Current Affairs 5 January 2025: India Powers Ahead with Rooftop Solar and a New Skilling Mission

India's policy momentum on January 5, 2025, pivoted towards citizen-centric initiatives, focusing on renewable energy adoption at the grassroots level and a comprehensive overhaul of its national skill development framework. The day also saw a significant verdict in the telecom sector and a push towards digitizing the nation's vast land records.

Energy Sector: PM Surya Ghar 2.0 Launched with Enhanced Subsidies

In a major push to popularize renewable energy, the Union Minister for Power and New & Renewable Energy launched the second phase of the 'PM Surya Ghar: Muft Bijli Yojana'. Dubbed PM Surya Ghar 2.0, the revamped scheme significantly enhances the financial incentives for households to install rooftop solar systems. The key announcement was an increase in the central subsidy for residential systems up to 3 kW, effectively covering nearly 60% of the benchmark installation cost.

To streamline the process, a new unified national portal was also launched, acting as a one-stop-shop for consumers to apply for subsidies, select approved vendors, and track their application status in real-time. The scheme now integrates a simplified loan application process with major public sector banks, offering low-interest, collateral-free loans for the remaining portion of the cost. The government's goal is ambitious: to achieve 40 gigawatts (GW) of rooftop solar capacity by 2028, with this new scheme expected to energize the residential solar market and reduce the carbon footprint of millions of households.

Education and Employment: A New National Skilling Mission

Addressing the critical need for a future-ready workforce, the Union Cabinet approved the proposal for a new, consolidated 'National Skilling Mission' (NSM). This new mission will subsume several existing skilling initiatives like the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) to create a more unified and industry-aligned skilling ecosystem.

The NSM is built on three core pillars: 'Skills for the Future,' 'Skills for Livelihood,' and 'Skills for Global Mobility.' A significant portion of the mission's budget is allocated to establishing 'Centres of Excellence for Future Skills' in every state, which will focus on high-demand areas such as AI/ML, cybersecurity, green mobility, and advanced manufacturing. A key feature is the introduction of a 'National Skills Passport,' a digital credentialing system that will serve as a verified record of a worker's skills and certifications, making it easier for them to connect with employers both domestically and internationally.

Finance and Technology: RBI Tightens Norms for Digital Lending Apps

The Reserve Bank of India (RBI) continued its efforts to regulate the booming digital lending space by issuing a new set of directives for digital lending applications and platforms. The primary focus of the new guidelines is to enhance transparency and protect consumers from exorbitant interest rates and unethical recovery practices.

Under the new rules, all digital lenders must provide borrowers with a standardized 'Key Fact Statement' (KFS)before the loan is sanctioned. This statement will clearly outline the all-inclusive annual percentage rate (APR), the terms of recovery, and the contact details of the grievance redressal officer. Furthermore, the RBI has made it mandatory for all loan disbursals and repayments to be executed directly between the bank account of the regulated lender and the borrower, without any pass-through or pool accounts of the lending service providers (LSPs). This move aims to curb the misuse of funds and provide a clear audit trail.

Legal and Corporate Affairs: Supreme Court's Verdict on AGR Dues

The Supreme Court of India delivered a crucial verdict in a long-standing dispute concerning the calculation of Adjusted Gross Revenue (AGR) for a newer batch of telecom companies and internet service providers. Upholding the Department of Telecommunications' (DoT) definition of AGR, the apex court ruled that all revenue, including that from non-telecom activities, must be included for the purpose of calculating license fees.

While providing clarity on the legal position, the Court granted the affected companies a staggered payment timeline of 10 years to clear their outstanding dues, offering a much-needed breather and preventing immediate financial distress in the sector. The verdict brings a degree of finality to the issue, allowing the telecom industry to move forward with greater certainty.

Governance: A Push for Digital Land Records

The Central Government announced a renewed push for the Digital India Land Records Modernization Programme (DILRMP). The Union Minister for Rural Development launched a new dashboard to track the progress of digitizing land records and property registration across all states and Union Territories in real-time. The government has set an ambitious target to complete the digitization of all land records and establish a conclusive land titling system in at least 50% of the country's districts by the end of 2025. This initiative is critical for reducing land-related disputes, improving transparency, and making it easier for farmers and landowners to access credit and other benefits.