The finance ministry has put its seal of approval on a proposal to directly transfer subsidies to the bank account of a beneficiary that is linked to her Aadhaar, or unique identification (UID) number. The government has previously articulated its desire to experiment with direct transfers to make its management of subsidies more efficient and ensure benefits actually reach the targeted people. In a notification issued on Tuesday, the finance ministry extended...
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People prefer PDS over cash transfers
What is government planning to do with the Public Distribution System (PDS)? The answer lies in an old adage: Give a dog bad name and hang him! The common impression is that the PDS is not working because of pilferage and hence it is taken as a foregone conclusion that it needs to be replaced with cash transfer. Two empirical studies conducted recently, one of them by noted economists Jean Dreze...
More »Jairam: Fine lax state officials under NREGA
-The Times of India Rural development minister Jairam Ramesh said states should invoke the penalty clause against government officials for not doing their work under the job scheme. Ramesh said rules should be framed to activate section 25 of MGNREGA, which seeks to impose penalty of up to Rs 1,000 on lax officials. He said the clause has remained dormant in most states. Reforms to make the job scheme effective have...
More »Direct Disbursement of food subsidy in cash under examination
-PTI The centre is examining the proposed scheme for direct Disbursement of food subsidies in cash, instead of foodgrains under the Targeted Public Distribution System (TPDS), as demanded by some states. The final contours of the scheme will be worked out in consultation with concerned agencies like the ministry of finance (department of expenditure) and planning commission, food and consumer affairs minister K. V. Thomas has said. The governments of Uttar Pradesh, Haryana...
More »Reported corruption in MGNREGA just tip of iceberg: Parliamentary panel
-PTI A Parliamentary standing committee has found discrepancies in MGNREGA wage distribution system and feels that reported number of corruption cases related to it is a just tip of the iceberg. “The number of corruption cases as reported is just a tip of the iceberg and the real situation in this regard may be more serious,” the committee said in its report on wage Disbursement to labourers under MGNREGA by Post Offices...
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