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    THE NATIONAL RURAL

    EMPLOYMENT GUARANTEE

    ACT (NREGA)SAURABH KUMAR C-48

    PURANJAI KUMAR

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    LOGO

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    OBJECTIVE OF THE NREGA

    To enhance livelihood security in rural areas by

    providing at least 100 days of guaranteed wage

    employment in a financial year to every householdwhose adult members volunteer to do unskilled

    manual work .

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    NREGA - OverviewSalient Features

    Employment to all those who are willing to work (100 days)

    Unlimited supply of funds for this project

    Free registration with a job guarantee within 15 days of application

    At least 1/3rd of the employees must be women

    Fixed minimum wage rate and no upper limit

    Weekly disbursement of wages and delays not beyond a fortnight

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    Registration in writing or orally to the local GramPanchayat

    The Gram Panchayat after due verification will issue a Job

    Card The Job Card should be issued within 15 days of

    application.

    Employment will be given within 15 days of applicationfor work

    Work should ordinarily be provided within 5 km radius ofthe village

    Wages are to be paid according to the Minimum WagesAct 1948

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    NREGA GOALS

    Empowerment of rural poor through theprocesses of a rights-based Law

    Growth engine for sustainable development of

    an agricultural economy.

    Through the process of providing employment

    on works that address causes of chronic poverty

    such as drought, deforestation and soil erosion The natural resource base of rural livelihood and

    create durable assets in rural areas

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    In its fourth year, NREGA has been rechristened after

    Mahatma Gandhi in a move which marks Congresss

    tribute to the Father of the Nation and is also expected

    to stall rivals from appropriating its pro-poor flagshipscheme. Announcing the decision at a conference of

    panchayat members to commemorate the birth

    anniversary of Mahatma Gandhi on Friday, Prime

    Minister Manmohan Singh called it apt as Gandhi heldthe concept of gram swaraj in high esteem. An

    amendment will be tabled in the winter session of

    Parliament to prefix NREGA with Mahatma Gandhi.

    MGNREGA

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    Objective ofNREGA

    Unemployment Sustained Development

    Enhancement of

    livelihood security of

    households

    Arrest rural migration

    Create rural assets

    Create livelihood

    resource base

    Restore environment

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    Expectations fromNREGA

    Process

    Outcomes

    Streng then grass roo t

    processes of democracy

    Infu se transparency and

    accountabi l i ty

    in governance

    Auxi l iary

    Regenerate natural resou rce

    base

    of rural l ivel ihood fo r

    sustainable

    development

    Primary

    Supplement employment opportun i ties

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    COVERAGE

    The Act was notified in 200 districts in the first phase with

    effect from February 2nd 2006 and then extended to

    additional 130 districts in the financial year 2007-2008

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    Phase I NREGA(200)

    (Backward Districts ranked onbasis of agricultural wages,output per agricultural worker

    and SCT/ST population of thedistrict)

    Phase II NREGA(130)

    Phase III NREGA(266)

    NREGA COVERAGE(1st Nationwide employment scheme )

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    State and Local GovernmentState Rural Employment Guarantee Scheme (REGS)

    25 per cent of the cost of material and wages for semi-skilled/ skilled workers

    Unemployment allowance if the state is unable toprovide employment within 15 days

    Administrative expenses of the State EmploymentGuarantee Council

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    District PanchayatsStateGovernmentMinistry ofRural

    Development

    CentralEmployment

    GuaranteeCouncil (CEGC)

    Rural

    EmploymentGuarantee

    Scheme(REGS)

    DistrictProgramme Co-

    coordinator(DPC)

    Gram Sabha(GS)

    DistrictPanchayats

    ProgrammeOfficer (PO)

    IntermediatePanchayat (IP) OthersState

    EmploymentGuarantee

    Council

    (SEGC)Gram

    Panchayat (GP)

    Other

    Institutions

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    At least one-third beneficiaries shall be women who

    have registered

    Work site facilities such as crche, drinking water,

    shade have to be provided

    The shelf of projects for a village will berecommended by the gram sabha and approvedby

    thezilla panchayat

    At least 50% of works will be allotted to Gram

    Panchayats for execution

    A 60:40 wage and material ratio has to be

    maintained. No contractors and machinery is

    allowed

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    Key Stakeholders

    i) Wage seekers

    ii) Gram Sabha

    iii) PRIs, specially the gram panchayat iv) Programme Officer at the block level

    v) District Programme Coordinator

    vi) State Government

    vii) Ministry of Rural Development

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    The Gram Panchayats responsibility

    i) Planning of works

    ii) Receiving applications for registration

    iii) Verifying registration applications

    iv) Registering households

    v) Issuing Job Card

    vi) Receiving applications for employment

    vii) Issuing dated receipts,

    viii) Allotting employment within fifteen days of application

    ix) Executing works

    x) Maintaining recordsxi) Convening the Gram Sabha for social audit

    x) Monitoring the implementation of the Scheme at the village level

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    Generation ofjob card

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    OUTCOMES

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    Demand for Employment met (until March

    2007)

    0

    500000

    1000000

    1500000

    2000000

    2500000

    3000000

    3500000

    AP

    Ar.

    P.

    Assam

    Bih

    ar

    C

    hattis

    garh

    Guja

    rat

    Harayana

    HP

    J&K

    Jharkh

    and

    K

    aranataka

    Kerala

    MP

    Maharashtra

    Manip

    ur

    Megh

    alaya

    Miz

    oram

    Nagaland

    Orissa

    Punjab

    Rajasth

    an

    Sikki

    m TN

    Trip

    ura

    Uttranch

    al UP

    WB

    Employment Demanded: 2.12 crore HHs

    Employment Provided: 2.10 crore HHs

    Si ifi t I i P d

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    Significant Increase in Person-days

    Generated1 2 3 4

    Person-daysgenerated

    SGRY in586

    districts

    (2005-06)

    Average Person-daysper year in 586 distts:

    (SGRY+ NFFWP)

    . (2001-06)

    NREGA in200 districts

    (2006-07)

    Total 82.18 83.3 90.4

    Average per

    District0.14 0.142 0.45

    More than three times increase in employment generation per district

    under NREGA

    Primary Objective of NREGA to augment employment generation met

    Person-days in crores

    M j Sh f SC/ST HH i

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    Major Share of SC/ST HHs in

    Employment

    0.0

    20.0

    40.0

    60.0

    80.0

    100.0

    120.0

    A.P

    AR.PRADESH

    ASSAM

    BIHAR

    GUJARAT

    HARYANA H

    .P

    J&K

    KARNATAKA

    KERALA

    M.P

    MAHARASHTRA

    MANIPUR

    MEGHALAYA

    MIZORAM

    NAGALAND

    ORISSA

    PUNJAB

    RAJASTHAN

    SIKKIM

    TAMILNADU

    TRIPURA

    U.P

    W.BENGAL

    CHHATTISGARH

    JHARKHAND

    UTTRANCHAL

    SCs STs

    Share of ST & SC >61. 77%

    ST > 36.38%/SC > 25.39%

    At least 1/3rd of the beneficiaries shall be women who have

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    WOMEN

    40%

    OTHERS

    60%

    At least 1/3rd of the beneficiaries shall be women who have

    registered and requested for work under the Scheme

    (NREGA ACT, Schedule II, Section 6)

    Actualachievement

    Better than

    target

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    WOMEN40%Tamil Nadu (82%)

    Rajasthan (69%)

    Kerala (67%)

    Andhra Pradesh (56

    Karnataka (52%)

    Gujarat (49%)

    UP (15%)

    J&K(1%)

    Participation of Women

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    National average: 40%

    Highest shares: Tamil Nadu81%

    Rajasthan67%

    Kerala66%

    Andhra Pradesh55%

    Lowest shares: 17% BiharUttar Pradesh

    17% Himachal Pradesh12%4% Jammu & Kashmir

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    Share of Women in NREGA Employment

    i ifi h f i kf

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    Significant Share of Women in Workforce

    0

    10

    20

    30

    40

    50

    60

    70

    80

    90

    AP

    Ar.P

    Assam Biha

    r

    Cha

    ttis

    garh

    Gujar

    at

    Haryan

    aHP

    J&K

    Jharkh

    and

    Karanatak

    a

    Kerala

    MP

    Maharastr

    a

    Manipu

    r

    Miz

    oram

    Nagaland

    Oriss

    a

    Punjab

    Rajastha

    n

    Sikkim T

    N

    Tripur

    aUP

    Utt

    rancha

    l

    WB

    Employment provided to women [%age of total employment provided] upto MAR-2007

    National Average

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    State wise performance

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    NREGA Progress

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    Date: July 12, 2006

    Sl. No. State Districts Rural households Applications Job cards Employment provided No. of works Funds released

    1 Andhra Pradesh 13 6104032 3954522 3954522 704101 22063 20000

    2 Arunachal Pradesh 1 7905 45070 16256 272.85

    3 Assam 7 923966 160897 104383 6990 534 13970.845

    4 Bihar 23 8943456 2401836 1071522 505281 17619 40503.38

    5 Chattisgarh 11 1792584 1696860 1534636 162480 9671 17321.726 Gujarat 6 1596636 604695 597028 73791 1716 4113.94

    7 Harayana 2 304178 81489 76421 15573 288 913.39

    8 Himachal Pradesh 2 167349 70084 62408 24848 2249 683.64

    9 Jammu & Kashmir 3 319692 169038 65531 4127 283 986.365

    10 Jharkhand 20 3806040 1755005 1171831 467832 9451 37618.59

    11 Karanataka 5 1484815 572892 315412 118810 3678 6329.69

    12 Kerala 2 603527 225133 2179.51

    13 Madhya Pradesh 18 3890287 4281258 4144413 1804953 69783 93617.22

    14 Maharashtra 12 3706706 4139778 1094659 183075 6152 17961.64515 Manipur 1 22299 45172 17880 570.89

    16 Meghalaya 2 109577 2064.68

    17 Mizoram 2 22828 41808 29016 298.9

    18 Nagaland 1 48697 430.11

    19 Orissa 19 3503354 2702290 1900553 563681 23559 31516.56

    20 Punjab 1 237480 39318 33375 21284 976 755.75

    21 Rajasthan 6 1461606 1443720 1423013 846263 13809 40000

    22 Sikkim 1 7955 4696 4696 451.5

    23 Tamil Nadu 6 1811557 541568 535519 82009 668 9889.21

    24 Tripura 1 57709 62736 58114 16218 327 1456.66

    25 Utttar Pradesh 22 9021545 1950901 1641250 466726 15627 33498.69

    26 Uttranchal 3 211495 282182 176636 6206 1739 1910.6

    27 West Bengal 10 7374151 3322241 1149145 495493 3305 18358.84

    TOTAL 200 57541426 30595189 21178219 6569741 203497 397675.175

    # In column applications are for registration of households

    # Blank spaces in the table denote information not received from States

    Index:

    1. Funds released pertain to 2006-7 [in lakh Rs.]

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    Funds

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    Funds

    NREGA 09 Budget Allocation -39,000 Cr.

    Central Govt. provides only 75% of the material costs,

    promoting labour intensive works in NREGA

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    Components of Expenditure

    Material Cost

    Tamilnadu and Mizoram have achieved

    almost Zero expense on material

    Orissa has high Material expenses owing to

    royalties

    Expenditure on Wages

    Administrative expenses

    Nagaland and Gujarat have high

    administrative expenses

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    A Snapshot for 07-08

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    Payment through Smart cards

    Based on new generation Near FieldCommunications (NFC) mobile phones;contact-less RFID smart cards and integratedbiometrics.

    Alternate option of attaching fingerprintscanner + card reader to a PC or PoS.

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    T h l (M/ Fi )

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    Technology (M/s Fino)

    Receipt lt Slot

    Generation

    Arrow Key

    for starting

    the device

    Slot to insert

    Operator /

    Customer card

    Slot to

    Code

    capture

    thumb print

    ASSETS CREATED UNDER NREGA

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    Type of WorkTotal works

    taken (no.)

    Works

    completed

    (no.)

    Ongoing

    Works

    (no.) Benefit Created

    Water Conservation

    and Water Harvesting 266365 121921 144444

    737 Lakh Cu Mt.of water storage capacity

    through Digging new tanks/Ponds

    ,percolation tanks ,Small Check Dams

    Flood Control and

    Protection 17113 10206 6907

    3 Lakh Km of Drainage in wager logged

    areas through Construction & repair of

    embankment

    Micro Irrigation

    Works 27682 12151 15531 .13 Lakh Km of canals

    Provision of Irrigationfacility to Land

    Owned by SC/ST 80794 27362 53432.16 Lakh Hectares of land provided with

    irrigation facilities

    Renovation of

    Traditional Water

    bodies 59924 25472 34452

    481 Lakh Cu Mt. of water storage

    capacity through desilting of tanks/ponds

    ,desilting of old canals ,Desilting of

    traditional open wells

    Land Development 88557 43370 451873.35 Lakh Hectares of land leveling &bunding

    Drought Proofing 77305 30989 463163.45 Lakh Hectares of land Afforestation

    and tree plantation

    Rural Connectivity 179661 91244 88417 2.37 Lakh Km of Roads

    AnyOther activity. 33537 20776 12761

    TOTAL 830938 383491 447447

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    CommunityBuilding

    Building Rural India

    Regenerating Natural Resource Base of Rural Livelihood

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    g g

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    Community Building

    WaterConservati

    on- 51% of the works

    undertaken

    - Water Conservationand Water Harvesting

    - Renovation ofTraditional WaterBodies

    - Micro IrrigationalWorks

    - Drought Proofing

    Afforestation

    -14% of the worksundertaken- AP and MP leadingin the forefront inthese activities

    RuralConnectivi

    ty- 17% of total worksundertaken

    - UP, MP and Biharleading in the number

    of works undertaken

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    Highest Priority to Water Conservation in choice of

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    54

    10

    1

    11

    4

    Water Conservation

    Provision of Irrigation facility toLand Owned bySC/ST

    Rural Connectivity

    Land Development

    Any Other activity

    Highest Priority to Water Conservation in choice of

    works under NREGA

    (54%)

    (10%)

    (21%)

    (11%)

    (4%)

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    Case : NREGA in Kerala

    Highest literacy rate (90.86)

    Very high rate of unemployment

    Tendency to link literacy to employment (myth)

    First implemented on 5th Feb 2006

    Only in 4 districts (Palakkad, Waynad, Idukki andKasargod)

    These districts had very low unemployment rate

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    Major features

    Popularity of Trade Unions

    Village Panchayats played the pivotal role with the

    help of technical staffs

    Effectiveness of Kudumbasree

    Organized into Neighborhood group (NHG) AreaDevelopment Society (ADS) Community DevelopmentSociety (CDS)

    ADS played a pivotal part in NREGA

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    Major features

    Focus on eco-restoration works

    Wages are paid directly to individual bankaccounts

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    Lag in the implementation (only 4/14 districts)

    Problems

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    Problems

    Minimal participation from SCs and STs One of the lowest

    Strategy for Strengthening

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    Action InitiatedCentral Employment Guarantee Council (CEGC) setup. CEGC members actively involved in field visits,social audit along with the State Government,District officials: Jharkhand Ranchi, Lohardaga,Pulamao) Chattisgarh (Sarguja, Bilaspur). Proposedto cover other States: TN, MP, Orissa.

    Executive Committee set up to expediteimplementation of Council decisions

    Technical Secretariat to bring in multi -disciplinaryprofessional expertise outside Government systemsto provide resource support to the Ministry in criticalareas, inter alia Works design, National Data

    System, Social audit, Monitoring evaluation

    Strategy for Strengthening

    Management Support to NREGA

    N d t d t Mi i M d t t

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    Need to adopt a Mission Mode to supportimplementation

    Strengthening of Programme Division in the Ministry

    National Programme Coordinator

    Adequate Officers for close monitoring and

    supervision

    National Data Centre

    Key FunctionsConformity to statutory processes

    Grievance Redressal

    Follow up with States

    MADHYA PRADESH Sidhi

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    MADHYA PRADESH, Sidhi

    (Jatropha Plantation - Nursery)

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    Qualitative monitoring and

    studies by professionalinstitutions*Five institutions of repute identified to

    undertake studies in 12 States

    Report to be submitted in 90 days

    Covering roughly 10 villages over 2 blocksand 20 households to be covered in eachvillage

    D t il f I tit ti

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    58

    Details of Institutions

    Indian

    Institute ofWomensStudies

    Centre for

    Budget &GovernanceAccountability

    IIM Bangalore Institute of

    HumanDevelopment

    Centre forDevelopment

    Alternatives

    Objective Analyse womenaccess toNREGA, assess

    State Schemes,document labourmarketconditions, assistdesign gendersensitive works.

    Monitorimplementationof NREGA,

    identifyimplementationchallenges facedby State Gov,Local admn andPRIs, increaseawareness of

    NREGA,

    Identify Practicalissues ofimplementation,

    managementand coordinationthrough quicksurveys at theworksites,village,conformity with

    Act & Guidelines

    Processdocumentation;assess impact of

    NREGA onwages,employment,durableassets;policy,recommendations; sensitise

    stakeholders

    Suggestivecorrectivemeasures,

    assess strengthsand weaknessesin Schemes

    Coverage 2 distts ofOrissa,Maharashtra, TN, WB

    1 distt. In AP, 2each inChattisgarh,Jharkhand, MP

    1 in AP and 1 inKarnataka

    6 districts ofBihar

    6 districts ofGujarat

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    ACTION TO BE TAKEN

    Road Ahead

    (Self Help Group at Nursery under NREGS,

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    Chattisgarh)

    Initial Positive Trends

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    Initial Positive Trends

    Financial Inclusion: Savings accounts of wage earners in

    Banks/Post Offices in some States: AP( more than 20.00 lakhPost Office Accounts), Karnataka ( entire Gulbarga NREGworkforce with Bank Accounts) , Jharkhand, TN

    Insurance of wage earners in some districts: Pakur, Gumla,

    Ranchi ( Jharkhand)

    Developing Literacy skills among wage earners (Raichur inKarnataka)

    Convergence with other development programmes: Jetropha( Chattisgarh, MP) Forest Nurseries ( Udaipur in Rajasthan,Khandwa in MP)

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    Linkages with Development Programmes:

    National Rural Health Mission: ASHA for awareness

    generation about NREGA and health among NREGA

    workforceNational Literacy Mission: Prerak of Literacy Programmes

    for mobilising workforce and developing literacy skills in

    NREGA workforce

    Linkages with other Livelihood and Infrastructure initiatives

    Horticultural ProjectsWatershed Management

    Income Generation Projects to enable workers to move

    from wage employment to self-sustaining employment: eg.

    Tank excavation with pisciculture development by SHGs

    Linkages with other Development

    Initiatives

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    Increasing NREGA workers security thresholds by

    extending cover of various life and health insuranceschemes

    Act provides Rs 25000 compensation for death on

    work site

    Aim is to extend insurance cover beyond worksite to the

    whole family.

    Discussion on with LIC.

    Insurance for NREGA workers

    O i S i A t f

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    Opening Savings Accounts of

    Wage-earners. Savings Accounts of workers in Banks and Post

    offices to ensure greater transparency in wagepayment and encourage thrift and small savings

    Dept of Posts has indicated need to strengthen itsSub Post office/ Branch Post Office throughcomputerisation of Sub Post office

    Service charge proposed by Dept of Posts foropening wage earners accounts - matter still underdiscussion

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    Progress Report

    Implementation & Effectiveness of NREGA

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    p

    Highest ever allocation of Rs 39,100 Cr

    About 4.19 Cr rural households provided jobs

    Improved employment per rural household, share owomen in workforce, expenditure per district, share ofwages in total expenditure

    Decreased % of STs benefiting from NREGAIncrease in daily wages by whopping 15%Improved utilization of funds from 73% to 80%

    source -Times of india 28-01-2010

    33lakh works generated in 619 districts

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    Major progresses after 2007Total corruption free implementation Panchayats took the responsibility seriously Implemented the programme very fast

    Effectiveness of Kudumbasree system Community of poor people

    Created a feeling of unity among them Doing work for their localities created an

    urgency

    Achievements

    Constraints

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    Constraints Processes: Unintended Hierarchical roles assumed by

    PRIS in approving plan of works in NREGA in some states

    o Causes delay in work plan approvals by District andIntermediate Panchayats as reported by State RDSecretaries of Bihar, UP

    o Superceding priorities of Gram Sabha and GramPanchayats reported in several states

    o Legacy mindset of SGRY and tendency to followAllocation based instead of Demand driven approach

    Delivery Systems: No PRIS in Jharkhand createsproblems of institutional delivery at the most criticallevel.

    Recruitment of Personnel by States has taken time insome States due to election processes

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