23 July 2025 Dca
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23 July 2025 : Daily Current Affairs

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1. Dhankhar’s Exit Notified, but Key Questions Remain

Source: Page 1 , The Hindu UPSC IAS Edition

Topic: GS-2 – Indian Polity and Governance, Parliamentary system
Context
  • Vice-President Jagdeep Dhankhar’s resignation has created an unprecedented vacancy, raising questions about the executive–legislature relationship, the process for removal of judges, and the constitutional process for filling high offices.

Content

Background

  • First Vice-President in India to resign citing health reasons, but underlying political and procedural factors are indicated.

  • His tenure saw active engagement in Rajya Sabha and several confrontations about the process for removing High Court judges.

Constitutional Provisions

  • Article 66(1): Election of Vice-President by an electoral college consisting of members of both Lok Sabha and Rajya Sabha.

  • In the event of resignation/removal, a fresh election must be held immediately as the position cannot be left vacant; no interim succession is provided in the Constitution.

Issues in Focus

  • Government vs. Parliament Dynamics: Dhankhar’s acceptance of an Opposition-backed notice for judicial removal, which the government preferred to originate from Lok Sabha for bipartisanship, led to tensions.

  • Role of Rajya Sabha Chair: His decisions highlighted friction regarding parliamentary supremacy, judicial accountability, and executive influence.

  • Institutional Integrity: Raises the issue of political versus procedural propriety in higher constitutional offices.

Analysis

  • Weakening of independence and parliamentary democracy if high offices become sites for political tussle.

  • Need for clarity and process in removal of judges and robust institutional checks and balances.

Way Forward

  • Immediate election for Vice-President as per constitutional mandate.

  • Review the process and balance of accountability among legislature, executive, and judiciary for future stability in institutions.

Practice Question:

“Critically examine the constitutional and political challenges involved in the resignation and replacement of high constitutional offices like the Vice-President of India. What reforms can be suggested to preserve the sanctity and independence of such positions?” (250 words / 15 marks)

2. Redeeming India’s Nuclear Power Promise

Source: page 9, The Hindu UPSC IAS Edition

Topic: GS-3 – Energy; GS2 – Government Policies and Interventions

Context
  • India aims to expand nuclear energy capacity from 8.18 GW to 100 GW by 2047, with ambitious targets for clean energy and ‘net zero’ commitments, necessitating private and foreign involvement.

Analysis from UPSC Angle:

Background

  • India started early with nuclear research (Apsara, 1956) and power generation (Tarapore, 1963).

  • Historically constrained by international embargoes and internal policy (e.g., CLNDA 2010 limits foreign participation).

Government’s New Plan

  • Budget 2025-26: 100 GW nuclear capacity target by 2047; ₹20,000 crore for small modular reactors (SMRs).

  • Intent to amend Atomic Energy Act, 1962, and CLNDA 2010 to allow private sector and FDI up to 49% for ‘Indian control/ownership’.

Challenges

  • Financing: High capex, low opex, long plant lifespans, costly decommissioning, and waste management.

  • Regulatory: Call for independent nuclear regulatory authority (currently AERB is not a statutory body).

  • Policy and Safety: Tariff setting, commercial dispute mechanism, safety checks with new stakeholders (private/foreign).

  • International Relations: Need for foreign technology and investment; balancing autonomy with global norms.

Analysis

  • Nuclear energy critical for clean, consistent electricity as renewables are intermittent and coal is environmentally unsustainable.

  • Reforms needed in law, regulation, and investment climate to meet targets.

  • Global momentum for nuclear energy (COP28, World Bank–IAEA collaboration).

Way Forward

  • Comprehensive amendments to nuclear laws for private and foreign participation.

  • Enhanced regulatory oversight and incentives for green finance in nuclear sector.

Practice Question:

“Discuss the prospects and challenges of involving private and foreign companies in India’s nuclear power sector considering the revised national targets. Suggest a policy roadmap to ensure safety, sustainability, and energy security.” (250 words / 15 marks)

3. RBI’s Digital Rupee Pilot Expands to Tier-3 Cities

Source: Page 13, Indian Express Delhi Edition

Topic: GS-3 – Indian Economy; Banking and Financial Inclusion; Science and Tech

Context
  • The Reserve Bank of India (RBI) has extended the Digital Rupee (e₹) retail pilot project to tier-3 cities, after recording steady adoption in metros and tier-1 cities.

Key Points for UPSC:

About Digital Rupee (e₹-R)

  • Central Bank Digital Currency (CBDC) introduced in pilot form in late 2022.

  • Operated through public-private retail banks under RBI’s oversight.

  • Offers real-time, token-based digital alternative to physical currency.

Highlights of Current Expansion

  • Pilot now active in 125 cities, including tier-3 towns like Kolhapur, Jabalpur, and Thrissur.

  • Over 35 crore transactions processed since launch.

  • Integrated with UPI and digital wallets in selected banks.

Significance of the move:

  • Financial Inclusion: Reaches digital banking deserts in semi-urban India.

  • Cashless Economy: Pushes behavioral shift especially in low-value retail transactions.

  • Crisis-resilience: Offline payment capabilities tested in power-poor areas.

Policy and Regulatory Impact:

  • RBI evaluating feedback for designing interoperability across digital payment systems.

  • May influence future monetary transmission mechanisms.

Challenges:

  • Infrastructure issues in low-connectivity zones.

  • Lack of digital literacy and potential skepticism.

  • Privacy concerns with centralized data monitoring.

Way Forward:

  • Integrate e₹ with welfare transfer mechanisms directly to citizens.

  • Continue regulatory sandbox approach and involve local-level financial institutions for behavioral uptake

Practice Question:

“What are the advantages and limitations of the Digital Rupee (e₹) in the Indian context? How does its implementation support India’s larger economic and financial inclusion goals?” (150 words / 10 marks)

Check more: 22 July 2025 : Daily Current Affairs

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