DNS Notes - Revision

Daily News Simplified - DNS 29 10 19 Notes

SL. THE HINDU TOPICS NO. PAGE NO.

1 India, Saudi to form strategic council 13

2 The many gaps in NCRB data 11

3 Supercyclone ‘Kyarr’ moves away from Indian coast 09

4 ‘Deep discounts by e-com firms hitting GST revenue’ 15

5 Second round of Smart Cities, AMRUT may roll out in 2020 01

Dated: 29. Oct. 2019 DNS Notes - Revision

Title 1. India, Saudi to form strategic council (The Hindu Page 13) Syllabus Mains: GS Paper II – International Relations Theme India-Saudi bilateral relations Highlights Context Prime Minister Narendra Modi visit to Riyadh • For the second time, Indian Prime Minister Narendra Modi is travelling to Saudi Arabia to attend the Future Investment Summit to be held in Riyadh on October 29-31. • This bonhomie has come about at a time when mega economic reform programs are underway in Saudi Arabia, for which it welcomes India’s economic as well as technological assistance. • Likewise, New Delhi looks for Saudi investments in India’s petrochemicals, infrastructure, and mining sectors alongside cooperation in economic and security matters. Outcomes Expected- • India and Saudi Arabia are set to sign an agreement for creating a bilateral strategic partnership council. Formation of the Council has been under discussion for some time. • Establishment of Strategic Partnership Council will further elevate the relations between the two countries. • The council will include multiple sections involving the External Affairs Ministry and NITI Aayog and counterpart organisations from Saudi Arabia. • The council will be led by Mr. Modi and King Salman bin Abdulaziz Al Saud. • It is expected, during Modi’s visit, that both sides will sign energy deals, including the promise of Saudi participation in India’s strategic petroleum reserve. What it means for India at present times? • Mr. Modi’s visit is significant as it comes three months after India ended the special status of Kashmir and feels that Kashmir is unlikely to get any attention from the Saudi rulers( given deteriorating Saudi-Pak relation in recent times) • Strategic considerations like India’s energy security and our desire to ensure stability in the Gulf region. What it means for S.Arabia at present times? • Visit is expected to boost the Crown Prince’s global stature which suffered after Saudi journalist Jamal Khashoggi was brutally killed in the Saudi consulate in Istanbul. • The visit is a vote of confidence in the leadership of Crown Prince bin Salman. Tracing Relations? • Historically - Up untill Cold War period India-Saudi Arabia ties were mainly determined by the Pakistani factor. For decades, this prevented both New Delhi and Riyadh from discovering the strategic importance of engaging one another. But, over a period, they have begun to disentangle themselves from certain inhibitions of the past. • Recent times – we are witnessing growing closeness between New Delhi and Riyadh. • Strategic importance been accorded by both countries to one another. • Today’s Indo-Saudi cooperation is no longer restricted to the traditional sphere of oil- energy trade. Instead, the relationship has become multifaceted. • During National Security Advisor Ajit Doval’s visit to Riyadh early October this year- S. Arabia reportedly conveyed that it understood India’s “approach” and “actions” Dated: 29. Oct. 2019 DNS Notes - Revision

regarding the abrogation of Article 370 in Jammu and Kashmir. Thereby took neutral stance on Kashmir. • During the visit of Crown Prince Mohammed bin Salman to India in February agreement reached to constitute a “Comprehensive Security Dialogue” at the national security adviser (NSA) level and set up a Joint Working Group on Counter-Terrorism was timely. • Navies of both countries will hold their first joint naval exercises either toward the end of 2019.

Personal Notes

Dated: 29. Oct. 2019 DNS Notes - Revision

Title 2. The many gaps in NCRB data (The Hindu Page 11) Syllabus Mains: GS Paper II – Polity and Governance Theme Data on crimes in India Highlights Context

National Crime Records Bureau (NCRB) has recently published statistics on “Crime in India – 2017” and has categorised offences into various categories. NCRB has also published “Prison Statistics India – 2017” covering various aspects of prison administration. In the backdrop of these two reports, this article mentions certain gaps in data collection and categorisation. So, let us go through different concerns highlighted in the article:

Concerns 1. Some offences under crime has been categorised outside the provisions of Indian Penal Code and other special and local laws. 2. There is inadequate explanation for classification of offence. For instance, while reporting the offence of murder, NCRB has segregated the numbers based on the different motives for murder like honour killing and dowry but has not explained the reason for such categorisation. 3. In contrast to crime statistics, prison statistics do not provide any such offence-wise data on undertrials and convicts. This prevents cross-referencing and examination of the numbers in both reports. 4. Prison statistics provide information on different kinds of sentences being served by convicts but these numbers have not been categorised on the basis of offences. Thus, it is impossible to -  analyse any pattern for sentencing for various offences and in various States or  formulate policy on such sentencing. 5. There are concerns on the methods of computation and presentation of data. For instance, the crime statistics report, while recording rates of recidivism (the tendency of a convicted criminal to reoffend), collects State-wise information on the number of juveniles and adults who were arrested earlier but not convicted, and those who were previously convicted. This becomes a concern as socio-economically marginalised people repeatedly come in conflict with the law and are routinely arrested and released on mere suspicion. Even for those who were arrested and convicted previously, the data do not speak of the nature of crimes involving their prior conviction and the crimes leading to their present arrest. 6. There are methodological concerns about the rate of calculating charge-sheeting, which has been measured based on the total number of cases disposed of by the police, and not the total number of cases for investigation. By leaving the cases of ongoing investigation, the reports leave a large number of cases in the final data. 7. There are similar concerns about the presentation of data on arrests, convictions and acquittals. It is unclear if the number of persons acquitted, discharged and convicted is calculated in reference to the number of persons arrested in 2017, or those charged and arrested in previous years. 8. Further, the statistics on arrests, convictions and acquittals do not relate to the total number of cases disposed of by courts in 2017. Dated: 29. Oct. 2019 DNS Notes - Revision

Way Forward In absence of reliable data on crimes and prisons, it is difficult to formulate robust policies on criminal justice system including prison reforms. The article mentions that such robust policies are necessary for reforming prisoners as 94.4% of those entering the criminal justice system were arrested for the first time. So, in order to explore more precise and effective solutions to criminal justice issues, NCRB must first take steps towards ensuring the accuracy, reliability and comprehensiveness of these reports.

Dated: 29. Oct. 2019 DNS Notes - Revision

Personal Notes

Dated: 29. Oct. 2019 DNS Notes - Revision

Title 3. Supercyclone ‘Kyarr’ moves away from Indian coast (The Hindu Page 09) Syllabus Mains: GS Paper I – Geography Prelims: Physical Geography Theme Tropical Cyclones Highlights Context According to IMD, the Supercyclone ‘Kyarr’ in the Arabian Sea has moved westwards and away from India’s coast.

Classification of cyclones • Cyclones are classified on the basis of the wind speed • Depression • The lowest classification with sustained wind speeds of between 31–49 km/h. • Deep Depression: Intensification of depression to about 50-61 km/h results in Deep Depression. • Category 1: Cyclonic storm • A Deep Depression that develops wind speeds of 62–88 km/h is called a Cyclonic storm. • Category 2: Severe Cyclonic Storm: 89–117 km/h • Category 3: Very Severe Cyclonic Storm: 118–166 km/h • Category 4: Extremely Severe Cyclonic Storm: 166–221 km/h • Category 5: Super Cyclonic Storm: The highest classification used in the North Indian Ocean with wind speeds above 222 km/h.

About Kyarr • Kyarr is the 1st super cyclone developed over northern Indian Ocean since Cyclone Gonu in 2007. • Further it is the 7th storm this season over northern Indian Ocean. • This is 1st year since 1998 more than 6 storms have developed in a season. • The main reason for development of so many storms in a year over Indian Ocean is the record level of positive Indian Ocean dipole this year.

Positive Indian Ocean Dipole and Kyarr • During the positive phase of Indian Ocean dipole the water over western Indian Ocean is warmer than normal particularly in the Arabian Sea. As a result cooler waters from Australia moves westward towards Arabian Sea it intensifies the depressions in the Arabian sea aggregating into a tropical cyclone. • 2019 witnessed the record level of positive phase of Indian Ocean Dipole resulting in development of multiple storms and resultant intensification into a super cyclone. Dated: 29. Oct. 2019 DNS Notes - Revision

About Kyarr

Path of Super cyclone Kyarr • Weak area of low pressure began to materialize over the southeast Arabian Sea resulting in formation of depression. • By 2 Oct it organized into a tropical storm eventually intensifying into a Category-3 cyclonic storm by Oct. 25 and 26. • Moving further north-westwards into the ocean, it has gathered more wind speeds upto 250 km/h forming what is called a super cyclone. • As it moves further north-westwards (closer to land), it is likely to weaken to about 130 kmph by November 1. • Fishermen have been advised not to venture into the east-central Arabian Sea till Wednesday and into west-central Arabian Sea till November 2.

Conditions for Tropical cyclones • Large and continuous supply of warm and moist air that can release enormous latent heat. (Warm air rises up and loses heat in the form of latent heat) • The strong Coriolis force prevents the filling of low pressure at the centre • Release of latent heat at the eye due to convection leads to gushing of water from the high-pressure periphery into the low-pressure eye, further intensifying the depression Dated: 29. Oct. 2019 DNS Notes - Revision

into deep depression and eventually into cyclonic storms of varying intensity.

Personal Notes

Dated: 29. Oct. 2019 DNS Notes - Revision

Title 4. ‘Deep discounts by e-com firms hitting GST revenue’ (The Hindu Page 15) Syllabus Mains: Paper III – Economy Theme Predatory pricing, Anti-competition practices

Highlights Context The Confederation of All India Traders (CAIT) has written to Finance Minister alleging loss of GST revenue to the government due to deep discounting by e-commerce firms, particularly Amazon and Flipkart. In the letter, CAIT has asked the government to initiate investigation into the business model of such e-commerce firms providing deep discounts which also results in predatory pricing and abuse of dominant position in the market. Deep Discounts • Deep Discounts are very heavy discounts available on products and services by certain companies. Such discounts are generally not offered by all the traders in the market. • As per the strategy of deep discount, companies try to sell more quantities of their products by offering heavy to very heavy discounts specially during festivals. • These kind of discounts are used by retailers as a trick to increase the customer footfall and lure customer to shop more than they could have purchased without the discount. This effectively increases competition in the market, forcing other retailers to slash prices on their products and services. • Amazon is a US-based company whereas Flipkart, founded by Indians, is majority- owned by American giant Walmart. Both follow the marketplace model of e- commerce, which means they connect sellers and buyers instead of selling their own wares. This is the only type of e-commerce where foreign investment is allowed in India as per the new FDI policy of 2019.

Complaint • E-commerce portals like Amazon and Flipkart offers deep discounts ranging from 10- 80% specially during festivals. Such heavy discounts are generally not available in offline market and this results in less footfall in such stores. • Because of such heavy discounts, sales are made on a much lower price than the market value of the product. This also reduces GST as GST is then charged on the final sale price which is way below the market price. • The complaint mentioned that under the GST Act, the government has the power to determine actual market value of the products if it appears to be under billed. • The letter also stated that by lowering the price artificially in order to capture market, the e-commerce companies are causing huge loss of GST revenue to the government and violating the FDI policy of the government.

Abuse of dominant position • Section 4 of Competition Act, 2002 mentions about prohibition of Abuse of dominant position in the market. It defines abuse of dominant position if an enterprise or a group directly or indirectly, imposes unfair or discriminatory -  condition in purchase or sale of goods or service; or  price in purchase or sale (including predatory price) of goods or service • “Dominant position” means a position of strength, enjoyed by an enterprise, in the relevant market, in India, which enables it to (i) operate independently of competitive forces prevailing in the relevant Dated: 29. Oct. 2019 DNS Notes - Revision

market; or (ii) affect its competitors or consumers or the relevant market in its favour. • “Predatory Price” means the sale of goods or provision of services, at a price which is below the cost of production of the goods or provision of services, with a view to reduce competition or eliminate the competitors. • With the growing concern over predatory pricing, the CCI is planning to issue a “soft policy advisory” for the e-commerce industry.

The new FDI Rules • As per the FDI policy, FDI upto 100% under automatic route is permitted in Business to Business (B2B) e-commerce. However, FDI in Business to Consumer (B2C) model of e-commerce is prohibited. • So, 100% FDI under automatic route is permitted in marketplace model of e- commerce and FDI is not permitted in inventory based model of e-commerce. • Inventory based model of e-commerce means an e-commerce activity where inventory of goods and services is owned by e-commerce entity and is sold to the consumers directly. • Marketplace based model of e-commerce means providing of an information technology platform by an e-commerce entity on a digital and electronic network to act as a facilitator between buyer and seller.

Dated: 29. Oct. 2019 DNS Notes - Revision

Personal Notes

Dated: 29. Oct. 2019 DNS Notes - Revision

Title 5. Second round of Smart Cities, AMRUT may roll out in 2020 (The Hindu Page 20) Syllabus Prelims: Current Events Mains: Paper II – Social Issues Theme Urbanisation Highlights About AMRUT

ATAL MISSION FOR REJUVENATIONAND URBAN TRANSFORMATION

Centrally sponsored scheme Total outlay for AMRUT is Rs. 50,000 crores for five years from FY 2015-16 to FY 2019-20. The project fund is divided among States/UTs using an equitable) formula in which 50:50 weightage is being given to the urban population of each State/UT and number of statutory towns. The objective is to provide basic civic amenities like water supply, sewerage, urban transport, parks as to improve the quality of life for all especially the poor and the disadvantaged. The focus of the Mission is on infrastructure creation that has a direct link to provision of better services to the citizens. The universal coverage of water supply and sewerage services have first charge in the Mission. There is maximum allocation of 2.5% of project cost for development of parks with children and elderly friendly features. The Mission covers covering 500 cities that includes all cities and towns with a population of over one lakh with notified Municipalities. The purpose of “AMRUT” mission is to • ensure that every household has access to a tap with assured supply of water and a sewerage connection • increase the amenity value of cities by developing greenery and well-maintained open spaces e.g. parks and • reduce pollution by switching to public transport or constructing facilities for non- motorized transport e.g.walking and cycling.

Smart city

The government launched the Smart City Mission in 2015 to cover 100 cities over the period 2015-16 and 2019-20. Key features of this mission are: • Selection of cities through a city challenge competition; • Implementation of Special Purpose Vehicles; • Central grant funds used for leveraging funds from other sources; • Citizen participation etc.

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Dated: 29. Oct. 2019 DNS Notes - Revision