In Today’s News:
- Index of Industrial Production(IIP) shrinks.
- Mandatory Fees for Forest use.
1. Index of Industrial Production (IIP) shrinks
Index of Industrial Production(IIP) contracted 10.4% in July 2020 as the economic recovery is slow although this contraction is significantly better than the contraction seen during the April month.
Prelims GS – Economic Development
Index of Industrial Production(IIP):
Click here to view the prelims content of IIP on 1st July 2020.
2. Mandatory Fees for Forest use
The Ministry of Mines sought an exemption from the Supreme Court-mandated fees for exploratory work in forests to the expert advisory committee of the Environment Ministry. The Mines Ministry has said that all areas of exploration are not being converted to mining and only 1% of the exploration area is converted to mining. Payment of Net Present Value delays the exploration work and hence the Mines Ministry sought for the exemption from payment of fees. But the Secretary of the Environment Ministry has refused to grant exemption as this is a Supreme Court-mandated fee.
Prelims GS – Environment
Net Present Value:
- The Net Present Value (NPV) is a value to compensate, in money terms, for the loss of tangible as well as intangible benefits flowing from the forest lands due to its diversion to a non-forest use.
- The new user of the forest land is expected to bear the cost of these losses by the payment of NPV.
- This is on the basis of the services and ecological value and there are prescribed formulae for calculating this amount which depends on the location and nature of the forest and the type of industrial enterprise that will replace a particular parcel of forest.
- Hon’ble Supreme Court has mandated that NPV must be paid by those who use forest land for non-forestry purposes.
Click here to know more about the news in Doordarshan(DD) News official website.
Click here for Daily current affairs for the UPSC exams on other dates.