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Southern Zonal Council's 31st Meeting: Cooperative Federalism, Water Disputes, and Direction of Regional Development
General Studies Paper – II: Governance, Constitution, Polity, Social Justice, and International Relations.
Context
In India's federal structure, constitutional and statutory mechanisms play a vital role in mutual cooperation, policy coordination, and quick resolution of disputes between the Centre and States. In this sequence, Zonal Councils are a major platform to strengthen inter-state and centre-state cooperation.
Southern Zonal Council
The Southern Zonal Council is a top advisory forum of southern states and union territories of India, established to develop a cooperative approach among states, discuss regional issues, and build policy coordination. Discussions are held on subjects related to mutual economic, social, and administrative interests under it.
- Member States: Andhra Pradesh, Karnataka, Kerala, Tamil Nadu, Telangana
- Member Union Territory: Puducherry (Full Member)
- Special Invitees (Not Members): Andaman and Nicobar Islands, Lakshadweep
Why in News:
31st Meeting: Recently, the 31st meeting of the Southern Zonal Council was held at Mamallapuram near Chennai.
- Chaired by Home Minister: This important meeting was chaired by Union Home Minister Amit Shah.
- Freedom from Water Crisis: Union Home Minister Amit Shah suggested that major rivers from the Brahmaputra to the Cauvery and the Godavari should be interlinked to free India from water scarcity for the next 100 years.
- Three Pillars of Development: Amit Shah underlined that high literacy rate, trained manpower, and "technical expertise in the utilisation of deep seas" are the three main pillars of South India's development.
- Key Points: During the meeting, special emphasis was laid on the early resolution of pending water disputes, sharing of inter-state assets and liabilities, and the role of South India in the country's economic development.
Key Demands and Statements of State Chief Ministers
Andhra Pradesh (Chief Minister N. Chandrababu Naidu): Called for greater cooperation among states with the goal of making South India a 10 trillion dollar economy by 2047.
- Tamil Nadu (Chief Minister C. Joseph Vijay): Advocated for fair, equitable treatment that respects fiscal autonomy, rather than preferential treatment for southern states.
- Karnataka (Chief Minister D.K. Shivakumar): Demanded "fairness in funds, voice, and respect" from the Centre and proposed retaining the 1971 Census as the basis for delimitation.
- Kerala (Chief Minister V.D. Satheesan): Reiterated its stance on constructing a new dam in place of the Mullaperiyar dam and supplying water to Tamil Nadu.
- Telangana (Deputy Minister Mallu Bhatti Vikramarka): Emphasized making cooperative federalism a time-bound and legally sustainable framework for resolving inter-state issues.
Important Points
Cooperative Federalism: This platform acts as a power balancer and trust-builder between the Centre and States.
- Dispute Resolution: Provides an institutional platform for dialogue, coordination, and consensus-building on inter-state and centre-state issues (water sharing, boundary disputes, and property sharing).
- Regional Development: Helpful in bringing uniformity in economic policies, internal security, and infrastructure development.
Constitutional and Statutory Provisions
States Reorganisation Act, 1956: Zonal Councils were constituted under Section 15 of this Act.
- Structure: Under the States Reorganisation Act, 1956, five Zonal Councils—Northern, Central, Eastern, Western, and Southern—were constituted, and the Union Home Minister is the Chairman of each council.
- Advisory Nature: These councils are statutory bodies and their nature is primarily consultative.
Main Concerns
Lack of Binding Nature of Decisions: Since these bodies only provide advice, implementing their suggestions is not mandatory for states.
- Political Differences: Consensus is often delayed due to ideological discord between the Centre and opposition-ruled states.
- Water and Resource Disputes: Long-term tension persists among states over sensitive issues like water sharing of the Cauvery or other inter-state rivers.
Way Forward
Active Dialogue: Meetings of Zonal Councils should be made more regular and result-oriented.
- Collaborative Approach: Consensus must be built on subjects of national importance like water crisis and economic policies by rising above political bitterness.
- Strong Implementation Mechanism: An effective follow-up mechanism should be prepared to monitor the compliance of decisions taken in the councils.
- Follow-up Mechanism: A strong and permanent institutional mechanism should be established to continuously monitor the progress of agreements and recommendations finalized between the Centre and States in previous meetings.
Conclusion
Institutions like the Southern Zonal Council play a crucial role in strengthening India's diverse federal structure and establishing a balance between regional and national development. A permanent and equitable solution to the inter-state challenges existing before the country can only be found through mutual dialogue, trust, and constructive cooperation.
July 2026 Core Sector Growth Slows to 5.4%; Fertilizers and Oil Production Decline Main Reasons
General Studies Paper – III: Technology, Economic Development, Biodiversity, Environment, Security, and Disaster Management.
Context
Recently, a slowdown has been recorded in the growth of the country's core sector. According to the latest data released by the Ministry of Commerce and Industry for the 'Index of Core Industries' (ICI), the growth rate, which was 6% in June 2026, dropped to 5.4% in July.
What is the Core Sector?
The core sector is a group of the most important foundational industries in the country that are considered the backbone of the entire Indian economy and all other industries. Under the newly released series, 'Iron Ore' has also been officially included, increasing the total number of core sectors from 8 to 9:
1. Coal, 2. Crude Oil, 3. Natural Gas, 4. Refinery Products, 5. Fertilizers, 6. Steel, 7. Cement, 8. Electricity, 9. Iron Ore (Newly Included).
Why is it in Discussion?
In July 2026, the overall growth rate of the core sector decreased to 5.4%, compared to 6% in the previous month (June).
- Significant slowdowns in the fertilizer, iron ore, and steel sectors are the main reasons for this.
- Additionally, a continuous contraction (decline) trend persists in the natural gas and crude oil sectors.
Important Data Points
Overall Growth Rate: 5.4% in July 2026 (lower than June's 6%, yet the second-fastest growth in seven months).
- Fertilizer Sector: Recorded a sharp 8% decline in July (compared to 3.3% in June).
- Steel Sector: Growth rate dropped to just 2.9%, reaching its lowest level in the past 14 months.
- Iron Ore Sector: Growth slowed down to 29.5% (compared to 44.5% in June).
- Cement and Electricity Sectors (Positive Aspect): Cement sector registered strong growth of 13.1% (a seven-month high), and the electricity sector grew by 9%.
Main Reasons for Decline
Weak and Irregular Monsoon: Due to affected monsoon activity and deficient rainfall in several parts of the country, the sowing level in the agricultural sector declined, directly impacting the demand for fertilizers.
- Long-term Contraction: A decline has persisted for a long time in the crude oil and natural gas sectors due to aging technology and depletion of natural reserves.
- Base Effect: The high growth rate visible in sectors like iron ore and coal is actually due to last year's extremely low production level (low base), rather than any sudden massive surge.
Impact on the Economy
It may have a negative impact on the overall performance of the Index of Industrial Production (IIP).
- The cost and timeline of infrastructure-related projects could be affected.
- A slowdown in sectors tied to agriculture and rural demand could decelerate broad economic growth.
Major Concerns
The continuous contraction of crude oil and natural gas sectors for 14 consecutive months—crucial for India's energy security—poses a serious challenge to the nation's energy self-reliance.
- The decline in the fertilizer sector ultimately affects the country's food security and farmers' livelihoods directly.
Way Forward
Alongside accelerating exploration activities in the energy and hydrocarbon sector, modern technology and Foreign Direct Investment (FDI) must be promoted.
- Alternative irrigation methods must be strengthened to cope with uncertain monsoon spells so that fertilizer demand and agricultural production remain stable.
- Timely monitoring and funding of projects related to steel, cement, and core infrastructure must be ensured.
Conclusion
This slowdown in the core sector indicates that self-reliance, technological rejuvenation, and policy reforms in the country's foundational industries need further momentum. Unless these core pillars related to energy, agriculture, and mining are fully strengthened, achieving a stable and high growth rate will remain challenging.
NAMASTE Scheme
Context
The government is continuously striving to completely mechanize sanitation work in the country and completely eliminate deaths during the cleaning of sewers and septic tanks. For the same purpose, serious concern has been expressed by the National Commission for Scheduled Castes (NCSC) over the continuous rejection of applications under the self-employment and capital subsidy components.
Main News Points
Rural expansion of the scheme: The Ministry of Social Justice has proposed to expand the scope of the 'National Action for Mechanised Sanitation Ecosystem (NAMASTE)' scheme from just towns and cities to rural parts of the country.
- New categories included: Under this expanded scheme, besides sewers and septic tanks, drain cleaners, employees of Sewage Treatment Plants (STPs), and workers associated with faecal sludge treatment plants will also be included.
- Financial outlay: An outlay of approximately ₹498.73 crore has been proposed for this expanded scheme to be spent from the current fiscal year up to the year 2030-31.
- Death statistics: The Ministry of Social Justice informed Parliament this August that a total of 498 people died across the country during the hazardous cleaning of sewers and septic tanks between 2019 and June 2026.
- Profiling statistics: According to the Ministry's annual report for 2025-26, 90,915 sewer and septic tank workers (SSWs) and 1.3 lakh waste pickers have been profiled across the country so far.
- Main components and benefits of the scheme: Under this scheme, manual scavengers and SSWs are provided capital subsidies of up to 50% of the total project cost to set up their own sanitation-related projects. Along with this, establishing emergency response sanitation units in urban local bodies, conducting training workshops, and providing personal protective equipment to workers are its other key components.
- Low project approvals: According to Ministry data up to March 31, only 810 SSWs have been approved for capital subsidies, out of which only 147 have actually received funds. At the same time, only 2,652 projects have been approved for the 58,000 identified manual scavengers, which also includes projects proposed by Private Sanitation Service Organisations (PSSOs) and individuals.
- Objections raised by NCSC: The NCSC has emphasized in letters written to the Ministry of Social Justice that the main reason for the low approval of projects is the high rejection rate of applications. The commission demanded in an August 2025 letter to closely examine the rejections in self-employment applications for the 'Safai Udyami Yojana' (under which SSWs receive capital subsidies) and PSSO components.
NAMASTE Scheme
Full Form: National Action for Mechanised Sanitation Ecosystem.
- Ministry: It has been jointly launched by the central Ministry of Social Justice and Empowerment and the Ministry of Housing and Urban Affairs.
- Launch: This scheme was approved as a central sector scheme in the year 2022, while it was formally launched in July 2023.
- Main Objective:
- To completely eradicate the practice of 'manual scavenging' of human excreta in sanitation work in India.
- To achieve the zero-death target caused by the hazardous cleaning of sewers and septic tanks.
- Socio-economic upliftment of sanitation workers through alternative livelihoods and skills training.
- Significance: This scheme is an important step towards ensuring Sustainable Development Goal (SDG 6 - Clean Water and Sanitation) and fundamental rights to human dignity, social justice, and a safe working environment.
Conclusion
The expansion of welfare schemes like 'NAMASTE' up to the rural level to ensure the safety and dignity of sanitation workers is welcome, provided administrative hurdles are removed and unnecessary
Satkosia Tiger Reserve (STR)
Context
Serious allegations have been made by local residents regarding the relocation of villages from the Satkosia Tiger Reserve (STR) in Odisha, stating that despite coexisting harmoniously with wildlife for decades, they were forcibly evicted from their ancestral villages. In view of these controversies and complaints, a high-level committee has been constituted by the Odisha government for an in-depth review and investigation of this entire process.
Main News Points
Formation and leadership of the committee: The Odisha government has constituted a high-level inquiry committee headed by the Revenue and Disaster Management Secretary, the notification for which was issued on August 17.
- Scope of the investigation: This panel will examine the entire village-wise relocation process within the STR, excluding Raiguda (which was the first relocated village that followed proper procedures).
- Investigation of legal compliance: The committee has been assigned the task of verifying whether proper compliance with applicable statutory provisions—including the Wildlife (Protection) Act, 1972, the Forest Rights Act, 2006, and the guidelines of the National Tiger Conservation Authority (NTCA)—was maintained during the relocation.
- Crisis of zero tiger population: The tiger conservation history of the STR has been quite concerning; while 12 tigers were recorded in the 2007 census, only one remained by 2018-19, and not a single tiger was found in the 2022 census, with the reasons behind their disappearance remaining unresolved today.
- Identification of beneficiaries and rehabilitation: The committee will also investigate whether villagers were wrongfully excluded or included in the relocation process, and the compensation and rehabilitation provided to the affected families will be assessed.
- Corrective and punitive recommendations: The committee has been directed to suggest corrective measures such as payment of interim compensation, restoration of rights, and livelihood support. At the same time, it has been asked to identify the officials responsible for any procedural irregularities or violations and recommend departmental and criminal action against them.
Satkosia Tiger Reserve (STR)
Location: This tiger reserve is spread across the Mahanadi valley in the Angul, Cuttack, Boudh, and Nayagarh districts of the eastern Indian state of Odisha.
- Establishment and area: It was established in the year 2007, surrounded by tropical moist deciduous forests, serving as a meeting point for the biodiversity of the Eastern Ghats and central India.
- Geographical feature: One of the major rivers of the country, the 'Mahanadi', flows through this reserve, where the famous Satkosia Gorge (Mahakhadd) is located.
- Wildlife diversity: This reserve is prominently known for the conservation of tigers as well as elephants, leopards, gaur, pangolins, and especially freshwater gavials (gharials) and crocodiles.
- Conservation challenges: Human-wildlife conflict, rights related to the displacement of traditional forest dwellers (FRA 2006 issues), and the declining tiger population (zero-population status) have been the main administrative and ecological challenges here.
Conclusion
This episode of the Satkosia Tiger Reserve underlines the need to strike a balance between environmental conservation and the fundamental rights of local communities. The high-level inquiry committee should ensure a transparent and equitable solution while rectifying the flaws of the displacement.