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POLICY NOTE - 2005- 2006 DEMAND No. 40
1. INTRODUCTION The Rural Development and Panchayat Raj Administration are concerned with the task of alleviation of poverty of the rural poor and promotion of sustainable livelihood opportunities through self employment programmes, generation of additional income and strengthening the rural infrastructure facilities through wage employment programmes, improvement of quality of life of the rural people through Rural Housing and Sanitation programmes and participation and involvement of the people in the process of development through the Panchayat Raj Institutions. The Directorate of Special Village Panchayats has been brought under the administrative control of the Rural Development Department so as to extend the benefits of rural development programmes to the people of Special Village Panchayats as well. DIRECTORATE OF RURAL DEVELOPMENT 2. SIGNIFICANT ACHIEVEMENTS IN 2004-05 The Government have been striving to realize the objective of holistic rural development through various Central and State sponsored schemes. The singular achievements of 2004-05 are highlighted below: 2.1. Rural Sanitation: The Hon’ble Chief Minister launched a “Clean Village Campaign” in Tamil Nadu which triggered a revolution in rural sanitation and led to the State winning encomiums at national level. The Panchayat Raj Institutions of Tamil Nadu cornered maximum number of the coveted Nirmal Gram Puraskar Awards worth Rs.48 lakhs. 15 Village Panchayats received Clean Village Campaign Awards in the State. 12 Village Panchayats and one Block Panchayat consisting of 10 panchayats, in all 22 Villages, received Nirmal Gram Puraskar Awards at the National level. Melpuram Block in Kanniyakumari District was the only Block selected at the national level for the award. Tamil Nadu received 35 % of the first ever Nirmal Gram Puraskar Awards announced by the Government of India. His Excellency, The President of India proclaimed that Tamil Nadu is progressing as a model State in Sanitation and quoted the achievement of Keerapalayam Village Panchayat in Cuddalore District and Gandhi Nagar Special Village Panchayat in Vellore District as examples of excellence in sanitation. The whole country hailed Tamil Nadu’s achievement in rural sanitation. The Clean Village Campaign Award and Nirmal Gram Puraskar Award have become unique examples in empowering the Panchayat Raj Institutions (PRIs) socially, culturally and economically. All these efforts have contributed in achieving an increase in rural sanitation coverage in the State from 15% in 2001 to 54% in 2005. 2.2. Computerisation of Village Panchayats The Hon’ble Chief Minister inaugurated a programme for Computerisation of Village Panchayats on 13.10.2004. 1113 Village Panchayats, 385 Panchayat Unions and 29 offices of Assistant Directors of Panchayats and the Directorate of Rural Development have been provided with computers at a cost of Rs.10.37 crores, making Tamil Nadu a forerunner in taking I.T. enabled administration and e-governance to the village level. A web enabled software called PRIASOFT (Panchayat Raj Institutions Accounting Software) designed in association with the National Informatics Center (NIC) is used for the maintenance of accounts of Panchayat Raj Institutions. The Computers in the Village Panchayats are also being utilized by Women’s Self Help Groups(SHGs) as Internet Kiosks. 2.3. Model Village Training Centres The Model Village Training Centres (MVTCs) announced as a concept in the Budget for 2004-05 became a reality when the Hon’ble Chief Minister launched the MVTCs on 13.10.2004 and participated in a Video Conference with Aranmanaipudur Village Panchayat President, Theni District. The flow of information between the Village Panchayat, Block Panchayat and the District Panchayat and establishment of electronic connectivity for sharing best practices has been appreciated at the national level by the Director General, National Institute of Rural Development, Hyderabad as a pioneering effort. 2.4. Poverty Reduction Government announced a new programme called ‘Empowerment and Poverty Reduction’ in 2004-05 to provide shelter security, nutrition security, health security and other welfare measures to 25 poorest of the poor households in each Village Panchayat. Implementation of this path breaking scheme in mitigating poverty has commenced with the identification of the destitute in each village. A sum of Rs. 5.00 crores has been released with clear guidelines for the different types of assistance that may be made available to the ultra poor. The Hon’ble Chief Minister’s foresight in announcing a scheme with such precise targeting of the truly needy, will, no doubt, lay the foundation for meaningful alleviation of rural poverty. 2.5. Rural Housing Scheme The State Government formulated a new credit-linked participatory programme of upgrading 20000 kutcha houses in rural areas. It is proposed to assist Below Poverty Line (BPL) families among the members of Self Help Groups(SHGs). This new programme has the following components: a) Beneficiary contribution Rs. 500/- b) Government subsidy Rs. 2500/- c) Loan component to be availed Rs. 7000/- Total Rs. 10000/- A sum of Rs.5 crores has been released and identification of individual beneficiaries has been undertaken. 2.6. Namadhu Gramam The Honourable Chief Minister announced on 15th August 2004, a new scheme for true empowerment of the people – ‘Namadhu Gramam’, with an outlay of Rs.200 crores covering all the 12,618 Village Panchayats in the State. Under this scheme, the people and PRIs have been motivated to participate in the process of development of their village and improvement to their quality of life. The people and the Grama Sabha prepare their Village Development Plan and take control of their own growth and development. The State has supported all the 12,618 Panchayats with a sum of Rs.140 crores at Rs.1.10 lakhs per Panchayat. Using these funds, the Panchayats have taken up infrastructure works such as cement roads, street lights etc. To encourage greater people’s participation leading to village development, improvement to human development indicators, addressing of social issues etc., the Panchayats are being given incentives for a total amount of Rs.55 crores based on their performance. The scheme has received overwhelming response in the entire State and set in motion a highly motivated and voluntary action, along with a convergent approach for sustainable and holistic rural development. 2.7. Rural Family Health Volunteer Scheme A Rural Family Health Programme announced in the Budget for 2004-05 will be implemented in 5 Village Panchayats in each Block. The process of identifying 5 SHGs in each District for provision of appropriate training is currently being undertaken. This scheme will promote maternity and child health welfare in rural habitations. 2.8. Rejuvenation of Traditional Drinking Water "Ooranies" Enthused by the success of the pilot project of rejuvenation of drinking water ooranies in Ramanathapuram and Kancheepuram districts, the Rural Development Department, in association with Anna University, has been able to rejuvenate 246 Ooranies at a cost of Rs.7.38 crores. These Ooranies have now become sources of drinking water with the added advantage of “zero” power cost. The maintenance of these Ooranies rests with the user communities and the local panchayats. 2.9. Promotion of Energy Efficient Systems in Rural Areas The achievement under the Rural Renewable Energy Programmes with 11 Bio Mass Gasifiers, 1274 bio-gas linked individual toilets, 1587 bio-gas plants, 3003 Solar Photo Voltaic (SPV) street lights, 304 SPV home lights, 22 SPV pumps etc. has been appreciated at the national level. The Government of India have acclaimed Tamil Nadu as the only State in the country promoting renewable energy, both at village and family levels. 2.10. Synergy in Rural Development Programmes Synergy in Rural Development Programmes practiced in Tamil Nadu, linking the Panchayat Raj Institutions and Self Help Groups with the multifarious programmes of Rural Development, has also become a model to be emulated by other States. The presentation made by Tamil Nadu during the All India Project Officers of District Rural Development Agency (DRDA) Conference on 27th & 28th September 2004 at New Delhi was circulated to all the States in the country. Linking of Housing/Sanitation/ Roads/Wage and Self-employment/Poverty Alleviation schemes with SHGs and Panchayats has been consciously undertaken by every DRDA in the State. 2.11. Self Sufficiency of Village Panchayats In Tamil Nadu, 1051 Village Panchayats have attained self sufficiency by way of mobilizing their own resources and by way of reducing the operation and maintenance expenditure through innovative measures on maintenance of street lights and solid waste management. In addition, 5780 Village Panchayats manage the expenditure from their own resources and State Finance Commission Grants. 3. PERFORMANCE IN 2004-05 AND INITIATIVES FOR 2005-06 3.1. Rural Sanitation The Hon’ble Chief Minister, complimenting the Nirmal Gram Puraskar awardees, recalled the golden words of Mahatma Gandhi “India lives in Villages”, and also stressed the need for sustainability in the Clean Village Campaign through continuous hard work. During 2004-05, 15 Village Panchayats were awarded the Clean Village Campaign cash award of Rs.5 lakhs each. The cash award of Rs.5 lakhs motivated the people to maintain clean environment and safe garbage disposal through solid waste management. Out of Rs.75 lakhs, among others, Rs.13.16 lakhs has been used for non-renewable energy systems, Rs.30.35 lakhs has been spent on creation and maintenance of additional sanitation facilities and Rs.10.60 lakhs towards construction of buildings and other works. Tamil Nadu has been adjudged the best performing State in the country in Rural Sanitation, in view of the following special initiatives taken by the State Government:-
The achievement and success of the rural sanitation programme has attracted visitors from within and outside the country. Teams from other States like Haryana, Maharashtra and West Bengal and from countries like SriLanka and Bangladesh have visited our State to see the special initiatives in Tamil Nadu and to gain experience in rural sanitation. 3.2. Rural Roads All weather roads to rural habitations covering 4197 Kms at a cost of Rs.552 crores have been executed under Pradhan Mantri Gram Sadak Yojana (PMGSY). The performance of the State in terms of quality and fund utilisation has been appreciated by the Government of India resulting in enhancement of allotment to Rs.118 crores during 2004-05, which is an increase of 47% over the original allotment of Rs.80.00 crores. 3.3. Rural Poverty Alleviation Programmes 3.3.1 Wage Employment Programme a. Sampoorna Grameen Rozgar Yojana(SGRY) The Project Officers of the District Rural Development Agencies (DRDAs) with men, material and machinery were co-opted in the Tsunami relief works and actively contributed to the rehabilitation of the affected people. The elected representatives of the Panchayat Raj Institutions who had been trained on disaster management also played a significant role in the relief operations. The Department took up with the Government of India the need for a special allocation for Tsunami affected areas under SGRY Programme, which has been duly considered and sanctioned. A sum of Rs.210 lakhs with 2629 M.Tonnes of Rice have been sanctioned for Wage Employment works to be taken in Tsunami affected areas.
b. Special Component of Sampoorna Grameen Rozgar Yojana
c. National Food For Work Programme In Tamil Nadu 4 districts i.e., Cuddalore, Villuppuram, Nagapattinam and Tiruvannamalai have been selected for the implementation of the programme. A sum of Rs.4851.58 lakhs has been released with allotment of 49815 M.Tonnes of rice. The process of preparation of perspective plan is under progress. Pending preparation of perspective plan, 2868 works were taken up so far. The Programme will continue during 2005-06. Works relating to water conservation, drought proofing including afforestation, land development, flood control measures and rural connectivity will be taken up. 3.3.2.Self Employment Programme Swarnajayanthi Gram Swarozgar Yojana ( SGSY) A re-survey of BPL families conducted in the 12 Tsunami affected rural districts, reveals an increase of 31339 families. The Department also took up detailed survey of the total No. of SHGs affected by the TSUNAMI. It has been ascertained that 2491 SHGs have lost properties and assets and 831 SHG members have died. The Department took special efforts in the State Level Bankers Committee (SLBC) meeting for relaxation of norms of lending and the following have since been announced by SLBC, Tamil Nadu. a) Credit rating will not be insisted upon in the case of Tsunami affected SHGs. b) Enhanced Revolving Fund of Rs.40,000/- will be sanctioned to the affected SHGs. c) Loan will be sanctioned without insisting on collateral security. d) All banks have been advised to lend additional dosage of credit up to a maximum of 4 times the subsidy received by the group without insisting on repayment of earlier loan. 1814 SHGs and 2336 individual beneficiaries have been sanctioned assistance to the tune of Rs.1400.510 lakhs towards Revolving Fund and Economic assistance which includes an additional dosage of Rs.201.33 lakhs disbursed to 151 SHGs. In the affected districts, 429 new SHGs have been formed to extend assistance under SGSY.
During 2004-05, 268 self help groups took up civic maintenance services like hand pump repair, street light maintenance, conservancy etc. A total of 2175 SHG members at the rate of 5 SHGs per district will be imparted training in masonry, plumbing and electrical wiring through reputed institutions at the cost of Rs.108.750 lakhs during 2005-06 Micro Credit and Livelihood Assistance 36642 graded Self Help Groups will be provided Micro Credit and Livelihood Assistance during 2005-06. Rural SHG Cafeteria-cum- Sales Outlet Hon'ble Chief Minister inaugurated the Rural SHG Cafeteria-cum-Sales Outlet in the Secretariat on 13.10.2004. The outlet which sells SHG products to the Secretariat staff and the visiting public has contributed greatly to improving the marketing avenues for SHGs.
The rural SHGs involved in the manufacture of herbal products in Kancheepuram and the Nilgiris Districts have signed a Memorandum of Understanding with TRIFED (Tribal Co-operative Marketing Development Federation of India Ltd.) New Delhi. The sale of these products at national level was launched on 18.3.2005 at New Delhi by the Secretaries, Ministry of Rural Development and Ministry of Tribal Affairs, Government of India. It is proposed to integrate the Irula Tribals from the Nilgiris, Kancheepuram and other districts under this programme for marketing their products. 3.4. Rural Housing 2004-05
2005-06 During 2005-06, it is proposed to construct 37,676 new houses and 19265 kutcha houses. A sum of Rs. 29.42 crores is provided as the State share component and Rs.43.05 crores for RCC roofing component. 3.5. Pradhan Mantri Gramodaya Yojana (Rural Housing) 2004-05 Under the programme 5478 houses were completed with an allocation of Rs.18.78 crores. 2005-06 During 2005-06 it is proposed to take up 5478 new houses with provision of Rs.18.78 crores. 3.6. Rural Energy 2004-05 The programme aims at promoting eco-friendly Non-Conventional Energy Systems with multiple benefits by construction of individual household toilet linked biogas plants. This is fully funded by the Government of India. This programme offers subsidy of Rs.2,800/- for Scheduled Caste / Scheduled Tribes and Rs.2,100/- for non-SC/ST in the plains. In hilly areas, subsidy is paid at a uniform rate of Rs. 3,500/-. During 2004-05, construction of 1500 such plants were taken up and completed. Special attention was paid to link the biogas development programme with other programmes such as Indira Awaaz Yojana, Total Sanitation Campaign, etc. A State Level Awareness Programme was organised by the Tamil Nadu Energy Development Agency to promote the application of Non Conventional Energy Sources. About 300 Village Panchayat Presidents participated in the seminar. 2005-06 It is proposed to install 3000 biogas linked individual household toilets, 30 night soil based biogas plants in the Women Sanitary Complexes and 10 Biomass Gasifiers. A sum of Rs.62.00 lakhs is provided in the Budget estimate for the year 2005-06. It is proposed to conduct awareness programme for the Village Panchayat Presidents, on application of non- conventional energy sources, at 5 regional centres in association with premier Engineering Institutions in the State covering nearly 1500 Village Panchayats. 3.7. Panchayat Raj Administration 3.7.1 State Finance Commission Grant 2004-05 For 2004-05, Rs.862.84 crores was released as grant to Panchayat Raj Institutions. The grant is utilised for the maintenance of drinking water installations, street lights, payment of current consumption charges, pension contributions, maintenance of Minor Irrigation tanks, Panchayat Union Roads etc. After meeting out these maintenance works, 16850 capital works were taken up and completed with an expenditure of Rs.159.95 crores. 2005-06 During 2005-06, Rs.899 crores has been provided for release as grants to the Panchayat Raj Institutions in the Budget estimate. 3.7.2 Eleventh Finance Commission Grant 2004-05 Rural local bodies are also provided with Eleventh Finance Commission Grants for maintaining civic services which includes primary education, primary health care, safe drinking water, street lights, sanitation, burial grounds etc. During 2004-05, a sum of Rs.113.988 crores was utilised and 27442 works were taken up and completed. 3.7.3 Capacity Building 2004-05 That investments in infrastructure lead to development is an accepted fact. But years of such investments and creation of assets have also raised questions of utilization, sustainability and above all, accessibility to all people, especially, the poorest. Tamil Nadu has been the torch bearer, showing the light to the rest of the country in women's development and rain water harvesting with people's involvement. Both these astounding successes had, as their basis, training and awareness creation. Recognizing that investment in IEC (Information, Education, Communication) is essentially investment in people and development, capacity building of Panchayat Raj and Government functionaries is receiving special attention.
2005-06 It is proposed to conduct Training programmes for 33750 elected representatives of Panchayat Raj Institutions, Rural Development and Sectoral Development Officials and Self Help Group members. 3.8. Member of Parliament Local Area Development Scheme (MPLADS) 2004-05 During 2004-05, a sum of Rs.102.00 crores was released by the Government of India and 4135 works were taken up as per the guidelines. Tamil Nadu has been rated as one of the best performing States in the country under this scheme. 2005-06 During 2005-06, the scheme will continue to be implemented with an allocation of Rs.114 crores. 3.9. FULLY STATE SPONSORED PROGRAMMES 3.9.1. Member of Legislative Assembly Constituency Development Scheme (MLACDS) 2004-05 During 2004-05, a sum of Rs.192.70 crores was released and 9983 works were taken up. 2005-06 Allocation per Assembly Constituency has been enhanced from Rs.82.00 lakhs to Rs.100 lakhs under MLACDS. The works will be taken up in consultation with the MLAs as per the existing guidelines. A sum of Rs.235 crores has been provided in the Budget for 2005-06. 3.9.2. Namadhu Gramam The implementation of Namadhu Gramam is in full swing and the first phase is nearing completion. The second phase has also commenced, with the Panchayats assessing the progress, they have made towards the goals based on the indicators for incentives. The Government have issued detailed guidelines on the incentives to be given to Panchayats. Recognizing that all Panchayats with varying degrees of progress and efforts need to be encouraged, based on the extent of progress as measured through the indicators in the guidelines, three levels of incentives at Rs.3 lakhs, Rs.1 lakh and Rs.20,000 are to be given. The outlay under this scheme for the year 2005-06 is Rs.175 crores. 3.9.3. Rural Housing Scheme 2004-05 "Housing for Rural poor", a new credit linked participatory Programme for upgrading the Kutcha Houses in rural areas is being implemented from 2004-05. This programme is being implemented through the Self Help Groups. During the year 2004-05, a sum of Rs.5.00 crores has been released for upgrading 20,000 kutcha houses. 2005-06 It is proposed to cover one lakh families during the year 2005-06, for which an allocation of Rs.25 crores has been provided. 3.9.4 Empowerment and Poverty Reduction 2004-05 In every Village Panchayat, 25 poorest of the poor households will be provided Livelihood Security, Shelter Security, Nutrition Security, Health Security etc., through ongoing programmes. An amount of Rs.5.00 crores has been released to the districts during 2004-05 for implementing the programme. 2005-06 The scheme will be implemented during 2005-06 with an allocation of Rs.20 crores. 3.9.5. Self Sufficiency Scheme 2004-05 Felt needs of the community are identified and prioritized to take up works which are not taken up under other schemes with public contribution of 25% of the total cost in the form of cash, kind or labour. During the year 2004-05, Rs.40.00 crores was allotted and 2176 works were taken up. 2005-06 A sum of Rs.50.00 crores has been provided in the Budget for 2005-06. 3.9.6. Village Infrastructure Development Programme 2004-05 Many village shandies were functioning in unhygienic conditions and without even minimum infrastructure facilities. These shandies are conducted for marketing agricultural produces and other rural products. During 2004-05, 33 shandies at a cost of Rs.244.04 lakhs were provided with infrastructural facilities, such as construction of stalls, street lights, drinking water, toilets, approach roads, drainages, etc. with the assistance of NABARD (National Bank for Agriculture and Rural Development). 2005-06 It is proposed to provide such additional infrastructure facilities in 71 village shandies at an estimated cost of Rs. 432.82 lakhs, with financial assistance from NABARD. 3.9.7. Socio-Economic Development Society for Dharmapuri and Krishnagiri 2004-05 The Honourable Chief Minister announced and allocated Rs. 6.00 crores for Dharmapuri district and Rs.3.00 crores for Krishnagiri district for taking up socio- economic development works to address the special needs of these Districts. 3.9.8. Administrative Infrastructural Support The Government, during 2004-05, made the following provisions for improving the administrative infrastructural facilities of Rural Development in order to improve working conditions and effective performance. This includes:
2005-06 For the year 2005-06, Rs.443.00 lakhs will be made available for the following activities:
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