New Delhi : Notwithstanding objections by many National Advisory Council (NAC) members to cash transfer-based food subsidy, the Empowered Group of Ministers (EGoM) has approved to provide for “cash transfers and food coupons”, among other options, in the proposed food security Bill. The EGoM, which met under Finance Minister Pranab Mukherjee’s chairmanship earlier this week, also approved “leveraging” aadhaar for unique identity numbers for “proper targeting” of food entitlements. Section 31(3)(g) of...
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Power centre or toothless body? by Akshat Kaushal
Why is the ruling party unable to pass 3 very important bills? The National Advisory Council draws its exalted status from the fact that UPA Chairperson Sonia Gandhi heads it. But its inability to get its way on three new Bills indicates that its influence is waning. A couple of weeks ago, the Sonia Gandhi-led National Advisory Council (NAC) cleared the drafts of two significant Bills — the Food Security Bill and...
More »Who will catch the cop? by Sreelatha Menon
Last week, an enterprising resident welfare association in Ghaziabad organised a registration camp for unique identification (UID) numbers. It found people queuing up till midnight for a week with infants, grandmothers and some with domestic workers in tow. No one had a clue as to how UID was different from the several other identity documents each of them had been scrupulously accumulating and treasuring. They were initially informed that all they...
More »What the UID project will not do by Vishv Bandhu Gupta
The concept of “a ubiquitous magic plastic” that bring out the unique in a living person has caught the fascination of most of us. An unpopular government sees in it the ability of cutting a long red tape short to correctly identify the genuine citizens in need. The agonised cops of India see in it a great ally to apprehend the much-wanted terrorists, whose biometric data could now be verified...
More »Cash Transfers as the Silver Bullet for Poverty Reduction: A Sceptical Note by Jayati Ghosh
The current perception that cash transfers can replace public provision of basic goods and services and become a catch-all solution for poverty reduction is false. Where cash transfers have helped to reduce poverty, they have added to public provision, not replaced it. For crucial items like food, direct provision protects poor consumers from rising prices and is part of a broader strategy to ensure domestic supply. Problems like targeting errors...
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