According to news reports, the Prime Minister recently chaired a meeting with ministers to discuss an alternative plan (“Plan B”) for the National Food Security Bill, 2011 (hereinafter “Bill”).  The Bill is currently pending with the Standing Committee of Food, Consumer Affairs and Public Distribution.  It seeks to deliver food and nutritional security by providing specific entitlements to certain groups.  The alternative proposal aims to give greater flexibility to states and may bind the centre to a higher food subsidy burden than estimates provided in the Bill.  It suggests changes to the classification of beneficiaries and the percentage of the national population to be covered by the Bill, among others. Classification of beneficiaries The Bill classifies the population into three groups: priority, general and excluded.  Individuals in the priority and general groups would receive 7 kg and 3 kg of foodgrain per person per month respectively at subsidized prices. Plan B suggests doing away with the priority-general distinction.  It classifies the population on the basis of 2 categories: included and excluded.  Those entitled to benefits under the included category will receive a uniform entitlement of 5 kg per person per month. Coverage of population Experts have suggested that the Bill will extend entitlements to roughly 64% of the total population.  Under the Bill, the central government is responsible for determining the percentage of people in each state who will be entitled to benefits under priority and general groups. Plan B suggests extending benefits to 67% of the total population (33% excluded), up from 64% in the Bill.  The Ministry has outlined two options to figure out the number of people in each state that should be included within this 67%.  The first option envisages a uniform exclusion of 33% in each state irrespective of their poverty level.  The second option envisages exclusion of 33% of the national population, which would imply a different proportion excluded in each state depending on their level of prosperity. The Ministry has worked out a criterion to determine the proportion of the population to be included in each state.  The criterion is pegged to a monthly per capita expenditure of Rs 1,215 in rural areas and Rs 1,502 in urban areas based on the 2009-10 NSSO survey. Thus, persons spending less than Rs 40 in rural areas and Rs 50 in urban areas per day will be entitled to foodgrains under the alternative being considered now. Financial estimates Newspaper reports have indicated that the revised proposal will add Rs 7,000 to Rs 10,000 crore per year to the current food subsidy estimate of Rs 1.1 lakh crore.  According to some experts, the total cost of the Bill could range anywhere between Rs 2 lakh crore to Rs 3.5 lakh crore (see here and here).

The Chief Minister of Kerala has made a statement in the Assembly this week agreeing to look into the demand to change the name of the state to Keralam to make it conform to the state's name as pronounced in Malayalam.  A few major cities in Kerala have already been renamed in the recent past in an attempt to erase the Anglican influence in their naming. Another proposal to rename the state of Orissa to Odisha has recently been approved by the Union Cabinet. This is part of a trend that gained momentum after the renaming of Bombay, Madras and Calcutta.  Bombay was renamed Mumbai - derived from name of Goddess Mumbadevi - in1995 when the Shiv Sena - BJP combine won the state Assembly elections.  In the following year Madras was renamed to Chennai and in 2001 Calcutta was renamed Kolkata. The renaming of a state requires Parliamentary approval under Article 3 and 4 of the Constitution, and the President has to refer the same to the relevant state legislature for its views. However, the change in name of official language would require a constitutional amendment since it requires a change in the 8th schedule. In the case of Orissa, the state legislature has approved in August 2008, change to the name of Orissa to Odisha and the name of its official language from Oriya to Odia. The central cabinet approved the proposal, and 2 bills The Orissa (Alteration of name) Bill, 2010 and the Constitution (113th Amendment) Bill has been introduced in Parliament.