Watt's Going On? Karnataka's Hysterical Electricity Price Upgrade

Wednesday, June 7^th 2023

Good Morning ☕

The government of Karnataka seems to be giving a shocking electric jolt to heavy electricity users! With this price increase, it's like they're saying, 'We'll lighten your wallet to lighten your bulbs!' Better start thinking of creative ways to conserve power or invest in some impressive dance moves to power your house with your own kinetic energy.

1. Karnataka hikes electricity prices by ₹2.89 day after announcing 200 free units

The government of Karnataka has increased electricity prices by Rs 2.89 per unit for those using more than 200 units per month to accommodate the Griha Jyoti scheme, which promises a free supply of power to eligible households for up to 200 units. The new prices will be implemented from July 1 onwards. This announcement comes after the raise in electricity tariffs by 70 paisa per unit in May. The Electricity Supply Companies (ESCOMs) had suggested a 16.38% increase (139 paisa per unit) in their tariff proposal in 2022 to cover a Rs 8,951 crore revenue deficit.

2. India's Internet Economy Expected to Grow Six-Fold, Reach $1 Trillion by 2030: Report

India's internet economy is projected to reach $1 trillion by 2030, according to a report by Google, Temasek, and Bain & Company. The report highlights that the contribution of the internet economy to India’s technology sector is set to expand from the present 48% to 62% in 2030, while its share in India’s GDP will increase from 4-5% to nearly 12-13%. B2C e-commerce will dominate the internet economy, followed by B2B e-commerce and SaaS. The growth will be founded on consumers seeing their digital transactions and time spent on video consumption.

3. TCS launches data exchange and marketplace platform on Google Cloud

Tata Consultancy Services (TCS) has launched a data exchange and marketplace platform called TCS Dexam on Google Cloud. The platform is offered as a Software-as-a-Service and enables enterprises to democratize and monetize data across ecosystems. TCS Dexam provides a seamless data exchange for enterprises and their ecosystem partners while ensuring compliance with data privacy, consent, and security regulations. The platform integrates seamlessly with Google Cloud services, making it easy for businesses to access and use the data they need in their applications and services. TCS Dexam generates measurable business benefits by enabling better decisions leveraging the power of data, strengthening innovation-led ecosystem partnerships, and building new revenue streams through data democratization and monetization.

4. Zerodha co-founder Nikhil Kamath signs Giving Pledge, commits to donate 50% of his wealth

Zerodha co-founder Nikhil Kamath has pledged to donate the majority of his wealth to philanthropic causes through 'The Giving Pledge', founded by Bill Gates, Melinda French Gates, and Warren Buffet. Kamath is the youngest Indian to join the pledge and the fourth Indian after Azim Premji, Kiran Mazumdar-Shaw, Rohini and Nandan Nilekani. He plans to contribute to areas such as climate change, energy, education, and health. In addition, Kamath has his own foundation, Young Indian Philanthropic Pledge (YIPP), which collaborates with leaders from the startup ecosystem to give away at least 25% of their net worth to philanthropic causes.

5. SEC Sues Coinbase, Accuses Crypto Platform of Breaking Market Rules

The US Securities and Exchange Commission (SEC) has sued Coinbase, the largest US crypto platform, for violating securities rules. The complaint, filed in a Manhattan federal court, alleges that Coinbase operated as an unregistered exchange, even though it told investors that there were risks in how it was operating and that some of the products traded on its platform might be deemed to be securities by regulators. Coinbase has taken legal action against the SEC, asking a federal judge to force the regulator to share its answer on Coinbase's July 2022 petition on whether existing securities rule-making processes could be extended to the crypto industry.

6. Will bring down dependence on telemarketing calls: Sanjiv Bajaj of Bajaj Finance

Sanjiv Bajaj, the chairman and managing director of Bajaj Finserv, has said that the company will reduce its reliance on telemarketing calls. Instead, it will offer clients the option to avoid such calls. The move comes as the company seeks to improve its customer experience and reduce the number of complaints it receives. Bajaj Finserv is one of India's largest non-banking financial companies, with operations in insurance, lending, and wealth management.

7. Falling profits, strict Sebi rules could deter foreign investors

The Securities and Exchange Board of India's (SEBI) new regulations on foreign portfolio investors (FPIs) could deter foreign investors. The new rules require FPIs to disclose the ultimate beneficial ownership (UBO) of their funds, which may be difficult for some investors to comply with. Additionally, the decline in profits of Indian companies may also discourage foreign investors. The crackdown on illegal dabba trading and the Adani scam have also raised concerns among investors. However, some experts believe that India's capital markets still offer opportunities for growth and investment.

8. Sequoia to separate China, India and Southeast Asia from 2024

Sequoia Capital, a US-based venture capital firm, is dividing its global business into three independent entities for the US and Europe, China, and Southeast Asia, with each adopting a distinct brand. The China and India and Southeast Asia businesses will become independent and distinct with separate brands, by March 31, 2024. Sequoia Capital in the US and Europe will continue to operate under the same name. The move comes amid rising geopolitical tensions and is aimed at giving each unit more autonomy. The new entities are expected to operate independently from March 2024.

9. Aditya Birla Group forays into gold jewellery retail with ₹5000 crore investment

Aditya Birla Group has announced that it will enter the branded jewelry retail business with an investment of Rs 5,000 crore. The new venture, Novel Jewels, will build large-format exclusive jewelry retail stores across India, with in-house jewelry brands. The jewelry market is projected to grow to roughly $90 billion by 2025, and the new venture will look to create an aspirational national brand. With this move, Aditya Birla Group will be taking on Titan's Tanishq, which currently leads the branded jewelry retail space in the country. This marks the Group's third major foray into a new business in the last two years, following its entry into the paints business in January 2021 and B2B e-commerce for building materials in July 2022.

10. Subramanian Swamy fires fresh salvo at govt on GDP growth, says claim on India shining is 'baseless'

In a tweet on June 6, 2023, BJP leader Subramanian Swamy criticized the Indian government's claim of "India shining" and called the country's GDP growth figures "baseless." He argued that if one subtracts the growth rate of GDP from the recovery rate from Corona, then it will be less than 4 per cent. This is not the first time Swamy has made such claims, and in the past, his statements have been debunked by fact-checkers and government agencies.

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