UPSC Daily Current Affairs: 2026-02-06

Table of Contents
1. The Fading of India's Environmental Jurisprudence
2. More Money for Defence, Now Fix the Process
3. Bharat Taxi Explained: India's Public Cab App Taking on Uber and Rapido
4. Distribution Companies in India - Performance Turnaround and Road Ahead
5. End of the Last US-Russia Nuclear Treaty Signals a New Arms Race Era
6. Sovereign Gold Bonds (SGBs) - Budget 2026 Undermines Reform Momentum by Retrospective Taxation
7. India AI Stack
8. Sacred Groves
View more

GS3/Environment

The Fading of India's Environmental Jurisprudence

Why in News?

The current state of environmental jurisprudence in India is facing significant challenges. With increasing regulatory changes and judicial leniency, the nation's ecological safeguards are being compromised in the name of development.

Key Takeaways

• Environmental safeguards are increasingly diluted, raising concerns about constitutional integrity.
• The Aravalli ranges serve as a critical example of ecological degradation resulting from inadequate legal protections.
• Judicial leniency is eroding environmental deterrence, allowing for post-facto clearances that undermine legal accountability.

Additional Details

• Policy Changes: On December 18, 2025, non-coal mining projects were allowed to conduct Environmental Impact Assessments (EIA) without specifying land location, reversing prior scrutiny standards.
• Judicial Trends: The Supreme Court's recall of the Vanashakti vs Union of India (2025) ruling reflects a broader trend of leniency towards environmental law, treating it as procedural rather than substantive.
• The Aravalli Controversy: The Definition of Aravalli Hills and Ranges (2025) adopted a 100-meter elevation criterion, undermining the ecological and hydrological integrity of the region.
• Constitutional Implications: Articles 21, 48A, and 14 are being compromised by selective environmental protections that lack a rational ecological basis.
• Coastal Ecology: Mangroves, crucial for flood buffering and carbon sequestration, are facing destruction due to infrastructure projects, with compensatory afforestation proving to be ineffective.
• Char Dham Project: The project has raised significant concerns due to the ecological fragility of the Himalayan region, where numerous landslide-prone zones were identified.
• Corporate Advantage: The current governance structure favors large corporations, marginalizing public objections and eroding trust in environmental compliance mechanisms.

In conclusion, the trend of prioritizing economic development over environmental protection poses significant risks to India's ecological future. Restoring environmental justice requires reaffirming constitutional duties and recognizing that development cannot come at the cost of ecological degradation.

GS3/Defence & Security

More Money for Defence, Now Fix the Process

Why in News?

India's latest defence budget marks a significant transformation following years of stagnation, featuring a sustained double-digit increase in allocation that now reaches 2% of GDP. This adjustment occurs in a volatile global climate, indicating a strategic focus and a renewed commitment to national preparedness.

Key Takeaways

• The defence budget shows the first continuous double-digit increase in years.
• Higher spending must lead to effective acquisition and enhanced domestic capability.
• A significant rise in capital expenditure is aimed at modernizing military capabilities.
• The budget emphasizes domestic manufacturing and indigenisation of defence production.

Additional Details

• Modernisation: The budget prioritizes modernisation, correcting previous imbalances between revenue and capital expenditures, which now focus on operational readiness.
• Domestic Manufacturing: A large share of the acquisition budget is reserved for local firms, supporting indigenisation and reflecting India's growing industrial competence.
• Challenges in Allocation: Not all military services benefit equally; the Navy, for instance, receives less funding despite its strategic importance, due to efficient fund absorption.
• Pensions Burden: The existing pension structure consumes a significant portion of the budget, limiting flexibility and skewing comparisons with past defence spending.
• Bureaucratic Hurdles: Procurement processes remain mired in bureaucracy, which hampers innovation and private sector involvement due to rigid norms favoring established firms.
• Delays in Acquisition: Chronic delays in major projects lead to underutilisation of funds and erode deterrence capabilities, as many programs still face shifting timelines.
• Research and Development: Investment in R&D is fragmented and not well integrated with production, limiting operational advantages and the overall effectiveness of increased funding.

The current defence budget reflects a positive shift in ambition and prioritization. However, the success of these allocations will hinge on execution, including aligning spending with industrial capacity, accelerating decision-making processes, integrating research efforts, and addressing outdated financial structures. With serious commitment to these changes, there is potential to transform increased funding into durable national strength, ensuring greater autonomy in a rapidly changing global landscape.

GS3/Economy

Bharat Taxi Explained: India's Public Cab App Taking on Uber and Rapido

Why in News?

The Union Cooperation Minister Amit Shah has introduced Bharat Taxi, India's first cooperative-based ride-hailing platform. This initiative aims to provide an alternative to private cab aggregators while enhancing the cooperative movement and improving access to affordable urban transport.

Key Takeaways

• Bharat Taxi focuses on empowering drivers, known as Sarathis, by giving them ownership and operational control.
• The platform operates without taking a commission from each ride, instead implementing a fixed daily fee structure for drivers.
• Bharat Taxi aims for lower fares compared to traditional cab services.
• Pilot programs have commenced in key cities, with plans for nationwide expansion by 2029.

Additional Details

• Bharat Taxi: A ride-hailing app based on a cooperative model, providing an alternative to privately owned cab aggregators.
• Driver Autonomy: The platform places drivers at the center of operations, allowing them greater control over their earnings and reducing reliance on commission-heavy platforms.
• Independent Operation: Although government-backed, Bharat Taxi is run by Sahakar Taxi Cooperative Limited, a separate cooperative entity.
• Cooperative Expertise: The initiative leverages the experience of individuals associated with successful cooperative movements, such as Amul.
• Driver Ownership: Each driver holds five shares in the cooperative, ensuring participation in ownership and decision-making.
• Zero-Commission Pricing: Drivers pay a fixed fee of ₹30 (₹18 for auto-rickshaws) daily, eliminating the high commission rates typical of other platforms.
• Lower Fares: With the absence of ride commissions, passengers can expect fares to be approximately 30% cheaper than those of Uber and Ola.
• Safety Measures: The platform includes safety features, a dedicated helpline, and driver verification processes to ensure passenger safety.

Bharat Taxi has begun its pilot operations in cities including Delhi-NCR and Rajkot, with rapid expansion to Ahmedabad. Currently, the platform has over 4 lakh registered drivers and facilitates over 10,000 rides daily. The aim is to establish itself as the largest ride-hailing service in India by 2029. Early users express optimism about the cooperative model, despite initial challenges such as lower earnings for drivers and operational hiccups. The continued success of Bharat Taxi will depend on increasing ride volumes, refining pricing strategies, and delivering a consistent user experience while adhering to its cooperative principles.

GS3/Economy

Distribution Companies in India - Performance Turnaround and Road Ahead

Why in News?

India's electricity distribution companies (DISCOMs) have shown a significant financial and operational turnaround. However, concerns regarding their long-term sustainability persist.

Key Takeaways

• DISCOMs play a crucial role in the electricity supply chain, distributing power to various consumers.
• Recent reforms have led to improved financial performance, but challenges remain for long-term viability.

Additional Details

• Understanding DISCOMs: Power Distribution Companies, known as DISCOMs, are tasked with delivering electricity to households, industries, and agricultural consumers. India has a total of 72 DISCOMs, including state-owned and private entities.
• Historical Issues: DISCOMs have historically been the weakest link in India's power sector, suffering from inefficiencies, significant losses, and growing debt.
• Financial Indicators: Two key indicators of financial health are Aggregate Technical and Commercial (AT&C) losses and the ACS-ARR gap.
• Legacy of Financial Stress: Financial instability stems from the operational framework established by the Electricity (Supply) Act, 1948, which has led to high accumulated losses and outstanding debt.
• Signs of Turnaround: Recent years have seen a profit after tax for DISCOMs, along with a decline in AT&C losses and a significant reduction in the ACS-ARR gap.
• Role of Policy Reforms: Reforms such as the Revamped Distribution Sector Scheme (RDSS) and measures for debt discipline have helped improve the financial standing of DISCOMs.
• Dependence on State Support: Many DISCOMs report profits largely due to state subsidies, raising concerns about the sustainability of these gains.
• Structural Challenges: Issues such as unmetered agricultural supply, free electricity policies, and operational inefficiencies continue to hinder long-term sustainability.
• Future Directions: Addressing these structural challenges requires significant reforms, including enhancing metering practices and ensuring cost-reflective tariffs.

In conclusion, while DISCOMs in India are experiencing a turnaround in performance, achieving long-term sustainability will necessitate continued reforms, political commitment, and effective management strategies.

GS2/International Relations

End of the Last US-Russia Nuclear Treaty Signals a New Arms Race Era

Why in News?

The expiration of the New START Treaty signifies the conclusion of five decades of legally binding nuclear limitations between the United States and Russia. This development raises serious global concerns regarding strategic stability and the risk of a renewed nuclear arms race.

Key Takeaways

• The New START Treaty expired on February 5, 2026, ending legal caps on nuclear arsenals.
• The United States currently possesses approximately 5,277 nuclear warheads, while Russia has around 5,449.
• The end of this treaty may lead to unchecked nuclear expansion and increased risks of escalation.

Additional Details

• Cold War Arms Control Efforts: In the late 1960s, the Soviet Union expanded its ICBM arsenal, prompting the U.S. to engage in the Strategic Arms Limitation Talks (SALT) to curtail the arms race.
• SALT Treaties: The initial SALT agreement included the Anti-Ballistic Missile (ABM) Treaty, which limited missile defense systems. SALT II aimed to control nuclear delivery vehicles but was never ratified due to geopolitical tensions.
• After the Cold War, the START treaties aimed to reduce nuclear arsenals significantly, with START I capping warheads at 6,000 and START II aiming for further reductions.
• New START Treaty: Signed in 2010, it capped strategic nuclear warheads at 1,550 and established a robust verification regime with on-site inspections and data exchanges.
• The treaty was extended in 2021 but now faces expiration, raising concerns regarding the future of arms control.

The end of the New START Treaty marks a significant shift in nuclear arms control dynamics, potentially leading to increased global tensions and the risk of an arms race. Experts emphasize the necessity of some form of restraint to maintain international stability and prevent further proliferation.

GS3/Economy

Sovereign Gold Bonds (SGBs) - Budget 2026 Undermines Reform Momentum by Retrospective Taxation

Why in News?

The Union Budget 2026-27 has garnered significant approval, noted for its calm and businesslike approach. However, a controversial retrospective long-term capital gains (LTCG) tax of 12.5% on Sovereign Gold Bonds (SGBs), effective from April 2026, has raised concerns regarding investor confidence and fiscal policy credibility.

Key Takeaways

• The retrospective LTCG tax on SGBs reopens discussions on the implications of retrospective taxation in India.
• Investor confidence is critical; changes to tax structures can signal instability in fiscal policy.
• Budget 2026 aims for continuity in reforms but undermines it with the introduction of the retrospective tax.

Additional Details

• Background of SGB scheme: Launched in 2015-16, the SGB scheme aimed to reduce physical gold imports, improve the Current Account Deficit (CAD), and offer investors paper gold with an annual interest of 2.5%.
• Original Terms: Investors were assured capital gains tax exemption if the bonds were held until maturity, with gains or losses being the investor's responsibility.
• Changes in Taxation: Starting April 2026, a 12.5% tax will apply retrospectively to capital gains, affecting even those bonds purchased under previous tax-exempt conditions.
• Concerns with Retrospective Taxation: This move breaches the principle of tax certainty, damages investor trust, and recalls India's troubled past with such policies, notably the 2012 retrospective tax amendment.
• Marginal Revenue vs. High Costs: The new tax is projected to yield about Rs 200 crore annually, a mere 0.005% of total tax receipts, while SGBs have contributed significantly to forex savings and rupee stability.

In conclusion, while Budget 2026 demonstrates a commitment to fiscal stability and reform continuity, the introduction of a retrospective tax on SGBs poses a serious credibility risk. As India seeks to enhance its status as a developed economy, maintaining policy certainty is essential for fostering both domestic and foreign investment.

GS3/Science and Technology

India AI Stack

Why in News?

India AI Stack aims to democratise Artificial Intelligence (AI) for wide-scale deployment in sectors like health, agriculture, education, and governance.

• The AI Stack is a comprehensive framework consisting of five interconnected layers designed to facilitate the building, deployment, and scaling of AI applications in a reliable, affordable, and inclusive manner.

Key Layers of the India AI Stack

• Application Layer : This layer focuses on delivering tangible value to users through various AI-powered tools and services. Examples include:
• Health diagnostics: AI applications that assist in diagnosing health conditions based on patient data and medical history.
• Farm advisories: AI-driven recommendations for farmers regarding crop management, pest control, and optimal harvesting times.
• Language translation: Tools that facilitate communication by translating text or speech between different languages.
• e-Courts services: AI applications that support legal processes, such as document analysis and case management in courts.
• AI-enabled weather forecasting: Advanced weather prediction models that provide accurate and timely weather information.
• AI Model Layer : This layer is the core of the AI Stack, focusing on developing India-centric AI models. Initiatives like the IndiaAI Mission, BharatGen, Bhashini, and IndiaAIKosh aim to create models that support Indian languages, public services, and national priorities.
• Compute Layer : This layer provides the necessary processing power for training and running AI models. It is supported by:
• Subsidised access to Graphics Processing Units (GPUs) and Tensor Processing Units (TPUs) through the IndiaAI Compute Portal.
• National GPU clusters and supercomputers.
• A growing domestic semiconductor ecosystem.
• Data Centres & Network Infrastructure Layer : This layer serves as the backbone for AI deployment, supported by:
• Nationwide optical fibre connectivity.
• Near-universal 5G coverage.
• Rapidly expanding domestic data centre capacity, with major hubs in Mumbai, Bengaluru, and Hyderabad.
• Energy Layer : Ensures a reliable and sustainable power supply for AI operations, with:
• Over 500 GW of installed capacity.
• More than 51% of power from non-fossil sources.
• Utilisation of battery storage, pumped storage projects, and nuclear energy.

Significance of the India AI Stack

• AI for Humanity : The stack promotes the use of AI for the benefit of all citizens, ensuring that AI technologies are inclusive and accessible.
• Sovereignty and Self-Reliance : By developing indigenous models and reducing reliance on foreign AI systems, India aims to enhance its technological sovereignty.
• Affordability : The stack is designed to make AI solutions affordable for various sectors, ensuring that the benefits of AI are not limited to a few but are widely distributed.
• Sustainability : The integration of sustainable energy sources and the alignment of AI growth with environmental goals reflect a commitment to sustainable development. 
• Public Welfare : The focus on public services and national priorities ensures that AI advancements contribute to the overall welfare of society.

GS3/ Environment and Ecology

Sacred Groves

Why in News?

Recently, there has been communal tension between tribal communities and Christians in Kapena village, Odisha, which has disrupted the practice and sanctity of the tribal sacred groves. Sacred groves are patches of virgin or near-natural forests that are protected by local communities due to their religious, cultural, and spiritual significance. They are often associated with deities, ancestral spirits, burial grounds, or water sources. The community-based protection of these groves has ensured minimal human interference, resulting in the conservation of rich biodiversity without formal legal safeguards. 

What are Sacred Groves?

Sacred groves are areas of virgin or nearly natural forests that are preserved by local communities because of their religious, cultural, and spiritual importance. These groves are often linked to deities, ancestral spirits, burial sites, or water sources. The protection of these groves by the community has led to minimal human disturbance, allowing for the conservation of rich biodiversity without formal legal protection. 

India is home to over 1 million sacred forests and around 100,000 to 150,000 sacred groves. These sacred groves are distributed across India, particularly in the Western Ghats, Himalayas, Northeast, and Central India, with high concentrations in states like Maharashtra, Karnataka, Kerala, and Tamil Nadu. 

•  In different regions of India, sacred groves are known by various names, such as Sarna in Bihar, Dev Van in Himachal Pradesh, Devarakadu in Karnataka, Kavu in Kerala, Devrai in Maharashtra, Law Kyntang in Meghalaya, and Oran in Rajasthan. 
•  Unlike forest-based groves found in other areas, sacred groves in the Himalayas often take the form of alpine meadows. 

Cultural and Religious Significance

•  Sacred groves are deeply rooted in Hinduism and are intertwined with tribal and indigenous belief systems such as animism, ancestor worship, and reverence for nature spirits. These groves are not protected by law but by a strong moral obligation to worship and safeguard nature. 
•  Communities believe in the coexistence of all living beings, a concept that aligns with the scientific understanding of a healthy ecosystem. 

Ecological Importance

• Biodiversity Refuge: Sacred groves are often referred to as the "secret wizards of conservation" because they serve as refuges for a variety of plant and animal species, resembling small natural forests. 
• Water Conservation: These groves play a crucial role in maintaining high water quality, meeting WHO potable standards, and providing undisturbed habitats for diverse flora and fauna. 
• Soil Conservation: The dense vegetation and minimal disturbance in sacred groves prevent soil erosion, enhance soil fertility, and contribute to long-term ecosystem stability. 
• Strict Prohibitions: To preserve their sanctity, activities such as logging and hunting are strictly forbidden in these areas. Local religious communities, joint families, or temple trusts typically manage these groves. 

Modern Challenges and Protection

•  There is a declining interest in sacred groves among younger generations, along with threats from deforestation, urbanization, and industrial development. 
•  The management of wildlife and its habitat, including sacred groves, is primarily the responsibility of the concerned State Government under the Wildlife (Protection) Act, 1972. 
•  This Act enables states to notify private or community lands as Community Reserves to conserve biodiversity and traditional cultural practices. 
•  Sacred groves, although small and community-protected, play a vital role in local conservation efforts. For instance, Kerala received funding for the Kadalundi-Vallikkunnu Community Reserve under the Centrally Sponsored Scheme for Development of Wildlife Habitat between 2020 and 2023. 
•  Under the Forest Rights Act (FRA), 2006, sacred groves are classified as 'Community Forest Resources,' which are customary common forest land within traditional boundaries. The FRA empowers the Gram Sabha as the statutory authority to protect, manage, and conserve these resources through its own Community Forest Resource Management Committees, independent of the Forest Department. 
•  However, the Wildlife (Protection) Act allows states to declare sacred groves as Community Reserves, bringing them under the control of the Forest Department. This creates a legal conflict because WLPA-led community reserves undermine the autonomy of the Gram Sabha guaranteed under the FRA, 2006. 
•  The preservation of sacred groves aligns with the IUCN Green List Standard, which emphasizes the importance of preserving cultural values. These areas have the potential to qualify as Other Effective Area-based Conservation Measures (OECMs).