SHIMLA- Himachal Pradesh Government, after hue and cry from local business community and Beopar Mandals, the Assembly had passed the Himachal Pradesh Tax on Entry of Goods (Amendment) Bill 2016 in April. It was decided that tax would be imposed on all online purchases to check revenue losses caused by online shopping/trading. However, it’s been six months since passing of bill, but no such tax is imposed yet. Online transactions are tax-free and neither VAT nor entry tax is imposed on online trading.
The manufacturers and brands are not paying any tax for online trading in the State due to which Himachal is facing revenue loss of Rs 200 crore to Rs 250 crore annually, said a report in The Tribune.
Government claims that the process to decide the slab on tax is in progress. The imposed tax will be payable by courier companies in the state but eventually this additional cost due to tax will make online shopping costlier than it is currently.
The report claimed that the government was mulling to impose 5 per cent entry tax on all goods delivered in the state through online transactions and final decision will be taken soon.
Intellectual Property Rights and Global Access to the Covid-19 Vaccine
By- Adv. Ankit Thakur, LLM in Intellectual Property Rights, Queen Mary University of London, UK. He is currently serving as a spokesperson of the Himachal Pradesh Youth Congress
Developing as well as developed countries must sought out their ways of getting their hands on the Covid-19 vaccines as it bound to have a direct effect on the health crisis faced by many countries. The piece highlights the relation between Intellectual Property Rights (IPR) and the global access to the Covid-19 vaccine around the world. It further highlights points concerning the strength Intellectual Property Rights can provide to every country which is fighting this pandemic.
Intellectual Property Rights (IPR) and its direct effect on life saving medicines is a debate that has been going on for decades. Now, we have seen COVID-19 survive for more than a year and still only a small number of vaccines have been given the green light for emergency sanction. It is becoming increasingly likely that the world may soon look quite disproportionate in one distinct way as hundreds of millions of residents in wealthy nations will be vaccinated before billions of people in developing countries get similar access. India and South Africa are leading the fight to get Covid-19 vaccines clear of the IPR protection and it is also being advocated that their contention would help mobilize additional manufactures and help address vaccine disparities around the globe. Meanwhile, some also argue that this approach can lead to discouragement of additional manufacturing investments as well as undermine long-run vaccine development programs, including to initiatives to address the emerging new COVID-19 variants. On the other hand, the current demand is to scale up the existing vaccine production as quickly as possible while maintaining strict safety and quality standards. For this argument to be true, there will be a need of additional manufacturers who could and would stand by Intellectual Property restrictions. I see no such evidence in this scenario, to the contrary, and taking such a stance towards Intellectual Property may slow down or compromise the production of life saving vaccines.
Pharma companies that have developed and produced various vaccines under enormous commercial and geopolitical pressure need to scale up production as quickly as possible to meet enormous immediate demands around the world. As per my understanding, these companies are already cooperating widely with competitors and generic manufacturers, including via voluntary licenses, contracted productions, and proactive technology transfer. Weakening the commercial incentive of the originator companies may reduce their interest in going forward with the intentional collaborations that are already responsible for total output of the vaccine.
Under the existing TRIPS agreement, signatory countries can already issue compulsory licenses to produce vaccines without taking permissions from the patent holder but not a single country has opted for this option. Voluntary licensing and technology transfer from companies who are the originators can help increase long term manufacturing capacity, especially if paired with public investment. Such companies are also involved in administering quality control standards which is particularly significant in the background of extensive vaccine use. Their cooperation is important for both speedy production of the vaccine as well as maintaining its quality.
Now, coming to the global access challenge the world is facing right now, can summed up into three main points. First, while high income countries and their governments are heavily funding R&D and manufacturing. But in their effort to get more vaccines advance purchase agreements have anticipated the supplies. Second, lack of increasing manufacturing capacity undermines national and international immunization programs. In a developing country like India, vaccine is manufactured by the Serum Institute of India (SII) which is already manufacturing the Oxford/AstraZeneca vaccine. However, the point to be noted here is upfront at- risk investment which requires to fulfil expectation of orders. The third reason is lack of capital in hand to pay for vaccines for countries whose income is low or just above low middle. Manufacturers costs must be met, COVAXIN, developed by Bharat Biotech, is struggling to meet its donation target to high income countries and other donors to enable it to contract for needed vaccines. None of manufacturers today are remotely capable of meeting the demands on a timely basis.
To increase the manufacturing capacity certain issues like risk-tolerant capital and a partnership platform to enable technology transfer to new manufacturing sites around the world need to be addressed. Such a platform can only succeed if both parties in technology transfer equation, the recipient and the originator companies have trust and confidence in the platform. It can be agreed that knowledge-sharing and technology transfer are the crux of the IPR, and patents and legal structures follow. Moderna, for example, has waived Intellectual Property enforcements for COVID-19 vaccines but has not widely shared its know-how, without the latter, the former action has not generated any generic production.
Such a situation gives rise to two broad areas of uncertainty. One, can Intellectual Property waiver be recognised as a symbolic gesture, even if it will have limited impact without broader knowledge sharing? Some will say yes, as it provides legal clarity to protect generic manufactures and signals shared commitment to human life and health over company profits and interests of wealthy countries. But I feel sceptic about it. I agree with the symbolic value, and I am not opposing it, but how will it affect the vaccine access is still to be answered. Two, if originator companies freely share all the know how would generic companies start manufacturing? I think we all would agree that there are generic manufactures with the capacity to produce at least some of the vaccines for e.g., Oxford- AstraZeneca, Johnson & Johnson and Novavax in the medium term, but in the absence of public subsidy and government’s direct help, commercial risk sustains as we cannot assess the total demand and performance of these vaccines against emerging variants.
Considering these risks, I still believe that the companies would invest up front to manufacture vaccines. Given that there is already competition between originators, my instinct is that we should continue to actively engage originators in scaling-up. Creating the right incentives for voluntary licensing and technology transfer because with COVID-19 ‘No one is safe until everyone is safe’.
In conclusion, to speed up vaccination rates around the world, especially in low and middle income level countries, we need more global manufacturing capacity for all COVID-19 vaccine platforms, but COVID- 19 vaccines from IPR will not lead to scaling up the production of the vaccine and as a result will not improve parity or access. Policy makers should undertake measures to eliminate or limit monopolies on the production of the COVID-19 vaccine, using a combination of incentives, mandates, and subsidies. Companies that have patents or biologic resources can be remunerated, through royalties or other reward schemes. There are many inefficiencies in the current market structure and many parts of this market are broken and are highly unfair in terms of global access, but the current inefficient structure can still get some things right if all like-minded communities get together on the issue of global access with the right tools, such as technology transfer facilitation, voluntary licensing and overlapping pricing. As the longer the pandemic exists, the greater the harm in terms of our health, economic and social welfare.
Image: Gerd Altmann from Pixabay
Disclaimer: The opinions expressed in this article are those of the authors. They do not purport to reflect the opinions or views of the Himachal Watcher or its members.
How sluggishness, poor governance aggravated water crisis of Shimla city
Shimla: The ongoing water crisis has not only highlighted the change in weather pattern due to environmental degradation but also exposed a lack of complete seriousness in government towards the welfare of the public in reality.
It applies not only to the current government but also to the previous governments of both Bhartiya Janata Party and Congress.
The Kol Dam water-supply project, which was a long-term solution, is confined to files and DPRs for at least five years. In 2014, the Union Government had rejected the DPR sent by the State Government citing several discrepancies. The SMC couldn’t even fulfil conditions of the World-Bank for the funding of the project until recently. This project has a capacity to supply non-stop water to the town and its surrounding areas upto 2050.
The governments never prepared a contingency plan to deal with situations Shimla is facing currently.
BJP’s Chain of Command Collapsed
Now, all major parties are playing politics over the crisis. It is a bad news for Himachal that even such urgency of matters could not unify the politicians. Rather, BJP’s own chain of command appears to be collapsing.
BJP’s own Councilors are questioning how the party or the government could allow the Mayor Kusum Sadret – the elected leader of the Ward Councilors and the citizens – to go on a tour with her private secretary at such a crucial time.
After a rucksack over Mayor’s China tour, the Deputy Mayor and BJP’s Ward Councilor had to slip away from the meeting the SMC had called today. When the party with the majority is walking out, it is not a healthy sign for the democratic mechanism.
It is not hard to realize that her presence could have hardly made any difference, but, as a leader, her team expected her to stand with them at least for the sake of their moral.
The Deputy Mayor of Shimla, Rakesh Sharma, who was left alone by the Mayor to face the wrath of the Ward Councilors and the people in times of, perhaps, most severe water crisis Shimla ever faced, had called an emergency meeting of the Councilors on Monday. However, several councilors didn’t even show up.
Bhartiya Janata Party’s own Councilors approached the Chief Minister with a complaint regarding the Mayor’s official China tour when the city required all human sources from top to bottom.
VIP Culture Dominated Even in Times of Crisis
After widespread complaints of regular supply to VIPs and their near and dear, the High Court of Himachal Pradesh had on Tuesday taken cognizance of the patronage being given by the government to VIP culture.
It’s perhaps the ugliest part of the ongoing crisis. Wealthy and influential are weighing heavy on commoners even in such hard times.
The Chief Minister held two consecutive meeting on Monday. Shimla was divided into three zones and water supply once in three days was assured from May 29. Some regions on Wednesday received a partial supply of water.
However, the residents complained that they did not receive supply despite issuance of the time-table issued by the SMC. They also complained that the numbers provided by the SMC were either switched-off or were not responding.
To make the situation more grave, the government used police to repress the protests, which could have led to a full-on war anytime. On Tuesday, police officials were seen thrashing protestors, who had gathered at the SMC’s Office.
The bulk re-shuffling of the staff and transfers of some officials from the Shimla Municipal Corporation have backfired at the government.
The government had to reportedly call back at least two of its officials, who were transferred by the Jai Ram Thakur-led Government. The new choice of the new government failed to respond to the situation entirely.
A Disparity in Water-Supply Statistics
A disparity prevails over the total amount of water being supplied to town as the government’s figures did not match with those of the SMC.
While the Chief Minister claimed the water consumers of Shimla town were getting 28.93 MLD water per day as compared to 32.39 MLD in 2016 and 35.64 MLD per day in the Month of May 2017, the SMC claims the supply is has dipped upto 20 to 21 MLD per day.
However, on Wednesday, the Government claimed that about 21 MLD was distributed to the people of the town.
The former-Mayor of Shimla, Sanjay Chauhan, in a media statement, said that during his tenure, they were receiving less than 20 MLD water after the Ashwani Khad water-scheme was closed due to jaundice outbreak in 2015. He said, despite it, they had provided the city with a water supply on every third day.
There seems to be no coordination between the officials of the Shimla MC as well as with other departments.
Allegations of working in nexus with water mafia to create artificial scarcity have also surfaced on a national media channel.
Impacts of Water Crisis
The water scarcity has brought several set-backs for Shimla city during the peak tourist season. The restaurants have closed their toilets for customers. The hotels are paying anything between Rs. 5,000 to Rs. 8,000 for a tanker of water. The hoteliers are charging their guests for additional water. The hotels had to cancell their reservations.
Tourists are disappointed as they are paying Rs. 100 to Rs. 200 per bucket at hotels.
Without water, the people had to start using disposables. The sale of disposables has also gone so high that shopkeepers are selling one disposable cup for as much as Rs. 5 to Rs. 10.
The public is circulating messages of social media urging tourists not to visit Shimla and consume the share of their water amid scarcity. It is ironical because Shimla had been one of the most popular international tourist destination.
Dhabas and small restaurants are buying impure water from private tankers, which poses several health risks as this water is used in meals and washing of utensils.
The crisis has derailed the town completely.
Reforms on Social Level
Rain and snow deficient winter season, in fact, led to drying up of water sources on which the Shimla city had been depending since 1875 – the year town received its first water-scheme. This is the cause of the chaos created by severe drinking water paucity in the city, says the Government, Irrigation Public Health Department, and the Municipal Corporation in defence.
The rain and snow deficiency is the result of a change in weather pattern due to the o felling of thousands of trees in a short period of time for developmental works and to free encroachment of forest lands. Rohtang-Pass has aptly shown adverse effects of rising air pollution due to excess vehicular activity.
The Transport Department, Pollution Control Board, Municipal Corporations and Councils are still stuck at burning daily solid waste – one of the major causes of air pollution.
There is no sign of promotion of rainwater harvesting or water-recycling at large hotels and other public and private establishments. It is during the crisis when, on the macro level, the state government has proposed a Rs. 4751 crore project for funding to the union government for rain water harvesting in the state.
The natural water sources were ignored by modern Shimla, and now the public is rushing back towards them. However, these sources are also giving up as no one ever bothered to revive them.
The Government does take plantation drives, but there is no follow up regarding the survival rate of saplings. In addition, the suitability of plantation is ignored while plantation drives.
The masses needed awareness, which was not on the priority list of the government.
The public is also not interested in rectifying their attitude towards environmental protection and water conservation. It’s astonishing that storage tankers continue to overflow and supply line can still be seen leaking. Again, it is a fact that government needed to work scientifically to de-condition the poor psycho-social condition of the public.
However, here we find that even our top leaders need de-conditioned first.
Bahra University and Siemens to run engineering course jointly
SHIMLA- Solan based privately owned Bahra University has signed a Memorandum of Understanding (MoU) with industrial giant Siemens Industry Software India Private Limited (SISW). The tie up will enable University to set up Siemens Certified Professional Learning Center at its campus.
Suman Bose, Managing Director & CEO for Siemens and Dr. SK Bansal, Vice-Chancellor Bahra University signed the MoU at University campus.
Elaborating on the benefits of the MoU Dr. Bansal said the University will start a new batch of 4-year integrated B.Tech, Mechanical with specialization in Design and Development program at their campus.
Dr. Bansal said the above course will be driven to produce industry ready engineers around broad specializations in industry 4.0 and Smart Factory, design and development, manufacturing and computer aided analysis. He said
Students successfully completing the course per stipulated guidelines will be awarded B.Tech Mechanical degree through the University and Certificate of Merit for the opted specialization in Design and Development through Siemens Industry Software India Private Limited,
Suman Bose assured to provide assistance to arrange for internship for students of University and also promised to assist in arranging industry projects for the students and endeavor to conduct conference and seminars in the University.
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