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Opinion
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Stories in this Section
Opinion - Leader Page Articles Dispirited markets
Measure for measure
Governance reform key to NREGA success Governance reform key to
NREGA success
Mihir Shah Russia strikes back
Corrections and clarifications
The same implementation structure that has failed rural Rising anxieties over
premiership battle
development over decades cannot be deployed for the radically
Narmada Valley rehabilitation
new programme promised by NREGA. work: let right be done
Meghalaya politics
Barely two years on, there is a clamour for scrapping the Employees strike
National Rural Employment Guarantee Act (NREGA). The Jihad in Kerala
chorus is led by no less than the Chief Minister of one of India’s Indian hockey
most populous and backward States. We live in a strange
country. We have fanatics who want to put up barricades to Archives
debar “outsiders” from entering our metros. Others suggest Yesterday's Issue
that speaking for the farmer is “the idiocy of urban thinking” Datewise
(Sagarika Ghose, H industan Times, February 15, 2008). They Features:
repeat ad nauseam what Indian planners have been trying for Magazine
the last 50 years — unabated urbanisation and industrialisation Literary Review
as the panacea. Agriculture can continue to be the “bargain Metro Plus
sector,” especially now that the Indian economy grows fast Open Page
even when agriculture stagnates. Education Plus
Book Review
Such a view is completely blind to the deepening distress in Business
rural India. A policy tried for 50 long years has not worked. SciTech
Even during the reforms era, over the last 15 years, India has Friday Review
had an unacceptably high proportion of malnourished women Cinema Plus
and children that refuses to come down. Thousands of farmers Young World
have committed suicide, a phenomenon unprecedented in the Property Plus
history of Indian civilisation. Surely, it is time for a change, Quest
time to recognise the centrality of agriculture, which the World
Bank too has recently woken up to. This is not to deny the role
of industrialisation and vibrant metros. But to emphasise the
deep complementarities between industry and agriculture, town
and country. These are not just the narrow input-output ratios
of economists; they are also bonds social, cultural and
ecological that hold a nation together.

Our cities are bursting at the seams, crumbling under the


pressure of providing even basic amenities to their inhabitants.
But the answer cannot be xenophobic hysteria. While improving
urban habitats, we need to better conditions in villages so that
there is less distress migration in search of work to urban India.
Having lived for nearly two decades in a tribal area steadfastly

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moving forward on a path of sustainable rural development


(rejuvenated watersheds, thriving “rainbow” agriculture,
Government empowered women, vibrant markets, clean air, cell phones,
Job Openings internet connectivity and good roads), I can even foresee a
Apply for Jobs in time when there is a reverse migration to villages, in search of
the Government a better life, more wholly understood.
Sector. 100% The contribution of agriculture to national income has fallen
Free, Register dramatically in recent years but more than 600 million of our
Now! people still depend on farming. This is not a small number that
www.Quikr.com/Jobs can be just wished away. In fact, the growing divergence
between the share of agriculture in GDP and in the workforce,
Corporate alerts us to the urgent imperative of raising farm productivity
Governance in India, which languishes way below potential. On a sound
Get Corporate agrarian base, we can build a whole range of other location-
Governance info specific, nature-based rural livelihoods.
for free, from Herein lies the potential of NREGA. It ranks among the most
IndustryWeek powerful initiatives ever undertaken for transformation of
www.IndustryWeek.com
livelihoods in rural India. The unprecedented commitment of
financial resources by the largest employment programme in
Development human history is matched only by its imaginative architecture.
Economics The emphasis on planning of works and mechanisms of social
MA in audit means that quality of works is centrally important. This is
Development not a welfare programme dishing out doles. It is a development
Studies Institute initiative, chipping in with crucial public investments for
creation of durable assets, which can provide the much-needed
of Social Studies
momentum to growth in the most backward regions of India.
Holland The thrust is on construction of earthen dams, bunds and ponds
www.iss.nl
as part of a watershed development strategy. On this
foundation of water security, can be built a sustainable village
development plan that includes a rejuvenated agriculture and
allied rural livelihoods.

Perhaps the most remarkable feature of NREGA, making a


decisive break with the past, is the complete ban on
contractors. Ever since independence, most government
programmes in rural areas have been implemented through the
agency of local contractors, who have emerged as major agents
of exploitation of the rural poor, especially women. They have
run roughshod over basic human rights, paid workers a pittance
and used labour-displacing machinery. NREGA bans the use of
such machines, mandates payment of statutory minimum
wages and provides various legal entitlements to workers. It
visualises the involvement of local people at every stage —
planning, implementation and social audit. All of this is
obviously incompatible with programmes where the main goal
becomes maximisation of profits of the contractor.
New chapter

The radical provisions of NREGA signal the possible


inauguration of a new chapter in rural governance. But a
radically new programme also makes dramatically new
demands from the system. A bureaucracy that has its hands full
with a whole host of pre-existing responsibilities can hardly
muster the imagination and energy required by NREGA. In the
main, rural development in India has not been seen as
requiring full-time professional inputs. The abiding notion is of
welfare-oriented, routine administrative work. Over the last 20
years, politicians so committed to an agenda of reforms for the
corporates, appear to have absolutely nothing to offer to their
main constituency, the rural poor. On the contrary, with
pressure on the state to shrink, expansion of programmes
(whether health, education or NREGA) is increasingly
attempted with under-staffed establishments, using under-paid,
poorly qualified “worker-volunteers.” Corners must be cut when
it comes to the rural poor. Anything for them, it appears, can
be of the lowest quality.

The 73rd Amendment raised hopes that the issue would be


addressed by taking democracy to the grass roots, with the

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empowerment of Panchayati Raj Institutions (PRIs). One of the


reasons this has not worked is the meagre funds devolved to
PRIs. They have not been provided with an adequate support
Domains for Rs
system either. Post-NREGA, all over the country there is
50/- only palpable excitement among PRIs (the main implementing
Free DNS, Web agency) which have never before seen this volume of funds
Forwarding being transferred to them. The problem is that the support
Unlimited Hosting structure needed by PRIs to properly utilise these funds is still
for INR 300/- missing.
www.indialinks.com/domains
In a study recently published in the Economic and Political
Weekly (February 23, 2008), my colleagues Pramathesh
Ambasta, P.S. Vijay Shankar and I have worked out a detailed
सरकार नौकर blueprint of the reforms needed to make NREGA a success. This
blueprint can form the core of a meaningful response by the
अपना CV डाले और government following the weaknesses recently identified by the
Comptroller and Auditor General. We have carefully catalogued
आज ह apply कर ! all the tasks involved in effective NREGA implementation. We
www.HTJobs.in/Employment_News
find that both the number and quality of human resource
deployed so far are completely inadequate. Governments have
failed to recognise the enormous diversity of skills required to
Jobs in NGOs, execute the work with speed and quality. There is need for a
large number of full-time professionals, many of whom could be
UN, Charity recruited from the open market, while strictly enforcing their
1500 jobs in Rural accountability to PRIs. We call for a nationwide movement of
Dvlp, ICTD, Aid capacity building so that a massive cadre of fully trained
Micro-Finance, “barefoot professionals” is developed at the gram panchayat
NRM, Agri, level. Much greater use of information technology would be
Gender critical for transparency, accountability and speed at all stages,
devnetjobs.Tripod.com from sanction of works, release of funds and wage payments to
social audit. Outmoded Schedules of Rates need to be revised,
Public Sector to bring them in line with a new programme that bans
Directory machines and contractors.
FREE Online
The government should also mandate a role for civil society
Directory of
organisations (CSOs) to work as support agencies for PRIs in
Officers plus Key NREGA planning, implementation and social audit. This would
Suppliers and help institutionalise the CSO-PRI partnership, putting pressure
Contractors on both CSOs and PRIs to learn to work together. Strictly
www.public-sector.co.uk
speaking, these reforms should have been in place well before
NREGA was launched. But it is obviously better late than never.

The expenditure entailed in these reforms must be regarded as


“investments” and not administrative overheads or
contingencies, as currently understood. Without these inputs,
NREGA appears almost programmed to fail. On the other hand,
a very small investment in the support structure could make a
big difference in transforming NREGA outlays into enduring
outcomes. Our detailed calculations show that professional
support costs come to no more than 6 per cent of the total cost
of NREGA works, while the capacity building effort would take
just 2 per cent. In addition, 1 per cent needs to be set aside for
monitoring and evaluation. We show that pure administrative
expenses can actually be kept as low as 1 per cent of cost of
works.

Reformed on these lines, the NREGA has the potential to not


only transform livelihoods but also herald a revolution in rural
governance. Of course, neither a professional system nor a
vigilant public is by itself sufficient to guarantee an accountable
democracy that actualises development for the poor. Both need
to grow organically in tandem with each other.

(The writer is co-founder, National Consortium of Civil Society


Organisations supporting Panchayati Raj Institutions in planning,
implementation and social audit of NREGA works.)
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