Rajya Sabha Video Summaries This monthly file contains all important summaries of RSTV videos

1st Dec. – 15th Dec.

"Summarizing important RSTV videos" (1st December-15th December)

Sr.

INDEX Title

Page No.

Economy 1

Standoff at WTO talks

3

2

RBI’s monetary policy review

3

3

Net neutrality

5

4

GST Anti - Profiteering Body

6

POLITY 5

Special courts to deal with tainted law makers

7

6

Importance of Legislatures

8

7

Simultaneous polls: Challenges and advantages

9

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"Summarizing important RSTV videos" (1st December-15th December)

ECONOMY Standoff at WTO talks

Link Context:  Eleventh World WTO ministerial conference concluded recently with ministers refusing to agree to even a declaratiolecting huge gap between the 164 members. Standoffs at WTO meet: What was the 11th WTO meeting was all about?  Over the last three conferences, regional trade groups are more powerful and multilaterisium per se is going down.  One day ago countries which used to talk about globalization are not talking about protectionism.  US failed to commit public stock holdings.  India committed to double farmers income by 2022.  Deal on fisheries subsidies is a great takeway.  India for safeguard to protect artisanal fisheries. What cause the impasse of WTO conference?  US has opposed about public stock holding.  There has been no declaration on e-commerce, trade facilitation, or services.  Major cause for the failure was new approach been taken to WTO by the President of United State of America.  The approach of the USA undergone a transformation towards bilateralism and greater protectionalisum.  Whereas, GATT stood for globalization and free and fair trade India’s concern on food security:  Most of the developing countries suffer from food security. So all countries should join together and form a forum to fight against food insecurity.  There is no cooperation not in WTO but in all institutions values have eroded.  Blue collar jobs have completely disappeared. Three take away from the WTO: 1- World is aligned against China. 2- E-Commerce now has capacity to disrupt world trade. Supply chain can be shifted through ecommerce. 3- Regional trade groups, coalition bilateral ties will take centre stage going forward. RBI’s monetary policy review Link Context: RBI maintains ‘neutral’ stance on monetary policy. Introduction:  The Monetary policy committee maintains status quo on policy rates .  RBI has not change repo rates.  Inflation target rose to 4.7% for H2FY-18.  RBI holds repo rate on inflation concern. Created with by ForumIAS.com – The Knowledge Network for Civil Services. Visit http//forumias.com New! http://forumiasacademy – Prelims & Mains Test Series

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"Summarizing important RSTV videos" (1st December-15th December)   

RBI keeps repo rate unchanged at 6 per cent. MDR cap to benefit debit cards transactions. If RBI control inflation at 4% it is good.

Reasons for not cutting rates:  Banks have their own problems like NPA.  They still have to keep their bottom and top lines.  Interest rates cut not been proportionately passed on the consumers by the Banks.  To control inflation.  Inflation is already controlling 4 per cent.  If inflation is more it will cheat larger number of people.  For having sustainable economic development, inflation has to be checked. Repo Rate and Reverse Repo Rate  Repo rate is the rate at which Banks can borrow from RBI.  Repo rate is the rate at which RBI lends to its clients generally against government securities.  Reduction in Repo rate helps the commercial banks to get money at a cheaper rate and increase in Repo rate discourages the commercial banks to get money as the rate increases and become expensive.  Reverse repo rate is the rate at which RBI borrows money from the commercial banks.  The increase in the Repo rate will increase the cost of borrowing and lending of the banks which all discourage the public to borrow money and will encourage them to deposit.  This increase in the Repo rate and reverse repo rate is a symbol of tightening of the policy.  As the rates are high the availability of credit and demand decreases resulting to decrease in inflation. What constitutes cost of a bank? Bank rates comprise: 1- Rate of interest which they give on savings Banks. 2- Fixed deposits. 3- Negative carry for example 4 per cent to be kept RBI for all deposits. 4- Adding the margins. 5- Average cost of banks is 6 per cent. 6- Any capital decision has to be based on financial decisions. What is Merchant Discount Rate?  RBI has taken this decision for digital payments.  Move towards digital India.  The rate charged to a merchant by a bank for providing debit and credit card services.  The rate is determined based on factors such as volume, average ticket price, risk and industry.  The merchant must set up this service with a bank, and agree to the rate prior to accepting debit and credit cards as payment.

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"Summarizing important RSTV videos" (1st December-15th December) Net neutrality Link Context:  India’ telecom authority has published recommendations strongly backing net neutrality bringing the country step closer of what could be the world’s most progressive policy on equal access to internet for all. Introduction:  This is in sharp contrast to current affords in US to reserve net neutrality rule introduction by former President Barack Obama. What is net neutrality?  Network neutrality is the principle that all Internet traffic should be treated equally.  Internet traffic includes all of the different messages, files and data sent over the Internet, including, for example, emails, digital audio files, digital video files, etc.  Net neutrality means service providers must treat all traffic equally and not charge differently based on content.  Users should be able to access all websites at same speed and cost.  The term was coined by Columbia University media law professor Tim Wu in 2003 as an extension of the longstanding concept of a common carrier, which was used to describe the role of telephone systems.  Net neutrality is the principle that Internet service providers must treat all data on the Internet the same and not discriminate or charge differently by user, content, website, platform, application, type of attached equipment, or method of communication.  Under these principles, internet service providers are unable to intentionally block, slow down or charge money for specific websites and online content. TRAI’s recommendations and net neutrality debate on unconnected features:  On 8 February 2016, the Telecom Regulatory Authority of India (TRAI) banned differential pricing of data services.  In March 2015, the TRAI released a formal consultation paper on Regulatory Framework for Overthe-top (OTT) services, seeking comments from the public.  Violations of net neutrality have been common in India.  Net neutrality as a technological principle and the idea of common carriage.  TRAI backs free data in non-discriminatory way.  In Feb 2016, TRAI barred some platform. These platforms allowed free access to select websites.  Operators should not interfere with source, destination.  For a telecom provider there are two types of markets. One side reaches out to consumers. Other potential market is content providers.  Content providers should be charged at different rate.  Net neutrality principle is that different content providers should not operate Arguments against net neutrality:  Network, neutrons behaviour is unpredictable.  There is no standard pattern.  Net neutrality checks profiteering. Created with by ForumIAS.com – The Knowledge Network for Civil Services. Visit http//forumias.com New! http://forumiasacademy – Prelims & Mains Test Series

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"Summarizing important RSTV videos" (1st December-15th December) Issue of differential data pricing is a cause of concern:  Whether consumers can be changed based on source, content and type they consume. GST Anti - Profiteering Body Link Context:  The Government has set up the National Anti-profit sharing authority, mid report, that some companies particularly restaurants not passing benefits of goods and services tax reduction on to the consumers. About Authority:  Badri Narain Sharma is appointed as its chairman.  The Authority is appointed for a period of two years.  The Authority will be responsible to ensure that the benefits input credits and reduction of GST cut rates on specified goods and services passed on to consumers by the way of reduction in prices.  The finding of this body can be challenged in court. Role of GST Anti-profiteering body:  After introduction of GST, prices of cigarettes came down, and then government increased Cess on cigarettes to mop up reduction in prices. It clearly shows that when GST eliminates the cascading of taxes, the prices actually came down.  Normal competition between traders and companies should have brought the prices down. But this if such competition not work, we have already have mechanisms to deal with it like Competition Commission of India (CCI).  Industry and trade are two factors can be blame for passing possible reduction in prices to consumers.  Before GST came consumers have no transparency as to what is the exact amount of the prices he is paying.  GST removed the cascading of taxes.  As compare to the earlier situation.  GST brought clarity to tax regime  Input the credit has suffocated.  What are the sections responsible for not passing benefits to consumers?  There are 50 items in 28% category and majority of items are in 12 or 18% category.  FMCGs failed to pass on price cut. Conclusion:  New authority must play the role of guardian. It will send a clear signal to industry and trade the cut prices to the consumers otherwise it will have the problem.

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"Summarizing important RSTV videos" (1st December-15th December)

POLITY Special courts to deal with tainted law makers Link Context:  In an important decision to put an end to the inordinate delay in the prosecution of politicians and criminal cases, the Centre has decided to set up Special Courts to deal with cases exclusively against MP and MLAs, and dispose them within a year.  The Centre’s decision will a body blow for politicians who despite facing criminal charges has state in Parliament because of delay in trying them.  The Centre decided to set up 17 special courts within a year time frame.  167 cases require one judge realized by the government. What is special court?  A special court is a court with limited jurisdiction, that deals with a particular field of law rather than a particular territorial jurisdiction. Benefits of setting special courts:  The legislature has introduced special courts on many occasions through various laws, usually with the intention to enable quick and efficient disposal of cases.  To ensure effective trial and that have powers of district or sessions courts. Government’s decision to set up special courts to deal with tainted lawmakers:  The issue of tainted lawmakers is important issue because these are law makers which are supposed to frame legislations, lay down policies, and be the leaders What are the reasons for delay in justice delivery?  Lack of quality judges.  Huge backlog of cases.  Less science and technology in investigating methods.  Shortage of judges.  Pendency of cases is a major problem.  Poor quality or complete absence of data remains a major concern for this study. Loopholes in setting special courts:  This is on temporary basis not a permanent solution.  Regular courts will suffer.  It cannot be a long term solution.  The objective of special courts has been unclear.  It is not very revealing whether specific legislations which provide for special courts necessarily intend quick disposal of cases. Solutions:  Need to focus on speedy justice delivery system.  Commercial courts were also step up to deal with matters of commercial nature. Pre litigations and mediations is also a good solution.  Quick and time bound system is required. Created with by ForumIAS.com – The Knowledge Network for Civil Services. Visit http//forumias.com New! http://forumiasacademy – Prelims & Mains Test Series

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"Summarizing important RSTV videos" (1st December-15th December) 

Robust justice delivery system.

Conclusion  The provision to set up special courts is a welcome step we need to make on long term and permanent solution to deal with pendency of cases and for better justice delivery system for a healthy democracy.  Although this is a welcome step by the government of India but there are lots of other issues apart from tainted law makers like women’s safety. Special courts cannot take place on the regular dispensation. This is an issue for several years.

Importance of Legislatures Link Context:  Vice President of India and chairman of Rajya Sabha Venkaiah Naidu made some important observations on the performance of legislatures, challenges and way forward to improving the functioning of Parliament and other legislatures in our country.  He was addressing a public lecture on importance of legislatures. Take ways from his speech: There are some issues he raised during his speech: Controversy areas:  Quorum is not the responsibility of rulings party. All political parties have to make sure that quorum should be there for legislative business to be passed.  Where the judiciary role should start and end because balance of power gets disturbed if judicial overreach seen too much.  Strengthening research in improving the quality of debate.  He also made some important remarks on functioning of state legislatures. Minimum number of days on which legislature should meet need some consensus. Issue of Disruption:  Disrupters should be notified.  Automatic suspension of members. Issue of perception in general public:  People generally think parliament only works when session is on. But they don’t realize what is really happening as other time as well.  Parliament also works when it is not in session through the standing committees. Suggestions made by him:  Parliament should work for more number of days.  He stressed on functioning of standing committees.  He also suggested quality of debates.  He talked about various other issues on legislations and also stressed women participation.  Stressed on women reservation in legislations. Parliamentary committees: Standing committees:  A Standing Committee is a committee consisting of Members of Parliament. Created with by ForumIAS.com – The Knowledge Network for Civil Services. Visit http//forumias.com New! http://forumiasacademy – Prelims & Mains Test Series

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"Summarizing important RSTV videos" (1st December-15th December)    

It is a permanent and regular committee which is constituted from time to time according to the provisions of an Act of Parliament or Rules of Procedure and Conduct of Business. The work done by the Indian Parliament is not only voluminous but also of a complex nature, hence a good deal of its work is carried out in these Parliamentary Committees. These committees are mini parliament. Need to make these committees more effective in nature.

Way ahead:  Legislatures should seat for more number of days.  Increasing the number of sittings.  Legislatures are most important forums where people’s problems are discussed. Therefore, legislatures should hold more number of sittings.  Smooth running of the house  There should not be any disruption of Parliament.  Largest tenure for Parliamentarians on committees. Currently they are holding one year tenure only. They will be able to hold expertise on subject and hold government accountable in much more effective manner.  MP’s need better research and support.  Recommendations by standing committees are recommendatory in nature. This need to be examined.  Automatic suspension for violation of rules. Conclusion:  For future of our democracy and for multiparty democracy. Mandates need to be understood in correct perspective. Simultaneous polls: Challenges and advantages Link Context: Joint polls for Lok Sabha and State assemblies simultaneously. Introduction:  The Prime Minister Narendra Modi recently asked all political parties to work out consensus on simultaneous elections to Lok Sabha and State assemblies.  He made suggestions at the meeting of various representatives of parties at customary session meeting at Parliamentary house.  PM mooted the idea on several occasssions on holding the simultaneous polls. India’s experience as far as simultaneous elections are concerned:  This problem was envisaged by founding fathers of our Constitution by the drafting committee.  Constitution provides every government have five year term. Advantages and Challenges of holding simultaneous elections: Arguments against:  States have played a great role in development of India.  Holding simultaneous elections is not compatible with the Indian situation.  It will lead to wastage of time, energy, and efficiency. Created with by ForumIAS.com – The Knowledge Network for Civil Services. Visit http//forumias.com New! http://forumiasacademy – Prelims & Mains Test Series

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"Summarizing important RSTV videos" (1st December-15th December)      

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It will lead to wastage of resources. If assemblies get dissolved earlier, simultaneous elections will not be practicable. It will violate the basic structure of the Constitution of India. There are various judgment of the Supreme Court on the same. It will be against the federal structure of the Constitution. PM Modi mooted the idea on several occasions arguing that continuing cycle of holding elections obstructs government’s work due to enforcement of model code of conduct and deployment of officials on election duty. The proposal will lead to ending the existing assemblies in midway and by that there will be lot of problem in basic structure of the Constitution.

Arguments in favour:  Holding simultaneous elections will lead to better use of time and resources.  It will lead to more efficiency.  Better use of manpower.  Model Code of Conduct being implemented for limited time.

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