BRGF in Andhra Pradesh: trends in implementation Dr.V.Siva Sankara Prasad Junior Faculty, AMR-APARD In order to put the post-independent India on a firm road to planned progress and economic development, the Government of India formulated the five year plans and devised a number of strategies to achieve this goal. However, nearly six decades after the planning process was initiated, several states continue to lag far behind as do some regions within the developed states too – thanks to a variety of factors like climatic conditions, geographical location, availability of natural resources, social and historical background. The Government, which believed that establishment of industries, could address the problems of the backward areas, pumped heavy funds into backward states like Orissa, Bihar and Madhya Pradesh in the Second and Third Plan periods to set up major industries. However, over the subsequent Plans, the bigger States managed to hog the lion’s share of these outlays in the context of changing political climate. As a result, regional imbalances or disparities persist to this day. With states like Punjab, Haryana, Gujarat, Maharashtra and Tamil Nadu toeing liberalised reforms and offering a number of incentives to attract private participation, development remined confined to limited pockets. Identifying the constraints for development of these backward areas, the Sixth Plan (1980-85) focused on integrated development of local areas based on optimum utilisation of locally available resources while the Backward Regions Development Committee was established during the Fifth Plan. The planners recognised that human resources development as a key factor in bridging regional imbalances and accorded top priority to development of drought prone, desert, hilly areas and tribal tracts in the formulation of regional development programmes with emphasis on individual benefits. Following the liberalised economic policies initiated in the early 1990s, the priorities shifted to investments in infrastructure development of backward regions during the Eighth and the Ninth Plans. This shift occurred in the backdrop of a scenario of growing private investment flows into the developed areas. The Tenth Plan (2002-07) saw substantial outlays for infrastructure development of the backward regions coupled with steps to enlist active involvement of local bodies and the people in the implementation of Rashtriya Sama Vikas Yojana (RSVY), a Backward Districts Intiative. The RSVY objectives included development of backward regions, bridging regional imbalances, hastening the pace of development, tackling poverty and unemployment and raising the living standards of the people. However, the RSVY could not live up to the declared objectives of enlisting active participation of the local bodies or the people. In the year 2005, the Planning Commission set up an inter-ministerial task force to discuss and devise steps to remove regional imbalances in the development endeavour. In line with its recommendations, the Government launched Backward Regions Grant Fund (BRGF) during the Eleventh Plan period. Backward Regions Grant Fund The Government identified 250 districts across the country on the basis of low human development index, poor infrastructure facilities, high concentration of rainfed farm lands etc. for implementation of the scheme launched in the year 2007. An important feature of the programme was release of funds directly to the districts based on district-level development indices. Thirteen districts were selected in Andhra Pradesh, all the 9 in Telangana except Hyderabad, three of the four Rayalaseema districts (excepting Kurnool) and Vizianagaram, the lone district from the coastal region. A sum of Rs 4670 crores was being allocated in the Union Budget from the year 2007-08. The BRGF provides financial resources to supplement and converge developmental inflows into the said districts. Main objectives of the Programme Bridging critical gaps in infrastructure facilities Preparation and implementation of participatory plans at the panchayat and municipality level to meet the local felt needs. Capacity building of the local bodies to monitor implementation of the scheme. Provide professional and expert support to the local bodies in these areas. Capacity building to enable the local bodies to manage resources, functions and responsibilities transferred to them. BRGF funds are released to the districts under two special budgetary heads: capacity building fund– Rs one crore every year for capacity building initiatives for the elected representatives of PRIs and the officials of the urban local bodies, and development grant – for implementation of works identified on the basis of peoples prioritisation. Each district is entitled to a minimum of Rs 10 crores under the development grant and the balance of available funds are released directly to the district, 50 per cent of the funds on the basis of its size and the other 50 per cent on population. The funds in turn are utilised within the said district to take up works identified under participatory plan as per the following criteria in Andhra Pradesh – 50 per cent to gram panchayats, 30 per cent to the mandal parishads, 20 per cent to the zilla parishad and to the municipalities on population District perspective plan, a must District development perspective plan is a must to qualify for BRGF funds. The BRGF helps minimise regional imbalances and hasten development in the backward regions through the district plans formulated on the basis of locally available natural, human and financial resources. It will also doubtless pave the way for transformation of panchayati raj bodies into effective local governments as envisaged by Article 243 G of the Constitution. The scheme also provides for enlisting of the services of experts in the preparation of district, mandal and village plans. Another plus point is that the BRGF funds can be used for addressing minor but long-pending development constraints at the village level. These funds prove to be particularly valuable in streamlining and improving rural water supply system, school, anganwadi and public health sub centre buildings, and village veterinary centres. Proper use of these funds in the areas of education, public health and medicare, drinking water supply and sanitation can significantly contribute to improvement of the living conditions of the rural populace. Implementation trends in AP Thirteen districts (Adilabad, Karimnagar, Khammam, Medak, Warangal, Nizamabad, Nalgonda, Mahbubnagar, Ranga Reddy, Anantapur, Chittoor, Cuddapah and Vizianagaram) have been selected for implementation of the scheme in Andhra Pradesh. The BRGF releases about Rs 330 crores every year covering the 13 districts. While state government Panchayat Raj and Rural Development department is looking after the Development grant, AMR Andhra Pradesh Academy for Rural Development is implementing the capacity building initiatives. The district becomes eligible for grants after the plans, prepared by the local and civic bodies on participatory basis, are discussed and approved by the district planning committee (DPC). It is no exaggeration to say that the exercise has activated and invigorated the DPCs. District plans, which remained just a talk for nearly four decades, have now become a reality, thanks to the BRGF. A close look at the sectoral outlays for the 13 districts in 2007-08 will dispel the notion that peoples representatives tend to bestow little attention to human resources development if sufficient funds and powers are given to the local bodies. (see table 1) Available statistics relating to sectoral allocations show that woman and child welfare (construction of anganwadi buildings) accounted for 26.59 per cent of the outlay and education for 16.82 per cent followed by water supply (12. 31 per cent) and construction of gram panchayat buildings (11.99 per cent). BRGF Plan 2007-2008 Sector wise Allocations Sector Total No. of Works Estimated Cost in lakhs Percentage of Fund allocation Women and Child Welfare Education Rural Water Supply 4530 8771 26.59 5090 5539 5549 4061 16.82 12.31 2125 3954 11.99 179 877 2.66 23 364 445 196 972 1457 0.59 2.95 4.42 867 9777 28939 1090 6061 32988 3.30 18.37 Panchayat Infrastructure Social Welfare Hostels Construction Backward Classes Welfare Hostels Construction çAnimal Husbandry Primary Health Rural Electrification Others Total Surmounting hurdles in implementation A number of pro-active steps need to be taken if the BGRF has to succeed in its objectives of reducing regional imbalances by strengthening the local bodies to effectively and efficiently serve the needs of rural areas on the basis of grass-root level participatory plan. To start with, urgent steps should be taken to strengthen capacity building of the district planning committee and to provide for expert services to it in the formulation of the plan. Panchayat functionaries and officials should be trained – the training should be a continuing affair – to improve capacity building. It is heartening to note that the Andhra Pradesh Academy for Rural Development (APARD) has taken the lead in this direction by organising training programmes for the elected representatives through distance education (satellite) mode. For its part, the State Government should also release substantial funds to the local bodies to facilitate formulation of grass root (gram panchayat) level plans. It should also issue categorical instructions to the various departments to ensure timely and regular release of funds to the gram panchayats. There will be no doubt that critical gaps in local infrastructure and development works can be bridged and regional disparities reduced if the peoples representatives in the local bodies agree to spend the funds on prioritised works instead of sharing them on equitable basis. *** Article Published in Sthanika Palalna a Telugu Monthly Magazine published by AMR-APARD, Hyderabad, PP.11-13, March 2009 Translated in to English by (dasu kesava rao, independent journalist, 302, janapriya prameela enclave, umanagar, begumpet, hyderabad 500 016. contact: 040 23411450, 9394311450. dasukesavarao@gmail.com dasukesavarao@yahoo.com , )