{"id":68138,"date":"2019-11-30T08:43:20","date_gmt":"2019-11-30T08:43:20","guid":{"rendered":"https:\/\/thepubliceconomist.com\/?p=68138"},"modified":"2019-11-30T11:09:00","modified_gmt":"2019-11-30T11:09:00","slug":"imperatives-of-decentralised-planning-at-the-grassroots","status":"publish","type":"post","link":"https:\/\/thepubliceconomist.com\/?p=68138","title":{"rendered":"Imperatives of Decentralised Planning at the grassroots"},"content":{"rendered":"\n<p>With the Fifteen Finance Commission set to give its\nrecommendations for the allocation of funds for local governance in the last\nquarter of this year, it is important to understand the challenges for\neffective decentralized planning in rural India.&nbsp;<\/p>\n\n\n\n<p>Based on my experience of working with local governance\ninstitutions and community in rural Rajasthan, three types of institutional\nchallenges can be observed with regard to decentralised planning in rural India.&nbsp;&nbsp;<\/p>\n\n\n\n<p>First: at the Gram Sabha level focusing on real-time\nparticipation. Second: at the Gram Panchayat (GP) level focusing on the\ncapacity. Third: lack of social accountability framework for the implementation\nof Gram Panchayat Development Plans (GPDPs).&nbsp;These challenges impede the\nformation of GPDP. Thus, it is imperative for the government to consider these\nchallenges for effective decentralised planning.<\/p>\n\n\n\n<p><strong>GPDP \u2013\nA vital link in decentralised planning <\/strong><\/p>\n\n\n\n<p>In\nIndia, the process of decentralisation was legitimized through the 73<sup>rd<\/sup>\nand 74<sup>th<\/sup> Constitutional Amendment Act of 1993 in rural and urban\nareas respectively. These amendments focussed on political and administrative\ndecentralisation, while lesser attention was attributed to fiscal\ndecentralisation. <\/p>\n\n\n\n<p>In\n2015, the Fourteenth Finance Commission (FC XIV) devolved funds directly to the\nGram Panchayats<a href=\"#_ftn1\">[1]<\/a> for\ndecentralised planning. This was a major step towards fiscal decentralisation.\nIn this, there was direct devolution of funds at the panchayat level in two\ncategories i.e. Basic grant and Performance grant. This constituted over\n200,000 crore Rupees to all the gram panchayats in India. Further, FC XIV asked\nthe state governments to form guidelines for the implementation of the same.<\/p>\n\n\n\n<p>In Rajasthan,\nthe state government issued guidelines called \u201c<strong><em>Aapni Yojana Aapno Vikas<\/em><\/strong>\u201d <a href=\"#_ftn2\">[2]<\/a>\nfor the preparation of GPDP to discuss and make plans for the utility of funds.\nAs per the guidelines, GPDP is to be formed based on the proposals and\npriorities of the Gram Panchayat, after seeking due approval of the Gram Sabha.\nThe government of Rajasthan also took initiatives for the making of good\nquality GPDPs \u2013 with instructions for compulsory inclusion of works of human\nand social development such as education, health, nutrition, sanitation, social\njustice in line with the Sustainable Development Goals.<\/p>\n\n\n\n<p><strong>A glimpse of budget resource for GPDP:<\/strong><\/p>\n\n\n\n<p>There are\ntwo major sources of funds for decentralised planning \u2013 one from the central\ngovernment as per the Central Finance Commission (CFC) and two from the state\ngovernment as per the State Finance Commission. <\/p>\n\n\n\n<p>Also, there are funds from other government schemes like Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), Swachh Bharat Abhiyan, PM Awas Yojna and Social Security Pension which focus on individual benefits. Funds from flagship programmes like Sarva Shiksha Abhiyan and National Rural Health Mission are allocated at the institutional level. <\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"477\" src=\"https:\/\/thepubliceconomist.com\/wp-content\/uploads\/2019\/11\/Kubera-Gavn-Sbha-VDP-Writting-1-1024x477.jpg\" alt=\"\" class=\"wp-image-68161\" srcset=\"https:\/\/thepubliceconomist.com\/wp-content\/uploads\/2019\/11\/Kubera-Gavn-Sbha-VDP-Writting-1.jpg 1024w, https:\/\/thepubliceconomist.com\/wp-content\/uploads\/2019\/11\/Kubera-Gavn-Sbha-VDP-Writting-1-300x140.jpg 300w, https:\/\/thepubliceconomist.com\/wp-content\/uploads\/2019\/11\/Kubera-Gavn-Sbha-VDP-Writting-1-768x358.jpg 768w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>MP\nLAD, MLA LAD and Panchayat Samiti funds are three other funds for rural\ndevelopment. These funds are unevenly distributed and are under the discretion\nof individual MP and MLA. Further, there are own source revenue, donations and\ncorporate social responsibility funds available at the Panchayats for\ndevelopment in their area.<\/p>\n\n\n\n<p>Thus, there is an influx of funds from varied sources to\nthe Panchayats, which can be further leveraged based upon the planning capacity\nof the Panchayats. However, these funds are not being planned and\nutilized effectively due to the challenges in planning.<\/p>\n\n\n\n<p><strong>Institutional\nChallenges of decentralised planning in rural Rajasthan:<\/strong> <\/p>\n\n\n\n<p>Decentralised\nplanning is facing institutional challenges through weaker participation at the\nGram Sabha, under capacity of Gram Panchayat officials and representatives, and\nlack of social accountability framework for effective implementation of GPDP.\nThese weaknesses in the rural governance systems have been institutionalised by\nPRI members and street level bureaucrats for their self-interests, which is\nfurther weakening the decentralised planning processes. <\/p>\n\n\n\n<p><strong>At the Gram Sabha level:<\/strong><\/p>\n\n\n\n<p>Gram\nSabhas have constitutional status and reinforce the participatory processes in\ndecentralised planning. GPDP is to be discussed and formed after the approval\nof the Gram Sabha after 2<sup>nd<\/sup> October. However, last year in Rajasthan,\npanchayat officials were on strike on 2<sup>nd<\/sup> October, after which the\nmodel code of conduct was implemented for the state assembly elections.\nTherefore, Gram Sabhas were conducted after the elections during the last week\nof December in a symbolic manner. <\/p>\n\n\n\n<p>In\nmany cases, people were not informed about the conduct of Gram Sabhas and the\nGPDP was formed by officials and representatives of the GP. There was no real\nparticipation by the Gram Sabhas, except for the approval from the mandatory\nquorum of 10% of the Gram Sabha members. Further, most of these GPDPs focussed on\ninfrastructure issues like building roads, canals etc. There was no focus on\nhealth, nutrition, education and livelihood issues. The participation of line\ndepartments in the token Gram Sabhas too was perfunctory. <\/p>\n\n\n\n<p>Further,\nin case of tribal areas, PESA mandates the\nconduct of Gram Sabhas in revenue villages. However, Panchayat officials do not\nrecognise these and conduct Gram Sabhas at the Panchayat level. For instance, in\nparts of Dungarpur districts which come under Schedule V areas of the\nConstitution of India, Village Devlopment Plans (VDPs) have been formed by the\nPESA Gram Sabhas which need to be further incorporated in the GPDP. However,\nmany a times, Panchayats do not accept the VDPs formed by PESA Gram Sabhas for\nincluding them in the GPDP. <\/p>\n\n\n\n<p>Thus,\nnon-deliberative and hastened making of GPDPs has resulted in the institutional\nweakening of Gram Sabhas. Participation, Representation and Decision-making are\nthe three key elements of Gram Sabhas. Weakening of any of these elements\nadversely affects the processes of participatory planning and the essence of\ndecentralisation.&nbsp;&nbsp;&nbsp; <\/p>\n\n\n\n<p><strong>At the Gram Panchayat level:<\/strong><\/p>\n\n\n\n<p>There\nis a hierarchal understanding amongst the Panchayat officials about the GPDP\nplan. The common understanding is that funds can be sourced only from the central\nand state allocations as recommended by the respective FCs. Many Sarpanchs are\nnot aware about the resource envelope available at the panchayat level. The GPDPs\nthus formed does not converge funds from different schemes and resources\navailable at the Panchayat level. <\/p>\n\n\n\n<p>Further, the panchayat officials and representatives are overburdened and under capacitated. In many panchayats, one Sachiv is working in two GPs or the lower level staff are working as Sachivs. Line Department officials like health workers, teachers too are overburdened and not held accountable for their work. <\/p>\n\n\n\n<p>Thus,\nit is imperative to capacitate the Panchayat officials and representatives so\nthat they form and implement the plans with due participation of people, and not\ncapture the planning process. Also, there needs to be adequate number of\nofficials at Panchayat level and line departments along with the effective\ndistribution of work amongst officials.&nbsp; &nbsp;<\/p>\n\n\n\n<p><strong>Social\nAccountability:<\/strong><\/p>\n\n\n\n<p>In many cases, after the sanctioning of the GPDP, Panchayat officials and\nrepresentatives misinform people about the approved works. Many a times,\nPanchayat representatives do not implement the work at the mentioned location\nas per the plan but implement the work in areas of their interest colluding\nwith of Junior Engineer (JEN) and Sachivs. Further, different means of corruption\nlike using poor quality material, directing resources to personal use mar the\nimplementation. Thus, it is imperative to have social accountability tools for\neffective implementation of GPDP.<\/p>\n\n\n\n<p>For this, first, all plans need to be disclosed not only on Plan Plus but also\npublicly disclosed in GP and other village level institutions where people from\nthe village can easily access them. Presently, Section 4(1)(b) of the Right to Information\nAct (RTI) calls for proactive disclosure of the work done by the GPs, but this\nrule has not been implemented effectively. Second, there should be special Gram\nSabhas for the announcement of GPDP in which a follow-up strategy should be\nformed for its effective implementation, monitored by a group of community\nmembers. Third, quarterly social audits should be conducted at&nbsp;the GP\nlevel. Presently&nbsp;social audits are part of NREGA. Similar model can be\nreplicated for GPDPs.<\/p>\n\n\n\n<p><strong>Way Forward:\n<\/strong><\/p>\n\n\n\n<p>The\nsteps taken by FC XIV towards strengthening the panchayat planning processes\nthrough fiscal decentralisation are significant. Now, when Finance Commission XV will\nbe giving its recommendations, it is important for the government to consider\nthe above challenges for effective utilization of these funds.<\/p>\n\n\n\n<p>Decentralised\nplanning should be reinforced by focussing on three key areas &#8211; Gram Sabhas, Gram\nPanchayats and social accountability. Increasing participation and\nrepresentation in Gram Sabhas along with their regular conduct, capacitating\nGram Panchayats for leveraging and converging funds for planning, and ensuring\neffective implementation of plans by strengthening social accountability \u2013 will\nenable inclusive, participatory and sustainable development in rural India.<br><\/p>\n\n\n\n<hr class=\"wp-block-separator\"\/>\n\n\n\n<p><a href=\"#_ftnref1\">[1]<\/a> Article 243G of the Constitution of\nIndia acknowledges Gram Panchayats as institutions of local self-government and\nmandates them to prepare plans for economic development and social justice.<\/p>\n\n\n\n<p><a href=\"#_ftnref2\">[2]<\/a>\nAvailable from &#8211; https:\/\/rural.nic.in\/sites\/default\/files\/AAP_EC_PPT_Rajasthan.pdf<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The steps taken by FC XIV towards strengthening the panchayat planning processes through fiscal decentralisation are significant. Now, when Finance Commission XV will be giving its recommendations, it is important for the government to consider the above challenges for effective utilization of these funds.<\/p>\n","protected":false},"author":43,"featured_media":68139,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","footnotes":""},"categories":[3,48],"tags":[238,234,236,237,235,239],"class_list":["post-68138","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-indian-economy","category-public-finance","tag-decentralized-planning","tag-fifteenth-finance-commission","tag-finances-for-gram-panchayat","tag-financial-challanges-to-gram-panchayat","tag-financial-devolution-in-india","tag-grassroot-planning"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Imperatives of Decentralised Planning at the grassroots - The Public Economist<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/thepubliceconomist.com\/?p=68138\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Imperatives of Decentralised Planning at the grassroots - The Public Economist\" \/>\n<meta property=\"og:description\" content=\"The steps taken by FC XIV towards strengthening the panchayat planning processes through fiscal decentralisation are significant. 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He has worked with PRS Legislative Research as Legislative Assistant to Member of Parliament (LAMP) Fellow and Mazdoor Kisaan Shakti Sanghtan. He has studied Development (Law &amp; Governance) at Azim Premji University, Bangalore and Journalism at the University of Delhi. 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