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Mahatma Gandhi National Rural Employment Guarantee Act

Ministry of Rural Development Government of India

To a people famishing and idle, the only acceptable form in which God could dare appear was 'work and promise of food as wages
Mahatma Gandhi

Presentation Overview
Mahatma Gandhi National Rural Employment Guarantee Act (NREGA) Overview NREGA & Agriculture Convergence Initiatives taken by the Ministry

Mahatma Gandhi National Rural Employment Guarantee Act & Objectives

1. 2.


Providing wage employment opportunities Creating sustainable rural livelihoods through rejuvenation of natural resource base i.e. augmenting productivity and supporting creation of durable assets Strengthening rural governance through decentralisation and processes of transparency and accountability

An Act to provide for the enhancement of livelihood security of the households in rural areas of the country by providing at least one hundred days of Guaranteed wage employment in every financial year to every household

(FY 2006-07) 200 Districts Employment provided to households: PERSONDAYS [in Crore] Total: SCs: STs: Women: Others: Average personday per household FINANCIAL DETAIL Budget Outlay (In Rs Crore): Central Release (In Rs Crore): Total available fund [including OB]: In Rs. Crore. Expenditure (In Rs. Crore.) Average wage per day Average cost per day WORKS DETAIL Total works taken up (In Lakhs): Works completed: Water conservation: Provision of Irrigation facility to land owned by SC/ST/ BPL/ S & MF and IAY benificiaries: Rural Connectivity: Land Development: Any other activity: (FY 2007-08) 330 Districts (FY 2008-09) 615 Districts (FY 2009-10) (provisional) 619 Districts

2.10 Crore 90.5 22.95 [25%] 32.98 [36%] 36.79 [41%] 34.56 [38%] 43 Days 11300 8640.85 12073.55 8823.35 Rs. 65 Rs. 97 8.35 3.87 4.51 [54%] 0.81 [10%] 1.80 [21%] 0.89 [11%] 0.34 [4%]

3.39 Crore 143.59 39.36 [27%] 42.07 [29%] 61.15 [43%] 62.16 [43%] 42 Days 12000 12610.39 19,305.81 15856.89 Rs. 75 Rs. 110 17.88 8.22 8.73 [49 %] 2.63 [15 %] 3.08 [17 %] 2.88 [16%] 0.56 [3%]

4.51 Crore 216.32 63.36 [29%] 55.02 [25%] 103.57 [48%] 97.95 [45%] 48 Days 30000 29939.60 37397.06 27250.10 Rs. 84 Rs. 126 27.75 12.14 12.79 [46%] 5.67 [20%] 5.03 [18%] 3.98 [15%] 0.28 [1%]

5.25 Crore 282.80 86.69 [31%] 58.17 [20%] 137.39 [49%] 137.95 [49%] 54 days 39100 33506.61 49605.91 38473.36 Rs. 93 Rs. 136 45.96 20.82 23.30 [51%] 7.74 [17%] 7.63 [17%] 6.30 [14%] 0.98 [2%]

NREGA: Positive Trends

Increase in Agriculture Minimum Wages and wage earned per day and annual income. Bargaining power of labour has increased Earnings per HH has increased from Rs 2795 in 2006-07 to Rs 3150 in 2007-08 to Rs 4060 in 2008-09 and about Rs 5000 in 2009-10 Financial Inclusion: 9.19 crore accounts opened Distress migration has reduced in many parts Green Jobs created as 70% works relate to water conservation, waterharvesting, restoration, renovation and desilting of water bodies, drought-proofing, plantation & afforestation Productivity effects of NREGA reported - Improvement in ground water - Improved agricultural productivity & cropping intensity - Livelihood diversification in rural areas.


Nature of MGNREGA works are such that they augment productivity Private Lands Community Lands

Water conservation Water harvesting Irrigation Drought proofing Plantation & Afforestation Renovation of water bodies Desilting of tanks & canals Flood control measures Rural connectivity

of SC/ST/IAY/Land Reform beneficiaries/BPL/small and marginal farmers

Small & marginal farmers account for 80% of land- holdings & operate 40% of cultivated land

Land Development Irrigation facilities Horticulture Plantation

Highest Priority to Water Conservation

Flood Control and Protection

9% 6%


Water Conservation and Water Harvesting Provision of Irrigation facility to Land Owned by SC/ST/BPL/ IAY Beneficiaries Rural Connectivity Land Development Others

27% 8% 1%

Drought Proofing (Afforestation & Plantation)

16% 16%

Micro Irrigation Works Renovation of Traditional Water bodies

Leveraging MGNREGA for Sustainable Development through Inter-sectoral Convergence

From mere wage employment to sustainable rural livelihoods From unskilled to skilled labour through knowledge & technology input, training & capacity building in productivity increases, water-use efficiency, backwardforward linkages Significant productivity increases could be stimulated by NREGA on holdings of small and marginal farmers in rainfed areas

Increasing Share of works on private lands [provision of irrigation facilities to land owned by SC/SC/IAY/BPL/Small and Marginal Farmer beneficiaries]
25 20 15 10 5 0 2006-07 2007-08 2008-09 2009-10

Improving Land and Water Productivity through MGNREGA


of private works to include Small & Marginal Farmers -Gram Panchayats to ensure that (as per permissible list) on lands of SC / ST and BPL receive first priority

or Dug-well on Every Farm in Rainfed Areas: Provision of water source (farm pond / dug-well with recharge structure) on lands of small, marginal and tribal farmers -60% lands of small & marginal farmers and 90% lands of tribal farmers are unirrigated -Special focus will be on those who benefit under the Scheduled Tribes and Other Traditional Forest Dwellers (Recognition of Forest Rights) Act 2006


MGNREGS and Schemes of Ministry of Agriculture

NREGA works catalyse agricultural development through:
Additional land under irrigation/cultivation Improved soil fertility and moisture conservation Convergence with NHM, RKVY, NFSM, Fisheries etc Growth in consumption of agricultural inputs through increased household earnings So huge potential exists for NREGA convergence with agriculture and allied programmes such as; National Horticulture Mission Rashtriya Krishi Vikas Yojana National Food Security Mission


MGNREG Convergence with RKVY

Developing of rain fed farming systems in and outside watershed

areas, as also integrated development of watershed areas, wastelands, river valleys
Activities relating to enhancement of horticulture production and popularization of micro irrigation systems; Collection and processing of neem seeds as part of Integrated Pest Management Promote Organic farming through extensive composting and recycling of solid waste Seed production, packing and processing in common and community lands Common post harvest facilities for threshing, storage and labour intensive processing

MGNREGS with National Food Security Mission

National Food Security Mission (NFSM) The objective of the Mission

Increase production of rice, wheat and pulses through area expansion and productivity enhancement in a sustainable manner in the identified districts
Restoring soil fertility and productivity at the individual farm level Creation of employment opportunities; and enhancing farm level economy ( i.e. farm profits) to restore confidence amongst the farmers. Value addition to NREGS work through NFSM Individual land holding cultivators benefiting under NREGS should be included under NFSM on priority, for value addition through sharing of information: Critical role of ATMA 15

Convergence with Watershed Programmes Guidelines Issued

Project of a village to be prepared on Watershed approach
Delineation of Watershed as per Common guidelines for Watershed Under NREGA, the size can be an area of the village matching micro watershed i.e. nearly 250 to 500 hectares. Gap Filling through NREGA a) Areas treated under Watershed Development programme but not saturated because of insufficient cost norms. b) Difficult areas, being treated under the watershed Development programme, where the revised cost norms is also not sufficient to saturate the area. c) New areas; neither yet treated nor planned under watershed programme and where works are to be planned on watershed approach under NREGA.


Triggering Green Revolution in Rainfed Areas

Green Revolution bypassed the rainfed areas. Agriculture Development Programmes

and MGNREGS converged have potential to become a life-support system in the rainfed areas

Most MGNREGA works contribute directly or indirectly to agricultural development Convergence of MGNREGA with agriculture and allied sectors is possible across the value chain; Pre-production - Soil and water conservation projects form bulk of MGNREGA works Production phase Weed control in common lands, community nurseries for planting material

Post harvest Common threshing floors, village roads for connectivity to markets,
composting post harvest waste Convergence of MGNREGS with Schemes of Ministry of Agriculture can improve soil health & water conservation

Advisory to States
Assessment of labour & works in areas of deficient rainfall GPs to be ready with Shelf of Projects Shelf of Projects may be revised and submitted to Ministry for additional budgetary support Ensure adequate funds available in every GP Special attention to water conservation & harvesting, restoration & renovation of water bodies Convergence guidelines with Ministry of Agriculture issued. Progress should be monitored


Water Conservation

Plantation Works