1) India’s Jet Engine Deal with the US: Recently, India has announced a significant agreement between the American multinational corporation General Electric (GE) and Hindustan Aeronautics Limited (HAL), during Indian PM’s state visit to the US. The deal involves the transfer of critical jet engine technologies and the manufacturing of GE’s F414 engine for India’s indigenous Light Combat Aircraft (LCA) Tejas Mk2.
Significance of the Deal:
- Self-reliance in Critical Technologies: Manufacturing engines for combat aircraft requires advanced technology and metallurgy, which only US, Russia, UK and France have mastered.
- A Significant Component of iCET: The agreement for the transfer of technology was discussed in the talks between India’s Defence Minister and the US Secretary of Defence earlier in June 2023 and was a key highlight of India’s National Security Advisor’s meeting with his US counterpart when the US-India iCET was operationalized.
- Development Efforts by DRDO: The DRDO’s Gas Turbine Research Establishment (GTRE) initiated the development of the GTX-37 engine for the LCA, followed by the ambitious Kaveri engine project in 1989, but did not meet much success.
- End of Technology Denial Regime: This pact finally lays to rest what former PM of India (in 2008) had described in as the “technology denial regime” imposed on India by the West, led by the US.
2) Coal India and CCI: The Supreme Court of India has recently dismissed Coal India Ltd (CIL)’s appeal, which affirmed the Competition Commission of India (CCI)’s authority to examine CIL’s conduct under the Competition Act, 2002.
- In 2017, the CCI imposed a penalty of Rs. 591 crores on CIL for imposing unfair and discriminatory conditions in fuel supply agreements (FSAs)with power producers.
- CIL’s Stance:
- Principles of “Common Good”: CIL operates based on the principles of promoting the “common good”.
- Monopoly Status: CIL refers to the Nationalization Act of 1973 to assert its position as a “monopoly“.
- Differential Pricing: CIL implements differential pricing to incentivize captive coal production.
- Implications for National Policies: CIL’s coal supply supports national policies.
- CCI’s Stance:
- Raghavan Committee Report (2020): The CCI referred to the Raghavan Committee report (2020), which concluded that state monopolies like CIL are not in the best interests of the nation.
- Non-Essential Commodity Classification: The CCI emphasized that coal is no longer classified as an “essential commodity” since 2007.
- Impact on Consumers: The CCI highlighted the significant impact of irregular prices and supply of coal on power generation companies.
- Government Ownership and Supply Allocation: CIL’s significant coal supplies to power companies connect coal supply to the welfare of the nation.
- Ruling of the Supreme Court: The SC dismissed CIL’s argument for exemption based on the Nationalization Act of 1973, ruled that it cannot be exempted from the Competition Act.
3) China Blocks Proposal to Blacklist Pakistan-Based Terrorist: China’s recent move to block a proposal at the United Nations (UN) to designate a Pakistan-based LeT terrorist as a global terrorist has drawn attention and raised concerns among the international community.
1267 Al Qaeda Sanctions Committee:
- The committee is part of the UN Security Council and its job is to implement international sanctions against terrorists.
- The Al Qaeda committee was established as the Al-Qaida and Taliban Sanctions Committee on October 15, 1999, after Security Council Resolution 1267 designated al-Qaeda and the Taliban as terrorist bodies.
- Under the Committee regime, any UN member state can propose the name of an individual or group to be designated as a terrorist. A committee member can block blacklisting proposals by raising objections or applying a “technical hold” on a proposal.
- An individual or entity listed as a terrorist is subjected to an assets freeze, travel ban, and arms embargo.
