Decentralization of MGNREGS

Recently, an internal study commissioned by the Ministry of Rural Development has argued for decentralisation of the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS).

• The study was conducted in seven States — Andhra Pradesh, Arunachal Pradesh, Karnataka, Nagaland, Gujarat, Jharkhand, Himachal Pradesh and the Union Territory of Jammu & Kashmir to assess the implementation of all rural development schemes, including the MGNREGS.

Major Issues Flagged: Centralised Fund Management -In the past few years, the fund management has been centralised instead of paying the gram sabhas an advance.

• Delay in Fund Disbursal - In many states, the delay in funding forced the beneficiaries to buy construction material themselves to complete the projects.
• Ridiculously Low Wage Rate - It found that the MGNREGS wages were well below the market rate in many States.
• Women Enrollment - Women beneficiaries struggled to enroll in the scheme.