KingMakers IAS Academy logo

Daily Prelims Test – 03_October_2021

1. With respect to Renewable Energy Certificates, Consider the following statements

1) It is a market based instrument to promote renewable energy and facilitate compliance of renewable purchase obligations

2) One Renewable Energy Certificate is treated as equivalent to 1 megawatt hour

3) In India, RECs are traded on Indian Energy Exchange and Power Exchange of India

Which of the statements given above is/are correct?

a)  1 and 3 only

b) 2 and 3 only

c)   1 and 2 only

d) 1,2 and 3

Answer: (d) 1, 2 and 3

Explanation:

In NEWS: Ministry of Power Redesigns Renewable Energy Certificate (REC) Mechanism

●    Union Minister of Power and New & Renewable Energy, Shri RK Singh has given his assent to amendments in the existing Renewable Energy Certificate (REC) mechanism. The intent behind this decision is to align the ‘mechanism’ with the emerging changes in the power scenario and also to promote new renewable technologies.

●    The proposed changes will provide some flexibility to the players, additional avenues, rationalization and also addressing the RECs validity period uncertainty issues. Extensive stakeholder consultations have been held towards drawing up these changes.

●    The Ministry of Power had circulated a Discussion paper on redesigning the Renewable Energy Certificate (REC) Mechanism for comments of stakeholders in power sector on 4th June 2021.

About Renewable Energy Certificates

●    Renewable Energy Certificate (REC) mechanism is a market based instrument to promote renewable energy and facilitate compliance of renewable purchase obligations (RPO). Hence statement 1 is correct

●    It is aimed at addressing the mismatch between availability of RE resources in state and the requirement of the obligated entities to meet the renewable purchase obligation (RPO).

●    One Renewable Energy Certificate (REC) is treated as equivalent to 1 MWhHence statement 2 is correct

●    There are two categories of RECs, viz., solar RECs and non-solar RECs.Solar RECs are issued to eligible entities for generation of electricity based on solar as renewable energy source, and non-solar RECs are issued to eligible entities for generation of electricity based on renewable energy sources other than solar.

●    The proportion of renewable energy for utilities is fixed by the central and state electricity regulatory commissions.

●    In India, RECs are traded on two power exchanges — Indian Energy Exchange (IEX) and Power Exchange of India (PXIL). Hence statement 3 is correct

●    The price of RECs is determined by market demand, and contained between the ‘floor price’ (minimum price) and ‘forbearance price’ (maximum price) specified by the Central Electricity Regulatory Commission (CERC).

Source: https://pib.gov.in/PressReleasePage.aspx?PRID=1759300

2. Consider the following statements regarding OSOWOG (One World, One Sun, One Grid)

1) It is an ambitious project proposed by India to interconnect renewable energy systems on a massive scale.

2) It has been taken up under the technical assistance programme of the International Solar Alliance

Which of the statements given above is/are correct?

a)  1 only

b) 2 only

c)   Both 1 and 2

d) Neither 1 nor 2

Answer: (a) 1 only

Explanation:

In NEWS:

●    The COP26 UN climate change conference, scheduled to be held from 1 November to 12 November, at Scotland’s Glasgow will most likely see India and the United Kingdom announcing the joint declaration on “one sun, one world, one grid” — or OSOWOG, a concept New Delhi has been pushing through its International Solar Alliance.

●    The concept of OSOWOG, which the British have called a Green Grid, has been pushed by Prime Minister Narendra Modi

What is OSOWOG or the Green Grid?

●    The OSOWOG was first floated by Modi in 2018 during the first assembly of the International Solar Alliance (ISA).

●    As per the draft plan prepared by the Union Ministry of New and Renewable Energy, the ambitious OSOWOG will connect 140 countries through a common grid that will be used to transfer solar power. Hence statement 1 is correct

●    The vision behind the OSOWOG mantra is “the Sun never sets” and is a constant at some geographical location, globally, at any given point of time.

●    With India at the fulcrum, the solar spectrum can easily be divided into two broad zones, which is the far East which would include countries like Myanmar, Vietnam, Thailand, Lao, Cambodia and far West which would cover the Middle East and Africa Region

●    OSOWOG is planned to be completed in three phases. The first phase will entail interconnectivity within the Asian continent; the second phase will add Africa and the third phase will globalise the whole project.

●    It has been taken up under the technical assistance programme of the World Bank. Hence statement 2 is incorrect

●    Many believe that the OSOWOG is India’s counter to China’s Belt and Road initiative.

Source: https://indianexpress.com/article/india/india-uk-likely-to-announce-green-grid-at-cop26-summit-7542863/

3. Consider the following statements regarding DigiSaksham

1) It is a digital skills programme to enhance employability of youth

2) It have jointly the Union Labour Ministry and Microsoft India

Which of the statements given above is/are correct?

a)  1 only

b) 2 only

c)   Both 1 and 2

d) Neither 1 nor 2

Answer: (c) Both 1 and 2

Explanation:

In NEWS: Union Minister Bhupender Yadav launches DigiSaksham- a digital skills programme to enhance employability of youth

●    Labour and Employment Minister Bhupender Yadav on Thursday launched DigiSaksham – a digital skills programme to enhance the employability of youth by imparting digital skillsHence statement 1 is correct

●    This joint initiative with Microsoft India is an extension of the Government’s ongoing programmes to support the youth from rural and semi-urban areasHence statement 2 is correct

●    Through DigiSaksham initiative, free of cost training in digital skills including basic skills as well as advance computing, will be provided to more than three lakh youths in the first year.

●    The Jobseekers can access the training through National Career Service Portal

●    The initiative gives priority to the job-seekers of semi-urban areas belonging to disadvantaged communities, including those who have lost their jobs due to COVID-19 pandemic.

●    DigiSaksham will be implemented in the field by Aga Khan Rural Support Programme India (AKRSP-I).

●    Under the initiative, there will be basically three types of training viz. Digital Skills – Self paced learning, VILT mode training (Virtual Instructor led) and ILT mode training (Instructor led).

●    The ILT training which is in person training would be conducted at the Model Career Centres (MCCs) and National Career Service Centres (NCSC) for SCs/STs across the country.

Source: https://newsonair.com/2021/09/30/union-minister-bhupender-yadav-launches-digisaksham-a-digital-skills-programme-to-enhance-employability-of-youth/

4. Recently, the All-India Debt and Investment Surveys is carried out by the:

a)  NITI Aayog

b) National Development Council

c)   National Statistical Office

d) Reserve Bank of India

Answer: (c) National Statistical Office

Explanation:

In NEWS: What gives rise to the rural debt trap?

●    The All-India Debt and Investment Surveys (AIDIS) is carried out by the National Statistical Office. Hence option (c) is correct

●    AIDIS is among the most important nationally representative data sources on the rural credit market in India.

●    According to the latest report, the average debt per household in rural India is Rs 59,748, nearly half the average debt per household in urban India.

●    As per the latest AIDIS report, the incidence of indebtedness (IOI) is 35 per cent in rural India — 17.8 per cent of rural households are indebted to institutional credit agencies, 10.2 per cent to non-institutional agencies and 7 per cent to both.

●    The share of debt from institutional credit agencies in total outstanding debt in rural India is 66 per cent as compared to 87 per cent in urban India.

●    Dependence on institutional sources is often seen as a positive development, signifying broadening financial inclusion, while reliance on non-institutional sources denotes vulnerability and backwardness.

●    Institutional credit is taken mainly for farm business and housing in rural India.

●    A significant portion of debt from non-institutional sources is used for other household expenditures.

●    The data indicates that better-off households have greater access to formal-sector credit and use it for more income-generating purposes.

●    Access to institutional credit is largely determined by the ability of households to furnish assets as collateral.

●    The report shows that the top 10 per cent of asset-owning households have borrowed 80 per cent of their total debt from institutional sources, whereas those in the bottom 50 per cent borrowed around 53 per cent of total debt from non-institutional sources.

●    The Debt-Asset Ratio (DAR) of the bottom 10 per cent asset-owning households in rural India is 39, much higher than the DAR of 2.6 estimated for the top 10 per cent households.

●    This, coupled with higher borrowing from non-institutional sources, acts as a debt trap for households with fewer assets.

Source: https://indianexpress.com/article/opinion/columns/what-gives-rise-to-the-rural-debt-trap-7542634/

5. Which of the following options are correct about Key benefits offered by Free Trade Agreement?

1) Elimination of monopolies

2) Intellectual Property Protection

3) Reduction of tariffs on qualified

4) Fair treatment for investors

5) Enhance Product Standards

Select the correct options from the given below codes

a)  1, 3 and 4 only

b) 2,4 and 5 only

c)   1,2,3 and 4 only

d) 1,2,3,4 and 5

Answer: (d) 1,2,3,4 and 5

Explanation:

In NEWS: India, Australia to conclude free trade pact by end 2022: Tehan

●    India and Australia agreed on Thursday to conclude a Free Trade Agreement (FTA) by end 2022, with an interim agreement that will be finalised by this Christmas, said Australian Minister for Trade, Tourism and Investment Dan Tehan after meeting Commerce and Industry Minister Piyush Goyal.

●    The economic partnership will cover trade in services and goods, investments and we will begin discussing government procurement, energy and resources, logistics and transport, standards, rules of origin

●    This growth will be across all areas because of the complementarities in the two countries’ industries. Our merino wool could be used by Indian textiles makers to produce the best product

About Free Trade Agreement

●    A FTA is a pact between two or more nations to reduce barriers to imports and exports among them.

●    Under a free trade policy, goods and services can be bought and sold across international borders with little or no government tariffs, quotas, subsidies, or prohibitions to inhibit their exchange.

●    The concept of free trade is the opposite of trade protectionism or economic isolationism.

●    India has signed it’s first Free Trade Agreement (FTA) with Sri Lanka in 1998.

Key benefits offered by FTA

●    Reduction or elimination of tariffs on qualified: For example, a country that normally charges a tariff of 12% of the value of the incoming product will rationalize or eliminate that tariff.

●    Intellectual Property Protection: Protection and enforcement of intellectual property rights in the FTA partner country is upheld.

●    Product Standards: FTA enhances the ability for domestic exporters to participate in the development of product standards in the FTA partner country.

●    Fair treatment for investors: FTA provides treatment as favourably as the FTA partner country gives equal treatment for investments from the partner country.

●    Elimination of monopolies: With FTAs, global monopolies are eliminated due to increased competition. Hence option (d) is correct

Source: https://www.thehindu.com/business/india-australia-to-conclude-free-trade-pact-by-end-2022-tehan/article36764324.ece

6. Which of the following statement is correct regarding Rakthamichthys mumba?

a)  It is a fresh water fish species

b) It is a new species of the blind swamp eel

c)   It is a new bacteria used to remove oil spill

d) It is an invasive plant species found in the Western Ghats

Answer: (b) It is a new species of the blind swamp eel

Explanation:

In NEWS: New species of blind freshwater eel discovered from Mumbai well

●    A new species of the blind swamp eel belonging to the genus Rakthamichthys has been discovered from a well in Mumbai, naturalist Tejas Thackeray, son of Maharashtra Chief Minister Uddhav Thackeray. Hence option (b) is correct

●    The new species is a `hypogean freshwater eel’

●    It is the first completely blind subterranean freshwater fish species to be described from

●    Maharashtra and the northern Western Ghats

●    Unlike other species of its genus, the mumba lacks eyes, fins and scales, has jaws equal in forwarding extent, different gill aperture, crescentic-shaped cephalic.

Source: https://www.thehindu.com/sci-tech/energy-and-environment/new-species-of-blind-freshwater-eel-discovered-from-mumbai-well-by-tejas-thackeray-other-researchers/article36770498.ece

7. C.K. Mishra committee was recently seen in news. The committee is related to which of the following area?

a)  Pandemic regulations

b) Coastal regulation zone

c)   Sustainable climate finance

d) Prison Reforms

Answer: (c) Sustainable climate finance

Explanation:

In NEWS: Centre forms expert committee for sustainable climate finance

●    India has on multiple international, reiterated that the developed countries, the rich nations, must provide finance for the poor countries

●    Adaptation encompasses several steps that help adjust to a given situation wherein the disaster has happened while mitigation can be termed simply as steps taken to either prevent a disaster from happening or at the least, lessen the impact due to climate change.

●    These measures, called the Nationally Determined Contribution (NDC), will require Rs 162.5 lakh crore (USD 2.5 trillion) from 2015 to 2030 per year for climate action.

●    While India can domestically raise this, it has been insisting on getting public money from rich nations for adaptation and mitigation actions.

●    International Financial Services Centres Authority (IFSCA) has been established as a unified regulator to develop and regulate financial products, financial services, and financial institutions in the International Financial Services Centres (IFSCs) in India.

●    Now, the IFSCA, in its endeavour to develop the required eco-system, has constituted an Expert Committee to recommend an approach towards development of a Sustainable Finance Hub and provide a road map for the same.

●    The expert committee will be chaired by a former secretary to the Government of India, Ministry of Environment, Forest & Climate Change, C.K. Mishra 

●    The committee consists of leaders across the sustainable finance spectrum, including international agencies, standard setting bodies, funds, academia, and consultancies, a release from the IFSCA. Hence option (c) is correct

●    The Expert Committee will study the current regulatory practices in Sustainable Finance across major international financial jurisdictions and recommend a robust framework to develop a world-class sustainable finance hub at IFSC.

Source: https://www.business-standard.com/article/current-affairs/centre-forms-expert-committee-for-sustainable-climate-finance-121100100166_1.html

8. What is an objective of SACRED portal?

a)  It aims to create a unified national market for agricultural commodities.

b) It aims to bring the employment seeker senior citizens and employment providers on one platform.

c)   It aims to promote cluster development of Khadi and other village Industries.

d) It aims to set up to enhance flow of long-term infrastructure debt

Answer: (c) It aims to bring the employment seeker senior citizens and employment providers on one platform.

Explanation:

In NEWS: Society needs to be sensitised towards challenges faced by the elderly: Vice-President

●    Vice-President Venkaiah Naidu urged people to address the aged as “elderly” instead of “older persons” and said society needs to be sensitised towards the challenges faced by them.

●    According to the Census of 2011, India has an elderly population of 10.38 crore. This constitutes about 8.6% of the total population. Based on the rate of growth, the population of the elderly in India is projected to reach about 14.9% of the total population, by 2036

About the Senior Able Citizens for Re Employment in Dignity’ (SACRED) portal

●    It is an IT portal to bring the employment seeker senior citizens and employment providers on one platform. Hence option (b) is correct

●    The portal will be developed and maintained by an agency identified through a transparent process.

●    The portal will be developed through NIC.

●    The portal will not be a guarantee for getting a job or employment or selling of the products of the SHGs, or for any other activity.

●    A senior citizen can get himself registered on the portal with his education, experience, skills and areas of interest. Any job provider, be it an individual, firm or organization, can also register on the portal, specifying the task involved and the number of senior citizens required.

●    Voluntary Organizations will help senior citizens in applying for jobs. No user charges will be taken from any of the senior citizens by any Voluntary Organizations.

Source: https://www.thehindu.com/news/national/society-needs-to-be-sensitised-towards-challenges-faced-by-the-elderly-vice-president/article36776292.ece

9. With respect to Commission for the Conservation of Antarctic Marine Living Resources, Consider the following statements

1) It is an international treaty to manage Antarctic fisheries to preserve species diversity and stability of the entire Antarctic marine ecosystem

2) India is not a part of this commission

Which of the statements given above is/are correct?

a)  1 only

b) 2 only

c)   Both 1 and 2

d) Neither 1 nor 2

Answer: (a) 1 only

Explanation:

In NEWS: India backs move to designate East Antarctica, Weddell Sea as Marine Protected Areas

●    India has extended its support for protecting the Antarctic environment and co-sponsoring a proposal of the European Union for designating East Antarctica and the Weddell Sea as Marine Protected Areas

●    India urged the Commission for the Conservation of Antarctic Marine Living Resources (CCAMLR) member countries to ensure that India remains associated with the formulation, adaptation and implementation mechanisms of these MPAs in future.

●    India has extended support for protecting the Antarctic environment and for co-sponsoring the proposal of the European Union for designating East Antarctica and the Weddell Sea as Marine Protected Areas (MPAs)

About Commission for the Conservation of Antarctic Marine Living Resources

●    CCAMLR is an international treaty to manage Antarctic fisheries to preserve species diversity and stability of the entire Antarctic marine ecosystem. Hence statement 1 is correct

●    It came into force in April 1982.

●    India has been a permanent member of CCAMLR since 1986Hence statement 2 is incorrect

●    Work pertaining to CCAMLR is coordinated in India by the Ministry of Earth Sciences through its attached office, the Centre for Marine Living Resources and Ecology (CMLRE) in Kochi, Kerala.

●    Since 2009, CCAMLR members have developed proposals for MPAs for various regions of the Southern Ocean.

●    CCAMLR’s scientific committee examines these proposals. After CCAMLR members agree upon them, elaborate conservation measures are set out by the commission.

Source: https://indianexpress.com/article/technology/science/india-designate-east-antarctica-weddell-sea-marine-protected-areas-7545870/

10. In the context of polity, which one of the following would you accept as the most appropriate definition of liberty?

a)  Protection against the tyranny of political rulers

b) Absence of restraint

c)   Opportunity to do whatever one likes

d) Opportunity to develop oneself fully

Answer: (d Opportunity to develop oneself fully

Explanation:

The term ‘liberty’ means the absence of restraints on the activities of individuals, and at the same time, providing opportunities for the development of individual personalities.

Liberty, as elaborated in the Preamble, is very essential for the successful functioning of the Indian democratic system.