Context & The Gist
The article discusses the proposed Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G) Bill, intended to replace the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). The Bill has drawn criticism for potentially undermining the decentralized, demand-driven nature of MGNREGA and centralizing control with the Union government. The core argument is that this shift represents a move away from the principles of Gram Swaraj and could negatively impact rural employment and wage levels.
The central thesis is that the VB-G RAM G Bill is a detrimental alteration of a successful scheme, motivated by ideological considerations and a desire to reduce the autonomy of states in development initiatives. The article highlights concerns about funding patterns, the potential for reduced state participation, and the shift from a demand-based to a supply-driven framework.
Key Arguments & Nuances
- Shift in Control: The Bill moves from MGNREGA’s decentralized structure to a centrally sponsored scheme, giving the Union government greater control over decision-making and allocations.
- Funding Changes: The existing scheme fully funded wage payments; the new Bill proposes a 60:40 Centre-State funding pattern, potentially straining state finances.
- Demand vs. Supply: MGNREGA is demand-driven, guaranteeing work to those who seek it. VB-G RAM G proposes a supply-driven approach with capped allocations, potentially limiting access to employment.
- Ideological Motivation: The name change is seen as an attempt to distance the scheme from Mahatma Gandhi’s legacy, given the RSS’s historical differences with him.
- Limited Impact of Increased Workdays: While the Bill proposes increasing workdays to 125, the article points out that actual utilization of 100 days of work has been low in recent years.
UPSC Syllabus Relevance
- GS Paper II: Polity & Governance – Issues relating to the development and management of the Rural Economy, Centre-State relations.
- GS Paper III: Economy – Government policies and interventions for development in various sectors, including rural development.
- GS Paper II: Governance – Welfare schemes for vulnerable sections of the population by the Centre and States and the performance of these schemes.
Prelims Data Bank
- MGNREGA (Mahatma Gandhi National Rural Employment Guarantee Act): Launched in 2005, it guarantees 100 days of wage employment to rural households.
- Gram Swaraj: A concept advocated by Mahatma Gandhi emphasizing self-sufficiency and democratic decentralization at the village level.
- GST (Goods and Services Tax): A comprehensive indirect tax levied on the manufacture, sale and consumption of goods and services across India. Restructuring of GST can impact state finances.
- Centrally Sponsored Schemes: Schemes where funding is shared between the Central and State governments.
Mains Critical Analysis
The proposed VB-G RAM G Bill presents a complex set of challenges and opportunities for rural India. A PESTLE analysis can help understand the implications:
- Political: The Bill reflects a shift in political priorities, potentially prioritizing centralized control over decentralized empowerment. Opposition from states like Tamil Nadu and Kerala indicates potential political friction.
- Economic: The altered funding pattern could strain state finances, especially given concerns about GST restructuring. A supply-driven approach might lead to underutilization of funds and reduced rural wages.
- Social: The shift away from a demand-based scheme could disproportionately affect vulnerable populations who rely on MGNREGA as a safety net.
- Technological: The Bill doesn’t explicitly address technological advancements in rural employment monitoring or payment systems.
- Legal: The Bill’s constitutionality, particularly regarding the extent of central control over a subject traditionally within state purview, could be challenged.
- Environmental: The Bill includes a provision to avoid work clashing with farm work, which could be seen as a positive step towards sustainable rural development.
Core Issue: The fundamental issue is the erosion of the principles of decentralized planning and demand-driven employment that underpinned MGNREGA’s success. The shift to a centrally controlled, supply-driven model risks undermining the scheme’s effectiveness and reducing its impact on rural livelihoods.
Critical Gap: The Bill lacks a robust mechanism for ensuring that the increased workdays are actually utilized, and it fails to address the underlying reasons for low utilization rates under MGNREGA. Furthermore, the potential impact on state finances has not been adequately considered.
Value Addition
- NREGA Advisory Council: Established under MGNREGA to provide guidance and oversight. The Bill’s impact on the role and function of this council is unclear.
- PUCL vs. Union of India (2006): This SC case affirmed the right to livelihood as a fundamental right, strengthening the legal basis for MGNREGA.
- Best Practice: The success of MGNREGA in some states demonstrates the importance of strong local governance and community participation.
The Way Forward
- Reconsider the Bill: The government should reconsider the VB-G RAM G Bill and engage in meaningful consultations with states and civil society organizations.
- Strengthen MGNREGA: Focus on addressing the existing challenges within MGNREGA, such as delayed wage payments and inadequate monitoring, rather than replacing it with a fundamentally different scheme.
- Ensure Adequate Funding: Guarantee adequate and timely funding for rural employment programs, ensuring that states have the resources to meet the demand for work.
- Promote Decentralization: Uphold the principles of decentralized planning and community participation in rural development initiatives.