World’s largest dam to be built.

•  China’s recent approval to construct the world’s largest dam on the Brahmaputra River, known as the Yarlung Tsangpo in Tibet, has significant implications for regional geopolitics, environmental concerns, and energy production.
• With an estimated cost of $137 billion, this ambitious project has raised alarms in neighboring countries, particularly India and Bangladesh, regarding its potential impact on water resources and ecological balance.
• Location and Scale: The dam will be constructed at a critical gorge in the Himalaya where the Brahmaputra river turns a sharp ‘U’ turn before entering India. This site has a high rainfall and is prone to seismic activities; therefore, construction and safety are major challenges.
• The annual electric power output of the project is expected to be about 300 billion kilowatt-hours. This power will surpass the current output of China’s largest Threeificaes Dam.
• Investment and Economic Implications: In total, the investment in this infrastructure project could reach one trillion yuan (approximately $137 billion); therefore it is not only an indicator of the greatness of the engineering solutions provided, but also guarantees the significance of the investment in global infrastructure.
• Chinese officials claim that this dam shall bring development to this region and add strength to China’s energy base.

China’s Justification

• Clean Energy Development: The Chinese authorities regard the project as an essential measure in the process of creating well-developed clean energy and fighting climate change.
• The foreign ministry spokesperson, Mao Ning also stressed that during several decades of research and pre-studies for carrying out the hydropower project, its safety and ecology have been taken into consideration. The impact on downstream countries was not negative, according to her.
• Disaster Management and Cooperation: China has assured downstream countries that they will continue to consult over water issues and flood control measures.
•  This involves making available to India and Bangladesh hydrological information needed in averting potentially negative consequences of weather-related incidents.

Concerns from other Countries

• Impact on Water Flow: India has shown a lot of worry on some implications that come with the Chinese Section, about the ability to regulate the flow of the Brahmaputra water during periods of drought or flood especially during conflicts. China’s ability to unleash the water potential is seen as a major source of worry in terms of stability in the region.
• Environmental Risks: In layman’s terms, the building of the dam puts it in the wrong geographical region of the environment in that it affects the balance of the ecosystems of the region.
• Critics also state that such large scale projects have potential for converting environments into dust, changing the vulnerability of rivers and streams, and have several unknown impacts on the anatomy of ecosystems.
• India’s Countermeasures: Similarly in reaction to China’s plans India is also developing its hydropower projects on Brahmaputra in Arunachal Pradesh.
•  These dual processes have implications for water resource management in a context of increasing geopolitical tension.
•  India has always dealt with China by platforms such as the Expert Level Mechanism in cases of trans-border rivers. In the contemporary meeting with China, the Indian National Security Advisor, Ajit Doval met with the Chinese Foreign Minister, Wang Yi aimed at strengthening cooperation in water and disaster management.
• The Brahmaputra River originates in the Chemayungdung Glacier in the Tibetan Himalayas, flowing eastward as the Yarlung Zangbo River before making a dramatic U-turn at the Namcha Barwa mountain to enter Arunachal Pradesh, India.
• It then flows through Assam and Bangladesh, where it merges with the Ganges to form the Meghna River, eventually emptying into the Bay of Bengal.
• The river spans approximately 2,900 kilometres, making it one of the world''s longest rivers.
• The Brahmaputra has numerous tributaries, contributing to its vast drainage system. Key tributaries in India include the Dibang, Lohit, and Subansiri Rivers in Arunachal Pradesh and the Manas and Teesta Rivers in Assam. 

Economic significance:

• The Brahmaputra supports agriculture and fisheries, which are vital for the livelihoods of millions in the region. The fertile alluvial plains, created by seasonal floods, make the valley a prime agricultural zone for crops like rice, jute, and tea.
• Additionally, its vast water resources facilitate inland navigation, connecting remote areas and supporting trade.
• The river is a powerhouse for hydroelectric energy. Several projects, like the Subansiri Lower Dam, aim to harness its potential for renewable energy.
•  However, its flow through seismic zones and ecologically sensitive areas poses challenges to large-scale energy projects.

Ecological importance:

• The Brahmaputra sustains a diverse flora and fauna. Its basin is home to grasslands, wetlands, and forests, which support species like the Indian rhinoceros, Bengal tiger, and Gangetic dolphin.
• Migratory birds also thrive in the region, making it a biodiversity hotspot. The wetlands and floodplains provide critical habitats for these species, despite threats from habitat loss and human activities.

Concerns about Brahmaputra dam:

• The planned Brahmaputra dam in Tibet highlights its geographical and strategic importance. Located near a tectonic plate boundary, the dam is positioned in one of the most seismically active zones in the world.
• The region frequently experiences earthquakes, posing a significant challenge to the dam''s structural integrity.
• The dam''s location near the Indian border raises geopolitical concerns. China’s ability to regulate water flow could affect downstream nations like India and Bangladesh. In times of conflict, this control might be weaponised, leading to potential flooding or water shortages in border regions.
• Engineering challenges are amplified by the dam''s scale and location. Building such a massive structure in a high-altitude region with harsh weather conditions requires advanced technology and extensive resources.
• The site''s remote location also complicates logistics and increases costs.
• Ecological implications include threats to biodiversity and the disruption of natural river flow. Changes in sediment transport could impact fertile plains downstream, reducing agricultural productivity.
• The project might also affect fish migration and other aquatic life, further straining the river''s ecosystem.

Conclusion

• The construction of the world’s largest dam on the Brahmaputra River represents a pivotal moment in Sino-Indian relations, with far-reaching implications for energy security, environmental sustainability, and regional stability.
• As China moves forward with this ambitious project, it will be crucial for all stakeholders involved to engage in constructive dialogue to address shared concerns over water management and ecological preservation.

A breakout year for renewable energy

•  As a developing nation pursuing rapid economic growth, India has made every endeavour to walk the climate talk. This is perhaps best illustrated by the scale at which it has expanded its renewable energy (RE) capacity.
• The results have been impressive, as can be seen in the numbers. 2024 in particular has been a breakout year where several milestones were reached, as India continued to take large strides enroute Mission 500 gigawatt (Gw) by 2030.
•  During the year, installed RE capacity crossed the 200 Gw landmark, and stood at 214 Gw by November-end, a 14% jump over last year. In November alone, India added 2.3 Gw of new RE capacity, which is four times what was added last November

2025 and beyond: Opportunity

• It is essential that we credit the government of India for the RE sector’s robust growth, as it continued to accord top priority to clean energy and reinforced/introduced conducive policy measures.
• Come 2025, we keenly await the government’s focus on grid modernisation and ramping up transmission connectivity, which is a critical enabler to drive continued RE capacity growth.
•  The need of the hour is simplification and acceleration of processes like signing of power purchase agreements and power sale agreements, and land acquisition to boost investor confidence.
• We must also continue to advance digital capabilities, focusing on data analytics and artificial intelligence to optimise performance, predict maintenance needs, and maximise performance.
• Two growth areas to keep an eye on in the coming year are integration of energy storage solutions with solar and wind power, and the emergence of green hydrogen to support decarbonisation of hard-to-abate sectors.
• As demand for RE grows, the combination of information technology with battery storage will be essential to ensure reliability and continuous supply of power, as well as allowing for better/higher utilisation of the transmission infrastructure.
•  Green hydrogen and its derivatives are an area where India can realise the tremendous potential it has to emerge as a global champion. Given the government’s focus on this, we can expect major progress in the year ahead.
• Significant developments are happening everyday as we speak; and we can expect to see implementation of energy portfolios of complex RE and storage projects, open-access projects, and green hydrogen and its derivatives catering to various commercial and industry segments.

Constraints and challenges: The bigger picture

• RE is a highly capital-intensive sector, where the capital is invested upfront, with little to no operating cost over the lifetime of the asset. As such, a continuous flow of affordable funds is needed to keep the wheels of the sector turning.
• Even as we see capacity ramping up, volatility and uncertainty in interest rates, forex rates, and policy changes across countries that comprise the global supply chain often act as a deterrent and/or lead to higher realised tariffs, as developers include these risks in their project investments and returns.
• It will be great to see more innovative financial instruments such as green bonds and RE funds, providing additional avenues for access to affordable funds.
• We can also look forward to 2025 setting the stage for a more Aatmanirbhar RE sector in India, as the production-linked incentive scheme helps set up a robust domestic manufacturing ecosystem in key solar, wind, battery energy storage system, and hydrogen value chains.
• This will help derisk the supply chain, minimise supply bottlenecks, lower cost volatility to a degree, and ensure that the speed of capacity growth is not compromised, as we strive to achieve our 2030 target.

 INS Tushil’s strategic deployment to Karwar: What it means for India’s maritime security and naval diplomacy

• The Indian Navy’s newly commissioned stealth frigate, INS Tushil, has recently been deployed to Karwar, located in North Karnataka. This strategic move is poised to significantly enhance India’s maritime security and regional naval presence, especially as Karwar becomes the focal point of India’s ambitious maritime defence initiatives.
• The INS Tushil’s deployment also underscores the growing naval cooperation between India and various global partners, as well as the critical role that Karwar’s naval base—Asia’s largest—is set to play in India’s broader maritime defence strategy.
• INS Tushil, which was commissioned on December 9, 2024, in Kaliningrad, Russia, represents a key addition to India’s naval capabilities. The frigate, built by Russia, is equipped with advanced stealth technology, making it less detectable by radar, and is designed for multi-role operations, including anti-submarine warfare and air defence.
• After its commissioning, INS Tushil made its way to its home port at Karwar, with a stopover in Casablanca, Morocco. This journey highlights not just the operational mobility of the ship but also the growing naval diplomacy between India and Morocco, a maritime nation strategically located between the Mediterranean Sea and the Atlantic Ocean
• The visit to Casablanca is part of strengthening bilateral naval cooperation, as India seeks to foster closer ties with Morocco’s Royal Navy.
•  Over the past year, several Indian Navy ships, such as Tabar, Tarkash, and Sumedha, have visited Morocco, promoting interoperability between the two navies.
• INS Tushil’s interaction with the Royal Moroccan Navy, including a Passage Exercise (PASSEX), further strengthens these ties, while also allowing both navies to share best practices and enhance operational readiness.

Karwar: Asia’s Largest Naval Base

• The real significance of INS Tushil’s deployment, however, lies in its final stationing at Karwar, which is fast becoming one of the most vital naval hubs in the Indo-Pacific region.
•  Asia’s largest naval base, located near Goa, is a critical component of Project Seabird, an ongoing initiative to expand and modernize India’s naval infrastructure. Spanning 25 kilometers and capable of hosting more than 50 warships, submarines, and smaller crafts, Karwar will become a major strategic asset for India.
• The centerpiece of this project is the construction of a 75-meter high dry-berth, which will be taller than Delhi’s Qutub Minar.
• This facility will allow for the simultaneous docking and maintenance of multiple warships, including the capability to service up to four ships at once. Such infrastructure is not only essential for maintaining a large fleet but also for ensuring that India’s naval forces can project power and respond swiftly to regional maritime security challenges.

A Hub of Maritime Security and Diplomacy

• INS Tushil’s deployment to Karwar represents more than just a strategic military move—it is a key aspect of India’s broader effort to solidify its maritime dominance in the Indo-Pacific.
• Karwar’s location on the western coast of India gives it easy access to the Arabian Sea, one of the world’s busiest and most strategically important shipping routes. With increasing Chinese naval activity in the Indian Ocean Region (IOR), India’s enhanced presence at Karwar provides a clear message of commitment to regional security.
• Project Seabird, which is developing Karwar into a state-of-the-art naval base, includes multiple components such as a naval air station with a 2700-meter-long runway. This air station will support not only naval operations but will also serve as a commercial enclave, adding a civilian dimension to the base.
•  The ongoing development will eventually support a workforce of 50,000 personnel, making Karwar a major economic and military hub.

Naval Diplomacy and Regional Influence

• INS Tushil’s journey and eventual stationing at Karwar reflect India’s growing focus on maritime diplomacy.
• The ship’s visit to Morocco and participation in cooperative naval exercises with regional partners highlight India’s commitment to enhancing its naval cooperation with countries in the Indian Ocean and beyond.
• These initiatives are part of India’s broader strategy to counterbalance China’s increasing influence in the region and ensure that India maintains its position as a dominant maritime power.
• Moreover, India’s engagement with countries like Morocco through naval exercises, port visits, and joint operations helps promote mutual trust, interoperability, and collective maritime security.
•  By strengthening ties with regional and extra-regional powers, India is building a network of maritime partnerships that can collectively address security challenges, such as piracy, maritime terrorism, and the protection of sea lanes.

‘Surya Kiran’ exercise from Dec 31

•  The Indian Army contingent comprising 334 personnel will participate in 18th edition of joint military exercise Surya Kiran. 
•  The exercise will be conducted in Saljhandi, Nepal from December 31, 2024 to January 13, 2025. It is an annual training event conducted alternatively in the two countries.The Indian Army contingent is being led by a battalion from the 11th Gorkha Rifles. The Nepal Army contingent will be represented by Srijung Battalion. The aim of the exercise is to enhance interoperability in jungle warfare, counter terrorism operations in mountains, and Humanitarian Assistance and Disaster Relief under United Nations Charter.
•  The exercise will focus on enhancing operational preparedness, aviation aspects, medical training, and environment conservation.Through these activities, the troops will enhance their operational capabilities, refine their combat skills and strengthen their coordination to operate together in challenging situations.

Defence cooperation between both countries

•  The exchange of such high-level visits and continuation of tradition helps in strengthening relations between the two militaries and the two countries.
•  The country shares a border of over 1,850 km with five Indian states — Sikkim, West Bengal, Bihar, Uttar Pradesh and Uttarakhand. Land-locked Nepal relies heavily on India for the transportation of goods and services. 
•  The India-Nepal Treaty of Peace and Friendship of 1950 forms the bedrock of the special relations that exist between India and Nepal. Nepalese citizens avail facilities and opportunities on par with Indian citizens in accordance with the provisions of the Treaty.
•  Nearly eight million Nepalese citizens live and work in India.
•  Since 1950, India and Nepal have been awarding each other’s Army Chief with the honorary rank of General in recognition of the mutual harmonious relationship between the two armies.
•  India and Nepal have wide-ranging cooperation in the defence sector. India has been assisting the Nepal Army (NA) in its modernisation by supplying equipment and providing training. 
•  The Gorkha regiments of the Indian Army are raised partly by recruitment from hill districts of Nepal. Currently, about 32,000 Gorkha Soldiers from Nepal are serving in the Indian Army.

State-owned discoms remain a huge burden to govt finances

•  The Reserve Bank of India (RBI) released a report titled ‘State Finances: A Study of Budgets of 2024-25’. It provides a comprehensive assessment of the finances of state governments for 2024-25 against the backdrop of actual and revised/provisional accounts for 2022-23 and 2023-24, respectively.
•  The report said the weak financial health of state-owned electricity distribution companies (discoms) constitutes a persisting challenge for state government finances.
•  Discoms continue to remain a drag on state finances, with total accumulated losses at Rs 6.5 lakh crore by 2022-23 (2.4 per cent of GDP). 

The key reasons for revenue losses include:

• i) Delay in tariff orders.
• ii) Poor billing and collection efficiencies.
• iii) Non-implementation of Fuel and Power Purchase Cost Adjustment (FPPCA).
• iv) Under-recovery of electricity dues of state government departments and the subsidy amounts.
•  The outbreak of the global pandemic COVID-19 in the country and the consequent nationwide lockdown has exacerbated the liquidity problems for the power sector further as revenues of the power distribution companies nosedived as people were unable to pay for the electricity consumed while power supply, being an essential service, had been maintained.
•  The weak financial health of state-owned electricity distribution companies constitutes a persisting challenge for state finances. 
•  Despite multiple financial restructuring efforts, total outstanding debt of discoms has grown at an average annual rate of 8.7 per cent since 2016-17, rising from Rs 4.2 lakh crore to Rs 6.8 lakh crore in 2022-23 (2.5 per cent of GDP). 
•  State governments provide considerable support to discoms through revenue subsidies, grants, and equity infusions, as well as by taking over annual losses. 
•  The recurrent need for bailouts of loss-making discoms diverts valuable resources that could otherwise be invested in developmental initiatives. 
•  For instance, the Ujwal Discom Assurance Yojana (UDAY) required state governments to absorb 75 per cent of the DISCOM debt — 50 per cent in 2015-16 and 25 per cent in 2016-17. 
•  The implementation of the UDAY scheme by 16 states led to a sharp rise in their fiscal deficits, outstanding debt, and interest payments in 2015-16 and 2016-17
• Reforms in power sector

• The 15th Finance Commission allowed an additional borrowing space of 0.5 per cent of Gross State Domestic Product (GSDP) for states which would take up power sector reforms to enhance operational and economic efficiency to promote a sustained increase in paid electricity consumption. 
• These reforms included reduction in: 
• i) Operational losses
• ii) Revenue gap
• iii) Payment of cash subsidy by adopting direct benefit transfer
• iv) Tariff subsidy as a percentage of revenue. 
•  In 2021-22, as many as 12 states were permitted to borrow Rs 39,175 crore based on the stipulated reform criteria. 
•  In 2022-23, six states were allowed to borrow Rs 27,238 crore. 
•  In 2023-24, states were eligible to borrow approximately Rs 1,43,332 crore, as recommended by the Ministry of Power.
•  The government of India has been implementing various performance linked and result oriented schemes with the objective to have a financially secure, viable and sustainable power sector (distribution segment in particular).
•  Several interventions have been made to improve financial and operational efficiencies of discoms/ power departments by linking to reform measures.
• This include:

•  Additional borrowing space of 0.5 per cent of Gross State Domestic Product (GSDP) to states linked to power sector reforms undertaken.
• Introducing additional prudential norms for lending by Power Finance Corporation (PFC) Limited and REC Limited.
•  Revamped Distribution Sector Scheme (RDSS). 

What is Revamped Distribution Sector Scheme?

•  The Revamped Distribution Sector Scheme (RDSS) was launched by the government of India in July 2021 with a total outlay of Rs 3,03,758 crore including Gross Budgetary Support (GBS) of Rs 97,631 crore. 
•  Improvement in financial sustainability and operational efficiency of the discoms/power departments is one of the key objectives of the RDSS. 
• The scheme has a duration of five years (FY 2021-22 to FY 2025-26).
•  The scheme envisages reducing the Aggregate Technical and Commercial (AT&C) losses to 12-15 per cent and Gap between Average Cost of Supply and Average Revenue Realised (ACS-ARR Gap) to zero at pan-India level by 2024-25.
•  The scheme is designed to nudge the states/utilities to undertake necessary reforms for desired results. 
•  Based on performance of the utility against parameters mentioned under Result Evaluation Matrix of the RDSS, which include achievement against major financial & operational parameters, they are evaluated. Thus, assistance has been linked to performance.
•  Projects worth Rs. 2.77 lakh crore have been sanctioned under RDSS for loss reduction and smart metering works

The way ahead

•  Initiatives aimed at enhancing productivity, reducing transmission and distribution losses, rationalising tariffs in accordance with the underlying cost of power supply, unbundling the electricity supply industry, and privatising generation and distribution remain critical and would significantly improve the quality of state finances.
• States need to prioritise operational efficiency by minimising distribution losses, improving metering systems, ensuring timely tariff revisions, and incentivising the power sector to gradually reduce reliance on government subsidies.

Almost 19% of world’s children live in conflict zones, shows UNICEF study

• The impact of armed conflicts on children around the world reached devastating and likely record levels in 2024.
•  Almost 19 per cent of the world’s children – over 473 million – now live in conflict zones, and 47.2 million have been displaced by conflict and violence.
•  From Palestine to Myanmar, Haiti to Sudan, the world is experiencing the highest number of conflicts since World War II. Thousands of children have been killed and injured in Gaza, and in Ukraine.
•  There have been widespread reports of rape and sexual violence against women and girls in conflict settings.
•  In Haiti, so far this year, there has been a 1,000 per cent increase in reported incidents of sexual violence against children. In situations of armed conflict, children with disabilities also tend to be disproportionately exposed to violence and rights violations.

Impact of armed conflicts on children

• Children do not start wars, but they pay the highest price for them. They  are more likely than adults to be killed or maimed by explosive weapons. They lose the protection and care of family members and friends. They are abducted from their homes, recruited by armed groups and sexually violated. Their schools and hospitals are destroyed, and many are denied life-saving aid, based simply on who they are or where they live.
• Children account for 30 per cent of the global population, yet on average account for roughly 40 per cent of refugee populations and 49 per cent of internally displaced people.
• A child growing up in a conflict zone is far more likely to be out of school, malnourished, or forced from their home — too often repeatedly — compared to a child living in places of peace. This must not be the new normal.

Education severely disrupted

•  More than 52 million children in countries affected by conflict are estimated to be out of school.
•  Children in the Gaza Strip, and a significant portion of children in Sudan, have missed out on more than a year of education, while in countries such as Ukraine, the Democratic Republic of the Congo, and Syria, schools have been damaged, destroyed or repurposed, leaving millions of children without access to learning.
•  The destruction of educational infrastructure and insecurity near schools have exacerbated an already dire situation for children’s education in these regions.

Malnutrition and famine

•  Malnutrition among children in conflict zones has also risen to alarming levels, as conflict and armed violence continue to be the primary drivers of hunger in numerous hotspots, disrupting food systems, displacing populations, and obstructing humanitarian access.
• For example, in Sudan, famine was declared in North Darfur, the first famine determination since 2017.  In 2024, more than half a million people in five conflict-affected countries are estimated to be living in the most extreme food insecurity situations.

Healthcare threatened

•  Conflicts are also having a devastating effect on children’s access to critical healthcare.
•  Around 40 per cent of unvaccinated and under-vaccinated children live in countries that are either partially or entirely affected by conflict.
•  These children are often the most vulnerable to disease outbreaks like measles and polio, because of disruptions and lack of access to security, nutrition, and health services.
•  The impact on children’s mental health is also huge. Exposure to violence, destruction and the loss of loved ones can result in reactions such as depression, nightmares and difficulty sleeping, aggressive or withdrawn behaviour, sadness and fear, among others.
• Children in war zones face a daily struggle for survival that deprives them of a childhood.
• Their schools are bombed, homes destroyed, and families torn apart. They lose not only their safety and access to basic life-sustaining necessities, but also their chance to play, to learn, and to simply be children.

UN Disengagement Observer Force (UNDOF)

•  UN Secretary-General Antonio Guterres paid tributes to Brigadier General Amitabh Jha of India, who was serving with the UNDOF at Golan Heights, and said he will be remembered for his leadership and unwavering commitment to United Nations peacekeeping.
• Brigadier Jha was serving as Deputy Force Commander of the United Nations Disengagement Observer Force (UNDOF) from April 2023 and had recently served as acting Force Commander of UNDOF in complex circumstances, following the fall of the Assad government in Syria.Prior to his deployment to UNDOF, he had commanded a Brigade in Glaciated Mountainous terrain of India, and a Specialised unit as Commanding Officer.

United Nations Disengagement Observer Force (UNDOF)

•  On October 6, 1973, war erupted in the Middle East between Egyptian and Israeli forces in the Suez Canal area and the Sinai, and between Israeli and Syrian forces in the Golan Heights. 
•  On October 24, 1973 as fighting between Egypt and Israel reached a critical stage, the Security Council decided to set up a second United Nations Emergency Force II (UNEF II). 
•  The Force was immediately moved into place between the Israeli and Egyptian armies in the Suez Canal area, and its arrival effectively stabilised the situation. However, no new peacekeeping operation at that time was established on the Syrian front.
•  In the Israel-Syria sector tension remained high, and from March 1974 the situation became increasingly unstable.  Meanwhile, diplomatic initiatives were devised, which resulted in the conclusion of an Agreement on Disengagement between Israeli and Syrian forces.
•  On May 30, 1974, the United Nations Secretary-General Kurt Waldheim provided the Security Council with the text of the Agreement, and its Protocol, which called for a United Nations force to supervise the implementation of the Agreement. 
•  On May 31, the Security Council passed a resolution, which called for the creation of the United Nations Disengagement Observer Force (UNDOF).

Its mandate is to:

• i) Maintain the ceasefire between Israel and Syria.
• ii) Supervise the disengagement of Israeli and Syrian forces.
• iii) Supervise the areas of separation and limitation, as provided in the May 1974 Agreement on Disengagement
•  The 1,200 strong force became operational on June 6, 1974.
•  The Agreement established an Area of Separation and an Area of Limitation.
•  Area of Separation is a demilitarised zone controlled by UNDOF, approximately 80 km long and from 200m wide in the south to 8 km wide in the north. 
• Area of Limitation is an area of Israeli or Syrian territory in which the number and type of military personnel and equipment is restricted. 
•  The Agreement also allows Syrian civilians to return to their homes in the area of separation.
•  UNDOF ensures that the agreed limitations in armaments and forces are being observed in these areas. 
•  The terrain is hilly and is dominated in the North by Mt Hermon, the highest permanently manned UN position sitting at an altitude of 2,814 m. 
•  The AOS is delineated and marked on the ground by barrel lines.
•  The Security Council extended the mandate of the UNDOF in the Golan for six months until December 31, 1974 and requested the Secretary-General to ensure that the Force has the required capacity and resources to fulfil its mandate “in a safe and secure way”.
•  The mandate of UNDOF has been renewed every six months. The UNSC stressed that Israel and Syria are obliged to “scrupulously and fully respect” the terms of the 1974 Disengagement of Forces Agreement.

What is Golan Heights issue?

•  The Six-Day War was fought between June 5 and June 10, 1967, by Israel and the neighboring states of Egypt, Jordan, and Syria Between June 5 and June 10, Israel defeated Egypt, Jordan, and Syria and occupied the Sinai Peninsula, the Gaza Strip, the West Bank, East Jerusalem, and the Golan Heights. 
•  This occupation has resulted in the displacement of hundreds of thousands of Palestinians as well as Syrians.
•  The Golan Heights is a region in southwest Syria. Before the Israeli occupation, the Golan was home to over 140,000 Syrians, most of whom were driven out of their homeland and into Internally Displaced Persons (IDPs) status.  Most of the Syrian cities, towns and villages in the Golan were destroyed by Israeli occupation forces, who in turn have built illegal settlements despite all international condemnation.  Syria tried to regain Golan Heights in the 1973 Middle East war, but was thwarted. Israel and Syria signed an armistice in 1974 and the Golan had been relatively quiet since.
• On December 14, 1981, Israel annexed the Occupied Syrian Golan. The international community responded with Security Council Resolution, which unanimously called this move “null and void”. 
• Since then, every year the UN General Assembly passes a resolution titled “The Occupied Syrian Golan” which reaffirms the illegality of the Israeli occupation and annexation.  In 2000, Israel and Syria held their highest-level talks over a possible return of the Golan and a peace agreement. But the negotiations collapsed and subsequent talks also failed.

Indian Ocean Rim Association (IORA)

• Sanjiv Ranjan will be the next Secretary General of the Indian Ocean Rim Association (IORA), the Ministry of External Affairs said. He is an Indian Foreign Service officer of 1993 batch and is presently Officer on Special Duty in the Ministry.

What is the Indian Ocean Rim Association (IORA)?

• The Indian Ocean Rim Association (IORA) is an inter-governmental organisation formed in 1997 to foster regional economic cooperation. IORA has evolved into the peak regional group spanning the Indian Ocean. From its inception with 14 member states, the membership has expanded to 23 countries: Australia, Bangladesh, the Comoros, France, India, Indonesia, Iran, Kenya, Madagascar, Malaysia, Maldives, Mauritius, Mozambique, Oman, Seychelles, Singapore, Somalia, South Africa, Sri Lanka, Tanzania, Thailand, the United Arab Emirates and Yemen. 

 India is one of the founding members of IORA.

• IORA has 12 dialogue partners: China, Egypt, Germany, Italy, Japan, Turkey, Russia, Saudi Arabia, South Korea, the United Kingdom, the United States of America and the European Union.
• IORA became an observer to the UN General Assembly and the African Union in 2015.
• Decisions made within IORA are reached by consensus and commitments are undertaken on a voluntary basis.
• IORA’s apex body is the Council of Foreign Ministers (COM) which meets annually.
• The IORA Secretariat is based in Mauritius. It is headed by a fixed term Secretary-General.
• The Council of Ministers, on voluntary offer by Member States, elects a Chair of the Association for a period of two years. If there is no voluntary offer, the Chair is elected on the basis of geographical consideration.
• The incoming Chair is the Member State that served as the Vice-Chair of the Association during the term of office of the incumbent Chair.
•  Sri Lanka is the current Chair (2023-25) of IORA. India, currently Vice-Chair, will succeed Sri Lanka as Chair (2025-27).
• The role of the Chair is to arrange, coordinate, host and preside over the meetings of the Council, the meetings of the Committee of Senior Officials and any other meetings as mandated by the Council. IORA became an observer to the UN General Assembly and the African Union in 2015.
• The IORA Special Fund was established by the Council of Ministers in its meeting held in Colombo, Sri Lanka, August 2004. The Special Fund is a financial mechanism for supporting and complementing the funding of projects and programmes adopted by the Association, in line with the principles and objectives enshrined in the Charter as well as the objectives and goals envisaged by the relevant bodies of the Organisation.

Priority areas of IORA:

• i) Maritime Safety and Security
• ii) Trade and Investment Facilitation
• iii) Fisheries Management
• iv) Disaster Risk Management
• v) Academic, Science and Technology Cooperation
• vi) Tourism and Cultural Exchanges.

The Indian Ocean

•  As the third largest ocean woven together by trade routes, commands control of major sea-lanes carrying half of the world’s container ships, one third of the world’s bulk cargo traffic and two thirds of the world’s oil shipments, the Indian Ocean remains an important lifeline to international trade and transport.
• The ocean lies at the heart of the economic and civilisational impulses that stretch from the eastern and southern shores of Africa all the way up to Australia.
•  Home to nearly 2.7 billion people, member states whose shores are washed by the ocean are rich in cultural diversity and richness in languages, religions, traditions, arts and cuisines.
• They vary considerably in terms of their areas, populations and levels of economic development. They may also be divided into a number of sub-regions (Australasia, Southeast Asia, South Asia, West Asia and Eastern & Southern Africa), each with their own regional groupings (such as ASEAN, SAARC, GCC and SADC, to name a few). Despite such diversity and differences, these countries are bound together by the Indian Ocean. 
• India, being strategically located in the Indian Ocean Region with an extensive coastline and presence of several islands, has a long maritime tradition.
•  This has helped the country to forge deep rooted commercial, cultural and religious ties with countries in the region over centuries and evolve a vision that encompasses the interests of all.

Why keeping GST simple is getting increasingly difficult

• THE GST COUNCIL raised the tax rate on ready-to-eat popcorn to 18% in cases where it is mixed with sugar, thereby changing its character to sugar confectionary.

 Reversing the ‘Safari Retreats’ judgement

• IN THE SAFARI Retreats case, the Supreme Court had ruled that the meaning of the terms ‘plant or machinery’ and ‘plant and machinery’ in the CGST Act were different. The Court held that eligibility for input tax credit (ITC) depends on whether a building qualifies as a ‘plant’ based on its intended function, particularly when it is meant for leasing.
• However, the GST Council has proposed to amend the law retrospectively to replace the term ‘plant or machinery’ with ‘plant and machinery’ with the reasoning that the lawmakers always wanted to exclude immovable property from the definition of plant and machinery and hence block ITC availment. Reversing the law vitiates the industry’s trust in the fairness of the dispute resolution mechanism.
• The amendment would impact the industry wherein the taxpayers had hoped to recover ITC on the cost incurred on construction of building, basis the interpretation of classifying it as ‘plant’ as given by the apex court. A Group of Ministers (GoM) to re-evaluate these blocked credits is the need of the hour.

Hike in tax rates on sale of used vehicles, including EVs

• UNTIL NOW, SALE of a specific category of old and used cars (based on the engine capacity and length of the vehicle) including Electric Vehicles (EV) attracted 12% GST on the value that represents the margin of the used car dealer or reseller platform, which is basically the difference between the sale price and purchase price/ depreciated value of the vehicle on the date of sale.
• The GST Council has now recommended an increase in the GST rate from 12% to 18% for sale of used cars, including EVs. Even though the higher rate would be only on the margin, the impact on the EV segment would still be much larger. A concessional rate of 5% tax is prescribed for sale of a new EV vs the 18% rate on the sale of used EVs.

Caramelised popcorn & classifications

• THE GST COUNCIL raised the tax rate on ready-to-eat popcorn to 18% in cases where it is mixed with sugar, thereby changing its character to sugar confectionary. Remaining variants of popcorn with salt and spices will continue to attract 12% GST.
•  The decision, apart from increasing prices for consumers, would lead to interpretation issues for classifying variants such as salted caramelised popcorn. The question is not of popcorn alone but many other products which face such classification dilemmas; why single out a product when a GoM is examining the entire sector with a lens?
• The debate on the popcorn rate classification emphasises the need for  proper rate rationalisation for not only the food sector but other sectors too, since in practice, all face the popcorn rate classification-type conundrum.

Keeping ATF out of GST

• THE COUNCIL DECIDED TO keep Aviation Turbine Fuel (ATF) out of the GST ambit.
• ATF is one of the low-hanging fruits to begin extending the GST net to the oil sector, given it is used in the airline industry only and chances of leakage are minimum.
• Yet the states in the Council not only stepped away from examining this but did not accept a proposal to refer this to a GOM, a step which will further defer bringing the petroleum sector within the GST fold.

Fortified rice, gene therapy

• FORTIFIED RICE ATTRACTS a GST rate of 18% except when supplied for the central government’s Integrated Child Development Services or other similar schemes where a concessional rate of 5% is levied.
• The Council has now reduced the GST rate on fortified rice to 5% irrespective of its end-use.
• The decision to reduce the rate of GST from 12% to nil for CAR-T cell therapy is a relief for blood cancer patients given the prohibitive cost of such treatments.

Key unresolved issues

• OTHER DECISIONS THAT were deferred for want of further deliberations include that on restaurant supplies delivery via e-commerce operators, determination of tax liability for passenger transportation services through e-commerce operators in terms of different business models being adopted by the industry, intermediary services being considered to be brought under the residuary clause in terms of place of supply.
• Also , awaited are the reports by various GoMs, starting with the GoM on rate rationalisation, including the one on insurance rate structure which has been in the works for sometime now, besides those looking at rectifying inverted duty structures across multiple supplies and resolving classification disputes.

Year-End Review 2024: Transforming India’s digital landscape through strategic initiatives

• The Ministry of Electronics and Information Technology (MeitY) has implemented several landmark policy reforms and technological initiatives in 2024, reinforcing India’s position as a leader in digital governance and innovation.
• These efforts, aimed at enhancing governance, fostering innovation, and empowering citizens, represent significant strides in the country’s digital transformation journey.
• In a bid to improve security standards across the country, MeitY introduced an update to CCTV camera regulations in October 2024.
• The updated Comprehensive Regulatory Order (CRO) mandates that all CCTV cameras manufactured or sold in India meet stringent security standards.
• These include requirements for physical security, access control, network encryption, and penetration testing, with the objective of enhancing the quality and cybersecurity of surveillance systems.
• Additionally, in a significant move under the Information Technology Act, 2000, MeitY notified forensic science laboratories as official examiners of electronic evidence. This move, made possible by Section 79A of the IT Act, empowers expert agencies to provide opinions on electronic evidence in legal proceedings. Currently, 15 forensic labs are recognized, with others undergoing evaluation.
• MeitY’s Cyber Surakshit Bharat initiative is another key effort to enhance India’s cybersecurity framework.
• Through this initiative, the Ministry is bolstering the capabilities of Chief Information Security Officers (CISOs) and IT officials across government departments. Noteworthy training programs such as the CISO Deep-Dive Training Programme, held in April and September 2024, have trained over 250 participants. Furthermore, a specialized Cybersecurity Workshop in Kerala in November 2024 focused on training over 100 state officials to improve cyber defense measures.
• Aiming to empower traders and citizens, MeitY has facilitated welfare camps in collaboration with CSC e-Governance Services and CAIT.
• These camps provide access to vital social security schemes such as the National Pension System (NPS) and Pradhan Mantri SVANidhi. With nearly 6 lakh Common Service Centers (CSCs) across India, these camps help bridge the gap between rural communities and government services.
• MeitY also focused on capacity building, particularly through a program on AI and machine learning (ML) applications. In partnership with the Indian Institute of Management (IIM) Vishakhapatnam, the National e-Governance Division (NeGD) has trained government officers on implementing AI responsibly, while maintaining data privacy, security, and transparency in governance.
• India’s digital infrastructure has seen remarkable growth, with MeitY driving the country’s digital revolution.
• The National Data Centres (NDC), located in cities like Delhi, Pune, Bhubaneswar, and Hyderabad, are crucial in supporting the growing demand for cloud services.
• These centres, with storage capacity exceeding 100PB, provide cloud services to government ministries and state departments, ensuring data security and service continuity.
•  A new Tier-III NDC in Guwahati is under development, aimed at bridging the digital divide in India’s Northeastern region.
• The National Informatics Centre (NIC) has been instrumental in this transformation, with its National Cloud Services project providing cloud-based solutions for over 300 government departments. The MeghRaj initiative is central to this, as it facilitates the optimal use of IT infrastructure and accelerates the deployment of e-Government applications, from digital payments to consent-based data sharing.
• MeitY’s focus on Digital Public Infrastructure (DPI) continues to empower citizens through innovative services. Aadhaar, UPI, DigiLocker, and DIKSHA are key pillars of the country’s digital ecosystem. As of mid-2024, over 138 crore Aadhaar numbers have been generated, and 556.37 crore learning sessions have been completed through DIKSHA, the world’s largest education platform. The government has also facilitated 24,100 crore financial transactions through UPI, driving financial inclusion across India.
• Platforms like UMANG, which offers 2,077 government services, and MeriPehchaan, which processes over 132 crore transactions through National Single Sign-On (SSO), are simplifying access to public services. The e-Sign service has issued 81.97 crore e-signatures, providing citizens with a legally accepted alternative to physical signatures. API Setu, another key initiative, facilitates seamless data exchange across government systems, supporting over 312 crore transactions.
• The Common Services Centers (CSCs), which number over 5.84 lakh, have been pivotal in extending government services to rural areas.
•  At the gram panchayat level, 4.63 lakh CSCs have been actively delivering more than 800 services, ranging from education and financial services to telemedicine and government schemes.
• Looking forward, MeitY plans to continue shaping India’s digital future through several key initiatives. The government is focused on developing a robust semiconductor ecosystem, with plans to make India a global hub for semiconductor manufacturing through the Production-Linked Incentive (PLI) scheme.
• Alongside this, MeitY is committed to advancing AI development under the IndiaAI Mission, which will allocate substantial resources to AI research, infrastructure, and applications in sectors like healthcare, agriculture, and education.
• Further plans include expanding digital public infrastructure by enhancing platforms like Aadhaar, UPI, and DigiLocker, as well as strengthening cybersecurity efforts to safeguard the nation’s digital assets.
• With these initiatives, MeitY aims to ensure that India remains at the forefront of global digital transformation, empowering citizens and driving economic growth.