17 March 2025 : Daily Current Affairs

1. Air pollution will lower India’s solar generation capacity: study

(Source – The Hindu, International Edition – Page No. – 7)

India’s Solar Energy Goals

• India is the fifth-largest producer of solar energy in the world.
• The country aims to generate 50% of its electricity from non-fossil fuel sources by 2030.
• Plans include installing 500 GW of renewable energy capacity, with one-fifth from solar power.
• India is promoting the development of solar parks and rooftop solar installations.

Challenges to Solar Energy Production

• Solar photovoltaic energy depends on weather and climate conditions.
• Air pollution and climate change reduce the efficiency of solar panels.
• Rising temperatures negatively impact solar panel performance.

Study on Solar Panel Efficiency

• A study examined the effect of climate change on solar panel efficiency in India.
• It found that solar energy production is decreasing due to air pollution and higher temperatures.
• India has around 300 sunny days per year, but their quality is declining due to pollution.
• Global dimming and brightening trends affect solar radiation levels on the earth’s surface.
• Factors like clouds, aerosols, and particulate matter influence solar energy absorption.

Data and Research Findings

• The study used data from 1985 to 2014 to predict changes from 2041 to 2050.
• It relied on global climate models and NASA’s CERES project.
• Solar panel efficiency is expected to drop by 2.3% in the second scenario.
• A minimum of 840 gigawatt-hours of electricity could be lost annually.
• Rising temperatures were the biggest factor reducing efficiency.

Regional Variations in Solar Potential

• Some regions, including parts of Northeast India and Kerala, may have increased solar potential due to reduced cloud cover.

Recommendations for Improving Solar Efficiency

• Government Action: Policies should focus on reducing air pollution and mitigating climate change.
• Technological Innovations: Improvements in solar panel design can help maintain efficiency.
• Public Participation: Individuals can contribute by adopting electric vehicles and using public transport.
• Environmental Efforts: Planting trees and raising climate awareness will enhance sustainability.

Conclusion

• Effective policies and their proper implementation are crucial for maintaining solar energy production.
• Reducing greenhouse gas emissions will improve both air quality and solar power generation.
• Better site selection and resource allocation can help optimize solar energy use in India.

2. Reform-FDI tango in insurance

(Source – The Hindu, International Edition – Page No. – 13)

Condition on Investment of Premium

• The 100% FDI limit applies only if all premium funds are invested within India.
• Since insurers cannot invest policyholders’ funds abroad, further clarification is needed.

Past Changes in FDI Limits

• In 2015, the FDI limit increased from 26% to 49%, but insurers had to remain Indian-owned and controlled.
• In 2021, the limit rose to 74%, removing the Indian ownership condition.
• Companies with over 49% FDI must have Indian resident directors and key management personnel (KMPs).

Impact of FDI in Insurance Intermediaries

• Increased Foreign Investment: Raising the FDI limit to 100% allows more foreign companies to invest in Indian insurance intermediaries.
• Technology and Expertise: Foreign investors bring advanced technology, global expertise, and better management skills.
• More Competition: New players entering the market increase competition, leading to better services for customers.
• Improved Efficiency: Advanced technology and global practices improve operational efficiency.
• Increase in Foreign Interest: Strict rules on profit repatriation and transactions have discouraged some foreign investors.
• Sector Growth: More investment can help expand the insurance sector, benefiting the economy.

3. Farm fire in China-US trade

(Source – Indian Express, Section –Explained, Page – 09)

Analysis of the news:

US Trade Actions

• The U.S. imposed a 25% tariff on most Canadian and Mexican imports but exempted goods under USMCA, sparing 50% of Mexican and 38% of Canadian imports.
• Canadian energy products and potash fertilizers from both nations face only a 10% tariff.
• In contrast, China faces harsher trade measures, with tariffs escalating from 10% (Feb 4) to 20% (March 4), with no exclusions or pauses.

China’s Retaliation

• China imposed 10-15% tariffs on U.S. agricultural products such as soybeans, wheat, corn, and meat.
• In 2024, China’s total agricultural imports from the U.S. stood at $27.29 billion, with soybeans ($12.76 billion) being the largest component.

Shift in China’s Strategy

• China aims to reduce dependence on U.S. agricultural imports and boost domestic production for food security.
• In 2023-24, China was the world’s largest importer of soybean, rapeseed, wheat, barley, sorghum, oats, and cotton.
• COFCO and Sinograin, China’s state-owned firms, play a key role in securing food supply and reducing reliance on Western agri-commodity traders.
• Following the 2008 food crisis and recent global disruptions, China ramped up strategic stockpiling through imports.

Emphasis on Self-Reliance

• In April 2023, China’s Ministry of Agriculture projected an increase in domestic grain production from 694 MT to 767 MT by 2032, with imports reducing from 148 MT to 122 MT.
• China is shifting towards Brazilian and Argentinian grain suppliers, reducing U.S. soybean market share from 30% (2017-18) to 22% (2023-24).
• The U.S. share of China’s agricultural imports is declining, with China increasingly relying on alternative sources.

Future Implications

• The U.S.-China trade war may escalate, impacting global trade dynamics.
• There could be pressure on India to open its markets to U.S. agricultural products.
• China’s push for agricultural self-sufficiency aligns with India’s Atmanirbhar Bharat strategy, highlighting a global shift towards food security.

4. Women-Led Reforms: Dr. Jitendra Singh’s Push for Gender-Inclusive Governance Gains Momentum

(Source – https://pib.gov.in/PressReleasePage.aspx?PRID=2111650 )

Pension Reforms for Women

• A divorced or separated daughter can now directly claim her deceased father’s pension without waiting for a legal verdict.
• If a woman pensioner has filed for divorce, she can nominate her children for family pension instead of her husband.
• A childless widow can now remarry and still continue receiving her deceased husband’s pension, provided her income is below the minimum pension threshold.
• These pension reforms aim to provide financial stability and legal protection to women in difficult situations.

Workplace Benefits for Women

• Child Care Leave (CCL) is now more flexible, allowing single mothers to take leave for up to two years in a phased manner.
• Women employees can now travel abroad with their children during CCL.
• Maternity benefits have been extended to cover paid leave for women who suffer a miscarriage or stillbirth.

Encouraging Women’s Participation in Governance

• Government offices now provide working women hostels and crèches to support women employees.
• Market access for women-led Self-Help Groups (SHGs) has been expanded to enhance economic independence.

Empowering Women in the Digital Economy

• Skill training programs and modernization of Industrial Training Institutes (ITIs) aim to prepare women for leadership roles.
• These reforms align with the vision of creating a more inclusive and gender-equitable society.

Prelims Facts

1. Birefringence: different in different directions

(Source – The Hindu, International Edition – Page No. – 7)

Concept of Birefringence

• It occurs because these materials have different crystal structures along different directions, making them anisotropic.
• When light passes through a birefringent material, it splits into two rays, each traveling at a different speed and in a different direction.
• This happens because the material has two different refractive indices instead of one.
• Examples of natural birefringent materials include mica and quartz, while synthetic ones include barium borate and lithium niobate.
• External factors like stress, electric fields, or magnetic fields can also change a material’s birefringence.
• The bending of light depends on the light’s direction and its polarization, which refers to the direction of its electric field.
• LCD screens, medical microscopes, optical switches, waveplates, and high-power lasers use birefringent materials for various optical applications.

2. U.S. strikes on Yemen kill 31; Houthis hit back

(Source – The Hindu, International Edition – Page No. – 1)

Places In News:

• Sanaa, Yemen – The capital of Yemen, controlled by the Houthis, frequently targeted in airstrikes amid the ongoing conflict.
• Saada, Yemen – A Houthi stronghold in northern Yemen, heavily bombed in past conflicts due to its strategic significance.
• Al-Bayda, Yemen – A central Yemeni governorate, witnessing clashes between government forces, Houthis, and extremist groups.
• Radaa, Yemen – A town in Al-Bayda, previously a battleground for Al-Qaeda and Houthi forces, now under Houthi control.
• Red Sea – A critical global shipping route, currently affected by Houthi attacks on commercial and military vessels.
• Gulf of Aden – A key maritime passage linking the Red Sea to the Arabian Sea, facing security threats from piracy and militants.

3. In IT policy pipeline: Rs 23k-crore electronic subsidy scheme for value-add and jobs

(Source – Indian Express, Front Page- Page No. – 01)

Key Features of the Scheme

• Targeted Components: Display modules, camera modules, PCB assemblies, lithium cell enclosures, resistors, capacitors, ferrites, etc.
• Employment Generation: Scheme aims to create 91,600 direct jobs over six years. Incentives Structure: Three types – based on operational expenses, capital expenses, and a mix of both.
• Investment Eligibility: Greenfield and brownfield investments, along with foreign participation via technology transfer or joint ventures.
• Financial Outlay: Annual incentives between ₹2,300 crore and ₹4,200 crore, based on investment, production, and employment targets.

Rationale for the Scheme

• Low Value Addition: Despite attracting companies like Apple and Samsung, domestic value addition remains at 15-20%, with a target of 30-40%.
• Demand-Supply Gap: India faces a $100 billion gap for domestic consumption and $140 billion including exports.
• Import Dependency: Electronics is the second-largest import sector after oil, with component imports accounting for 75% of domestic electronics production.

Challenges in Implementation

• Lack of Domestic Scale: Limited local manufacturing capacity.
• High Investment-to-Turnover Ratio: Lower returns compared to finished products like smartphones.
• Growing Import Dependency: Integrated circuit imports rose from $29 billion (FY21) to $46.5 billion (FY23).

Future Outlook

• Component demand expected to reach $160 billion by 2028-29.
• To meet demand, domestic production with exports must grow at a 53% CAGR.
• The scheme is crucial for reducing import dependency and strengthening India’s electronics manufacturing ecosystem.

check more – 15 March 2025 : Daily Current Affairs