Administrative Reforms Commission
Administrative Reforms Commission
Administrative Reforms Commission
SECOND REPORT
Government of India
2nd Floor, Vigyan Bhawan Annexe, Maulana Azad Road, New Delhi 110 011
e-mail : arcommission@nic.in website : http://arc.gov.in
JULY 2006
GOVERNMENT OF INDIA
SECOND REPORT
JULY 2006
PREFACE
The National Rural Employment Guarantee Act of 2005 is a path-breaking legislation. It signals a paradigm
shift to legal entitlements, public accountability coupled with community rights, and responsive and participative
management. In the past, wage employment programmes, though well stretched, suffered for a variety of
reasons. Programme coverage was low. More than fifty per cent of beneficiaries were not from the most needy
group. Labour employed was not always from the local population. Payment made was lower than the prescribed
wage. There was disparity between wages paid to women and men. On an average, 16 to 29 days of employment
were provided to a worker per annum. Quality of assets created was not always of the requisite standard. There
were reports of forged muster roll. On the whole, wage employment programmes did not eventually achieve
what they set out to do.
The unhappy result was that even though a number of such schemes were taken up, the poor continued to
remain poor, caught in social captivity and were not enabled to participate in the mainstream process. This was
particularly true of areas plagued by extremism, and frontal and inaccessible areas where employment schemes
were taken hostage by contractors and middlemen, locking people in a seemingly perpetual cycle of poverty.
Empowering the poor is best done by breaking the barriers of unemployment, illiteracy, backwardness, illhealth and debilitating social inequality. It is sad but true that these barriers continue to restrain the participatory
possibilities of the rural poor in the growth process. Inclusion and participation in the process of growth is
extremely important for taking the poor out of the vicious cycle of poverty. We need to note that, while the
nation is growing in a high-income trajectory, the bottom of the pyramid of the society is excluded from the
benefits of growth. Unless we target the poor aggressively on the supply side and embark on initiatives which
benefit them directly, growth and equality cannot be reinforced.
The National Rural Employment Guarantee Act (NREGA) is one such revolutionary initiative targeted
at the poor. In order to empower the poor, giving voice to them in the process of implementation of NREGA
should be the main thrust of the Scheme. Community pressure on representatives of local authorities should
demolish the traditional hierarchy of power that has disempowered the poor for so long. Such an accountability
mechanism coupled with effective community participation should give democracy back to the people.
We also need to note that the deterioration in the countrys administration and public delivery system has
affected the poor the most. It is because they are critically dependent on the availability of public services and
essential infrastructure. Corruption is one of the primary reasons why the public delivery system has not touched
the lives of the poor. We have to fight corruption aggressively if the benefits of NREGA are to reach the poor.
Extremism and Naxalism have spread to parts of more than 12 States and have taken a heavy toll. It is not
a coincidence that most of these districts represent areas of high concentration of poverty, poor governance
systems and practices, weak infrastructure and unequal power structure. These are also areas where Panchayats
are simply non-existent and in many places, non-functional. The spread of democratic space through the effective
implementation of NREGA is the only way to liberate these districts.
The Commission has undertaken a study of institutional, administrative and financial management systems
of NREGA. The study is greatly benefited by the deliberations at the National Workshops organized by the
National Institute of Public Finance and Policy, and the eGovernments Foundation. It is also benefited by inputs
from government functionaries, experts with domain knowledge, NGOs and other important stakeholders.
Based on these inputs, the Commission has recommended comprehensive reforms so that the Act can be
implemented seamlessly to benefit the poor. I am confident that, if successfully implemented, the Act will be the
harbinger of transformative changes and participative democracy in rural India.
(M Veerappa Moily)
Chairman
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Administrative Reforms and Public Grievances
Resolution
Some of the issues to be examined under each head are given in the Terms of Reference
attached as a Schedule to this Resolution
4. The Commission may exclude from its purview the detailed examination of
administration of Defence, Railways, External Affairs, Security and Intelligence, as also
subjects such as Centre-State relations, judicial reforms etc. which are already being examined
by other bodies. The Commission will, however, be free to take the problems of these sectors
into account in recommending re-organisation of the machinery of the Government or of
any of its service agencies
Some of the issues to be examined under each head are given in the Terms of Reference
attached as a Schedule to this Resolution
5. The Commission will give due consideration to the need for consultation with the State
Governments.
6. The Commission will devise its own procedures (including for consultations with the
State Government as may be considered appropriate by the Commission), and may appoint
committees, consultants/advisers to assist it. The Commission may take into account the
existing material and reports available on the subject and consider building upon the same
rather than attempting to address all the issues ab initio.
7. The Ministries and Departments of the Government of India will furnish such information
and documents and provide other assistance as may be required by the Commission. The
Government of India trusts that the State Governments and all others concerned will extend
their fullest cooperation and assistance to the Commission.
8. The Commission will furnish its report(s) to the Ministry of Personnel, Public Grievances
& Pensions, Government of India, within one year of its constitution.
( P.I. Suvrathan )
Additional Secretary to Government of India
CONTENTS
Chapter 1 Introduction
Chapter 2 Review of Public Employment Programmes
2.1
2.2
2.3
3.1
3.2
3.3
3.4
3.5
3.6
1
5
5
8
8
10
10
10
11
12
12
13
14
20
20
20
20
23
25
27
28
28
29
33
51
58
58
59
59
65
66
67
68
71
73
75
85
112
115
123
129
153
Chapter 6 Conclusion
Chapter 7 Summary of Recommendations
LIST OF ANNEXURES
I(1)
I(2)
I(3)
I(4)
I(5)
I(6)
I(7)
IV(1)
V(1)
V(2)
87
88
90
92
94
95
96
155
160
179
186
189
INTRODUCTION
The measure of a countrys greatness should be based on how well it cares for its most
vulnerable populations.
Mahatma Gandhi
1.1 There is a shift in Governments approach towards development. Instead of relying only
on increase in general affluence to enhance the living standards of citizens, the approach is
to consider the acquisition of minimum levels of education, health, employment and nutrition
as basic entitlements, and recognize the key role of the state in providing them to every
needy citizen in the country. In essence, the shift is towards universalization and entitlements.
1.2 There is also increased emphasis on promoting balanced development in which all regions
in the country have the opportunity to develop evenly. This equity-promoting role demands
that greater resources be allocated to the backward regions to remove gaps in the provision
of basic services and human development. As a result, large investments will flow to those
districts of the country which are classified as backward. Admittedly, these are the most
difficult districts to implement development programmes because of poor governance
structures, low organizational capacity, weak infrastructure and unequal power structures.
If the programmes can be implemented with a modicum of success in these backward regions,
it would have garnered mainstreaming of development in the poorest parts of the country.
1.3 There is also a fundamental change in how government programmes are funded and
executed. Increasingly key programmes are being funded by the Union Government and
executed by State Governments. This ensures that on the one hand, no entititlement
programme is made to suffer due to resource constraint and, on the other, funds are available
with greater regularity to implementing districts, blocks and Panchayati Raj Institutions so
that programme outcomes can be seamlessly achieved with local participation, ownership,
initiative and supervision.
1.4 In his budget speech for 2006-07, the Union Finance Minister stated that the bulk of
resources of the Union Government would go to seven flagship programmes, namely, Sarva
Shiksha Abhiyan, Mid-day Meal Scheme, Drinking Water Mission, Total Sanitation
Campaign, National Rural Health Mission, Integrated Child Development Services, and
National Rural Employment Guarantee Scheme. They have been allocated substantially
higher funds during 2006-07.
Introduction
are part of the emerging paradigm of Union funding and execution by the State Governments.
The challenge under the circumstances would be to maintain the ease and regularity of fund
flow and ensure accountability in achieving the intended programme outcomes without
incentives being distorted because of the duality in funding and execution.
1.6 Since these flagship programmes are bound by the common objective of delivering
entitlements on a universal scale, it is necessary that they converge at the grassroots and
their individual planning systems are integrated harmoniously. Such integration would ensure
common implementation framework for all the schemes.
1.7 Above all, adequate and appropriate administrative and institutional arrangements are
essential for the success of these programmes. In their design, these programmes provide for
a multi-tier structure of administrative and institutional arrangements for implementation
and monitoring with specified roles and responsibilities. The agencies involved are the
respective ministries of the Union Government, departments of the State Governments and
the local governments. The structure of implementation and monitoring, both elaborate
and complex, underscores the criticality of various institutional structures working in tandem:
at the minimum, what is required for the successful implementation of the programmes is
both vertical coordination of different tiers of governments and horizontal coordination across
departments for execution of the programmes through the local government.
1.8 Of the seven flagship programmes, the Rural Employment Guarantee Scheme under
the National Rural Employment Guarantee Act (hereinafter referred to as NREGA or simply
the Act) is certainly the largest in terms of its outlay, coverage and expected outputs. In
particular, suitable administrative and financial management systems need to be put in
place in order to achieve the desired objectives of NREGA in terms of the benefits of the
programme reaching the intended groups to build capacity to implement the Scheme at
decentralized levels and create a proper information system not only to implement the Scheme
effectively but also to ensure accountability and transparency.
1.9 Evolving appropriate administrative and financial management systems is the key to the
success of NREGA. The Administrative Reforms Commission (ARC) attaches the highest
importance to these systems because once they are tried and tested in the implementation of
NREGA, lessons can be drawn and used for other flagship programmes as well.
1.10 It is in this context that ARC undertook a study of strengthening of administrative and
financial management systems for effective implementation of NREGA. To initiate a process
of wide consultations, the ARC and the National Institute of Public Finance and Policy
(NIPFP) jointly organized a National Workshop which was inaugurated by
Sl. Scheme
No.
Ministry/
Department
Department of
Elementary
Education
Department of
Elementary
Education
Department of
Drinking Water
Supply
Department of
Drinking Water
Supply
Ministry of Health
and Family Welfare
Ministry of HRD Department of
Women and Child
Welfare
Ministry of Rural
Development
Allocation in
2005 -06
Allocation in
2006-07
7156
10041
3010
4813
3645
4680
630
720
6553
8207
3315
4087
10000
14300
34309
46848
1.5 All these flagship programmes signal a change in the development approach towards
universalization and entitlements. To that extent a key consideration in the implementation
of these programmes is to guarantee the reach and the outcomes of the programmes. These
Dr. C. Rangarajan, Chairman, Economic Advisory Council to the Prime Minister. The
Workshop was attended by representatives from ministries/departments of the Union
Government, Secretaries of the State Governments in charge of Rural Development, officers
from the districts, academicians, economists, activists from NGOs and other stakeholders.
The list of participants and recommendations of the Workshop are at Annexures I(1), and
I(4) respectively. Another workshop was organized jointly with eGovernments Foundation
with participation of government functionaries, international experts with domain knowledge
and representatives of a number of NGOs. The list of participants and recommendations are
at Annexures I(5), and I(6) respectively.
1.11 The Commission formulated a comprehensive questionnaire reflecting several aspects
concerning the implementation of the Act and circulated it to the State Governments seeking
responses from Panchayats, Chief Executives of District Panchayats/Collectors and NGOs
{Annexure I(7)}. The Commission visited some of the states and held discussions with
government functionaries and other important stakeholders. In order to assess the situation
at the ground level, the Commission conducted field visits in the states of Karnataka, Tamil
Nadu, Jharkhand, Bihar and Rajasthan. Based on all these inputs, the Commission has
identified issues and constraints and has suggested solutions and made recommendations.
2.1.1 Government of India has taken up a number of wage employment programmes starting
with the Rural Manpower Programme in 1960. Productive absorption of underemployed
and surplus labour in rural areas has, in fact, been a major focus of planning for rural
development in order to provide direct supplementary wage employment to the rural poor
through public works. The following table describes the programmes undertaken by
Government of India over a period of time :
Table 2.1 : Wage Employment Programmes
Programmes
Period
Objectives
Rural Manpower
Programme (RMP)
1960-1969
1971-1974
4
1
Programmes
Period
Employment Assurance
Scheme (EAS)
1993-1999
2000-2002
1999-2001
Objectives
Programmes
Period
Objectives
2.2.1 The Employment Guarantee Scheme (EGS) started in Maharashtra in the early 1970s.
EGS guarantees employment to persons above 18 years of age who are willing to do unskilled
manual work on a piece rate basis. The scheme is self-targeting. The objectives are to
improve welfare of the households through provision of employment and contribute to the
development of the rural economy in the long run through strengthening of infrastructure.
An urban employment tax is used to partially finance EGS.
2.2.2 Evaluation studies of EGS show
The programme continues after 30 years without any decrease in demand for
unskilled wage work
Modest impact on poverty reduction and on unemployment reduction
Distress migration of workers from backward region continues
Quality of the assets created and their maintenance is not satisfactory
Failure to adopt a local development policy to promote overall area development
2.3 Lessons
3.1.1 The National Rural Employment Guarantee Act represents a paradigm shift: it provides
assured employment for hundred days to a rural household. The key to this legislation is in
the word guarantee: it makes employment a right, something that people can expect,
demand and enforce. NREGA is a landmark initiative in yet another significant way. It not
only enhances the income of the poor in the short term by providing employment, but by
creating durable assets through the process of employment, it generates the much-needed
productive infrastructure for poverty alleviation on a sustained basis. To that extent, it
provides a safety net to the rural poor.
3.1.2 The challenges for the successful implementation of NREGA stem from five factors,
namely (a) shift towards universalisation and entitlements, (b) funding by the Union
Government and execution by State Governments, (c) centrality of Local Governments, (d)
administrative and institutional arrangements and (e) problems in the backward areas.
3.2 Shift towards Universalization and Entitlements
government needs to be ensured according to the demand. Thus, a clear mechanism for
flow of funds needs to be evolved, to be driven by demand rather than through the normal
bureaucratic procedure. This also requires a good deal of coordination between providing
work and provisioning of funds.
3.3.2 Accountability
Because of the duality in respect of funding and execution, it is possible that accountability
could get blurred. It is, therefore, necessary to delineate the accountability mechanisms in
clear and unambiguous terms.
3.3.3 Moral Hazards and Distorted Incentives
The funding and executing agencies being different, there is a likelihood that incentives
may be distorted leading to use of resources in a manner that may not exactly maximize
programme outputs. Care has therefore to be taken to ensure that the funds are used
exclusively for furthering the goals of the programme.
3.5.1 Technology
Given the scale of the programme and the possibility that its complexity may grow over
time, it is important that operations be backed by a robust technology backbone. The key
objectives that technology can facilitate in the implementation of NREGA are efficiency,
expediency, accountability, transparency, prevention of leakages and flexibility to different
administrative demands.
12
As a first step, the programme is being implemented in 200 districts in the country
which represent areas with high concentrations of poverty. Admittedly, these are the most
difficult districts to implement the programme due to weak governance structures,
low organizational capacity and highly stratified social and economic power structures.
In addition, most of these districts are located in difficult terrain with poor accessibility and
poor infrastructure. These districts with special challenges are more comprehensively dealt
with in the next chapter.
131
4.1 The districts selected for implementation in the first phase pose a major challenge for
implementation because of their special problems. Out of the 200 districts, 64 are plagued
by extremism and 69 districts are included in the Scheduled Areas and Tribal Areas .
There are districts where
Panchayats are non-existent
and in many places, nonfunctional. Difficult and
varied topography makes
adoption of uniform norms
impractical. There is also
the problem of not having
regular and dedicated
functionaries for many of
these Panchayats. Given
these constraints, implementation of NREGA in these districts would require well focused
area specific responses.
4.2 Widespread poverty is a
common feature of all these
districts. Annexure IV(1) provides
a statistical profile of these 200
districts. It can be seen that a
large number of them are located
in arid and semi-arid regions. In
fact, 94 districts are covered
under the Drought Prone Areas
Programme and 8 districts are
covered under the Desert
Development Programme .
While some districts have an
2
14
average annual rainfall of about 3000 mm (Bongaigaon, Assam) there are others with an
annual average rainfall of about 500 mm (Ahmednagar, Maharashtra) . There are 21 districts
in the Himalayan region and the North East which are completely mountainous. Besides, a
number of districts in Jharkhand, Chhattisgarh, Maharashtra, Madhya Pradesh, Andhra
Pradesh and Orissa have hilly terrain. There are also wide variations in the size and population
of districts. Sheohar district in Bihar has an area of 443 sq. km. while Mehboobnagar in
Andhra Pradesh has an area 41 times larger (18432 sq. km.). Similarly, Upper Subansiri in
Arunachal Pradesh has a population of 39590, whereas South 24 Parganas in West Bengal
has a population 147 times greater {Fig.4.1 and 4.2}.
4.3 These districts are also the most backward regions in terms of connectivity and spread of
banking and post office infrastructure. At present there are 68339 bank branches in the
country ; thus there is one branch for a population of 15000. An analysis of the bank coverage
in a few districts given in Table 4.1, highlights the weak bank network in these areas.
2
3
4
dolr.nic.in)
District
State
No. of Bank
7
No.
Branches
Total
Average population
Dhamtari
Chhattisgarh
40
706591
17665
Pakur
Jharkhand
40
701664
17542
Shahdol
Madhya Pradesh
70
1575307
22504
Bhojpur
Bihar
89
2243144
25203
94
2186125
23256
5
7
Source: District websites (http://dhamtari.nic.in; http://pakur.nic.in; http://shahdol.nic.in) and District Office, Bhojpur
& Thiruvannamalai districts
8 and 9
Source:http://www.educationforallindia.com
15
16
of these areas is higher than in other areas. In 98 of these districts, the proportion of
SC population is well above the national figure of 16.2% (Fig 4.4). Similarly, 116 districts
have more than 8.2 per cent of ST population, which is the national average and in 41 of
them (this does not include Jamtara, Latehar, Simdega and Saraikela-Kharsawan districts of
Jharkhand for which Census 2001 figures are not available) STs constitute a majority of the
population (Fig. 4.5).
responsibilities in respect of Gram Sabha and Panchayat. For example, PESA stipulates that
the Gram Sabha will approve plans, programmes and projects before they are taken up for
implementation by the Panchayat at the village level, and it would identify beneficiaries for
poverty alleviation and other programmes and certify utilization of funds by the Panchayat
at the village level. To that extent, the implementation of PESA will have a bearing on how
NREGA is implemented in the Fifth Schedule Areas.
4.5 These districts are primarily agricultural and in 115 districts, the percentage of agricultural
labourers in the total rural working
population is higher than the national
average of 33 per cent. This indicates
the prevalence of large scale landlessness
in these districts combined with lack of
effective employment opportunities in
the non-agricultural sector. This results
in lower incomes for a large section of
the rural population and is a major
contributor towards the backwardness
of these districts, apart from constraints
imposed by agro-climatic and
physiographic conditions.
4.6 Panchayati Raj Institutions are the designated agencies for implementing NREGA. In
some of the 200 districts, Panchayats do not exist, or are non-functional. The Gram Sabhas
which are required to choose the shelf of projects and conduct social audit of the works done
are dormant in some cases. The priority, therefore, should be to activate the Panchayati Raj
Institutions in these districts for effective implementation of NREGA.
4.9 The nature of local government varies considerably in these 200 districts. As stated
earlier, the constitution of local bodies in Schedule Areas under the Fifth Schedule will be
considerably different after the effective implementation of PESA. Similarly, in some of the
Sixth Schedule Areas, such as, Mizoram and Meghalaya, where Part IX of the Constitution
is not applicable, the constitution of local bodies is different.
the norms for administrative staffing and a uniform delivery mechanism for all the two
hundred districts is untenable. The administrative approach therefore needs to be calibrated
in such a way that it takes into account region specific variations.
the work of two or more Panchayats. Most of them are promoted from the cadre of Dalapatis
[local government employee with educational qualification of VII standard] and are therefore
not professionally competent.
4.11 There is ample evidence that the delivery of basic public services, particularly those
intended to benefit the poor and weaker sections, has functioned relatively ineffectively in
these backward districts, even when funds have not been a constraint. It has therefore to be
recognized that availability of funds, though necessary, is not sufficient for the successful
delivery of basic public services. The capability of the administrative system to optimally
use funds and realize results on the ground is equally important. Delivery of basic public
services in these backward districts has suffered due to, on the one hand, weak administration,
understaffing and lack of motivation and on the other, large-scale leakages. The reach of the
administrative network is weak, leading to difficulties in implementation of most development
schemes, e.g. in the North Eastern states, in many areas funds are channelised through
autonomous district councils despite the fact that elections have not been held to these
councils for a long time. It is, therefore, necessary that the issue of strengthening the
administrative apparatus is addressed on priority.
4.13 The situation is far better in the more progressive states where the additional staff
sanctioned has enhanced the capacity of the administrative machinery to implement schemes
like NREGA. However, in some backward districts, additional posts sanctioned have been
shown against the existing staff of Panchayati Raj Institutions, as a result of which no actual
recruitment has taken place.
4.12 In most of these backward districts, the administrative functionaries in the Panchayati
Raj Institutions are either not available in adequate numbers or do not function. For example,
in Bhojpur district in Bihar, there are only 134 Panchayat Secretaries as against 228 Panchayats
in the district. The result is that the Panchayat Secretaries are overburdened, looking after
18
19
20
62,73,474
1,25,46,948
5153269 122238417
2001
Source: Primary Census Abstract, Census of India
11
20,00,000
6,00,000
18358.84
10
200
West Bengal
TOTAL
12,439
61119208
13.4%
120.0%
31.8%
40%
79,07,845
2,34,088
4,68,177
33498.69
1910.60
2,16,462
1,41,978
2,81,016
10,62,772
22
Uttar Pradesh
42.2%
1
Tripura
Uttaranchal
1456.66
9,58,980
6
Tamil Nadu
6,206
6,206
1,58,15,690
60,221
1,20,443
11,487
22,70,702
45,41,405
51,883
1,40,742
5,81,360
9889.21
16,83,784
33,67,568
2,94,657
3,19,828
451.50
20000.00
12,65,942
Sikkim
13,37,061
6
Rajasthan
755.75
31516.56
16,02,199
33,375
37,870
1
24,00,560
19
1
Nagaland
Punjab
2
Mizoram
Orissa
2
Meghalaya
22,974
59.7%
9.0%
79.4%
40,16,206
2,10,197
4,20,394
80,32,413
12,14,590
12,81,759
19,339
62,667
27,551
55,103
1,25,334
25,431
45,23,240
1,18,250
2,36,501
50,863
90,46,480
44,310
44,310
17961.64
570.89
17,880
2,88,921
23,35,602
45,172
1
12
Maharashtra
Manipur
5,60,383
47,46,823
94,93,646
12,06,067
16,66,665
35000.00
36,75,584
40,33,166
18
Madhya Pradesh
16,97,741
33,95,482
11,20,767
42,724
1,48,875
2179.51
6329.69
3,15,412
2
Kerala
2,25,133
5
Karnataka
4,57,409
40,88,736
3,49,006
6,98,012
81,77,473
4,67,832
4,127
4,127
4,96,725
37618.59
986.36
65,531
11,71,831
17,55,005
1,69,038
3
20
Jharkhand
3,49,575
2,16,625
4,33,250
19,051
20,923
683.64
46,442
2
Himachal Pradesh
62,150
38,96,229
6,99,150
6,602
27,904
30,909,
6,602
913.39
4113.94
3,89,772
22,674
47,250
2
5,40,761
6
Chhattisgarh
Haryana
11
Bihar
Gujarat
23
Assam
19,48,114
17.0%
54.7%
27.7%
13.5%
28.6%
48.4%
42.9%
26.9%
40.1%
84.9%
51.6%
177.6%
26,67,040
81,30,576
1,62,61,152
53,34,080
3,35,526
10,65,367
16,57,522
3,35,526
17321.72
40503.38
5,92,155
13,85,852
12,58,456
272.85
13970.85
Arunachal Pradesh
14,60,999
9,45,967
8,753
17,507
18,91,934
10
48.5%
79,84,721
9
8
1,59,69,442
3,47,084
7
6
3,79,153
20000.00
5
4
38,77,669
11
38,77,669
13
Table 5.1 brings out the wide gap between the number of households that could be registered
and the actual number of households that have been registered. There are also wide variations
in the registration effort among states.
Andhra Pradesh
Name of State
21
10
5.2.1.6 Recommendations:
a.
Awareness generation programmes should be taken up by all State
Governments. The publicity and guidance material should be available
in local languages. The effectiveness of these programmes should be
measured through independent sample surveys.
b.
c.
22
e.
Special norms should be worked out for various parameters of the Scheme
for difficult areas.
f.
g.
(v)
b)
c)
d)
e)
f)
g)
5.2.2.4 The Commission feels that the evaluation as envisaged in the Operational Guidelines
would not be sufficient. Therefore a much more rigorous impact evaluation system would
have to be evolved. As a first step, the parameters to be evaluated have to be identified. To
begin with, these may include the average number of households, the prevalent market
wages for agricultural labour, average number of days the family migrates in search of labour,
productivity of small and marginal land holdings and, quality and contribution of assets.
But before selecting such parameters, they should be validated through field studies.
5.2.2.5 Having identified the parameters, a baseline survey should establish their current
status. Such surveys should be carried out in representative areas of each district, preferably
through independent professional agencies. Target levels should be prescribed for each of
these parameters. Periodic evaluations preferably once in three years should be carried out
to assess the progress under these parameters. The attainment of target levels would signal
successful implementation of the Scheme.
5.2.2.6 Recommendations:
a.
(i)
(ii)
24
b.
a2.
a3.
a4.
5.2.3.6 Recommendations:
a.
b.
c.
There should be only one Plan for an area so that an integrated view of
development of the area could be taken. All sectoral/schemewise plans
should be culled out from this plan.
d.
i.
ii.
Every habitation over 1000 population and above (500 in hilly and tribal areas)
to be provided an all weather road: remaining 66,802 habitations to be covered
by 2009
iii.
5.2.4.1 It is proposed to expand the coverage to all districts in the country within five years
in a phased manner. A district in India generally covers a large area and there are often
significant variations in the socio-economic development in its various blocks. As a result, it
is likely that there may be some blocks within a district which would qualify for early
inclusion under NREGA. However, the overall indicators of such a district would not merit
its early inclusion as some of the Blocks may have better socio-economic indicators. Such
distortions, however, would not occur in the block which is a smaller and more homogeneous
unit. In view of this, the Commission feels that extension of NREGA should be taken up in
a phased manner and the block should be taken as a unit for inclusion instead of a district,
with the most backward blocks being taken up first.
iv.
5.2.4.2 Recommendation:
v.
a.
12
Source: http://www.bharatnirman.gov.in
(b)
75 per cent of the cost of materials and wages for skilled and semi-skilled workers.
(c)
5.3.2.1 Section 6(1) of NREGA empowers the Union Government to specify the wage rates
for the purposes of the Act. It is also stipulated that the wage rate thus notified shall not be
less than Rs 60 per day, and until such time the Union Government specifies the wage rate,
the minimum wage fixed under Section 3 of the Minimum Wages Act, 1948 for agricultural
labour shall be considered to be the wage rate applicable to that area. So far the Union
Government has not specified the wage rate under Section 6(1). Therefore the wage rates
specified under Section 3 of the Minimum Wages Act are to be adopted by the respective
State Governments.
(a)
25 per cent of the cost of materials and wages for skilled and semi-skilled workers.
(b)
(c)
5.3.1.3 Thus a substantial portion of the funding comes from the Union Government.
Indeed in case of earthworks where no material component is required the contribution of
State Governments is almost nil. This provides a distorted incentive system wherein increased
drawal of funds from the Union Government need not mean significantly higher matching
28
29
Appropriate Governments
(1)
(2)
(3)
Central Sphere
102.78 to 114.78
a State, the minimum wage fixed by the State Government under section 3 of the Minimum
Wages Act, 1948 for agricultural labourers, shall be considered as the wage rate applicable to
that area.
5.3.2.3 As per Section 3(2) of the Minimum Wages Act the appropriate governments may
fix the minimum wages as follows:
States / UTs
1.
Andhra Pradesh
2.
Arunachal Pradesh
55.00 (Area-I)
57.00 (Area-II)
rate);
3.
Assam
69.00
a minimum rate of wages for piece work (hereinafter referred to as a minimum piece
4.
Bihar
66.00
rate);
5.
Chhattisgarh
52.87
a minimum rate of remuneration to apply in the case of employees employed on piece work
6.
Goa
94.00
for the purpose of securing to such employees a minimum rate of wages on a time work basis
7.
Gujarat
50.00
8.
Haryana
9.
Himachal Pradesh
70.00
10.
66.00
5.3.2.4 A state-wise comparison of the minimum wages fixed (for agricultural labour) is
shown in Table 5.2. There are substantial inter-state variations in the notified minimum
wages13 and in some states the rate is below Rs 60 per day.
11.
Karnataka
56.48
12.
Kerala
5.3.2.5 In most cases the minimum wage rate fixed under the Minimum Wages Act is the
Time Rate. Section 17 of the Minimum Wages Act states that even in cases where an
employee is engaged on a piece rate the payment of wages has to be at time rate or piece
rate or higher of the two.
13.
Madhya Pradesh
56.96
14.
Maharashtra
Zone-I 51.00
Zone-II 49.00
Zone-III 47.00
Zone-IV 45.00
on piece work for which minimum time rate and not a minimum piece rate has been
15.
Manipur
72.40
fixed under this Act the employer shall pay to such employee wages at not less than the
16.
Meghalaya
70.00
17.
Mizoram
91.00
18.
Nagaland
66.00
(b)
(c)
a minimum rate of wages for time work (hereinafter referred to as a minimum time
a minimum rate (whether a time rate or a piece rate) to apply in substitution for the
minimum rate which would otherwise be applicable, in respect of overtime work done by
employees (hereinafter referred to as overtime rate).
30
31
13
5.3.2.7 Recommendation:
a.
The provisions regarding prescription of wages under NREGA and the
Minimum Wages Act would require detailed examination. A task force
comprising representatives of the Ministry of Rural Development, Ministry
of Labour, Ministry of Law and Justice and a few State Governments may
be constituted to examine and make recommendations on this issue.
S.No.
Appropriate Governments
(1)
(2)
(3)
19.
Orissa
55.00
20.
Punjab
90.58
21.
Rajasthan
73.00
22.
Tamil Nadu
70.00 80.00
23.
Tripura
50.00
5.3.3.1 Essential
24.
Uttar Pradesh
58.00
25.
Uttranchal
73.00
26.
West Bengal
27.
100.00 (Andaman)
107.00 (Nicobar)
28.
Chandigarh
114.00
29.
89.00
30.
Delhi
125.80
31.
Pondicherry
Pondicherry / Karaikal
Yanam Region
5.3.3.1.1 As mentioned in the earlier chapter, the essential elements of an efficient financial
management system are
(i)
(ii)
Smooth flow of funds from the Union Government to districts and thereon to
Gram Panchayats and ultimately to the workers.
(iii)
(iv)
(v)
(vi)
5.3.2.6 Minimum wages are generally fixed on time rate basis whereas works are executed
on piece rate basis. Reconciliation between the two poses a challenge. Moreover, the Minimum
Wages Act provides different rates for agriculture labour and construction work. Under
NREGA, as most of the works pertain to construction, it needs to be examined whether it
would be permissible under the Minimum Wages Act to pay wages at agricultural rates
when there is a separate rate for construction work? Also Section 17 stipulates that even
when the works are executed on piece rate basis, wages have to be paid at a rate which
cannot be less than the time rate. This would mean that the piece rate is applicable when
the worker does so much work that he is eligible to get more than the time rate. Such a
prescription may run contrary to creation of durable assets with the potential for misuse of
funds also being very high.
32
Procedural simplicity.
of Funds to Districts
5.3.3.3.1 There is need to distinguish between the flow of funds and the flow of information.
While fund flow is from the Union and the State Governments to the Gram Panchayats
through intermediate levels, the flow of information is in the opposite direction, from Gram
Panchayats to the State and Union Governments. Costs and time both increase when funds
flow through unnecessary intermediate levels. Similarly, information flow need not be through
a hierarchy of levels in a sequential manner. Experience shows that when funds for Centrally
Sponsored Schemes are routed through State Governments, there is substantial delay in
receipt of funds at the utilization level. The conventional argument for routing funds through
State Governments has been that plans and budgets can be prepared, implemented and
monitored effectively only when the State Government is a recipient as well as a disbursal
authority for these funds. However, this purpose can also be served by ensuring that State
Governments are constantly kept informed about the flow of funds as well as their utilization.
The Commission feels that in demand based schemes such as the REGS which require timely
availability of funds for smooth implementation with minimal overheads, routing funds
through states is not advisable. Instead, districts, which are closer to the points of utilization
and are also charged with the responsibility for implementation of REGS, should be the
nodal points for funds and information. Therefore, the Commission recommends that funds
from both Union and State Governments should be transferred to the districts for onward
transmission to the intermediate and Gram Panchayats.
5.3.3.4 Pre-requisites
for Release
5.3.3.4.1 The guidelines provide that after 60 per cent of the funds released earlier are
utilised, the District Programme Coordinator (with the recommendation of the State
Government) or the State Government (in the event that a State Employment Guarantee
Fund is established) may apply to the Ministry of Rural Development for the next instalment
out of the Central Employment Guarantee Fund. Similarly, the blocks become eligible for
the next instalment only after they utilize 60 per cent of the funds already placed at their
disposal. Also, only after 60 per cent of the allocation given to any Gram Panchayat has
been spent, can the Panchayat apply to the Programme Officer for release of additional
funds. Subsequent releases are further dependent on submission of certificates regarding
utilization, receipt of state share and non-embezzlement. These certificates are intended to
serve as checks on misappropriation, improper and inadequate utilization of funds. However
in reality they are impractical in the present context. It is not clear what is meant by a
certificate of non-embezzelement and who will provide this. In so far as utilization certificates
34
5.3.3.5.1 In the past, Centrally Sponsored Schemes for employment generation have been
outlay driven. In these schemes the Union Government would transfer funds to State
Governments only when a demand was raised accompanied by stipulated utilization
certificates. Such a reactive system will not be appropriate in the REGS context as these are
demand based and not supply based schemes. REGS has to fulfill rights conferred on citizens
to demand and get employment, and when this demand is not fulfilled, the State Government
will have to pay an unemployment allowance. A reactive system will therefore have to be
transformed into a proactive system of fund flow to ensure that adequate funds are available
for fulfilling the employment demand and avoiding payment of unemployment allowance.
Funds flow from a higher level to a lower level (Union Government-District-Block-Gram
Panchayat) will have to be activated on the basis of new triggers and would be the
responsibility of the higher level. The triggers in the reactive systems of the past were a
demand note from the implementing agency, utilisation certificate and projected
requirements. These triggers will, however, not serve the requirements of REGS.
35
b.
c.
Purchase of materials
d.
Administrative expenses
e.
Unemployment allowance
While funds for 25 per cent of expenditure incurred under heads (b) and (c) and 100 per
cent of expenditure incurred under (e) are to be released by the State Government,
the balance has to be released by the Union Government. These stipulations can be enforced
only when the funds released for materials and the expenditure on materials are accounted
for separately. Similarly, the expenditure on skilled and semi-skilled workers would
have to be accounted for separately as State Governments have to meet 25 per cent of the
wages for skilled and semi-skilled workers. Hence, release of funds as well as accounting
would have to be done stream-wise as shown in figure 5.2 if the present operational guidelines
are to be followed.
5.3.3.6.2 The Commission is of the view that these requirements impose a heavy burden on
the Panchayats in maintaining their accounts and managing their funds. Release of funds
from the State and Union Governments would also be delayed due to the time required to
receive, scrutinize and authorize release of funds under different accounting heads. Needless
to say, the administrative costs would also increase substantially. In addition, districts,
State and Union Governments would all have to maintain a full set of accounts under these
heads, which are an aggregation of the accounts maintained by the Panchayats. It is essential
that this procedure be simplified and release of funds be based on aggregate utilization of
funds, with the provision that higher levels have access to the accounting information of the
Gram (village) and Block Panchayats. This information will provide the higher levels (District
Panchayat or Zila Parishad, State Government and GOI) with a check on the quantum of
funds to be transferred from the districts to the blocks and onward to the Gram Panchayat.
36
37
Contribution
5.3.3.7.1 In order to encourage ownership by states of the REGS, states are required to
contribute some amount towards the implementation of the Scheme. This is also as per the
letter and spirit of the Act. But this need not be in the complicated manner stipulated in
the Act as well as the Operational Guidelines. A far better option is to ask the states to
contribute a fixed percentage of the total costs. As per the present guidelines the maximum
a state would be required to contribute is not likely to exceed 10 per cent of the project cost
(excluding unemployment wages). The Commission therefore recommends that the states
contribution be a fixed 10 per cent of the total cost of REGS (excluding unemployment
allowance). This would have the advantage of reducing the accounting effort, as well as cost
and time of fund flow management. The states contribution should reach the districts by
the end of the financial year and, in case of default, the amount due may be deducted from
the allocation to the states under Central Assistance for State Plans. This contribution will
encourage the states to take a more balanced view while fixing the wage rates under REGS.
5.3.3.8 Fixing
5.3.3.8.1 To ensure that funds do not remain idle at the Panchayats (village,block,district)
it will be desirable to stipulate the maximum amount which a Panchayat at any level should
maintain at any given time. Such maxima would have to be fixed for wage payments, purchase
of materials and administrative expenses taken together. For a Gram Panchayat, the maximum
level should be based on the requirements of that Panchayat for a cycle. For a block/
intermediate level it will be an aggregate figure for all the Gram Panchayats included in the
block as well as for the works to be executed by it. For this purpose the block will be treated
as any other Gram Panchayat. Likewise the maximum level of funds in a district would be
the cumulative amount of the block (intermediate level) maxima and requirements for the
works to be executed by it.
5.3.3.8.2 As replenishment will be on a fixed cycle (time) basis, the maximum levels fixed
for a Gram Panchayat should be enough to meet the expenses over a cycle. Keeping in view
the efforts required to process release of funds and the frequency of payments, funds may be
released by the Union Government to the districts, once a month. Since the replenishment
would be based on the amounts utilized in the previous month, the quantum of funds
utilized would have to be ascertained for all levels in the beginning of each month for the
immediately preceding month. Assuming that this process of compilation of information
and processing at all levels would take about a month, Panchayats at all levels (village,
block/intermediate and district) should have enough funds to meet their requirements during
this lead time. Thus the maximum level of funds for the Gram Panchayats should be equal
to their estimated requirement for a two-month period (an additional 15 days margin will
38
39
Amount required for wages W=(N) x (D) x (R); where N=number of job
cards in the village (Gram Panchayat), D14= estimated days of work demanded
in a two months period per job card, R= daily wage rate.
(ii)
(iii)
5.3.3.8.5 Thus the maximum level for the Gram Panchayat would be = W+M +A.
Only half this amount will be assigned to the Gram Panchayat and the rest would be parked
at the block/intermediate level.
5.3.3.8.6 The maximum level for a block (intermediate level) would be summation
of all the Gram Panchayats maxima (two months requirement) and its own
requirements. The blocks own requirement may be fixed at 10 per cent of all Gram
Panchayats requirements for two months. The maximum level for the district
may be similarly determined. The principle to be followed for flow of funds would
be that each higher level would release funds to the next level to bring the
funds availability at that level to the prescribed maxima. The Commission also
recommends that the maximum fund level and the variables involved in its
determination be reviewed periodically, to begin with after six months from the
date that they were fixed.
40
14
15
16
We may assume D=40 for the present. This number may be revised based on experience.
As the maximum allowable ratio of materials
As
to wages is 40:60
the administrative expenditure for capability building, awareness generation would be at district and block level,
the allowable percentage would be different for district, block and Gram Panchayat.
Release Cycle
5.3.3.9.1 The fund release cycle would begin at the start of the financial year and the Union
Government should release funds to each district to bring their funds availability to the
prescribed maximum. The district in turn would retain only funds meant for it and release
the rest to blocks (intermediate levels) to bring their levels to the prescribed maxima. The
blocks in turn would release funds to the Gram Panchayats to raise the Gram Panchayats
fund levels to their prescribed maxima (up to one months requirement). This would ensure
that the blocks have adequate funds for their own requirements as also one months
requirement of funds for the Gram Panchayats.
5.3.3.9.2 At the commencement of the second month, the blocks (intermediate level) would
obtain statement of expenditures from every Gram Panchayat for the preceding month and
immediately restore their fund levels from the funds available with it. Simultaneously, it
should forward a consolidated statement of expenditure of all the Gram Panchayats to the
district, after adding its own expenditure. The District Panchayat in turn should consolidate
the information for all blocks, add its own expenditure and forward it to the State Government
and the Union Government. The Union Government should immediately process for release
of funds. This entire process should be completed so that the funds reach the Gram Panchayat
before the first week of the third month. The same process will get repeated in other months
except for those months in which a supplementary check described in para 5.3.3.11 is applied.
The complete cycle is described in Figure 5.3.
5.3.3.10 Emphasis
and Balances
5.3.3.11.1 Under the existing dispensation, the tools available for ensuring proper utilization
of funds are the mechanism of Utilisation Certificate and the Audit. A Utilization Certificate
(UC) is a self certification document issued by a public authority certifying that the funds
utilized by it have been expended as per the extant rules and regulations. It is expected that
such a certificate would be issued after the public authority has exercised all the required
41
42
43
educated about the new accounting systems, funds flow management and zero tolerance
for mistakes.
5.3.3.12.4 The Gram Panchayat is the base level at which data is captured on implementation
of REGS. The Gram Panchayat forwards the financial information generated at its level to
the Block Panchayat, which in turn aggregates data for all Gram Panchayats in the block
and forwards it to the District Panchayat along with information on the works executed by
it. Similar is the case with the district. In addition, each level forwards to the next higher
level a certified statement of its bank/post office account. Since computerization at all blocks
is envisaged, the data relating to each level is available to all levels in the system. Appropriate
summary reports must be designed and computer generated at each level so as to have
complete transparency in the system. The District Panchayat should be the nodal agency
which will be responsible for ensuring data access and integrity of the financial information
system. It is essential that standardized formats are used for information reports by all
reporting authorities at a particular level.
5.3.3.11.4 In addition to recovering the misutilised amount from the responsible Panchayat,
it is necessary that the administration at the next higher level investigates every such case
following due processes of law to fix responsibility on the individual(s) for defaults. Further,
misappropriated amount should be recovered from the concerned individuals and prosecution
launched against them under the prevailing laws. If in any state there are lacunae in the
prevailing laws for recovery and prosecution, then the states should make appropriate
amendments in their respective Panchayat Laws. This would act as a deterrent against
unethical and illegal practices.
5.3.3.11.5 It is expected that the process of completing the concurrent monitoring and
audit for a quarter would take about a month and thereafter the process of consolidation of
information would take another month. Thus the figures of this monitoring and audit would
be available to link the fund release with them only for the release in the sixth month.
Therefore till the fifth month, the releases would have to be based on information about
expenditure at various levels.
5.3.3.12 Financial
Information System
5.3.3.12.1 In order to ensure that decisions are data driven, reliable data capture is needed
at the Gram Panchayat level and also timely flow of information from the Gram Panchayat
to the higher levels namely the Block and District Panchayats, State and Union Governments.
The accounting system provides the data, which are the basis for information that flow
upwards.
5.3.3.12.2 The information system must achieve the following objectives:
i
ii.
iii.
5.3.3.12.3 In order to fulfill these objectives, the basic information to be made available at
each level would be: (a) the amount received, (b) the amount released to the immediate
succeeding level, (c) the amount utilized during the given time period, and (d) authentication
of the amount utilized (under various accounting heads at the Gram Panchayat, Block and
District levels).
44
5.3.3.13 Records
Cash Register
3.
Sl.
No.
Date
Amount
Brief
description
Muster Roll
No/Voucher
Cheque
No.
Stream of
Expenditure17
No.
amount, then the difference would be held as recoverable. The amount shown
as recoverable would not be treated as a permissible expenditure and thus would
not be eligible for claiming subsequent releases.
Work
No.18
E
S.No.
Head of Account
At the end of each month, a summary would be prepared and would form the basis for the
monthly report {Table 5.3, Row 10}.
4.
Sl.
No.
Inventory Register:
Date of
receipt
Date of
payment
Quantity
of material
Value of
material
Reference No.
in the Fund
Utilization Register
Funds
19
Total
Opening
Balance
Cash-in-hand
Recoverable from
Panchayat20
DEBIT
Wages
Materials
Sl. No.
5.
6.
Date of issue
Quantity of issue
Work No.
Remarks
Unskilled
10
11
12
46
19
20
recoveries affected till the previous month. This entry would be equal to the entries in Row8 of the previous month.
21
22
25
26
Actual balance lying in account of the Panchayat plus cash with them at the beginning of the month.
This would be filled up only after the completion of the first quarter. This should indicate the cumulative position of
the funds to be recovered from the Panchayat as at the beginning of the month under report, after adjusting for the
A=Wages for unskilled workers, B=Wages for skilled and semi-skilled workers, C= Expenditure on materials,
It may not be possible to indicate the work No. for each purchase. But for each payment against muster roll, the work
Unemploy
ment
allowance
5.3.3.14.1 The concurrent monitoring and auditing process would have its own problems.
First and foremost would be getting independent monitoring agencies that could discharge
24
18
skilled
Administrative
expenses
23
17
In-Bank
27
nd
rd
, 3
and 4th quarter. In other months, this row would show nil figures.
47
of Payment to Workers
5.3.3.16.1 The Commission has considered the advantages of using the elaborate
infrastructure that exists in the post offices and banking network to make payments to the
workers. During its field visits, the Commission found that the workers were not particularly
enthusiastic about receiving payments through accounts Box 5.1--Inadequate bank network
in banks and post offices. The problem is compounded by
the fact that most of the panchayats do not have a branch
of a nationalized bank. Besides, the field functionaries are
of the view that payment through both post offices and
banks pose administrative difficulties as well as problems
of accessibility. Although payments through banks/post
offices is the surest way of ensuring that the payment
reaches the worker, the choice of mode of payment should be left to the worker. Also
irrespective of the mode selected by the worker, it must be ensured that the person/agency
preparing the muster roll is not also making the payment to the worker.
The District of Thiruvannamalai has
870 Gram Panchayats and 94 branches
of
5.3.3.15 Recommendations:
48
a.
b.
c.
d.
e.
f.
The target (maximum) level of funds required for Gram Panchayats may
be fixed at two months requirements, and so also for the blocks and
districts.
g.
5.3.3.16.2 In drought prone and remote areas (tribal and hilly areas), it would be desirable
to provide an element of food security under NREGA. Therefore a part of the wages may be
disbursed in terms of foodgrains especially since payment in kind is also envisaged under
NREGA.
5.3.3.16.3 Recommendations:
a.
The ultimate choice of the mode of payment should be left to the workers;
payment in cash may be the preferred option. The person/agency
preparing the muster roll must be different from the person/agency
making payment to the workers.
b.
In drought prone and remote areas (tribal and hilly areas), a part of the
wages may be disbursed in terms of foodgrains. In all cases, quality and
timely availability of foodgrains should be ensured.
5.3.3.17 IT System for Financial Management: {Please refer to para on use of IT (para 5.4.8)}.
5.3.3.18 Role
5.3.3.18.1 The fund flow system could face the last mile problem as all the Gram Panchayats
do not have banks. The post office network is more widespread than the bank network and
therefore inclusion of post offices would ease the situation to some extent. However some
Gram Panchayats would still have to keep funds in banks or post offices outside their
49
jurisdiction. During field visits, the officials expressed some reservations about using the
post office network for routing funds under REGS because of procedural difficulties.
5.3.3.18.2 The Department of Posts raised the following issues while agreeing to the use of
the post office network for fund flow under NREGA:
5.3.4.1.1 Guidelines issued by the Ministry of Rural Development provide that wages may
be paid either on a time rate or piece rate basis. A time rate basis is one in which payment is
made in proportion to the time spent by the worker in the workplace. The merit of the time
rate system is that it allows minimum wages Box 5.2 -- Rajasthan adopts the piece rate system
to be paid to such vulnerable categories as
women and elderly people, regardless of the
actual physical work done by them. But, the
time rate system will not generate the necessary
productivity and quality required for creating
durable physical assets. In addition, there is
more scope for misuse of funds under the
system. The piece rate system is one in which
payment is based on the amount of work
turned out. During the workshop, several NGOs strongly advocated making payments on
the time rate basis. They were of the view that unless the time rate is followed, minimum
wages cannot be ensured to the workers, especially to women workers. On the other hand,
during visits to states the field officers recommended the piece rate system. The features and
the problems associated with each of these systems are enumerated below:
i.
ii.
iii.
5.3.4.1 Time
5.3.3.18.3 The real service that banks and post offices can render is to enable payment to
workers through their accounts and cheques. Such a system would eliminate leakages in
transfer of funds from panchayats to the workers.
5.3.3.18.4 There may be some reluctance on the part of banks and post offices to open a
large number of accounts in the names of workers as these would be low balance accounts
(these accounts would be required to facilitate payments through cheques or accounts transfer).
The rural poor would also need guidance and handholding to familiarize themselves with
banking operations. While it is true that servicing such a large number of accounts could
increase the transactional costs for the banks, in the long run with core banking solutions
these costs could be minimized.
5.3.3.18.5 Recommendations:
a.
The post office network should be used along with the bank network for
flow of funds and the procedural bottlenecks addressed.
b.
Banks and post offices would have to play a more proactive role in
handling these accounts. Procedures, especially in post offices need to be
simplified.
c.
d.
50
a.
b.
c.
(NREGA)
The estimate for this work was prepared for an amount of Rs 1.00
lakh. The work involved two main items (i) clearing and removing of
bushes and debris and (ii) excavation of earth. At the time of inspection,
the work was under progress and about 50 workers were working on
it (18-3-06). The work had started on 17-2-06. The first measurement
of work was carried out on 25-2-06. The measurement indicated that
1015 cubic metres of earth had been excavated. The total excavation
required for completion of work was 3240 cubic metres. The measured
amount of work i.e. 1015 cubic metres was converted into monetary
terms (using the Schedule of Rates (@Rs 26.62 per cubic metre). Thus
the monetary vale of
muster rolls 422.5 person days were used to turn out this amount of
work. Thus the payment per
is converted from
51
physical to monetary terms using the Schedule of Rates. In fact the work
estimates are prepared and sanctioned based on the Schedule of Rates.
d.
If only one person is engaged in work, then payment becomes easier as he/she
gets the entire amount as per the Schedule of Rates. But in real situations this
would seldom happen. The Box 5.4 -- Deepening of village pond (NREGA)
problem would then arise as to
in Thandrampattu
how this total amount of
compensation has to be
distributed among the workers. A
contractor does this through an
informal mechanism, where he
makes payment to the gang leader
and the gang has internal norms
for its distribution. (The muster
rolls would never be able to
capture this).
This
work
was
sanctioned
for
an
amount
d.
e.
of
e.
f.
Tamil Nadu
Rajasthan
Andhra Pradesh
Bihar
Karya Nirdeshika)
Jharkhand
Orissa
g.
Under this system, the scheme may become a mere dole scheme.
Karnataka
f.
Thus under this system it is difficult to establish a linkage between the amount
paid and the quantity of work. A basic question that arises under such
circumstances is how will Box 5.5 Basis for preparation of estimates under NREGA
S.No State
Basis
an estimate for works be
prepared?
Several State Governments hard soil with lead of 50 metres and lift of 1.5 meters.
have in fact adopted the piece rate (CPWD rates)
system. Rajasthan, which had initially Description Person days Daily wages Total labour
required
in Rs
cost in Rs
adopted the time rate system, has now
switched over to the piece rate system
(Box 5.2). The Commission has
examined the merits and demerits of
both the systems, and on balance, finds
that it would be better to follow a piece
rate system, since the possibility of
misuse would be much less in this
395.22
system.
5.3.4.1.4
1 beldar
2.65
80
212.00
2 coolie
1.8
80
144.00
TOTAL
356.00
Add 1%
3.56
water charges
Add 10%
35.96
contractors
margin
Grand total
5.3.4.1.5 Recommendation:
a.
Payments should be made, based on the piece rate system, and not the
time rate system.
5.3.4.2 Schedule
of Rates
5.3.4.2.1 The Schedule of Rates establishes a relationship between the physical quantity of
work and funds required to execute that work. The Schedule of Rates is used as the basis for
preparation of estimates for work and once the work is executed, for converting the quantity
of work into monetary value. Each state has got its own Schedule of Rates, which is prescribed
by the state PWD and followed, by and large, by all the State Government departments.
53
for working out a separate rural Schedule of Rates for NREGA. The Commission carried
out a comparative analysis of the number
Box 5.8 Need for special arrangements for
of workers needed and the funds required to
physically challenged and elderly people
carry out the same amount of work in different
states. The findings are presented in Table 5.4.
Excavation in soft soil for 1 cubic metre with a lead of 50 m and a lift of 2 m
Sl.
No.
1
2
3
4
5
State
Labour required in
person-days
Tamil Nadu
Andhra Pradesh
Rajasthan
Bihar
CPWD
0.20
0.75
0.52
0.31
0.45
Labour wages
per day
in Rs
82.50
80.00
73.00
68.00
80.00
Amount required
in Rs (only for the
labour component)
16.60
60.00
30.02
37.00
36.00
Even in the past all the employment generation schemes like NREP, RLEGP, EAS, SGRY,
NFFWP etc., generally used the PWD Schedule of Rates. If the piece rate system is adopted,
estimates of works would
Box 5.7 NREGA work in village Dilia (District Bhojpur, Bihar)
have to be based on the
Schedule of Rates. The
state-wise position (for
st
some states) in this regard
rd
is summarized in Box 5.5.
The Commission has
examined the question of
applicability of PWD
Schedule of Rates to
Rs.68
minimum wage
NREGA (Boxes 5.3 & 5.4).
The two case studies reveal
rd
that, if one strictly goes by
Rs.65.15
the PWD Schedule of
Rates, workers would not
get the prescribed minimum wages. A sample procedure of how the PWD Schedule of
Rates is arrived at is given in Box 5.6. It is clear that this is prepared by assuming that
standard beldars and standard coolies work on the project. Such an assumption would
not be valid in the case of NREGA works. (In the case studies mentioned in Box 5.3 and
Box 5.4, 90 per cent of the workers were women).
This village is not connected with any pucca road. An estimate was prepared
under SGRY for an earthwork road connecting it to NH 30. This work was
taken as the first work in the whole Block under NREGA by the Intermediate
Panchayat (Panchayat Samiti). Work on the site commenced on 21
2006 and the first measurement was taken on 23
March,
Measurement Book, earthwork of 10730 cubic feet was done. The guidelines
issued by the Rural Development Department, Govt. of Bihar provide for the
quantity of earthwork to be done in a day for three types of soils : (a) hard soil90 cft (b) medium soil-100 cft, and (c) soft soil-110 cft. In the present case, soil
has been classified as medium soil. Person-days have been computed in the
following manner : 10730/100 = 108 (sic). The State Government has fixed
the wage rate of
under
State Guidelines. The amount for payment to workers was thus determined at
March itself. The Muster Roll revealed that the total number of person-
, which
is lower than the minimum wage prescribed for unskilled agricultural labour.
5.3.4.2.2 Some states like Andhra Pradesh have sought to resolve the issue by adopting a
special Rural Schedule of Rates, which is more realistic than the PWD Schedule of Rates.
Though such a measure helps in making the rates more realistic, they are not a substitute
54
works were carried out by the village panchayat. Records show that
The modus operandi often was that after the approval of work a sponsor
daily minimum wage of Rs. 73 (and now with the Centres move, a possible
reduction to Rs. 60). Unlike drought works, under the EGS labourers are paid
a wage that is linked to the task they perform. So it becomes crucial that these
norms are fixed fairly and implemented properly. But there are problems aplenty.
55
Thus it would be possible to rationalise the amount of labour required for a given work
across the country.
used should also be indicated. This would help in verifying whether the price rate of the
materials are realistic. The Panchayats should be authorised to affect savings in the material
components. This would make the estimates more realistic and acceptable.
5.3.4.2.6 The normal Schedule of Rates is prepared on the basis of an average worker. In
case of works under NREGA there would be a substantial proportion of women workers.
This should be kept in mind while preparing the Schedule of Rates for NREGA and should
be fixed after carrying out Time & Motion studies for men and women workers.
5.3.4.2.7 Another problem related to measurement of works is payments to be made to
women, physically challenged or elderly people. NREGA does not make any distinction
between applicants. During
Box 5.11 Gender equality
field visits of the Commission,
Ramesh (real name is different) is now a successful non-resident businessman
some elderly and physically settled outside India. He hails from a dry district of Telangana. Years ago, at
challenged persons expressed Hyderabads Osmania University, he was a student leader actively associated
with a radical communist group. Ramesh married a feminist womens leader
concern and apprehension that who was also active in her college student union movement. Both were student
they would be paid very low leaders. For a variety of reasons they left India and settled abroad.
Now in his middle age, and a prosperous businessman, Ramesh has invested in
wages under NREGA since his village in Telangana with the intention of creating some local employment.
bought a large plot of land and started cultivating cash crops on his farm.
they do not conform to the He
He employs several dozen men and women wage labourers.
productivity norms applicable Given his radical past, his still deep seated commitment to the poor and to
gender equality, Ramesh decided to pay equal wages to both his men and women
for able-bodied persons. The labourers. At the end of the second or third month of his employing these
Commission feels that this labourers, the women labourers came to him and pleaded with him that their
husbands should be given a higher wage.
factor needs to be taken into Sir, Please dont treat us on par with our husbands. It hurts their ego. They
very angry and we have problems at home. They are also angry with you
consideration while preparing get
because they think you are insulting them. Please pay us a lower age. This will
the district-wise Schedule of restore peace to our families.
was shocked. He never thought that his attempt at gender equality
Rates for such persons. Ramesh
would have this reaction from the womenfolk of the village. Ramesh is now old
Moreover, they could be enough to understand these things and decided to compromise. He reduced
the wage being paid to the women labourers. However, his conscious would
assigned light duties like not allow him to perpetuate this gender discrimination, even if the social rigidities
supervision work, looking after of the village necessitated it.
So, Ramesh decided to gift his women workers a saree at every festival. Since
crches, measurements of there is some festival or the other practically every month, he managed to
them in kind, while he could not do so in cash. The men labourers
works etc. Additionally, the compensate
were paid a higher wage, but gender equality was ensured in kind!
money for a particular work Rameshs experience shows the practical social barriers that are still encountered
in ensuring gender equality in our rural areas.
should be equally distributed to
all members of the group. This would also help in generating positive group dynamics
which, in turn, would facilitate better work turn out and minimize misuse of funds.
5.3.4.2.8 The concept of Peoples estimates has been experimented in certain cases for
other developmental programmes. The estimates prepared for works by the technical staff
should be explained to the Panchayats in a manner that is understood by them. The estimates
should be broken into material and labour components. The cost of each type of material
56
5.3.4.2.9 The Operational Guidelines provide for setting up District Technical Resources
Support Groups. Such Groups have been assigned tasks of identifying labour intensive
technologies, standardizing estimate procedures, training field staff etc. The Commission is
of the view that the task of preparing the district schedule of rates for NREGA should be
carried out under the supervision of District Technical Resources Support Groups.
5.3.4.2.10 Preparation of proper estimates is necessary for the success of NREGA. It is of
utmost importance that Panchayat functionaries as well as workers fully understand how
these rates are fixed. So far, the Schedule of Rates has been the exclusive preserve of engineers
and not shared. As the works under NREGA are simple in nature, it should not be difficult
to make the Panchayat functionaries and workers understand how the rates have been
determined. But, when it comes to extracting the labour component from a given Schedule
of Rates, it is found that even engineers are not fully knowledgeable. This is because the
Schedule of Rates does not give the break up of the labour required for carrying out the
given work. It is to be noted that the rate indicated in the schedule, includes labour
component, material component, contractors margin etc. Unless the details of these
components are made available it would be difficult to bring in total transparency.
5.3.4.2.11 Recommendations:
a.
b.
The district Schedule of Rates for NREGA should be prepared under the
supervision of the District Technical Resources Support Group.
c.
d.
f.
g.
5.3.5.2 Recommendation:
a.
The stipulation that the material component should not exceed 40 per
cent of the total cost should be strictly adhered to for each work. In
exceptional cases, if it is not possible to maintain this for each work it
should be maintained at the Gram/Block Panchayat level.
5.3.6.2 Recommendation:
a.
Institutions
5.4.1.1.1 As stated earlier, the 200 districts selected in the first phase would receive a massive
inflow of funds in the coming years. Availability of funds, though necessary, is not a sufficient
condition for the successful delivery of basic public services. The capability of the system to
optimally use the funds and realize results on the ground is equally important. Delivery of
basic public services in these backward districts has suffered due to weak administration, on
the one hand, and lack of motivation in the staff and large-scale leakages of funds on the other.
5.4.1.1.2 The Gram Sabha, the Gram Panchayat, the Intermediate Panchayat and the District
Panchayat have all been given important roles for planning as well as implementation of
NREGA. As per Section 16 of NREGA the Gram Panchayat is responsible for identification
and execution of works and the Gram Sabha is responsible for monitoring and social audit.
In states like Jharkhand, these institutions have not yet been constituted. Therefore the first
step should be to ensure that institutions are duly constituted in all districts. The Commission
found that in some states, even though these institutions exist they have not been sufficiently
empowered to implement such large schemes, and it is the Collector who supervises the
implementation of the Act as often the Chief Executive Officer (CEO) of the District Panchayat
is a relatively junior officer. The first step would be to empower these institutions in the
true spirit of the 73 rd Amendment and this empowerment would have to be both
administrative and financial. Panchayati Raj Institutions, apart from being units of local self
governance should evolve as institutions which can plan and execute development
programmes in their areas; all developmental schemes which are better implemented at the
local level should be transferred to the Panchayats along with their implementing staff.
With this enhanced responsibility it would be necessary to have an officer of appropriate
59
seniority as the CEO of the District Panchayat and the Block/Intermediate Panchayat.
This would empower the Panchayati Raj Institutions and also rationalize the workload
of the Collector.
5.4.1.1.3 Recommendations:
a.
b.
c.
5.4.1.2 Capability
Building
5.4.1.2.1 Positioning the right personnel in adequate numbers would be another pre-requisite
for successful implementation of NREGA and other programmes. It has been observed that
generally Panchayats are understaffed and the
Box 5.12 Paucity of staff at field level
quality of the staff leaves much to be desired.
It has been noted that very often officials posted
in difficult areas do not reside there and prefer
to function far from their place of work. As a
result programmes suffer. The Commission
feels that innovative procedures and tools such
as appointment to a particular post rather than
to a service cadre and appointment from
amongst local people would be an effective way
to ensure that the implementation staff stays
in their respective place of work. Contractual
appointments with liberal incentives could also
be thought of to fill these posts. If persons of
requisite qualifications are not locally available, it may be worthwhile to relax the qualifications
and make up this deficiency with strong capability building programmes.
Ghagra block of Gumla district in Jharkhand with a
At a still
5.4.1.2.2 As a substantial share of the responsibilities under NREGA devolves on the Gram
Panchayat, it is important that the administrative machinery at the Gram Panchayat level is
adequately staffed. The requirement of staff is two-fold: administrative and technical. The
60
administrative staff looks after all the administrative functions under the scheme while the
technical staff carries out functions such as preparing estimates, supervising the execution of
work, giving technical advice, measuring work, quantifying the value of work etc. It has
been brought to the notice of the Commission that there is acute shortage of technical staff
in some areas. Positioning well qualified and trained engineers would be a pre-requisite for
the success of NREGA. However, there may not be adequate numbers of qualified engineers
available locally nor would there be enough work for an engineer within a Gram Panchayat.
A good option in such cases would be to have a panel of engineers at the block level. These
engineers need not be engaged on a full time basis, but could help in preparing and approving
estimates for works. Educated youth (non-engineers) may be trained in preparing draft
estimates, to be finally approved
Box 5.13 Administrative expenses
by the panel of engineers at the
block/intermediate level.
In
with the services of an additional data entry operator who would also
maintain the records about the work such as the muster rolls (Rs 2000
pm). Besides, a diploma holder engineer (Rs. 4000 pm) is being
appointed for a group of 10 panchayats. Going by these norms, the
district would require about Rs. 2.5 crores annually for meeting their
expenditure. In addition, the expenses on staff required at Block and
District levelS, office and traveling expenses, expenses on computers
etc. would total up to another Rs. 2.5 crores. Thus the total
administrative expenditure would be 5 crores per annum. The District
may get about Rs. 100 crores under the scheme in a year. The existing
norms allow an expenditure of only 2 per cent of the scheme funds on
administration.
61
responsibilities devolving on the Panchayats would, however, call for a higher percentage of
the allocation being earmarked for the purpose. Field officers felt that the existing provision
is not adequate and there is need to revise it upwards (Box 5.12).
5.4.1.2.7 The Act provides both an opportunity and a challenge to the Panchayats; the
greatest challenge being to ensure that they have the capability to discharge their
responsibilities under NREGA. Effective implementation of NREGA calls for capability
building of a high order in the Panchayats for both members of Panchayat and the staff,
through training and orientation.
5.4.1.2.8 Recommendations:
a.
b.
c.
d.
The norms for engaging staff, both technical and administrative, should
be linked to the average population per Panchayat (village/block and
district). In hilly terrain the area per Panchayat should also be a criterion.
e.
f.
ii.
Hardship allowance.
iii.
In case of acute shortage of engineers in the field, a panel of nongovernment engineers may be engaged at the block level. Educated youth
could be identified and trained to prepare estimates for works. These
63
64
i.
j.
ii.
iii.
iv.
v.
k.
l.
m.
n.
o.
would be required so that the assets are productively used. Therefore maintenance of works
created under NREGA should be a permissible activity. This provision has already been
made under the Operational Guidelines.
Group. Thus, the block should become the hub of activities if rural self government is to be
given a viable and vibrant form.
5.4.2.5 Recommendations:
5.4.3
a.
b.
c.
It should be ensured that most of the works are executed through Gram
Panchayats and need for works to be taken up by the Block/Intermediate
Panchayats should arise only in case of inter-Gram Panchayat works or
where the Gram Panchayats have not been able to meet the demand for
employment.
5.4.3.1 The operational guidelines provide for setting up of a Technical Resource Support
Group at the Government of India, state and district levels. Implementation of the Scheme
under NREGA and even other national or state level programmes requires availability of
technical expertise of planners, water resources experts, agricultural scientists etc. These are
now required at the block level to extend the planning and execution of schemes to the next
level. Therefore, a Block Resource Centre should be constituted in each block. This Centre
should provide technical advice and support to the Block Panchayats. The Block Resource
Centre should work under the overall guidance of the District Technical Resource Support
Group. In para 5.4.1.2.8.g, it has been suggested that a panel of non-government engineers
be maintained at the block level where there is general shortage of engineers in the field.
This panel should be a part of the Block Resource Centre. The Block Resource Centre
should perform functions similar to those assigned to the District Technical Resource Support
66
5.4.3.2 Recommendation:
a.
5.4.4.4 Recommendation :
a.
b.
c.
d.
e.
f.
Quality of assets.
The challenge of monitoring the implementation of NREGA can be judged by the spatial
diversity of the districts notified under the Act (Table 5.5).
Number of
Districts
13
1
7
23
11
6
2
2
Number of
Block Panchayats
418
6
36
208
96
49
5
7
Number of
Gram Panchayats
7763
145
254
3582
5729
2878
340
270
68
Number of
Districts
Number of
Block Panchayats
Number of
Gram Panchayats
3
20
5
1
18
12
1
2
2
1
19
1
6
1
6
1
22
4
10
200
30
127
17
3
120
111
4
4
2
6
198
10
34
2
64
5
182
13
137
1894
486
1905
590
25
7309
7585
NA
60
79
91
3425
1308
1435
0
2983
111
11048
1211
1151
61763
5.4.5.3 As can be seen from Table 5.5, out of the 200 districts, 119 of them fall in seven
states, viz., Bihar, Chhattisgarh, Jharkhand, Madhya Pradesh, Orissa, Rajasthan and Uttar
Pradesh. These states rank low in socio-economic development. Many of the districts in
Andhra Pradesh, Bihar, Jharkhand, Orissa and Chhattisgarh are affected by extremism. In
these areas, block officials, engineers and even panchayat secretaries do not freely venture
out to visit the sites for preparation of estimates, inspection of muster rolls and job cards,
measurement of work, payment of wages etc. In one of the blocks in Bhojpur district of
Bihar (Box 5.15), it was found that that measurements were not made even after seven days
of work and muster rolls were not available on the site. Although these are initial days,
monitoring of works and ensuring proper utilization of funds under NREGA in extremism
affected districts is going to be a major challenge.
69
28
5.4.5.5 Recommendations:
70
a.
b.
c.
d.
(para 5.4.8)}
5.4.6.2.1 As stated earlier, preparation of an estimate for the work to be carried out is
crucial. This requires adequate technical knowledge since it is a complicated process and
needs to be understood by the implementing agency and the Panchayats. If the process
could be simplified, it would have the dual advantage of requiring less technical staff and
71
5.4.6.4.3 For an effective social audit, the essential requirements would be a proper
information recording and dissemination system, expertise to conduct audit and awareness
among the Gram Sabha members about their rights. Thus proper record keeping, capability
building and awareness generation would be required. All these aspects have been dealt
with under respective paras.
5.4.6.3 Muster
5.4.6.3.1 The two most important records to be maintained under NREGA are the muster
roll and the measurement book. The procedure for keeping the muster rolls has been
described in the Operational Guidelines (9.4). Works could be executed either by the Gram
Panchayats themselves or through other implementing agencies. The muster rolls would
have to be maintained by the respective implementing agency. But since funds are with the
Gram Panchayats, payments should invariably be made by the Gram Panchayats. This
would mean that on completion of a cycle of a week or fortnight, the certified muster roll
would be passed on to the Gram Panchayat for payment. As the system for payment would
be the piece rate system, after completion of each work cycle, the measurement of work will
have to be carried out and the total monetary value would have to be proportionately
distributed to the workers based on their attendance. In order to ensure that there is a
linkage between the work turned out and the total payment made, it would be better if
an abstract of the measurement book giving out the details of the work measurement
is incorporated in the muster rolls. If a photograph of the actual work done during the
cycle is also attached with the muster roll, it would help in making the system even more
leak proof.
5.4.6.4 Community
5.4.6.4.1 The operational guidelines stipulate that there should be a local vigilance and
monitoring committee composed of members of the locality or village where the work is
undertaken, to monitor the progress and quality of work. The Gram Sabha has to elect the
members of this committee and ensure adequate representation of SC / ST and women on
the committee.
72
5.4.6.4.2 Section 17 of NREGA stipulates that Gram Sabhas shall conduct regular social
audits of all projects under REGS. Social audit is a process in which, details of the resource,
both financial and non-financial, used by public agencies for development initiatives are
shared with the community, often through a public platform. Social audits allow people to
enforce accountability and transparency, providing the ultimate users an opportunity to
scrutinize development initiatives.29 Chapter 11 of the Operational Guidelines has emphasized
the importance of social audit for the proper implementation of NREGA. It has prescribed
a continuous audit and a mandatory social audit forum once in six months. The guidelines
also prescribe the methodology for publicity, the documentation required and the mandatory
agenda. Following these guidelines, in letter and spirit, would go a long way in enforcing
social accountability.
29
Social Audit, Gram Sabha and Panchayati Raj; A report submitted to the Planning Commission by Vision Foundation.
5.4.6.5 Independent
Redressal Mechanism
5.4.6.7 Recommendations:
5.4.7
a.
b.
The muster roll should incorporate the physical dimensions of work that
has been carried out in the work cycle. To the extent possible, it should
be backed with a photograph of the work executed, at different stages.
c.
5.4.7.1 Each Panchayat (village, block and district) is a public authority under the Right to
Information Act. This implies that the Panchayat has to discharge all the obligations which
73
b.
5.4.7.2 This would call for earmarking of adequate funds for the purpose and preparation of
focused training materials based on Training Needs Assessment (TNA). The Ministry of
Rural Development and Department of Personnel & Training could identify institutions to
develop such materials. Awareness campaigns as well as training programmes should be
goal oriented. A mechanism enabling an independent impact evaluation of these programmes
needs to be put in place. The Commission suggests outsourcing these activities to NGOs
and Self Help Groups with adequate expertise.
5.4.7.3 There should be emphasis on disclosure of information suo-motu under Section 4 of
the Right to Information Act, so that the need to respond to requests for information is
minimized. All transactions and records should be available in public domain and people
should be encouraged to access them. A large number of public authorities take recourse to
disclosure through web. Though this is a cost-effective solution, the limited access to internet
especially in the rural areas continues to be a hurdle. Therefore, the State Governments
must evolve norms for the mode of publication of suo motu information.
5.4.7.4 The Act provides for inclusion of any non-governmental organization authorized by
the Union or State Government as implementing agency for any work taken up under the
Scheme. In many parts of the country, a number of Non-Governmental Organizations have
a presence even in very remote areas, where generating awareness and creating capabilities
solely by or through government agencies would be a daunting task not to speak of the
financial costs involved. Such NGOs need to be identified for utilization of their spatial
reach and credibility towards achieving this goal.
5.4.7.5 Recommendations:
a.
74
NGOs with credibility and spatial reach should be identified and entrusted
with the task of creating awareness and capability building.
c.
d.
5.4.8.1.3 The IT system for REGS, therefore, needs to be forward looking. While anticipating
that all levels of government will eventually be wired and able to communicate through
high-speed networks, the system must nonetheless be currently designed to ensure that any
data that is manually created today can be converted into electronic form swiftly and reliably.
so that best practices developed in one location can also be adopted elsewhere. This will be
difficult unless the data reported to higher levels of government are of uniform format.
Similarly, a countrywide system can allow difficulties encountered in one state to be preemptively addressed before similar problems occur in other states.
5.4.8.2.3 What is needed, therefore, is an implementation system that reconciles these two
competing interests. States must be able to adopt the most pragmatic implementation of
the REGS, as determined by each state, and at the same time, ensure the highest standards
of accountability. This can be best achieved through the establishment of standards for
reporting. Standards must be established both for the types of data to be collected (i.e. the
particular fields to be included in every database) as well as the formats in which the data is
reported to higher levels of government. States may use the software that they deem
appropriate for record-keeping of projects taken up under the REGS, but any software so
chosen must then report the data that is gathered in a nationally uniform format that includes
fields that are specified. This will allow the Government of India to collate information from
different sources more easily, and apply its analytical efforts to them.
5.4.8.1.5 While it is being ensured that blocks are fully wired, the IT system should be deployed
in a phased manner, so as to take advantage of computerization wherever it exists, and to
anticipate the eventual computerization of all levels of government. In particular, the lack of
computerization at any level of implementation should not be used as a reason to avoid collecting
and storing data in a manner to be suitable for transfer to electronic form later.
5.4.8.1.6 Recommendations:
(a)
(b)
5.4.8.2 A
5.4.8.2.1 The staff entrusted with implementation issues will also have familiarity with a
variety of different software for data storage and retrieval. Administrators, data-entry
operators, and others responsible for creating and maintaining the records in the IT system
may also need adequate training to understand their tasks. It is impractical, given this, to
expect a uniform implementation for the IT system for NREGA. It may also be quite late to
require a uniform approach, given that the scheme itself is already in implementation, and
that extensive records are already being collected.
5.4.8.2.2 The Union and State Governments, however, have a compelling interest in ensuring
transparent and accountable functioning of the system. Government of India also has an
interest in being able to compare the functioning of NREGA in different parts of the country,
76
5.4.8.2.4 An example of this is as follows: The implementing agency may collect its list of
beneficiaries and store these in a particular brand of spreadsheet software, but this list of
beneficiaries, when submitted to a higher level of government, must be only in the form and
format specified for reporting, and not in the format used for implementation.
5.4.8.2.5 Similarly, other documents financial data, muster rolls, expense accounts, etc.
can all be in whatever format is convenient during operations, but when reported into the
electronic NREGA IT system, should be in the specified format. A key restriction on the
software used for each function is that it must be able to generate the necessary fields for
complying with the reporting requirements.
5.4.8.2.6 Recommendations:
a.
b.
for Deployment
5.4.8.3.1 Proper distribution of computing systems for the REGS also needs to be
developed. It must be recognised that the distribution of software and hardware skills
needed for such an extensive system is highly skewed, with most professionals based in cities
and towns. It may be difficult to staff individual implementing locations with technical
personnel needed to create and manage digital data. Fortunately, this may also not be necessary
if an appropriate mix of distributed vs. centralised hardware is selected for the system.
Central locations can act as repositories of the data, provided the data gathered through
distributed systems locally contain at least the minimum expected in the National Standards
list, and are in a format appropriate to enter the data into the reporting application locally
or at the block.
5.4.8.3.2 At block and higher levels, the IT system should comprise essentially of servers
designed to facilitate monitoring and analysis at higher levels of government. Thin clients
or PCs should only be needed at lower levels of government. However, since data is first
captured at the implementing level, there must be adequate alternate options available for
data capture at this level even when electronic systems are fully in place.
5.4.8.3.3 Recommendations:
(a) Data from the blocks should be aggregated in central repositories in each
of the states. A single data centre may be adequate for each state, and
transmission to this centre from each of the blocks should be enabled.
District-wise aggregation of the data reported from the blocks should be
taken up to facilitate monitoring at this level too, although no data centres
are necessary at this intermediate level.
Rural Development, a number of questions, and answers to these questions have been
obtained {these are both attached in Annexure V(1)}. It is understood that the System is in
its initial months of deployment, and refinements to the System are being made on the basis
of experience at the field level.
5.4.8.4.2 The rapidity with which the IT system for this large scheme has been developed is
impressive. Moreover, it is understood that the system is in its initial months of deployment,
and refinements to the system are being made on the basis of experience at the field level.
Nonetheless, the many observations of the ARC developed in the course of its consultations
have thrown up areas that need attention in the design and development of the IT system.
5.4.8.4.3 Recommendations:
(a)
(b)
(c)
(d)
(b)
(c)
(e)
While social audits are required for transparency under the Scheme, these
should not be the only ones, or even the primary ones. Voluntary disclosure
should be the norm for informing citizens about the functioning of
NREGA; this will considerably reduce the onus on social audits.
(d)
The Union Government should maintain its own data centre, aggregating
data from each of the state repositories.
(f)
Alerts are being generated using trigger points that ensure compliance
with the rules and guidelines of REGS. By periodic reviews, it should be
determined what additional alerts are needed so that these too could be
incorporated.
(g)
5.4.8.4 Assessment
5.4.8.4.1 The Ministry of Rural Development has begun implementing an IT system for
the Scheme. This was studied by the Commission. To this end, the ARC sent the Ministry of
78
79
5.4.8.5 Unique
5.4.8.5.2 The REGS could potentially reach tens of millions of citizens even in the first
phase of implementation, and if extended to the other two-thirds of the districts in the
country, the number of participants will be much more. It is also a national system for which
a uniform format can be developed and applied. The REGS, with its scale and reach, is the
kind of national programme in which such identification should begin. It is especially
advantageous that the REGS is a rural programme, for it is in rural areas that many other
identity systems do not have participants.
5.4.8.5.3 Recommendation:
80
5.4.8.6 IT
5.4.8.6.1 The cost of delivering benefits through wage employment programmes has
historically been found to be much higher than the benefits themselves. Implementation of
NREGA is too big a scheme to afford that risk, and therefore every effort must be made to
keep its costs under control. Technology has an important part to play in this, by providing
an effective monitoring platform for expenditures, and by allowing unnecessary levels of
financial administration to be bypassed.
Identification System
a.
5.4.8.6.2 Each implementing agency will likely have an expenditure management process
to maintain records of the funds it receives for particular projects and the expenditure against
such funds. Through a number of standardised reporting documents, the data in the
expenditure management process, whether manual or electronic, can be standardised and
aggregated at the block level. Integration at a non-implementing level can provide multiple
points of checks and balances which cannot be interfered with by officials at any single level.
5.4.8.6.3 To facilitate both responsiveness and monitoring, money transfers between levels
of government should be automatic and through an electronic system. Funds flow for the
projects can also be based on triggers set to initiate the transfer of money, and such transfers
can be made directly to the lowest level of financial management from the Government of
India wherever possible. Automatic triggers for keeping operational accounts funded will
allow local implementers to respond quickly to needs.
5.4.8.6.4 The accuracy of information in the system is highest when it has multiple points
of verifiability. Also, being able to identify each transaction uniquely is key to preserving a
robust monitoring capability. Aggregated financial information can make it difficult to detect
leakages, and to avoid this, all information in the financial management system should be
disaggregated at the level of individual transactions.
5.4.8.6.5 Recommendations:
(a)
(b)
(c)
5.4.8.7 IT
5.4.8.7.1 As the REGS comes into full operation in all the designated districts, it will become
important to be able to judge its operational efficiency and effectiveness. Such judgements
can be made during operations as well as through analysis of data reported by various
implementing governments. The former is critical to detecting errors before they are
magnified, while the latter will be important to correct systematic inefficiencies and adopt
the best practices.
5.4.8.7.2 The rules established for the implementation of NREGA identify key yardsticks
that must be adhered to in prioritising work to be taken up, rates of wages to be paid,
compensation in lieu of wages, timeliness of payments, maximum eligibility of individuals
and households, etc. In addition, the reporting standards to be established for implementing
agencies will require compliance with specific formats for data storage and transfer. Each of
these requirements creates an opportunity for an in-process check by which to monitor
adherence to the legal bounds of the Scheme. Such triggers, if established within the IT
system itself, can help detect impermissible or unexpected operations quickly, thus facilitating
action to remedy them.
5.4.8.7.3 In addition to in-process monitoring, it will be important to periodically assess
the performance of the NREGA using aggregate data from disparate regions. Once key
variables to be monitored are identified, the IT system can aggregate these variables at
different levels of government and provide system-generated rankings of Panchayats, blocks,
districts and states periodically; these can even be made available to the public. The methods
and practices adopted in the most efficient regions can then be studied, and their suitability
for adoption elsewhere can be examined.
5.4.8.7.4 Certain kinds of information are also more meaningful when visualised in map
spaces, rather than as fields in databases. In addition to tabulation of information for analysis,
the IT system must include a Geographic Information System with uniform and common
identification of administrative units (Gram Panchayats, blocks, districts, states) using which
aggregate information about NREGA implementation can be seen on maps and understood
accordingly. For this, the jurisdiction of each implementing level of government (the districts,
blocks and Gram Panchayats) must be stored in geo-coded form, and the relationship between
the different jurisdictions (e.g. blocks within districts) known. Maps can then be created
82
5.4.8.7.5 Recommendations:
a)
(b)
Violations of the rules using any of the quantified measures should trigger
alerts in the IT system, which should be routed to the appropriate
supervisory official.
(c)
(d)
that is sought by the public should be studied continuously to determine whether this too
should be added to the auto-generation modules. Together, these will ensure ongoing
responsiveness to RTI requests. Auto-generation is key to suo motu disclosures particularly,
and over time should become key to all RTI responses. System-integrated data is less
likely to contain inadvertent or other errors, thus enhancing the reliability of information
provided to citizens.
could be a mere data storage device and in advanced versions this may also incorporate a
micro-processor. The card has the potential of being used as a job card under NREGA, as it
can store the particulars of the individuals and each transaction about NREGA pertaining
to the individual could be stored on it. There is even possibility of storing bio-metrics of the
individuals in order to confirm the identity of individuals.
5.4.8.8.4 Recommendations:
a.
b.
c.
5.4.8.9 Smart
Cards
5.4.8.9.1 A suggestion has been made that Smart Cards should be used in the implementation
of NREGA. Smart Card is a powerful electronic device which finds its use in various places
like credit cards, access control, public transport ticketing, etc. Smart Card is basically a
plastic card roughly of the size of a credit card with a micro-chip embedded. This micro-chip
84
5.4.8.9.2 Smart Cards by themselves cannot serve any purpose unless they are backed by
the required infrastructure which includes access facilities like kiosks equipped with card
reading and writing devices, card issuing and updating systems, data managing systems etc.
5.4.8.9.3 Having a Smart Card merely for the purpose of NREGA may be an underutilization
of this powerful tool. Moreover with single utilization, the transactions costs would be quite
high. Therefore, the card should be a multiple use card. Besides, there are issues like absence
of universal standards in Smart Cards which need to be addressed.
5.4.8.9.4 The Commission therefore is of the view that Smart Cards should be tried on a
pilot basis in a cluster of villages. Efforts should be made to make the cards to be put to
multiple use. It would be better if a viable business model is worked out in the pilot projects
so that the infrastructure for Smart Card comes as a part of initiative of the private sector.
5.4.8.9.5 Recommendation:
a.
5.4.9.2 The National Commission to Review the Working of the Constitution (hereafter
NCRWC) examined the issue of local governments in the North East. In its Report it has
stated To tackle the problems of this unique area and to preserve the democratic traditions and cultural
diversity of its people, the framers of the Constitution conceived of the instrument of tribal self-rule. This
stands embodied in the Sixth Schedule to the Constitution.
5.4.9.3 The tribal areas in the Sixth Schedule are organized as autonomous districts. If there
are different Scheduled Tribes in an autonomous district, the areas are divided into autonomous
regions. The administration of these districts/regions is vested in District Councils/Regional
Councils, which also have powers to make laws regarding the management and use of local
resources, village administration, appointment and succession of Chiefs or Headmen etc.
Keeping in mind the special self-governing traditions of the tribal areas falling under the
Sixth Schedule, the NCRWC has made specific recommendations for these areas:
(i)
Careful steps should be taken to devolve political powers through the intermediate
and local-Ievel traditional political organisations, provided their traditional
practices carried out in a modern world do not deny legitimate democratic rights
to any section in their contemporary society. The details of state-wise steps to
devolve such powers will have to be carefully considered in a proper representative
meeting of traditional leaders of each community, opinion builders of the respective
communities and leaders of state and national stature from these very groups. A
hasty decision could have serious repercussions, unforeseen and unfortunate, which
could further complicate and worsen the situation. To begin with, the subjects
given under the Sixth Schedule and those mentioned in the Eleventh Schedule
could be entrusted to the Autonomous District Councils (ADCs). The system of
in-built safeguards in the Sixth Schedule, should be maintained and strengthened
for the minority and micro-minority groups while empowering them with greater
86
5.4.9.4 Recommendations:
a.
b.
b.
c.
Periods of distress are bound to escalate the demand for employment in rural
areas. In what manner should this enhanced demand for employment be met?
5.4.10.3 When a major drought broke out in 1987 in Maharashtra, relief employment was
not dovetailed in the normal scheme of Employment Generation and the Irrigation
Department was asked to run stand alone drought relief schemes. These arrangements
turned out to be administratively cumbersome and resulted in considerable wastage and
duplication. During subsequent droughts, including the extraordinarily severe episode of
2003-04, the EGS was used as the vehicle of providing relief employment by suitably
supplementing the EGS Fund by transfers from CRF and NCCF.
5.4.10.4 The Commission is of the view that simultaneous execution of works under NREGA
and Calamity Relief would lead to duplication as well as confusion. Therefore, demand
for employment in any area should be first met through works under NREGA, since the
works are from a shelf of projects and are a part of an overall plan and they have been
selected by the Gram Panchayats. Relief works (in cases of natural calamities) should be
taken up only if demand for work exists and the households have exhausted their entitlements
under NREGA.
5.4.10.5 Recommendations:
a.
Demand for employment in any area should be first met through works
under NREGA. Relief works (in cases of natural calamities) should be
taken up only if demand for work exists and the households have
exhausted their entitlements under NREGA.
5.4.11.1.1 Schedule-I of the Act lists out the types of works that can be taken up under
the scheme. While it is true that these works are ideally suited for the drought prone and
dry areas and should, therefore, constitute the core of activities under the Scheme, the list
would need supplementing, depending on the local requirements of the area where the
Scheme is proposed to be implemented. For example, during its interaction with the State
Government of Jammu & Kashmir, the Commission was informed that during winter, none
88
5.4.11.1.3 Recommendations:
a.
b.
5.4.11.2 Number
5.4.11.2.1 The Act stipulates that a minimum a batch of 50 workers is required except in
case of hilly areas and in respect of afforestation works. Para 13 of the Schedule-II states :
A new work shall be commenced only if
a.
b.
Provided that this condition shall not be applicable for new works, as determined by
the State Government, in hilly areas and in respect of afforestation.
This implies that if the number of workers who are available is less than 50 and there is no
ongoing work, then the only work that the Gram Panchayat is permitted to take up is
afforestation. Since afforestation cannot be taken up throughout the year and more so under
drought conditions, it could effectively mean denial of employment opportunities if the
number of interested workers is less than 50.
89
5.4.11.2.2 Recommendation:
a.
Proposed Format :
5.4.12 Records
5.4.12.1 Chapter 9 of the Guidelines emphasizes the importance of recordkeeping and
states that entitlements under the Act are legally justiciable. It is thus important to maintain
accurate records of all aspects of implementation. This is also required by the Right to
Information Act, 2005. Chapter 9 prescribes, in an elaborate manner, the records which
should be maintained at different levels and also prescribes the formats which are very well
designed and capture most of the crucial data required in the implementation of the NREGA.
However, the Commission suggests some further improvements which are mentioned in
the following paragraphs.
5.4.12.2 The most important document in the Scheme is the job card. The entries in the
card can be classified into static and dynamic. While the static entries are to be made only
occasionally, the dynamic entries are to be made more often. Dynamic entries are presently
made in the following format:
Sl.
No.
Details of Work
on which
Employment
Provided
Muster Roll
Number by
which wages
paid
Signature of
Authorised
Officer
Sl. Month
No Year
Name
M D M D
90
D M
5.4.12.3 In the interest of better monitoring, the process of making entries in the job card
should be linked to an event in the payment cycle. At present the entries are made once a
month, whereas the payment to the workers is made once a week/fortnight. It would make
sense to synchronise the entries in the job card with the time of payment of wages. An
added reason is that the muster roll is prepared weekly/fortnightly, and this would enable
linking of the payment with the preparation of the muster roll. The dynamic entries should
therefore be made in the following format:
M D M
Signature
No. of persons
on work
Highest
Lowest
Unskilled
Semi-skilled
Skilled
91
Instead of the existing format the following is proposed because it would result in improved
accounting practices and be compatible with computerisation:
Sl.No
Skilled
Person days
Amount paid
Semi-skilled Unskilled
TOTAL LABOUR
It is also suggested that, instead of having a single composite entry on materials, it should
be voucher-wise, so that at a later date, each voucher could be traced, should the need arise.
5.4.12.6 Recommendations:
a.
b.
c.
Each Gram Panchayat should have a Job Card Ledger in the Panchayat,
which should be a shadow of the job cards. This would have the dual
advantage of preventing any tampering in the job cards and also having
the entire information available in the Panchayat. In Gram Panchayats,
which have computers, this would not be an extra effort. In Panchayats,
which do not have computers, this could be a simple register, which would
have the same entries as in the job cards. This register should be updated
every week whenever payment of wages is made.
Records should be kept in a manner that enables accounting of each
work voucher-wise, so that it is possible to track every voucher to a work
and also get voucher-wise utilization of funds for each work.
Formats of some registers need to be amended as suggested in
para 5.4.12.
5.4.13.2 Similar institutional arrangements have been prescribed under other flagship
programmes and the Bharat Nirman Programme. The Commission feels that over and
above the standing or adhoc committees in each ministry, there is need for one common
inter-ministerial, empowered steering committee for NREGA, other flagship programmes
and the Bharat Nirman Programme. The Cabinet Secretary may be the Chairman with the
concerned Secretaries as Members of this Committee.
5.4.13.3 This Empowered Committee may be given adequate powers to oversee the work
of Ministerial/Departmental Committees taking an integrated approach and bring about
better coordination in implementation of the Act at various levels. It should also ensure the
centrality of local governments in the implementation of these programmes. The Empowered
Committee may be required to submit periodic reports to the Prime Minister and concerned
Ministers. The Committee may raise specific issues for decision at a higher level, along with
a detailed analysis and recommendations on such issues. These may be placed before a
Cabinet Committee headed by the Prime Minister, for decision.
5.4.13.4 Similar empowered committees may be set up at the state and district levels.
5.4.13.5 Recommendations:
a.
(ii)
5.4.14.2 Recommendation:
a.
CONCLUSION
1. The National Rural Employment Guarantee Act of 2005 represents a paradigm shift. It
makes employment a right; something that people can expect, demand and enforce. The
legislation is a landmark initiative in yet another way. It not only deals with the vulnerability
of the rural poor by assuring wage income to a household for 100 days, it also addresses the
basic cause of chronic poverty by taking up works that promote sustainable livelihood systems.
In that sense, the Act provides a safety net for the rural poor.
2. Much depends on how the Act is implemented. While deliberating on implementation
challenges, the Commission has focused on three broad areas. The first relates to the aspect
of entitlements and universalisation that calls for guaranteeing the reach and the outcomes
of the scheme. The second is about the issue of Union funding and execution by the State
Governments; the challenge, then, becomes one of maintaining the ease and regularity of
fund flow and ensuring accountability while eschewing moral hazards and distorted incentives.
The third stems from a variety of constraints arising out of the implementation of the scheme
in backward districts where poor governance systems, low organizational capacity, weak
infrastructure and unequal power structures are the norm. As a solution, the Commission
has recommended comprehensive institutional, administrative and financial reforms so that
the Act can be implemented seamlessly to achieve the intended programme outcomes.
3. The Commission has every reason to hope that, if successfully implemented, the Act can
be the harbinger of transformative changes in rural India. It would energize the rural economy
by providing assured employment and generating a large pool of durable assets to promote
sustainable growth. It would strengthen the process of decentralization and enable
participatory planning at the grassroots level. It would change the unequal power structure
in the rural areas of the country. But, then, NREGA should ideally create conditions for its
own demise. The litmus test for the success of NREGA would be when its implementation,
over a period of time, so transforms rural India that the poor would no longer need the
assurance of guaranteed employment for securing their livelihood.
94
95
Summary of Recommendations
SUMMARY OF RECOMMENDATIONS
f.
g.
a.
b.
c.
d.
e.
96
Special norms should be worked out for various parameters of the Scheme
for difficult areas.
(ii)
(v)
(i)
a2.
a3.
months.
of NREGA.
a4.
b.
Summary of Recommendations
b.
d.
c.
There should be only one Plan for an area so that an integrated view of
development of the area could be taken. All sectoral/schemewise plans
should be culled out from this plan.
e.
f.
The target (maximum) level of funds required for Gram Panchayats may
be fixed at two months requirements, and so also for the blocks and
districts.
g.
d.
The ultimate choice of the mode of payment should be left to the workers;
payment in cash may be the preferred option. The person/agency
preparing the muster roll must be different from the person/agency
making payment to the workers.
b.
In drought prone and remote areas (tribal and hilly areas), a part of the
wages may be disbursed in terms of foodgrains. In all cases, quality and
timely availability of foodgrains should be ensured.
b.
c.
98
The post office network should be used along with the bank network for
flow of funds and the procedural bottlenecks addressed.
b.
Banks and post offices would have to play a more proactive role in
handling these accounts. Procedures, especially in post offices need to be
simplified.
c.
To avoid leakages, payment through banks and post offices is a better option.
Banks and the post offices need to be reoriented to handle this task.
Summary of Recommendations
11. Maintaining Labour Material Ratio (Para 5.3.5.2)
a.
Payments should be made, based on the piece rate system, and not the
time rate system.
b.
The district Schedule of Rates for NREGA should be prepared under the
supervision of the District Technical Resources Support Group.
b.
c.
c.
d.
e.
100
The stipulation that the material component should not exceed 40 per
cent of the total cost should be strictly adhered to for each work. In
exceptional cases, if it is not possible to maintain this for each work it
should be maintained at the Gram/Block Panchayat level.
f.
g.
b.
c.
d.
The norms for engaging staff, both technical and administrative, should
be linked to the average population per Panchayat (village/block and
district). In hilly terrain the area per Panchayat should also be a criterion.
101
f.
h.
102
v.
k.
l.
i.
ii.
Hardship allowance.
m.
iii.
n.
o.
p.
Summary of Recommendations
In case of acute shortage of engineers in the field, a panel of nongovernment engineers may be engaged at the block level. Educated youth
could be identified and trained to prepare estimates for works. These
draft estimates would then be scrutinized and approved by the panel of
engineers at the block level.
The limit of administrative expenses should be raised from the existing 2
per cent to 6 per cent of the total expenditure under the Scheme. Out of
this 1 per cent of the total funds should be earmarked for concurrent
monitoring and audit, and 2 per cent for training. Additional funds
for meeting enhanced administrative expenses should be provided in
difficult areas. (This could be 2 per cent of the total expenditure under
the Scheme, in addition to what is provided for normal districts).
i.
j.
ii.
iii.
iv.
b.
It should be ensured that most of the works are executed through Gram
Panchayats and need for works to be taken up by the Block/Intermediate
Panchayats should arise only in case of inter-Gram Panchayat works or
where the Gram Panchayats have not been able to meet the demand for
employment.
b.
c.
d.
104
Summary of Recommendations
17. Curbing corruption and leakages (Para 5.4.6.7)
a.
b.
The muster roll should incorporate the physical dimensions of work that
has been carried out in the work cycle. To the extent possible it should be
backed with a photograph of the work executed, at different stages.
c.
b.
NGOs with credibility and spatial reach should be identified and entrusted
with the task of creating awareness and capability building.
c.
d.
(b)
20. Use of IT - A Minimum and Common Set of National Standards for Data (Para
5.4.8.2.6)
a.
Summary of Recommendations
(c)
(d)
(e)
While social audits are a required measure for transparency under the
Scheme, these should not be the only ones, or even the primary ones.
Voluntary disclosure should be the norm for informing citizens about
the functioning of the NREGA; this will considerably reduce the onus on
social audits.
(f)
Alerts are being generated using trigger points that ensure compliance
with the rules and guidelines of the REGS. By periodic review, it should
be determined what additional alerts are needed so that these too could
be incorporated.
(g)
(h)
(b)
(c)
(d)
The Union Government should maintain its own data centre, aggregating
data from each of the state repositories.
106
(a)
(b)
(c)
(d)
(b)
Violations of the rules using any of the quantified measures should trigger
alerts in the IT system, which should be routed to the appropriate
supervisory official.
(c)
(d)
108
Summary of Recommendations
26. Use of IT - Right to Information in NREGA and use of IT (Para 5.4.8.8.4)
a.
b.
c.
The same data should be used for administrative purposes as well as RTIrelated disclosure. The government, citizens and other stakeholders
should all have information based on the same set of data, and the
information available with each should be created from a common
database.
28. Implementation of NREGA in Fifth and Sixth Schedule Areas (Para 5.4.9.4)
a.
b.
Demand for employment in any area should be first met through works
under NREGA. Relief works (in cases of natural calamities) should be
taken up only if demand for work exists and the households have
exhausted their entitlements under NREGA.
109
Summary of Recommendations
b.
(ii)
Each Gram Panchayat should have a Job Card Ledger in the Panchayat,
which should be a shadow of the job cards. This would have the dual
advantage of preventing any tampering in the job cards and also having
the entire information available in the Panchayat. In Gram Panchayats,
which have computers, this would not be an extra effort. In Panchayats,
which do not have computers, this could be a simple register, which would
have the same entries as in the job card. This register should be updated
every week whenever payment of wages is made.
b.
c.
110
Annexure-I(1) Contd.
Workshop on
Strengthening Financial Management for Rural Employment Guarantee Scheme
at the National Institute of Public Finance and Policy, New Delhi
on 19 & 20 December, 2005
Workshop on
Strengthening Financial Management for Rural Employment Guarantee Scheme
at the National Institute of Public Finance and Policy, New Delhi
on 19 & 20 December, 2005
List of Participants
List of Participants
th
Dr.U.S. Raghavan
4
5
Shri Vidyasagar
112
Workshop at NIPFP
Shri N. Sivasailam
10
11
th
Designation
Chairman, Economic Advisory
Council to the Prime Minister
Secretary, Department of Rural
Development, Government of
India
Secretary, Department of Posts,
Government of India
Director, NIPFP
Joint Secretary, Department of
Rural Development, Government
of India
Joint Secretary, Ministry of
Panchayati Raj, Government of
India
Vice Chairman and Managing
Director, Girijan Co-operative
Corporation, Visakhapatnam,
Andhra Pradesh
Secretary, Local Self Government
Department, Government of
Kerala
Secretary, Rural Development &
Panchayati Raj Department,
Government of Karnataka
Commissioner-cum-Secretary,
Panchayati Raj Department,
Government of Orissa
Secretary, Rural Development,
Government of Bihar
th
Shri D. Bandopadhyay
Ms. Vasudha Mishra
15
16
17
Shri D. Rajesham
18
19
20
21
22
23
24
25
26
27
th
Designation
Officer on Special Duty, Indian
Banks Association
Former Secretary, GOI
Deputy Director, LBS NAA,
Mussoorie
Centre for Environment Concerns,
Hyderabad
Jagrit Adivasi Dalit Sangathan,
Barwani, Madhya Pradesh
Joint Commissioner (RD),
Government of Andhra Pradesh
RBI Chair Professor, NIPFP
Centre for Policy Research
eGovernments Foundation,
Bangalore
JSK, Kolkata
Additional Collector, Dhar,
Madhya Pradesh
District Collector, Nandurbar,
Maharashtra
Additional Commissioner, Rural
Development Department,
Government of Uttar Pradesh
eGovernments Foundation,
Bangalore
Sr. Finance & Accounts Officer,
Directorate of P&AD, Assam
Deputy Commissioner, Latehar,
Jharkhand
113
Workshop at NIPFP
Annexure-I(1) Contd.
Workshop on
Strengthening Financial Management for Rural Employment Guarantee Scheme
at the National Institute of Public Finance and Policy, New Delhi
on 19 & 20 December, 2005
th
th
List of Participants:
Sl. No. Name
28
Shri Sanjay Singh
29
30
31
Smt. Gopinath
32
Designation
Director, Department of Rural
Development, Government of
India
Director, Special Projects,
Government of Orissa
Fellow, Institute of Human
Development
Department of Posts, Government
of India
NIPFP
114
Name
Shri M. Veerappa Moily
Shri V. Ramachandran
Dr. A.P. Mukherjee
Dr. Jayaprakash Narayan
Smt. Vineeta Rai
Designation
Chairman, ARC
Member, ARC
Member, ARC
Member, ARC
Member-Secretary, ARC
Annexue-I(2)
Should the wage rate under the EGS be the minimum wage rate, or some other
rate that will be above or below the minimum wage? What is the wage rate
that will be optimal in terms of making the scheme self-selecting?
(ii)
Should the guarantee be restricted to 100 days per year or should it be openended?
(iii)
Should the scheme be restricted to only one adult per household regardless of
the size of the household?
(iv)
Should the scheme be restricted to families below the poverty line or should it
be open to all?
115
Annexure-I(2) Contd.
(v)
(vi)
What exactly will be the cost of the scheme and where will the funds come
from? Given that the estimated cost of the scheme varies from Rs.10000 to
Rs.36000 crores roughly one per cent of GDP is the most efficient use of
the money? Are there better and more effective ways of spending such a large
amount of money to achieve the objective of poverty reduction? Will welfare
be maximized if we spend this money on education and health instead?
however, show that under employment figures as measured by the proportion of days in a
year in which those actively seeking working do not find it are much higher around 7 per
cent for both males and females. These figures nevertheless do not show any definite trend.
The levels in 1999-2000 were the same as in 1977-78 for males. There was, however, an
improvement in the case of females. While there has been no deteriorating trend and in fact
there may have been some improvement, the levels are still a cause for concern and redressing
this remains a major challenge. While the lasting solution to employment generation will
lie in accelerating over all growth, this may happen only slowly. Targetted employment
schemes such as the EGS become necessary till such time the over all growth is able to fully
meet the demand for work from rural labour force.
(vii) What will be the implications of such a large and open-ended expenditure
commitment to managing the fiscal and revenue deficits especially in the context
of the obligations under the Fiscal Responsibility and Management Act (FRMA)?
(viii) Do we have the administrative capacity, and the monitoring and accountability
systems to implement a scheme of this size?
(ix)
Given our experience with similar schemes such as food for work and drought
relief, should we not be concerned about waste, leakage and corruption, especially
given the weak monitoring systems and lax accountability mechanisms?
(x)
To what extent should the EGS focus on asset creation? Furthermore, does the
focus on asset creation erode the guarantee dimension of the EGS?
(xi)
What should be the role and responsibilities of the Panchayati Raj institutions
in the EGS? In particular, should the Gram Panchayats uniformly be the only
instrumentality for delivering the EGS regardless of the varied track record and
capacity levels in the PR institutions across the country or should we settle for
asymmetric decentralization?
4. The listing of issues will not be complete unless I also mention that some economists and
commentators have even called into question the justification for an open-ended universal
employment guarantee scheme of this type on the ground that there is no evidence to show
that the rural employment situation has worsened in the recent period.
5. Several analysts have drawn attention to the fact that National Sample Survey Estimates
of unemployment rates show that in 1999-2000 those who reported themselves as being
usually unemployed during the year were barely 2 per cent of the male labour and less than
one per cent of the female labour force. The usual unemployment rates have not shown
any sustained trend either for males or females over the 20 year period. The NSS surveys,
116
Workshop at NIPFP
6. Now that the parliament has enacted the legislation, many of the policy issues have been
settled. The Act, as finally passed, guarantees at least 100 days of wage employment per
year on demand to every rural household. The wages to be paid are the minimum wages
applicable for agricultural labour in the respective states till such time that the central
government specifies a wage rate which will not be less than Rs 60 per day. In the event of
failure to redeem the guarantee, the state government is mandated to pay an unemployment
allowance to the employment seeker. The scheme is to be implemented in 200 poor and
backward districts in the first phase. The central government bears the cost of guaranteed
wages, up to three fourths of the cost of material, and the wages of skilled and semi-skilled
workers. The state governments are to meet the balance one fourth of the costs of material
and semi-skilled and skilled labour as well as the payment of employment allowance.
7. The Act as finally passed by the parliament balances the various trade offs and reflects
some of the advice that emerged from the public debate. For example, at the draft stage
there was debate, as I said earlier, on whether the scheme should be restricted to households
below the poverty line which would have entailed elaborate mechanisms for means testing.
Under the Act as finally passed, the scheme is open to all with no restrictions on whether the
household is below or above the poverty line. This is wise as this is an acknowledgement
that only the poor with no alternative will come forward to undertake unskilled labour and
the scheme will run on a self-selecting basis. Also this will eliminate the huge transaction
costs underlying means testing.
8. With the policy issues behind us, the task ahead is to move on to implementation so as to
deliver the intended benefits to the poor and unemployed in the country. The important
components involved in the implementation of EGA are, (a) selection of beneficiaries and
the wage rate; (b) design of system and institutions for implementation of the scheme;
117
Annexure-I(2) Contd.
(c) provision of resources and the pattern of funding; (d) capacity building for effective
implementation of the scheme; and (e) safeguard against corruption with regard to the use
of fund and the selection of beneficiaries. By any reckoning this is a complex and formidable
challenge and requires out of the box thinking and action. I am very happy therefore that
the Administrative Reforms Commission has thought it fit to address this issue on a priority
basis. This is a tribute to your sense of purpose and result orientation and I want to commend
you for this initiative.
means that the flow of funds from the state to district to the village level should be smooth.
An important question in this context is should funds be channeled through the existing
systems or is there need to design alternate systems? How can this be done without eroding
fiduciary accountability? Non-availability of funds at the required time can seriously impair
the effectiveness of the Scheme. We should avoid such a contingency.
9. I want to use the opportunity that you have so kindly provided me to raise some issues
that we should be addressing on the way forward to implementation of the EGS. For
conceptual clarity I will group them under four headings: (i) physical and financial planning;
(ii) delivery systems and capacity building; (iii) asset creation; and (iv) monitoring and
experience sharing.
12. Let me now turn to some thoughts on delivery systems and capacity building. Gram
Sabhas and Panchayat Raj institutions have been given a pivotal responsibility under the
Act. The village, intermediate and district panchayats are designated principal authorities
for planning and implementation of the EGS. The Gram Panchayats, GPs for short, are
responsible for the identification of schemes acting upon the recommendations of the Gram
Sabha, for vetting and costing them and for having them approved by the programme
officer. Gram Panchayats also have to register eligible adults of every household in their
jurisdiction and issue registration cards to each of them. Gram Panchayats are also responsible
for monitoring and social audit.
Workshop at NIPFP
13. Criticism for the role assigned to the Gram Panchayats in the implementation of the
EGS has come from two sides. From one side it has been argued that the Gram Panchayats
have been given a very limited role in the EGS and have been subordinated to the programme
officer. It is contended that the programme officer, being an official of the state government
not owing any allegiance to the panchayat, can undermine the autonomy and accountability
of the panchayats and thereby the implementation of the EGS. The arguments in favour of
giving a larger role to the panchayats are the standard ones: greater accountability, better
appreciation of local needs and lower transaction costs. From the other side, there has been
criticism that panchayats have been made the main delivery system for the EGS uniformly
across the country ignoring the reality that the Panchayat Raj system has not evolved to the
same degree of experience, capacity and awareness across the country. In some states and in
parts of some states, GPs have come into their own exercising autonomy and managing
finances responsiby and rendering accountability with a sense of integrity. On the other
hand, there are states and pockets of states where GPs have been captured by powerful
elites to the detriment of democratic decentralization. Given this reality, should we have a
uniform pattern of delivery of EGS by the GPs across the country or should we settle for
asymmetric decentralization whereby the role to be performed by the GPs depends on their
proven capacity and demonstrated track record? I am aware this is a sensitive and contentious
issue but one that needs to be debated transparently. I hope this workshop will give some
119
Workshop at NIPFP
Annexure-I(2) Contd.
thought to this. My own personal view is that Panchayati Raj institutions constitute the
most effective vehicle for the implementation of the Employment Guarantee Scheme and
we need to make all efforts to strengthen them. We should explore alternatives only if GPs
fail in their performance.
14. No matter whether the EGS is delivered through the GP or through some other
mechanism, its implementation demands a significant amount of record keeping and
documentation. For example, documentation is necessary for identification and registration
of eligible beneficiaries, the number of days of employment delivered to each household, the
list of persons to whom unemployment allowance, if any, has been paid and the quantum
thereof, the man-days of work invested in each project, etc. Similarly, capacity is required at
the GP level for identifying projects, preparing the cost and labour demand estimates and
in measuring physical outturns.
15. The need for training in a variety of skills, techniques and management practices is
quite obvious. What are the areas in which training will be required? How can it be best
delivered? How can the lessons of experience in one district or state be documented and
disseminated widely? These are some questions which I hope will engage your attention as
you go into detailed discussions over these two days.
16. There is the question of accountability both for efficiency in the utilization of funds as
well as fiduciary integrity. There are some inbuilt safeguards in the EGS such as the
requirement that all wages in cash or unemployment allowance shall be made directly to
the person concerned in the presence of independent persons of the community on preannounced dates. There is also a requirement for monitoring by state and district level
agencies as well as by NGOs. Even as these are improvements over many of our existing
practices, they are by no means foolproof. There is no substitute for continued vigilance and
threat of serious penalty in case of corruption, waste or leakage. Technology in general and
e-governance practices in particular may help us in this regard. This is another area where
we need to do innovative thinking.
Asset Creation
17. Let me now move on to issues under the broad area of asset creation. Schedule 1 (clause
1) of the Act says: (I quote) Creation of durable assets and strengthening the livelihood
resource base of the rural poor shall be an important objective of the scheme. (unquote)
Clause 2 of the schedule also indicates nine focus areas of the scheme in order of priority. The
120
Annexure-I(2) Contd.
list of focus areas includes water conservation and water harvesting, drought proofing, flood
control and road connectivity.
18. Drawing from the Maharashtra experience, some commentators have suggested that
emphasis on asset creation might compromise the guarantee dimension of the scheme. This
is so because of the unpredictability of the demand for EGS work with respect to location,
timing, number of workers and duration of their seeking the employment guarantee. The
tension between employment guarantee and asset creation is a valid concern and needs to
be acknowledged. The statutory obligation to guarantee employment should get priority
over asset creation. Nevertheless the huge outlay on the scheme, which could potentially go
up to as much as one per cent of GDP, cannot be justified unless there are assets to show for
it. De-emphasis of asset creation can also encourage corruption. In fact, we should use the
opportunity provided by the new scheme to improve rural infrastructure which is imperative
for accelerating growth.
19. While on the subject of asset creation, it is also necessary to pay attention to maintaining
the assets created under the EGS because every rupee spent on maintenance has a higher
benefit-cost ratio than a rupee spent on investment. Should EGS funds not be used for
maintenance of assets created under the EGS or indeed under any other scheme?
121
Workshop at NIPFP
Annexure-I(2) Contd.
Annexure-I(3)
Conclusion
21. Despite several weaknesses, our administration has proved that it can deliver on the
most exacting tasks under challenging circumstances. Our administration conducts elections
and carries out census in the remotest parts of the country in inhospitable terrain and
unfriendly climate. Our administration delivers relief and rehabilitation in times of natural
disasters such as floods, droughts or earthquakes with commendable efficiency. Indeed, the
way we responded to the task of tsunami relief where other affected countries have fallen
short is a tribute to the talent and capacity in our administration. Woefully the same
administration fails us in the routine tasks of day-to-day implementation of development
programmes. This certainly is not for want of capacity but because of system shortcomings.
The task for the Administrative Reforms Commission is to see how the enormous talent and
capacity available in our administration can be constructively deployed for the collective
good of the nation. Managing the EGS is a challenge set in that context.
22. The tasks that lie ahead in implementing the Employment Guarantee Act are enormous.
Effective implementation requires (a) demand based budgeting, (2) advanced planning to
offer work on demand, and (3) inter-sectoral planning of projects. There is also need for a
clear definition of the roles and responsibilities of the various agencies involved in the process
of implementation. I am confident that you will come up with imaginative solutions to the
many tasks ahead in operationalizing the EGS. I wish your deliberations a success.
122
th
Job Guarantee for the poor by E.C Thomas. PIB Press Release 26-9-05: http://pib.nic.in/release/release.asp?relid=11820
123
Workshop at NIPFP
Annexure-I(3) Contd.
Annexure-I(3) Contd.
households on demand as all these programmes were allocation based programmes. This
situation of unemployment has been compounded by the absence of any social security
mechanism.
Just as the proof of pudding lie in eating, the success of this enactment would depend upon
its implementation. The Prime Minister has said:
The National Rural Employment Guarantee Act brings in a paradigm shift. The key to this
legislation lies in the word guarantee.2 As I have mentioned earlier, there have been multitude
of employment generation and poverty eradication schemes in the country. But none of
these schemes gave a right to the rural poor to demand work. But the word guarantee in the
Act makes it a right, something that people will expect and demand, something they can
complain about3, It has the potential to profoundly alter the way government officials treat
the people they are supposed to serve.
across the country. Therefore, the quality of implementation of the Act in its initial phase is of
Our performance in these 200 districts will yield useful insights and lessons while extending it
critical importance. We need to translate the legal commitment of the Act into an effective programme
of action that delivers the benefits as guaranteed,
The Prime Minister has stressed upon the need to establish institutional mechanisms for
implementing the guarantee. He has further stated:
The Panchayati Raj institutions, with the assistance of government agencies, are central to this.
The Panchayati Raj institutions will have to be geared up for it. You would need to ensure
The enactment of this law has been necessitated due to several factors. The problem faced
by a large number of rural folk was lack of employment, especially during the dry season. In
dry and drought-prone areas, many communities had to habitually migrate to other parts of
the country in search of work, a painful and disruptive process. It destroyed the fabric of the
community, the family lives of the migrants, the possibility for education of the children.
These forced migrants were subject to some of the worst exploitation in their new workplaces.
Those left behind did not have enough to eat or the barest of money for other basic necessities.4
The main importance of this Act is that it is a good social safety net. The problem faced by
a large number of people in the rural areas is the lack of employment.
The case for an employment guarantee arises from other considerations also. First, mass
poverty and deprivation in India are structurally caused and socially determined. Millions are
forced into chronic poverty for no fault of theirs other than their birth in underprivileged
conditions. A person who is willing to perform even the most unskilled of manual labour
cannot find work. Society has failed to redress this for decades. This is an unacceptably
unjust waste of valuable human potential. It is societys duty to empower the most unfortunate
among the poor by providing employment to them.5
Second, normal economic processes cannot resolve the problems of chronic poverty,
unemployment, all-round low social indicators, and depleted human capacities. Such processes
will perpetuate or reinforce, they wont redress, the underlying structural causesirrespective
of the volume of GDP growth! Public action is absolutely essential. This can best take the
form of special programmes to create capacities and provide a modicum of social security.
An employment guarantee is a worthy form of public action.6
124
Ibid
Extracted from SEWAs Electronic Newsletter, May 2005: http://www.sewa.org/newsletter/newsletter3.html
5
Indias Employment Guarantee: An Antidote to Neoliberalism? by Praful Bidwai http://www.ased.org/artman/
publish/article_719.shtml
6
Ibid
capacity building of these institutions so that they may discharge their responsibilities effectively,
The implementation challenge can be assessed by the magnitude of the problem itself. The
percentage of people below the poverty line is estimated to be around 25. That is, India has
about 250 million people who are so poor that they cant cross the poverty line that is set
way below what can be considered necessary for a human existence. This number is about 8
times the total population of Canada.7 Implementation of this Act in all 600 districts, would
mean coverage of about 6 lakhs villages. The scheme would be implemented by more than
2.5 lakhs Panchayats. The planning process, release of funds, supervision and monitoring of
this nationwide scheme would really be a mind boggling exercise. Even the funds involved
are estimated to be in the range of 40,000 crores per annum, and this makes it by far the
biggest scheme ever implemented in the country.
Today we have assembled to find out ways of strengthening the financial management
systems required for effective implementation of the Act. But the financial management
systems cannot be viewed in isolation. The financial management process is a function of
the planning process, institutional mechanisms, the accountability systems, and the
monitoring and evaluation systems. Thus in fact we will have to look into all aspects of
implementation of the Act.
The first and foremost task before us would be to evolve the institutional mechanisms required.
The Act envisages a collaborative partnership between the Central and the State
Governments, the Panchayats and the local community. The Act has specifically defined the
roles and responsibilities of different tiers of the Panchayats, the State Governments and the
Central Government. A structural mechanism needs to be put into place. Each level of
Panchayat has to be provided with appropriate technical and administrative assistance, the
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2&3
4
Workshop at NIPFP
Annexure-I(3) Contd.
Annexure-I(3) Contd.
details of fund flow have to be worked out and so also the delegation of authority and fixing
of responsibility. The task gets further complicated because of the diversities and the differences
in the level of development that prevail across the country. Information Technology could
provide efficient solutions to most of the problems. But the IT penetration is not uniform
throughout the country. In areas where IT has not reached, the manual systems will have to
continue but they should be so designed such that switching over to IT systems becomes
easier at a later date.
The Act would have to be seen against the background of the Right to Information Act,
which would enable social audits and greater public scrutiny of the programmes. It will
ensure greater accountability of panchayat bodies and the district administration as well.
For example, muster rolls will no longer be secret, and budget and works will be public
knowledge9. All this will ensure that only those who really need work will be employed, and
only those schemes required by the community are taken up. Public access to key records
and key information would have to be ensured at all levels. This would be possible only if
the records are maintained in a proper format. We will have to evolve systems wherein most
of the information is put in the public domain through Voluntary disclosure.
Community participation holds the key to the success of this scheme. The Act confers
entitlements upon people and puts their demands centre stage. 8 The Act envisages
involvement of community at almost all stages. Planning is critical to the successful
implementation of the Employment Guarantee Scheme. The first step in the planning process
has to be initiated at the Gram Sabha level. Even the identification of the beneficiaries is to
be done by the Gram Sabhas. Last but not the least, the Gram Sabhas have to carry out a
social audit of all the projects, within their jurisdiction. The Act brings in a reversal of roles
for the community and the government functionaries. Earlier the people would depend
upon the government functionaries for getting employment. Now the people would demand
work as matter of right and the government functionaries would be duty bound to provide
employment. For this paradigm shift, the community would have to be prepared. This
would include measures for awareness generation, to begin with, but later on these would
have to graduate to capacity building measures. Capacity building measures would also be
required for the panchayat members and the government officials. The real challenge
would be to develop and implement the capacity building programmes and awareness
generation campaigns.
The Prime Minister has described NREGA as a unique social safety net as its beneficiaries
are not passive recipients of doles, but will become active participants in the creation of
rural assets. The Prime Minister has emphasized that methods of estimation and measurement
of works and rates of payment for each task should be made transparent. He has said:
The labour that seeks work must understand what is offered, on what terms and demand its
full entitlement. Similarly, there should be complete transparency in maintenance of muster rolls
and payment of wages. There should be fairness all around
Further, the Prime Minister said the Right to Information Act would cover every aspect of
the implementation of NREGA.
People will have general access to public records and information pertaining to NREGA. We
must not forget that eternal vigilance is the price of liberty,
126
8
The salient feature about the implementation of the Act would be the total elimination of
middlemen and contractors. The works would be directly entrusted to various line agencies,
NGOs and Self Help Groups. But this would another problem, how to assess the quantum
of work contributed by the worker. Under the earlier system, the Schedule of Rates prescribed
by the state PWD is followed. Now norms for arriving at the estimates and norms for
measurement would have to be evolved by the States. These norms once again may vary
from district to district. This would involve carrying out time and motion studies and
establishing productivity norms, and ultimately devising a district Schedule of Rates. More
important would be to convert these norms into locally understandable terminology of
Peoples estimates.
The financial flow arrangements would have to be especially designed for effective
implementation of the Act. As payments have to be made within a fortnight, this would
entail rapid flow of funds to the panchayats on one hand and rapid flow of progress related
information from the panchayat to the Block Programme Officer, on the other. The accounting
system at the panchayat as well as at the intermediate and the District levels would have to
be totally harmonized. The fund flow monitoring system should be able to track all
movements of funds and their utilization.
An efficient Management Information System would be required for constant monitoring
of the implementation process. This is all the more needed as the benefits under the Act are
legally justiceable. A key aspect of management will therefore be maintaining data on all
aspects of implementation. Who would maintain and update this database? Could it be
outsourced? These would be the issues, which have to be answered.
As major investments would be made under this Scheme, therefore linking asset creation
under Employment Guarantee Scheme to human development efforts such as education,
healthcare and provision of water supply would be very necessary. Funds are available with
Job Guarantee for the poor by E.C Thomas. PIB Press release 26-9-05: http://pib.nic.in/release/
release.asp?relid=11820
127
128
10
11
12
Workshop at NIPFP
Annexure-I(4)
129
Workshop at NIPFP
Annexure-I(4) Contd.
Annexure-I(4) Contd.
The scheme will also help to strengthen the decentralisation process and enable grass-roots level
participatory planning. Furthermore, if carefully calibrated, the programme will help these districts
to build community assets and infrastructure and enable better connectivity and market access
to bring about a sustainable development of these poorest districts in the country. Finally, with
active participation of women, the programme could be an important means of empowering
women and mainstreaming gender in development.
NREGA provides for a multi-tier structure of authority for implementation and monitoring
of the scheme with specified functions and duties for each authority. The agencies involved
are Central Employment Guarantee Council, State Employment Guarantee Council, District
Programme Coordinator, Programme Officer appointed by the State government and the
Gram Panchayat. The responsibility of the Gram Panchayat will be the identification,
execution and supervision of projects as per the recommendations of Gram Sabha and the
Ward Sabhas. Gram Sabhas and Ward Sabhas have the responsibility of not only choosing
the list of projects for implementation under the scheme but also in ensuring accountability.
For accountability and transparency purposes, the Gram Sabhas are given the power to
conduct regular social audit of individual schemes. The structure of the implementation as
laid down indicates that a coordinated approach of different tiers of governments or vertical
coordination is critical for successful implementation of the scheme. Also, the horizontal
coordination across departments for programme identification and execution of work through
Panchayat assumes critical importance. Before we go into the details of the implementation
issues discussed, we need to understand what prompted the enactment of NREGA, the
economic rationale behind it and its implication on rural livelihood and asset creation.
The legislation is a major initiative as it provides assured employment for hundred days to a
rural household, though as the employer of last resort. It is hoped that this will ensure
sustained employment opportunity for the poor unskilled labourers. This will also deal with
vulnerability of the poor by assuring wage incomes to a member in a family for a minimum
of 100 days. The choice of works under the programme suggested also try to address basic
causes of chronic poverty such as droughts and flood. The programmes to be taken up under
the scheme also can promote sustainable development and livelihood systems such as rural
roads, arrest deforestation and soil erosion, water harvesting and watershed development
and minor irrigation. This way, it provides a safety net to the rural poor.
130
As specified in the Act, for the purpose of funding and the implementation of NREGA, the
central government will set up National Employment Guarantee Fund. Individual state
governments will also have to set up the State Employment Guarantee Fund for matching
contribution under this scheme. The funding pattern as laid down in the Act specifies that
the centres obligation would be to allocate payments of wages for unskilled manual workers
under the scheme, up to three-fourths of the material costs of the scheme including wages
to skilled and semi-skilled workers and a certain percentage of the total cost of the schemes
determined by the centre. The state government shall have to make payments of the cost of
unemployment allowance, one-fourth of the material costs and the administrative expenses
of the state council. Apart from the mandatory provision of resources required for the
implementation of the NREGA, its success in enhancing the livelihood security of rural
households would critically depend on the effective implementation of the scheme.
Even as the NREGA provides opportunities for the rural households to assure livelihood
security, it presents formidable challenges in implementation. Not surprisingly, the entire
debate on the desirability of implementing NREGA in its present form that preceded its
legislation is an ample testimony to the persisting doubts on the ability of the system to
effectively implement the scheme. The challenge is truly formidable because the 200 districts
chosen for implementing the Act are the most difficult as they have low organisation capacity,
governance structures and nature of power structure in rural areas. There are also serious
questions of potential for pilferage of funds.
However, if one looks at the employment scenario in the country during the 1980s and
1990s one would observe that during the Tenth Five Year Plan the growth rate of employment
has slowed down considerably1. In that context, the enactment of NREGA is appropriate
and timely. Although, the aggregate employment figure shows a decline, National Sample
Survey Estimates of unemployment rates in 1999-2000 showed that the rate of
unemployment in usually unemployed category in 1999-2000 was only 2 per cent for the
male labour force and less than 2 per cent for the female labour force. Despite low
There are differences in views in regard to the desirability of NREGA, its design and
implementation mechanism and systems. While sceptics considered it as populist measure
and would result in significant loss of resources, the protagonists have considered it as a
landmark initiative in providing livelihood security in rural areas and providing
empowerment to rural poor. It is argued that this would not only increase the income of the
poor, but the asset creation through the process of employment would generate much
needed productive infrastructure for poverty alleviation on a permanent basis. It is also
seen as an initiative to operationalise the concept of the right to work enshrined in the
Constitution under the Directive Principles of State Policy (Papola: 2005) by guaranteeing
those who are demanding employment.
131
Hirway (2005) noted that though the average annual rate of growth of GDP is higher in the nineties (6.7 per cent)
than in the eighties (5.2 per cent), the rate of growth of employment has been much lower (1.07 per cent) in the nineties
than in the eighties (2.7 per cent).
Annexure-I(4) Contd.
unemployment rate, the incidence of income poverty in rural areas is, at least, four times the
incidence of unemployment as per the current daily status, which, implies that the number
of poor far outweighs the number of poor for want of work (Kannan: 2005). In other words,
this implies that the quality of employment is so low that the wage rate is inadequate to
take care of even the limited notion of income poverty. Thus, if NREGA has to make a
perceptible dent on poverty, the applicable wage rate assumes paramount importance.
on labour mobility, it is possible that even within the states, the market wage rates could be
lower than the minimum wage rate stipulated in some areas. In such cases, the demand for
work under NREGA will be high and there may even be substitution of private activity
with public activity. Even so, increase in the demand for labour during off season and in
areas where demand for labour is low can help to stabilise the labour market and help to
ensure livelihood security to the poor, unskilled labour in these places.
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Workshop at NIPFP
The regional variations in market wages in some states where market wages may be broadly
equal to or even be lower than the minimum wage rate have been referred to. In Bihar for
example, both the market wage rates and statutory minimum wage rates are more or less
equal and in Madhya Pradesh and Uttar Pradesh where the statutory wage rate is higher
than the market wage rate. Given the imperfections in the labour market for unskilled
labour including intergenerational contracts in labour supply (bonded labour) and constraints
Table 1: Average Daily Wages for Casual Workers: Rural (In Rs.)
Male
Female
Persons
St. Min. Rate
Andhra Pradesh
48.32
31.08
40.86
25.96
Assam
58.88
54.17
57.98
33.10
Bihar
44.29
37.46
42.91
41.02
Chhattisgarh
35.40
30.21
33.19
Gujarat
49.22
36.31
45.20
46.80
Haryana
79.92
67.65
78.00
73.65
Himachal Pradesh
83.21
72.51
82.29
51.00
Jammu & Kashmir
94.79
77.64
93.58
30.00
Jharkhand
53.53
42.00
51.48
Karnataka
50.61
31.27
43.67
40.55
Kerala
123.65
68.15
112.20
30.00
Madhya Pradesh
46.56
31.47
41.36
51.80
Maharashtra
51.48
35.48
44.94
8.46
Orissa
46.72
29.48
43.22
40.00
Punjab
78.37
59.57
77.07
70.85
Rajasthan
64.68
48.73
61.55
47.05
Tamil Nadu
71.35
35.52
57.78
32.00
Uttaranchal
60.88
52.69
58.65
Uttar Pradesh
58.84
39.80
56.22
58.00
West Bengal
49.96
40.36
48.60
48.22
North Eastern States
66.22
48.97
63.27
All India
56.53
36.15
50.70
47.53
The argument that NREGA will reduce poverty through guaranteed employment may not
happen at the statutory minimum wage rate as in many states it is so low that it cannot
bring particular households out of the income poverty line with this prescribed wage rate.
Nevertheless, this is only a step in providing livelihood security to unorganised and unskilled
133
Workshop at NIPFP
Annexure-I(4) Contd.
labour in rural areas.
However, the implementation of the NREGA can energise the rural economy by not only
providing the guaranteed employment but through the process of employment creation
generating a large pool of durable assets, particularly rural infrastructure to promote growth.
Thus, in this context, asset creation and management becomes critically important. Keeping
these objectives in mind and to facilitate a better understanding of the NREGA and its
design for effective implementations, we have organised two days workshop on the broad
themes mentioned above on 19th and 20th December, 2005. The title of the workshop was
Strengthening Financial Management for Rural Employment Guarantee Scheme .
IV.
In his inaugural address, Dr. C. Rangarajan described the scheme as historic and an affirmation
of the collective desire that the benefits of growth must be broad based and inclusive.
Shri Veerappa Moily, Chairman, Administrative Reforms Commission, in his presidential
address, emphasised that though there is plethora of schemes for rural employment
generation, the NREGA brings in a paradigm shift where right to work is given a legal
guarantee. In this context, the task for implementation as emphasised by him would be to
evolve the institutional mechanisms required so that a well co-ordinated structural
mechanism can be put in place for co-operation at all levels of governments including
Panchayats and communities. To put the debate in a macro-perspective, Dr. C. Rangarajan
summarised the main issues that came up before enacting and for implementation of NREGA
in the following broad heads:
134
Should the wage rate under the EGS be the minimum wage rate, or some other rate
that will be above or below the minimum wage? What is the wage rate that will be
optimal in terms of making the scheme self-selecting?
Should the guarantee be restricted to 100 days per year or should it be open-ended?
Should the scheme be restricted to only one adult per household regardless of the size
of the household?
Should the scheme be restricted to families below the poverty line or should it be
open to all?
Should the scheme be implemented in 150 or 200 districts to start with or should it
cover entire country in one go?
What exactly will be the cost of the scheme and where will the funds come from?
Annexure-I(4) Contd.
What will be the implications of such large and open-ended commitment to managing
the revenue and fiscal deficits especially in the context of the obligations under the
Fiscal responsibility and Management Act (FRMA)?
Do we have the administrative capacity, and the monitoring and accountability systems
to implement a scheme of this size?
Given our experience with similar schemes such as food for work and drought relief,
should we not be concerned about waste, leakage and corruption, especially given the
weak monitoring systems and lax accountability mechanisms?
To what extent should the EGS focus on asset creation? Furthermore, does the focus
on asset creation erode the guarantee dimension of the EGS?
What should be the role and responsibilities of the Panchayati Raj Institutions in the
EGS? In particular, should the Gram Panchayats be the only instrumentality for
delivering the EGS regardless of the varied track record and capacity levels in PR
Institutions across the country or should we settle for asymmetric decentralisation?
As the Parliament has enacted the legislation, which guarantees at least 100 days of wage
employment on a self-selection basis, most of the issues highlighted above are settled. Now,
the issue of effective implementation assumes paramount importance. According to
Dr. C. Rangarajan, the important components involved in the implementation of the NREGA
are (a) selection of beneficiaries and the wage rate; (b) design of system and institutions for
implementation of the scheme; (c) provision of resources and the pattern of funding; (d)
capacity building for effective implementation of the scheme; (e) safeguard against corruption
with regard to the use of fund and the selection of beneficiaries.
While discussing the issues in implementing the NREGA, Amita Sharma from Ministry of
Rural Development, (the implementing ministry) highlighted that earlier Wage Employment
Programmes (WEP) have helped in many ways in stabilising wages and food grain prices in
rural areas. However, the coverage of the scheme remained poor and more than 50 per cent
of the beneficiaries were not from the most economically vulnerable sections in rural areas.
Other than these, there were issues line corruption in the form of underpayment of wages,
differential wage payment to male and female and proliferation of contractors in the
implementation of the schemes.
She emphasised unlike in the past WEP, the distinguishing feature of the EGA is that it
provides legal guarantee to individual and Governments commitment to honour that legal
guarantee within a specified time frame. It has been specified in the Act that if an applicant
135
Annexure-I(4) Contd.
under this Act is not provided such employment within fifteen days of his application seeking
employment, he shall be entitled to a daily unemployment allowance which will be paid by
the State government. This implies an in-built structure of incentive for performance and
disincentive for non-performance for the State government, as inability to provide
employment would cost the State government to pay unemployment allowance for which
there is no contribution from the Centre. In other words, individual State government will
have to evolve a well coordinated approach to equate supply of employment in accordance
to the demand. This becomes all the more important as there is no supply side selection of
beneficiaries. In this context, Ms Sharma argued the need for in-depth understanding of
region specific labour demand and its seasonality so that a demand based scheme of projects
can be implemented at a frequency matching with the demand for work instead of supply
side provisioning. Failure to do that may result in imprudent use of funds, as inability to
provide employment on demand will impose the burden of compensation in the form of
unemployment allowance to the state government. Thus, there is a need to design a
monitoring mechanism by strengthening institutional structure at local level so that resources
can be used optimally for the purpose of employment and asset creation. As it is a demand
based provisioning, the flow of resources from the higher level of governments to the
Panchayats needs to be ensured according to the demand. Thus, we need to evolve a clear
mechanism of flow of funds as needed according to the demand rather than through the
normal bureaucratic procedure. This would also require a good coordination between
providing work and provisioning of funding.
Workshop at NIPFP
V.
It is proposed to implement the scheme in 200 identified backward districts in the country
spread over 27 states. In these districts, Panchayats will be the principal agency through which
the Act will be implemented. As mentioned earlier, Panchayats will be responsible for the
identification, execution and supervision of projects as per the recommendations of Gram
Sabha and the Ward Sabhas and the Gram Sabhas are given the power to conduct regular
social audit of individual schemes. A number of questions arise in this context. Out of these
two hundred districts, some are covered under Scheduled Area Act. Of the remaining districts,
a good proportion in Andhra Pradesh, Bihar and Jharkhand is virtually under extremist control.
There are also other districts where Panchayats are simply non-existent and in many places
non-functional. There is also the problem of not having regular and dedicated functionaries for
many of the panchayats. Given these constraints, evolving a policy design and implementation
strategy for EGA becomes extremely difficult and thus challenging.
137
Workshop at NIPFP
Annexure-I(4) Contd.
Table 1: Spatial Concentration of Districts for NREGA Implementation
Number of
Districts
Andhra Pradesh
Arunachal Pradesh
Assam
Bihar
Chhattisgarh
Gujarat
Haryana
Himachal Pradesh
Jammu & Kashmir
Jharkhand
Karnataka
Kerala
Madhya Pradesh
Maharashtra
Manipur
Meghalaya
Mizoram
Nagaland
Orissa
Punjab
Rajasthan
Sikkim
Tamil Nadu
Tripura
Uttar Pradesh
Uttaranchal
West Bengal
Total
13
1
7
23
11
6
2
2
3
20
5
1
18
12
1
2
2
1
19
1
6
1
6
1
22
4
10
200
Number of Block
Number of
Panchayats
Gram Panchayats
418
6
36
208
96
49
5
7
30
127
17
3
120
111
4
4
2
6
198
10
34
2
64
5
182
13
137
1894
7763
145
254
3582
5729
2878
340
270
486
1905
590
25
7309
7585
NA
60
79
91
3425
1308
1435
0
2983
111
11048
1211
1151
61763
Annexure-I(4) Contd.
Needless to mention, these states rank low in socio-economic development of the country.
These regions are also the most backward regions in terms of rural connectivity, spread of
banking, the nature of rural power structure and the quality of governance. On the other
hand, we have districts that are to be covered in north-east region having its own special
problem. Given the heterogeneity and spatial dimension of various constraints to
implementation, certainly a uniform delivery mechanism for the entire country is not feasible.
The approach needs to be calibrated in such a way that it takes into account the region
specific constraints and needs.
Keeping the spatial dimension of the implementation in mind, the workshop deliberated on
the region specific problems by asking the individual state representatives to express their
views on the problems of implementation of NREGA in respective states. Representatives
from Andhra Pradesh, Jharkhand, Karnataka, Kerala, Maharashtra and Orissa shared their
experiences in implementing various WEP by the government including the Food for Work
(FFW) Programme in the past to draw lessons and to suggest corrective measures. These
presentations converged on the importance of the smooth flow of funds for implementation
of projects in accordance with the demand, capacity building at village level, right to
information to enable social audit effectively and accountability of functionaries and an
effective grievance redressal mechanism. It has also been suggested that to introduce the
labour bank at Gram Panchayat level as tried in Kerala as a part of peoples plan campaign
to assess appropriate demand for work and its seasonality.
On the accountability issue and the question of corruption based on the experience of FFW,
SGRY and Maharashtra EGS, K. S. Gopal emphasised that corruption begins with certain
types of profitable works being chosen followed by its costs estimation negotiated with the
Panchayati Raj Engineer. Among other things, as a solution to this he suggested computer
aided detailed cost estimates and recording of wage payments through bio-metric thumb
impression of labourers. He emphasised the need to keep contractors away in implementing
NREGA to reduce corruption significantly.
Dr. Partho Mukhopadhya emphasised the need to leverage EGA to reinvent government.
On the question of economic empowerment, asset creation and management, he emphasized
the need for digital asset register with unique project ID number and inexpensive GIS
fingerprint for each project which would also help in tracking maintenance expenditures
on project after completion. On the economic empowerment through the scheme he also
has emphasized the need for digitalising personal biometric ID for each beneficiary and this
ID would also assist in delivery of many other schemes. Presentation by Dr. Ashwin Mahesh
139
Workshop at NIPFP
Annexure-I(4) Contd.
and Krishna Rupangunta on the issue of NREGA implementation provided an IT framework
to enable decision making at the lowest possible level.
VI.
Group No.
Given the issues and constraints to implementation discussed above, the workshop deliberated
on the specific issues detailed in the Box-1. The major recommendations of each of the
groups are given in Appendix-1.
Box-1
Group No.
Subject
1.
Review of existing institutional arrangements and suggesting systems
and institutions for implementing the scheme with focus on financial
management system while taking into account the diversified and special
needs of various geographical units. Use and role of IT in effective
implementation. Convergence between departments and schemes.
Subject
2.
3.
4.
On the basis of the above discussions, it needs to be emphasised that the Administrative
Reforms Commission has the most difficult task of recommending the structure and system
for implementation of the Act. They will be interested in the operational aspects of
implementation of EGA, particularly considering the difficulties involved in designing and
implementing the operating systems. The EGA can revitalize the existing institutional
arrangement through both vertical and horizontal coordination across levels of government.
Some of the things that rural local bodies, especially the village panchayats can engage in for
effective implementation of this act are (a) demand based budgeting, (ii) advance planning
to offer work on demand and (iii) holistic and inter-sectoral planning of projects for work to
avoid duplication. The social audit through Gram Sabha as mentioned in the Act can also
help to revitalise the ineffective Gram Sabhas in many of these districts. The Gram Sabha
can play an active role in planning, monitoring and supervision of projects. There are however,
issues of activating Gram Sabhas. Along with Grama Sabhas, self-help groups, local
monitoring committees and local NGOs can also be involved in monitoring the
implementation of the schemes under this Act. To institutionalize the implementation of
the EGA, there is an urgent need for defining the clear charter of roles and responsibilities
through activity mapping, capacity building of all the agencies involved in the process of
implementation and imparting training for the purpose. By strengthening of institutional
structure for community participation in decision making, a holistic approach would evolve
towards convergence of asset creation and management.
140
Annexure-I(4) Contd.
The recommendations of the Administrative Reforms Commission could focus on the workshop
recommendations listed on the four important themes. On a general note, it seems useful to list
out the various works to be undertaken at the village level and prioritise them on the basis on the
preferences expressed in the Gram Sabha. The Gram Panchayats could then estimate the personnel
and material costs for each of the projects. Keeping the shelf of projects to be implemented will
help them to implement the programme effectively and this could help to create the required
infrastructure in rural areas to enable sustained development. Similarly, it is important to have a
shelf of projects at the block and the district levels as well. Of course, most works should be taken
up at the Gram Panchayat level. The works at block level should be considered only when Gram
Panchayat level works are inadequate to provide the required employment and the works taken
up should benefit spread of multiple villages. Similarly, the district level works should be considered
only when the village and block level works are insufficient to deal with the problem and the
works chosen should be a part of the projects involving more then one block (creating embankments
for rivers, repairs and desilting of canals etc.).
The recommendations of the working groups on four important aspects of the scheme are
listed in the Appendix. Each working group deliberated on a variety of implementation
issues and these could be considered by the Administrative Reforms Commission in making
the recommendations.
References
Hirway, Indira (2005): Providing Employment Guarantee in India: Some Critical Issues, Center For
Development Alternatives, Ahmedabad, India
Kannan, K. P (2005): Linking Guarantee to Human Development,
Weekly, October 2005.
Papola T. S. (2005):
February, 12.
,
141
Workshop at NIPFP
Annexure-I(4) Contd.
Appendix 1
Once the lists are made, the Gram Sabha should help revise/refine the lists
keeping in mind the 60/40 split in cost allocation.
Annexure-I(4) Contd.
-
2. Funds Flow
-
Payments in cash are the preferred mode, as opposed to bank accounts or other
savings accounts. Beneficiary may choose to accept the payments in cheques
instead.
3. Districts or Blocks
-
Taluk panchayats should ensure that works list prepared at one Gram Panchayat
level do not adversely affect other Gram Panchayats.
Taluk-level works should be taken up only if the Gram Panchayats works list
do not meet the demand for work in any Gram Panchayat.
Zilla Panchayat-Level
Zilla Panchayats should ensure that works list prepared at one Taluk/Gram
Panchayat level do not adversely affect other Taluk/Gram Panchayats.
142
States preferred works lists should identify the nature of work to be taken up,
but not actual projects.
The process of registration should be based on the principle of inclusion, and all
should make an effort not to exclude anyone.
Taluk Panchayat-Level
State-listed works should be taken up only if lists at lower levels cannot meet
the demand for work.
5. District Planning
District Planning Committee (DPC) being a Constitutionally mandated body, should
be made responsible for coordinating the planning process, and it is their responsibility
to ensure that the projects/schemes undertaken under different programmes including
NREGA are mutually consistent with the objectives of district planning.
The implementing agencies should be encouraged to generate work on a timerate basis, instead of piece-rate.
143
Workshop at NIPFP
Annexure-I(4) Contd.
-
The Programme Officer should ensure that minimum wages are paid for work
done on a piece-rate basis.
In some areas, payments may have to be made in part as food grains, and this
may be decided by the states.
For the purposes of this Act, food grains should be provided to the State
Governments at BPL prices.
Where the PRIs are well established, Panchayats at different levels should be
the appropriate authorities, and they should not be subordinated by program
officers.
In states in which PRIs are still be established there should be a definite program
for the constitutionally-mandated requirement to be met within three years.
Annexure-I(4) Contd.
RECOMMENDATIONS FROM WORKING GROUP 2
Group II: Transparency in implementation with regard to selection of beneficiaries,
identification of works, preparation of estimates etc.
1. Selection Criteria
Delimiting Household
When more than three adults in a household, SECOND JOB CARD should be
provided.
3. Procurement of Materials
Open Tender
Display tender names, pricing, materials etc. at REGS website (Village, Public
Display).
Tracking the entire process through IT and making the database available to
the public.
144
Workshop at NIPFP
Annexure-I(4) Contd.
Involving local doctors, teachers, journalists, human rights activists with review
every three months and facility for inspection and report to the State Councils.
8. Wages
Annexure-I(4) Contd.
RECOMMENDATIONS FROM WORKING GROUP 3
Group 3: Developing an Effective Monitoring and Evaluation System
(1) Approvals
For projects that span across multiple Panchayats, the sanction of all affected
GPs and GSs must be obtained.
Before the inception of any work, GS will be held where the estimates, objectives,
list of persons to be employed and the projected outlay will be placed before
the GS.
Develop a simple and transparent work estimation model that can be used
for estimation by the GP itself.
Short-term output (e.g., size of pond, length of road) and outcome parameters
to be defined for each project at the proposal stage the outcome can be solely
employment in emergency cases, otherwise it can reflect parameters such as
irrigated area, recharge of water table, etc.
The Programme Officer will ensure that the suggestions/ objections of the GS
will be acted upon within one week.
Provisions under the FFWP especially with respect to the forceful dispossession
may be incorporated.
146
No involvement of contractors.
(2) Estimation/Monitoring
Panel of technical experts at the block level with defined skill sets.
GPs can then choose technical experts for executing projects from this panel.
Workshop at NIPFP
Annexure-I(4) Contd.
148
Annexure-I(4) Contd.
(3) Follow Up
Uniform yardstick across states to ensure comparability, can one use the
rules provision in the act to achieve this?
Unique Identification for the Works (using GIS data to establish uniqueness).
Capacity building at the GP level, access to panel and Tech. Assistance Fund.
For Gram Sabha (GS), one should read Gram Sabha/Ward Sabha as appropriate.
Work towards automatic approval and fund transfer instead of the current
proposed replenishment process.
How to ensure that works in one GP do not suffer because funds are tied up in
other GPs?
Ensure that RTI is inbuilt into the system by proactive dissemination at crucial
stages of project.
Social Audit all records related to the project should be placed before the
Gram Sabha for audit after the completion of the works by the Implementing
Agency.
Workshop at NIPFP
Annexure-I(4) Contd.
Annexure-I(4) Contd.
The Minimum Wages Act states that wage is for the time, not quantum of
work. However, the question of asset creation also cannot be lost. The challenge
is to arrive at a balanced. A gender sensitive time and motion study is required.
Also, traditional standards do exist in every place about how much work can
be done in every day. These could be used to arrive at the output.
Consultative processes through Gram and Ward sabhas should be adopted for
preparing state Schemes. Currently, the imperative for implementing the Act is
precluding such consultation. The consultation process, however, sketchy, will
itself create awareness and capacity.
There is the further task of improving the skills of unskilled manual labour.
Panchayats could work towards organizing group of workers so as to assist
them to acquire skills and grow.
Land development should not be to develop the assets of rich people. However,
in drought and flood areas, we need to look at land development a little more
openly. Afforestation in private lands of poor people is OK.
Too much structure in Gram Sabhas should be avoided. There are other
forms of peoples consultation such as ward sabhas, Padayatras street-wise
consultations etc.
A participative citizens survey at the Panchayat level is an imperative. Data must live in the
Panchayat. Voters lists could be used as a starting point. This will also enrich the preparation
of the voters list also.
(2) Implementation
150
In planning for works, care should be taken not to reject what people have
planned at a lower level. Therefore, recommendations of the Ward Sabhas should
not be negated by Gram Sabhas and Gram Panchayats.
Annexure-I(4) Contd.
There must be a public display of muster rolls and reading of muster rolls even
if the payment is given through bank or post office.
Annexure-I(5)
Workshop on implementation of NREGA organized jointly by
eGovernments Foundation in Bangalore
List of Participants:
Sl. No. Name
1
2
Vigilance and monitoring committees are to be constituted for each work. This
is not functioning well at the moment. Every vigilance and monitoring
committee should also contain beneficiaries.
3
4
You can make things fool proof but not crook proof.
7
8
9
10
11
12
13
14
15
16
17
18
19
Shri Narayanswamy
Shri Vikram Akula
Shri G.B. Hiremaniyavar
20
21
Training
Accessing capacity
Liberalising rules to allow capacity to grow & flower.
152
Designation
National University Singapore
eGovernments Foundation,
Bangalore
Give Foundation
Mazdoor Kisan Shakti Sangathan
(MKSS)
Chairman, Board of Governors,
Institute for Social and Economic
Change
Joint Secretary, Ministry of
Panchayati Raj, GOI
Former Secretary, GOI
Leonard Cheshire International
Mindtree Consulting
Right to Food
Business Standard
Economic Times
IIM-B
eGovernments Foundation,
Bangalore
eGovernments Foundation,
Bangalore
eGovernments Foundation,
Bangalore
CEO, Chitradurg Zilla Parishad
SKS Microfinance
Director, Rural Development &
Panchayati Raj Department,
Government of Karnataka
Director, Department of Rural
Development, Government of India
eGovernments Foundation,
Bangalore
153
Annexure-I(5) Contd.
Annexure-I(6)
154
Name
Shri M. Veerappa Moily
Dr. A.P. Mukherjee
Dr. A.H. Kalro
Dr. Jayaprakash Narayan
Designation
Chairman, ARC
Member, ARC
Member, ARC
Member, ARC
Recommendations of Group 1:
Registration of households
1)
Use BPL enumeration family number (although it is for the joint family) as a
baseline for the nuclear household (if the family that registers is the same as the BPL
family), and then split it into multiple nuclear-family members. The job card should
have the nuclear family number.
2)
3)
4)
5)
Designated districts, blocks, and GPs can pilot w.r.t biometric devices and smart
cards etc. so as to come up with affordable and efficient technology led devices. The
scheme in general will use a paper based job system in order to enable fast
implementation.
6)
Project selection should include works in which women and physically challenged
can participate. NGOs can play a part. Technical resource groups are needed at GOI/
state/districts. 3 per cent of the resources at block should be assigned for the physically
challenged related works and a separate action plan put in place. Create works
where groups of physically challenged people (whether deaf or visually impaired) can
work together with training etc.
7)
8)
Muster rolls need to be numbered and issued from block. Transparent display at
work site for anyone to inspect and photocopy; payment need to be made in public;
after payment muster rolls be available for inspection; summaries need to be available
and read out in Gram Sabha. Mate writes the muster rolls.
9)
10)
Create and update eligible persons and estimate the number of beneficiaries who
should register with EGS, Choose projects based on these estimates. Projects should
be chosen at GP, block and district levels.
155
Annexure-I(6) Contd.
Capacity Building in Gram Panchayats
design block level training programmes to facilitate skills bank and skills
upgradation (forward-link the REGS).
e-procurement preferred
1)
2)
Aggregate numbers of works taken up, number of beneficiaries involved, total money
disbursed, assets created to be monitored.
3)
Job creation and asset creation need to go hand-in-hand. This is needed to have
accountability of the REGS to create useful employment to beneficiaries and assets to
the villages. Standards on project types and estimation and quality levels, will help in
this process.
4)
Educated unemployed youth (in lieu of contractor who supervises his group) need to
be recruited to help in the supervision of the works of REGS and other IT related
activities paid as project funds from skilled labour employment. They will also play
the role of motivators.
1)
Awareness generation within the community, labour groups, Gram Panchayat members
PRIs, GP Staff, MLAs and MPs peoples representative at all levels, NGOs and
women and physically challenged persons.
2)
Media kits. Ads, Celebrity Messages. Slogans to be used, I have Right to Work.
3)
4)
5)
Usability is a big issue, many earlier training programmes have not worked.
Recommendations of Group 2:
Effective Implementation
156
Annexure-I(6) Contd.
60:40 split to be adhered to at the Gram Panchayat level, with some latitude
within blocks.
157
Annexure-I(6) Contd.
Annexure-I(6) Contd.
public payment in cash with muster roll present is the time-tested method.
Verification to come from public nature of payment process.
this. All Schedule of Rates have to be updated (cannot be a markup on old schedules and is
the ceiling not the norm) and has to be area-specific. Labour productivity norms also need
to be updated and made area-specific and repeatedly checked by experts. All technical
estimates must have a bill of quantity (e.g. 200 bags of cement) and description of job (e.g.
20 feet of foundation) so that they can be monitored by villagers.
best hope of compliance with law lies in the RTI arena, and laxities in governance
will have to fixed from this angle. Grievances and information ombudsmen for
NREGA needed to marry RTI to NREGA.
Recommendations of Group 3:
Planning
Workers need to get organized so that they can come up with what programme should be
done. They should propose projects to the Sabha. The idea is to reduce the possibility of
elite capture. This is an important part of social audit. Also dont allow nominated experts
like NGOs to decide.
Old schedules also lead to fudging of muster rolls and other accounts. All bookings to be
done on basis of actual vouchers which should be made public (painted on walls, radio, etc.).
Monitoring of Works
All vouchers to be put out in the public domain for monitoring. Painting details of works
on walls is an option.
Build capacity among the people. Identify a team among the village (Lok Jumbish model)
which should come up with projects and also know how to monitor / measure.
There has to be a 5-year perspective plan for the area. Every Gram Sabha should suggest
schemes which they want taken up. So, the Panchayat will have a shelf of schemes to be
implemented.
Need to increase administrative costs to 6-8 per cent of scheme from current 2 per cent.
Try not to take up capital intensive works; and marry with other schemes if the gram sabha
accepts it for the labour component (say labour for a NHAI project). All projects must have
objectives stated upfront so that this can be monitored .
Need a solid IT system, with machine aggregation, to ensure one can see exactly where the
money is spent, and if one drill down, one can see voucher details and so on.
Put in incentive scheme for independent experts to evaluate project work, with photos if
need be.
Preparing Estimates
All estimates should be after site survey there will have to be a panel of engineers to do
158
159
Questionnaire
Annexure-I(7) Contd.
Annexure-I(7)
At present the district is taken as a unit under the Act? There may be wide
variations within the districts. Should block be taken as a unit? What would be
its implication?
2.
12.
What checks and balances are required if works are executed through the NGOs
and SHGs.
13.
How to ensure that the District Schedule of Rates is rationally prepared? Should
these be compared across districts in order to ensure uniformity?
CAPACITY BUILDING
14.
15.
What should be the priority areas for capacity building? How to prioritize
persons in the community for training purposes?
3.
How to integrate the planning process for NREGA with the district planning
process as envisaged under the Article 243 ZD of the Constitution.
16.
4.
What should be the role of the intermediate level in the implementation of the
scheme? Should the Gram Panchayat be made responsible for implementation
of all works or should the intermediate level also be given a role in
implementation of the Act?
17.
18.
19.
20.
What should be the ingredients of the training programme for the community?
21.
What should be the ingredients of the capacity building programme for the
government functionaries?
5.
6.
The Gram Panchayat has been given the key role in implementation of NREGA.
The size and population of Panchayats vary widely from state to state (or UTs)
and also within a state (or UT). Would it be desirable to group the smaller
Panchayats into viable and administrative units for the purpose of this Act?
7.
How to ensure that the works included in the shelf of projects or the once really
needed for development of any particular village? How to work out the priority
between works?
23.
Should there be a uniform reporting system for the entire country? If so the
yardsticks and the broad framework may be suggested?
24.
IMPLEMENTATION
160
8.
What mechanism of fund flow would you suggest from GOI to the Gram
Panchayats in order to ensure smooth implementation of the Act?
9.
What steps would the State / UT Government take to strengthen staff support
to the Gram Panchayats, in order to enable them to implement the Act?
25.
26.
10.
Piece rate vs Time rate. Which should be the preferred mode? What would be
the advantages and disadvantages of adopting each one of them?
27.
11.
Questionnaire
Annexure-I(7) Contd.
1.B. Questionnaire for implementation of the National Rural Employment
Guarantee Act
(For the State / UT Governments where Panchayats have not been constituted)
PLANNING
1.
At present, the district is taken as a unit under the Act. There may be wide
variations within the districts. Should block be taken as a unit? What would be
its implication?
2.
3.
How to integrate the planning process for NREGA with the district planning
process as envisaged under the Article 243 ZD of the Constitution?
4.
What should be the role of the intermediate level in the implementation of the
scheme? Should the Gram Panchayat or the village council be made responsible
for implementation of all works or should the intermediate level also be given
a role in implementation of the Act?
5.
6.
The Gram Panchayat has been given the key role in implementation of NREGA.
The size and population of Panchayats vary widely from state to state (or UTs)
and also within a State (or UT). Would it be desirable to group the smaller
panchayats into viable and administrative units for the purpose of this Act?
7.
How to ensure that the works included in the shelf of projects or the once really
needed for development of any particular village? How to work out the priority
between works?
IMPLEMENTATION
162
8.
What mechanism of fund flow would you suggest from GOI to the village
councils in order to ensure smooth implementation of the Act?
9.
What steps would the State/UT Government take to strengthen staff support
to the village councils, in order to enable them to implement the Act?
10.
Piece rate vs Time rate. Which should be the preferred mode? What would be
the advantages and disadvantages of adopting each one of them?
Annexure-I(7) Contd.
11.
12.
What checks and balances are required if works are executed through the NGOs
and SHGs.
13.
How to ensure that the District Schedule of Rates is rationally prepared? Should
these be compared across districts in order to ensure uniformity?
CAPACITY BUILDING
14.
15.
What should be the priority areas for capacity building? How to prioritize
persons in the community for training purposes?
16.
17.
18.
19.
20.
What should be the ingredients of the training programme for the community?
21.
What should be the ingredients of the capacity building programme for the
government functionaries?
23.
Should there be a uniform reporting system for the entire country? If so, the
yardsticks and the broad framework may be suggested?
24.
25.
26.
27.
163
Questionnaire
Annexure-I(7) Contd.
2. Questionnaire for implementation of the National Rural Employment Guarantee Act
(For the President Zila Panchayats)
Annexure-I(7) Contd.
12.
13.
What would be the best mode of payment to the persons employed? Through
cheque, adjustment in accounts or cash?
PLANNING
1.
2.
3.
4.
How to integrate the planning process for NREGA with the district planning
process as envisaged under the Article 243 ZD of the Constitution.
5.
What should be the role of the intermediate level in the implementation of the
scheme? Should the Gram Panchayat be made responsible for implementation
of all works or should the intermediate level also be given a role in
implementation of the Act?
6.
7.
The Gram Panchayat has been given the key role in implementation of NREGA.
The size and population of Panchayats vary widely from state to state (or UTs)
and also within a state (or UT). Would it be desirable to group the smaller
Panchayats into viable and administrative units for the purpose of this Act?
8.
How to ensure that the works included in the shelf of projects or the once really
needed for development of any particular village? How to work out the priority
between works?
IMPLEMENTATION
164
CAPACITY BUILDING
14.
Are all elected members of the Panchayats aware about the provisions of the
Act?
15.
What should be done to make people aware about their rights under the Act?
16.
What should be the priority areas for capacity building? How to prioritize
persons in the community for training purposes?
17.
18.
19.
20.
21.
What should be the ingredients of the training programme for the community?
22.
What should be the ingredients of the capacity building programme for the
government functionaries?
24.
Should there be a uniform reporting system for the entire country? If so, the
yardsticks and the broad framework may be suggested?
9.
How to ensure that the selection of eligible persons is fair and doesnt favour
the influential persons?
25.
10.
What checks and balances are required if works are executed through the NGOs
and SHGs.
26.
11.
How to ensure that the District Schedule of Rates is rationally prepared? Should
these be compared across districts?
27.
28.
165
Questionnaire
Annexure-I(7) Contd.
3. Questionnaire for implementation of the National Rural Employment Guarantee Act
(For the CEO Zila Panchayats)
9.
PLANNING
10.
The Gram Panchayat has been given the key role in implementation of NREGA.
The size and population of Panchayats vary widely from state to state (or UTs)
and also within a state (or UT). Would it be desirable to group the smaller
Panchayats into viable and administrative units for the purpose of this Act?
11.
How to ensure that the works included in the shelf of projects or the once really
needed for development of any particular village? How to work out the priority
between works?
1.
2.
Name of District:
Sl. Name of
No. Block
3.
No. of Gram
Panchayats
having banks
No. of Gram
Panchayats
having a post
office
No. of Gram
Panchayats
having internet
connectivity
IMPLEMENTATION
12.
Should there be a household identity card or individual identity card for the
eligible workers?
13.
The implementation agencies are used to execute the works as per the PWD
Schedule of Rates. This would not be suitable for works under NREGA, as the
main object here is to provide employment? How would you evolve norms for
preparation of estimates of works and for measurements?
14.
What would you suggest for ensuring that the workers are not underpaid on
the one hand and there is no corruption on the other?
4.
How to integrate the planning process for NREGA with the district planning
process as envisaged under the Article 243 ZD of the Constitution.
15.
What mechanism would you suggest to ensure smooth fund flow from National
Employment Guarantee Fund to the Gram Panchayats?
5.
Do the gram panchayats have qualified accountants and engineers? If not how
are the accounts kept by the Panchayats, and how are estimates prepared and
works executed by the Gram Panchayats?
16.
Would it be possible to have an IT enabled system for release of funds and for
monitoring the implementation? What should be the salient features of such a
system?
6.
17.
What would be the best mode of payment to the persons employed? Through
cheque, adjustment in accounts or cash?
18.
Piece rate vs Time rate. Which should be the preferred mode? What would be
the advantages and disadvantages of adopting each one of them?
19.
20.
How to ensure that the District Schedule of Rates is rationally prepared? Should
these be compared across districts?
7.
8.
166
Annexure-I(7) Contd.
167
Questionnaire
Annexure-I(7) Contd.
CAPACITY BUILDING
21.
What should be the priority areas for capacity building? How to prioritize
persons in the community for training purposes?
22.
How would you impart training to the staff employed at all levels in Panchayats?
23.
24.
25.
26.
27.
What should be the ingredients of the training programme for the community?
28.
What should be the ingredients of the capacity building programme for the
government functionaries?
Annexure-I(7) Contd.
4. Questionnaire for implementation of the National Rural Employment Guarantee Act
(For the President of Intermediate level Panchayat)
PLANNING
1.
So far most of the schemes were being implemented by the District Panchayat
or the Intermediate Panchayat. Under NREGA most of the works have to be
implemented by the Gram Panchayats. What problems do you foresee in this?
What are your suggestions to overcome these problems?
2.
3.
4.
The Gram Panchayat has been given the key role in implementation of NREGA.
The size and population of Panchayats vary widely from state to state (or UTs)
and also within a state (or UT). Would it be desirable to group the smaller
Panchayats into viable and administrative units for the purpose of this Act?
5.
How to ensure that the works included in the shelf of projects or the once really
needed for development of any particular village? How to work out the priority
between works?
168
29.
Should there be a uniform reporting system for the entire country? If so, the
yardsticks and the broad framework may be suggested?
30.
31.
What checks and balances are required if works are executed through the NGOs
and SHGs.
32.
33.
34.
35.
IMPLEMENTATION
6.
What would be the best mode of payment to the persons employed? Through
cheque, adjustment in accounts or cash?
7.
8.
9.
How to ensure that the selection of eligible persons is fair and doesnt favour
the influential persons?
10.
What should be the role of the intermediate level in the implementation of the
scheme? Should the Gram Panchayat be made responsible for implementation
of all works or should the intermediate level also be given a role in
implementation of the Act?
169
Questionnaire
Annexure-I(7) Contd.
CAPACITY BUILDING
11.
Are all elected members of the Panchayats aware about the provisions of the
Act?
12.
What should be done to make people aware about their rights under the Act?
13.
What should be the priority areas for capacity building? How to prioritize
persons in the community for training purposes?
14.
How many villages are included in the Gram Panchayat? What is the total
population in the Gram Panchayat?
2.
Does the Panchayat have Bank (Nationalised Bank, Cooperative Bank or Private
Bank)?
3.
What is the annual budget of the Panchayat for the year 2005-06?
4.
5.
15.
16.
6.
What is the staff strength of the Panchayat? How many of these are permanent
and how many are temporary?
17.
7.
18.
What should be the ingredients of the training programme for the community?
19.
What should be the ingredients of the capacity building programme for the
government functionaries?
What are the employment generation schemes which are being implemented
by the Panchayat? {Implementation means full implementation i.e.
identification of works, preparation of estimates, maintenance of muster rolls
and measurement book, and payment to the workers}.
8.
What additional support in terms of staff would the Panchayat require in order
to implement the NREGA?
9.
10.
What should be the role of the intermediate level in the implementation of the
scheme? Should the Gram Panchayat be made responsible for implementation
of all works or should the intermediate level also be given a role in
implementation of the Act?
11.
12.
The Gram Panchayat has been given the key role in implementation of NREGA.
The size and population of Panchayats vary widely from state to state (or UTs)
and also within a State (or UT). Would it be desirable to group the smaller
Panchayats into viable and administrative units for the purpose of this Act?
13.
How to ensure that the works included in the shelf of projects or the once really
170
Annexure-I(7) Contd.
20.
Should there be a uniform reporting system for the entire country? If so, the
yardsticks and the broad framework may be suggested?
21.
22.
What checks and balances are required if works are executed through the NGOs
and SHGs.
23.
24.
25.
26.
171
Questionnaire
Annexure-I(7) Contd.
needed for development of any particular village? How to work out the priority
between works?
CAPACITY BUILDING
28.
Are all members of the Panchayat aware about the provisions of the NREGA?
29.
How do you plan to increase the awareness amongst the villagers about the
NREGA?
30.
What should be the priority areas for capacity building? How to prioritize
persons in the community for training purposes?
15.
16.
31.
17.
It is stipulated that the works have to be identified by the Gram Sabhas and
implemented by the village Panchayats how would you prioritize the works?
32.
18.
How should the Panchayat monitor the implementation of works and payment
of correct wages to the workers?
33.
19.
Is it possible that funds under NREGA are used for taking up normal works
without fulfilling actual demand for employment. How would you prevent
such diversion of funds?
34.
35.
What should be the ingredients of the training programme for the community?
36.
What should be the ingredients of the capacity building programme for the
government functionaries?
IMPLEMENTATION
14.
172
Annexure-I(7) Contd.
20.
21.
What would be the best mode of payment to the persons employed? Through
cheque, adjustment in accounts or cash?
22.
Should there be a household identity card or individual identity card for the
eligible workers?
37.
Should there be a uniform reporting system for the entire country? If so, the
yardsticks and the broad framework may be suggested?
23.
Piece rate vs Time rate. Which should be the preferred mode? What would be
the advantages and disadvantages of adopting each one of them?
38.
24.
39.
25.
How to ensure that the selection of eligible persons is fair and doesnt favour
the influential persons?
40.
41.
26.
What checks and balances are required if works are executed through the NGOs
and SHGs.
27.
173
Questionnaire
Annexure-I(7) Contd.
6. Questionnaire for implementation of the National Rural Employment Guarantee Act
(For the NGOs working in the field of Rural Development)
PLANNING
1.
Should the unit of selection for the implementation of NREGA be a district or
a block?
2.
What are the areas in which NGOs can help in implementation of the scheme?
3.
What would you suggest to bring in total transparency in the implementation
of the Act?
4.
What norms should be followed for distribution of works between Gram
Panchayat, the intermediate Panchayat and the District Panchayat?
5.
What mechanism is suggested to bring about convergence between the activities
under other schemes like Bharat Nirman etc. and NREGA?
6.
The Gram Panchayat has been given the key role in implementation of NREGA.
The size and population of Panchayats vary widely from state to state (or UTs)
and also within a state (or UT). Would it be desirable to group the smaller
Panchayats into viable and administrative units for the purpose of this Act?
7.
How to ensure that the works included in the shelf of projects or the once really
needed for development of any particular village? How to work out the priority
between works?
IMPLEMENTATION
8.
9.
10.
11.
12.
13.
174
How to ensure that fair wages are paid to the workers? What would be the best
mode of payment to the persons employed? Through cheque, adjustment in
accounts or cash?
What should be the role of the intermediate level in the implementation of the
scheme? Should the Gram Panchayat be made responsible for implementation
of all works or should the intermediate level also be given a role in
implementation of the Act?
Should there be a household identity card or individual identity card?
What is the nature of works that should be taken up under NREGA?
Piece rate vs Time rate. Which should be the preferred mode? What would be
the advantages and disadvantages of adopting each one of them?
What methodology should be used to identify works? How to decide inter-se
priority within the works? Should there be a separate list of works for women?
Annexure-I(7) Contd.
14.
15.
16.
17.
18.
CAPACITY BUILDING
19. What should be the priority areas for capacity building? How to prioritize persons
in the community for training purposes?
20. Who should conduct capacity building exercise? Could NGOs be involved in
this? Could this be totally outsourced instead of being carried out by the
Government departments?
21. Should capacity building be a one time intervention or a continuous process? In
the long run how to make capacity building a part of community effort?
22. How should the awareness generation campaigns be designed? Could this be
entrusted to professional agencies?
23. How should the success of the capacity building effort be measured?
24. What should be the ingredients of the training programme for the community?
25. What should be the ingredients of the capacity building programme for the
government functionaries?
MONITORING AND EVALUATION
26. Should there be a uniform reporting system for the entire country? If so, the
yardsticks and the broad framework may be suggested?
27. How to evaluate the outcome of the implementation? What parameters/
indicators should be used?
28. How to involve citizens in monitoring and evaluation?
29. Any other suggestion for effective implementation of the scheme?
30. What mechanism is suggested at GOI level to ensure proper utilization of
funds by the State / UT Governments? What mechanism is suggested at the
state level to ensure proper utilization of funds at the district level?
175
Questionnaire
Annexure-I(7) Contd.
7. Questionnaire for implementation of the National Rural Employment Guarantee
Act
(For the Collector, where Panchayats have not been constituted)
PLANNING
1.
2.
Name of District:
S.
Name of
No. block
No. of local
councils
No. of local
councils
having banks
No. of local
councils
having a post
office
No. of local
councils
having internet
connectivity
IMPLEMENTATION
10.
11.
How to ensure that the selection of eligible persons is fair and doesnt favour
the influential persons?
12.
What checks and balances are required, if works are executed through the
NGOs and SHGs.
13.
14.
How to ensure that the District Schedule of Rates is rationally prepared? Should
these be compared across districts?
CAPACITY BUILDING
15.
What should be the priority areas for capacity building? How to prioritize
persons in the community for training purposes?
16.
3.
4.
Do all the village councils have a bank account? If not, how are funds released
to them?
17.
5.
18.
6.
19.
7.
20.
What should be the ingredients of the training programme for the community?
8.
The Gram Panchayat has been given the key role in implementation of NREGA.
The size and population of Panchayats vary widely from state to state (or UTs)
and also within a state (or UT). Would it be desirable to group the smaller
Panchayats into viable and administrative units for the purpose of this Act?
21.
What should be the ingredients of the capacity building programme for the
government functionaries?
9.
176
Annexure-I(7) Contd.
How to ensure that the works included in the shelf of projects or the once really
needed for development of any particular village? How to work out the priority
between works?
23.
Should there be a uniform reporting system for the entire country? If so, the
yardsticks and the broad framework may be suggested?
177
Assam(7)
Bongaigaon
Dhemaji
Goalpara
Karbi Anglong
Kokrajhar
Lakhimpur
North Cachar Hills
Bihar(23)
Araria
Aurangabad
Bhojpur
Darbhanga
Gaya
Jamui
Jehanabad
Kaimur(Bhabhua)
Upper Subansiri
144
93
65
81
NA
NA
85
NA
218
203
228
329
333
153
93
152
7032
2510
3237
1824
10434
3169
2277
4888
2830
3305
2474
2279
4976
3098
1569
3362
Y
Y
Y
Y
Y
Y
27.
866
1005
1396
828
1195
772
1347
1060
1178
719
706
931
1015
26.
16128
19130
15151
15359
11823
16029
18432
9700
14240
7956
7493
6539
12847
Adilabad
Anantpur
Chittoor
Cuddapah
Karimnagar
Khammam
Mahbubnagar
Medak
Nalgonda
Nizamabad
Rangareddi
Vizianagaram
Warangal
Arunachal
Pradesh(1)
25.
Andhra
Pradesh(13)
STATE/
DISTRICT
178
24.
317
165
414
69
266
362
26
113
142
194
131
238
129
170
236
198
241
219
281
204
rural
population
density
per
sq km
2,026,257 716
1,842,998 558
1,930,730 780
3,028,441 1,329
2,997,479 602
1,295,552 418
1,402,703 894
1,247,299 371
795,053
533,112
755,133
721,381
841,823
823857
128,644
39,590
1,827,986
2,720,915
2,934,845
2,014,044
2,813,010
2,068,066
3,142,579
2,286,573
2,815,304
1,920,947
1,637,227
1,836,859
2,622,792
Rural
population
9,295
9,079
8,468
9,205
9,001
8,468
15,083
8,206
8,549
8,202
9,323
NA
NA
9,692
NA
275
2,111
2,707
2,102
2,432
2,354
2,679
2,333
2,157
2,390
2,672
2,319
1,973
2,584
13
16
11
7
15
20
17
22
27
50
23
NA
NA
27
NA
49
19
19
11
19
10
21
14
9
12
11
11
7
13
Average average
popu- area per
lation
panper
chayat
pan- in sq km
chayat
13.90%
24.40%
16.20%
15.90%
32.50%
17.70%
19.20%
22.60%
10.00%
5.30%
4.30%
3.70%
2.90%
8.10%
1.30%
0.00%
19.30%
16.00%
21.10%
17.80%
20.10%
17.10%
18.20%
18.90%
18.70%
16.40%
20.60%
10.30%
18.00%
Rural
SC
population
as % of
rural
population
817, 433
630, 059
579, 952
966, 251
1, 157, 613
564, 986
547, 636
433, 639
259, 531
237, 828
254, 050
301, 889
314, 081
473857
50, 698
17, 507
930, 584
1, 457, 202
1, 489, 459
968, 520
1, 489,104
1, 085, 106
1, 702,478
1, 171, 753
1, 457, 963
1,016,756
803, 304
1, 030, 651
1, 366, 562
Total
rural
workers
64.70%
44.00%
42.90%
54.30%
47.50%
33.60%
46.20%
49.50%
20.00%
7.60%
19.60%
14.80%
23.90%
7.20%
6.50%
1.70%
36.00%
44.20%
41.40%
45.40%
37.80%
55.20%
45.10%
40.70%
45.40%
32.80%
35.30%
44.40%
43.80%
88.40%
75.40%
80.80%
80.80%
79.80%
60.10%
82.50%
78.80%
16.20%
9.70%
11.60%
27.30%
15.10%
7.70%
5.20%
0.00%
53.40%
75.10%
75.30%
80.90%
59.60%
79.90%
66.10%
66.10%
72.40%
58.80%
56.30%
74.60%
71.00%
41.38%
43.87%
56.48%
50.76%
44.19%
48.16%
32.83%
40.68%
45.07%
34.50%
57.03%
40.73%
46.54%
34.94%
57.50%
59.71%
44.32%
51.07%
42.74%
56.03%
55.57%
60.27%
65.96%
58.56%
58.83%
52.55%
69.59%
68.59%
22.14%
42.04%
42.81%
30.35%
37.40%
26.92%
40.08%
38.90%
51.16%
56.11%
51.40%
48.65%
42.65%
60.47%
59.40%
1.40%
0.10%
0.40%
0.00%
0.10%
5.20%
0.10%
2.80%
13.40%
49.50%
17.20%
57.80%
34.80%
25.00%
81.20%
95.50%
21.70%
4.10%
3.80%
2.60%
2.90%
31.00%
8.70%
5.70%
11.60%
8.40%
7.30%
11.40%
16.90%
Female
Fifth
Sixth
Rural
literacy Schedule Schedule
ST
(%) Districts Districts population
(Y=Yes) (Y=Yes)
(%)
50.89% 42.74%
53.51%
56.69%
67.46%
64.02%
56.00%
57.72%
45.53%
53.24%
57.84%
47.70%
66.31%
51.82%
58.41%
Annexure-I(7) Contd.
Annexure-IV (1)
179
180
5448
Bidar
Karnataka(5)
2861
3706
2052
6212
4044
4975
2110
9077
6147
1802
1312
3660
1491
1806
8705
7698
1599
2725
3756
9907
Bokaro
Chatra
Dhanbad
Dumka
Garhwa
Giridih
Godda
Gumla
Hazaribagh
Jamtara
Koderma
Latehar
Lohardaga
Pakur
Palamu
Ranchi
Sahebganj
Saraikela Kharsawan
Simdega
West Singhbhum
Jharkhand(20)
Doda
Kupwara
Poonch
Kashmir(3)
Jammu &
11691
2379
1674
6528
2825
Chamba
Sirmaur
Himachal
Pradesh(2)
1859
4277
Mahendragarh
Sirsa
Haryana(2)
175
129
159
181
197
156
239
161
136
358
99
80
91
67
106
225
372
132
119
87
204
262
224
115
270
219
340
321
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
2,228,743
186,729
1,480,110
462,298
1,771,915
1,857,402
1,176,652
1,511,661
667,475
613,007
708,965
619,549
539,660
411,536
1,096,073
1,051,577
1,834,913
2,174,361
1,167,340
684,485
3,450,736
819,950
3,398,361
2,016,899
1,671,253
2,757,060
2,321,544
2,123,942
3,271,338
494,699
1,644,370
2,531,766
Rural
population
207
106
406
168
339
251
79
183
38
181
121
95
127
62
155
130
117
711
620
557
986
578
1,071
856
670
861
719
552
1,126
1,117
682
1,244
rural
population
density
per
sq km
2,839
2,668
3,225
2,111
2,756
2,638
2,011
1,750
1,785
2,050
1,729
1,652
1,455
1,646
1,629
1,511
1,683
9,098
9,265
8,556
8,648
8,118
8,781
9,791
8,937
8,562
9,249
8,634
8,586
9,161
8,655
8,730
14
25
8
13
8
10
26
10
47
11
14
17
11
26
11
12
14
13
15
15
9
14
8
11
13
10
13
16
8
8
13
7
Average average
popu- area per
lation
panper
chayat
pan- in sq km
chayat
10.80%
0.50%
1.70%
1.50%
4.40%
8.50%
2.50%
20.40%
2.70%
6.60%
4.70%
4.10%
12.50%
6.90%
14.10%
9.10%
4.80%
8.50%
6.10%
16.60%
13.60%
14.70%
16.50%
21.50%
25.20%
19.60%
12.60%
19.60%
18.70%
14.40%
15.30%
20.90%
Rural
SC
population
as % of
rural
population
1, 012, 019
92, 993
765, 547
243, 514
902, 468
869, 688
646, 396
704, 132
362, 619
318, 159
387, 895
341, 600
277, 243
234, 106
549, 875
567, 825
944, 230
844, 245
381, 271
255, 726
1, 194, 986
258, 673
1, 050,814
804, 735
639, 775
929, 806
902, 081
667, 359
1, 040, 495
154, 759
702, 920
735, 938
Total
rural
workers
23.80%
28.00%
22.90%
48.80%
25.60%
28.70%
32.40%
46.00%
14.40%
43.60%
25.60%
24.50%
32.90%
26.00%
42.10%
27.70%
36.10%
64.30%
61.00%
45.90%
53.60%
51%
48.90%
45.80%
41.70%
46.90%
60.40%
42.30%
48.60%
62.20%
55.90%
42.90%
44.00%
3.30%
19.40%
54.20%
30.70%
47.30%
37.50%
53.10%
28.90%
50.80%
40.30%
34.10%
46.40%
38.90%
60.40%
33.30%
51.00%
84.70%
77.40%
79.40%
85.50%
69.40%
77.30%
80.80%
78.60%
82.30%
89.40%
74.10%
80.00%
90.80%
84.30%
77.60%
Y
Y
1,157,498
973,005
749,414
1,141,744
1,644,690
992,825
1,782,066
1,010,931
1,273,025
1,748,406
NA
412,654
NA
318,325
665,635
1,973,266
1,807,243
829,639
NA
NA
1731897
644,234
624,898
348,635
426,345
410,923
702885
823,184
Rural
population
212
340
202
556
265
246
358
479
140
284
NA
315
NA
213
369
227
235
519
NA
NA
175
55
263
208
65
145
378
192
rural
population
density
per
sq km
6,614
7,543
4,713
6,308
8,349
6,364
7,456
6,279
9,360
4,884
NA
5,158
NA
4,751
6,280
8,770
4,858
6,285
NA
NA
8,490
2,459
2,790
3,032
1,579
1,876
2,067
2,564
31
22
23
11
32
26
21
13
67
17
18
16
40
22
17
39
21
12
23
43
49
45
11
15
24
13
5
13
Average average
popu- area per
lation
panper
chayat
pan- in sq km
chayat
22.30%
14.80%
33.10%
14.90%
7.10%
24.30%
13.40%
8.70%
5.00%
15.90%
NA
15.20%
NA
3.50%
3.10%
26.50%
5.00%
5.70%
NA
NA
4.30%
9.60%
0.00%
0.20%
20.20%
30.80%
16.70%
28.20%
Rural
SC
population
as % of
rural
population
465, 569
318, 460
289, 083
350, 900
747, 184
391, 744
614, 925
412, 549
640, 099
654, 951
NA
151, 275
NA
141, 958
299, 593
762, 709
817, 749
363, 860
NA
NA
819619
301, 632
203, 274
193, 106
218, 883
211, 374
317652
381, 498
Total
rural
workers
37.01%
31.02%
48.21%
42.35%
60.11%
48.15%
53.64%
47.36%
63.82%
35.51%
62.36%
45.76%
37.01%
37.80%
51.63%
43.50%
33.30%
40.60%
16.80%
35.90%
49.10%
33.70%
48.50%
16.80%
18.70%
NA
22.50%
NA
24.40%
32.40%
45.00%
23.90%
34.00%
NA
NA
34.60%
4.30%
20.30%
3.90%
0.70%
2.70%
11.90%
28.20%
61.10%
44.50%
63.70%
22.40%
53.90%
67.90%
50.70%
69.40%
26.30%
41.10%
NA
44.20%
NA
35.90%
45.20%
67.90%
35.70%
54.20%
NA
NA
41.10%
63.73% 49.70%
70.85% 60.93%
47.17%
30.50%
52.93%
32.68%
22.91%
27.05%
27.98%
40.56%
43.15%
NA
34.03%
NA
39.88%
20.44%
30.50%
52.77%
26.78%
NA
NA
34.81%
61.98% 50.01%
62.98%
43.35%
67.49%
48.31%
39.39%
45.16%
43.73%
52.35%
58.05%
NA
52.73%
NA
53.97%
30.54%
45.67%
65.69%
37.91%
NA
NA
50.70%
8.80%
93.80%
76.80%
83.60%
30.60%
22.10%
0.10%
24.20%
82.40%
28.80%
64.50%
57.80%
22.10%
57.20%
39.10%
31.00%
57.40%
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
14.70%
16.80%
4.00%
15.00%
42.30%
15.80%
10.30%
24.30%
70.20%
12.20%
NA
0.90%
NA
60.30%
46.60%
19.70%
53.40%
32.10%
NA
NA
60.20%
12.30%
8.20%
42.40%
27.10%
1.40%
0.00%
0.00%
Female
Fifth
Sixth
Rural
literacy Schedule Schedule
ST
(%) Districts Districts population
(Y=Yes) (Y=Yes)
(%)
0.90%
2.90%
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
6.30%
3.80%
0.80%
0.00%
2.00%
0.10%
0.00%
0.10%
0.10%
4.50%
1.10%
0.10%
0.00%
0.30%
0.10%
34.54%
48.99%
31.70%
47.16%
45.43%
52.85%
33.97%
48.08%
20.59%
63.66%
54.09%
63.69%
39.60%
50.08%
57.90%
67.92%
42.17%
24.03%
18.49%
34.26%
26.56%
47.97%
35.20%
39.03%
32.64%
52.17%
23.72%
46.62%
32.69%
27.43%
21.02%
38.14%
Female
Fifth
Sixth
Rural
literacy Schedule Schedule
ST
(%) Districts Districts population
(Y=Yes) (Y=Yes)
(%)
51.26%
60.23%
45.65%
60.37%
61.50%
67.31%
45.48%
63.68%
30.01%
75.16%
65.37%
73.31%
55.39%
63.44%
70.50%
77.58%
55.37%
Y
Y
Y
Y
Y
Y
Y
Y
STATE/
DISTRICT
785
70
459
219
643
704
10757
1764
3646.1
2755.5
5219.9
7390
Banas Kantha
Dang
Dohad
Narmada
Panch Mahals
Sabar Kantha
Gujarat(6)
585
864
374
299
410
375
371
250
673
696
1090
14974
8270
17634
3385
5838
6506
4233
6604
7086
8068
15731
Chhattisgarh(11)
Bastar
Bilaspur
Dantewada
Dhamtari
Jashpur
Kanker
Kawardha
Koriya
Raigarh
Rajnandgaon
Surguja
239
126
80
399
101
387
206
187
322
251
246
381
54
190
290
3057
1884
1228
3501
1419
3172
2355
2494
3202
3229
3851
2904
443
2410
2036
Katihar
Kishanganj
Lakhisarai
Madhubani
Munger
Muzaffarpur
Nalanda
Nawada
Patna
Purnia
Rohtas
Samastipur
Sheohar
Supaul
Vaishali
STATE/
DISTRICT
181
182
Balangir
Boudh
Deogarh
Dhenkanal
Gajapati
Ganjam
Jharsuguda
Kalahandi
Kandhamal
Kendujhar
Koraput
Malkangiri
Mayurbhanj
Nabarangapur
Naupada
Rayagada
Orissa(19)
Mon
Nagaland(1)
Lawngtlai
Saiha
Mizoram(2)
Manipur(1)
Tamenglong
Meghalaya(2)
Chitradurga
Dhule
Gadchiroli
Gondia
Hingoli
Nanded
Nandurbar
Yavatmal
STATE/
DISTRICT
Ahmednagar
Amravati
Aurangabad
Bhandara
Chandrapur
Maharashtra(12)
Balaghat
Barwani
Betul
Chhatarpur
Dhar
Dindori
Jhabua
Khandwa
(East Nimar)
Khargone
(West Nimar)
Mandla
Satna
Seoni
Shahdol
Sheopur
Shivpuri
Sidhi
Tikamgarh
Umaria
Madhya
Pradesh(18)
600
493
712
645
392
219
590
717
443
234
8030
5800
7502
8758
9952
6606
10277
10526
5048
4076
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
6575
3098
2940
4452
4325
8206
2081
7920
8021
8303
8807
5791
10418
5291
3852
7073
1786
2557.1
1399.9
285
63
60
199
129
475
78
273
153
286
224
108
382
169
109
171
94
140
79
NA
NA
NA
4391
1849
3715
185
552
467
554
565
1311
501
1204
8440
8063
14412
5425
4524
10528
5034
13582
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
3,236,945
1,707,581
1,809,863
960,418
1,406,034
1,294,103
802,322
1,484,551
1,045,921
1,177,149
470,924
1,202,277
1,570,121
990,265
432,830
1,253,213
1,303,996
923466
1136056
1,150,428
1,452,145
553,860
1,273,530
2,260,907
751,007
1,243,658
1,247,954
2,278,301
1,248,925
Rural
population
190
140
179
247
123
161
138
198
119
118
71
117
149
196
106
116
141
170
113
132
178
74
188
505
352
147
211
140
183
rural
population
density
per
sq km
2,475
2,028
2,137
1,775
2,663
2,157
1,627
2,085
1,622
3,003
2,150
2,038
2,190
2,235
1,850
2,901
1,961
2,215
2,047
2,062
1,906
1,587
2,081
25,121
30,040
6,722
5,426
6,761
7,615
13
15
12
7
22
13
12
11
14
25
30
17
15
11
17
25
14
13
18
16
11
21
11
50
85
46
26
48
42
Average average
popu- area per
lation
panper
chayat
pan- in sq km
chayat
11.70%
18.60%
11.20%
17.70%
12.40%
11.70%
4.10%
17.00%
10.20%
6.90%
16.40%
19.50%
11.80%
25.00%
6.30%
11.40%
7.40%
5.60%
9.10%
24.90%
6.20%
5.80%
2.50%
17.30%
4.10%
23.70%
22.10%
25.00%
19.90%
Rural
SC
population
as % of
rural
population
1, 585, 383
816, 174
862, 701
481, 615
729, 170
630, 808
435, 959
621, 859
533, 503
574, 494
203, 810
585, 285
681, 769
489, 733
192, 528
615, 881
689, 535
470,200
545, 410
493, 905
713, 877
322, 341
692, 749
824, 232
296, 535
632, 277
597, 144
1, 101, 121
599, 371
Total
rural
workers
28.40%
62.80%
32.40%
49.30%
48.60%
37.60%
43.50%
37.00%
65.50%
40.60%
30.10%
19.30%
34.00%
17.90%
39.60%
46.10%
41.50%
29.00%
41.80%
22.60%
32.10%
29.90%
14.60%
36.80%
31.50%
37.70%
43.70%
47.10%
52.40%
1,182,871
355,347
254012
973,964
465,949
2,604,276
323,831
1,235,275
604107
1348967
982,188
469,582
2,067,756
966,496
500,652
715,702
244,062
73,620
41,230
92,337
459,412
111,499
1,243,658
1,262,062
903,033
1,057,276
833,130
2,187,195
1,109,036
2,001,060
Rural
population
180
115
86
219
108
317
156
156
75
162
112
81
198
183
130
101
137
29
29
50
124
25
147
157
63
195
184
208
220
147
rural
population
density
per
sq km
4,150
5,640
4,234
4,894
3,612
5,483
4,152
4,525
3,948
4,717
4,385
4,348
5,413
5,719
4,593
4,185
2,596
526
522
NA
NA
NA
6,722
2,286
1,934
1,908
1,475
1,668
2,214
1,662
23
49
49
22
34
17
27
29
52
29
39
54
27
31
35
41
19
18
18
NA
NA
NA
46
15
31
10
8
8
10
11
Average average
popu- area per
lation
panper
chayat
pan- in sq km
chayat
17.10%
21.90%
15.20%
18.80%
6.50%
19.90%
18.10%
17.70%
16.60%
11.30%
12.90%
21.00%
7.50%
13.60%
13.30%
13.90%
0.00%
0.00%
0.00%
0.10%
1.20%
0.00%
23.70%
6.00%
10.80%
13.20%
10.40%
18.60%
2.60%
10.00%
Rural
SC
population
as % of
rural
population
515, 640
165, 064
119604
329, 717
257, 343
1, 139, 827
135, 791
589, 735
293239
556,654
505, 923
236, 055
979, 991
488, 034
234, 000
362, 321
125, 334
34, 093
21, 010
44, 572
191, 929
50, 863
632, 277
609, 792
472, 779
533, 761
416, 052
1, 010, 495
550, 275
978, 283
Total
rural
workers
43.30%
40.80%
46%
36.40%
47.60%
43.20%
32.50%
52.50%
37.60%
39.80%
44.90%
26.80%
40.10%
54.10%
47.80%
49.90%
4.10%
6.90%
3.20%
13.40%
17.70%
1.70%
57.02%
31.35%
56.05%
39.38%
38.62%
38.48%
25.50%
61.71% 48.46%
68.81%
41.35%
66.87%
53.44%
52.70%
54.49%
37.08%
55.20%
78.20%
57.80%
49.10%
54.70%
75.82%
82.96%
73.63%
78.68%
73.07%
56.45%
82.43%
55.82%
51.03%
50.10%
51.60%
55.50%
52.70%
54.60%
49.80%
39.20%
58.70%
45.70%
42.90%
49.60%
19.50%
39.80%
51.40%
54.50%
53.10%
54.93%
58.43%
60.78%
70.11%
41.73%
62.94%
71.47%
46.20%
52.95%
59.75%
36.20%
31.26%
52.43%
34.26%
42.29%
35.61%
8.90%
18.90%
4.80%
8.80%
22.70%
40.40%
62.50%
16.70%
40.10%
54.40%
24.50%
12.90%
33.20%
4.70%
48.20%
39.10%
22.80%
76%
46.70%
4.20%
61.80%
66.60%
92.20%
54.62%
61.76%
50.64%
67.89%
51.96%
55.12%
45.55%
63.01%
46.68%
78.39%
48.61%
44.51%
39.27%
39.78%
47.56%
58.55%
28.91%
47.70%
59.23%
29.56%
36.19%
46.71%
24.81%
21.28%
38.28%
21.02%
26.01%
24.31%
Y
Y
Y
Y
22.60%
13.00%
34.50%
13.50%
56.20%
3.40%
40.10%
30.40%
54.70%
47.80%
56.50%
60.60%
59.50%
57.80%
36.30%
62.80%
94.60%
Y 95.40%
96.80%
Y 97.10%
Y 77.30%
95.40%
19.00%
33.30%
40.40%
18.00%
9.80%
10.20%
74.70%
22.10%
Female
Fifth
Sixth
Rural
literacy Schedule Schedule
ST
(%) Districts Districts population
(Y=Yes) (Y=Yes)
(%)
58.46% 49.11%
64.88%
72.08%
60.29%
78.65%
66.86%
68.52%
56.06%
74.06%
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
1.70%
17.70%
19.00%
14.10%
5.90%
22.30%
64.88%
76.21%
61.28%
68.11%
62.56%
0.00%
0.00%
0.00%
18.10%
0.00%
56.70%
64.40%
50.40%
33.80%
69.30%
71.60%
62.10%
66.70%
67.30%
50.60%
39.00%
39.20%
40.50%
47.40%
51.90%
55.30%
54.62%
58.45%
38.40%
36.84%
84.31% 79.31%
85.52% 80.80%
64.88%
67.67%
50.65%
49.54%
Female
Fifth
Sixth
Rural
literacy Schedule Schedule
ST
(%) Districts Districts population
(Y=Yes) (Y=Yes)
(%)
64.30%
35%
57.90%
50.90%
31.30%
64.30%
39.70%
27.30%
60.50%
31.20%
56.70%
63.30%
55.60%
63.30%
1308
842
847
541
528
432
10776
17048
12210
10107
3895
11443
665
417
555
558
762
349
612
90
25
185
230
337
164
9229
5422
10043
8687
8153
7470
6778
4480
2131
Palakkad
Wayanad
Kerala(2)
8440
5924
16224
6827
Chitradurga
Davanagere
Gulbarga
Raichur
STATE/
DISTRICT
183
184
9960
6882
4545
2219
3140
6227
3733
14081
5324
6259
312
190
167
65
99
146
147
514
255
170
Y
Y
Y
Y
Y
Y
Y
865
293
634
575
215
42
107
134
131
420
206
427
198
288
349
277
272
163
188
136
160
353
102
215
124
rural
population
density
per
sq km
2,301
2,874
2,418
2,370
14,674
8,196
674
587
2,223
2,245
4,084
2,669
1,864
2,076
2,295
1,989
4,290
4,332
4,016
4,633
4,637
4,303
909
4,607
5,227
4,586
3
10
4
4
68
195
6
4
17
5
20
6
9
7
7
211
15
16
25
25
34
27
45
24
37
Average average
popu- area per
lation
panper
chayat
pan- in sq km
chayat
26.90%
21.70%
28.80%
25.20%
27.20%
18.50%
17.60%
15.10%
16.00%
33.60%
21.60%
34.50%
19.20%
23.10%
29.20%
2.20%
4.10%
3.90%
15.90%
23.90%
19.20%
5.10%
36.40%
17.60%
23.50%
8.60%
Rural
SC
population
as % of
rural
population
1, 122,746
552, 650
914, 500
485, 114
303, 613
145, 847
80, 254
242, 076
120, 443
729, 741
699, 276
480, 892
409, 281
924, 770
1, 297, 445
22, 974
677, 799
505, 352
505, 808
435, 207
297, 621
946, 081
420, 394
341, 856
223, 769
559, 850
Total
rural
workers
29.40%
34.20%
28.00%
38.30%
28.20%
0.80%
2.10%
1.40%
32.20%
56.40%
49.10%
60.80%
33.90%
43.70%
50.60%
8.90%
10.80%
16.60%
23.00%
10.90%
20.60%
12.40%
19.70%
38.20%
46.40%
38.80%
5,820,469
2,957,447
2,757,002
1,306,324
2,147,351
2,794,291
3,049,528
8626883
5,133,835
2,281,090
2,070,634
3,030,865
869,916
2,990,993
1,113,926
3,622,268
1,201,369
2861695
2,760,673
835,790
553,552
1,829,536
2,586,619
2,598,337
3,186,973
1,188,089
2,288,781
Rural
population
584
430
607
589
684
449
817
613
964
364
499
913
202
500
244
897
654
373
949
166
194
405
696
567
555
175
502
rural
population
density
per
sq km
18,655
15,566
16,509
20,097
21,690
19,139
20,745
16,784
20,133
13,418
2,624
2,458
2,770
2,717
1,975
2,393
2,730
2,876
2,885
2,458
2,241
17,260
2,341
2,693
2,398
2,430
2,399
32
36
27
34
32
43
25
27
21
37
5
3
14
5
8
3
4
8
3
15
12
43
3
5
4
14
5
Average average
popu- area per
lation
panper
chayat
pan- in sq km
chayat
35.00%
31.90%
30.10%
30.40%
29.00%
40.20%
17.00%
16.80%
11.90%
17.90%
26.30%
24.40%
23.10%
34.10%
28.60%
22.90%
37.30%
27.50%
18.50%
26.70%
27.40%
28.90%
22.60%
31.40%
34.90%
48.60%
33.50%
Rural
SC
population
as % of
rural
population
1, 895,902
1, 347,945
1, 044, 448
550, 360
841, 983
1, 106, 289
1, 264, 245
34,45,916
1, 718,547
1,054, 271
807, 190
964, 431
358, 682
984, 659
431, 597
1,142, 277
478, 647
916402
957, 082
380, 698
253, 665
636, 639
878, 249
952, 059
1,012, 702
467, 647
814, 741
Total
rural
workers
67.01%
64.07%
65.22%
71.85%
69.83%
76.89%
72.66%
68.22%
64.68%
30.40%
37.20%
39.70%
40.00%
43.80%
20.50%
32.50%
34.00%
32.30%
38.40%
60.86%
59.30%
68.35%
62.12%
56.31%
53.16%
51.20%
58.60%
41.10%
65.90%
47.90%
1.20%
4.50%
3.40%
56.15%
54.84%
48.71%
61.11%
66.06%
32.70%
61.70%
60.50%
40.20%
46.60%
28.70%
40.90%
45.80%
42.00%
51.90%
55.30%
62.90%
57.90%
27.60%
54.90%
45.50%
64.40%
34.70%
62.90%
26.00%
47.50%
58.20%
57.10%
53.40%
32.40%
54.40%
32.80%
70.16%
63.84%
62.16%
64.46%
48.63%
63.62%
50.71%
75.17%
55.05%
56.14%
59.74%
60.96%
58.10%
52.64%
66.14%
59.98%
48.18%
49.39%
48.43%
49.93%
54.23%
56.10%
58.67%
55.09%
49.12%
49.96%
55.72%
Y
Y
Y
Y
0.00%
0.00%
0.00%
0.00%
0.00%
2.40%
0.30%
0.10%
56.80%
0.50%
0.30%
0.10%
0.00%
3.90%
2.40%
53.80%
77.00%
68.60%
13.40%
25.40%
28.20%
57.50%
0.00%
43.10%
10.20%
66.40%
59.73%
49.80%
52.21%
55.12%
37.16%
52.90%
41.67%
64.63%
48.33%
37.15%
44.62%
44.48%
40.65%
37.62%
50.66%
43.53%
30.80%
35.89%
30.85%
33.25%
39.57%
39.89%
42.63%
40.44%
35.08%
34.26%
42.40%
1.40%
11.10%
7.20%
18.10%
5.70%
22.40%
7.40%
9.00%
1.40%
20.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
1.30%
0.00%
0.00%
0.00%
0.10%
0.00%
0.10%
0.00%
0.00%
0.00%
Female
Fifth
Sixth
Rural
literacy Schedule Schedule
ST
(%) Districts Districts population
(Y=Yes) (Y=Yes)
(%)
42.44%
37.10%
35.64%
45.45%
51.28%
76.23% 63.00%
71.11% 54.75%
67.04% 49.76%
78.80%
71.50%
87.40%
47.70%
68.80%
71.10%
54.79%
47.28%
54.25%
Female
Fifth
Sixth
Rural
literacy Schedule Schedule
ST
(%) Districts Districts population
(Y=Yes) (Y=Yes)
(%)
44.40%
61.00%
45.90%
Notes:
24 Parganas South
Bankura
Birbhum
Dinajpur Dakshin
Dinajpur Uttar
Jalpaiguri
Maldah
Medinipur West
Murshidabad
Purulia
West Bengal(10)
789
1233
314
1101
564
1514
440
995
957
340
247
106
1105
965
1329
489
954
3,642,615
1,293,316
2,424,836
1,469,693
689,665
319,656
190,764
544,901
289,001
1,531,034
1,249,762
1,158,557
829,272
1,785,364
2,533,456
39,782
1,394,226
1,026,787
1,012,081
1,037,720
700,217
2,142,995
1,188,662
681,835
501,767
1,201,479
Rural
population
4152
3321
4316.5
5986
4565
4038
1835.9
7680
2910
5039
2849.6
4522
3717
4586
5743
6788
4558
Y
Y
Y
Y
Y
Y
Y
Fatehpur
Gorakhpur
Hamirpur
Hardoi
Jalaun
Jaunpur
Kaushambi
Kheri
Kushinagar
Lalitpur
Mahoba
Mirzapur
Pratapgarh
Rae Bareli
Sitapur
Sonbhadra
Unnao
1583
450
1003
620
47
39
283
928
130
682
306
434
445
860
1104
20
Y
Y
Y
Y
4210
4418.1
3825
2554.1
3205.9
7613.8
1781
4080
2212.3
3645
6058
2715.8
4189
6191
7250
4226
325
237
252
224
151
498
1308
148
96
262
STATE/
DISTRICT
Azamgarh
Banda
Barabanki
Chandauli
Chitrakoot
Uttar Pradesh(22)
Chamoli
Champawat
Tehri Garhwal
Dhalai
Uttaranchal(3)
Tripura(1)
Cuddalore
Dindigul
Nagapattinam
Sivagangai
Tiruvannamalai
Villupuram
Tamil Nadu(6)
North District
Sikkim(1)
Banswara
Dungarpur
Jhalawar
Karauli
Sirohi
Udaipur
Rajasthan(6)
5037
3770
6219
5524
5136
13419
3364
Hoshiarpur
Punjab(1)
6657
2337
9712
Sambhalpur
Sonapur
Sundargarh
STATE/
DISTRICT
185
Questionnaire
Annexure-V(1)
Annexure-V(1) Contd.
these forms are uniform. NREGA implementation record is also being created through
an MIS which can be accessed through www.nrega.nic.in. In this MIS templates on
financial, beneficiary and muster roll, data have been provided which have also unique
data fields. For muster rolls the data fields are names of father, husband, job card
number, name of village and Gram Panchayat, information on whether the
employment seeker is skilled or unskilled and name of the work, work ID, serial No.
of muster roll, etc.
Q.5. What is the architecture for deployment? Where will data centers be located, and
where will it be necessary to have individual PCs for data collection, storage or management?
Ans: Ideally, the data collection should be done at the point of occurrence of the
activity. In case of NREGA, as most of the data is generated at the village level so data
collection or digitization of data should also be at the village level. But due to
availability of inadequate infrastructure at this level, the data collection is being done
currently at the Mandal/block level. For which between 2-4 computers have been
provided by the State Government. The MIS for NREGA has the functionality of
operating in on-line or in off-line mode. In most States, keying in of data is being
done at the block level. This data gets stored in a central server located at Delhi.
Q.6. What suo motu disclosures under the RTI law will be made at each level of
government, and at what frequency?
Ans: NREGA has built in transparency mechanism which requires data to be put
regularly in public domain and the citizens have right to demand relevant records.
The foremost mechanism of transparency is social audit by Gram Sabha. Chapter 11
of the Operational Guidelines provide detailed methodology or transparency and
accountability in implementing NREGA at various levels of implementation.
Q.7. A number of rules and guidelines have been established under the Act, such as for
example the priority of works to be taken up, the timeliness of payments, maximum eligibility,
etc. Will it be possible to track compliance with these rules in real-time?
Ans: It would be possible to track compliance with the help of technology.
Information technology based MIS will be able to track all the activities of NREGA,
for instance, the priority of works under NREGA is assigned by the Gram Sabha,
which is then recorded in the perspective plans. Through this MIS, the number of
days of employment provided, timely payment of wages can also be tracked. The
MIS of NREGA has functionality to generate alerts as well, pertaining to critical
187
Annexure-V(1) Contd.
activities, for instance, on completion of a labourers 100 days of allotted entitlement,
system generates an alert. Similarly, a labourer who is not provided employment within
15 days of demanding employment would be entitled for unemployment allowance.
All these activities would generate alert.
Q.8. Is a Geographic Information System for the visualization of NREGS data being
developed?
Ans:
Q.9. Are rankings of districts being developed to monitor performance under the Act? If
yes, what are the criteria used? Are the rankings public?
Ans: The outcome based monitoring system is being developed, for which modalities
and indicators are being identified and developed. Once these are formulated, then
rankings of districts on the basis of the tangible outcomes would be possible.
Annexure-V(2)
As a first step, the Ministry of Panchayati Raj has analysed the State laws
and is persuading the State Governments to implement the Act. The
Ministry should immediately (within three months) finalize and issue
guidelines for implementation of PESA and suggest specific State related
provisions and guidelines.
(ii)
(iii)
(iv)
(v)
Q.10 How will payments be made, and monitored? Can each transaction be individually
located and scrutinized by Central and State authorities?
Ans: Payments are generally being made in cash before the community. But the
operational guidelines have provisions to make payment through banks or post offices
as well. Different States are pilot testing modalities according to the available
infrastructure of delivery.
Q.11. How will implementers know how much money they have for works taken up? Can
replenishment requests be made online? Will replenishment be automatic based on pre-set
trigger levels?
188
189
Annexure-V(2) Contd.
(vi)
190
Annexure-V(2) Contd.
preferential treatment in accommodation and education. This is a matter
that must be looked into urgently before the commencement of the
Eleventh Plan and all expenditure in this regard should be treated as
charged expenditure under Article 275 of the Constitution an Article
that has remained uninvoked for decades.
7.7
(b)
192
(c)
(d)
(e)
There is a need to provide special support for primitive tribes, for which
a certain percentage of funds could be retained at the State level for
working out and financing the special schemes.