Daily PT Capsule Mar 16

Kakrapar leak a Level 1 nuclear mishap

The Atomic Energy Regulatory Board(AERB) has classified nuclear reactor leak at the Kakrapar atomic power station (KAPS) as Level-1, or the lowest in a seven-rung classification scheme internationally used to rate the severity of nuclear mishaps.

One of the pipes carrying heavy water ruptured and led to leakage on the floor of the reactor building. Though plant operators have identified the location of the leak, it will take a while for it to be plugged. Moreover, the leak occurred in a subsystem that had been refurbished with better quality material in 2011, as part of a planned upgrade.

In a update by AERB there has been no sign of leaked radiation and the health of workers hasn’t been compromised in anyway whatsoever.

However, independent experts said it was “surprising” that the incident was classified as only a Level-1 incident. “Right now we have contradictory reports on the quantum of the leak. A Level-1 classification may be underestimating the seriousness of the incident,” said A. Gopalakrishan, the former Chairman, AERB, and a critic of India’s nuclear establishment.

Analysis

What is the International Nuclear and Radiological Event (INES)? – The International Nuclear and Radiological Event (INES) scale, developed by the International Atomic Energy Authority, rates a Level 1 as only akin to ‘an anomaly in the plant.’ Levels 1-3 are termed ‘incidents’ and 4-7 as ‘accident.’ By comparison, the nuclear accidents in Fukushima, Japan, in 2011 and Chernobyl, Russia, in 1986 were Level 7 incidents, according to the Atomic Energy Regulatory Board (AERB) update.

What is the AERB? – The Atomic Energy Regulatory Board (AERB) was constituted on November 15, 1983 by the President of India by exercising the powers conferred by Section 27 of the Atomic Energy Act, 1962 (33 of 1962) to carry out certain regulatory and safety functions under the Act.

The regulatory authority of AERB is derived from the rules and notifications promulgated under the Atomic Energy Act, 1962 and the Environmental (Protection) Act, 1986.

The mission of the Board is to ensure that the use of ionising radiation and nuclear energy in India does not cause undue risk to health and the environment. Currently, the Board consists of a full-time Chairman, an ex officio Member, three part-time Members and a Secretary.

Source: The Hindu

Smaller Pictorial warnings for tobacco recommended

The order regarding pictorial warnings covering 85% of the principal display area of the front and back sides of all tobacco products was supposed to be implemented starting next month. But in the meantime the Parliamentary Committee on Subordinate Legislation report on Tuesday, 15th March said that the requirement will be “too harsh” on the tobacco industry and will result in “flooding of illicit cigarettes” and affect the livelihood of thousands of tobacco farmers and workers.

The committee has recommended that pictorial warnings be restricted to only 50 per cent on both the sides of the cigarette packets.

In the case of beedis, chewing tobacco and other tobacco products, the committee recommended that the warning be restricted 50 per cent of the display area and on only one side of the packet.

In the case of beedis, it said that there would be “virtually no space left for printing the brand name and logo” if 85 per cent of area is earmarked for printing the warning on both sides. The committee has not stated the logic for restricting the warning to only one side in the case of chewing tobacco products.

Being a Committee on Subordinate Legislation, its mandate is only to look at whether the Cigarette and Other Tobacco Products (Packaging and Labelling) Amendment Rules, 2014 are in confirmation with legislation under which they are made.

Analysis

What is the Committee on Subordinate Legislation(Lok Sabha)? – The Committee consists of 15 members nominated by the Speaker. A Minister is not nominated to this Committee. The Committee scrutinizes  and reports to the House whether the powers to make regulations, rules, sub-rules, by-laws etc. conferred by the Constitution or  delegated by Parliament are being properly exercised by the executive within the scope of such delegation.

Source: The Hindu

Space Tourism rules needed says UN

The UN aviation agency called on Tuesday for regulations on space travel to be enacted within five years in order to bolster a burgeoning space tourism and transportation sector.

The International Civil Aviation Organization ‘recognizes that sub-orbital and outer space flights will foster new tourism and transport markets.

The ICAO also cited a steady increase in rocket ship launches, and commercial spaceports are now becoming ‘operational realities,’ the Montreal-based agency said in a statement.

The agency suggested adapting the existing regulatory framework for aviation, for which the ICAO and national governments are responsible.

Analysis

What is ICAO? – The International Civil Aviation Organization is a specialized agency of the United Nations. It codifies the principles and techniques of international air navigation and fosters the planning and development of international air transport to ensure safe and orderly growth. Its headquarters are located in the Quartier International of Montreal, Canada.

The ICAO Council adopts standards and recommended practices concerning air navigation, its infrastructure, flight inspection, prevention of unlawful interference, and facilitation of border-crossing procedures for international civil aviation. ICAO defines the protocols for air accident investigation followed by transport safety authorities in countries signatory to the Convention on International Civil Aviation (Chicago Convention).

Source: Daily Mail UK

Income Norm for LPG subsidy imposed

The centre has begun debarring LPG users who earn more than Rs. 10 lakh a year from subsidy. After running the GiveitUp campaign the government has started targeting subsidy exclusion based on income.

The government  identified around 3 lakh people with an income of more than Rs. 10 lakh. They have been sent SMSs and their subsidy will be removed.

Analysis

What is the Give It Up campaign? – The Give It Up campaign  is an initiative to motivate well off individuals to give up their LPG subsidy. In a Mann KI Baat speech by PM Modi he mentioned that 30 lakh people gave up their subsidy. He termed it as a ‘silent revolution’.

The gains of this  initiative to the national exchequer could be to the tunes of 100-150 crore annually.

Source: The Hindu, Business Standard

End to Inspector Raj for jewellers

Jewellers are conducting nation-wide strike in protest against the Union Budget announcement of a 1 per cent excise levy. Only jewellers who have an annual turnover of more than Rs 12 crore will be liable to pay a nominal 1 per cent excise duty if they do not claim inputs tax credit. The centre has offered an end to ‘Inspector Raj’ for jewellers in a bid to stop the protests.

The government has asked the Central Excise Department to keep its inspectors away from the premises of jewellers who will now file quarterly returns and pay excise duty electronically every month through a voluntary disclosure of stocks. Any grievance or dispute will be resolved by a commissioner-level officer.

Analysis

Is there a need to increase tax on gold and jewellery? – As per the Economic Survey Gold is a strong demerit good: the ‘rich’ consume most of it (the top 20 per cent of population account for roughly 80 per cent of total consumption) and the poor spend almost negligible fraction of their total expenditure on it. Yet gold is only taxed at about 1-1.6 per cent (States and Centre combined), compared with tax of about 26 per cent for normal goods (the central government’s excise tax on gold is zero compared with 12.5 per cent for normal commodities.)

In other words, there is a huge subsidy of about 25 percentage points (the difference between average tax on other commodities and tax on gold). About 98 per cent of this subsidy accrues to the better-off and only 2 per cent to the bottom 3 deciles. And this is an under- estimate because the data on consumption is from the NSS, which is known not to capture those at the very top end of the income and expenditure distribution.

Source: The Hindu,  Economic Survey

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