11th December, 2003
Ministry of Rural Development  


CONSTITUTION AMENDMENT BILL FOR USHERING IN SECOND GENERATION REFORMS FOR FINANCIAL AND ADMINISTRATIVE EMPOWERMENT OF PRIs – KASHIRAM RANA


Ministry of Rural Development is processing the case for bringing about for the constitution amendments for speedy and effective devolution of financial and administrative powers of Panchayati Raj Institutions(PRIs). An amendment bill to the constitution in this regard will be introduced shortly in Parliament. This was informed by Shri Kashiram Rana, Union Minister for Rural Development in a Consultative Committee meeting attached to his ministry here today.

Shri Rana further informed that the 73rd Amendment Act made constitution of PRIs and regular elections to them every five year mandatory for the States. But as regards the devolution of powers to PRIs and other functional aspects, the decision making was left to the State Legislatures. Today we have approximately 2,50,000 Panchayats and about three million people have been elected of which one-third are women. This is the largest single representative base and the world’s largest experiment in local democracy. Shri Rana expressed concern that administrative and fiscal decentralization however, has fallen far short of what was desirable.

Shri Rana observed that people living in far corners of rural India have become quite aware of the issues of governance and development. As the markets become more and more competitive, infrastructure requirements are increased, people demand viable and speedy solutions to their day to day problems. The only way to meet this challenge and to fulfill the aspirations of the people is to engage them in the development process and social audit through Gram Sabhas.

Listing out various steps taken by the Ministry for empowering of Panchayati Raj Institutions (PRIs), Shri Rana highlighted that Rural Development Ministry has already transferred decision making and implementation and financial powers to PRIs in respect of its programmes. The Sampoorna Grameen Rozgar Yojana (SGRY) is implemented through Panchayts. Through recent Guidelines of Hariyali, implementation of Watershed Development Programmes namely IWDP, DPAP and DDP has been transferred to PRIs. Panchayats have also been assigned the implementation of Swajaldhara. Selection of beneficiaries in all the programmes is to be done by Panchayats.

Members lauded the efforts made by the Ministry for instituting the awards for the Best Panchayats. They were in a view that it would encourage Panchayats to excel in performance of their role. Members raised the issue of holding regular meeting for Vigilance and Monitoring committees. They also suggested for training of elected representatives and for constitution of District Planning Committees.

Shri Rana replied that for the training of elected representatives and functionaries of Panchayats, support is provided by National Institutes of Rural Development (NIRD) in terms of training of trainers, development of materials and other guidance. Action Plan from 22 State Governments for providing training to elected and official functionaries of PRIs has been approved by the Ministry and the State Governments are encouraged to use all available infrastructure and networking with NGOs and other institutions for the training. Shri Rana said that regarding constitution of DPCs, he will take up this issue with the State Governments.

Members who attended meeting are Shri B.C. Yadav, Shri A.F. Golam Osmani, Shri Chintaman Wanga. Shri Y.V. Rao, Shri Saif-ud-din-Soz, Shri P.S. Gandhvi, Shri M. Vasva, Shri M.K. Patel, Shri R.S. Shakya, Shri B.K. Katara, Shri B.P. Solanki, Shri P.D. Elangovan, Shri Dalit Ezhilmalai and Shri M.D. Mistry.