3. Key features of the RCEP:

• Economic Scope: RCEP is the largest free trade agreement in the world in terms of economic significance. It covers a vast region, comprising approximately 30% of the global population and accounting for about 30% of the world's GDP. This agreement aims to promote economic integration and facilitate trade and investment among member countries.
• Tariff Reductions and Market Access: RCEP seeks to eliminate or reduce tariffs and other trade barriers among its member nations. This reduction in trade barriers is expected to create more opportunities for businesses to access larger markets and promote economic growth.
• Rules of Origin: RCEP establishes rules of origin to determine the country of origin of goods. This is crucial to prevent non-member countries from benefiting from the preferential trade provisions and ensures that only products manufactured within the RCEP member countries can avail of the agreed-upon trade benefits.
• Trade in Services: The agreement also addresses trade in services, promoting greater access and liberalization in sectors such as telecommunications, finance, professional services, and e-commerce, among others.
• Intellectual Property Rights: RCEP includes provisions related to the protection of intellectual property rights, which is important for fostering innovation and creativity within member countries.
• Investment: The agreement aims to improve investment opportunities and create a more predictable and secure investment environment among member countries. This includes provisions related to investor-state dispute settlement (ISDS) mechanisms.
• Economic Cooperation: RCEP promotes economic cooperation in various areas, such as customs procedures, trade facilitation, technical barriers to trade, and economic and technical assistance for less-developed member countries.

4. Outstanding issues in RCEP

• Tariff Reductions: Agreeing on tariff reduction schedules is another significant challenge. Each member country may have different priorities and sensitivities regarding the products they want to protect or liberalize. Negotiating tariff reductions requires balancing the interests of all parties involved to achieve a mutually beneficial outcome.
• Services and Investment: The liberalization of trade in services and investment is a contentious issue in many trade agreements. RCEP member countries have different levels of development and varying domestic regulations. Negotiating how much to open up services and investment sectors to foreign participation while safeguarding national interests can be challenging.
• Intellectual Property Rights: Balancing intellectual property rights protection with access to affordable medicines and technologies is a delicate matter. RCEP countries need to find a middle ground that promotes innovation while ensuring access to essential medicines and technologies for their populations.
• Investor-State Dispute Settlement (ISDS) Mechanism: The inclusion of ISDS in trade agreements has been a contentious issue globally. RCEP member countries need to agree on the scope and limitations of ISDS to protect investor rights while safeguarding the government's right to regulate in the public interest.
• Data Protection and E-commerce: With the increasing importance of digital trade and e-commerce, addressing data protection, privacy, and cross-border data flows is a crucial issue for RCEP members. Negotiating agreements on these issues requires balancing economic interests with the need to protect individual privacy and national security.

5. Concerns of India Including Civil Society, and Political Opposition regarding RCEP:

• Impact on Domestic Industries: India's domestic industries have expressed concerns that the Regional Comprehensive Economic Partnership (RCEP) could lead to increased competition for goods and services imported from other member countries. There are fears that cheaper imports could negatively affect certain sectors, potentially leading to job losses and economic challenges for domestic industries.
• Trade Deficit: India has had a persistent trade deficit with several RCEP member countries, especially China. Critics worry that the agreement may exacerbate the trade imbalance, leading to an influx of cheaper Chinese goods that could further widen the deficit and harm domestic manufacturing.
• Agriculture Sector: India's agricultural sector has raised concerns over the potential impact of RCEP on farmers. They fear that cheaper agricultural imports from other member countries could harm domestic farmers by reducing the prices and competitiveness of Indian agricultural products.
• Impact on Small and Medium Enterprises (SMEs): Small and Medium Enterprises (SMEs) form a significant part of India's economy. Some worry that increased competition from larger corporations in other RCEP member countries might pose challenges for Indian SMEs, limiting their growth prospects.
• Safeguarding Agriculture and Dairy: India's dairy and agricultural sectors have been vocal about protecting their interests in any trade agreement. They fear that certain provisions in RCEP could adversely affect the livelihoods of farmers and the dairy industry.

6. Why did India withdraw from the RCEP?

The following are the three main reasons for India's withdrawal from RCEP:

• The free trade agreement with the member countries might force them to dump cheap and low-quality products from countries like China, Thailand, South Korea, and Japan, etc., This will result in the occupation of the Indian market by foreign products while the Indian products will be out of the market.
• It will increase the number of imports and exports simultaneously, resulting in a decrement in the forex reserves in India.
• India's concern about its country of origin has not been seriously entertained by the RCEP.

For Prelims: Regional Comprehensive Economic Partnership (RCEP), Association of Southeast Asian Nations (ASEAN), Investor-state dispute settlement (ISDS) mechanism, and Small and Medium Enterprises (SMEs). For Mains: 1. Discuss the significance of the Regional Comprehensive Economic Partnership (RCEP) as a major free trade agreement in the Asia-Pacific region. Analyze its potential impact on trade, investment, and economic cooperation among member countries. (250 words).

 

Previous year Questions 1. The term 'Regional Comprehensive Economic Partnership; often appears in the news in the context of the affairs of a group of countries known as (UPSC 2016) A. G20 B. ASEAN C. SCO D.SAARC Answer: B   2. Consider the following statements about Regional Comprehensive Economic Programme (RCEP). (WBCS 2019) 1. It is an economic cooperation for China-led free trade. 2. It is a counter-cooperation for the America-led trans-Pacific partnership. 3. In the countries involved in this cooperation Indian Professionals will have a job market. Select the correct answer using the codes given below: A. 1 and 2 B. 1 and 3 C. 2 and 3 D. All of the above Answer: D   3. Recently launched Regional Comprehensive economic partnership, RCEP is the largest regional trading block at present. Which of the following countries is NOT a member of this free trade agreement? (Haryana Civil Services, 2021) A. Australia B. New Zealand C. Brunei D. Bangladesh Answer: D

Source: The Indian Express

 

 

INSURANCE REGULATORY DEVELOPMENT AUTHORITY OF INDIA (IRDAI)

 

1. Context

The Insurance Regulatory and Development Authority of India (IRDAI) has imposed a penalty of ₹1 crore on Reliance General Insurance Company for violation of certain regulations, including those related to outsourcing of activities and payment of commission, besides corporate governance guidelines.

2. Insurance Regulatory Development Authority of India (IRDAI)

• The Insurance Regulatory and Development Authority of India or the IRDAI is the apex body responsible for the regulation and development of the insurance industry in India.
• It is an autonomous body.
• It was established by an act of Parliament known as the Insurance Regulatory and Development Authority Act, of 1999. Hence, it is a statutory body.

3. IRDA Functions

• Its primary purpose is to protect the rights of the policyholders in India.
• It gives the registration certificate to insurance companies in the country.
• It also engages in the renewal, modification, cancellation, etc. of this registration.
• It also creates regulations to protect policyholders interests in India.

4. What does the new IRDAI rule say?

• IRDAI has asked insurance companies, including life and non-life, to fix an overall cap on commission to agents, brokers, and other intermediaries, giving more flexibility to insurers in managing their expenses.
• This means the regulator has replaced the earlier cap on different commission payments to various types of intermediaries with an overall board-approved cap which should be within the allowed expenses.

5. What is the Objective?

The rationale of the regulation is to enable and provide flexibility to the insurers, both life and general insurers to manage their expenses within the overall limits based on their gross written premium to optimally utilize their resources for enhancing benefits to policyholders.

6. How will this move benefit insurance companies and agents?

• The insurance sector participants have welcomed the change in the regulation and termed it a major reform.
• They said the removal of the cap on commission payments will positively impact the sector.
• Currently, the limit of EOM in the general insurance business is 30 percent, and in health insurance is 35 percent.
• The insurance companies are paying insurance intermediaries a commission of 15 percent of the total premium business they are bringing in.
• The new regulation has removed the cap. However, the overall limit of EOM will remain.
• With the new regulations, an insurance company can pay a higher commission to an agent if the business brought in is good and claim-free.
• The liberty to give a commission to an agent is left to the company.
• The new norms will facilitate greater product innovation and the development of new product distribution models and lead to more customer-centric operations.
• It will also increase insurance penetration and provide flexibility to insurers in managing their expenses. Overall, it will smoothen adherence to compliance norms.

7. What benefit will consumers get?

• Post the changes in regulations, insurance agents are likely to be more interested in selling insurance products and explaining policy details to consumers beforehand.
• The claim ratio of these agents will also be better.
• When claim outgoes are within the overall manageable limit, an insurance company may not increase the premium, which will be beneficial for consumers.
• This move will also help in increasing insurance penetration as agents will get higher commissions.
• IRDAI said the regulation will come into force from April 1, 2023, and will remain in force for a period of three years thereafter. 

8. What do Expenses of Mangement mean?

• Expenses of Management (EOM) include all expenses in the nature of operation expenses of general or health Insurance business and commission to the insurance agents or insurance intermediaries.
• It also includes commission and expenses on reinsurance inward, which are charged to the revenue account.

For Prelims

For Prelims: Insurance Regulatory Development Authority of India (IRDAI), Insurance Regulatory and Development Authority Act, of 1999, and Expenses of Management (EOM).

Source: The Indian Express

 

Previous year Question

 

1. The Insurance Regulatory and Development Authority (IRDA) Act was passed in the year? (TNPSC Group -1, 2014) A. 1986 B. 1991 C. 1999 D. 2005 Answer: B   2. IRDAI has set up a panel under whose chairmanship to examine the need for standard cyber liability insurance product? (CGPSC Civil service 2020) A. Pravin Kutumbe B. P. Umesh C. K. Ganesh D. T. L. Alamelu Answer: B

 

 

FOREIGN DIRECT INVESTMENT (FDI)

 

 

1. Context

FDI inflows into India are expected to register robust growth in 2026, supported by strong macroeconomic fundamentals, big-ticket investment announcements, sustained efforts to improve the ease of doing business, and a new generation of investment-linked trade pacts.

 

2. FDI in India

• India's net foreign direct investment (FDI) inflows experienced a decline, decreasing by nearly 31% to $25.5 billion during the first 10 months of the 2023-24 fiscal year. The Finance Ministry attributed this decline to a broader trend of slowing investments in developing countries, while expressing optimism for a potential increase in investments in the current calendar year.
• Although global FDI flows overall saw a 3% rise to approximately $1.4 trillion in 2023, economic uncertainty and elevated interest rates impacted global investment, resulting in a 9% decrease in FDI flows to developing nations, as outlined in the Ministry's February assessment of economic performance.
• Reflecting the global trend of reduced FDI flows to developing countries, gross FDI inflows to India also experienced a slight decline, from $61.7 billion to $59.5 billion during the period from April 2023 to January 2024. In terms of net inflows, the corresponding figures were $25.5 billion versus $36.8 billion. The decrease in net inflows was primarily attributed to an increase in repatriation, while the decline in gross inflows was minimal.
• While a modest uptick in global FDI flows is anticipated for the current calendar year, attributed to a decrease in inflation and borrowing costs in major markets that could stabilize financing conditions for international investment, significant risks persist, according to the Ministry. These risks include geopolitical tensions, elevated debt levels in numerous countries, and concerns regarding further fragmentation of the global economy

 

3. Foreign Direct Investment (FDI)

Foreign Direct Investment (FDI) refers to the investment made by individuals, businesses, or governments from one country (the home country) into another country (the host country) with the objective of establishing a lasting interest or significant degree of influence in the foreign business or enterprise

Key Aspects:

• FDI involves the transfer of funds and resources from one country to another. This capital inflow can help stimulate economic growth in the host country by providing funds for investment in infrastructure, technology, and other areas.
• FDI often leads to the creation of jobs in the host country. When foreign companies establish subsidiaries or invest in existing businesses, they typically hire local employees, which can help reduce unemployment and improve living standards
• Foreign investors often bring advanced technologies, processes, and management practices to the host country. This technology transfer can enhance the host country's productivity, competitiveness, and industrial capabilities
• FDI can provide access to new markets for both the host country and the investing company. Foreign investors can tap into the host country's consumer base, while the host country gains access to the investing company's global distribution networks.
• FDI can contribute to overall economic development in the host country by promoting industrialization, improving infrastructure, and fostering innovation and entrepreneurship.

4.FDI Routes in India

India has several routes through which Foreign Direct Investment (FDI) can enter the country. These routes are regulated by the Reserve Bank of India (RBI) and the Department for Promotion of Industry and Internal Trade (DPIIT), and they define the conditions, limits, and sectors in which FDI is allowed

1. Automatic Route: Under the automatic route, FDI is allowed without the need for prior approval from the RBI or the government. Investors only need to notify the RBI within a specified time frame after the investment is made. This route is available for most sectors, except those that are prohibited or require government approval.

2. Government Route: In sectors or activities that are not covered under the automatic route, FDI requires government approval. Investors must apply for approval through the Foreign Investment Facilitation Portal (FIFP) or the Foreign Investment Promotion Board (FIPB), depending on the sector.

4.1. Examples

• Under the automatic route, FDI of up to 100% is allowed for manufacturing of automobiles and components.
• For the manufacturing of electric vehicles (EVs), 100% FDI is allowed under the automatic route.
• In single-brand retail trading, 100% FDI is allowed, with up to 49% allowed under the automatic route. Beyond 49%, government approval is required.
• Multi-brand retail trading (supermarkets and department stores) with FDI is permitted in some states, subject to certain conditions and restrictions. The FDI limit is typically capped at 51%.
• FDI in the insurance sector is allowed up to 74%, with up to 49% under the automatic route. Beyond 49%, government approval is needed
• In the telecom sector, 100% FDI is allowed, with up to 49% under the automatic route. Beyond 49%, government approval is required
• In the defense sector, FDI up to 74% is allowed under the automatic route, with government approval required for investments beyond 49%
• In most segments of the media and broadcasting sector, including print and digital media, 100% FDI is allowed, with up to 49% under the automatic route

4.2.Sectors where FDI Prohibited

• FDI is prohibited in the atomic energy sector, which includes activities related to the production of atomic energy and nuclear power generation.
• FDI is generally prohibited in the gambling and betting industry, which includes casinos and online betting platforms
• FDI is not allowed in the lottery business, except for state-run lotteries
• FDI is prohibited in chit funds, which are traditional Indian savings and credit schemes.
•  Nidhi companies are non-banking finance companies (NBFCs) that facilitate mutual benefit funds. FDI is typically not permitted in these entities
• While FDI is allowed in single-brand retail trading, it is generally prohibited in multi-brand retail trading of agricultural products. Some states have allowed it under specific conditions, but this remains a highly regulated area.
• FDI is not allowed in the trading of transferable development rights (TDRs) pertaining to the construction of real estate

5. Foreign Portfolio Investors (FPIs)

Foreign Portfolio Investors (FPIs) refer to foreign individuals, institutions, or funds that invest in financial assets in a country, such as stocks, bonds, mutual funds, and other securities. FPIs are distinct from Foreign Direct Investors (FDIs), who typically make long-term investments in companies and assets to establish a lasting interest

Key Aspects:

• FPIs invest in a country's financial markets, primarily by buying and selling securities traded on stock exchanges and fixed-income instruments like bonds and government securities
• FPIs often seek to diversify their investment portfolios by spreading their investments across different asset classes, sectors, and countries. This diversification helps manage risk and enhance returns
• FPIs have the flexibility to buy and sell securities in the secondary market, providing liquidity to the market and contributing to price discovery
• FPIs typically have a shorter investment horizon compared to Foreign Direct Investors (FDIs). They may engage in short-term trading or hold securities for a few months to a few years.
• FPIs are subject to regulatory frameworks and restrictions in the countries where they invest. These regulations are designed to ensure that foreign investments do not pose undue risks to the local financial markets and economy.

6.Foreign Portfolio vs. Foreign Direct Investment

 

FPI (Foreign Portfolio Investment)	FDI (Foreign Direct Investment)
FPI involves the purchase of financial assets such as stocks, bonds, mutual funds, and other securities in a foreign country. These investments are typically made with the intention of earning returns on capital and do not result in significant control or ownership of the underlying businesses	FDI entails making an investment in a foreign country with the primary objective of establishing a lasting interest and significant control or influence over a business enterprise or physical assets. FDI often involves the acquisition of a substantial ownership stake (typically at least 10%) in a company or the establishment of new business operations.
FPI is generally characterized by a shorter investment horizon. Investors in FPI may engage in trading and portfolio rebalancing activities, and their investments are often more liquid. The focus is on earning capital gains and income from investments.	FDI is characterized by a longer-term commitment. Investors in FDI intend to engage in the day-to-day management or decision-making of the business, contribute to its growth and development, and generate profits over an extended period.
FPI investors typically have little to no influence or control over the companies in which they invest. They are passive investors who participate in the financial markets and rely on market dynamics to drive returns.	FDI investors actively participate in the management and decision-making of the businesses they invest in. They often seek to exercise control over company operations and strategy, which may include appointing board members or key executives.
FPI investments are often made through financial instruments like stocks, bonds, and securities. Investors may use instruments like mutual funds or exchange-traded funds (ETFs) to gain exposure to foreign markets	FDI investments involve a direct equity stake in a company, either through share acquisition or the establishment of a subsidiary or branch in the host country. FDI can also involve the purchase of real assets such as land, factories, or infrastructure
FPI can provide short-term capital inflows, but it may be more susceptible to market volatility and sudden capital outflows. It may not have as direct an impact on job creation and economic development as FDI.	FDI often contributes to long-term economic development by creating jobs, stimulating infrastructure development, transferring technology and expertise, and enhancing the competitiveness of local industries
FPI investments are subject to regulations that vary by country and may include foreign ownership limits, reporting requirements, and tax considerations.	FDI is subject to regulations that can be more stringent and may involve government approval, sector-specific conditions, and investment protection measures

 

 

 

 

For Prelims: Economic and Social Development-Sustainable Development, Poverty, Inclusion, Demographics, Social Sector Initiatives, etc For Mains: General Studies III: Indian Economy and issues relating to planning, mobilization, of resources, growth, development and employment

 

 

Previous Year Questions   1. Both Foreign Direct Investments (FDI) and Foreign Institutional Investor (FII) are related to investment in a country. (UPSC CSE 2011)   Which one of the following statements best represents an important difference between the two? A.FII helps bring better management skills and technology, while FDI only brings in capital B.FII helps in increasing capital availability in general, while FDI only targets specific sectors C.FDI flows only into the secondary markets, while FII targets primary market D.FII is considered to the more stable than FDI   Answer (B)

 

Source: indianexpress

 

 

RARE EARTH ELEMENTS

 

 

1.Context

 

Rare-earth elements are a set of metallic elements in the periodic table. Chemists usually refer to a group of 17 elements when they use this label: the 15 lanthanides from lanthanum to lutetium, and scandium and yttrium

 

2.About rare earth metals

 

Rare earth elements or rare earth metals are a set of 17 chemical elements in the periodic table  the 15 lanthanides, plus scandium and yttrium, which tend to occur in the same ore deposits as the lanthanides, and have similar chemical properties

 

The 17 rare earths are cerium (Ce), dysprosium (Dy), erbium (Er), europium (Eu), gadolinium (Gd), holmium (Ho), lanthanum (La), lutetium (Lu), neodymium (Nd), praseodymium (Pr), promethium (Pm), samarium (Sm), scandium (Sc), terbium (Tb), thulium (Tm), ytterbium (Yb), and yttrium (Y)

 

Despite their classification, most of these elements are not really “rare”. One of the rare earths, promethium, is radioactive

Source:Thermo Fisher Scientific

 

 

3.Applications of rare earths

• These elements are important in technologies of consumer electronics, computers and networks, communications, clean energy, advanced transportation, healthcare, environmental mitigation, and national defence, among others
• Scandium is used in televisions and fluorescent lamps, and yttrium is used in drugs to treat rheumatoid arthritis and cancer
•  Rare earth elements are used in space shuttle components, jet engine turbines, and drones
• Cerium, the most abundant rare earth element, is essential to NASA’s Space Shuttle Programme
• In recent years, rare earths have become even more important because there has been an increase in demand for green energy
• Elements like neodymium and dysprosium, which are used in wind turbine motors, are sought-after more than ever as wind mills across the world continue to grow
• Moreover, the push for switching from internal combustion cars to electric vehicles has also led to a rise in demand for rare earth magnets made from neodymium, boron, and iron and batteries

 

 4. China's export restrictions and impact on India

 

• China has imposed restrictions on the export of seven rare earth elements (REEs) — dysprosium, gadolinium, lutetium, samarium, scandium, terbium, and yttrium — which are part of the 17 REEs.
• The country dominates the global refining of heavy REEs, giving it substantial control over critical supply chains, ranging from consumer electronics to defense. Although these measures do not constitute a complete export ban, they may cause temporary supply disruptions, as exporters navigate the permit process.
• India may not face an immediate disruption due to these restrictions. Despite government efforts to enhance domestic manufacturing of semiconductors and defense systems, the more sophisticated phases of production largely take place abroad, particularly in China and Japan. Japan, in anticipation of such issues, has already built stockpiles to buffer against REE-related supply shocks.
• Recognizing the strategic importance of REEs, India is aware that it holds around 6% of global deposits. However, the country’s capacity for mining and refining is minimal, largely due to the environmental challenges associated with such operations.
• India does extract some light REEs through its state-run firm, Indian Rare Earths Ltd, including monazite from coastal sands in Kerala. Nonetheless, imports still play a role.
• According to a recent statement by the Ministry of Mines in the Lok Sabha, India imported approximately 2,270 tonnes of REEs in 2023–24. Consequently, the national approach involves a mix of increasing domestic output and maintaining import channels

 

5. Way Forward

 

To support the strategic use of essential resources such as rare earth elements, India has launched the National Critical Mineral Mission (NCMM). This initiative aims to strengthen the country’s supply chain for critical minerals by boosting domestic production and establishing alternative international supply partnerships. According to a presentation by the Ministry of Mines in January, global events like China’s export restrictions, the Russia–Ukraine conflict, and other geopolitical factors have exposed vulnerabilities in the global critical mineral supply, underscoring the urgency of diversifying sources.

As part of the NCMM, the Indian government plans to oversee or support around 1,200 mineral exploration projects. It also intends to offer exploration licenses to encourage private sector participation and conduct auctions for additional critical mineral blocks

 

 

For Prelims: Applications of rare earths, rare earth elements For Mains: 1.Europe’s largest known deposit of rare earth elements found in Sweden: Could the discovery change geopolitics?

 

Previous Year Questions   1.Recently, there has been a concern over the short supply of a group of elements called ‘rare earth metals’. Why? (2012) China, which is the largest producer of these elements, has imposed some restrictions on their export. Other than China, Australia, Canada and Chile, these elements are not found in any country. Rare earth metals are essential for the manufacture of various kinds of electronic items and there is a growing demand for these elements. Which of the statements given above is/are correct? (a) 1 only (b) 2 and 3 only (c) 1 and 3 only (d) 1, 2 and 3 Answer (c)

 

Source:indianexpress

 

 

CONSUMER RIGHTS

 

 

1. Context

 

Every year, National Consumer Rights Day is observed on 24th December to raise awareness about consumer rights and promote fair trade practices. In this context, let’s know about the history of this day and consumer rights in detail.

 

 

2. National Consumer Rights Day

 

• National Consumer Rights Day in India marks the coming into force of the Consumer Protection Act, 1986, which received the President’s assent on 24 December 1986. In recognition of this milestone, 24 December is observed every year as National Consumer Day.

• This historic law was enacted to protect the rights of consumers, establish an effective system for resolving complaints related to goods and services, and guarantee fair practices and access to justice in the marketplace.

 

3. Consumer Protection Act, 2019

 

• The Consumer Protection Act, 2019 superseded the Consumer Protection Act, 1986. It identifies offences such as the supply of incorrect or deceptive information about the quality or quantity of goods or services and the publication of misleading advertisements. The Act also lays down measures to be taken when goods or services are found to be unsafe, hazardous, or harmful.

• Section 2(28) of the Consumer Protection Act, 2019 explains a “misleading advertisement” as one relating to any product or service that:

  • (i) presents an untrue or incorrect description of the product or service; or

  • (ii) offers a false assurance or is likely to deceive consumers regarding the nature, composition, quantity, or quality of the product or service; or

  • (iii) communicates an implied claim which, if expressly stated by the manufacturer, seller, or service provider, would amount to an unfair trade practice; or

  • (iv) intentionally withholds material information.

• Section 21 of the Act outlines the enforcement powers of the Central Consumer Protection Authority (CCPA) against deceptive advertising. If, after inquiry, the CCPA concludes that an advertisement is false or misleading and prejudicial to consumer interests or violates consumer rights, it may direct the trader, manufacturer, advertiser, publisher, or endorser to withdraw or suitably alter the advertisement within a specified timeframe.

• The CCPA is empowered to levy a fine of up to ₹10 lakh and impose imprisonment up to two years on manufacturers or endorsers responsible for misleading advertisements. For repeated violations, the penalty may increase to ₹50 lakh, along with imprisonment up to five years. Additionally, the authority can prohibit endorsers from promoting any goods or services for up to one year, which may extend to three years for subsequent breaches of the Act.

 

 

4.  Government Guidelines on Misleading Ads

 

• In November last year, the Union government issued fresh norms to curb deceptive advertising by coaching institutes, barring exaggerated or false assurances such as “100% selection” or “guaranteed employment”. These rules were framed by the Central Consumer Protection Authority (CCPA) following a surge in complaints received through the National Consumer Helpline.

• As per the new framework, coaching institutions are barred from making misleading statements about the nature and length of courses, qualifications of faculty, fee details and refund terms, success rates and rankings in examinations, as well as promises of assured jobs or salary hikes.

• The guidelines clarify that the term “coaching” covers educational assistance, academic guidance, structured study programmes and tuition, while excluding counselling services, sports training, and creative or artistic pursuits.

• Coaching centres are not permitted to use the names, images, or endorsements of successful candidates unless explicit written permission is obtained after their selection. They are also required to clearly display disclaimers and fully disclose key course-related information in their advertisements.

 

 

5. Central Consumer Protection Authority (CCPA)

 

 

• The Central Consumer Protection Authority (CCPA) functions as India’s highest consumer regulatory body. It was constituted under Section 10(1) of the Consumer Protection Act, 2019 and started functioning on 24 July 2020.

• The Authority is responsible for overseeing violations of consumer rights, addressing unfair trade practices, and taking action against false or deceptive advertisements that harm the collective interests of consumers and the wider public.

• Powers and Functions of the CCPA include:

  (i) Safeguarding, advancing, and enforcing consumer rights as a collective and preventing their infringement under the Act;

  (ii) Curbing unfair trade practices and ensuring that individuals or entities do not indulge in such practices;

  (iii) Preventing the circulation of misleading or false advertisements for goods or services that violate the Act or related rules and regulations;

  (iv) Ensuring accountability of all parties involved in publishing deceptive advertisements;

  (v) Initiating complaints before Consumer Commissions and examining issues connected to the protection of consumer rights;

  (vi) Advising on the adoption of international agreements and standards relating to consumer protection;

  (vii) Encouraging consumer awareness and supporting research in the area of consumer rights;

  (viii) Providing guidance to Central and State governments and their departments on policies and measures aimed at consumer welfare.

 

 

6. Way Forward

 

Consumer rights form the backbone of a fair, transparent, and accountable market economy. With the enactment of the Consumer Protection Act, 2019 and the establishment of the Central Consumer Protection Authority, India has significantly strengthened its institutional and legal framework to protect consumers against unfair trade practices and misleading advertisements. These measures not only empower consumers with enforceable rights and effective grievance redressal mechanisms but also promote ethical business conduct. As markets become more complex and digitalised, continuous awareness, strict enforcement, and responsive regulation are essential to ensure that consumer welfare remains central to economic growth and good governance

 

 

 

 

For Prelims: Current events of national and international importance For Mains: General Studies II: Government policies and interventions for development in various sectors and issues arising out of their design and implementation

 

Previous Year Questions 1. Which of the following statements about the 'Consumer Protection Act 2019' is not true? (UGC NET 2020) A.It has widened the definition of consumer B.It provides for E-filing of complaints C.It establishes Central Consumer Protection Authority D.It ignores mediation as an alternate disputes resolution mechanism Answer (D)

Source: Indanexpress

 

ARAVALLI RANGE

 

 

1. Context

 

The Supreme Court (SC), in an order last month, settled on a uniform definition of the Aravalli hills and ranges, and paused the grant of fresh mining leases inside its areas spanning Delhi, Haryana, Rajasthan and Gujarat.

 

2. Significance of the Aravalli range

 

 

• Beyond being almost two billion years old and the oldest mountain system in India, these hills function as a vital ecological shield against the advance of desert conditions into the Indo-Gangetic plains.
• They act as a natural barrier slowing the eastward expansion of the Thar Desert into Haryana, Rajasthan, and western Uttar Pradesh. The range plays a crucial role in climate regulation, biodiversity conservation, and groundwater replenishment.
• Extending roughly 650 km from Delhi to Gujarat, it supports key water-recharge networks and gives rise to major rivers such as the Chambal, Sabarmati, and Luni.
• The region is abundant in building stones like sandstone, limestone, marble, and granite, as well as minerals including lead, zinc, copper, gold, and tungsten.
• Although these resources have been extracted for centuries, the last forty years have seen rampant stone and sand quarrying, leading to declining air quality and a sharp reduction in groundwater recharge.
• Part of this mining activity has occurred unlawfully. The Court also observed that India has international obligations under the United Nations Convention to Combat Desertification to safeguard fragile ecosystems like the Aravalli range

 

3. Geological & Physical Features of Aravalli

 

• The Aravalli Range is one of the oldest fold mountain systems in the world, with its geological origins dating back nearly two billion years to the Precambrian era.
• Unlike young fold mountains such as the Himalayas, the Aravallis have undergone extensive weathering and erosion over millions of years, which has reduced them to a series of low-lying hills, ridges, and rocky outcrops rather than sharp peaks.
• This long geological history makes the range a valuable record of early crustal evolution and ancient tectonic processes on the Indian subcontinent.
• Geologically, the Aravallis are composed primarily of metamorphic and igneous rocks, including quartzite, schist, gneiss, marble, and granite. These rock formations are part of the Aravalli–Delhi orogenic belt, which was formed due to ancient tectonic collisions and crustal movements.
• The presence of economically significant minerals such as copper, lead, zinc, gold, and tungsten reflects the complex geological processes that shaped the region. Over time, repeated uplift and denudation exposed these mineral-rich formations at the surface, making the range an important mining zone historically.
• Physically, the Aravalli Range stretches for about 650 kilometres in a south-west to north-east direction, beginning near Palanpur in Gujarat and extending through Rajasthan to Haryana and Delhi.
• The range is discontinuous in nature, with broken hill chains and isolated ridges rather than a continuous mountain wall. Its highest peak is Guru Shikhar in the Mount Abu region of Rajasthan, rising to about 1,722 metres above sea level.
• Moving northwards, the height of the range gradually declines, merging into low hills and rocky terrain around Delhi.
• The Aravallis play a significant role in shaping the physical geography of north-western India. Acting as a natural climatic divide, they influence rainfall patterns by intercepting south-west monsoon winds to a limited extent and preventing the unchecked eastward expansion of the Thar Desert.
• The range also forms an important watershed, giving rise to several seasonal and perennial rivers such as the Chambal, Sabarmati, Luni, and Banas.
• The fractured and porous nature of its rock formations allows rainwater to percolate underground, contributing substantially to groundwater recharge in an otherwise semi-arid region

 

4. What is the “100-metre definition” of Aravalli Hills?

 

• The “100-metre definition” of the Aravalli Hills refers to an administrative and legal criterion used—especially in environmental regulation and court proceedings—to identify and protect the Aravalli region.
• Under this definition, any area that rises more than 100 metres above the surrounding plain is treated as part of the Aravalli hill system, irrespective of whether it is a prominent mountain, ridge, or a low, eroded hill. In other words, even subtle elevations and fragmented hillocks that meet this height threshold are classified as Aravalli features.
• This definition became important because the Aravallis are very old and heavily eroded, meaning many sections no longer appear as classic mountains. If protection were limited only to visibly high or continuous hills, large portions of the range—especially in Haryana, Rajasthan, and the Delhi-NCR region—would fall outside legal safeguards.
• The Supreme Court and various environmental authorities have relied on the 100-metre criterion to prevent mining, construction, and land-use change in ecologically sensitive areas of the Aravalli range.
• By using a measurable elevation benchmark rather than appearance alone, the definition helps expand environmental protection to degraded and fragmented parts of the hills

 

5. Supreme Court Intervention and Uniform Definition

 

 

• The Supreme Court’s intervention in the Aravalli region arose from growing concerns over rampant mining, construction, and land-use changes that were degrading this fragile and ancient mountain system.
• One of the core problems identified by the Court was the absence of a uniform and scientifically grounded definition of the Aravalli Hills.
• Different States and authorities were using varying criteria—based on revenue records, forest classification, or visual identification—allowing large tracts of the Aravallis to be excluded from protection and opened up for exploitation.
• To address this ambiguity, the Supreme Court emphasised the need for a uniform definition applicable across States, particularly Rajasthan, Haryana, and Delhi, where the Aravallis are most fragmented and vulnerable.
• The Court endorsed an objective, elevation-based approach, popularly referred to as the “100-metre definition”, under which land rising more than 100 metres above the surrounding plains would be treated as part of the Aravalli hill system.
• This was intended to ensure that even low, eroded, or discontinuous hill formations, which are characteristic of the Aravallis due to their great geological age, are brought within the protective framework.
• Through its interventions, the Supreme Court also linked the protection of the Aravallis to India’s international environmental obligations, particularly under the UN Convention to Combat Desertification (UNCCD).
• The Court observed that the degradation of the Aravalli range could accelerate desertification in north-western India and undermine groundwater recharge, air quality, and regional climate stability.
• Consequently, it directed governments to adopt a consistent and precautionary approach in identifying, mapping, and regulating activities in the Aravalli region

 

6. Action against mining

 

• Since the early 1990s, the Union Environment Ministry has framed regulations permitting mining only in projects that receive official approval, but these safeguards have been widely disregarded.
• In response to persistent violations, the Supreme Court intervened in 2009 and enforced a complete ban on mining activities in Haryana’s Faridabad, Gurugram, and Mewat districts.
• More recently, in May 2024, the Court halted the issuance and renewal of mining leases across the Aravalli range and instructed its Central Empowered Committee (CEC) to carry out an in-depth review. This exercise culminated in a set of recommendations submitted in March 2024.
• The CEC advocated a holistic strategy that called for scientifically mapping the entire Aravalli system across States, conducting a broad-scale environmental impact assessment of mining operations, and enforcing an absolute ban on mining in ecologically fragile zones.
• These included wildlife-protected areas, water bodies, tiger corridors, critical groundwater recharge regions, and locations within the National Capital Region.
• The Committee also stressed the need for tighter controls over stone-crushing units and advised that no fresh mining permissions or lease extensions be granted until comprehensive mapping and impact studies were completed.
• The Supreme Court incorporated these recommendations in its order issued in November 2025.
• In addition, in June 2025, the Union government launched the Aravalli ‘Green Wall’ initiative, aimed at increasing vegetation cover in a five-kilometre buffer zone around the range across 29 districts in Gujarat, Rajasthan, Haryana, and Delhi.
• According to the government, this programme is expected to make a significant contribution towards the restoration of 26 million hectares of degraded land by the year 2030.

7. Way Forward

 

 

The Court observed that earlier instances demonstrate how absolute prohibitions frequently give rise to illegal mining networks, aggressive sand mafias, and uncontrolled resource extraction. Consequently, instead of enforcing a complete shutdown, the Court adopted a balanced strategy—allowing lawful mining operations to proceed under strict oversight, placing a temporary halt on new mining activities until a science-based framework is developed, and keeping ecologically critical zones permanently closed to mining

 

 

For Prelims: Aravalli ranges, UN Convention to Combat Desertification (UNCCD)   For Mains: GS I - Indian Geography

 

 

Source: The Hindu

 

SUSTAINABLE HARNESSING AND ADVANCEMENT OF NUCLEAR ENERGY FOR TRANSFORMING INDIA (SHANTI) ACT

 

 

1. Context

 

Parliament has brought into force the Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act which repeals legislation that governs nuclear activity — the Atomic Energy Act, 1962, and Civil Liability for Nuclear Damage (CLND) Act, 2010.

 

 

2. Why is SHANTI significant?

 

 

• The SHANTI framework seeks to open India’s nuclear energy sector to private participation and may also facilitate the inflow of foreign investment.
• At present, the construction and operation of nuclear power plants are restricted exclusively to public sector entities.
• India aims to scale up its nuclear capacity from the existing 8.8 GW—roughly 1.5% of total installed power capacity—to 100 GW by 2047, thereby raising nuclear energy’s share in electricity generation from around 3%.
• Public sector nuclear utilities estimate that they will contribute nearly 54 GW of this expansion, with the remaining capacity expected to come from private players

 

3. What are the major differences in SHANTI?

 

 

• Because of nuclear energy’s association with atomic weapons, the movement and use of nuclear fuel such as uranium are subjected to rigorous oversight to prevent its diversion for the production of weapons-grade plutonium.
• Past disasters—including the 1979 Three Mile Island accident, the 1986 Chernobyl catastrophe, and the Fukushima core meltdown triggered by the 2011 tsunami—have reinforced a global culture of caution, leading to stringent controls over every stage of nuclear plant functioning.
• Internationally, there is now broad agreement that in the event of a nuclear accident, the operator of the facility bears the primary responsibility for compensating affected individuals in proportion to the harm caused.
• Such compensation must be provided promptly, without waiting for investigations into causation or fault.
• Subsequently, however, the operator may seek reimbursement if it can demonstrate that the accident resulted not from managerial failure but from defective equipment supplied by another party
• Under the earlier Civil Nuclear Liability framework, operators were permitted to pursue recourse against equipment providers in three situations: first, where an explicit contractual provision existed; second, where the incident was attributable to defects in the supplier’s equipment; and third, where the damage was caused by a deliberate act intended to inflict nuclear harm.
• The SHANTI legislation removes the second ground for recourse. Even after the 2008 Indo-US civil nuclear agreement, which reopened India’s access to uranium supplies and advanced nuclear technology following restrictions imposed after the 1974 and 1998 nuclear tests, reactor manufacturers from the United States and France remained reluctant to enter the Indian market due to the potential exposure to massive liability claims.
• By eliminating this clause—and even removing explicit references to “suppliers”—the proposed framework effectively addresses these concerns

 

4. Will SHANTI spur India’s nuclear vision?

 

• Homi Bhabha, regarded as the architect of India’s nuclear energy programme, envisaged nuclear power as a cornerstone of the country’s energy security while also overcoming India’s limited uranium reserves through the eventual use of thorium.
• His three-stage plan begins with the construction of pressurised heavy water reactors that utilise natural uranium (U-238) to generate electricity and produce plutonium as a by-product.
• The second stage involves fast breeder reactors, which are designed to generate additional plutonium and uranium-233 while producing power. In the third and final stage, uranium-233 is combined with India’s abundant thorium resources to generate electricity, creating a largely self-reliant thorium-based nuclear system.
• India has yet to transition fully into the second stage, having only a prototype fast breeder reactor so far. This project, delayed by nearly two decades, was earlier scheduled to become operational in 2025 but has now been postponed further, with commissioning expected in September 2026.
• To meet its near-term nuclear energy targets, India is increasingly exploring Small Modular Reactors (SMRs).
• These are scaled-down versions of conventional reactors currently deployed in countries such as the United States and France, and they require enriched uranium-235—a resource that India does not possess in sufficient quantities. Like India’s first-stage reactors, SMRs generate various radioactive by-products, including plutonium and strontium.
• SMRs are expected to be manufactured in modular components across multiple locations and assembled at a central site, much like the global production processes used for aircraft or smartphones.
• However, due to their smaller size, they produce less electricity per unit compared to large reactors. They also do not offer a fundamentally superior solution to nuclear waste management, although some designs incorporate enhanced safety features that allow automatic shutdown during emergencies.
• While SMRs may contribute to electricity generation, they do little to advance India’s long-term objective of transitioning to thorium-based nuclear power

 

5. Way Forward

 

Under the previous legal framework, victims of a nuclear incident could seek compensation from the plant operator up to a ceiling of ₹1,500 crore. Any damage beyond this limit was to be covered by the Union government through an insurance mechanism, capped at ₹4,000 crore. The SHANTI legislation introduces a tiered liability structure instead. Operators of facilities with a capacity exceeding 3,600 MW would face a maximum liability of ₹3,000 crore. For plants in the 1,500–3,600 MW range, the liability limit is set at ₹1,500 crore; for capacities between 750 MW and 1,500 MW, it is ₹750 crore; for 150–750 MW plants, the cap is ₹300 crore; and facilities below 150 MW carry a liability limit of ₹100 crore. At present, all nuclear power plants in India have capacities of 3,000 MW or less.

Science Minister Jitendra Singh, who introduced the Bill in Parliament, explained that this differentiated structure was designed to avoid deterring private sector investment. However, during parliamentary discussions, concerns were raised that the actual costs of compensation in major nuclear accidents have historically run into several billions of dollars, far exceeding the proposed liability ceilings

 

 

For Prelims: Nuclear Waste Management, Prototype Fast Breeder Reactor, uranium, plutonium For mains:  1. Discuss the challenges associated with nuclear waste management in the context of India's nuclear energy program. How can these challenges be addressed effectively? (250 Words) 2. Ethical considerations play a crucial role in nuclear waste management. Discuss the ethical concerns surrounding the potential for environmental injustice and the responsibility of nations in dealing with nuclear waste.(250 Words)

 

Previous Year Questions 1. To meet its rapidly growing energy demand, some opine that India should pursue research and development on thorium as the future fuel of nuclear energy. In this on text, what advantage, does thorium hold over uranium? (UPSC 2012) Thorium is far more abundant in nature than uranium. On the basis of per unit mass of mined mineral, thorium can generate more energy compared to natural uranium. Thorium produces less harmful waste compared to uranium. Which of the statements given above is/are correct? (a) 1 only         (b) 2 and 3 only            (c) 1 and 3 only              (d) 1, 2 and 3 2. Which among the following has the world’s largest reserves of Uranium? (UPSC 2009) (a) Australia (b) Canada (c) Russian Federation (d) USA Answers: 1-D, 2-A

Source: The Hindu

DIGITAL PERSONAL DATA PROTECTION RULES

 

 

 

1. Context

 

The Digital Personal Data Protection Rules (DPDP), 2025 were notified this week, kicking off the formation of the Data Protection Board of India (DPBI), and the legal framework for safeguarding the data of Indians online. The DPDP Act itself was passed in Parliament in August 2023, and the draft of the Rules that were notified on November 14, 2025 were released for consultation in January.

 

2. What do the DPDP Act and Rules do?

 

• The Government of India issued the Digital Personal Data Protection (DPDP) Rules, 2025 on 14 November 2025, completing the implementation of the Digital Personal Data Protection Act, 2023.
• With both the Act and Rules now in place, India has a comprehensive, citizen-oriented framework that balances personal data rights with legitimate data processing requirements.

• Before finalising the Rules, the Ministry of Electronics and Information Technology sought inputs from the public. Consultations were organised across several major cities—Delhi, Mumbai, Guwahati, Kolkata, Hyderabad, Bengaluru and Chennai—drawing participation from startups, MSMEs, industry associations, civil society organisations, and government bodies.
• Citizens also contributed actively. Altogether, 6,915 suggestions and comments were submitted, significantly influencing the final version of the Rules.
• The notification of these Rules establishes a practical, innovation-supportive data protection regime for the country. It promotes clarity, encourages adherence to the law, and enhances public confidence in India’s expanding digital landscape.

 

 

3. Digital Personal Data Protection Act, 2023

 

 

• The Digital Personal Data Protection Act was passed by Parliament on 11 August 2023, establishing a comprehensive legal structure for safeguarding digital personal information in India.
• It outlines the responsibilities of organisations when they gather or process such data. The Act is built on the SARAL philosophy—Simple, Accessible, Rational and Actionable—using straightforward language and clear examples so that individuals and businesses can easily understand the requirements.
• The Act is anchored in seven foundational principles: consent and transparency, limitation of purpose, minimal collection of data, accuracy, restricted data retention, strong security measures and accountability. These principles shape each step of data handling and ensure that personal information is processed only for legitimate and defined purposes.
• A key highlight of the law is the establishment of the Data Protection Board of India, an autonomous authority responsible for monitoring compliance, investigating violations and ensuring that necessary corrective actions are taken.
• The Board is central to protecting user rights and fostering confidence in the data protection framework

 

Key Terms under the DPDP Act, 2023 Data Fiduciary: An organisation that determines the purpose and means of processing personal data, either independently or jointly with others. Data Principal: The person to whom the personal data belongs. For children, this includes a parent or authorised guardian. For individuals with disabilities who cannot act on their own, this extends to their lawful guardian. Data Processor: Any entity that processes personal information on behalf of a Data Fiduciary. Consent Manager: A platform that provides a unified, transparent interface through which Data Principals can grant, monitor, modify or withdraw consent. Appellate Tribunal: The Telecom Disputes Settlement and Appellate Tribunal (TDSAT), which reviews appeals against decisions made by the Data Protection Board

 

 

 

4. Overview of the Digital Personal Data Protection Rules, 2025

 

The Digital Personal Data Protection Rules, 2025 operationalise the DPDP Act, 2023, creating a practical and transparent system for safeguarding personal data in India’s rapidly growing digital landscape. These Rules place strong emphasis on citizen rights and responsible data handling by organisations. Their objective is to prevent misuse of personal information, minimise digital risks, and foster an environment that supports safe innovation—thereby strengthening trust in India’s digital economy.

To achieve these goals, the Rules lay down several key provisions:

• A phased compliance period of 18 months has been introduced so organisations have adequate time to upgrade systems and adopt sound data-protection practices.
• All Data Fiduciaries must issue a separate, easy-to-read consent notice clearly stating the specific purpose for which personal data is collected and processed.
• Consent Managers—entities that help people manage their permissions—must operate as companies incorporated in India.
• The Rules also define a clear and prompt procedure for reporting data breaches. In the event of a breach, the Data Fiduciary must immediately notify every affected person in simple language, outlining what occurred, potential consequences and the corrective measures taken. The communication must also include relevant contact details for assistance.
• Each Data Fiduciary is required to provide accessible contact information for queries related to personal data—whether that is a designated officer or a Data Protection Officer. Significant Data Fiduciaries have additional responsibilities: they must conduct external audits, undertake impact assessments and implement stricter controls when using emerging or sensitive technologies.
• They may also be required to comply with government directions regarding restricted data categories, including localisation requirements when necessary.
• The Rules strengthen the rights granted under the Act. Individuals can request access to their personal information, corrections or updates, and deletion in permitted situations.
• They may also authorize another person to exercise these rights on their behalf. Data Fiduciaries must respond to such requests within 90 days.
• Additionally, the Rules provide for a fully digital Data Protection Board of India with four members. Citizens will be able to submit complaints online and track them through a dedicated website and mobile app, making grievance resolution faster and more efficient.
• Appeals against the Board’s orders will be handled by the Telecom Disputes Settlement and Appellate Tribunal (TDSAT)

 

5. How the DPDP Rules Empower Individuals?

 

 

The DPDP framework puts citizens at the heart of India’s data protection regime. Its core purpose is to ensure that individuals have clear authority over their personal information and can trust that it is handled responsibly. The rules are drafted in simple, user-friendly language so people can easily understand their rights, while also ensuring that organisations remain accountable for how they manage personal data.

Key Rights and Safeguards Provided to Citizens:

• Right to Give or Withhold Consent
  Individuals have the freedom to agree or refuse the use of their personal data. Consent must be informed, specific, and easy to comprehend, and it can be withdrawn at any point.
• Right to Know How Data is Used
  People are entitled to know what information has been collected about them, the purpose of its collection, and the ways it is being processed. Organisations must share this information in a clear and straightforward format.
• Right to Access Personal Data
  Any individual may request a copy of the personal data that a Data Fiduciary holds about them.
• Right to Correct Personal Data
  Citizens can ask for corrections if their personal information is wrong, inaccurate, or incomplete.
• Right to Update Personal Data
  Individuals may request updates when their details change—such as a new phone number or address.
• Right to Delete Personal Data
  People have the option to seek erasure of their personal data under specific circumstances. The Data Fiduciary must review and act on such requests within the stipulated timeframe.
• Right to Appoint a Representative
  Every person may nominate someone else to exercise their data rights on their behalf—useful during illness or other situations where they cannot act themselves.
• Mandatory Response Within 90 Days
  Data Fiduciaries must respond to requests for access, correction, updating, or deletion within a maximum of ninety days, promoting timely redressal and accountability.
• Protection in Case of Data Breaches
  If a data breach occurs, affected individuals must be informed promptly. The notification must explain the incident and outline the steps they can take to reduce any potential harm.
• Clear Contact Point for Help
  Organisations must provide easily accessible contact details—either of a designated official or a Data Protection Officer—for queries or complaints related to personal data.
• Extra Safeguards for Children
  Processing children’s personal data requires verifiable consent from a parent or guardian, except when the data is used for essential services like medical care, education or immediate safety.

 

6. How the DPDP Framework Works in Harmony with the RTI Act?

 

• As the DPDP Act and its Rules strengthen citizens’ privacy protections, they also clarify how these enhanced rights coexist with the Right to Information (RTI) Act, which ensures public access to information.
• The amendments made through the DPDP Act modify Section 8(1)(j) of the RTI Act in a manner that upholds both privacy and transparency without undermining either.
• This change is consistent with the Supreme Court’s recognition of privacy as a fundamental right in the Puttaswamy judgment.
• It aligns the RTI law with judicial reasoning that has, for years, applied reasonable limits to protect personal information.
• By formally incorporating this approach into the statute, the amendment removes ambiguity and avoids any clash between the RTI Act’s transparency mandate and the privacy protections embedded in the DPDP framework.
• Importantly, the updated provision does not prohibit the release of personal data. Instead, it requires authorities to make a careful, case-specific assessment before sharing such information, keeping the individual’s privacy interests in mind.
• Meanwhile, Section 8(2) of the RTI Act remains unchanged. It empowers public authorities to disclose information whenever the public interest is compelling enough to outweigh potential harm to protected interests.
• This ensures that the core purpose of the RTI Act—promoting openness, accountability and informed citizen participation—continues to shape how information requests are handled

 

 

For Prelims: Personality rights, Delhi High Court, Madras High Court, Right to property, trademark, right to privacy, Article 21, Copyright Act, 1957 For Mains: 1. Explain how can the legal framework for protecting personality rights in India be strengthened to better address the challenges of the digital age. (250 Words)

 

 

Previous Year Questions   1. What is the position of the Right to Property in India? (UPSC 2021)  A. Legal right available to citizens only B. Legal right available to any person C. Fundamental Right available, to citizens only D. Neither Fundamental Right nor legal right Answer: B   2. In order to comply with TRIPS Agreement, India enacted the Geographical Indications of Goods (Registration & Protection) Act, 1999. The difference/differences between a "Trade Mark" and a Geographical Indication is/are (UPSC 2010) 1. A Trade Mark is an individual or a company's right whereas a Geographical Indication is a community's right. 2. A Trade Mark can be licensed whereas a Geographical Indication cannot be licensed. 3. A Trade Mark is assigned to the manufactured goods whereas the Geographical Indication is assigned to the agricultural goods/products and handicrafts only. Which of the statements given above is/are correct?  A. 1 only          B. 1 and 2 only        C. 2 and 3 only         D. 1, 2 and 3   Answer: B   3. Which of the following statements regarding Article 21 of the Constitution of India is/ is correct?  (CDS GK 2017) 1. Article 21 is violated when under-trial prisoners are detained under judicial custody for an indefinite period. 2. Right to life is one of the basic human rights and not even the state has the authority to violate that right. 3. Under Article 21, the right of a woman to make reproductive choices is not a dimension of personal liberty. Select the correct answer using the code given below. A. 1, 2 and 3     B. 1 and 2 only     C. 1 and 3 only        D. 2 only   Answer: B   4. Article 21 of Indian Constitution secures: (OPSC OAS 2018) A. Right to life only B. Right to personal liberty only C. Right to liberty and privacy D. Right to life, personal liberty and right to privacy   Answer: D 5. ‘Right to Privacy’ is protected under which Article of the Constitution of India? (UPSC 2021) (a) Article 15 (b) Article 19 (c) Article 21 (d) Article 29 Answer: C 6. Right to Privacy is protected as an intrinsic part of Right to Life and Personal Liberty. Which of the following in the Constitution of India correctly and appropriately imply the above statement? (2018) (a) Article 14 and the provisions under the 42nd Amendment to the Constitution. (b) Article 17 and the Directive Principles of State Policy in Part IV. (c) Article 21 and the freedoms guaranteed in Part III. (d) Article 24 and the provisions under the 44th Amendment to the Constitution. Answer: C

 

Source: The Hindu