39

11. NREGS Update. http://www.nregaconsortium.in/downloads/NREGA%20

Update%202%20(1-15%20Mar).pdf.

12. Kumar and Rohit (2010),”Guidelines for Implementation of

Works on Individual Land under NREGA”. The Project Report

Ministry of Rural Development, Government of India.

http://knowledge.nrega.net/1039/1/draft_guidelines.pdf

13. Prof. Samar et al(2009),“A Quick Appraisal of NREGS and Strategies for

the Next Level”.Center for Management in Agriculture Indian Institute of

Management ,Vastrapur, Ahmedabad.

14. http://www.nrega.net/pin/reports-and-resources/reports-submitted-to-the-

ministry-of-rural-development/reports-28-jan-2010/IIM_Ahmedabad.pdf

15. Awanish (2010),”Musings on (MG) NREGA-II”.

http://knowledge.nrega.net/1045/2/Musings_on.pdf

16. Meghna Kohli (2009), The National Rural Employment Gurantee Act

(NREGA), 2005 and its Impact on Economic Development.

http://jurisonline.in/2009/08/the-national-rural-employment-gurantee-act-

nrega-2005-and-its-impact-on-economic-development/

http://en.wikipedia.org/wiki/Poverty_in_India

17. MGNREGA. http://nrega.nic.in/MISreport.html.

18. S.Sanker.(2011),” Information, Access and Targeting: The National Rural

Employment Guarantee Scheme in India”. Oxford Development Studies

pages 69-95.http://www.tandfonline.com/loi/cods20?open=39" "vol_39

19. http://www.righttofoodindia.org/data/ega_english.pdf

20. MGNREGA. http://nrega.nic.in/MISreport.html.

CHAPTER II

REVIEW OF LITERATURE, METHODOLOGY AND

PROFILE OF THE STUDY AREA

2.1 INTRODUCTION

In this chapter an attempt is made to briefly review the relevant literature

on Rural Development Programmes in India namely Mahatma Gandhi National

Rural Employment Guarantee Act (MGNREGA). Several institutions, committee,

commissions and individuals conducted studies relating to various aspects of

Rural Development Programmes in various States in India. The findings and

recommendations of such important studies are reviewed in this chapter.

2.2 REVIEW OF LITERATURE

Pothuluru and Someshwar (1992)1 made a study on labour absorption

through Integrated Rural Development Programme (IRDP) in the Mothubur block

in Nalgonda District to analyse the employment opportunities generated under

various schemes of IRDP and the nature of the job opportunities offer for the total

of 327 economically active household members. Nearly 68 per cent were self

employed and rest of them were wage earners. About 66 per cent of cultivators

were self employed and 11 per cent of family members were wage earners. In the

service sector of rural artisans households, 90 per cent were self employed.

41

Among the agricultural labour households, half of the family members were self

employed and the rest were engaged in wage employment.

The analysis of labour absorption through IRDP showed that various

schemes and programmes had helped the creation of employment opportunities to

the rural poor. However, employment generation was far below the benefits

anticipated as per the IRDP manual.

Neela Mukherjee2 (1993) studied the two selected objectives of Jawahar

Rozgar Yojana in particular, out of the several objectives, as creating assets in

favour of rural poor for their direct and continuing benefit and improving overall

quality of life in rural areas, in her paper with the caption “Women’s Participation

and Jawahar Rozgar Yojana”. The major findings of the study are that the

effectiveness of such programmes depends on who decides on how a programme

is going to benefit rural women and the role played by rural women in such a

programme. The author concluded that if rural women are able to participate in

planning, decision-making and implementing different programmes, they will get

an opportunity to express themselves and exercise their choice in deciding upon

their priorities and even influencing male-dominated decisions. As a result, the

output would turn out to be much better and practical.

42

Satyanarayanan Reddy and Renuka (1994)3 considered Development of

Women and Children in Rural Areas (DWCRA) as a sub-scheme of Integrated

Rural Development Programme (IRDP) at District level.

A distinguishing feature of DWCRA is that it is a group strategy with

family as a unit of assistance under IRDP. The women members of DWCRA

formed groups of 10-15 each for taking up economic activities suited to their skill,

aptitude and local conditions. The group strategy was adopted to motivate the

rural women to come together and break social bonds which denied them income

generating and self-fulfilling opportunities.

The scheme of DWCRA aimed mainly at providing opportunities of

employment to women members of rural families below the poverty line. The

assistance sanctioned to each group had to be shared by the Central Government,

State Government and the UNICEF in equal proportion.

According to Iyer (1994)4 the primary objective of Jawahar Rojgar Yojana

was to generate employment through manual labour and the secondary objective

was to create durable community asset in the process of employment generation.

According to official statistics 3,330 million mandays were generated under JRY

in the country during the period from 1980-90 to 1993-94. Till late (1993) the

JRY was being operated uniformly all over the country without specifically

focusing on the backward Districts in the States. A policy shift occurred in the

43

second half of 1993. Accordingly, two significant changes were made. The first

was the change in criteria for allocation of funds to Districts. Formerly, the

district-wise allocation was made using an index of backwardness formulated on

certain criteria. But later, the Central Government changed this norm to include

only two parameters, namely proportion of rural SC/ST population in a district to

total SC/ST population in the State and (2) inverse of the District’s Agricultural

Productivity, in the ratio of 50:50 respectively. The main implications were:

1. District with low agricultural productivity got higher JRY allocation.

2. Weightage for SC/ST population decreased from 60 per cent to

50 per cent.

3. No more weightage was given for percentage of agricultural labourers.

Erappa (1995)5 found that the land held by SC/ST was 7.6 per cent of the

land holdings in Karnataka (Chinnappa Commission Report 1990) and it was

estimated that more than 70 per cent of SC/ST beneficiaries utilised IRDP in

Karnataka. The distribution of schemes sanctioned under broad heads for SC/ST

showed, that dairy occupied the first place, which accounts for about 53 per cent

of the total Schemes assisted under IRDP. Then follows animal husbandry

schemes and schemes related to agriculture. It was found that SC/ST

beneficiaries were gradually delinking their traditional occupations and getting

into the main stream of production process. Out of 45, a little less than 50 per

44

cent of the animal husbandry schemes were sanctioned to SC/ST beneficiaries.

Thus IRDP programme helped more number of SC/ST beneficiaries to move

above the poverty line.

Datt (1995)6 who reviewed Jawahar Rozgar Yojana, says that in the earlier

Rural Employment Programmes, Central and State assistance was stipulated with

the condition that central assistance would finance 80 per cent and the states share

would be 20 per cent.

The main objectives were: (1) generation of gainful employment for the

unemployed and under employed men and women in rural areas; (2) creation of

sustained employment by strengthening the rural infrastructure; (3) creating

community social assets, (4) creating assets in favour of the poor for their direct

and continuing benefits, and (5) to bring about overall improvement in the quality

of life in rural areas. Wages under JRY were paid at the rate notified for the

prescribed schedule of employment under the Minimum Wages Act for the

relevant works.

The performance of DWCRA units and the extent to which the scheme has

succeeded in achieving its stipulated objectives are the two major objectives of the

study carried out by U.T. Damayanthi7(1999) in Thrissur district. The study

found that only 15 per cent of the total sample beneficiaries made marked

improvement in their household income. In terms of improvement in the asset

45

position, a positive change was seen in the case of 15 per cent respondents. The

overall impact of the programme on the beneficiaries was found less.

Smith Sengupta (2001)8 in his article entitled “A Significant Position of

Commercial freight is moved on the highways” states that the global economy has

been found highly competitive and the Indian producers must maximize the

efficiency of production and distribution. The author highlights the contribution of

rural roads in connecting the urban areas. Ministry of Surface Transport (MOST)

owns all the National Highways and National Highway Authority of India

(NHAI). The road maintenance, planning and monitoring come under the purview

of the road & Building Division of Public Works Department (PWD).

John Makana Gekonge (2001)9 in his article entitled “Planning

Commission, Government of India (1974-79) observed that “it will be necessary

to formulate Integrated Development Programmes on the basis of assessment of

the resources endowment and the other infrastructure facilities. In these

programmes high priority will be given to expansion of basic economic and social

infrastructure covering transportation, communication, credit market centres

education, health and administrative improvement from this observation. It is

clear that in order to ensure the regional development of backward areas, the

existence of atleast minimum level of regional transport plan available within

resources is a must”.

46

Aphay Pethe Manju (2002)10

in his article entitled “Funding Urban

infrastructure from Government to Markets”, says such funding improves the

economy’s competitiveness, generates high productivity and supports

strong economic growth; poor infrastructure, however, can significantly impede

economic growth and be a substantial drain on the economy’s resources”.

Siba Sankar Mohanty (2004)11

said that the NREGP-2004 in its present

form undermines the Government’s commitment towards providing 100 days of

employment to all rural, urban poor and lower middle class households. There is

no provision for the time bound extension of the so called guarantee to the whole

of rural India. The civil society should be very careful of any attempt by the

policymakers to escape from their responsibility in formulating an effective

employment guarantee policy than towards its successful implementation.

Amitabh Kundu, Niranjan Saranji (2005)12

in their article discussed the

issue of exclusion of certain sections of the population from the ambit of the

programme. The exclusion was the outcome of revision of draft NREG Bill. This

exclusion had come in the terms (a) number of days of employment (b) economic

status (c) nature of work and (d) excluding the urban population. He pointed out

the rationale for excluding urban areas from the scope of guaranteed employment

by probing into the socio economic deprivation and vulnerability of population in

small and medium cities/towns was to highlight the fact of how the lack of

47

employment has affected the urban demographic growth and the implication of

urban exclusion. The generation of employment programme on a sustainable basis

can strengthen rural-urban linkages and promote balanced regional development.

Kanagaraj (2005)13

found that panchayat level federation (PLF) plays a

significant role in improving the status of women in rural as well as urban areas.

The Government of India has implemented various development programmes viz

Integrated Rural Development Programme (IRDP). Development of Women and

Children in Rural Areas (DWCRA) Training Rural Youth for Self Employment

(TRYSEM) and Entrepreneurship Development Programme (EDP) for women to

increase the standard of living of the weaker sections of the community.

One such programme is the "Self-help group" programme functioning in

rural urban areas for the purpose of eradicating poverty and it serves as a

monitoring agency for a particular coverage area and the federation is

democratically elected and evaluates all the activities carried out by the group of

SHG, under one panchayat. The federation can give support, motivate and train

members apart from networking with other agencies. For village development, the

goals of the federation are imparting continuous help to self help groups and

coordinating all government and non-governmental organizations of the

federations departments on how for the members understand the concept at

various levels of the federation that participate effectively in the decision making

48

and understand the financial details and carry on the day today activities

independently.

Ranga Reddy Amitabha Ray Premsingh (2005)14

say that it is vital to

unleash the high sustainable growth and to promote equitable development.

Government policies play a vital role in the development of rural infrastructure.

Roads are the primary mode of transport in India. The roads carry most of the

traffic of the country (85 per cent passengers and 15 per cent of freight). The total

network of High Ways is 19,81,409km, of which 11,75,352km (59 per cent) are

surfaced roads. The Golden Quadrilateral 5,846 kilometres is connecting the four

major cities of Delhi, Mumbai, Chennai and Kolkata. The North-South (4076

kms) and East-West (3640 kms) corridors (NS-EW-7716 kms.) connecting

Srinagar in the north to Kanyakumari with South and Silchar in the East to

Porbandar in the West. Centrally sponsored scheme Pradhan Mantri Gram Sadak

Yojana. (PMGSY) – in December 2000, has the vital role of playing rural road

connectivity of 1.70 lakh habitations and 3.68km of rural roads. The expenditure

is of Rs.1,33,000 crore. In the process, National Rural Roads Development

Agency (NRRDA) has been established as a society under the Ministry of Rural

Development to support the rural road network. Hence the World Bank (IDA-

International Development Agency) and ADB (Asian Developemnt Bank) work

for the rural road development. Government is committed to provide necessary

49

environment and the infrastructure support for the economy to grow at 7-8 per

cent with the CRF.

Suman Billa (2005)15

has analyzed the Integrating role of NREGP in the

rural job Market. He pointed out the National Rural Employment Guarantee

Programme is the most ambitious Rural Development Programme to be launched

in the country till date. There is an increasing trend of migration to the urban

areas as the rural areas are unable to provide viable employment opportunities.

The NREGP is designed to provide succour to the most vulnerable sections by

providing employment. But it does not provide for them to pick up skills that will

equip them for the employment market.

Seema Kakade and Prayas (2006)16

felt that there were many women

friendly provisions in EGS, which have been adopted in NREG. Women

constitute a major portion of EGS labourers. It is observed that, whereas men

prefer to migrate to other parts of the district or state, women prefer to work on

EGS in the vicinity of their village. The amenities mentioned in the law are rarely

made available on the sites. Very few women are successful in obtaining

maternity leave, although they are entitled to it. Women from migratory

communities face multiple difficulties, including the question of their validity as

‘EGS’ labour.

50

Kanthimathinathan’s (2006)17

article entitled “The development of rural

infrastructure is crucial for the growth of economy as well as welfare” contributes

directly or indirectly to improvement of living conditions of the people.

Infrastructure facilities and improvement in delivery of services can reduce the

costs and time of the various economic and social activities taken up by the rural

people. Transport Infrastructure has been playing a vital role in promoting

agricultural and allied activities. The various schemes are processing the rural

road network such as food for work Programme, Minimum need Programme,

(MNP) Rural Landless Employment Guarantee Programme (RLEGP) and

Jawahar Rozgar Yojana (JRY). The author has pointed out the importance of the

development of cost effective and extensive network technology and the central

Road Research institute (CRRI) has developed a few cost-effective technologies

which meet the immediate needs and are amenable to stages of development. The

Pradan Mantri Gram Sadak Yojana of 15th

August 2000, talks about the salient

features of promoting the rural road network and the sources of fund allocation by

the Central and State Governments and the Rural Road Organization. Panchayat

Raj (PWD) public works Department, Rural Central Road Research Institute

under the rural road development scheme.

Sundar, K.and Murugarathinam (2006)18

in "Poor infrastructure

facilities present a major stumbling block to transformation into a nature market

economy” says that majority of our population live in squalid condition. The civic

51

facilities, poor road conditions, inefficient port services, fragile air services persist

inspite of our initiation of reforms. The authors have explained the financial

sector reports, emerging opportunities in infrastructure service and power front

sector performance, housing, urban infrastructure sector and telecom sector

contributions.

"Provision of good network of roads is one of the major attractions for

triggering industrial development country-wide. The recently passed Central

Road Fund Act (CRFA) envisages setting up a Road Maintenance fund to be

created out of levy cess on petrol and high speed diesel. Most private sector

investment in road sector was confined to small projects such as construction of

bridges, by-passes and rail over-bridges. The national highway project currently

implemented the two lane and four lane highway for 6000 kms." The successful

implementation of central Road fund Act would pave the way for excellent road

service."

Pawankumar (2006)19

says that development of infrastructure in rural

areas is a thrust area to create values through engineering consultancy. The

author has explained that the "Bharat Nirman" Programme has priority on the

rural roads and basic infrastructures, development and similarly on the road

process programme in the (PMGSY, IRDP, RLEGP) in rural areas.

Electrification of rural areas and Indira Awaas Yohana (IAY) on rural household

52

for performance and achievements, has another priority on the Provision of

Urban Facilities to Rural Areas (PURA). Former President Kalam told, in THE

Vision 2020 of the village connectivity like land acquisition, plan preparation,

Economic plan, structure plan, implementation plan and the contribution of the

Panchayat performance for rural development, Economic aspects in rural

development plan, social aspects in rural development plan, spatial aspects in

rural development plan, and rural building centres and industrial extension

services were also mentioned..

Urban facilities to rural areas would be considered as a model for

infrastructure development in rural area. The various programmes that have been

implemented like (NREP) National Rural Employment Programme (RLEGP)

Rural Landless Employment Gurantee Programme (IRDP) Integrated Rural

Development Programme (MNP) Minimum Needs Programmes are creating the

modern rural developments.”

P.K. Nanda and B.Kanagadurai (2006)20

in their article entitled "Bharat

Nirman” says that it has rural roads as one of the six components. To achieve the

targets of Bharat Nirman, 1.46 lakh km length of rural road is proposed to be

constructed to benefit 66,802 unconnected eligible habitations in the country. It is

estimated that approximately Rs.48,000 crore is needed to achieve this objective.

The District Rural Roads Plan (DRRP) is a long term plan of road network in a

district. Showing details of all types of existing road network system including

53

tracks and paths that are convertible to all weather roads and the habitations of

various population sizes.

The planning process under this programme has changed the basic

philosophy of preparation of master plan for rural roads. This will provide

efficiency in decision-making and better management of resource allocation for

development of rural road network.

N.Mohan (2006)21

in his article entitled "Roads help in establishing

backward and farward linkages in the rural economy” speaks of bridging rural-

urban divide and help reducing regional disparity. Under Bharat Nirman a total of

66,802 unconnected habitations is proposed to be covered that involves

construction of 1,46,185 kilometers of rural roads. A well designed road network

and transportation system can play a key role in bridging about balanced

development. According to John FG. Kennedy. "It is not wealth that build" Roads

constitute the back bone of the economy. Road connectivity is the new manure in

development parlance. Rural connectivity refers to any linkages between village

connected by road (Surfaced or unsurfaced) and the nearest highway/

town/market/semi-urban service centre

The author has explained the rural marketing infrastructure such as the

agricultural and allied sectors development process. Similarly infrastructure

planning needs for market development. Development holds the key to

sustainable rural development."

54

The Pradhan Manatri Gram Sadak Yojana (PMGSY) holds the attempt to

provide road connectivity with proven standard in quality construction of rural

road works to cover the last mile through new connectivity. It has performed in

the various states in India. Roads constitute the life line of a nation. Poverty

assessment studies stress the close relationship between isolation and rural

poverty. Road connectivity has been an important factor to book farm production

and market access for the rural produce. Furthur roads integrate agriculture with

industry leading to value addition, employment generation resulting in rural

prosperity."

B. Manoharan (2006)22

in his article entitled "Next to knowledge

infrastructure is the key ingredient in the development process of any country

sustaining high rate of economic growth” says it is closely linked to

infrastructure. Infrastructure holds the key for balanced growth in the economy in

terms of productivity, efficiency and equity. It is treated as an engine of growth

and provides a basic form of work for economic and social progress.

Government of India has formulated the rural infrastructure programme on

"Bharat Nirman” to be implemented in four years from .2005 to 2009 for

providing the salient infrastructure to the rural areas. Transport and

communications are the basic infrastructure requirement, which ensure rapid

economic development. Quality road infrastructure improves the accessibility of

rural people to markets and facilitates better delivery of services.

55

He has also explained the Bharat Nirman task and linkages and salient

features of the Bharat Nirman Programme, and the status of implementation of

the programme has also been explained. The implementation of "Bharat Nirman"

on the one hand, will establish quality and affordable infrastructure in rural areas

and on the other hand, it will improve the quality of life of the rural citizens of

the country. Thus the programme covers the benefits of alleviating poverty,

generating gainful employment, ensuring social security, enhancing standards of

health, hygiene, sanitation and education.

Anand, S. (2007)23

in his article entitled "Infrastructure is a vital

component for the rural development” says in 1995-96 the budget introduced

RIDF, which was setup in NABARD in the same year. The primary objective of

the fund is to assist the State intervene in completing various ongoing projects,

such as rural roads and irrigation projects. The Tamilnadu Government started

availing of loan assistance under the fund from the year 1996-97 for the

development of roads and bridges Decomposition of the total sanction amount

Rs. 1681.50crore more upto march 2004 shows that thing six road and bridge

sector projects for the development of 15416km with RIDF assistance of

Rs.1237.98 crores and 715 bridge works with a total length of 23688 kms.

involving RID assistance of Rs 466.945 crore. The road and bridge sector

accounted for major share of 69.36 per cent of sanction and 75 per cent of

56

aggregate disbursements. Thus the whole RIDF plays a pivotal role in developing

rural economy in Tamilnadu."

Srinivasan (2007)24

in his article entitled. "Budget ‘Focus on Rual

Development” says that the Finance Minister Mr. P. Chidambaram, has presented

the 2007-2008 budget assigning top priority on rural development programmes

which the United Progressive Alliance (UPA) Government had been

implementing based on the National Common Minimum Programme (NCMP).

The budget has allocated additional fund for Bharat Nirman programme in

2007-08 for irrigation potential. AIPB-Accelerated Irrigation Benefit Programme

of Rs. 7121 crores in 2006-07 would increase to Rs. 11,000 crores for 2007-08

onwards drinking water and housing for 55,512 habitations. By December 2006,

12,198 kilometers of rural roads have been completed. Another major fund is

Rural Infrastructure Development Fund for the programme by Rs.4000 crore a

year 1,50,000 house holds exceeded the constructions 2007-08 19,578 villages

have been covered so far under the Rajiv Gandhi Grameen Vidyutikaram Yojana.

15,054 villages have been provided with a telephone against the target of 20,000

villages. Budget marked an increase of 31.6 per cent for the Bharat Nirman from

Rs. 18,698 crore in 2006-07 to Rs 24,603 crore in 2007-08. This Article has also

been reported in the Agricultural Employment Generation Programmes under the

2007-08 budget process."

57

R.R. Roy (2007)25

pointed out the NREGP programme is creating more

job opportunities for the rural masses by upgrading essential rural infrastructure

that holds the key to the people’s economic empowerment against an ever-

increaseing demand for jobs. The paper indicated that every registrant eligible for

job is given a job card that is the legal document that entitles him to ask for work

under the NREG Act and get work within 15 days of the demand for work. If

employment is not provided within 15 days to a person, he is entitled for daily

unemployment allowance in cash.

Dhurv Singh (2007)26

has studied the issues related to Rural

Development. In his study he appraised various rural development schemes. He

pointed out that the approach to market; cost, co-ordination and facilitation were

the major issues for the failure of these schemes. The progress was not uniform

across all schemes and the achievements were not found similar in the states. The

success of rural development was dependent on the extent of integration of

various programmes with lives and needs of those for whom these schemes are

meant.

Vidhya Das, Pramod Pradhan (2007)27

has pointed out that the National

Rural Employment Guarantee Act as implemented by the Orissa Government

which has resulted in grandiose claim of expenditure but very little to show in

reality. The State claims to have issued job cards to 23.30 lakh households and

58

provided employment to 11.19 lakh households on an average. The report say

each household has been provided with 31 days of employment, while no

household has completed 100 days of employment. The Government has taken

several progressive steps. But it should not sit back and count its laurels. The

Government of Orissa must rise to the occasion and take immediate steps to stop

this most hypocritical and cruel joke on its poorest and most vulnerable

communities.

K. Muthalagu (2007)28

pointed out that in August 2005, the Indian

Parliament passed the National Rural Employment Guarantee (NREG), one of the

Independent India’s most ambitious interventions to address rural poverty and

empower poor people. It is incorrect to say that all the poverty eradication

programmes have failed because the growth of the middle class people indicates

that economic prosperity has indeed been very impressive in India, but at the same

time, the distribution of wealth is not at all even across the country. Increasing

globalization and investment opportunities contribute significantly to the

reduction of poverty in India which would accelerate rise in per-capita income and

economic development of our people.

Mihir Shah (2007)29

said that even as we celebrate 60 years of Indian

democracy, with millions of our people hungry, cynical and insecure, and living

under the barrel of the gun (of the state or the extremists), we need to worry about

59

the reach and quality of our political process. He pointed out The National Rural

Employment Guarantee Act has the potential to provide a “big push” in India’s

regions of distress. The backward regions of India suffer from, what in

development economics used to be called, a “low-level equilibrium trap”.

NREGA to be able to realize its potential, the role of civil society organizations is

critical. But this calls for a new self-critical politics of fortitude, balance and

restraint.

Anurekha Chari (2007) 30

critically reviewed Maharashtra’s Employment

Guarantee Scheme (EGS) with Gender concerns. She evaluated the presence of

large number of women as EGS workers at various EGS work sites in

Maharashtra. She evaluated the presence of large number of women as EGS

workers at various EGS work sites in Maharashtra. The mobilization of large

number of women was made by organizations like, Parishad, Shramik

Sanghatana, and Mukti Sanghatna which uphold leftist and feminist ideologies.

She explored the fact of high visibility of women on EGS. The equality of a

radical transformation of self perceptions of both men and women would be a

necessary precondition for evolving a more just order.

Mihir Shah (2007)31

analyzed the difficulties in implementation of

(NREG) schemes and in providing minimum wages of labourers at par with the

statutory minimum wages. The problem in providing labourers of their legal