UPSC Mains 2016 · GS IV · Q13 · 25 marks · 300 words · Case study

ABC Ltd. is a large transnational company having diversified business activities with a huge shareholder base. The company is continuously expanding and generating employment. The company, in its expansion and diversification programme, decides to establish a new plant at Vikaspuri, an area which is underdeveloped. The new plant is designed to use energy efficient technology that will help the company to save production cost by 20%. The company’s decision goes well with the Government policy of attracting investment to develop such underdeveloped regions. The Government has also announced tax holiday for five years for the companies that invest in underdeveloped areas. However, the new plant may bring chaos for the inhabitants of Vikaspuri region, which is otherwise tranquil. The new plant may result in increased cost of living, aliens migrating to the region, disturbing the social and economic order. The company sensing the possible protest tried to educate the people of Vikaspuri region and public in general that how its Corporate Social Responsibility (CSR) policy would help overcome the likely difficulties of the residents of Vikaspuri region. In spite of this the protests begin and some of the residents decided to approach the judiciary as their plea before the Government did not yield any result.

  1. (a) Identify the issues involved in the case.
  2. (b) What can be suggested to satisfy the company’s goal and to address the residents’ concerns ?

हिन्दी में

ए.बी.सी. लिमिटेड एक बड़ी पारराष्ट्रीय कम्पनी है जो विशाल शेयरधारक के आधार पर विविध व्यापारिक गतिविधियाँ संचालित करती है । कम्पनी द्वारा निरन्तर विस्तार एवं रोज़गार सृजन हो रहा है । कम्पनी ने अपने विस्तार एवं विविधता कार्यक्रम के अन्तर्गत विकासपुरी, जो एक अविकसित क्षेत्र है, में एक नया संयंत्र स्थापित करने का निर्णय किया है । नया संयंत्र ऊर्जा दक्ष प्रौद्योगिकी के प्रयोग के अनुरूप प्रारूपित किया गया है जो कम्पनी के उत्पादन लागत को 20% बचाएगी । कम्पनी के निर्णय सरकार की अविकसित क्षेत्रों के विकास के लिए निवेश को आकर्षित करने की नीति के अनुरूप हैं । सरकार ने उन कम्पनियों को पाँच वर्ष के लिए करों में छूट (टेक्स होलीडे) की घोषणा की है जो अविकसित क्षेत्र में निवेश करती हैं । फिर भी, नया संयंत्र विकासपुरी क्षेत्र के शान्तिप्रिय निवासियों के लिए अव्यवस्था पैदा कर देगा । नए संयंत्र के परिणामस्वरूप जीवनयापन की लागत बढ़ेगी, क्षेत्र में विदेशी प्रवसन से सामाजिक एवं आर्थिक व्यवस्था प्रभावित होगी । कम्पनी को सम्भावित विरोध का आभास होने पर उसने विकासपुरी क्षेत्र के लोगों एवं जनता को यह बताने की कोशिश की कि कम्पनी की निगमीय सामाजिक उत्तरदायित्व की नीति विकासपुरी क्षेत्र के निवासियों की सम्भावित कठिनाइयों को रोकने में मददगार रहेगी । इसके बावजूद भी विरोध प्रारम्भ होता है तथा कुछ निवासी न्यायपालिका जाने का इस आधार पर निर्णय करते हैं कि इससे पूर्व सरकार के सामने दिए गए तर्कों का कोई परिणाम नहीं निकला था ।

  1. (a) इस मामले में अन्तःनिहित समस्याओं की पहचान कीजिए ।
  2. (b) आप कम्पनी के लक्ष्यों एवं प्रभावित निवासियों की सन्तुष्टि के लिए क्या सुझाव दे सकते हैं ?

How a topper answered the closest question

Toppers wrote this one in a test series: “A private company has proposed a large-scale hydel power project to tap the potential of a fast-flowing river in a state predominantly occupied by indigenous tribal groups. The state is backward and badly needs funds for socio-economic development. The state government is deliberating on the issue and is yet to take a final decision on the matter. While the project is expected to generate substantial revenue and employment, it will submerge the surrounding areas eventually displacing the tribals. Another issue of concern is that the tribal community regards this land and the river as sacred and integral to their cultural heritage. Thus, the tribals are not in favour of going ahead with the project and are already protesting against it. Their leader has threatened to initiate a hunger strike if the government goes ahead with the project. This has caught the attention of the mainstream media and social activists. Based on the information given above, answer the following: (a) Identify the stakeholders involved in the case and their respective interests. (b) Keeping in mind the issues involved, how can differing interests be reconciled for ensuring sustainable development in the area?”

Nupur GoelAIR 11 · CSE 2019 · 474 wordsTheir whole copy

Opening

Ethical Mapping :-

Body · points and prose

  1. Laws, rules & regulations (FRA, 2006)
  2. Environment Ethics
  3. Sustainable Development.
  4. Economic Development.

a) Stakeholders involved here along with their interests are :-

StakeholdersInterests
Tribals- Treat river as sacred
  • Tribal displacement
  • Social justice | | Tribal leader | - Hunger strike if demand not met |
StakeholdersInterests
Private companyInvestment in large-scale power project
Employment generation
Govt including administrationRevenue generation
Employment & development
Already backward & wealth of investment.
Media & social activistsTo support company or tribal interests
Other residents, society in wholeBoth employment, development & environment conservation important

(b) The various ethical issues involved are:-

i) Environmental preservation v/s socio-economic development. ii) Large scale displacement of tribals. iii) Livelihood & belief of tribals v/s interests of whole state. iv) social justice v/s Environment ethics. v) cultural significance v/s Economical value.

For ensuring sustainable development, differing interests can be reconciled in this way :-

i) Knowing & Understanding :- state should form a high-level committee to know the ground realities

  • how much area to be submerged
  • Quantum of tribals to be displaced
  • cultural significance of river & emotional attachment

ii) It must have participation from all the given stakeholders as well as experts to quantify the loss to environment.

iii) Along with the above Environment Impact Assessment, a social impact assessment by Gram sabha at local level. It'd tell whether it is worth going for such a hydel power project or not

iv) Alternative sites can also be explored for such a project - which does not affect the cultural rights of tribals.

v) If it is proved by EIA & SIA that such project is good for economy, then govt must look for alternative land for rehabilitation of tribals. This must be done in a multi-stake holder approach.

vi) Govt can ask private company to give compensation as well as employment to the affected families.

vii) The local leader must be convinced of the benefits of the project and asked about other concerns. steps must be taken to address those needs. Now, the local leader would convince the tribals.

viii) However, if project leads to irreparable environmental damage and isn't sustainable, it must be shelved immediately.

ix) Media must be unbiased & be fair in showing the case as it proceeds.

WAY FORWARD :-

Close · a way forward

Wherever, there is cultural & livelihood attachments are involved, govt must work on the basis of multi-stakeholder approach and scientific standards of procedure. It must give a level playing field to everyone with community deciding for itself wherever it wants to proceed. It leads to less protests & lead to more democracy.

6 more toppers’ answers to this question, part by part, and how they all approached it: open the question.

Toppers’ answers to other close questions

Source: UPSC, Civil Services (Main) Examination 2016, General Studies Paper IV, Q13. The paper on upsc.gov.in. Themes and links to toppers’ answers are by UPSC Grade, not by UPSC.