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National Rural Employment Guarantee Scheme Making Panchayat Raj Institutions Effective |
By Dr Amrit Patel
The
United Progressive Alliance (UPA) Government has fulfilled one
promise that is part of its National Common Minimum Program (CMP).
The Bill on National Rural Employment Guarantee Scheme (NEGS)
seeks to provide guaranteed employment to one member of every
rural household for at least 100 days a year for a minimum
wage of Rs.60 per day. The
underlying objective of the scheme has been to ensure food
security in rural households by providing guaranteed
employment to increase the purchasing power of the poor rural
families. Around 137 million people are expected to benefit
under the scheme which will cost Rs.170 billion in the first
year covering the most vulnerable 200 districts. From the
second year on, the scheme would be expanded to cover all the
districts of the country.
Dismal
Rural Economic Scenario
Out
of 260 million poor people in the country, about 200 million
poor people are in rural areas. Around 100 districts are under
the constant threat of drought & semi-famine like
situation every year. Other 90 districts face floods &
torrential rains every year. About 25% rural households
are landless laborers & bonded labor, and have no income
generating assets. About 80 per cent of farmers are small
& marginal and have inadequate and poor quality of assets
with meager irrigation facilities. Rural artisans do not have
access to modern tools/ equipment & marketing. Perpetual
& pernicious poverty in rural areas is deeply rooted in
large-scale unemployment among rural house- holds during half
of the year. Chronic unemployment for a large part of the year
is prevalent in hilly, tribal, desert &drought prone areas
and the situation is exacerbated when monsoon fails. |
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According
to National Social Watch, 48% people in 13 States of India
viz. Andhra Pradesh, Tamil Nadu, Maharashtra, Gujarat,
Arunachal Pradesh, Assam, Bihar, Chhattisgarh, Madhya Pradesh,
Orissa, Rajasthan, and Uttar Pradesh do not get two meals a
day. People in 45% rural India do not get work for six months
in a year & 20% villages do not have work opportunities
for people in any form. Even revamped Public Distribution
System (PDS) does not reach to 68% villages. Food
security is a serious problem for poor people in these 13
States. Therefore, there is compelling need for doing
something drastic that would constitutionally guarantee right
to work /employment that will ensure food security. NREGS
The
first objective of this scheme is meant to provide employment
to at least one person for 100 days in a year. During the four
months lean period in a year, when agriculture does not
provide any work to the rural households, the rural poor would
earn additional income of Rs. 6000 in a year thereby providing
food security. Therefore, the scheme is meant to provide work
to these people in their native villages where there is no
work for them in agricultural sector. Other than this scheme,
there are other government schemes. The federal program
Pradhan Mantri Gram Sadak Yojana (PMGSY) with a budget of Rs. 42
billion would be spent and implemented in almost every
Panchayat for rural income and subsistence. There are State
Government sponsored irrigation projects where irrigations
tank, canals, and dams are constructed also providing
employment to rural households to help them earn additional
income. The
second objective is to create assets in rural areas. The
scheme would employ people in developing infrastructure
facilities in villages to accelerate the process of
agricultural & rural development in the country and
improve the quality of life of rural people. Under the scheme,
economic activities such as soil and moisture conservation,
watershed management, drought & flood proofing, forestry,
reclamation of saline, alkaline, degraded land and
development, rural connectivity through arterial roads, etc
would be undertaken. All these projects are clearly defined
and described in the NREG Act. In addition to this, new State
Government desired projects could also be considered. |
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Watershed
development project is significantly important in almost
two-thirds drought-prone districts. Watershed management
program to renovate, clean and deepen all old water bodies
like ponds, tanks greatly increase local water storage
capacity. In this process, groundwater levels can be raised
and through this acute drinking water shortages can also be
addressed. Similarly, construction of canals & check-dams
can improve the irrigation scenario, afforestation can improve
water-holding capacity as part of drought and flood proofing
program. This can bring dry lands into the agricultural and
horticultural ambit. The
act envisages technical studies to be completed by experts who
will then formulate detailed development plans in 150
districts where food-for-work program can be implemented.
Technical experts from Agricultural Finance Corporation (AFC),
Xavier Labor Relations Institute (XLRI), Indian Institute of
Management (IIM) & Institute of Rural Management (IRMA)
are drawing plans for individual villages in consultation with
local leaders & elected representatives. Comprehensive
reports on districts like Aurangabad [Maharashtra], Banswara
[Rajasthan] & Banaskhanta [Gujarat] are in the advanced
stage of formulation. Such reports would be completed for 150
districts & utilized for implementation under the scheme.
Earlier/Existing
Programs
While
this scheme has a “human face†and its basic
concept has received appreciation from everyone, it is
important that the policy makers learn from similar previous
schemes. To ensure the success of this scheme, they must take
corrective actions in the process of planning and
implementation. During the post-independence era, the
Government has recognized the importance of agriculture &
improving the quality of rural life and initiated several
programs of which following projects had specific rural
component employment: |
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These
programs were conceptualized very well to meet specific
objectives to targeted beneficiary groups in precise
geographical locations. However, due to a variety of factors,
in relation to the money spent, the objectives achieved &
benefits accrued under each of the programs were not as
expected. Most significant reasons can be attributed to utter
lack of involvement and participation of local people for whom
these programs were evolved. There was lack of adequate
planning, implementation, monitoring, feedback mechanisms,
post-project reviews, and corrective processes to meet local
conditions and peoples’ needs. Rather than involving
Panchayat Raj Institutions, all programs were planned and
implemented by the Government officials and through the
creation of special additional bureaucracies like District
Rural Development Agency. |
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The
following are some observations and studies that highlight the
failure of these schemes:
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Panchayat
Raj Institutions (PRI)
India
recognized the importance of peoples’ participation in the
process of planning, decision-making, implementation &
delivery system and passed the 73rd Amendment Act,
1992 [which became the Panchayat Raj law on April 24, 1993].
From that time, it is not only desired but also mandatory to
involve local people & Panchayat Raj Institutions (PRIs)
to implement Government schemes and make them responsible to
achieve the underlying objectives. In India, rural local
Government comprises 232,278 village Panchayats, 5,905
intermediate Panchayats, and 499 district Panchayats, making a
total of 238,682 at all the three levels. Total number of
elected representatives of Panchayats at various levels are
2.92 million of which about one million are women and a large
majority of them are first-timers. The 73rd
Amendment Act required positive reservation for women &
disadvantaged sections of the community and has improved
women’s awareness and perception. It has created a space for
them to be assertive and demand their rightful share in the
decision-making at the local level.
For
the first time in the history of post-independence India, and
beyond all expectations, Panchayat Raj Institutions are
expected to be directly involved in this scheme. Gram
Panchayats (GP) and Gram Sabhas (GS) would identify, approve,
allocate, supervise, monitor, and be accountable for rural
programs. While
it is laudable that Panchayat Raj Institutions are now roped
in the implementation of the scheme, it is important to
understand the current status and functioning methodology. It
is also crucial to initiate training and evolve a human
resources development policy to ensure participation,
empowerment, and success in Gram Sabhas & Gram Panchayats.
The following studies are indicative of the immediate needs:
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No
doubt, 73rd Amendment Act has given a new role and
responsibility to the PRIs in India. However, the most crucial
and significant drawback or deficiency in the Act has been
that, instead of having clearly specified and defined, the
functions and powers of PRIs have been left to the discretion
of the State Governments. In fact the Article 243G should have
been like this “the legislature of a State shall endow
the Panchayats with such powers and authority as necessary to
enable them to function as institution of self-government and shall
contain provisions for the devolution of powers &
responsibilities upon Panchayats at the appropriate level with
respect to:
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Thus,
the Article 243G of the Constitution should have envisaged
Panchayats as “institutions of self-government†and should
have given full functional, financial & administrative
autonomy in their working. Participation
& Empowerment
Participation
is an active process by which beneficiaries acquire knowledge,
understand their role, and realize their responsibilities.
They also understand the functions of various institutions;
influence the direction and execution of development projects
to ensure benefits reach them. Therefore, to be a complete
success, it is absolutely essential that the likely
beneficiaries under the NREGS and the rural households of the
village must participate in the process. They need to
understand its short and long-term advantages, its
limitations, the precise role and responsibilities of all the
concerned individuals. This will enable the Gram Sabha in
particular & Gram Panchayat in general to work together
and make the scheme achieve its objectives--guaranteed
employment and additional income in a transparent manner, food
security, and overall development of the village
infrastructure. . |
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The
process of empowerment is individual, collective, and
multi-faceted. It is through involvement in groups that people
often become aware and can organize them to make decisions and
effect change. Empowerment also becomes effective when
resources are pooled to complement manual & technical
skills, administrative & managerial capabilities, and
planning & analytical abilities of local people.
Empowerment of Gram Sabha in particular must include the
transfer of these skills, capabilities, and. Only the true
empowerment of the Gram Sabha, to locally manage financial
resources, collate technical inputs, supervise the execution
of various components of the NREG scheme, identify the
constraints inhibiting its implementation, and initiate
measures to modify the planning process & its
implementation will ensure the success of this scheme.
Capacity
Building
PRIs
knowledge, skills, and capabilities need to be substantially
improved to empower them to resolve issues arising from fiscal
& administrative decentralization. For this purpose,
suitable capacity building measures need to be created so
finance, functions and functionaries are transferred smoothly.
Effective capacity building requires the interaction of
learning-by-doing, access to resources, facilitation,
mediation, and training. Capacity
building measures for Gram Sabhas include the creation of
appropriate policy and legal framework, institution building,
human resource development, and strengthening of managerial
capability. Capacity building measures also refer to
developing community audit skills, formulating common vision,
demonstrating the prioritizing and setting realistic
objectives consistent with local values, facilitating a
strategic plan and phased operational measures, and
encouraging the monitoring and evaluation of progress. Under
the NREG scheme the capacity building should result into |
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Where
is the Gap?
For
the emergence of GS as a body to whom the GPs are accountable,
there is critical need to spell out the powers and functions
of GS in great detail--articulating its role as planner,
decision-maker and auditor. Further, a massive
awareness-creation program is required to inform GS & GP
about their role in planning, implementation, managing
financial resources, accounting, audit, and accountability of
any NREG initiative. In
this context following measures need immediate attention. |
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Conclusion
This
scheme is unique in its concept and implementation and,
therefore, the roles of PRIs, State and Union Government need
to be well defined to avoid ambiguity. This will make each
institution understand its responsibilities and accept
accountability for initiatives. A comprehensive training
syllabus, plan, and program must be designed for GS & GP.
Its implementation must be continually monitored at various
levels.
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