EU regulators

This refers to ‘Clearing the air’ (December 11). The discrimination practised by European regulators against CCI is nothing short of “regulatory apartheid”. Recognising the power and capability of respective country regulators is the basic tenet of regulatory spirit, and seeking power to monitor them for no reason is travesty of justice. The fact that CCI enjoys triple AAA rating from ICRA proves its standing as a clearing agent. The primary function of CCI involve settlement of transactions in G-Secs, forex apart from managing clearing and settlement transactions for banks, primary dealers and mutual funds.

Further to putting in place strong risk assessment systems, it has embraced robust technology platform using delivery Vs payment (DVP) and Payment Vs Settlement (PvP) modes, ensuring an efficient counterparty settlement system. The MoU signed between Bank of England and CCI vindicates its capabilities and mutual respect for one another’s regulatory acumen.

Srinivasan Velamur

Chennai

Climate action challenges

COP28 appears poised to follow the trend of previous climate conferences, lacking credible actions or plans to effectively address the escalating climate change crisis in the near future.

As the world confronts the imperative for change, it becomes evident that sacrifices for the greater good are not readily embraced. Complicating matters, India grapples with severe air quality issues in Delhi, making it challenging to lead global emission solutions.

Furthermore, the paradox emerges in the efforts to limit temperature increases to 1.5 degrees above pre-industrial levels by 2030. This endeavour seems contradictory as major oil-producing nations, including the UAE, have committed to doubling oil production by that time.

Given India’s status as the most populous country, it bears a significant responsibility throughout the energy transition and beyond. The focus must extend beyond ensuring alternative energy sources for the masses to encompass safeguarding livelihoods during and after this transformative period.

Girish R Edathitta

Pathanamthitta, Kerala

Energy from biogas

This has reference to ‘Biogas can fuel a green economy’ (December 11). Biogas is a good alternative clean energy with enormous potential for generation in India due to the abundant availability of feedstock, mainly organic resources such as animal manure. The government needs to encourage small and medium entrepreneurs, with institutional finance, to establish biogas plants in rural/semi-urban areas, where the raw material, the animal manure, is readily available. Approximately, for every 15-20 villages, one biogas plant could be established with an assured supply of 45-50 tonnes of animal manure. Unemployed youth could be provided with self-employment by providing with finance to purchase tractors with trailers to collect raw material on daily basis from farms.

Kosaraju Chandramouli

Hyderabad

Smaller SIPs in MFs

Mutual funds in India has been growing steadily, especially through Systematic Investment Plans (SIPs). The number of SIP accounts reached an all-time high of 7.44 crore in November compared to 7.30 crore in October 2023. The recent discussion by SEBI with the mutual fund industry to accept smaller amount of SIPs as low as ₹250 is welcome. This will allow even poorer sections to participate in the growth of the economy and reap the benefits. A few mutual funds are already accepting ₹100 as minimum SIP while most have kept the minimum SIP as ₹500.

R Kasiraman

Chennai

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