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).
We need your ideas and inputs. Ideas on how we can inform many more people who are interested in policy about what they can access on the PRS website. The mission of PRS is to strengthen the legislative process by making it better informed, more transparent and participatory. The statement has three important components: (a) Better informed: This implies that legislators and citizens need to be better informed about the implications of legislation. For us in PRS, this implies producing easy-to-understand non-partisan analysis that can be made available to MPs and citizens. This also includes our continual efforts to personally brief MPs and political parties on the details and implications of each Bill. (b) Transparent: We mean that all proceedings of Parliament and the work of MPs in Parliament should be easily accessible to citizens. In an operational sense, this includes the effort we put into creating the Bill Track section on our website where every Bill that is pending in Parliament can be accessed, and the current status of the Bill can be tracked. It also includes the MP Track section in which we have up-to-date information about the engagement levels of MPs in Parliament. We also have a twitter page www.twitter.com/prslegislative and a Facebook presence. (c) Participatory: Which simply means that once citizens know the information, and would like to articulate a point of view, they should reach out to policy makers and get their point of view across to them. To promote this, we have had a number of workshops with NGOs and have produced a primer on "Engaging with Policy Makers". These are just some examples of what we are doing in each of these three areas. Our website has much more information. But we are increasingly of the view that we need to reach out many more people who are interested in policy -- even if it is sector specific. We would be grateful for any ideas that you might have, which you can post as responses to this post. If you also have specific ideas on what you like on our website and what can be better, do let us know. Thanks, in advance.
