DAILY SUMMARY AND ANALYSIS OF THE HINDU 29th June, 2017 Presented by Amit Baghel
ABOUT ME Computer Science graduate from JIIT,Noida Work oexperience of 2+ years in MNC oWriter by passion, newbie in guitar and civil service aspirant Interest: Music, reading non fiction and watching TV series
Govt. to shed stake in loss-making AI GSAT-17 to add teeth to ISRO satellite fleet Sixty-four years after the airline was nationalised the Cabinet Committee on Economic Affairs gave its nod for its disinvestment, GSAT-17, the country's newest communication satellite to be launched, will soon join the fleet of 17 working Indian communication satellites in space and augment their overall capacity to some extent. o The 3,477-kg spacecraft was set to be launched on June 29 A Group of Ministers has been formed to "guide the process" of disinvestment in Air India and five of its subsidiaries from the European space port of Kourou in French Guiana .GSAT-17 is the second passenger on the European booster o The national carrier is surviving on a bailout package of over Rs. 30,000 crore approved by | | the United Progressive Alliance (UPA) government in 2012 which decided a privatisation and instead chalked out a turnaround and financial restructuring plan for Air India The 5,700-kg Hellas Sat 3-Inmarsat S EAN shared by two satellite operators was also put on the same booster as co- passenger gains GSAT-17 is designed to provide continuity of services of erational satellitesi extended C and S bands o It was nationalised in 1953 because it was o The spacecraft was approved in May 2015 with an outlay perceived as a matter of national prestige. Theof Rs. 1,013 crore, including its launch fee and insurance government is now mulling selling its stakes GSAT-17, built mainly for broadcasting because of its massive debt of Rs 52,000 crore lecommunication and transponders ces, carries over 4
Govt. unveils new hydrocarbon policy o Petroleum Minister on Wednesday introduced a new oil and gas block licensing policy that is expected to open up 2.8 million square kilometres of sedimentary basins to exploration and production activities The lack of seismic sedimentary basin data had been hampering the oil and gas exploration and production sector. Adding that 52% of India's sedimentary basins had not been appraised as yet with the last appraisal taking place 25 years ago. The National Data Repository was expected to improve this situation. Option to select The OALP (Open Acreage Licensing Policy ), a part of the government's Hydrocarbon Exploration and Licensing Policy (HELP). gives exploration companies the option to select the exploration blocks on their own. without having to wait for the formal bid round from the Government. The company then submits an application to the government, which puts that block up for bid. o Initially the applications and related bids for the blocks would be held twice a year-in January and July-but said this could become more frequent as the industry becomes used to the new model o This policy reiterates Gol's commitment to reduce administrative & regulatory burden, thus enhancing ease of doing business o A single license to explore all forms of hydrocarbons, no oil cess, reduced rates of royalty are just few of the many enabling provisions which will stimulate investments in the sector.
Sri Lanka, India to set up solar unit soon Sri Lanka will soon kick-start the process of setting up a solar power plant in eastern port town Trincomalee after discussions with India, which is partnering the Government in the initiative. In April this year, the governments of Sri Lanka and India signed a Memorandum of Understanding, for cooperation in a host of development projects including the setting up of a Liquefied Natural Gas (LNG) plant in suburban Colombo and a solar power plant in Sampur. Trincomalee. o On the side-lines of the BRICS summit, where PM Modi flagged the possibility of New Delhi partnering Colombo in LNG and green energy projects. NTPC venture Sri Lanka had initially planned to set up a coal power plant in Sampur, through an international Joint venture with India's National Thermal Power Corporation. However, in September 2016 the Power Ministry scrapped the project citing environmental concerns Sampur, where the solar plant is set to come up, is located in the strategically Important port town of Trincomalee, on the north-eastern coast of the island. India and Sri Lanka have agreed to jointly operate a world war-era oil storage facility in the town, with the aim of developing it into a regional petroleum hub. Trincomale- on the north- eastern coast o d ndeveloiit to regional petrolcum hub Theproposed solarpower plant is nline with oorya alasangramaya(Battle for olarEnergy), an initiative that President Sirisena launched last year to add 220 MW of solar power to Sri Lanka's energy grid by 2020
Nathu La entry only if India 'corrects its errors': Beijing Bejing als temed the construction of a road in the Sikim sector of the Sino-India border as "legitimate asserting that it was being built on Chinese territory that neither belongs to India nor Bhutan and no other country had the right to interfere. Indisputable territory' Donglang is part of China's territory. This is indisputable. The Dong!ang area belonged to China since ancient times and it doesn't belong to Bhutan," Chinese Foreign Ministry spokesman Lu Kang. Mr Lu defended China's decision to shut the Nathu La pass for Indian pilgrims, saying that China had agreed to open the route as the boundary there had been delineated with the consent of both the countries o China also hinted that India was objecting to its efforts to build the road in Donglang area of the Sikkim sector on behalf of Bhutan, which does not have any diplomatic ties with Beijing. o Taking a dig at India, Mr. Lu said Bhutan is a recognised sovereign country. "If any third party interferes, it is disrespect of the sovereignty of Bhutan," he said.
EC to launch Facebook drive Niti Aayog moots new regulator for coal, gas Niti Aayog has suggested creation of regulators for coal as well as oil and gas The Election Commission will launch a special drive to enrol new electors, and has collaborated with Facebook to launch a 'voter registration reminder' on 1 July Coal and upstream petroleum sectors have lacked independent, statutory regulators. Due to several reasons including strong presence of PSUs and A notification of the 'voter registration reminder' will be sent on 1 July to people who are eligible to vote on Facebook ul was so far not found useful to place the latter in position." it said in a draft National Energy Policy The reminder will be sent out in 13 Indian languages - English, Hindi, Gujarati, Tamil, Telugu, Malayalam, Kannada, Punjabi, Bengali, Urdu, Assamese, Marathi and Oriya "But, now with increased private activity, the time is appropriate." By clicking on the 'register now' button, people will be directed to the national voters' services portal (nvsp.in) which will guide them through the registration process
Editorial: Pieces of a complex solution: Insolvency and Bankruptcy Code f the bankruptcy law will depend on the jurisprudence that develops unde r the Insolve and Bankruptcy Code. Prior to that, the government had cleared an ordinance to amend the Banking Regulation Act, giving the RBI more powers to direct banks to resolve bad loans A tough task These measures, particularlyt eRBI'sdrecefforts Howeverre ern gnataddresss meofthe o These measures, particularly the RBI's direct involvement in referring cases to the IBC, do well to add attention and urgency to the NPA resolution efforts. However, they do not address some of the underlying characteristics of the Indian economy and the banking sector that make NPA resolution a Sisyphean task in India ofor example, the fact that Indian banks need to accept significant haircuts to resolve the NPA cases as everal of them are in sectors where market conditions are in a slump, such as steel, power and textiles, In this environment, it is difficult for banks to find suitable buyers of distressed assets at desired valuations oThe government will require immense political will to allow bankers to take the necessary haircuts (which will impact profitability negatively), without bankers fearing that their decisions will be uestioned or investigated in the future The tight resolution timelines envisaged under the IBC cannot be achieved if bankers do not have the commercial flexibility and the autonon commercial fexibility and the autonomy to el distresed ncts achievedif bankers do not have the
Editorial: Pieces of a complex solution: Insolvency and Bankruptcy Code Promoters can be a hurdle o Another issue not addressed by the recent regulatory changes is what role promoters play in delaying NPA resolution. The majority of businesses in India remain under the control of their founding promoters. o In India, business continuity and turnaround of distressed assets require the ongoing involvement of promoters which makes them a key stakeholder in any NPA resolution oUnlike more developed markets, in India, bankers cannot make significant management changes in distressed companies as promoters closely control key aspects of a business such as relationships with suppliers, customers and regulators o It becomes critical that promoters should agree to and be involved in any resolution process. However, the RBI does not regulate promoters and other shareholders, and hence cannot force resolutions on to them. Promoters understand this conundrum and have used it to their advantage in the past.
Editorial: Pieces of a complex solution: Insolvency and Bankruptcy Code How ready is the framework? o This framework includes the National Company Law Tribunal (NCLTD the adiudicating authority for corporate insolvency cases under Section 60 of the IBC. It also refers to the network of insolvency professionals' (IPs)a special class of professionals, who will be appointed by the NCLT and in charge of managing the debtor company, whilst being accountable to the committee of creditors and the NCLT. o The severe capacity constraints of the NCLT in handling the present and past backlog of cases is well recognised. It is also unclear how long it will take the NCLT judges to ramp up their understanding of the complex bankruptcy environment to allow them to handle the cases in an expedient and fair way o Regarding IPs, it is critical for the Insolvency and Bankruptcy Board of India to quickly develop a robust way to select the most qualified IPs. Apart from their technical capabilities, it will be crucial to ensure that the IPs are truly independent and do not allow promoters or other key stakeholders to manipulate the resolution process in any unfair manner. eaenher tecna aa o ni to ickl develop a obu dn pa as 10
UPSC 2018 mains; Doing 'The Hindu Newspaper Analysis' since June,2017. YouTube- Gurukul Prime.