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Just two months from now — on April 1 2008 — the government will meet one of
the biggest organisational challenges any government has ever faced — the
extension of the National Rural Employment Guarantee Act (NREGA) to the
entire country. This is one of the most ambitious development programmes in
the world, set to embark soon on a decisive new phase. Has the groundwork
been done for this?

During the last two years, we have been involved in a series of
NREGA-related activities (social audits, field surveys, training programmes,
etc.) in seven states: Andhra Pradesh, Chhattisgarh, Himachal Pradesh,
Jharkhand, Orissa, Rajasthan and Tamil Nadu. Consistent with the secondary
data available, we have observed a highly uneven picture of NREGA
implementation in different parts of the country. There are states and
districts where unprecedented amounts of employment have been generated, and
the Act has shown its ability to be a new lifeline for rural communities.
For instance, in 2006-07, the NREGA generated as many as 77 days of
employment per rural household in the six districts of Rajasthan where the
Act applied. In many other states, employment is still quite limited, and
there are many procedural issues, as the recent draft CAG report
illustrates. Nevertheless, in all the states mentioned above we have
observed that the enactment of NREGA has initiated a paradigm shift in the
standards of implementation of public works schemes. For instance, the Act
has made it possible to confront a range of exploitative practices such as
the non-payment of minimum wages, chronic delays in wage payments, the use
of labour displacing machines, and the illegal contractor system. Further,
NREGA has started setting new standards of transparency of accountability,
enabling people to fight corruption not only in public works schemes, but
also — potentially — in other development programmes. It is this broad trend
of positive change that gives hope in the possibility of implementing the
Act in letter and spirit across the country.

Having said this, the forthcoming extension of the NREGA presents new
challenges, and there is a risk that it might boomerang unless adequate
preparations are made to face them. That, indeed, is the real message of the
draft CAG report, widely misrepresented in the media as an indictment of the
Act. The experience of the last two years needs to be understood and built
upon to ensure the success of this "new phase" of the programme.

According to official data, the NREGA was employing nearly three million
workers on an average day in 2006-07 (when the Act was in force in 200
districts). As the Act is extended to the whole of rural India, this could
rise to 10 million or so — the largest public works programme ever.  These
numbers need corresponding support structures, especially as the NREGA is a
law that creates legal responsibilities to deliver. For instance, the
financial allocation for administrative expenses urgently needs to be raised
from the present, meagre 4 per cent to 6 per cent at the very least.
However, it is not just a question of financial resources. Adequate
administrative, legal, technical and institutional support structures are
also essential. In their absence, there are likely to be multiple failures
in the delivery system, and these will be invoked once again to argue
against the Act itself.

This challenge, however, can be turned into an opportunity. The success of
the NREGA depends on sustained attention to details of a range of practical
arrangements, such as the distribution of job cards, work application
procedures, technical planning, worksite management, staff training,
record-keeping, social audits and much more. This could be done in a
creative manner, where systems are put into place supported by the pool of
resources and skills available at the local level. For instance, recent
experiments in Rajasthan have shown that the shortage of technical staff can
be overcome by creating a cadre of trained worksite supervisors drawn from
the community. This could lead to major improvements in worksite management
without having to set up a new bureaucracy. Similarly, creative use of the
Gram Rozgar Sevak (the NREGA assistant at the panchayat level) could go a
long way in ensuring sound record-keeping as well as strict implementation
of the transparency safeguards.

The state governments have a crucial role to play in the process of
preparing for this new phase of NREGA. Recent experience shows that where
state governments have taken active interest in the Act, wide-ranging
initiatives have emerged, making it possible to provide work and create
productive assets on a massive scale. However, many states continue to have
a casual attitude towards the Act. This is startling as 90 per cent of the
expenditure is borne by the Centre. The state governments have never had
such a good opportunity to pursue rural development goals without having to
worry about the financial burden.

The Centre, for its part, has a mandate to ensure that all rural households
are able to exercise their right to employment under the Act. It can perform
both regulatory and constructive roles in this regard. The regulatory role
involves framing the guidelines and rules that flesh out the
responsibilities of states. The constructive roles are potentially
wide-ranging. Aside from providing adequate funds, they include developing
communication and training tools, putting in place record-keeping systems,
providing technical resources, facilitating mutual learning between states,
conducting or sponsoring evaluation studies, monitoring the implementation
of the Act guidelines, and so on.

The Central Employment Guarantee Council (CEGC) was expected to facilitate
many of these roles. Unfortunately, it has been kept on 'standby' mode most
of the time during the last two years.  Recent CEGC delegations to
Jharkhand, Tamil Nadu, Orissa and Uttar Pradesh have been very productive,
and demonstrate the scope for further initiatives of this kind, as well as
for activating the council in other ways.

By default, the immense burden of overseeing this 'flagship programme' rests
on the frail shoulders of a small team of overworked civil servants at the
Ministry of Rural Development. This crucial support base of NREGA needs to
be expanded into a full-fledged 'Employment Guarantee Mission', with strong
political mandate and a full secretariat.

But ultimately, what needs to be activated most of all is the political
leadership. The NREGA presents unique possibilities for grassroots political
mobilisation and organisational work. This opportunity exists for both
ruling parties and opposition groups. It is a telling commentary on the
state of Indian democracy that, with few exceptions, political parties
across the spectrum have — so far — failed to seize this opportunity.

This point applies even to the parties that took the initiative of enacting
the NREGA. In fact, there is a schizophrenia about the attitude of the UPA
towards the Act. On the one hand, political leaders parade NREGA as one of
the main achievements of this government (the Prime Minister himself
described it as "historic and revolutionary"). On the other hand, the
government is doing far too little to face the organisational challenges
involved in ensuring that the Act achieves its potential. Hopefully, the
extension of the NREGA will provide an opportunity to correct this bias. Let
it not be said, a few years from now, that this extension took place
appropriately on April Fools' Day.

The authors have been involved in social audits and field surveys of the
NREGA since its inception.



hindustantimes.com/StoryPage/StoryPage.aspx?id=cb190988-aee3-4f56-a009-bbf5312e54c1&ParentID=3953d6d9-46b6-4e7e-8b69-4f6a27138e8b&&Headline=Finish+the+job



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