Professional Documents
Culture Documents
13 07 22
Notes
SL.
TOPICS THE HINDU
NO.
Context: The economic and developmental promise envisaged for the Urban Local Bodies (ULB) through
the Constitution 74th Amendment seems to be weakening due to increasing strains in municipal finance
specially post GST implementation and Covid pandemic.
Key Trends
Recently, the Indian Institute for Human Settlements (IIHS) analysed data from 80 ULBs across 24 States
between 2012-13 and 2016-17 to understand ULB finance and spending, and found some key trends on
declining municipal finances.
1. ULBs’ own sources of revenue were less than half of their total revenue
§ ULBs’ key revenue sources - taxes, fees, fines and charges, and transfers from Central and State
governments, which are known as inter-governmental transfers (IGTs).
§ ULB’s own share of own revenue - taxes on property and advertisements, and non-tax revenue
from user charges and fees from building permissions and trade licencing.
§ Property Tax - the single largest contributor to ULBs’ own revenue, accounted for only about
0.15% of the GDP. The contribution from property tax for Indian ULBs is lower than developing
and developed countries whose share of property tax to their GDP stands at 0.6% and 1%
respectively.
§ Lower Ratio of ULB’s Own Revenue v Total revenue reflects financial health & autonomy -
This ratio also reflects the ULBs’ ability tap unclaimed sources and their dependency on IGTs.
Cities with a higher share of own revenue are more financially self-sustaining.
§ Findings – ULBs’s own revenue was 47% of their total revenue. Of this, tax revenue was the largest
component - around 29% of the total. There was a 7% increase in own revenue from 2012-13 to
2016-17, but ULBs still lacked revenue buoyancy as their share in GDP of own revenue was only
0.5% for the five-year period. Tax Revenue is said to be buoyant if the tax revenues increase more
than proportionately in response to a rise in national income or output.
§ Way Forward - ULBs must leverage their own revenue-raising powers to ensure fiscal
sustainability and have better amenities and quality of service delivery.
§ Way Forward – Revenue assigned to ULBs from state governments needs to increase along with
allocating a share of the State and Centre’s GST proceeds to ULBs.
4. Operations and Maintenance (O&M) expenses are on the increase but still inadequate
§ Increase in O&M Expenditure for ULBs - O&M expenses are crucial for the upkeep of
infrastructure and for maintaining quality of service delivery. The share of O&M expenses in ULBs’
total revenue expenditure increased from about 30% in 2012-13 to about 35% in 2016-17.
§ O&M Expense inadequate - Despite the increase in share of O&M expense of ULBs, studies
found that it remained inadequate. For instance, O&M expenses incurred in 2016-17 covered only
around a fifth of the requirement forecast by the High-Powered Expert Committee for estimating
the investment requirements for urban infrastructure services.
§ Cost Recovery for essential services inadequate - such as water supply, solid waste
management, transportation and waste water management.
§ The non-tax revenues were short of the O&M expenditure by around 20% - and this shortfall
contributed to the increasing revenue deficit in ULBs.
§ Concern - O&M expenses should ideally be covered through user charges which are part of non-
tax revenue. However, total non-tax revenues, of which user charges are a part, are insufficient to
meet current O&M expenses.
§ Way Forward - Increasing cost recovery levels through improved user charge regimes would not
only improve services but also contribute to the financial vitality of ULBs.
• 74th Constitutional amendment act 1992 added Part IX-A to the Constitution of India.
• Articles 243- P to 243-ZG.
• Twelfth Schedule - This schedule contains eighteen functional items of municipalities. It deals with
Article 243-W.
• State Governments are under constitutional obligation to adopt the new system of municipalities
in accordance with the provisions of the act.
Date: 13-July-2022 DNS Notes - Revision
Composition • All the members of a • The state legislature may provide the
municipality shall be elected manner of election of the chairperson
directly by the people of the of a municipality.
municipal are • State legislature may provide for -
• Representation of
Persons having special knowledge or
experience in municipal
administration without the right to vote in the
meetings of municipality.
• The members of the Lok Sabha and
the state legislative assembly
representing constituencies that comprise
wholly or partly the municipal
Area
• The members of the Rajya Sabha and
the state legislative council
registered as electors within the municipal
area.
• The chairpersons of committees
(other than wards committees).
Reservation of • Reservation of seats for the • The state legislature may provide for
Seats scheduled castes and the the manner of reservation of offices
scheduled tribes in every of chairpersons in the municipalities
municipality in proportion of for SCs, STs and women.
their population to the total • It may also make any provision for the
population in the municipal reservation of seats in any
area. municipality or offices of chairpersons
• Reservation of not less than in municipalities in favour of
one-third of the total number backward classes.
of seats for women
District • Every state shall constitute at • The state legislature may make
planning the district provisions with respect to the following:
committee level, a district planning committee to 1. The composition of such committees;
consolidate the plans prepared by 2. The manner of election of members of such
panchayats and municipalities in the committees;
district, and to prepare a draft 3. The functions of such committees in
development plan for the district as a relation to district planning; and
whole.
Date: 13-July-2022 DNS Notes - Revision
Metropolitan • Every metropolitan area shall •The state legislature may make
planning have a metropolitan planning provisions with respect to the
Committee committee to prepare a draft following:
development plan 1. The composition of such committees;
2. The manner of election of members of such
• two-thirds of the members of committees;
a metropolitan planning 3. The representation in such committees of
committee should be elected the Central government, state
by the elected members of the government and other organisations;
municipalities and 4. The functions of such committees in
chairpersons of the relation to planning and coordination
panchayats in the for the metropolitan area; and
metropolitan area 5. The manner of election of chairpersons of
from amongst themselves such committees
• The chairpersons of such
committees shall forward the
development plan
to the state government.
The Reserve Bank of India (RBI) in a report, “State Finances, Study of Budgets of 2021-22”, released in
November 2021, wrote: “With the third-tier governments in India playing a frontline role in combating the
pandemic by implementing containment strategies, healthcare, their finances have come under severe
strain, forcing them to cut down expenditures and mobilise funding from various sources.”
• Finances of the third-tier governments were impacted severely during the pandemic which
inflicted a heavy toll on their finances. Reasons were many:
• Restrictions on movement of people
• Provisions for goods and services
• ramping up of health infrastructure
• measures taken to protect livelihood and efforts taken to inoculate the citizens in a short
span of time.
In economics, this is known as Scissor Effect:
Date: 13-July-2022 DNS Notes - Revision
‘Scissor effect’ – an increase in expenditure due to a sharp rise in demand for public healthcare
services with a simultaneous decrease in revenue resulting from the slowdown in economic activity.
Due to reduced revenues and increased Health expenditure on account of COVID and limited
opportunities for market borrowings, as statutorily they can’t run a deficit, the ULBs had to cut on
expenditure on public services.
The crux of the problem is lack of devolution of Funds to the local level:
• Despite the constitutional empowerment, the local bodies face problems of inadequate finance to
carry out various activities assigned to them.
• Transfers made through the State Finance Commissions are also meagre in most States.
• In most of the states, most of the GPs are found reluctant to raise their own source of revenue
(OSR). Only a few GPs are able to generate OSR in the form of tax or non-tax revenue by renting
shops, house tax and clean water fee.
• Lack of infrastructure and specialized human resources is another issue which affects matters of
urban governance.
• Various states have remained ignorant about timely elections of local bodies which defeats the
aim of decentralization of power.
• Corruption remains one of the most concerning issues which adversely affect functioning of the
local bodies.
• Unplanned urbanization impacts basic amenities like sanitation, waste management, issues in
land use management
WAY FORWARD - Thus, implementing recommendations of 2nd ARC, Fifteenth Finance Commission, RBI
Report and also implementing Article 243W by states will help to address the challenges of urban
governance.
Context: The judicial system in India is under tremendous pressure. As of May 2022, over 4.7 crore cases are
pending in courts across different levels of the judiciary. Of them, 87.4% are pending in subordinate courts, 12.4%
in High Courts, while nearly 1,82,000 cases have been pending for over 30 years.
o India spends only about 0.09% of its GDP to maintain the judicial infrastructure. Infrastructure status of
lower courts of the country is miserably grim due to which they fail to deliver quality judgements. A 2016
report published by the Supreme Court showed that existing infrastructure could accommodate only 15,540
judicial officers against the all-India sanctioned strength of 20,558.
· Burden of government cases
o Statistics provided by LIMBS shows that the Centre and the States were responsible for over 46% of the
pending cases in Indian courts.
· Special leave petition cases in the Supreme Court, currently comprises to 40% of the court’s
pendency. Which eventually leads to reduced time for the cases related to constitutional issues.
· Judges Vacation-
o SC works on average for 188 days a year, while apex court rules specify minimum of 225 days of work.
· Lack of court management systems-
o Courts have created dedicated posts for court managers to help improve court operations, optimise case
movement and judicial time. However only few courts have filled up such posts so far.
· Inefficient investigation-
o Police are quite often handicapped in undertaking effective investigation for want of modern and
scientific tools to collect evidences.
· Increasing Literacy-
o With people becoming more aware of their rights and the obligations of the State towards them, they
approach the courts more frequently in case of any violation.
o Ensure the appointments of the judges be done in an efficient way by arriving at an optimal judge
strength to handle the cases pending in the system. The 120th Law Commission of India report for the first
time, suggested a judge strength fixation formula.
o Supreme Court and High Courts should appoint efficient and experienced judges as Ad-hoc judges in
accordance with the Constitution.
o All India Judicial Service, which would benefit the subordinate judiciary by increasing quality of judges
and help reduce the pendency.
· Increase in number of working days:
o Average annual working days for subordinate courts is 244, 190 for Supreme Court, 232 for High Court.
Increase in number of working days could improve productivity significantly.
· Having a definite time frame to dispose the cases by setting annual targets and action plans for
the subordinate judiciary and the High Courts. The judicial officers could be issued a strict code of conduct,
to ensure that the duties are adequately performed by the officials.
· Better Court Management System & Reliable Data Collection:
o For this categorization of cases on the basis of urgency and priority along with bunching of cases should
be done.
· The Economic Survey 2018-19 has suggested formation of Indian Courts and Tribunal Services to
provide administrative support functions needed by the judiciary and identify process inefficiencies and
advise the judiciary on legal reforms.
· Use of Information technology (IT) solutions- The use of technology for tracking and monitoring
cases and in providing relevant information to make justice litigant friendly.
· Alternate dispute resolution (ADR)-
o As stated in the Conference on National Initiative to Reduce Pendency and Delay in Judicial SystemLegal
Services Authorities should undertake pre-litigation mediation so that the inflow of cases into courts can be
regulated.
o The Lok Adalat should be organized regularly for settling civil and family matters.
o Gram Nyayalayas, as an effective way to manage small claim disputes from rural areas which will help in
decreasing the workload of the judicial institution.
o Village Legal Care & Support Centre can also be established by the High Courts to work at grass root level
to make the State litigation friendly.
3. UPSC Current Affairs: NASA telescope dives deep into the universe | Page 13
UPSC Syllabus: Prelims: GS Paper I : Science & technology
Sub Theme: James Webb | UPSC
NASA’s James Webb Space Telescope was launched on 25th December on an Ariane 5 rocket from
French Guiana, South America.
The James Webb Space Telescope’s revolutionary technology will study every phase of cosmic
history—from within our solar system to the most distant observable galaxies in the early universe.
Date: 13-July-2022 DNS Notes - Revision
Earth reflects radiation in the far infrared region. So telescopes cannot operate near this region from
ground or low earth orbit. Also the technology to make telescope see the universe in this region is very
sophisticated. Hubble telescope – the most power telescope operational till date – is positioned in low
Earth orbit and hence can’t operate in infra IR region. James Webb Space Telescope on the other hand
will operate in the Far infrared region and will be positioned in L2.
Webb will directly observe a part of space and time never seen before. Webb will gaze into the epoch
when the very first stars and galaxies formed, over 13.5 billion years ago. Ultraviolet and visible light
emitted by the very first luminous objects has been stretched or “redshifted” by the universe’s continual
expansion and arrives today as infrared light. Webb is designed to “see” this infrared light with
unprecedented resolution and sensitivity.
Webb will be a powerful tool for studying the nearby universe. Scientists will use Webb to study planets
and other bodies in our solar system to determine their origin and evolution and compare them with
exoplanets, planets that orbit other stars.
Quick Facts
Using a technique called transmission spectroscopy, the observatory will examine starlight filtered
through planetary atmospheres to learn about their chemical compositions.
The science goals for the Webb can be grouped into four themes:
Date: 13-July-2022 DNS Notes - Revision
• The End of the Dark Ages: First Light and Reionization - JWST will be a powerful time
machine with infrared vision that will peer back over 13.5 billion years to see the first stars and
galaxies forming out of the darkness of the early universe.
• Assembly of Galaxies - JWST's unprecedented infrared sensitivity will help astronomers to
compare the faintest, earliest galaxies to today's grand spirals and ellipticals, helping us to
understand how galaxies assemble over billions of years.
• The Birth of Stars and Protoplanetary Systems - JWST will be able to see right through and
into massive clouds of dust that are opaque to visible-light observatories like Hubble, where stars
and planetary systems are being born.
• Planetary Systems and the Origins of Life - JWST will tell us more about the atmospheres of
extrasolar planets, and perhaps even find the building blocks of life elsewhere in the universe.
In addition to other planetary systems, JWST will also study objects within our own Solar
System.
Wavelength The JWST will observe primarily in the infrared range and provide coverage
from 0.6 to 28 microns.
The instruments on Hubble see mainly in the ultraviolet and visible part of the
spectrum. It could observe only a small range in the infrared from 0.8 to 2.5
microns.
The infrared region of the electromagnetic spectrum covers the wavelength range
from approximately 0.7 to a few 100 microns.
Size Webb’s primary mirror has a diameter of 6.5 metres while Hubble’s mirror was
much smaller – 2.4 metres in diameter.
So, Webb will have a larger field of view compared to the camera on Hubble.
Webb also carries a large sun shield.
Distance Webb’s near- and mid-infrared instruments will help study the first formed
galaxies, exoplanets and birth of stars.
Hubble can see the equivalent of “toddler galaxies” while Webb Telescope will
be able to see “baby galaxies”.