruptcy Code, 2016
The Ministry of Corporate Affairs constituted an Insolvency Law Committee to examine suggestions for improving the Insolvency and Bankruptcy Code, 2016.[17] The Committee will be chaired by the Secretary, Ministry of Corporate Affairs. Its members will include representatives from: (i) RBI, (ii) Ministry of Finance, (iii) law firms, (iv) chartered accountants, and (v) company secretaries.
The Committee will: (i) examine the implementation of the Insolvency and Bankruptcy Code, 2016, and (ii) identify issues and make recommendations on issues that impact the efficiency of the corporate resolution and liquidation framework.
The Committee will submit its recommendations within two months from its first meeting.
Telecom
Sai Priya Kodidala (saipriya@prsindia.org)
TRAI releases recommendations on Net Neutrality
The Telecom Regulatory Authority of India (TRAI) released recommendations on Net Neutrality.[18] Net Neutrality requires that telecom service providers treat all Internet traffic on an equal basis. This means that there would be no discrimination with respect to the type, origin, or destination of the content or the means of its transmission.[19] Key recommendations include:
Information Technology
Vatsal Khullar (vatsal@prsindia.org)
Expert Committee releases white paper on a data protection framework for India
The Committee of Experts on a Data Protection Framework for India (Chair: Justice B. N. Srikrishna) released a white paper.[21] The Committee was constituted in August 2017 to examine issues related to data protection, recommend methods to address them, and draft a data protection law.[22]
The Committee suggested that a framework to protect data in the country should be based on seven principles: (i) law should be flexible to take into account changing technologies, (ii) law must apply to both government and private sector entities, (iii) consent should be genuine, informed and meaningful, (iv) processing of data should be minimal and only for the purpose for which it is sought, (v) entities controlling the data should be accountable for any data processing, (vi) enforcement of the data protection framework should be by a high-powered statutory authority, and (vii) penalties should be adequate to discourage any wrongful acts.
The Committee also raised some questions related to the data protection framework. These questions are related to: (i) scope and exemptions under the framework, (ii) grounds for data processing, obligation on entities and rights of individuals, and (iii) regulation and enforcement of the framework. The Committee has invited comments on the white paper till December 31, 2017.
A PRS summary of the report is available here.
Environment
Roopal Suhag (roopal@prsindia.org)
Indian Forest (Amendment) Ordinance, 2017 promulgated
The Indian Forest (Amendment) Ordinance was promulgated.[23],[24] It amends the Indian Forest Act, 1927. Under the Act, the definition of tree includes palms, bamboos, stumps, brush-wood and canes. The Ordinance amends this definition to remove the word bamboos.
Prior to this amendment, felling and transporting bamboo grown on forest and non-forest land were subject to provisions of the Indian Forest Act, 1927. Following the amendment, bamboo growing in non-forest areas will be waived off the requirement of permission for its felling or transportation for economic use.
More details on the ordinance are available here.
Transport
Draft regulations on civil use of drones released by DGCA
Prachee Mishra (prachee@prsindia.org)
The Director General of Civil Aviation (DGCA) released draft regulations on the civilian operation of remotely piloted aircraft systems (RPAS), commonly known as drones.[25],[26] The draft regulations provide the details of permits required to operate civilian drones. Key guidelines include:
All four wheelers sold after December 1, 2017 to be fitted with FASTags
Prachee Mishra (prachee@prsindia.org)
The Ministry of Road Transport and Highways notified that all four-wheelers sold after December 1, 2017 must have FASTags fitted on them.[27],[28] The FASTags will be fitted by the vehicle manufacturer or the authorised dealer. In case of vehicles that are sold as drive away chassis (framework of the vehicle) without the wind screen, FASTag will have to be fitted by the vehicle owner before it is registered.
FASTag is a reloadable tag which enables automatic deduction of toll charges and lets vehicles pass through toll plazas without stopping for cash transaction. The tag uses radio-frequency identification (RFID) technology and is affixed on the vehicle’s windscreen after the tag account is active.
Dividend payable by the Railways to General Revenues to be waived off for 2016-17
Sanat Kanwar (sanat@prsindia.org)
The Union Cabinet approved the proposal of Ministry of Railways to move a resolution in Parliament adopting the recommendations of the Railway Convention Committee (2014).[29] The Committee recommended that the dividend payable to general revenues for 2016-17, estimated at Rs 9,731, may be waived off as a one-time move. [30] Railways paid a return on the budgetary support it received from the government every year, known as dividend. Post the merger of the Railways budget with the Union budget, from 2017-18, Railways are not required to pay dividend to the central government. The Committee made the recommendations citing the critical state of Railway’s finances. Factors such as, the cost of implementing the 7th Central Pay Commission have adversely impacted the state of Railway’s finances.
Law and Justice
Vatsal Khullar (vatsal@prsindia.org)
Cabinet approves revision of salaries for Supreme Court and High Court judges
The Union Cabinet approved the revision of remuneration (including salary, gratuity, allowances, and pension) for judges of the Supreme Court and High Court.[31] This revision follows the implementation of the Seventh Central Pay Commission which revised salaries of central government employees.[32] It will be applicable from January 1, 2016.
To give effect to this revision, amendments will be made to two laws: (i) The Supreme Court Judges (Salaries and Conditions of Service) Act, 1958, and (ii) High Court Judges (Salaries and Conditions of Service) Act, 1954. It is expected to impact 31 judges of the Supreme Court, 1,079 judges of High Courts, and about 2,500 retired judges.
For more details on the recommendations of the Seventh Central Pay Commission, please see here and here.
Cabinet approves appointment of Second Judicial Pay Commission for subordinate judiciary
The Union Cabinet approved the appointment of the Second Judicial Pay Commission for the subordinate judiciary in the country.[33],[34] Subordinate judiciary refers to courts at the district level and below. The Pay Commission will be headed by Justice (Retd.) J. P. Venkatrama Reddi (former judge of the Supreme Court), and Mr. R. Basant (former judge of the Kerala High Court) as its member.
The Commission will: (i) examine the current pay structure and service conditions of judicial officers in states and union territories, (ii) evolve a structure to govern pay and emoluments of such officers, (iii) examine the work methods, work environment, and the allowances available to judicial officers, and (iv) suggest rationalisation and simplification of these allowances.
The Commission will make recommendations to state governments within 18 months.
Cabinet approves continuation of scheme for judiciary infrastructure
The Union Cabinet approved the continuation of the centrally sponsored scheme for development of infrastructure facilities for the judiciary.[35] The scheme will be implemented beyond the 12th Five Year plan (i.e., 2012 to 2017) till March 31, 2020 at a cost of Rs 3,320 crore. Under the scheme, court halls and residential accommodation will be constructed for judicial officers of the district and subordinate courts.
Funds for the scheme will be shared in 60:40 ratio (i.e., 60% of the funds will be paid by the central government and the remaining 40% will be paid by the state governments). The ratio for north-eastern and Himalayan states will be 90:10.
The Cabinet also approved the setting up of an online monitoring system with geo-tagging of court halls and residential accommodation being construction. This would assist in collecting data on the progress and the completion of buildings under construction.
Space
Sai Priya Kodidala (saipriya@prsindia.org)
Draft Space Activities Bill, 2017 released
The Department of Space has released a draft Space Activities Bill, 2017.[36] The Bill seeks to promote and regulate space activities in India including promotion of private participation in the sector. Currently, space activities are regulated by policies such as the Satellite Communication Policy, 1997 and Remote Sensing Data Policy, 2011. Key features of the Bill include:
Comments on the draft Bill are invited till December 21, 2017.
Women and Child Development
Nivedita Rao (nivedita@prsindia.org)
Cabinet approves expansion of Mission for Protection and Empowerment for Women
The Cabinet Committee on Economic Affairs (CCEA) approved the expansion of schemes under the ‘Mission for Protection and Empowerment for Women’ for a three year period from 2017-18 to 2019-20.[37] The approved sub-schemes are focussed on (i) care, protection and development of women, (ii) improvement in child sex ratio, and (iii) ensuring education for girls and empowering them.
CCEA also approved a new scheme called ‘Pradhan Mantri Mahila Shakti Kendra (PMMSK)'. This scheme aims to empower rural women through community participation to help them realise their full potential. PMMSK is envisaged to work at the national, state, district, and block levels.
Key features of these changes include:
Housing and Urban Affairs
Sanat Kanwar (sanat@prsindia.org)
Carpet area eligible for interest subsidy under the credit linked subsidy scheme increased
The Union Cabinet approved the increase in the carpet area of houses eligible for interest subsidy under the Credit Linked Subsidy Scheme (CCLS) for the Middle Income Group (MIG) under the Pradhan Mantri Awas Yojana. [38] Under the CLSS, a subsidy is provided on home loans taken by eligible urban poor for buying or constructing a house.[39] Initially it only included the Economically Weaker Section/ Lower Income Group. In February 2017, the benefits under CCLS were extended to the Middle Income Group (MIG). There are two categories of MIG beneficiaries: (i) MIG-I (annual income between six lakh rupees and Rs 12 lakh), and (ii) MIG-II (annual income between Rs 12 lakh and Rs 18 lakh). Key changes include:
Table 2: Details of the CCLS for MIG
|
Particulars |
MIG-I |
MIG- II |
|
Household Income (Rs. per annum) |
Between Rs six lakh and Rs 12 lakh |
Between Rs 12 lakh and Rs 18 lakh |
|
Interest subsidy (% per annum) |
4% |
3% |
|
Maximum loan tenure (in years) |
20 |
20 |
|
Eligible Housing Loan Amount for Interest Subsidy (Rs.) |
Rs 9 lakh |
Rs 12 lakh |
|
Carpet Area of dwelling unit |
120 sq.m. |
150 sq.m. |
Sources: Operational guidelines of CCLS for MIG, Press Information Bureau; PRS.
Additional houses approved under Pradhan Mantri Awas Yojana (Urban)
The Ministry of Housing and Urban Affairs has approved the construction of 1,12,083 for the benefit of urban poor under Pradhan Mantri Awas Yojana (Urban) (PMAY).[40] For this purpose, the Ministry has approved an investment of Rs 8,105 crore with central assistance of Rs 1,681 crore. As of July 2017, the Ministry of Housing and Urban Affairs had sanctioned the construction of 21,00,475 houses.[41] Table 3 below provides details of the allocation of the new sanctions amongst different states.
Table 3: Details of approved sanctions
|
State |
No. of houses |
Investment (Rs crore) |
Central Assistance (Rs crore) |
|
Madhya Pradesh |
34,680 |
3,080 |
520 |
|
Haryana |
24,221 |
1,721 |
363 |
|
Maharashtra |
11,523 |
860 |
173 |
|
Jharkhand |
28,477 |
2,080 |
427 |
|
Kerala |
9,836 |
295 |
147 |
|
Mizoram |
3,270 |
65 |
49 |
Sources: Press Information Bureau; PRS
For further details regarding the PMAY scheme, refer to the PRS Monthly Policy Review of September 2015 here.
Education
Nivedita Rao (nivedita@prsindia.org)
Cabinet approves creation of an agency to conduct all entrance examinations for higher educational institutions
The Union Cabinet approved the creation of an autonomous body, the National Testing Agency (NTA), to conduct entrance examinations for higher educational institutions.[42] The creation of such an agency was announced by the Finance Minister in the Budget speech of 2017-18.[43]
The NTA aims to provide standardised examinations and to relieve the Central Board of Secondary Education (CBSE), the All India Council for Technical Education, and other agencies from the responsibility of conducting entrance examinations. It will be established as a society registered under the Indian Societies Registration Act, 1860. Key features of the NTA are as follows:
Cabinet approves amendment to the NCTE Act, 1993
The Union Cabinet approved the introduction of a Bill to amend the National Council for Teacher Education (NCTE) Act, 1993.[44] The Act regulates the teacher education system and the standards it must maintain. Under the Act, all institutions running teacher education courses such as Bachelor of Education (B.Ed.) and Diploma in Elementary Education (D.El.Ed.) have to obtain recognition from the National Council for Teacher Education.
The Bill seeks to grant retrospective recognition to the universities (central and state) which are conducting teacher education courses without NCTE permission till the academic year 2017-2018. The amendment aims to make students studying in these universities, or already passed out, eligible for employment as a teacher.
Agriculture
Sai Priya Kodidala (saipriya@prsindia.org)
CCEA approves removal of prohibition on export of all types of pulses
The Cabinet Committee on Economic Affairs (CCEA) approved the removal of prohibition on export of all pulses.[45] Further, the CCEA enabled a Committee (Chair: Secretary, Department of Food and Public Distribution) to review the export and import policy on pulses. This Committee includes secretaries of: (i) Department of Commerce, (ii) Department of Agriculture, Cooperation and Farmers Welfare, (iii) Department of Revenue, (iv) Department of Consumer Affairs, and (v) Directorate General of Foreign Trade.
CCEA also approved the utilisation of a part of the buffer stock of pulses to provide nutrition to beneficiaries under the central government schemes such as the Mid-day Meal scheme.[46] The buffer stock is maintained by the Ministry of Consumer Affairs. Concerned departments and ministries need to amend their schemes or guidelines to be able to provide pulses under their respective schemes. Note that the CCEA approved a buffer stock of upto 20 lakh tonnes of pulses under the Department of Consumer Affairs, in September 2016.[47]
Minimum support prices for Rabi crops 2017-18 released
Minimum Support Prices (MSPs) for Rabi crops 2017-18 have been released by the Ministry of Agriculture and Farmers Welfare.[48] The MSP for wheat has been increased from Rs 1,625/quintal to Rs 1,735/quintal. In order to incentivise the production of pulses and oilseeds, the government has announced bonuses for certain crops, over the MSPs approved. Table 4 shows the change in MSPs of Rabi crops between 2017-18 and 2016-17.
Table 4: Minimum support prices of Rabi crops (in Rs/quintal)
|
Crop |
2016-17 |
2017-18 |
Change |
|
Wheat |
1,625 |
1,735 |
110 |
|
Barley |
1,325 |
1,410 |
85 |
|
Gram |
4,000^ |
4,400# |
400 |
|
Masur |
3,950# |
4,250* |
300 |
|
Rapeseed-mustard |
3,700* |
4,000* |
300 |
|
Safflower |
3,700* |
4,100* |
400 |
Note: ^ includes bonus of Rs 200/quintal, # includes bonus of Rs 150/quintal, * includes bonus of Rs 100/quintal.
Source: Directorate of Economics and Statistics, Ministry of Agriculture and Farmers Welfare; PRS.
CCEA approves continuation of Rashtriya Krishi Vikas Yojana for 2017-18 to 2019-10
The Cabinet Committee on Economic Affair (CCEA) approved continuation of the Rashtriya Krishi Vikas Yojana for three years with a financial allocation of Rs 15,722 crore.[49] The scheme will be continued as Rashtriya Krishi Vikas Yojana-Remunerative Approaches for Agriculture and Allied Sector Rejuvenation. The scheme was launched in 2007-08.[50] Under the scheme, financial assistance is provided by the central government to implement agriculture and allied sector schemes.
Under the scheme, funds would be provided to states as 60:40 between the centre and states (90:10 for north-eastern and Himalayan states) according to the following division: (i) 20% of the outlay for sub-schemes such as Crop Diversification Program and Bringing Green Revolution to Eastern India, (ii) 10% of the outlay for innovation and agri-entrepreneur development, and (iii) 70% of the outlay under production growth, infrastructure and assets to states as grants.
LED light fishing prohibited
The Department of Animal Husbandry, Dairying and Fisheries released an order prohibiting certain fishing practices beyond territorial waters in the Indian Exclusive Economic Zone (EEZ).[51] The order is applicable to all fishing vessels and related auxiliary vessels operating in the Indian EEZ. The prohibitions are as follows:
CCEA approves Special Banking Arrangement for payment of outstanding fertilizer subsidy
The Cabinet Committee on Economic Affair (CCEA) approved the implementation of a Special Banking Arrangement (SBA) of Rs 10,000 for payment of outstanding fertilizer subsidy during 2016-17 retrospectively. Fertilizers are provided at subsidised rates to farmers through fertilizer manufacturers and importers. Such fertilizer companies are provided funds against their subsidy claims under the SBA.
Home Affairs
Vinayak Krishnan (vinayak@prsindia.org)
Law Commission submits report on implementing convention against torture
The Law Commission of India (Chairperson: Dr. Justice B. S. Chauhan) submitted its report on “Implementation of ‘United Nations Convention against Torture and other Cruel, Inhuman and Degrading Treatment or Punishment’ through legislation” to the Ministry of Law and Justice on October 30, 2017.[53] The Commission also submitted a draft Prevention of Torture Bill, 2017. India signed the convention on October 14, 1997 but has not ratified it so far.
The matter was referred to the Law Commission in July 2017 following a recommendation by the Supreme Court. Key observations and recommendations of the Commission include:
A PRS summary of the report is available here.
Energy
Ethanol pricing for public sector oil marketing companies revised
Prachee Mishra (prachee@prsindia.org)
The Cabinet Committee on Economic Affairs approved the revision of ethanol price under the Ethanol Blended Petrol (EBP) Programme for supply to public sector oil marketing companies (OMCs).[54] Key changes approved with the new revision include:
Blending ethanol with petrol helps reduce vehicle exhaust emissions and reduces the import burden for petroleum. The EBP Programme was launched in 2003 to promote the use of alternative and environment friendly fuels. However, since 2006, OMCs were not able to procure the required quantity of ethanol due to pricing issues of ethanol. Therefore, in order to augment the supply of ethanol, the government has been administering the price of ethanol under the EBP programme since December 2014. The last revision was made in October 2016, when ethanol prices were fixed at Rs 39/litre.[55]
Introduction of Bharat Stage VI fuel ahead of schedule in NCT, Delhi
Sanat Kanwar (sanat@prsindia.org)
The Ministry of Petroleum and Natural Gas has decided to introduce Bharat Stage VI (BS VI) fuel ahead of schedule in the National Capital Territory, Delhi.[56] BS VI fuel will be launched on April 1, 2018 instead of April 1, 2020. In September 2016, the Ministry of Road Transport and Highways had notified a shift from BS IV fuel to BS VI fuel by April 1, 2020, skipping BS V fuel.[57] The Ministry cited high pollution levels as a reason for the early launch of BS VI fuel in NCT, Delhi. The content of sulphur reduces from 50 ppm in BS IV fuel to 10 ppm in BS VI fuel for both gasoline and diesel.[58]
Drinking Water and Sanitation
Roopal Suhag (roopal@prsindia.org)
Cabinet restructures National Rural Drinking Water Programme and approves its continuation
The Union Cabinet approved the continuation and restructuring of National Rural Drinking Water Programme (NRDWP).[59] The National Rural Drinking Water Programme (NRDWP) aims at assisting states in providing adequate and safe drinking water to the rural population in the country.[60] Rs 23,050 crore has been approved for the programme from 2017-18 to 2019-20.
Further, to implement the National Water Quality Sub-Mission started in February 2017 under NRDWP, Rs 12, 500 crore will be provided as central share for a period of four years. The sub-mission aims to cover all rural population in arsenic/ fluoride affected habitations with clean drinking water by March 2021.
[1] “Press Note on Estimates of Gross Domestic Product for the first quarter of 2017-18”, Ministry of Statistics and Programme Implementation, November 30, 2017, http://www.mospi.nic.in/sites/default/files/press_release/PRESS_NOTE-Q2_2017-18.pdf.
[2] “Quick Estimates of Index of Industrial Production and Use Based Index for the Month of September, 2017 (Base 2011-12=100)”, Press Release, Ministry of Statistics and Programme Implementation, November 11, 2017.
[3] ‘Cabinet approves setting up of the 15th Finance Commission’, Press Information Bureau, Cabinet, November 22, 2017.
[4] S.O. 3755(E), Gazette of India, Ministry of Finance, November 27, 2017, http://egazette.nic.in/WriteReadData/2017/180483.pdf.
[5] Article 280 (1), Constitution of India.
[6] Office Order, Central Board of Direct Taxes, Ministry of Finance, November 22, 2017, http://www.incometaxindia.gov.in/news/misccom-constitution-task-force-drafting-new-direct-tax-legislation-22-11-2017.pdf; ‘Constitution of Task Force for drafting a New Direct Tax Legislation’, Press Information Bureau, Ministry of Finance, November 22, 2017.
[7] ‘Cabinet approves the establishment of the National Anti-profiteering Authority under GST’, Press Information Bureau, Cabinet, November 16, 2017.
[8] Anti-Profiteering, Chapter XV, Central Goods and Services Tax Rules, 2017, http://www.cbec.gov.in/resources//htdocs-cbec/gst/cgst-rules-15112017.pdf.
[9] ‘Government appoints Shri B.N. Sharma (IAS:1985) as Chairman of the National Anti-profiteering Authority under GST’, Press Information Bureau, Ministry of Finance, November 28, 2017.
[10] ‘Recommendations made On GST Rate changes by the GST Council as per discussions in its 23rd Meeting on 10th November, 2017 held at Guwahati’, Press Information Bureau, Ministry of Finance, November 10, 2017.
[11] ‘Changes recommended in Composition Scheme’, Press Information Bureau, Ministry of Finance, November 10, 2017.
[12] ‘Approval of framework for consolidation of Public Sector Banks’, Press Information Bureau, Ministry of Finance, November 1, 2017.
[13] ‘Increasing the maximum age of joining NPS from the present 60 years to 65 years for NPS Private Sector’, Pension Fund Regulatory and Development Authority, November 1, 2017, http://pfrda.org.in/WriteReadData/Links/Circular-Increase%20in%20joining%20age%20under%20NPS24991e86-8d6d-41ab-bedd-74fbf3b62fd3.pdf.
[14] The Insolvency and Bankruptcy Code (Amendment) Ordinance, 2017, http://www.prsindia.org/uploads/media/Ordinances/Insolvency%20and%20Bankruptcy%20Code%20(Amendment)%20Ordinance,%202017.pdf.
[15] The Insolvency and Bankruptcy Code, 2016, http://ibbi.gov.in/webadmin/pdf/legalframwork/2017/Jul/IBC%202016.pdf.
[16] No. IBBI/2017-18/GN/REG019, Gazette of India, Insolvency and Bankruptcy Board of India, November 7, 2017, http://ibbi.gov.in/cirpregulation19.pdf.
[17] ‘Constitution of Insolvency Law Committee’, Order, Ministry of Corporate Affairs, November 16, 2017, http://mca.gov.in/Ministry/pdf/constitutionOrder_17112017.pdf.
[18] Recommendations on Net Neutrality, Telecom Authority of India, Department of Telecommunications, Ministry of Communications, November 28, 2017, http://trai.gov.in/sites/default/files/Recommendations_NN_2017_11_28.pdf.
[19] Consultation on Net Neutrality, Telecom Authority of India, Department of Telecommunications, Ministry of Communications, January 4, 2017, http://trai.gov.in/sites/default/files/CP_NetNeutrality2017_01_04.pdf.
[20] “Prohibition of Discriminatory Tariffs for Data Services Regulations, 2016”, Telecom Regulatory Authority of India, February 8, 2016, http://www.trai.gov.in/WriteReadData/WhatsNew/Document%20s/Regulation_Data_Service.pdf.
[21] White Paper of the Committee of Experts on a Data Protection Framework for India, Ministry of Electronics and Information Technology, November 27, 2017, http://meity.gov.in/writereaddata/files/white_paper_on_data_protection_in_india_171127_final_v2.pdf.
[22] 32 Constitution of a Committee of Experts to deliberate on a data protection framework for India, Ministry of Electronics and Information Technology, July 31, 2017, http://meity.gov.in/writereaddata/files/MeitY_constitution_Expert_Committee_31.07.2017.pdf.
[23] “Centre promulgates Indian Forest (Amendment) Ordinance, 2017 to encourage bamboo cultivation in non-forest areas”, Press Information Bureau, Ministry of Environment and Forests, November 23, 2017.
[24] The Indian Forest (Amendment) Ordinance, 2017, http://www.prsindia.org/uploads/media/Ordinances/Indian%20Forest%20(Amendment)%20Ordinance,%202017.pdf.
[25] “Draft Regulation of CAR on Civil Use of Drones Announced”, Press Information Bureau, Ministry of Civil Aviation, November 2, 2017.
[26] “Requirements for Operation of Civil Remotely Piloted Aircraft System (RPAS)”, F. No. 05-13/2014-AED Vol.VI, Director General of Civil Aviation, http://dgca.nic.in/misc/draft%20cars/CAR%20-%20UAS%20(Draft_Nov2017).pdf.
[27] “All 4 wheel Motor Vehicles sold after 1st December 2017 to be fitted with FASTags”, Press Information Bureau, Ministry of Road Transport and Highways, November 2, 2017.
[28] Notification, F. No. RT-11028/16/2011-MVL, Ministry of Road Transport and Highways, November 2, 2017, http://morth.nic.in/showfile.asp?lid=3000.
[29]“Cabinet approves Resolution for adoption of the recommendations of the Railway Convention Committee (2014) as contained in their Sixth Report on "Rate of Dividend payable by the Railways to the General Revenues for the year 2016-17 and other ancillary matters", Press Information Bureau, Cabinet, November 16, 2017.
[30] Sixth Report, Rate of Dividend Payable by the Railways to the General Revenues for the year 2016-17 and other Ancillary Matters, Railway Convention Committee (2014), November 2016.
[31] ‘Cabinet approves revised salaries, gratuity, allowances and pension for the Judges of the Supreme Court and the High Courts’, Press Information Bureau, Cabinet, November 22, 2017.
[32] Report of the Seventh Central Pay Commission, November 2015, http://www.finmin.nic.in/sites/default/files/7cpc_report_eng.pdf?download=1.
[33] ‘Cabinet approves appointment of Second National Judicial Pay Commission for Subordinate Judiciary in the country, Press Information Bureau, Cabinet, November 10, 2017.
[34] No. 19018/1/2017-Jus., Gazette of India, Ministry of Law and Justice, November 16, 2017, http://egazette.nic.in/WriteReadData/2017/180293.pdf.
[35] ‘Boost to infrastructure facilities for judiciary’, Press Information Bureau, Cabinet, November 16, 2017.
[36] Draft Space Activities Bill, 2017, Indian Space Research Organisation, November 21, 2017, https://www.isro.gov.in/update/21-nov-2017/seeking-comments-draft-space-activities-bill-2017-stake-holders-public-regarding.
[37] “Cabinet approves expansion of umbrella scheme "Mission for Protection and Empowerment for Women" and introducing a new scheme ' Pradhan Mantri Mahila Shakti Kendra'”, Cabinet Committee on Economic Affairs, Press Information Bureau, November 22, 2017.
[38] “Cabinet approves the increase in the carpet area of houses eligible for interest subsidy under the Credit Linked Subsidy Scheme for the Middle Income Group under Pradhan Mantri Awas Yojana”, Press Information Bureau, Cabinet, November 16, 2017
[39] Operational guidelines for the new Scheme of Credit Linked Subsidy Scheme for Middle Income Group (MIG), Ministry of Housing and Urban Poverty Alleviation, March 11, 2017, http://mhupa.gov.in/writereaddata/CLSS-MIG-Guidelines.pdf.
[40] “1,12,083 Affordable Houses sanctioned for urban poor under PMAY (Urban), Press Information Bureau, Ministry of Housing and Urban Affairs, November 30, 2017
[41] Unstarred question no. 599, Lok Sabha, Ministry of Housing and Urban Affairs, July 19, 2017. http://164.100.47.190/loksabhaquestions/annex/12/AU599.pdf
[42] “Cabinet approves Creation of National Testing Agency (NTA) to conduct entrance examinations for higher educational institutions”, Press Information Bureau, Cabinet, November 10, 2017.
[43] Budget Speech, 2017-18, http://indiabudget.nic.in/ub2017-18/bs/bs.pdf.
[44] “Cabinet approves amendment in the National Council for Teacher Education Act, 1993”, Press Information Bureau, Cabinet, November 1, 2017.
[45] “Cabinet allows export of all varieties of pulses”, Press Information Bureau, Ministry of Commerce and Industry, November 16, 2017.
[46] “Cabinet approves utilisation of pulses from the buffer stock through Central Government Schemes having nutrition component”, Press Information, Bureau, Ministry of Consumer Affairs, Food and Public Distribution, November 10, 2017.
[47] “Cabinet approves enhancing the buffer stock of pulses up to 20 lakh tonnes”, Press Information, Bureau, Ministry of Consumer Affairs, Food and Public Distribution, September 12, 2016.
[48] “Minimum Support Prices (MSP) and bonus for Rabi Crops of 2017-18 season to be Marketed in 2018-19”, Directorate of Economics and Statistics, Ministry of Agriculture and Farmers Welfare, October 30, 2017, http://eands.dacnet.nic.in/PDF/MSP-Rabi2017-18-Eng.pdf.
[49] “Cabinet approves ongoing Centrally Sponsored Scheme (State Plans) - Rashtriya Krishi Vikas Yojana (RKVY) as Rashtriya Krishi Vikas Yojana- Remunerative Approaches for Agriculture and Allied sector Rejuvenation (RKVY-RAFTAAR) for three years i.e. 2017-18 to 2019-20”, Press Information Bureau, Ministry of Agriculture, November 1, 2017.
[50] Operational Guidelines, XII Five Year Plan, Rashtriya Krishi Vikas Yojana Department of Agriculture and Cooperation, Ministry of Agriculture, http://rkvy.nic.in/.
[51] Order-F No. 21001/3/2014-Fy(Ind), Department of Animal Husbandry, Dairying and Fisheries, Ministry of Agriculture and Farmers Welfare, November 10, 2017, http://dahd.nic.in/sites/default/files/EEZ.pdf.
[52] 1st Five Year Plan, Planning Commission, http://planningcommission.nic.in/plans/planrel/fiveyr/1st/1planch23.html.
[53]. “Report No. 273: Implementation of ‘United Nations Convention against Torture and other Cruel, Inhuman and Degrading Treatment or Punishment’ through legislation”, Law Commission of India, October 2017, http://lawcommissionofindia.nic.in/reports/Report273.pdf.
[54] “Cabinet approves revised price of ethanol under EBP for the Public Sector Oil Marketing Companies”, Press Information Bureau, Cabinet Committee on Economic Affairs, November 1, 2017.
[55] “Cabinet approves revision of ethanol price for supply to Public Sector Oil Marketing Companies”, Press Information Bureau, Cabinet Committee on Economic Affairs, October 13, 2016.
[56] “Pre-ponement of introduction of BS-VI grade auto fuels in NCT Delhi, Press Information Bureau, Ministry of Petroleum and Natural Gas, November 15, 2017.
[57] G.S.R 889 (E) , Notification, Ministry of Road Transport and Highways, September 16, 2016. http://morth.nic.in/showfile.asp?lid=2391.
[58] “Mass Emission Standards for automobiles – Overview and Technical Details of BS IV, V and VI”, Press Information Bureau, Ministry of Road Transport and Highways.
[59] “Cabinet approves continuation and restructuring of National Rural Drinking Water Programme”, Press Information Bureau, Ministry of Drinking Water and Sanitation, November 10, 2017.
[60] National Rural Drinking Water Programme, Ministry of Drinking Water and Sanitation, http://indiawater.gov.in/IMISReports/MenuItems/AboutSite.aspx.
DISCLAIMER: This document is being furnished to you for your information. You may choose to reproduce or redistribute this report for non-commercial purposes in part or in full to any other person with due acknowledgement of PRS Legislative Research (“PRS”). The opinions expressed herein are entirely those of the author(s). PRS makes every effort to use reliable and comprehensive information, but PRS does not represent that the contents of the report are accurate or complete. PRS is an independent, not-for-profit group. This document has been prepared without regard to the objectives or opinions of those who may receive it.