UPSC Editorials Quiz : 21 January 2026

Introducing QUED – Questions from Editorials (UPSC Editorials Quiz) , an innovative initiative from InsightsIAS. Considering the significant number of questions in previous UPSC Prelims from editorials, practicing MCQs from this perspective can provide an extra edge. While we cover important editorials separately in our Editorial Section and SECURE Initiative, adding QUED (UPSC Editorials Quiz) to your daily MCQ practice alongside Static Quiz, Current Affairs Quiz, and InstaDART can be crucial for better performance. We recommend utilizing this initiative to enhance your preparation, with 5 MCQs posted daily at 11 am from Monday to Saturday on our website under the QUIZ menu.

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• Question 1 of 5 1. Question With reference to the Carbon Credit Trading Scheme (CCTS) in India, consider the following statements: The scheme is established under the provisions of the Environment (Protection) Act, 1986. The “emission intensity” targets for obligated entities are defined in terms of tonnes of Carbon Dioxide (CO2) equivalent per unit of equivalent output. Which of the above statements are correct? (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2 Correct Solution: B The Carbon Credit Trading Scheme (CCTS) is a market-based mechanism designed to reduce greenhouse gas (GHG) emissions by putting a price on carbon. It allows entities that emit less than their permitted limit to sell surplus credits to those that exceed their limits, thereby incentivising cost-effective emission reductions across the economy. Statement 1 is Incorrect:While the scheme relates to the environment, the Carbon Credit Trading Scheme (CCTS) was notified under the Energy Conservation Act, 2001 (specifically empowered by the 2022 Amendment to the Act). It is administered by the Bureau of Energy Efficiency (BEE), which operates under the Ministry of Power. Statement 2 is Correct:The scheme focuses on “Emission Intensity” rather than absolute emission caps for the initial phase. The targets are scientifically defined as tonnes of CO2 equivalent per unit of equivalent output. This allows industries to grow (increase absolute output) as long as they become more efficient (lower emissions per unit). Incorrect Solution: B The Carbon Credit Trading Scheme (CCTS) is a market-based mechanism designed to reduce greenhouse gas (GHG) emissions by putting a price on carbon. It allows entities that emit less than their permitted limit to sell surplus credits to those that exceed their limits, thereby incentivising cost-effective emission reductions across the economy. Statement 1 is Incorrect:While the scheme relates to the environment, the Carbon Credit Trading Scheme (CCTS) was notified under the Energy Conservation Act, 2001 (specifically empowered by the 2022 Amendment to the Act). It is administered by the Bureau of Energy Efficiency (BEE), which operates under the Ministry of Power. Statement 2 is Correct:The scheme focuses on “Emission Intensity” rather than absolute emission caps for the initial phase. The targets are scientifically defined as tonnes of CO2 equivalent per unit of equivalent output. This allows industries to grow (increase absolute output) as long as they become more efficient (lower emissions per unit).

#### 1. Question

With reference to the Carbon Credit Trading Scheme (CCTS) in India, consider the following statements:

• The scheme is established under the provisions of the Environment (Protection) Act, 1986.

• The “emission intensity” targets for obligated entities are defined in terms of tonnes of Carbon Dioxide (CO2) equivalent per unit of equivalent output.

Which of the above statements are correct?

• (a) 1 only

• (b) 2 only

• (c) Both 1 and 2

• (d) Neither 1 nor 2

Solution: B

The Carbon Credit Trading Scheme (CCTS) is a market-based mechanism designed to reduce greenhouse gas (GHG) emissions by putting a price on carbon. It allows entities that emit less than their permitted limit to sell surplus credits to those that exceed their limits, thereby incentivising cost-effective emission reductions across the economy.

• Statement 1 is Incorrect:While the scheme relates to the environment, the Carbon Credit Trading Scheme (CCTS) was notified under the Energy Conservation Act, 2001 (specifically empowered by the 2022 Amendment to the Act). It is administered by the Bureau of Energy Efficiency (BEE), which operates under the Ministry of Power.

• Statement 2 is Correct:The scheme focuses on “Emission Intensity” rather than absolute emission caps for the initial phase. The targets are scientifically defined as tonnes of CO2 equivalent per unit of equivalent output. This allows industries to grow (increase absolute output) as long as they become more efficient (lower emissions per unit).

Solution: B

• Question 2 of 5 2. Question Consider the following statements regarding Environmental (Protection) Fund Rules, 2026. Statement I: Under the Environmental (Protection) Fund Rules, 2026, seventy-five percent of the penalties collected are remitted to the Consolidated Fund of the State or Union Territory where the environmental violation occurred. Statement II: The primary objective of this fund allocation is to incentivize State Governments and Union Territories to rigorously enforce central environmental laws by providing them with direct financial resources. Which one of the following is correct in respect of the above statements? (a) Both Statement I and Statement II are correct and Statement II is the correct explanation for Statement I (b) Both Statement I and Statement II are correct and Statement II is not the correct explanation for Statement I (c) Statement I is correct but Statement II is incorrect (d) Statement I is incorrect but Statement II is correct Correct Solution: A Statement I is Correct:The Environmental (Protection) Fund Rules, 2026, notified in mid-January, explicitly mandate a 75:25 split. 75% of the penalty proceeds go to the Consolidated Fund of the concerned State/UT, while the remaining 25% is retained by the Centre. This is a significant departure from the usual practice where penalties under Central Acts often accrue entirely to the Consolidated Fund of India or specific central bodies. Statement II is Correct and Explains Statement I:The logic behind this asymmetric fiscal split is to solve the “Principal-Agent” problem in environmental federalism. While the Centre enacts the laws (Principal), the States enforce them (Agent). By allowing States to retain the lion’s share (75%) of the penalties, the Rules create a direct financial incentive for State Pollution Control Boards and state administrations to crack down on violators. Thus, the revenue-sharing model (Statement I) is the tool designed to achieve the incentive objective (Statement II). Source Incorrect Solution: A Statement I is Correct:The Environmental (Protection) Fund Rules, 2026, notified in mid-January, explicitly mandate a 75:25 split. 75% of the penalty proceeds go to the Consolidated Fund of the concerned State/UT, while the remaining 25% is retained by the Centre. This is a significant departure from the usual practice where penalties under Central Acts often accrue entirely to the Consolidated Fund of India or specific central bodies. Statement II is Correct and Explains Statement I:The logic behind this asymmetric fiscal split is to solve the “Principal-Agent” problem in environmental federalism. While the Centre enacts the laws (Principal), the States enforce them (Agent). By allowing States to retain the lion’s share (75%) of the penalties, the Rules create a direct financial incentive for State Pollution Control Boards and state administrations to crack down on violators. Thus, the revenue-sharing model (Statement I) is the tool designed to achieve the incentive objective (Statement II). Source

#### 2. Question

Consider the following statements regarding Environmental (Protection) Fund Rules, 2026.

Statement I: Under the Environmental (Protection) Fund Rules, 2026, seventy-five percent of the penalties collected are remitted to the Consolidated Fund of the State or Union Territory where the environmental violation occurred.

Statement II: The primary objective of this fund allocation is to incentivize State Governments and Union Territories to rigorously enforce central environmental laws by providing them with direct financial resources.

Which one of the following is correct in respect of the above statements?

• (a) Both Statement I and Statement II are correct and Statement II is the correct explanation for Statement I

• (b) Both Statement I and Statement II are correct and Statement II is not the correct explanation for Statement I

• (c) Statement I is correct but Statement II is incorrect

• (d) Statement I is incorrect but Statement II is correct

Solution: A

• Statement I is Correct:The Environmental (Protection) Fund Rules, 2026, notified in mid-January, explicitly mandate a 75:25 split. 75% of the penalty proceeds go to the Consolidated Fund of the concerned State/UT, while the remaining 25% is retained by the Centre. This is a significant departure from the usual practice where penalties under Central Acts often accrue entirely to the Consolidated Fund of India or specific central bodies.

• Statement II is Correct and Explains Statement I:The logic behind this asymmetric fiscal split is to solve the “Principal-Agent” problem in environmental federalism. While the Centre enacts the laws (Principal), the States enforce them (Agent). By allowing States to retain the lion’s share (75%) of the penalties, the Rules create a direct financial incentive for State Pollution Control Boards and state administrations to crack down on violators. Thus, the revenue-sharing model (Statement I) is the tool designed to achieve the incentive objective (Statement II).

Solution: A

• Question 3 of 5 3. Question “Bharat Mart,” recently seen in the news, is best described as: (a) A digital e-commerce platform launched by the Ministry of Commerce for Indian artisans. (b) A warehousing and retail facility in the Jebel Ali Free Zone designed to facilitate Indian MSME exports to Africa and Eurasia. (c) A proposed chain of hypermarkets in India funded by the Abu Dhabi Investment Authority (ADIA). (d) A naval logistics base established by India in the Persian Gulf to secure energy supply lines. Correct Solution: B Option (b) is Correct:Bharat Mart is a strategic infrastructure project being built by DP World in the Jebel Ali Free Zone (Jafza), Dubai. Mechanism:It is modeled somewhat on the “Dragon Mart” (which sells Chinese goods). Bharat Mart offers a hybrid platform: it combines the tax and customs benefits of a Free Zone with the accessibility of a retail marketplace. Strategic Goal:Its primary purpose is to serve as a distribution hub for Indian exporters, particularly Micro, Small, and Medium Enterprises (MSMEs). From this base in Dubai, Indian goods can be easily re-exported to markets in Africa, West Asia, and Eurasia, leveraging Dubai’s logistics connectivity. Incorrect Solution: B Option (b) is Correct:Bharat Mart is a strategic infrastructure project being built by DP World in the Jebel Ali Free Zone (Jafza), Dubai. Mechanism:It is modeled somewhat on the “Dragon Mart” (which sells Chinese goods). Bharat Mart offers a hybrid platform: it combines the tax and customs benefits of a Free Zone with the accessibility of a retail marketplace. Strategic Goal:Its primary purpose is to serve as a distribution hub for Indian exporters, particularly Micro, Small, and Medium Enterprises (MSMEs). From this base in Dubai, Indian goods can be easily re-exported to markets in Africa, West Asia, and Eurasia, leveraging Dubai’s logistics connectivity.

#### 3. Question

“Bharat Mart,” recently seen in the news, is best described as:

• (a) A digital e-commerce platform launched by the Ministry of Commerce for Indian artisans.

• (b) A warehousing and retail facility in the Jebel Ali Free Zone designed to facilitate Indian MSME exports to Africa and Eurasia.

• (c) A proposed chain of hypermarkets in India funded by the Abu Dhabi Investment Authority (ADIA).

• (d) A naval logistics base established by India in the Persian Gulf to secure energy supply lines.

Solution: B

• Option (b) is Correct:Bharat Mart is a strategic infrastructure project being built by DP World in the Jebel Ali Free Zone (Jafza), Dubai.

• Mechanism:It is modeled somewhat on the “Dragon Mart” (which sells Chinese goods). Bharat Mart offers a hybrid platform: it combines the tax and customs benefits of a Free Zone with the accessibility of a retail marketplace.

• Strategic Goal:Its primary purpose is to serve as a distribution hub for Indian exporters, particularly Micro, Small, and Medium Enterprises (MSMEs). From this base in Dubai, Indian goods can be easily re-exported to markets in Africa, West Asia, and Eurasia, leveraging Dubai’s logistics connectivity.

Solution: B

• Option (b) is Correct:Bharat Mart is a strategic infrastructure project being built by DP World in the Jebel Ali Free Zone (Jafza), Dubai.

• Question 4 of 5 4. Question Consider the following statements regarding the “SHANTI Act” (Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India Act, 2025): It is a bilateral treaty signed between India and the United Arab Emirates. It creates the legal framework for the participation of private and foreign entities in the development of Small Modular Reactors (SMRs) in India. It mandates that all new nuclear plants must be based on Thorium fuel cycles. How many of the above statements are correct? (a) Only one (b) Only two (c) All three (d) None Correct Solution: A Statement 1 is Incorrect:The SHANTI Act is a domestic Indian legislation (enacted in 2025), not a bilateral treaty. While it was referenced in the India-UAE joint statement as the enabler for cooperation, the Act itself is an Indian law applicable to the Indian nuclear sector globally. Statement 2 is Correct:The primary objective of the SHANTI Act is to liberalize India’s nuclear energy sector. Historically, under the Atomic Energy Act, 1962, the sector was a state monopoly. The SHANTI Act facilitates collaboration with foreign partners and the private sector, specifically targeting Small Modular Reactors (SMRs) and advanced reactor systems to accelerate deployment. Statement 3 is Incorrect:While India’s long-term three-stage nuclear program focuses on Thorium, the SHANTI Act does not mandate that all new plants must use Thorium immediately. Its focus is on “Advancement” and “Harnessing,” which includes Uranium-based SMRs and other available technologies to meet immediate Net Zero goals. Incorrect Solution: A Statement 1 is Incorrect:The SHANTI Act is a domestic Indian legislation (enacted in 2025), not a bilateral treaty. While it was referenced in the India-UAE joint statement as the enabler for cooperation, the Act itself is an Indian law applicable to the Indian nuclear sector globally. Statement 2 is Correct:The primary objective of the SHANTI Act is to liberalize India’s nuclear energy sector. Historically, under the Atomic Energy Act, 1962, the sector was a state monopoly. The SHANTI Act facilitates collaboration with foreign partners and the private sector, specifically targeting Small Modular Reactors (SMRs) and advanced reactor systems to accelerate deployment. Statement 3 is Incorrect:While India’s long-term three-stage nuclear program focuses on Thorium, the SHANTI Act does not mandate that all new plants must use Thorium immediately. Its focus is on “Advancement” and “Harnessing,” which includes Uranium-based SMRs and other available technologies to meet immediate Net Zero goals.

#### 4. Question

Consider the following statements regarding the “SHANTI Act” (Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India Act, 2025):

• It is a bilateral treaty signed between India and the United Arab Emirates.

• It creates the legal framework for the participation of private and foreign entities in the development of Small Modular Reactors (SMRs) in India.

• It mandates that all new nuclear plants must be based on Thorium fuel cycles.

How many of the above statements are correct?

• (a) Only one

• (b) Only two

• (c) All three

Solution: A

• Statement 1 is Incorrect:The SHANTI Act is a domestic Indian legislation (enacted in 2025), not a bilateral treaty. While it was referenced in the India-UAE joint statement as the enabler for cooperation, the Act itself is an Indian law applicable to the Indian nuclear sector globally.

• Statement 2 is Correct:The primary objective of the SHANTI Act is to liberalize India’s nuclear energy sector. Historically, under the Atomic Energy Act, 1962, the sector was a state monopoly. The SHANTI Act facilitates collaboration with foreign partners and the private sector, specifically targeting Small Modular Reactors (SMRs) and advanced reactor systems to accelerate deployment.

• Statement 3 is Incorrect:While India’s long-term three-stage nuclear program focuses on Thorium, the SHANTI Act does not mandate that all new plants must use Thorium immediately. Its focus is on “Advancement” and “Harnessing,” which includes Uranium-based SMRs and other available technologies to meet immediate Net Zero goals.

Solution: A

• Question 5 of 5 5. Question Consider the following statements regarding the Kaziranga National Park: It is located on the southern bank of the Brahmaputra River. The National Highway-715 passes through the park, disrupting the natural animal corridor to the Karbi Anglong hills. The park is recognized as an Important Bird Area (IBA) by BirdLife International. It is the only habitat of the Eastern Swamp Deer (Barasingha) in India. How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four Correct Solution: C Statement 1 is Correct:Kaziranga is situated on the southern bank of the Brahmaputra. The river forms the northern boundary, while the Karbi Anglong hills lie to the south. Statement 2 is Correct:The conflict between infrastructure and ecology is central here. NH-715 runs parallel to the park’s southern boundary. During the monsoon, when the Brahmaputra floods the low-lying grasslands, animals (Rhinos, Elephants, Tigers) must cross this highway to reach the higher ground of Karbi Anglong. The new Elevated Corridor (35km) is designed to allow animals to pass under the road safely. Statement 3 is Correct:Kaziranga is a designated Important Bird Area (IBA), hosting significant populations of migratory birds and threatened species like the Bengal Florican. Statement 4 is Incorrect:While Kaziranga has a significant population of the Eastern Swamp Deer, it is not the only The species is also found in Manas National Park and Dudhwa National Park (different subspecies). Incorrect Solution: C Statement 1 is Correct:Kaziranga is situated on the southern bank of the Brahmaputra. The river forms the northern boundary, while the Karbi Anglong hills lie to the south. Statement 2 is Correct:The conflict between infrastructure and ecology is central here. NH-715 runs parallel to the park’s southern boundary. During the monsoon, when the Brahmaputra floods the low-lying grasslands, animals (Rhinos, Elephants, Tigers) must cross this highway to reach the higher ground of Karbi Anglong. The new Elevated Corridor (35km) is designed to allow animals to pass under the road safely. Statement 3 is Correct:Kaziranga is a designated Important Bird Area (IBA), hosting significant populations of migratory birds and threatened species like the Bengal Florican. Statement 4 is Incorrect:While Kaziranga has a significant population of the Eastern Swamp Deer, it is not the only The species is also found in Manas National Park and Dudhwa National Park (different subspecies).

#### 5. Question

Consider the following statements regarding the Kaziranga National Park:

• It is located on the southern bank of the Brahmaputra River.

• The National Highway-715 passes through the park, disrupting the natural animal corridor to the Karbi Anglong hills.

• The park is recognized as an Important Bird Area (IBA) by BirdLife International.

• It is the only habitat of the Eastern Swamp Deer (Barasingha) in India.

How many of the above statements are correct?

• (a) Only one

• (b) Only two

• (c) Only three

• (d) All four

Solution: C

• Statement 1 is Correct:Kaziranga is situated on the southern bank of the Brahmaputra. The river forms the northern boundary, while the Karbi Anglong hills lie to the south.

• Statement 2 is Correct:The conflict between infrastructure and ecology is central here. NH-715 runs parallel to the park’s southern boundary. During the monsoon, when the Brahmaputra floods the low-lying grasslands, animals (Rhinos, Elephants, Tigers) must cross this highway to reach the higher ground of Karbi Anglong. The new Elevated Corridor (35km) is designed to allow animals to pass under the road safely.

• Statement 3 is Correct:Kaziranga is a designated Important Bird Area (IBA), hosting significant populations of migratory birds and threatened species like the Bengal Florican.

• Statement 4 is Incorrect:While Kaziranga has a significant population of the Eastern Swamp Deer, it is not the only The species is also found in Manas National Park and Dudhwa National Park (different subspecies).

Solution: C

• Statement 1 is Correct:Kaziranga is situated on the southern bank of the Brahmaputra. The river forms the northern boundary, while the Karbi Anglong hills lie to the south.

• Statement 3 is Correct:Kaziranga is a designated Important Bird Area (IBA), hosting significant populations of migratory birds and threatened species like the Bengal Florican.

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