17th October 2025 – Current Affairs

1. Graded Response Action Plan (GRAP) Activated in Delhi-NCR – Environment

Why in News?

The Air Quality Index (AQI) in Delhi has deteriorated to the ‘Poor’ category, prompting the Commission for Air Quality Management (CAQM) to activate Stage-I of the Graded Response Action Plan (GRAP) across the National Capital Region (NCR). This move is aimed at preventing further degradation of air quality and addressing rising pollution levels through a graded, structured approach.

What is the Graded Response Action Plan (GRAP)?

Definition:

GRAP is a regulatory framework to curb air pollution in Delhi-NCR through a tiered, action-based response based on the severity of air quality levels.

Background & Origin:

• Instituted on the directive of the Supreme Court of India in the landmark case:
  M.C. Mehta v. Union of India (2016).

• Officially notified in 2017.

Implementing Authority:

• Managed by the Commission for Air Quality Management (CAQM), in collaboration with:

  • Ministry of Environment, Forest and Climate Change (MoEFCC)

  • State Governments and Pollution Control Boards

Stages of GRAP Based on AQI Levels:

Purpose and Significance of GRAP:

• To systematically address worsening air quality through graded interventions.

• Enables real-time, pre-planned responses to prevent AQI from reaching hazardous levels.

• Acts as a preventive as well as emergency response mechanism.

Air Quality Index (AQI): Simplifying Pollution Data

Introduced by:

MoEFCC under the Swachh Bharat Mission

Monitors 8 Key Pollutants:

PM₁₀, PM₂.₅, NO₂, SO₂, CO, O₃, NH₃, Pb

Categories of AQI:

• Good

• Satisfactory

• Moderately Polluted

• Poor

• Very Poor

• Severe
  
  “One Number – One Colour – One Description” The AQI presents complex pollution data in an easy-to-understand format, improving public awareness and policy intervention.

Commission for Air Quality Management (CAQM)

Legal Status:

A statutory body under the Commission for Air Quality Management in NCR and Adjoining Areas Act, 2021

Jurisdiction:

Covers NCR and adjoining regions of:

• Punjab

• Haryana

• Uttar Pradesh

• Rajasthan

Key Features:

• Apex authority for air pollution in NCR.

• Chaired by a full-time expert or senior administrator.

• Directly accountable to Parliament.

• Coordinates inter-state pollution control and ensures uniform standards.

Exam Connect – Possible Questions

Prelims

1. Which of the following pollutants are monitored under the National Air Quality Index (AQI)?
1.PM₂.₅
2.Ozone (O₃)
3.Carbon dioxide (CO₂)
4.Ammonia (NH₃)
Select the correct answer:
A. 1, 2 and 3
B. 1, 2 and 4
C. 2, 3 and 4
D. All of the above
Answer:B. 1, 2 and 4
(CO₂ is not part of the National AQI monitoring list.)

2. Consider the following statements regarding the Graded Response Action Plan (GRAP):
1.It was launched by NITI Aayog in 2015.
2.Stage III of GRAP is activated when AQI exceeds 450.
3.CAQM is the implementing authority of GRAP.
Which of the statements given above is/are correct?
A. 1 and 2 only
B. 2 and 3 only
C. 3 only
D. 1 and 3 only
Answer:C. 3 only
(Statement 1 is incorrect; GRAP was notified in 2017 on Supreme Court directive. Stage III is for AQI 401–450.)

Mains

1.“The Graded Response Action Plan (GRAP) offers a structured approach to managing urban air pollution.”
Critically evaluate the effectiveness of GRAP in addressing Delhi-NCR’s air quality challenges.

2.Discuss the role and limitations of regulatory bodies like the Commission for Air Quality Management (CAQM) in ensuring inter-state coordination for air pollution control in India.

2.India–Middle East–Europe Economic Corridor (IMEC) – International Relations

Why in News?

The India–Middle East–Europe Economic Corridor (IMEC) is under renewed focus due to:

• Geopolitical instability in West Asia

• Disruptions in Red Sea maritime trade (due to regional tensions, especially after the Hamas-Israel conflict)
  These developments have raised concerns over the viability and implementation of IMEC as a secure and reliable trade corridor.

What is IMEC?

Definition:

IMEC is a proposed multimodal economic corridor aimed at enhancing trade, connectivity, and economic integration between India, the Middle East, and Europe.

Launch Context:

• Announced at the G20 Summit in New Delhi, 2023

• Endorsed by India, the USA, UAE, Saudi Arabia, EU, France, Germany, and Italy.

Route and Structure of IMEC

Maritime Component:

• Connects Indian ports (likely Mumbai, Mundra) with UAE ports (Jebel Ali, Fujairah) via the Arabian Sea

Rail and Land Network:

• From UAE to Saudi Arabia → Jordan → Israel (Haifa Port)

• Goods then transported to Europe via Mediterranean Sea routes

Other Key Infrastructure:

• Hydrogen pipeline for clean energy trade

• Electric grid interconnectivity across countries

• High-speed data cable for digital connectivity

Historical and Geopolitical Context

• The Abraham Accords (2020) improved Israel–Arab ties, enabling regional cooperation.

• Strengthened ties between India–UAE–Saudi Arabia laid the foundation for this ambitious project.

• However, the Hamas-Israel conflict (October 2023) and instability in Red Sea shipping lanes pose security threats to project implementation.

Strategic Importance for India

Challenges and Concerns

• Security Issues: Ongoing conflicts (e.g., Israel-Hamas war, Red Sea piracy)

• Political Uncertainty: Shifting alliances in West Asia

• Infrastructure Financing: Requires large-scale foreign and private investment

• Coordination: Multi-nation project needs high-level diplomatic and policy alignment

Conclusion

While still in early stages, IMEC represents a transformative geopolitical and economic initiative that can reshape intercontinental trade.
However, its success hinges on:

• Stable regional geopolitics

• Strong diplomatic engagement

• Investment in resilient infrastructure

• Security assurance for trade routes

Exam Connect – Possible Questions

Prelims

1. Which of the following countries are part of the proposed India–Middle East–Europe Economic Corridor (IMEC)?
1.Israel
2.Jordan
3.Iran
4.Saudi Arabia
Select the correct answer:
A. 1, 2 and 4 only
B. 1, 3 and 4 only
C. 2, 3 and 4 only
D. 1, 2, 3 and 4
Answer:A. 1, 2 and 4 only
(Iran is not part of IMEC. The corridor passes through UAE, Saudi Arabia, Jordan, and Israel.)

2. What is the primary strategic objective of the India–Middle East–Europe Economic Corridor (IMEC) for India?
A. Strengthening military alliances with the Middle East
B. Reducing dependency on global technology firms
C. Diversifying trade routes and enhancing access to European markets
D. Facilitating emigration to Europe
Answer:C. Diversifying trade routes and enhancing access to European markets

Mains 

1.“The India–Middle East–Europe Economic Corridor (IMEC) can redefine global trade dynamics, but its implementation is fraught with geopolitical challenges.” Discuss the significance and hurdles of IMEC in the current geopolitical context.

2.Examine the role of IMEC in enhancing India’s strategic and economic engagement with West Asia and Europe.
In your answer, highlight the implications for India’s foreign policy and trade diplomacy.

3. Fiscal Federalism and the Crisis of Municipal Finance in Urban India – Governance

Why in News?

Despite contributing nearly two-thirds of India’s GDP, urban local bodies (ULBs) control less than 1% of national tax revenue.
This mismatch between economic responsibility and fiscal power exposes deep flaws in India’s federal fiscal structure, especially in light of the 74th Constitutional Amendment and the centralizing impact of GST.

Key Issues in Municipal Finance

1. Fiscal Paradox

• Cities are economic powerhouses, yet fiscally powerless.

• Urban municipalities depend heavily on grants and transfers from state and central governments.

• This violates the principle of subsidiarity – that governance should occur at the most local level possible.

2. Post-GST Revenue Loss

• Pre-GST local taxes like Octroi, Entry Tax, Advertisement Tax were abolished.

• Estimated 19% decline in municipal revenues since GST (2017).

• Compensation mechanisms bypass municipalities, leading to unpredictable cash flows.

3. Municipal Bonds – Promise vs Reality

• Intended to finance urban infrastructure (e.g., roads, sanitation, housing).

• Poor creditworthiness and low financial transparency deter investors.

• Ratings often exclude inter-governmental transfers, undervaluing actual financial position.

Constitutional and Governance Context

74th Constitutional Amendment Act (1992):

• Gave constitutional status to ULBs.

• Introduced the 12th Schedule (18 functions such as water supply, sanitation, slum improvement, urban planning).

• Called for the creation of State Finance Commissions (SFCs) to recommend fiscal devolution.

But in practice:

• ULBs remain implementation arms of centrally sponsored schemes.

• Functional, financial, and administrative autonomy remains weak.

• SFC recommendations often ignored or delayed.

Way Forward: Reimagining Fiscal Federalism for Urban India

Significance for Governance and Urbanization

• Strengthening ULB finances is crucial for achieving Sustainable Development Goal 11 (Sustainable Cities and Communities).

• Fiscal empowerment reflects democratic decentralization, ensuring that local governments respond better to citizens’ needs.

• Enables India to move from scheme-driven urban development to citizen-centric governance.

Exam Connect – Possible Questions

Prelims

1. Which of the following taxes were originally under municipal control but were subsumed under the Goods and Services Tax (GST)?
1.Property Tax
2.Octroi
3.Entry Tax
4.Entertainment Tax
Select the correct answer:
A. 1, 2 and 3 only
B. 2, 3 and 4 only
C. 1 and 4 only
D. All of the above
Answer:B. 2, 3 and 4 only
(Property Tax is still under municipal control; others were subsumed under GST.)

2. Which Constitutional Amendment Act granted constitutional status to Urban Local Bodies in India?
A. 42nd Amendment
B. 44th Amendment
C. 73rd Amendment
D. 74th Amendment
Answer:D. 74th Amendment

Mains 

1.“The real test of decentralization lies in the fiscal empowerment of local governments.” In light of this statement, critically examine the challenges faced by Urban Local Bodies (ULBs) in India’s federal fiscal structure.

2.Discuss the implications of GST on the financial autonomy of Urban Local Bodies. Suggest measures to strengthen municipal finances in India.

4. Google’s AI Hub in Andhra Pradesh – Science and Technology 

Why in News?

Google has announced a $15 billion investment to set up a state-of-the-art AI Data Centre in Visakhapatnam, Andhra Pradesh, over the next five years.
This marks Google’s largest investment in India, in collaboration with Adani Group and Airtel, and includes the construction of a new international subsea cable gateway to boost global digital connectivity.

Key Features of the Project

Global Integration

• Will be part of Google’s AI infrastructure spanning 12 countries.

• Aims to strengthen AI and cloud computing adoption across India and globally.

AI Data Centres vs Traditional Data Centres

Economic and Strategic Impact

For India

• Positions India as a critical player in global AI infrastructure.

• Supports Make in India and Digital India by strengthening digital infrastructure.

• Generates employment and upskills local workforce in AI, data, and cloud technologies.

For the US

• Expected to add $15 billion to US GDP (2026–2030).

• Enhances Indo-US strategic tech collaboration.

Energy Infrastructure and Sustainability Concerns

• AI data centres demand massive electricity; raises concern about grid stress.

• Google plans to invest in:

  • Renewable energy sources (solar/wind)

  • Energy storage systems

  • Strengthening the resilience of India’s power infrastructure
    Focus on green data centres aligns with India’s climate goals and net-zero commitments.

Why This Matters: Relevance to India’s Digital Future

• AI is an emerging core technology shaping future governance, economy, defence, and education.

• India’s push for AI in agriculture, healthcare, and logistics requires strong backend infrastructure.

• Establishing AI hubs outside traditional tech cities (like Bangalore or Hyderabad) promotes regional development.

Exam Connect – Possible Questions

Prelims

1. Which of the following best describes the function of an AI data centre as opposed to a traditional data centre?A. It stores internet browsing data only.
B. It is used solely for government surveillance.
C. It supports high-performance computing for AI tasks like machine learning and image processing.
D. It processes only web-based e-commerce applications.
Answer:C. It supports high-performance computing for AI tasks like machine learning and image processing.

2. Consider the following statements:
1.AI data centres use GPU-based computing rather than CPU-based computing.
2.The recently announced AI hub in Andhra Pradesh is backed by Google and Microsoft.
3.The project includes development of a new international subsea cable.
Which of the statements given above is/are correct?
A. 1 and 2 only
B. 2 and 3 only
C. 1 and 3 only
D. All of the above
Answer:C. 1 and 3 only
(Statement 2 is incorrect; Google’s AI hub is not partnered with Microsoft in this project.)

Mains 

1.“India’s digital transformation depends not only on software innovation but also on infrastructure development.”
Discuss in the context of Google’s AI data centre project in Andhra Pradesh.

2.Examine the role of AI data centres in shaping the future of India’s economy and digital governance.
Highlight associated challenges related to energy, data sovereignty, and regional equity.

5. The ‘Critical Factor’ in India’s Clean Energy Ambitions – Economy

Why in News?

India’s plans to lead the global clean energy revolution—with ambitious targets like 500 GW renewable energy by 2030 and net-zero by 2070—hinge on securing access to critical minerals such as lithium, cobalt, and Rare Earth Elements (REEs).
These minerals are indispensable for EVs, solar panels, wind turbines, and battery storage systems.

What are Critical Minerals?

Definition:

Critical minerals are raw materials that are economically and strategically important for a country’s technological development, energy transition, and national security, but are often prone to supply disruptions.

Examples & Uses:

India’s Clean Energy and EV Targets

• 500 GW non-fossil energy by 2030

• Net-zero emissions by 2070

• EV market expected to grow at 49% CAGR (2023–2030)

• Government support via policies like:

  • Electric Mobility Promotion Scheme (EMPS) 2024

  • Battery Waste Management Rules, 2022

Challenges in Securing Critical Minerals

1. Import Dependency

• India imports a major share of its lithium and cobalt.

• China dominates the global supply chain, especially in refining and processing (~60–70%).

2. Limited Domestic Production

• Only recently has India begun discovering mineral reserves:

  • 5.9 million tonnes of lithium in Jammu & Kashmir (Salal-Haimana region)

  • Additional reserves in Rajasthan

  • REEs found in Odisha, Andhra Pradesh

3. Regulatory and Operational Barriers

• High cost of exploration

• Delays in environmental clearances

• Lack of domestic refining and processing capacity

Policy and Institutional Measures

Mines and Minerals (Development and Regulation) Amendment Act, 2023

• Encourages private sector participation in mineral exploration.

• Provides a transparent auction-based system.

• Includes critical minerals list to prioritize domestic production.

Circular Economy Approach

• India produces ~4 million metric tonnes of e-waste annually.

• Only ~10% is recycled.

• Battery Waste Management Rules (2022) aim for:

  • Extended Producer Responsibility (EPR)

  • Mandatory collection and recycling of spent batteries

Geopolitical and Strategic Dimension

• India’s critical minerals policy must account for:

  • Supply chain vulnerabilities

  • Geopolitical risks (e.g., China–Taiwan tensions)

• India is exploring bilateral agreements with:

  • Australia (lithium, cobalt)

  • Argentina & Chile (lithium triangle)

  • Africa (cobalt from DRC, REEs from South Africa)

Conclusion

India’s clean energy goals are tightly linked to its ability to secure and sustainably manage critical minerals.
A dual approach is essential:

1. Expand domestic exploration and processing, with supportive policy frameworks.

2. Foster international partnerships and invest in recycling, to ensure long-term supply security and economic resilience.

Exam Connect – Possible Questions

Prelims

1. Which of the following minerals is classified as a critical mineral for clean energy technologies?
1.Bauxite
2.Cobalt
3.Lithium
4.Mica
Select the correct answer:
A. 1 and 2 only
B. 2 and 3 only
C. 1, 3 and 4 only
D. All of the above
Answer: B. 2 and 3 only
(Cobalt and lithium are critical minerals for energy transition; bauxite and mica are not classified as such for clean energy.)

2. Which of the following statements about India’s critical mineral strategy is/are correct?
1.The Mines and Minerals Amendment Act, 2023 promotes private exploration of critical minerals.
2.India has discovered significant lithium reserves in Jammu & Kashmir.
3.The Battery Waste Management Rules, 2022 apply only to industrial batteries.
Select the correct answer:
A. 1 and 2 only
B. 2 and 3 only
C. 1 and 3 only
D. All of the above
Answer:A. 1 and 2 only
(Statement 3 is incorrect — the Rules apply to all types of batteries, including portable and EV batteries.)

Mains

1.“Critical minerals are the backbone of India’s clean energy ambitions.”
Discuss India’s challenges and strategies in securing critical minerals for a green economy.

2.Examine the role of circular economy and recycling in ensuring sustainable critical mineral supply chains in India.Suggest policy interventions to improve e-waste management.

6.Navigating the Global Economic Transformation – International Relations 

Why in News?

The global economic order is undergoing a profound transformation, marked by the erosion of the U.S.-led liberal economic model and the rise of new power centres like China and India.
This shift is defined by strategic rivalries, geoeconomic restructuring, and a growing pushback against neoliberalism, opening up space for the Global South to advocate for a more just and inclusive global system.

Key Themes in the Global Economic Shift

1. U.S.–China Rivalry: Strategic Decoupling

• Increasing geoeconomic competition in sectors like semiconductors, AI, green tech, and digital infrastructure.

• U.S. policies like the CHIPS and Science Act, Inflation Reduction Act, and friend-shoring reflect a retreat from globalization and focus on supply chain security.

• China’s Belt and Road Initiative (BRI) and state-led capitalism present an alternative model to Western liberal economics.

2. State-Capital Entanglement

• A growing fusion of political and corporate power, often termed the “Gordian knot” of oligarchic capitalism.

• Populist regimes (globally) prioritize elite interests over public welfare, eroding democratic institutions.

• This phenomenon deepens global inequality and undermines public trust.

3. Decline of Developmental Aid and Global Inequality

• The Global North is retreating from developmental aid, focusing inward due to economic downturns, wars, and populist pressures.

• Consequences for the Global South:

  • Increased poverty and instability

  • Distress migration

  • Weakened legitimacy of states

4. Digital Colonialism

• Global tech giants are becoming quasi-sovereign entities, controlling:

  • Data flows

  • Digital infrastructure

  • Political narratives (via algorithms and content control)

• This challenges national digital sovereignty and can enable authoritarian control.

Opportunity for the Global South – India’s Role

Strategic Directions for India:

• Reclaim state leadership in critical sectors: manufacturing, technology, and energy.

• Invest in public digital infrastructure (like India Stack) to counter digital monopolies.

• Strengthen alliances like BRICS, IBSA, and G-20 Global South coalitions.

• Promote just trade frameworks and debt restructuring for low-income countries.

• Develop a new development model combining economic sovereignty, welfare, and innovation.

Conclusion

The collapse of the old neoliberal order presents a rare opportunity for India and other emerging economies to reshape global governance and economic paradigms.
By balancing strategic state intervention, inclusive growth, and technological sovereignty, India can lead a more equitable and resilient global economic transformation—one that centres justice, sustainability, and cooperation.

Exam Connect – Possible Questions

Prelims

1. Which of the following best defines the term ‘Digital Colonialism’?
A. The dominance of traditional colonial powers over digital trade routes
B. The use of cyber weapons to control developing nations
C. The control of digital infrastructure and data by global tech giants, limiting national sovereignty
D. The practice of data localization by developed countries
Answer:C. The control of digital infrastructure and data by global tech giants, limiting national sovereignty

2.Which of the following statements is/are correct?
1.The CHIPS and Science Act is a U.S. initiative to strengthen domestic semiconductor manufacturing.
2.The Belt and Road Initiative is primarily aimed at climate financing in the Global South.
3.India Stack is an example of public digital infrastructure.
Select the correct answer:
A. 1 and 3 only
B. 2 and 3 only
C. 1 and 2 only
D. All of the above
Answer:A. 1 and 3 only
(Statement 2 is incorrect: BRI focuses on global connectivity and infrastructure, not primarily climate finance.)

Mains 

1.“The decline of the U.S.-led liberal global order has opened space for the Global South to reimagine global governance.” Critically examine India’s potential role in shaping this new world order.

2.Discuss the challenges posed by digital colonialism to developing countries. How can India safeguard its digital sovereignty while promoting equitable access to technology?