Instead of curtailing government schemes and cutting their funding, the aim should be to ensure better public service delivery
Instead of curtailing government schemes and cutting their funding, the aim should be to ensure better public service delivery
In the last three years, more than 50% of the existing central government sponsored schemes have been discontinued, merged, modified or rationalized into other schemes. The influence has been varied across ministries. For example, for the Union Ministry of Women and Child Development, out of 19 schemes, there are now only three schemes, i.e. Mission Shakti, Mission Vatsalya, Saksham Anganwadi and Poshan 2.0. Mission Shakti itself replaced 14 schemes which included ‘Beti Bachao, Beti Padhao’ scheme.
In the case of the Ministry of Animal Husbandry and Dairying, only two schemes out of 12 are left. In addition to this, the Ministry has abolished three schemes which include Dairy through Co-operative Societies, National Dairy Scheme-II, etc. For the Ministry of Agriculture and Farmers. Kalyan, now has three out of 20 (Krishannati Yojana, Integrated Scheme on Agricultural Cooperation and Rashtriya Krishi Vikas Yojana), while little is known about the National Project on Organic Farming or the National Agroforestry Policy. There may be some people who believe that the reduction in government schemes is a remarkable achievement. But does this lead to better governance through less government? Are we reducing the state to bare bones?
For the existing schemes, there are challenges like deducting funds, disbursing and utilization of funds. As of June 2022, ₹1.2 lakh crore for central government-sponsored schemes is with banks that generate interest income for the Centre.
The Nirbhaya Fund (2013) is an interesting case focusing on funding projects to improve public safety of women in public places and encourage their participation in economic and social activities; ₹1,000 crore annually (2013-16) was allocated to the fund, and remained largely unspent. Till FY 2011-22, around Rs 6,214 crore was allocated to the fund since its launch, but only Rs 4,138 crore was disbursed. Of this, only ₹2,922 crore was utilized; ₹660 crore was disbursed to the Ministry of Women and Child Development, but only ₹181 crore was utilized till July 2021. Nevertheless, various women-centric development schemes are being discontinued or terminated in the states. Meanwhile, women face significant risks in public places.
Farmers have not been spared either because of the decline in fertilizer subsidies over the years; The actual government expenditure on fertilizers reached ₹1,27,921 crore in FY20-21. In the FY21-22 budget, the allocation was ₹79,529 crore (later revised to ₹1,40,122 crore amid the COVID-19 pandemic). In the budget for FY22-23, the allocation was ₹ 1,05,222 crore. The allocation for NPK fertilizers (nitrogen, phosphorus and potassium) was 35% lower than the revised estimates in FY 2011-22. Such budgetary cuts, when fertilizer prices have risen sharply after the Ukraine war, have led to fertilizer shortages and farmers’ suffering. How do we encourage farmers to continue with agriculture?
employment program
It is the same story with the rural poor. Allocation for the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) fell by almost 25% in the Budget for FY22-23 earlier this year, with the budget allocated ₹73,000 crore when the revised estimates for FY21-22 were compared. In comparison ₹98,000 crore. The Economic Survey 2022-23 has highlighted that demand for the scheme was higher than pre-pandemic levels as rural distress continues. Anecdotal cases show that there have often been delays in disbursement of actual funds for MGNREGA, leading to a decline in confidence in the scheme. Garib Kalyan Rozgar Abhiyan (June 2020, for a period of 125 days) sought to provide immediate employment and livelihood opportunities to the rural poor; About 50.78 crore person-days of employment were provided at an expenditure of about ₹39,293 crore (against the announced budget of ₹50,000 crore of the Ministry of Rural Development). It should also be noted that 15 other schemes have been included in this scheme. With 60 million to 100 million migrant workers seeking informal jobs, such a scheme should have been expanded.
in health care
Now for the health workers. For Accredited Social Health Activists (ASHAs), who are first responders, salaries have been delayed by up to six months. Struggle to regularize their jobs with wages and honorarium stuck at the minimum level.
There is another example. Biodiversity has also been overlooked. Grants for wildlife habitat development under the Ministry of Environment, Forest and Climate Change have declined: ₹165 crore (FY 18-19) to ₹124.5 crore (FY19-20), ₹87.6 crore (FY 20-21) ). The allocation for Project Tiger has been reduced from ₹323 crore (FY 18-19) to ₹194.5 crore (FY 20-21). A relevant question is about meeting climate change obligations in the event of funding cuts.
Instead of curtailing government schemes and cutting funding, the government should shape up right. After the Goods and Services Tax reform, centre-state relations have been transformed, with fiscal firepower leaning towards the Centre. There is a need for more doctors, teachers, engineers and fewer data entry clerks in our public services. We need to build capacity for an efficient civil service to meet today’s challenges, i.e. providing corruption free welfare system, running modern economy and providing better public goods. Instead of aiming for fewer government schemes, we should raise our aspirations towards better public service delivery.
Firoz Varun Gandhi is a three-time MP from the Pilibhit Lok Sabha constituency of Uttar Pradesh.