February 2024

The passenger complained that the toilet of the train was not clean and there was no water inside. The Indian Railways was directed by the Delhi District Consumer Commission to pay the said amount to the passenger. The Indian Railways has been ordered to pay Rs 30,000 to a passenger who suffered emotional and physical distress as due to poor sanitary conditions in the train. The passenger complained that the toilet of the train was not clean and there was no water inside. The Indian Railways was directed by the Delhi District Consumer Commission to pay the said amount to the passenger. As per reports in TOI, the District Consumer Commission observed that the Indian Railways was not able to provide basic amenities to the passenger. The basic necessities of the passengers must be fulfilled by the Indian Railways under the ‘Citizen’s Charter’. the Citizen’s Charter is a document of commitments which is made by government organisations to the citizens. The Delhi Commission also observed that this has resulted in a lack in services provided to the consumers. The advocate of the complainant argued that the passengers of the Indian Railways pay full price for their ticket for the journey in the train, and still they are barred from basic amenities such as water and clean toilets in the trains. The consumers suffer due to the lack of these facilities in their long journey in the train. As per reports, the complainant said that on September 3, 2021, he was travelling from New Delhi Railway Station to Indore on a 3AC ticket. He also said that he bought the 3AC ticket which is more expensive than that of a sleeper coach for comfortable and hassle-free travel. However, when he woke in the morning and felt the need to go to the toilet, he noticed that there was no water and the toilet of the train was dirty. He also claimed that there was not enough water to also wash hands. The passenger also claimed that the wash basin was also choked up with dirt and filth. The passenger then lodged a complaint with the Indian Railways on its online portal “Rail Madad” and also shared the incident on ‘X’, formerly Twitter, account of union Railway Minister and Railway Sewa. Even after two hours of registering the complaint, no action was taken in the context. The train reached Indore station and the passenger was not able to go to the toilet which caused him emotional and physical distress due to which he had to suffer from a severe headache which led him to take an off from work. The railways kept denying that these services are not covered under the Citizen’s Charter. However, the Consumer Commission asked the Indian Railways to pay a compensation of Rs 30,000 and also Rs 10,000 for litigation charges. Jan 21,2024 Source: Free Press Journal

India’s retail inflation eased to a three month low of 5.10% in January 2024, showed data from the Ministry of Statistics and Programme Implementation. According to the government data, the Consumer Price Index (CPI) inflation rural stood at 5.34% and the CPI urban was at 4.92%. The combined CPI inflation for January 2024 stood at 5.10%. The final CPI data for December 2023 came in at 5.69%. In January, food inflation, comprising nearly half of the overall consumer price basket, stood at 8.30%, down from 9.53% in December. Economist Vivek Kumar from Quanteco Research noted that with favorable seasonal support from food, disinflation in fuel, and subdued core inflation drivers, headline CPI inflation moderated to a 3-month low in Jan-24. The trajectory of moderation could persist if food price pressures remain contained in the near term. However, climate risks and potential adverse spillover from escalation in merchandise trade costs post the Red Sea disturbance may introduce volatility in food prices,” he told Reuters. Meanwhile, the Reserve Bank of India, maintaining its repo rate at 6.50% for the sixth consecutive meeting on February 8, underscored “large and repetitive food price shocks” as a significant risk to the ongoing disinflation trend. “Headline inflation, after moderating to 4.9 per cent in October, rose to 5.7 per cent in December 2023. This was primarily due to food inflation, mostly vegetables. The softening in core inflation (CPI inflation excluding food and fuel) continued across both goods and services, reflecting the cumulative impact of monetary policy actions as well as significant softening in commodity prices. The uncertainties in food prices, however, continue to impinge on the headline inflation trajectory,” “The MPC will carefully monitor any signs of generalisation of food price pressures which can fritter away the gains in easing of core inflation. Monetary policy must continue to be actively disinflationary to align inflation to the target of 4 per cent on a durable basis. The MPC will remain resolute in this commitment,” he added. Economists surveyed by Reuters anticipated that India’s retail inflation eased to a three-month low of 5.09% in January. A separate Reuters poll indicated that inflation would average 5.4% this fiscal year and 4.7% in the next, aligning closely with the RBI’s forecasts of 5.4% and 4.5%. However, the RBI is expected to maintain its key policy rate unchanged until at least end-June before considering a 25 basis points cut in each of the third and fourth quarters, a relatively modest move compared with expectations for other global central banks’ easing cycles. Feb 12,2024 Source: Times Of India

The arrest warrant was issued recently against Superintending Engineer Anil Verma, Executive Engineer R K Gautam, Sub Divisional Officer Sarvesh Yadav and Sub Divisional Officer Ravi Anand. State Information Commissioner Ajaya Kumar Uprety said the warrant was issued under section 18 (3) of the Right to Information Act and powers given in the CPC (Civil Procedure Code) 1908. “This is the first time the UP state information commission has initiated such a strong penal action against erring officials ever since the RTI Act came into existence in 2005,” State Information Commissioner Ajaya Kumar Uprety told PTI. Uprety has asked Kashi zone Deputy Commissioner of Police Pramod Kumar to produce these officials before the Commission on February 20 when this case will be heard in Lucknow. He also asked him to apprise the Commission how this warrant is being executed. The matter pertains to an electricity connection dated January 1, 1911 in the Kazakpura area of Varanasi against consumer Uma Shankar Yadav. The electricity department has raised a bill of Rs 2.24 lakh against this connection. When Yadav disputed the bill and refused to pay it, the department issued an RC (recovery challan) against him. Yadav approached department officials to correct the bill, but his pleas fell on deaf ears. Disappointed, Yadav took the recourse of the RTI. “While hearing the case, the commission had asked the officials following questions — Whether in 1911 the electricity was being given to consumers in Varanasi? How the bill was calculated and what was the cost per unit? Which was the company that was transmitting power to the consumers then? Was UPPCL (Uttar Pradesh Power Corporation Limited) in existence then?” a source said. The electricity department officials failed to answer these questions despite repeated summonses, prompting the Commission to issue an arrest warrant against them. The warrant addressed to DCP Pramod Kumar said that Superintending Engineer Anil Verma, Executive Engineer R K Gautam, SDO (Upkendra Chauk, Macchodari Varanasi) Sarvesh Yadav and SDO (Lohta) Ravi Anand have been summoned to the Uttar Pradesh State Information Commission to answer the questions “pertaining to an electricity connection dated 1911”. “But these officials have failed to turn up on the dates of hearing. Neither have they given any reply to the Commission about their non-appearance. Prima facie, it appears that these officials have been deliberately ignoring/disobeying the orders of the Commission,” the warrant said. Hence, exercising its power under section 18(3) of the Right to Information Act, 2005 and CPC 1908, the Commission “orders you to arrest and produce these officials before the Commission” without fail, the warrant said. Feb 11,2024 Source: Deccanherald

In 2017, the Bangalore Development Authority (BDA) had put up for sale flats in Malagala 2nd Stage, Nagarabhavi 8th Block, but few people took up the offer, as reported by DH in February that year.  To attract buyers, BDA officials introduced a slew of offers, one of which was exempting flat buyers from paying maintenance fees for two years, from July 25, 2018, to July 24, 2020.  S Ramachandra was one such buyer, who saw that report in the papers and decided to encash in on the opportunity. He was allocated a flat by the BDA at the Brahmagiri apartments — part of the second phase of the Malagala Housing Project — on September 11, 2018.  A year later, he confirmed the validity of BDA’s free maintenance charge offer from the authority itself via an RTI response dated September 26, 2019.  However, Ramachandra and other apartment owners were demanded electrical maintenance charges by the apartment owner welfare association, which prompted him to begin paying both Bescom and the BWSSB directly via cheques.  Finding this to be in conflict with the BDA’s admission of free maintenance, he filed a consumer complaint against BDA, the construction firm Ramalingam Construction Company Pvt Ltd, and the Brahmagiri Owner Welfare Association.  BDA representatives contended that Ramachandra had misinterpreted the maintenance costs and clarified that the BDA notification excluded BWSSB and Bescom deposits, the payments of which must be borne by the flat residents themselves. As evidence, Ramachandra presented both the newspaper article and the BDA’s RTI response acknowledging the legitimacy of the article’s claims of a two-year maintenance-free offer to flat buyers. He also presented the BDA’s letter dated June 11, 2019, which directed all flat allottees who registered their flats that year to bear maintenance charges, to justify his claims for just entitlement since he was allocated a flat much earlier.  The court found Ramachandra’s plea for a refund justified and ordered all three parties to jointly pay the total of maintenance charges paid, amounting to Rs 21,904, to the complainant at an interest rate of 9 per cent. The parties must also pay Rs 10,000 as compensation and litigation costs.  Dec 26,2023 Source: Deccanherald

The government has approved various amendments in food safety and standard regulations, under which only one certification from food regulator FSSAI will be required for food products Food Safety and Standards Authority of India (FSSAI) will issue a draft notification in this regard and will seek stakeholders’ comments before finalising the amendments. For food products, certifications from the Bureau of Indian Standards (BIS) and AGMARK will not be needed if these amendments are finalised. In a statement, the Health Ministry said the FSSAI in its 43rd meeting approved various amendments to streamline food safety and standards regulations. The meeting was held under the chairmanship of Union Health Secretary Apurva Chandra. The ministry said that “only FSSAI certification would be mandatory for food products following finalisation of the amendments.” The move would facilitate ease of doing business through the concept of ‘One Nation, One Commodity, One Regulator’. “Various amendments across different food safety and standards regulations were approved in the meeting to do away with Bureau of Indian Standards (BIS) or AGMARK certification for food products,” the statement said. After the amendments are finalised, food businesses would not have to go to different authorities for mandatory certification with only FSSAI certification being made mandatory for food products. Other approvals include standards of Mead (Honey wine) and Alcoholic Ready-to-drink (RTD) beverages, revision of standards of milk fat products, standards for Haleem etc. The authority also approved a comprehensive manual of methods of analysis for ensuring regulatory compliance of the food products. The amendments across different Food Safety and Standards Regulations were approved in the meeting for draft notification to invite stakeholder comments before finalisation. These regulations included the revision of standards of Milk Fat Products, as part of which the fatty acid requirements for Ghee will also be applicable to other milk fat products. The authority will also set standards for ‘Haleem’ as part of standards for meat products. Haleem is a dish made of meat, pulses, grains and other ingredients, which currently don’t have any set standards. Feb 05,2024 Source: Economic Times

The Reserve Bank of India (RBI) has directed Paytm Payments Bank to cease all deposits and credit transactions after February 29, 2024. This action stems from persistent non-compliances and ongoing supervisory concerns within the bank, raising questions about the impact on its customers. Starting from the specified date, Paytm Payments Bank customers will face restrictions on several key transactions. No further deposits, credit transactions, or top-ups will be allowed in customer accounts, prepaid instruments, wallets, FASTags, or National Common Mobility Cards. However, customers can still withdraw funds from their accounts, but certain services, including fund transfers and UPI facilities, will no longer be available. The RBI’s intervention targets Paytm Payments Bank, an affiliate of the publicly-listed entity One 97 Communications. The bank, holding a 49% stake in Paytm Payments Bank, has been found non-compliant with regulatory standards and poses material supervisory concerns. The central bank’s order extends to halting all deposits and top-ups in customer accounts, prepaid instruments, wallets, FASTags, and more. Users can continue using the PayTM app and the UPI channel without any restrictions. It’s crucial to note that the PayTM app is owned by the parent company and not directly associated with PayTM Payments Bank. Feb 01,2024 Source: Economic Times

India is known as one of the largest railway systems in the world under single management. Each one of us must have travelled through trains at some point of time in our lives. Though trains are preferred mode of transport for common man due to the comfort and cost effectiveness, there is one experience which has been particularly irksome. That being the overall cleanliness in general and the same in lavatory in particular. Feeling anguish and disappointment while going to the toilet has been a common experience. Indian Railways have been directed by the Delhi District Consumer Commission to pay a fine of Rs 30,000 to the passengers who complained against it on the basis on “physical and mental agony” faced due to the dirty toilet and water unavailability. The bench comprised of Divya Jyoti Jaipuriar, president and Harpreet Kaur Charya, member. They said that amounting to deficiency in services, the railways failed to provide basic amenities of clean toilet and water which is required under the ‘Citizen’s Charter’. The complainant’s advocate Manan Agarwal said that the railways had completely failed to provide hygiene in compartments as well as the toilets to those passengers who pay in full but still suffer from the dearth of basic needs and if the journey is long it is prolonged anguish. Giving out the details, the complainant said that he had a taken a reserved 3AC ticket from New Delhi Railway Station to Indore with a thought of having a comfortable and stress free journey. It was on September 3, 2021 that he went to the lavatory to freshen up at 8 am, only to find out that the toilet as well as the washbasin was choked with filth. With the images that he took, he lodged a complaint with the official online portal of Indian Railways “Rail Madad” around 8.22am and also tweeted the same on the official Twitter handle of Union railway minister and Railway Sewa. The complaint remained unresolved despite he reaching his destination at 10 pm. The complainant said that not going to the toilet caused him immense physical pressure, headache and forced him to miss work. Opposing the allegations made, the railways submitted that the toiler services do not come under the ‘Service’ as defined under Consumer Protection Act 2019. The commission said that “This defence of Indian Railways does not hold any ground as the toilets and water are the basic amenities which cannot be denied to the passengers”. It further added that “In the facts and circumstances of the present case we direct OP(opposing party) to pay lump sum of Rs 30,000 as compensation on account of physical and mental agony. We further award Rs 10,000 as litigation expenses. The order be complied within 30 days from the date of receipt of this order. In case of noncompliance Rs 40,000 (30,000/-+10,000/-) shall carry interest @7% p.a. from the date of order till compliance”. Jan 27,2024 Source: Track

The centre has released about Rs 15,948 crore under different schemes in the last five years till January 31 to various sugar mills to improve their liquidity for clearing cane price dues of farmers, Parliament was informed on Friday. Minister of State for Commerce and Industry Anupriya Patel said the central government, with a view to improve liquidity of the sugar mills enabling them to clear cane price dues of farmers, has announced these schemes in the last five years. These schemes include the creation and maintenance of a buffer stock of 30 lakh tonne of sugar with effect from July 2018 to June 30, 2019; scheme for defraying expenditure towards internal transport, freight, handling, and other charges on the export of sugar season 2018-19; and assistance to sugar mills season 2019-20 to facilitate the export of sugar. A scheme for providing assistance to sugar mills for expenses on marketing costs including, handling, upgrading and other processing costs, and internal transport and freight charges for sugar season 2020-21, 2019-20 and 2018-19 was also announced. “Under these schemes, a sum of about Rs 15,948 crore has been released to various sugar mills of the country in last five financial years including the current financial year till January 31, 2024,” Patel said in a written reply to the Rajya Sabha. She said that the export of sugar (raw, refined and white sugar) has been placed under a restricted category. In 2022-23, sugar exports stood at 63 lakh tonne. This fiscal, no export has happened. In a separate reply, she said that the government has initiated an exercise to create a new online platform to connect exporters with various stakeholders, including Indian Missions abroad, export promotion councils, and other partner government agencies. It would help provide information such as the details of various trade events being organised and provide information on various Free Trade Agreements (FTAs). Feb 09,2024 Source: Economic Times

We have had a continuous debate on what constitutes freebies and do some of them quality to be welfare schemes. For the government, certain schemes that could be announced in the interim Budget may be key, as Bharatiya Janata Party seeks a third term in the upcoming Lok Sabha elections. Prime Minister Narendra Modi has opposed schemes from opposition-ruled state governments that offer cash or other incentives. He termed them as ‘revdis’. “These days in our country, efforts are being made to distribute revdi (freebies) and gather votes. This revdi culture is detrimental to the country’s development. People, especially youth, need to be wary of this,” Modi said at a speech. “People endorsing this culture will never make new expressways for you, nor will they make new airports or defence corridors. However, incentives or targeted benefit measures, seen as welfare schemes, are equally crucial for a country that houses the maximum population with significant income disparity. Treading the fine line between welfare schemes and freebies isn’t an easy task, on which economists have diverse opinions based on their understanding on what economic reform the nation requires. The Indian government is likely to extend some form of social security to the country’s domestic workers, as a step toward universal welfare payments. Benefits include minimum wage, medical insurance, maternity benefits and provident fund, ET reported earlier in January. Analysts have also said that the government may likely increase the quantum of funds transferred under the PM Kisan scheme by around 50 per cent. Economists also expect the government to focus specifically on its flagship housing scheme PM Awas Yojana. “We expect some higher spending or rural schemes due to delayed rural recovery and some signs of distress due to erratic weather mostly in the current financial year (FY24) which implies marginal fiscal slippage or a fiscal deficit of ~ 6.2% of GDP vs the budgeted 5.9% of GDP,” Teresa John, Deputy Head of Research & Economist, Nirmal Bang Institutional Equities told ET Online. Feb 01,2024 Source: Economic Times

Budget expectations: The Indian market is undergoing a notable change in the consumer durables industry. The amalgamation of a burgeoning middle class in urban areas and the aspirational demand emanating from rural India, coupled with government reforms such as the Goods and Services Tax (GST), has set the stage for the electronics and appliances industry to envision a phase of exponential growth. As we step into 2024, consumers increasingly seek products that blend cutting-edge technology with an ultra-modern aesthetic. The era of connected living is upon us, fueled by the advent of the Internet of Things (IoT) and Artificial Intelligence (AI) in the consumer durables segment. The scope of possibilities in this landscape is vast, given the sheer size of the domestic electronics market. Smart connected devices like Smart TVs, smart fridges, and wearables are at the forefront of this technological revolution. India has emerged as one of the largest growing electronics players globally, reflecting a growing interest in the integration of technology into daily life.The adoption of connected devices in India is currently concentrated in tier 1 cities, but the trajectory points towards a significant uptick in tier 2 and tier 3 cities in the near future. The government’s emphasis on ‘Digitalization,’ the increase in internet penetration and data usage, coupled with heightened awareness in the 30-55 age bracket, is poised to accelerate the adoption of smart devices across the country. However, this journey towards a tech-driven future is not without its challenges. Issues related to privacy, security, and transparency, along with concerns about being locked into specific products and systems, loom large. These challenges are compounded by the rapid proliferation of smart devices, outpacing the development of robust regulations. Existing problems such as lack of transparency on collected data, escalating data volumes, and data security need immediate attention and the interim Budget may look into these aspects. New challenges are emerging, demanding swift resolutions. Mismatched expectations between consumers and regulators regarding data ownership, coupled with the increased cost of opting out of a service, require urgent addressal. Furthermore, the inadequacy of supporting infrastructure in terms of quality roads, reliable electricity, and a robust telecommunication network, coupled with a workforce lacking expertise in new-age technologies, poses hurdles to widespread adoption. In navigating these challenges, the consumer durables industry in 2024 is poised to thrive by staying premium and sustainable. Industry leaders and experts emphasise that premium, feature-led products, incorporating cutting-edge technology and sustainability, will be the key growth drivers. Consumers are increasingly drawn to products that are manufactured locally, aligning with the ‘Make in India’ initiative. Brands are responding to this demand in a competitive industry, working towards delivering products that not only meet but exceed consumer expectations. According to a CRISIL report, the consumer durable sector is expected to witness a revenue growth of 8-10% in the fiscal year, driven by the trend of premiumization and a steady urban demand. Operating profitability is projected to improve, aided by a softening of raw material prices. The demand for premium appliances and wearables is anticipated to surge, driven by three main factors: the increasing demand for appliances with smart technologies that seamlessly integrate with other devices, a shift towards higher capacity/sizes at limited incremental cost, and the rising preference for efficient appliances that lower operating costs. According to a CRISIL report, the consumer durable sector is expected to witness a revenue growth of 8-10% in the fiscal year, driven by the trend of premiumization and a steady urban demand. Operating profitability is projected to improve, aided by a softening of raw material prices. Jan 25,2024 Source: Economic Times