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LATEST NEWS UPDATES | MGNREGS to be demand-driven, focus on durability by Gunjan Pradhan Sinha

MGNREGS to be demand-driven, focus on durability by Gunjan Pradhan Sinha

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published Published on Sep 12, 2011   modified Modified on Sep 12, 2011

The ministry of rural development is mulling over changes in the implementation guidelines of the country’s largest rural employment guarantee programme, the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS).

The ministry has constituted a committee to be chaired by member Planning Commission Mihir Shah that will look into issues such as ensuring legal compensation for not providing work on demand, reducing distress migration from rural areas, cutting down on delays in payments to workers and improving the quality of assets created.

“A number of challenges to effective implementation of the scheme have been identified by the government and these are expected to be taken up by the thirteen member committee under Shah,” a senior government official said.

MGNREGA promises to compensate any person not provided work within 15 days of application. On the ground, however, compensation is rarely given. The ministry wants a mechanism that will make it mandatory for states to take stock of the work demand and provide compensation if the demand is not met. The government is already considering issuing dated receipts to applicants, and penalising officials who do not comply.

Another major challenge is tackling distress migration of labour by making work provided under the scheme and the concomitant labour budgets, demand -driven. Currently, labour budgets are supply-driven — determined by the capacity to provide work.

The scheme has also been plagued by delayed payments owing to the lack of sufficient post offices and banks. To address this, it has been suggested that the business correspondents model needs to be strengthened.

In addition, spending 60 per cent on wages and 40 per cent on materials as mandated, has led to a compromise in the quality of assets with some states implementing it too rigidly. It has been suggested that the ratio of spending between wages and materials be maintained for over all projects at the district level.

Most projects aimed at asset creation, executed under the scheme barely last one year and this needs to be changed, say officials. In addition, the scheme needs better grass root planning as suggested by the Plan Panel earlier to create durable and productive assets.

The Indian Express, 9 September, 2011, http://www.indianexpress.com/news/mgnregs-to-be-demanddriven-focus-on-durability/843794/0


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