The Aakhya Weekly #21 | Where Space Meets Commerce
The Aakhya Weekly #21 | Where Space Meets Commerce
In Focus: ISRO forays into commercial launch service market with launch of 36 OneWeb satellites
The Indian Space Research Organisation (ISRO) on October 23 successfully launched its heaviest rocket Launch Vehicle Mark-3 (LVM-3) from the Satish Dhawan Space Centre in Sriharikota, putting 36 satellites of UK-based OneWeb satellite communications company in a low earth orbit (LEO).
While ISRO has been launching satellites for other nations for over two decades, this was India’s first commercial launch. The majority of the launches thus far had been very small satellites essentially hitching a piggyback ride when spare payload capacity arose. The sole purpose of this mission, however, was deploying the OneWeb satellites (totaling 5,400 kg).
LVM3-M2 is the dedicated commercial satellite mission of NewSpace India Limited (NSIL). Established in 2019, NSIL is a public sector undertaking of the Indian government. The LVM rockets, also known as Geosynchronous Launch Vehicles (GSLVs), are capable of launching satellites into geosynchronous orbits approximately 36,000 km above the equator. Chandrayaan-II also used GSLVs, and Gaganyaan - India’s first manned mission in space slated for launch in 2024 - will use GSLVs as well.
NSIL handles a range of activities including commercial satellite launches, leasing of transponders, providing consultancy services, satellite manufacturing, among others. “Globally, there are multiple plans afoot for constellations of satellites in LEO (low Earth Orbit) and there will be a requirement for launchers that can place multiple satellites… The GSLV-MK3 will be ideally suited for such missions given its lift capacity,” said Radhakrishnan D, Chairman and Managing Director at NSIL.
GSLVs are cryogenic rockets, and while the government has been pushing for atmanirbharta (self-reliance) across sectors, it wasn’t always a choice when it comes to this rocket technology. Prime Minister Modi couldn’t help but recall the US blocking a critical cryogenic rocket deal between Russia and India in 1992, where the US threatened to block further economic aid to Russia had it continued with the $250 million deal with India. This forced India to develop cryogenic engines indigenously - forming the basis for the immensely successful GSLV project.
“I am confident that the Russian leaders will recognize the wisdom of stopping this sale once they see the risk of losing their economic aid… This is no minor sale; this is dangerous,” President Joe Biden, then senator from Delaware and the chief proponent of the blockade, had remarked.
Top Stories of the Week
MeitY backtracks on telecom bill, promises clarity
Amidst pushback from industry and other stakeholders including the TRAI over the draft telecom bill, Minister of Electronics and Information Technology Ashwini Vaishnaw clarified that the Government of India will continue with the existing provisions of the Telecom Regulatory Authority Act, 1997 and that the TRAI would further be strengthened with penal powers in a few years’ time.
Vaishnaw also restated his clarification on the definition of ‘telecommunication services’, which are perceived by experts and industry to be over broad and likely to cause confusion. The Minister clarified that only OTT communication services would be regulated, and that too through light-touch regulation. He further assured that the revised bill would clearly define the meaning of OTT. On KYC, the Minister rejected the idea that KYC compliance would breach data privacy, adding that users have a right to know the identity of callers and to screen calls accordingly. Lastly, Vaishnaw explained that the purpose of introducing an alternative dispute resolution (ADR) between the TRAI/ DoT and the TDSAT is to reduce the latter’s burden.
The deadline for submitting comments to the DoT has been extended to 10 November 2022.
India approves GM mustard
India’s apex body for the regulation of genetically modified plants and foodstuff, the Genetic Engineering Appraisal Committee (GEAC), has given its approval to ‘Dhara Mustard Hyrbid-11’ (DMH-11). DMH-11, developed by the Centre for Genetic Manipulation of Crop Plants at the University of Delhi, is a genetically modified variant of mustard. The strain, it is claimed, gives a yield that is 28% higher than its parent strain, “Varuna”, and 37% than local varieties of the crop.
The approval has been controversial, with activist groups, including the RSS-affiliated Swadeshi Jagran Manch, opposing the step. Similar controversy has surrounded genetically modified crops in the past. Genetically modified variants of brinjal and mustard have been approved by the GEAC in the past, but their cultivation has since been put on hold.
If successful, however, the measure bodes well for the country. India imports a significant majority of its edible oil requirements. In Fiscal 2021, oil imports in the country were believed to cost INR 1.2 lakh crore. The approval of genetically modified oilseed variants, it is hoped, shall help bring this import bill down.
MeitY notifies amendment to the IT Rules
The Ministry of Electronics and Information Technology (MeitY) has published a notification that amends the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021 (IT Rules 2022) on Friday, 28th October. Speaking regarding the amendments, Rajeev Chandrasekhar has opined that these amendments “marks new partnership between the Government and Intermediaries in making & keeping our Internet Safe & Trusted and Accountable Internet”.
The IT Rules 2022 has allowed for the establishment of Grievance Appellate Committees (GACs) that will entail panels to resolve user complaints against social media platforms. These GACs will be set up within three months, as per the notification. The purpose of establishing the committees is to provide social media users with the chance to deal with their grievances as soon as possible rather than going to court. Presently, social media companies must have an in-house grievance redressal officer and executives designated to coordinate with law enforcement officials. Companies would be expected to notice customer complaints within 24 hours and address them within 15 days, or 72 hours in the case of an information removal request, under the amended rules.
This Week in Policy
Macroeconomics and Taxation
India’s Business Confidence Index softens for the second quarter in a row, falling to 132.5 in the second quarter of Fiscal 2023 from 138.5 in the preceding quarter, as per NCAER’s Business Expectations Survey.
The Central Board of Direct Taxes has proposed a new consolidated income tax return form, which gives greater focus to declaring income from the sale of crypto assets. The proposed form intends to unify all current income tax return forms other than ITR-7.
Inflation for industrial workers, year-on-year, has increased to 6.49% in September 2022, from 5.85 in August 2022, according to Labour Bureau data. The Consumer Price Index for industrial workers increased from 130.2 to 131.9 during the period.
India’s manufacturing PMI has risen slightly in the month of October, to 55.3 from 55.1 in September.
Labour
India’s unemployment rate has risen to a four-month high of 7.77% in the month of October, suggests CMIE data.
At its 70th Foundation Day, the EPFO released a vision document, ‘EPFO Vision @ 2047’, laying a roadmap for the organisation for the coming 25 years.
Agriculture and FMCG
Government restricts use of herbicide Glyphosate and its derivatives, fearing health hazards and risk to human beings/animals amidst opposition from industry body.
Representatives from India and UAE look to harmonize Maximum Residue Limits (MRLs) for rice, currently leading to rejection of Indian rice exports.
Healthcare
Delhi announces special mohalla clinics for women, which shall provide gynecological services, tests and medicines free of cost.
The Supreme Court of India held that the “two-finger test” for the examination of rape survivors is a violation of women’s dignity and privacy. The test shall be removed from the curriculum of medical colleges and any individual conducting the test shall be held guilty of misconduct.
Foreign affairs
Minister for External Affairs S. Jaishankar is scheduled to visit Moscow on 8 November and will reportedly conduct talks with Russian Foreign Minister Sergei Lavrov
Ministry of External Affairs has stated that both India and the UK are working ‘sincerely’ on FTA negotiations. However, it is not known if the negotiating parties have committed to a deadline for its finalisation.
Technology, Media and Telecommunications
The Government of India has released procedural reforms for the streamlining of frequency allocation to expedite the rollout of satcom services in India.
Amidst speculations surrounding the Telecom Bill concerning the proposed dilution of the TRAI’s powers, MeitY Minister Ashwini Vaishnaw has assured that the Government of India will continue with the existing provisions under the TRAI Act.
International trade and commerce
Export-Import Bank of India has entered into a Master Risk Participation Agreement with South Africa’s leading bank for providing support to trade transactions.
Australia has introduced its free trade agreement with India in its Parliament, and it is expected to be ratified shortly.
Banking, Finance and Insurance
In light of increased financial disclosure violations by ‘finfluencers’, Sebi considering measures to bring such influencers under regulatory net without trampling on freedom of expression.
India’s central bank digital currency (CBDC) makes a steady and glitch-free start in the world of real-time trades, settles nearly 50 government bond transactions cumulatively worth about Rs 275 crore.
Manufacturing
On 30th October, PM Modi laid the foundation stone of the C-295 transport aircraft manufacturing plant in Gujarat. Led by Tata-Airbus, the facility will be manufacturing 40 C-295 aircrafts, additional aircrafts for Air Force requirements and exports.
Ministry of Electronics and IT approves the greenfield Electronics Manufacturing Cluster (EMC) with the project cost of Rs 492.85 crores to be set up in Ranjangaon Phase III, near Pune in Maharashtra.
The Government is looking at a new PLI scheme for the textile sector, to better match the prowess of China and Vietnam.
Retail and e-commerce
The Centre exempts wholesalers and big chain retailers from stockholding limits on oilseeds and edible oils. The stock limit order was imposed in October 2021, extending up till December 2022 due to increasing prices of edible oils both in international as well as domestic market.
The Centre launches an e-commerce portal for marketing products made by women of self-help groups (SHGs) on October 28th, 2022. It aims to have atleast 25% of their total sales to be online.
Logistics
After transporting a consignment of 75 utility vehicles to Bhutan, officials from the Northeast Frontier Railway (NFR) meets a delegation from Bhutan to explore logistic trade ties between the two countries.
India’s e-logistics sector is set to become $9 billion industry, with a compound annual growth rate of 35%, as per a report by Redseer Strategy Consultants.
Sustainability
Government mulling using India’s first sovereign green bond to finance a string of clean energy schemes, including viability gap funding for battery storage, energy efficiency schemes for small and medium businesses and equity support for hydropower projects in the North-East
Union cabinet approves MoU between India and Denmark on cooperation in the field of Water Resources Development and Management as part of the Green Strategic Partnership signed in September 2020
Upcoming Events
Revising Fiscal Rules and Fiscal Strategies after the Pandemic
November 11 | Hybrid
The Centre for Social and Economic Progress is organising its flagship seminar on Revising Fiscal Rules and Fiscal Strategies after the Pandemic on November 11th, 2022 in a hybrid format. Governments face record debt levels, tightening monetary policies, and urgent demands to tackle the cost-of-living crisis, while policy buffers are largely exhausted after two years of the pandemic. This seminar introduces recent IMF publications on these issues and offers an opportunity to rethink fiscal rules and determine how governments can build fiscal buffers in normal times so that fiscal policy can be more agile and flexible in responding to crises, without undermining fiscal sustainability. More Information | Registration Link
Energy Security Conference
November 10 | Le Meridien, New Delhi
CII, along with Ministry of External Affairs, is organising Energy Security Conference 2022 on November 10th, 2022 at Le Meridien, New Delhi. The conference will cover themes such as promoting energy justice in India, energy security imperatives for a gas-based economy, energy transition and use of hydrocarbons in pharma and other industries, among others. The conference aims to facilitate wider discussion and consultation to identify challenges and opportunities for India to formulate energy policy for energy security. Shri Hardeep Singh Puri, Minister of Petroleum and Gas, GOI, will be the chief guest for the event. Registration Link
CII Education Summit
November 4 | India Habitat Center, New Delhi
CII is organising the 12th Education Summit on 4th November at the India Habitat Center, New Delhi. The theme of this year's summit is "Reimagining Higher Education through Deeper Industry – Academia Engagements". The summit will have several plenary sessions, workshops and conversations on issues such as digital empowerment and online education, research, innovation and entrepreneurship, employability and industry-academia connects. Esteemed participants from the government, industry and academic quarters are expected to grace the summit. Dr. VK Paul, Member, NITI Aayog, will deliver the opening keynote address. More Information | Registration Link
A Few Good Reads
Nitin Pai makes the case for India investing in manpower to get ahead of the semi-conductor race.
As the United States looks to de-couple itself from the Chinese economy, Noah Smith makes an attempt at understanding how things will play out in the coming years.
If this is ‘biology’s century’, where are we falling short? Matthew Herper explores.
As the smog envelops much of North India, read Dynomight’s examination of the impact of air pollution on health.
War Tard analyses the necessity of United States’ withdrawal from Afghanistan.
Tweets of the Week
Joy Bhattacharya on how Elvis popularised the polio vaccine:
Yishan Wong, former CEO of Reddit, writes an excellent long thread on the challenges of content moderation on a social media platform:
Rohan Pai looks through potential concerns with the UPI, and how can we fix them in the long run:
Key Notifications
Haryana reshuffles its bureaucracy with eleven officers moved across departments.
Government notifies amendments to the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules 2021
Ministry of Environment, Forest and Climate Change notifies E-Waste (Management) Rules, 2022