Why in News?

• The Ministry of Statistics and Programme Implementation (MoSPI) has introduced a new GDP series with 2022-23 as the base year, replacing the earlier 2011-12 series.
• While changes such as double deflation, improved informal-sector estimates and the use of new price indices have received considerable attention, several other methodological changes have also been introduced.
• According to MoSPI, five additional changes aim to improve the accuracy, coverage and reliability of India’s national income estimates.

What’s in Today’s Article?

• Improved Classification of Manufacturing and Services
• Inclusion of Government-Provided Housing Services
• Revision of the Useful Life of Fixed Assets
• Improved Estimation of Household Savings
• Inclusion of Rooftop Solar Electricity
• Conclusion

Improved Classification of Manufacturing and Services:

• Earlier methodology (2011-12 series):
  • Enterprises engaged in multiple activities were classified according to their major activity.
  • Their entire Gross Value Added (GVA) was assigned to the sector contributing the largest share of turnover.
• New methodology (2022-23 series): An enterprise’s GVA is distributed between manufacturing and services according to the respective contributions of these activities.
• Data source:
  • MoSPI uses information from the Ministry of Corporate Affairs' annual MGT-7 and MGT-7A forms, which companies submit to disclose their financial and operational details.
  • These forms require companies to report business activities contributing at least 10% of their turnover, along with their respective shares.
• Significance: This activity-based classification provides a more accurate picture of sectoral GVA, particularly for enterprises engaged in both manufacturing and services.

Inclusion of Government-Provided Housing Services:

• Earlier GDP series:
  • It did not adequately account for the housing services provided to government employees living in government-owned accommodation.
  • While House Rent Allowance (HRA) is included in government employees' salaries, the imputed value of housing services provided to employees was not separately accounted for.
• New methodology: The new series estimates the value of these housing services using the cost of constructing the houses, after accounting for repairs, maintenance and annual consumption of fixed capital.
• Significance: This improves the measurement of government-provided housing services and ensures more comprehensive coverage of economic activity.

Revision of the Useful Life of Fixed Assets:

• The new GDP series has revised the estimated average useful life of several assets to calculate their annual consumption of fixed capital (depreciation).
• For instance, the average useful life of dwellings is now assumed to be 60-75 years, down from 70-80 years in the old series.
• MoSPI periodically reviews the useful life of assets, considering technological changes, obsolescence, operating conditions, maintenance practices and regulatory requirements.
• Significance: Revised asset-life estimates improve the measurement of depreciation and, consequently, the estimation of GVA and other national accounts aggregates.

Improved Estimation of Household Savings:

• Household savings, an important component of national accounts, comprise financial assets, physical assets and valuables such as gold and silver. The new GDP series introduces two major changes.
• Financial savings:
  • Data on shares, debentures, hybrid instruments and mutual funds are now sourced from the Securities and Exchange Board of India (SEBI), replacing the earlier reliance on the Reserve Bank of India (RBI).
  • This enables the inclusion of newer investment instruments, including Real Estate Investment Trusts (REITs), Infrastructure Investment Trusts (InvITs) and Alternative Investment Funds (AIFs).
• Savings in valuables: The estimated nominal household savings in gold and silver ornaments for 2022-23 increased to ₹1.65 lakh crore, compared to ₹64,504 crore in the previous series.
• Significance:
  • The revised methodology improves the coverage of financial instruments and provides a more comprehensive estimate of household savings.
  • The (above) estimates are based on the 2019 All India Debt and Investment Survey (AIDIS). MoSPI initiated a fresh AIDIS in July 2026, which is scheduled to conclude in June 2027.

Inclusion of Rooftop Solar Electricity:

• The new GDP series includes electricity generated by households through rooftop solar panels for their own consumption. The estimation methodology varies across years.
• For example,
  • 2022-23 and 2023-24: Estimates are based on the respective Household Consumption Expenditure Surveys and the Ministry of Health's population projections.
  • 2024-25 onwards:
    • Estimates use the growth in installed rooftop solar capacity, as reported by the Ministry of New and Renewable Energy (MNRE), along with the applicable per-unit electricity price.
    • This electricity is included in the electricity, gas, water supply and other utility services sector.
  • Significance: The inclusion of household-generated electricity improves the coverage of economic activity, particularly self-consumed renewable energy that may not be fully reflected in conventional electricity sales data.

Conclusion:

• The five additional changes in the 2022-23 GDP series extend beyond the revision of the base year.
• They improve the classification of economic activities, measurement of government services, estimation of depreciation, coverage of household savings and accounting for decentralised renewable energy.
• Together, these methodological improvements aim to make India's national accounts more comprehensive and representative of structural changes in the economy.

Context

• India’s large young population can become a powerful engine of economic growth only when young citizens receive quality education, relevant skills, productive employment and meaningful opportunities.
• A youthful population alone does not guarantee a demographic dividend; without opportunities, it can generate frustration and social disillusionment.
• This challenge is particularly significant in Jammu and Kashmir and Ladakh, where demographic potential intersects with conflict, geographical isolation and strategic sensitivities.
• Sustainable development requires combining economic opportunity, connectivity, entrepreneurship and regional integration with security considerations.

The Demographic Opportunity and Aspiration-Reality Gap

• India’s demographic advantage contrasts with China’s ageing population.
• India possesses a vast pool of young people entering the workforce, creating an opportunity for rapid economic growth if sufficient productive employment is generated.
• The smartphone revolution has dramatically expanded young people's expectations.
• Even those in remote areas can observe global educational, professional and lifestyle opportunities instantly. This has widened the aspiration-reality gap.
• Higher education has expanded, but a degree no longer guarantees employment or economic independence.
• Unemployment, recruitment delays, examination irregularities and paper leaks can therefore intensify frustration.
• The challenge is to build an economy capable of absorbing young people’s aspirations and talents.

Kashmir’s Youth: From Security Lens to Opportunity Lens

• Young people in Jammu and Kashmir share fundamental aspirations with youth elsewhere: dignity, employment, economic independence and a secure future.
• However, decades of conflict and political uncertainty have imposed additional constraints.
• A predominantly security-oriented perception can prevent Kashmiri youth from being recognised as human capital and strategic assets.
• Jammu and Kashmir possesses considerable hydroelectric potential, mineral resources and tourism opportunities, while its geographical location itself represents an underutilised economic asset.

Kashmir’s Historic Role as a Crossroads

• Historically, Kashmir was a crossroads connecting South Asia, Central Asia and Tibet, rather than an isolated frontier.
• Caravan routes facilitated the movement of goods, people, ideas, culture and skills.
• The influence of Mir Sayyid Ali Hamadani (Shah-i-Hamadan) and Persian and Central Asian craftsmen illustrates how connectivity contributed to Kashmir’s renowned handicraft traditions.
• The larger lesson is that connectivity creates economic ecosystems.
• Modern policy can draw upon this historical experience by transforming suitable traditional routes into modern, regulated economic corridors, subject to contemporary diplomatic and security conditions.

From Security Barriers to Connectivity Opportunities

• Connectivity involving Pakistan, China and Central Asia is necessarily sensitive.
• Reopening traditional routes therefore requires a phased diplomatic and infrastructure strategy rather than immediate unrestricted access.
• With Pakistan, India could explore confidence-building measures and trade connectivity when political and security conditions permit.
• With China, practical dialogue on trans-Himalayan connectivity could be pursued where economic interests and security concerns can be reconciled.
• A gradual strategy could begin with pilot corridors, selected according to security, diplomatic feasibility and economic potential.
• Successful initiatives could subsequently be expanded. Properly regulated connectivity could complement security objectives by encouraging economic interdependence and stability.

Jammu and Kashmir as India’s Northern Economic Gateway

• Greater connectivity with Central Asia could enable Jammu and Kashmir and Ladakh to function as northern economic gateways for India.
• Improved access could connect Indian businesses with Central Asian markets while attracting investment, tourism and commerce.
• A functioning land corridor could generate opportunities in:
  • Transport and logistics
  • Warehousing and supply chains
  • Tourism and hospitality
  • Agriculture and horticulture
  • Manufacturing and handicrafts
  • Finance, technology and services
• Unlike connectivity concentrated around airports or individual urban centres, land corridors can distribute economic activity across wider geographical areas.

A Road to Opportunity for the Young

• The ultimate purpose of connectivity should be employment and human development, rather than infrastructure alone.
• Construction can generate immediate jobs, while functioning corridors can create sustained demand for logistics, services, manufacturing and entrepreneurship.
• For Kashmir’s youth, expanded connectivity could transform aspirations into tangible opportunities and provide alternatives to dependence on limited public-sector employment.
• It could also strengthen participation in national and international markets.
• India’s demographic dividend is time-sensitive. The country cannot assume that its youthful population will remain an advantage indefinitely.
• Demographic potential must therefore be converted into productive human capital while the opportunity remains.

Conclusion

• India’s demographic future and Jammu and Kashmir’s economic future are closely connected to opportunity creation.
• Education without employment, connectivity without economic activity and security without inclusion cannot fully address the aspirations of a young population.
• India’s demographic advantage will yield lasting benefits only when young citizens across the country can move from education and aspiration towards employment, enterprise and dignity.

Context

• The Supreme Court’s dismissal of Congress leader Meenakshi Natarajan’s challenge to the rejection of her Rajya Sabha nomination from Madhya Pradesh raises important questions concerning electoral transparency, candidate rights and judicial review.
• The controversy centres on the alleged non-disclosure of a pending criminal complaint and the legal scope of Form 26 under the Representation of the People Act, 1951 (ROPA).
• It also raises questions about the limits of Returning Officers’ powers and the constitutional bar on judicial intervention during elections.

Evolution of Criminal Disclosure Requirements

• The requirement to disclose candidates’ criminal antecedents originated in the Supreme Court’s landmark Union of India v. Association for Democratic Reforms (2002).
• The Court recognised the voter’s right to information and held that disclosure enables an informed electoral choice.
• Parliament subsequently inserted Section 33-A into ROPA, while the Election Commission prescribed Form 26 for candidate affidavits.
• The objective was to improve transparency without creating additional qualifications for contesting elections.
• However, a significant divergence emerged in 2018. Section 33-A requires disclosure of cases involving offences punishable with imprisonment of two years or more where charges have been framed.
• The amended Form 26, by contrast, requires disclosure of all pending criminal cases, regardless of whether charges have been framed.

The Problem of Delegated Legislation

• Rule 4A of the Conduct of Election Rules, 1961, requires candidates to submit Form 26 with their nomination papers.
• Since the rule primarily provides the procedural mechanism for implementing Section 33-A, a constitutional question arises when the prescribed form appears to impose broader substantive obligations than the parent statute.
• The key issue is whether delegated legislation can enlarge a statutory obligation created by Parliament.
• Procedural rules may prescribe how information is supplied, but their authority to determine what must be disclosed cannot automatically exceed the limits of the enabling statute.
• At the same time, broader disclosure can promote electoral accountability and informed voting.
• The challenge is to reconcile transparency with statutory authority, legal certainty and proportionality.

 Electoral Integrity versus Candidate Rights

• Criminal disclosure requirements serve a legitimate democratic purpose by giving voters relevant information about candidates.
• However, candidates are also entitled to fair treatment under established law.
• A pending criminal complaint is not equivalent to a charge framed by a court or a conviction. Treating every allegation as sufficient grounds for rejection could undermine the presumption of innocence and potentially expose candidates to politically motivated complaints.
• Electoral transparency must therefore be balanced with procedural fairness and clear statutory thresholds.
• The law should distinguish between a complaint, investigation, criminal case, framing of charges and conviction.

Constitutional Remedies and Article 329(b)

• The second major issue concerns judicial intervention during elections. Article 329(b) restricts judicial interference in electoral matters and generally requires disputes to be raised through an election petition.
• In N.P. Ponnuswami v. Returning Officer (1952), the Supreme Court established that courts should ordinarily avoid interrupting an ongoing electoral process.
• The principle seeks to preserve electoral continuity and certainty.
• However, difficulties arise where a Returning Officer is alleged to have acted without jurisdiction or with manifest arbitrariness.
• A rigid application of Article 329(b) could potentially deny immediate judicial scrutiny even where an administrative decision is fundamentally defective.
• The central constitutional challenge is therefore to reconcile judicial restraint with constitutional accountability.

The Need to Reconsider the Legal Framework

• The controversy points to the need for greater clarity in two areas.
• First, the relationship between Section 33-A and Form 26 should be expressly clarified so that candidates and Returning Officers know precisely which criminal matters require disclosure.
• Second, the Supreme Court may need to clarify the boundaries of Article 329(b).
• The objective should not be to permit routine judicial intervention but to determine whether narrowly defined exceptions exist for cases involving patent illegality or lack of jurisdiction.

The Way Forward

• Harmonise Form 26 with ROPA to remove conflicting disclosure requirements.
• Clearly distinguish between complaints, criminal cases, framed charges and convictions.
• Establish uniform guidelines for Returning Officers dealing with alleged non-disclosure.
• Provide candidates a meaningful opportunity to clarify disputed information.
• Preserve the election-petition mechanism as the principal electoral remedy.
• Consider narrowly defined judicial review for manifest jurisdictional errors without disrupting elections.
• Ensure public access to candidate information while protecting the presumption of innocence.

Conclusion

• The Natarajan case raises issues extending beyond an individual nomination.
• It demonstrates the need to balance electoral transparency, candidate rights, delegated legislation, judicial restraint and constitutional accountability.
• Democratic elections require informed voters, but transparency must operate within clearly established law.
• Similarly, protecting electoral continuity should not eliminate safeguards against exceptional illegality.

About PFOS:

• PFOS (Perfluorooctane Sulfonate or Perfluorooctane Sulfonic Acid) is a synthetic chemical used to make products resistant to stains, grease, soil, and water.
• It is an organic perfluorinated compound, consisting of an eight-carbon backbone and a sulfonate functional group.
• It is part of a class of chemicals called per- and polyfluoroalkyl substances (PFASs).
  • PFAS, also known as the Forever Chemicals, are a large chemical family of over 10,000 highly persistent chemicals that don’t occur in nature.
• PFOS is very stable in the environment and hard to break down. PFOS also moves easily through groundwater.
• PFOS is of particular concern because it can accumulate up the food chain in aquatic systems and can lead to high concentrations in predatory fish consumed by anglers.
• It can cause serious health effects, including cancer, endocrine disruption, accelerated puberty, liver and immune system damage, and thyroid changes.
• When and how has PFOS been used?
  • Starting in the 1940s, PFOS was used in many consumer and industrial products, including carpets, rugs, upholstered furniture, non-stick cookware, and leather products.
  • PFOS has also been present in some firefighting foams used at airports, firefighter training facilities, and military airfields.
• PFOS is listed under the Stockholm Convention on Persistent Organic Pollutants (POPs), subject to international restrictions and exemptions.

About Incendiamoeba cascadensis:

• It is a new species of amoeba.
• It was discovered in the geothermal streams of Lassen Volcanic National Park, California, United States.
• The name Incendiamoeba cascadensis translates to “fire amoeba from the Cascade mountain range”.
• It can reproduce at temperatures reaching 145°F (63°C), breaking the record for the most heat-tolerant eukaryote.
  • While some thermophilic bacteria and archaea have been found to grow at temperatures exceeding 100°C, the limit for eukaryotic survival has been estimated at 60°C based on previous sampling.
  • Archaea and bacteria have different cellular organization from eukaryotes.
  • Eukaryotic organisms, including animals, plants, fungi, amoebae, and many other microorganisms, contain a nucleus and other specialized cellular structures.
• cascadensis divides through mitosis, the process in which one eukaryotic cell produces two daughter cells.
• It can remain mobile at around 147°F (64°C) and recover after brief exposure to temperatures of approximately 158°F (70°C), although it does not reproduce normally at that temperature.
• It had an elongated, worm-like form and a compact, amoeboid shape with pseudopodia.
• How does the amoeba survive extreme heat?
  • Extreme heat can damage proteins and destabilise cell membranes.
  • The findings suggest that the organism has adaptations that help protect its proteins and membranes.
  • It can also change its shape and movement patterns in response to rising temperatures.
  • At higher temperatures, the amoeba forms a protective structure that helps it withstand short periods of extreme heat.
  • However, scientists have not yet identified the precise mechanisms responsible for its heat tolerance.

About Vizellopsidites miocenicus:

• It is a new species of ancient, microscopic fungus.
• It was found perfectly preserved on a fossilised plant leaf from up to 12 million years ago in the foothills of the western Himalayas in the Mandi District of Himachal Pradesh.
• Because the delicate fungus was practically invisible to the naked eye, the researchers used a chemical process called maceration.
  • It involves bathing the fossil in a series of gentle acids to dissolve the surrounding rock and isolate the leaf's transparent, waxy outer layer.
  • When they placed this surviving leaf fragment under a high-powered light microscope, the intricate, dark-brown structures of the ancient fungus were revealed.
• The specific name, miocenicus, directly references the Late Miocene epoch, the geological time period roughly 8 to 12 million years ago when the fungus lived and fossilised.
• It features larger cells and a much looser, net-like arrangement of alternating side branches, which grew in dense mats that primarily branched at the tips.
• It features distinct, circular fruiting bodies, the structures that once released spores, nestled beneath a dark, protective web of cells.
• By comparing the fossil to its modern-day fungal relatives, which grow only in very warm, highly humid tropical environments, the scientists deduced what this region once looked like.
• The presence of V. miocenicus serves as direct evidence that millions of years ago, the terrain of the Himachal Himalaya was not the cooler, mountainous environment we know today, but rather a dense, sweltering, and vibrant tropical forest.

About Wayanad Wildlife Sanctuary:

• Location: It is located in Wayanad, Kerala, in the southern trenches of the Western Ghats.
• It is also known as Muthanga Wildlife Sanctuary.
• It forms an integral part of the Nilgiri Biosphere Reserve, a UNESCO World Heritage Site.
• It is bordered by the protected areas of Nagarhole and Bandipur in Karnataka on the northeastern side and Mudumalai in Tamil Nadu on the southeastern side.
• Rivers: Rivers like the Kabini, Cherupuzha, and Bavali flow through the sanctuary.
• Tribes: Tribes living in these forests include some scheduled adivasis, such as Paniyas, Kattunaikkans, Kurumas, Ooralis, Adiyans, and Kurichiyas.
• Vegetation: It is a mosaic of the Western Ghats’ significant vegetation types, ranging from moist deciduous to dry deciduous and semi-evergreen patches.
• Flora: About one-third of the sanctuary is covered by plantations of teak, rosewood, eucalyptus, and silver oak.
• Fauna: It boasts one of the largest populations of Asian elephants and tigers, which are considered its flagship species. 
  • Other mammals include leopards, gaur (Indian bison), sambar deer, wild boars, sloth bears, and jungle cats.

About Cool Leaders Award:

• It is a global recognition initiative launched by the UNEP Cool Coalition.
• It recognizes outstanding leadership in advancing sustainable cooling and protecting people from extreme heat.
• The first Cool Leaders are:
  • Singapore: For leadership in passive cooling and heat resilience.
  • United Arab Emirates: For leadership in district cooling and advancing cooling in global climate and development policy.
  • Dong Mingzhu: Chairwoman of Gree Electric Appliances, for spearheading of the development ultra-efficient, low-carbon cooling technologies, including the Zero Carbon Source air-conditioning system.

What is UNEP Cool Coalition?

• It is a global platform driving system-level change on sustainable cooling.
• It was launched in 2019 as a flagship initiative of the UN Secretary-General’s Climate Action Summit.
• It brings together over 250 actors—including governments, businesses, cities, and financial institutions—to deliver efficient, climate-friendly cooling solutions aligned with the Paris Agreement, the Kigali Amendment, and the 2030 Agenda.

About Forum for India-Pacific Islands Cooperation:

• It is a multilateral platform established by India to enhance cooperation with the Pacific Island countries.
• It was established in 2014 during the Prime Minister of India’s visit to Fiji.
• Member countries: It includes 14 of the island countries – Cook Islands, Fiji, Kiribati, Marshall Islands, Micronesia, Nauru, Niue, Palau, Papua New Guinea, Samoa, Solomon Islands, Tonga, Tuvalu, and Vanuatu.
• In line with the “Act East Policy”, through FIPIC, India has primarily focused its efforts on the Pacific Islands.
• Economic Cooperation: At this moment, total annual trade of about $300 million between the Indian and Pacific Island countries, whereas exports are around $200 million and imports are around $100 million.
• FIPIC Summits held: Since 2014 three FIPIC summits have been held, 1st 2014 (Suva, Fiji), 2nd 2015 (Jaipur, India), 3rd 2023 (Port Moresby, Papua New Guinea).

About United Nations Convention Against Cybercrime:

• It is the first comprehensive, legally binding global treaty adopted by consensus by 193 UN member states.
• It was adopted by member states of the UN General Assembly (UNGA) in December 2024 to strengthen global cooperation in combating cybercrime.
• It is the first universal legally binding instrument to strengthen collective defences against cybercrime. 
• Purpose: To promote international cooperation, strengthen measures to prevent and combat cybercrime, and support capacity-building, particularly for developing countries.
• It entered into force last year after securing the required threshold of 40 member-state signatures.
• By the end of 2025, 93 countries had signed the convention.
• India has signed this treaty.
• The convention was developed by the UN Office on Drugs and Crime (UNODC).

Key Provisions of United Nations Convention Against Cybercrime:

• It sets legal standards for addressing offenses such as illegal access, cyber fraud, and online child exploitation, while ensuring human rights and data privacy.
• It provides States with a range of measures to be undertaken to prevent and combat cybercrime.
• It facilitates the sharing of electronic evidence across borders and establishes a 24/7 cooperation network among States.
• It recognises the non-consensual dissemination of intimate images as an offence.
• It covers crimes such as hacking, ransomware, online financial fraud, illegal interception, money laundering,
• It applies not only to cyber offences but also to the collection and sharing of electronic evidence in serious crimes.