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LATEST NEWS UPDATES | MoRD report raps state on NREGA fund utilisation

MoRD report raps state on NREGA fund utilisation

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published Published on Jun 3, 2010   modified Modified on Jun 3, 2010


The poor utilization of funds meant for rural development continues unabated in Orissa, especially in the backward districts of the state.

The pointer to this fact is the gross under-utilization of the funds under Mahatma Gandhi National Rural Employment Guarantee Act (MG-NREGA) in Kalahandi, one of the poorest districts in the state and the country.

Out of the total available fund of Rs 56.6 crore for the district under MG-NREGA including the Central and the state government's share, Kalahandi district could spend only Rs 11.9 crore till the end of January this year, says a report by Ashwani Kumar, member of the Central Employment Guarantee Council under the Union ministry of rural development (MoRD).

The report has termed the under utilization of funds in Kalahandi as really atrocious, considering the widespread poverty in the district.

The report has pointed out that based on the data analysis of the MoRD, the employment generation record in Orissa compared to the cumulative number of households that have been issued job cards is dismal.

Besides, there have been complaints regarding delay in payment, non-payment of unemployment allowance and alleged violations of various transparency provisions in the NREGA Act.

Rebutting the Orissa government's claim of the lack of demand for MG-NREGA work in the state, the report says that the government's claim is a myth as in a state where hunger and distress migration, especially forced by notorious labour contractors are endemic, especially in the KBK (Kalahandi, Bolangir and Koraput) region, the demand for NREGA work from the BPL (Below Poverty Line) families should logically and naturally exist.

It would not only be counterintuitive but also preposterous to imagine that the poor tribals refuse to demand NREGA work and prefer to reel under poverty and hunger in a state where 15 out of the 30 districts were hot by drought in 2009, the report said.

According to the state government's claim, out of 235,897 job card holders in Bolangir district, only 44,450 demanded work and 43,791 households have been actually given work in 2009-10.

However, the Ashwani Kumar report informs that only 1902 households have completed 100 days of work in the district and 5299 days of unemployment allowances are still pending. This suggests that even if the demand exists, the state government not only fails to provide timely work but also fails to provide unemployment allowances in violation of the NREGA Act.

Similarly, in Kalahandi district, only 186 households completed 100 days of work out of 269,834 job card holders with 5625 days of pending unemployment allowances in 2009-10.

Considering the lingering history of chronic poverty in Kalahandi, the report states that 5625 days of pending unemployment allowances is a complete breach of Section 7 of the NREGA Act and is akin to committing day light robbery.


The Business Standard, 3 June, 2010, http://www.business-standard.com/india/news/mord-report-raps-statenrega-fund-utilisation/396751/


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