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NEXUSDemocracy and Development
August 2016 www.swaniti.in
A Monthly Compendium
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face
Disclaimer: The content of this compendium is for information purposes only. No legal liability or other responsibility is accepted by or on behalf of Swaniti Initiative for any errors, omissions, or statements in the compendium. Swaniti Initiative accepts no responsibility for any loss, damage or inconvenience caused as a result of reliance on such information.
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Dear Readers,
NEXUS is a monthly compilation of briefs, research insights, visualizations, and papers released by Swaniti. Our mission
is to provide information insights on developmental issues that will be catalytic in initiating ground level change.
Swaniti’s research insights are developed through a two-pronged approach: either elected officials request us for
research support on key policy pieces or Swaniti sees contextual value in developing certain research insights. We
currently work with Parliamentarians, policy makers and government enthusiasts on providing research insights on
cross-cutting issues. While we make all of our content available online, our intent through this publication is to create
a one-stop location for all Swaniti information.
Since our primary objective is to support the vision and work in development being done by elected representatives, we
also present the experience of our Associates working on different projects pertaining to health, education, gender and
livelihood across the country with the intention of highlighting the challenges and the action initiated on the ground.
Moreover, aligned with our belief that data-driven policy discourse will ensure that decision making is more evidence
based, we have launched our online portal, Jigyasa, which aims to provide quantitative evidence regarding the
performance of governments and policies and their impact on developmental outcomes Through this platform, we
present our analysis on critical and contextual issues to the public and we have also included these visualizations in
NEXUS. The key policy level actions taken by the Government on a weekly basis are also a part of this compendium
under the Weekly Policy Updates section.
It is our sincere effort to disseminate our work through this compendium and we seek your inputs and feedback to
further innovate and improve as we move forward.
In case you would like to know more about our monthly compendiums, please feel free to contact the below signed:
Aishwarya Ayushmaan
Associate, Swaniti Initiative
Email: [email protected]
About Swaniti: Swaniti is a non-profit, non-partisan group which works with elected representatives and senior policy
makers to deliver development solutions across the country. The vision of the organization is to create a vibrant, better
and inclusive India. In line with this, Swaniti provides knowledge support and human resource support to elected
representatives in order to catalyze development at the grassroots.
About NEXUS
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Parliamentarians Speak
"Swaniti gives parliamentarians like me a great opportunity to harness the talent of professionals
in the governance of our respective constituencies, and I can tell you from my personal experience
that I have started to benefit hugely from this initiative.”
- Dinesh Trivedi, Lok Sabha MP (Barrakpore)
“The Swaniti Fellows that worked with me were well qualified individuals with a sense of social
responsibility. They analyzed government data, understood local challenges and provided
solutions specific to my constituency. I strongly encourage young individuals to understand our
system of governance and engage with policy makers through fellowships as well as internships.
It’s good to have a new perspective to things and work together to bring about change!”
- Anurag Thakur, Lok Sabha MP (Hamirpur)
"More than anything else, the focus on human capital is what I wanted for my constituency. Swaniti
is rightly pursuing interventions to that effect. The partnership has been very fruitful as they
customize their initiatives in accordance with the requirements of the communities as well as the
elected representatives."
- Mr. Jitendra Choudhary, Lok Sabha MP, Tripura
East
"The Swaniti Team has shown exemplary effort and commitment towards developing an Adarsh
Gram in Nandurbar. With their support, I am more confident of realizing my vision of a Model
Village."
- Dr. Heena Gavit, Lok Sabha MP, Nandurbar
“Swaniti has added real value to my constituency work and policy approaches. They have a team
of passionate and committed Fellows who have worked closely and tirelessly with my office and
me to provide high quality deliverables. I am very happy and satisfied with their amazing work.”
- PD Rai, Lok Sabha MP (Sikkim)
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Table of Contents
About NEXUS ............................................................................................................................................................................................ 2
Parliamentarians Speak ........................................................................................................................................................................... 3
Tamra Patra .............................................................................................................................................................................................. 5
Micro-entrepreneurship in India ........................................................................................................................................................ 7
Housing scenario in Visakhapatnam ................................................................................................................................................. 12
Data and Democracy .............................................................................................................................................................................. 16
Domestic Air Traffic in India – Growth Story ................................................................................................................................... 18
Research Support and Engagement with Elected Officials ................................................................................................................. 21
Roundtable with Legislators on Maternal and Child Health Care................................................................................................... 23
Latuk Chochenpheri Women’s Association – A Step towards Active Representation of Women in Village Affairs ................... 26
Swaniti in the Media ............................................................................................................................................................................... 32
Farmers’ training workshop at Kalika gram panchayat .................................................................................................................. 34
Role of Youth and Technology in Governance: Swaniti Talk with Mr. Amitabh Kant ................................................................... 36
Weekly Policy Updates ........................................................................................................................................................................... 37
July 30th – August 5th, 2016 (Week 1) ............................................................................................................................................... 39
August 13th - August 19th, 2016 (Week 2) ........................................................................................................................................ 40
August 20th - August 26th, 2016 (Week 3) ........................................................................................................................................ 42
August 27th - September 2nd, 2016 (Week 4) ................................................................................................................................... 43
Upcoming... .............................................................................................................................................................................................. 46
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Tamra Patra
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Tamra Patra is Swaniti's knowledge repository through which we summarize briefs on government schemes and
programmes. We research implementation strategies and best practices that can be emulated across constituencies.
We also analyze programme approaches that can be beneficial for policy makers and development specialists. This
information is consolidated and disseminated in the form of brief to all the MPs, and is also uploaded on our website.
For the August issue of NEXUS, we worked on the following briefs:
Micro-entrepreneurship in India: Issues and Opportunities: Micro-entrepreneurship is being increasingly
recognized as one of the prominent ways of poverty alleviation and income generation in developing countries. This
concept note outlines key areas where governments can collaborate with industry to create opportunities for micro-
entrepreneurs.
Housing Scenario in Vishakhapatnam: With the rapid urbanization and changing socio-economic patterns, there is
an increase in housing shortage especially for the poor and low-income households. This brief examines the housing
shortage in Vishakhapatnam and the government schemes intended to remedy the same.
About Tamra Patra
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Micro-entrepreneurship in India Exploring opportunities with emphasis on the state of Andhra Pradesh
Introduction
Micro-entrepreneurship is being increasingly recognized as one of the prominent ways of poverty alleviation and
income generation in developing countries. Micro-entrepreneurship reduces the burden on job creation and
encourages self-sufficiency with the use of minimal resources. A typical marketplace in a developing country
comprises majorly of micro-entrepreneurs who range from agriculture to manufacturing and the service sector. In
recognition of the contribution of micro-entrepreneurs towards creating a robust economy, both Central and State
governments have launched several schemes to facilitate micro-entrepreneurship. This concept note outlines key
areas where governments can collaborate with industry to create opportunities for micro-entrepreneurs.
Who is a Micro-entrepreneur?
As per the Micro, Small and Medium Enterprises Development Act, 2006 an enterprise belonging to the
manufacturing sector is deemed micro, if the investment in plant and machinery does not exceed Rs.25 lakhs.
For enterprises belonging to the service sector, the investment may not exceed Rs. 10 lakhs, for an enterprise to
be deemed as micro.
Relevant Central and State Schemes
Prime Minister Employment Generation Programme (PMEGP)
A credit linked scheme to facilitate participation of financial institutions for higher credit flow to micro
sector. It aims to generate sustainable employment opportunities in rural and urban areas of the country
through start-ups.
ASPIRE
It aims to promote innovation & rural entrepreneurship through rural livelihood incubator and fund of
funds.
SFURTI (Scheme of Fund for Regeneration of Traditional Industries)
It organizes the traditional industries and artisans into clusters in order to promote productivity and
competitiveness.
Credit Linked Capital Subsidy Schemes
It aims to enable micro and small enterprises to adopt modern technology to improve their productivity.
Coir Udyami Yojana
It offers credit linked subsidy to enterprises in the coir sector.
Credit Guarantee Fund Scheme
It provides funding assistance to banks and financial institutions so that they can in turn lend collateral
free credit to micro-enterprises.
Additionally, the Government of Andhra Pradesh through its Micro, Small and Medium Enterprises Policy,
2015-20, aims to further boost micro entrepreneurship in the state by providing tax incentives, subsidies,
marketing assistance, skill development and creation of MSME parks for infrastructure facilities.
Relevant Definitions and Schemes
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Some of the key areas for collaboration, innovation and generation of new opportunities for micro-entrepreneurship
have been outlined below.
Transport
Transport is one of the emerging areas where micro-entrepreneurship has flourished, especially considering the
growing need for adequate transportation facilities in big cities. The entry of start-ups like Uber and Ola has opened
up the field for innovation and promoted self-sufficiency among cab drivers.
Ola Pink, a flagship taxi service for women run exclusively by women drivers, promotes gender empowerment through employment generation and exhibits the transformative potential of micro-enterprises The role of the government in any prospective collaboration with the key players of the industry could range from providing easy access to credit facilities for acquisition of the vehicle, to simplifying the norms for regulation of such cabs and taxis. Moreover, such collaboration could be implemented even in smaller cities by extending it to auto-rickshaws as in the case of Ola. Thus, transport serves as one of the key areas for development of micro-entrepreneurship opportunities while increasing the connectivity within the state.
In February 2016, Uber India signed a Memorandum of Understanding with the Government of
Maharashtra’s Skill Development and Entrepreneurship Department (SDED) to create 75,000 new
economic opportunities, including a focus on training women and people from marginalized societies. As
part of the MoU, Uber India launched the Mi Pan Malak scheme, which aims to strengthen its vision of
creating economic opportunities and livelihood across Maharashtra and also offer an affordable and
convenient transportation solution to citizens. Under this scheme, regular cab owners can run their own
micro-enterprise and take complete possession of the car, by availing offers and services through Uber’s
partnerships with leading financial institutions and car manufacturers with a down payment as
economical as ₹25,000.
In order to operationalize this scheme and provide financial assistance, Uber Technologies have also
partnered with the Tata Group. As per this partnership, owners and drivers on the Uber platform will be
able to buy Tata cars like Indica and Indigo. The micro-entrepreneurs will also be eligible for flexible and
customized financing solutions offered by Tata Capital Financial Services and Tata Motors Finance besides
affordable insurance from Tata AIG. The Mi Pan Malak Scheme exemplifies how state governments can
partner with leading businesses to create opportunities for micro-entrepreneurs.
Uber India’s Mi Pan Malak Scheme
Uber India Regus Business Platinum Centre Pvt. Ltd. Level 13, Navi Mumbai – 400705, Maharashtra, India
Ola ANI Technologies Pvt. Ltd., 4th Floor, Sunteck Centre, 37-40 Subhash Road, Vile Parle (East), Mumbai – 400057, Maharashtra Phone no: 022- 30947900
Mega Cabs 261, Ground Floor, Okhla Phase III New Delhi -110020 Contact No: 011-41516171
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Service
The service sector is one of the fastest growing sectors for micro-
entrepreneurship. With the use of minimal resources, individuals can start
their own businesses with adequate training. Service professionals range
from electricians, to plumbers, tutors, trainers, beauticians, among others.
Various state and central government schemes which aim to provide skill
development and training boosts the availability of skilled professionals.
Instead of getting hired in an organization, service professionals can start
their own freelancing micro enterprises.
Various technology platforms such as Urban Clap and Urban Pro connect the service professionals to their relevant
market and simplify the process of consumer acquisition.
The role of the government in this area is primarily in providing skill development facilities to the unemployed youth
but can also extend to providing credit facilities to set up their businesses. The government may also collaborate
with the leading start-ups in the service sector to create platforms to connect service professionals to their clients
even in rural markets.
Urban Clap UrbanClap Technologies India Pvt Ltd, Plot 19, Sewa Towers, 5th floor, Udyog Vihar Phase IV, Gurgaon- 122015
Urban Pro 2nd floor, Bannerghatta Road, 3rd phase, J.P. Nagar Bangalore - 560076
Technology plays a key role in promoting and sustaining micro-entrepreneurship. The use of
technology provides access to information, aids marketing and increases the connectivity with the
relevant markets. This hold true for both urban and rural areas. The example of Kerala, where
technology has been used to boost coastal fishing, serves as an apt example of how technology can be
harnessed to increase micro-entrepreneurship.
In a pioneering study by Robert Jensen on fishermen in the coastal state of Kerala, it was found that
within a few months of the availability of mobile network coverage in the fishing communities, about
80 per cent of all fishermen had purchased mobile phones. These fishermen were using mobile phones
as tools of business - they would communicate with contacts at each fish market while still at sea, and
bring their catch in to the markets that offered the best prices. Prices became much more uniform and
predictable, and fishermen’s profits increased on average by eight per cent, even as consumer prices
declined by four per cent. Dumping of unsold fish (which averaged five to eight per cent of daily catch
before mobile phones) was eliminated because buyers and sellers found each other more efficiently.
The Akshaya project, which is a public-private partnership between the Kerala government and small
entrepreneurs, has now spawned thousands of internet-based businesses that offer services ranging
from VoIP telephony to computer-based English lessons to online astrology readings.
The IT landscape of the Indian state of Kerala is being transformed as a result of access to the internet
via thousands of internet kiosks (called Akshaya Centres) distributed throughout the state and via a
statewide training drive by the IT authorities there.
Technology and Micro-entrepreneurship: The Kerala Example
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Fisheries
Large areas of coastal Andhra Pradesh depends primarily on fishing for sustenance and livelihood generation. Thus,
fishing serves as one of the major areas for micro-entrepreneurship. The use of technology can rapidly improve the
income generated from such enterprise as is illustrated in the case of Fisher Friend mobile application. Moreover,
government schemes which provide micro financing can be utilized to purchase better equipment for fishing and
also ensure safety.
Apiculture
The harvesting of honey from the forest has been in practice in Andhra Pradesh since long and generates huge profits.
In the recent past rural communities while diversifying their agricultural practices, have adopted this practice
gradually. Production of honey from farmlands can be a secondary activity for farmers as it requires less time as
compared with other activities and can be carried out by women in a house. On an estimate, about 80 per cent of
honey is used directly in medicines and 10 per cent is used in Ayurvedic and pharmaceutical production. Apiculture
is an excellent, esthetic livelihood generating micro-enterprise. It has a potential market with environmental
responsibility and worldwide medicinal and nutritional recognition.
Moreover, apiculture requires less investment, is easy-to-learn and also helps in pollination of crops and increases
seed setting in many crops.
Textile and Handloom
Andhra Pradesh is one of the important states in the handloom industry, with about 2 lakh weavers within the co-
operative fold and around 1.5 lakh weavers outside the cooperative fold. The Department of Handloom and Textiles,
Andhra Pradesh provides subsidies as well as tax exemptions to foster the textile and handloom micro-enterprise.
Setting up of textile and handloom parks for sharing infrastructure is also an effective way of encouraging more
micro-enterprises in this area.
Collaborating with organizations such as Fab India and the Khadi Board, which utilize textile produced from
handloom industry could provide an effective market for the existing industries and encourage new micro-
enterprises in this sector. Additionally, collaboration could also lead to promoting the locally produced textiles on a
national and international front and increasing demand for the same.
Coir Industry
Coir Industry utilizes coconut fiber, the natural resource which is available a plenty in the Godavari districts of
Andhra Pradesh. There is no dearth of market for coconut fibers and ropes as the product is in greater demand in
international market. Exports to Sri Lanka and China are also growing apart from the regular supply to neighboring
Fisher Friend Mobile Application
Fisher Friend is a mobile application developed by M S Swaminathan Research Foundation in partnership with
Qualcomm and is available for the coastal regions of Tamil Nadu, Andhra Pradesh and Kerala. The mobile
application provides critical information about weather and ocean conditions up to 100 kilometers from shore,
including disaster alerts, Potential Fishing Zone (PFZs) and current market prices of fish, helping the fishermen
improve their catch and income.
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states of Odisha and West Bengal. Moreover, coconut husk is also used as a raw material for mattresses industry
and serves as a potential area of partnership.
It costs about Rs. 2 to Rs. 5 lakh to set up a coir producing unit with a man power of 8 to 12 laborers a day. Partnership
with industries which use coir as a raw material such as the mattress industry can further boost the setting up of
coir producing micro-enterprises.
Tourism Encouraging Self Help Groups (SHGs) or local residents to operate tourism clusters is another area where micro-
entrepreneurship can flourish. This would involve operating and maintaining all essential functions of a tourist area,
including transportation, hospitality, tour guides, and market for local commodities. With assistance from
government, the local people can be trained to turn each of these aspects into opportunities for employment and
income generation. Websites like Airbnb which facilitate the renting of a house or a spare room could be utilized for
marketing and reaching out to potential customers. Other websites which list homestays, can also be used effectively
to promote a particular tourism cluster. This model of micro-entrepreneurship has previously been successfully
implemented in Kerala. The tourism sector has immense untapped opportunities for micro-entrepreneurship,
especially in Andhra Pradesh.
Micro-entrepreneurship is one of the significant ways of strengthening a developing economy, which
promises to generate income and employment and alleviates the burden on the government.
Collaboration between the government and the key players in the industry is essential to generating
new opportunities for micro-entrepreneurship and facilitating the same.
Several existing central and state schemes can be harnessed to facilitate the availability of finance for
the micro-enterprises, reduce the burden of taxation and provide training and infrastructure for their
sustenance.
Technology plays an important role in making micro-entrepreneurships cost effective and profitable
and the governments should focus on the development of sector specific technology to facilitate micro-
enterprises.
Transport, service and manufacturing sectors are key areas with immense scope for collaboration and
the scope for micro-enterprises.
Agriculture and allied sectors are also areas which government can encourage micro-entrepreneurship
by providing adequate incentives.
Key Takeaways
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Housing scenario in Visakhapatnam
With the rapid urbanization and changing socio-economic patterns, there is an increase in housing
shortage especially for the poor and low-income households. The housing sector is considered ‘engine of
growth’, which has immense potential of giving a push to the economy because of its link with the
construction sector impacting employment and livelihood. Therefore, housing assistance can make a
significant difference in the economic well-being of the low-income families, both in rural and urban areas.
Context
India is experiencing a high rate of population growth with an increase more than 181 million (17.64%)
during the decade 2001-2011 (Census 2011). Andhra Pradesh has a total housing stock (including
residences and other institutional buildings) of 1.55 crores. It is ranked fourth amongst the 10 states that
contribute to almost 75% of the total urban area housing shortage. The Andhra Pradesh Housing Board
(APHB) has estimated a total investment of Rs. 74,290 Crores to cover this housing shortage requirement
over a 10 year time-frame.
The Ministry of Housing and Urban Poverty has approved
69 projects under Basic Services to Urban Poor (BSUP)
and Integrated Housing for Slum Development
Programme (IHSDP) components of Jawaharlal Nehru
National Urban Renewal Mission (JNNURM) and Rajiv
Awas Yojana (RAY) including Affordable Housing
Programme (AHP) for constructing 80,999 houses in
Andhra Pradesh. Out of 80,999 houses approved,
64,942 houses have been constructed completely, out
of which 40,331 houses have been occupied by the
beneficiaries (As on 31.12.2015).
An Overview of Housing Schemes
Affordable housing is central to most Central Government programmes and schemes. In this context, the
Ministry of Housing and Poverty Alleviation has launched the ‘Housing for All by 2022’ Mission on
June 25th 2015, to provide “pucca” house for every family by 2022. This was launched as a centrally
sponsored scheme (except the credit link subsidy component, which is implemented as a central sector
Category
Housing
Shortage (in
Lakhs)
Investment
required (in
Crores)
EWS I 1.5 9,180
EWS II 1.5 9,180
LIG 7 55,930
Total 10 74,290
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scheme). Since land is a state subject, the scheme encourages states to decide their own relevant policies
related to provision of affordable housing. The scheme will eventually cover all urban areas consisting of
4041 statutory towns with an initial focus on 500 Class I cities and is spread across 3 phases. This mission
is implemented through the following four components:
1. In–Situ Slum Redevelopment
2. Affordable Housing Through Credit
3. Affordable housing through Public
4. Beneficiary-led Individual House Constructions or Enhancement
Under this scheme, Andhra Pradesh has approved 61 number of housing projects under which 1,93,147
EWS houses were involved and houses under progress are 1413.
Housing scenario in Visakhapatnam
Housing in Andhra Pradesh is handled by various departments such as APSHCL (Andhra Pradesh State
Housing Corporation Ltd.), Andhra Pradesh Housing Board (APHB), Andhra Pradesh Rajiv Swagruha
Corporation Ltd. (APRSCL), Urban Local Bodies (ULBs), Directorate of Town and Country Planning and so
on. The APHB or the APSHCL are the ones undertaking construction of affordable houses for EWS/LIG
category. Moreover, there is very limited participation by the private developers in providing affordable
houses.
For Economically Weaker Sections in Rural and Urban areas – Andhra State Housing
Corporation (APSHCL)
For Low Income and Middle Groups in Urban Areas Andhra Pradesh State Housing Board
(APHB)
For High Income and elite Groups AP Rajiv Swagruha Corporation (APRSGCL)
Visakhapatnam has a number of institutions involved in governing the city. Some of these are a part of
Andhra Pradesh’s governance framework while some are established through acts of legislature. Some of
the law bound institutions are as follows:
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The total number of houseless households in urban areas is 7,330. The total number of households living
in dilapidated houses amounts to 55,304. Semi-permanent, temporary and unclassifiable houses census
houses also add to the housing gap. The total number of such houses is 5,27,443.
Type Name of the scheme/programme
Centrally Sponsored Swarna Jayanthi Sahari Rozgar Yojana (SJSRY)
National Slum Development Program
State Sponsored
Rajeev Yuvasakthi
Rajeev Gruhakalpa
Indiramma
Andhra Pradesh State Affordable Housing Policy 2015 guidelines:
The draft policy elaborates the various parameters of affordable housing based on their classification. The
affordable housing is classified into different categories and aligned to the housing requirements of the
existing Central and State schemes based on the income criteria:
EWS (21-27 Sq mts)
LIG I (28-40 Sq mts)
LIG II (41-60 Sq mts)
MIG (61-80 Sq mts)
Planning Norms:
The planning norms as per Andhra Pradesh Building Rules focuses on mixed land use, development norms,
parking norms specific to affordable housing. There are specific guidelines for the mixed scheme project
for affordable housing over and above Mandatory reservation. In this context, if the project size is more
than 250 dwelling units and with plot size over 5 acres, then at least 60% of the FAR/FSI is to allocated for
1•Greater Visakhapatnam Municipal Corporation (GVMC)
2•Visakhapatnam Urban Development Authority (VUDA)
3•Andhra Pradesh Pollution Control Board
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affordable housing with dwelling units of carpet area not more than 60 Sq Mts. Moreover, of these dwelling
units, 35% is to be constructed for EWS/LIG I category.
The size and requirement of the designed units in the affordable housing component need to be as per the
National Building Code of India, 2005 (Special requirements for Low Income Housing of Part III).
Eligibility:
Developers involved in the affordable housing projects apart from a good track record and minimum of
three years experience need to have their total net worth equivalent to 25% o the project cost. This ensures
the credibility of the developer. Moreover, in case of special purpose vehicle or join venture by different
private developers, a maximum of 3 developers is feasible.
The beneficiaries are eligible only if they have been residing in AP for at least 3 years. In addition the
implementation agency will allot the houses only to those beneficiaries who fall under the defined annual
income criteria. Once allotted a house, the beneficiaries of EWS/LIG I/LIG II cannot sell/ sublet their
housing unit for at least 7 years while MIG units cannot sublet for 5 years.
The State Level Nodal Agency (SLNA) is the umbrella agency under which the existing housing related
schemes such as AHP, RAY, RRY are implemented and monitored. The SLNA through a single online
housing e-portal system processes all projects executed by various implementing agencies such as ULB,
UDA, developer and so on. The SLNA along with housing finance institution/commercial bank coordinate
and facilitate the sanction of loan for the beneficiaries.
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Data and Democracy
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About Data and Democracy
Data brings objectivity and efficiency in the delivery and assessment of development. There lies immense scope to
leverage the data available in public domain to understand the state of development across sectors. At Swaniti, we
analyze raw data to seek trends and present it to our audience in a streamlined format. The page can be viewed at
www.swaniti.com/jigyasa-features.
Keeping in mind recently occurred events, we analyzed the following in the month of August:
Domestic Air Traffic in India – Growth Story: The total passenger traffic in Domestic Airlines during Jan – May
2016 stood at 39.42 Million, 50% higher than the figure during the same period in 2014. This section examines the
growth of the civil aviation sector in India, in the last three years.
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Domestic Air Traffic in India – Growth Story
Passenger Traffic and Aircrafts Flown
Did you know that the CAGR of Domestic Flyers in India has been 22.4% between 2014 and 2016 compared for Jan-May? The growth rate for the period of 2012 to 2014 was a meagre 1.67%.
India’s Civil Aviation Industry is on a high-growth trajectory. The total passenger traffic in Domestic Airlines during
Jan – May 2016 stood at 39.42 Million, a whopping 50% higher compared to the figure during the same period in
2014. The primary causes for such vast expansion are increase in low-cost carriers, Foreign Direct Investment (FDI)
in domestic airlines, advanced Information Technology and improving regional connectivity. The graphs below show
cumulative Jan-May figures regarding progress in the domestic civil aviation space over the last 3 years.
Approximately 30% of the Passenger Traffic are in Category-I routes that connects 7 main cities across 12 routes: Mumbai, Delhi, Kolkata, Bangalore, Chennai, Hyderabad and Trivandrum. The routes connecting 15 stations in North Eastern Region, Jammu & Kashmir, Andaman & Nicobar and Lakshadweep are Category-II routes and carries 10% - 11% of the Passenger traffic. Routes other than those in Category-I and Category-II fall in Category-III
Category-I
MUMBAI-BANGALORE CALCUTTA-DELHI
MUMBAI-CALCUTTA CALCUTTA-BANGALORE
MUMBAI-DELHI CALCUTTA-CHENNAI
MUMBAI-HYDERABAD DELHI-BANGALORE
MUMBAI-CHENNAI DELHI-HYDERABAD
21.9%
22.8%
YoY
Growth
2.50
2.60
3.12
2014
2015
2016
Aircraft Departures (In L)
263.29
320.92
394.20
2014
2015
2016
Passenger Traffic (In L)
29.7%
10.8%
59.5%
Category I Category II Category III
Category-wise Traffic: May 2016
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Airline Market Share: May 2016 While Indigo remains market leader by a wide margin, Jet Airways and Air India are trying to catch up. Together they account for more than 70% of the domestic flyers. Indigo recorded a 55% increase in number of aircrafts flown (Departures) between Jan-May 2014 compared to the same period in 2016. The nearest competitor, Jet Airways witnessed an increase of 9% over the same period.
67,01785,211
1,03,782
Indigo: Total Departures
MUMBAI-TRIVANDRUM DELHI-CHENNAI
38.7%
16.1%
14.5%
12.7%
8.1%
9.9%
Indigo Jet Airways Air India SpiceJet Go Air Rest
55,578 58,78963,889
Jet Airways: Total Departures
43,229 42,602 44,873
Air India: Total Departures
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Top 20 City Pairs with Highest Domestic Traffic in May 2016 The busiest air route is Mumbai – Delhi that carried 5.84 Lac passengers in May 2016. The second busiest route between Bengaluru and Delhi carried only 3.37 Lac passengers. Delhi – Patna figures among the top 20 routes with close to 1 Lac passengers. IGIT Delhi is the busiest airport in India followed by CST Mumbai and Bengaluru Airport. Note: City 1, shown above, is Mumbai in Mumbai – Delhi route. Data Source: Directorate General of Civil Aviation, Government of India
From City 1 To City 1
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Research Support and Engagement with Elected Officials
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About Research Support and Engagement with Honorable MPs
Swaniti Initiative aims to inform MPs about development issues through dissemination of information on development
topics like health, education, gender or livelihood in the form of analysis of schemes, briefs, research insights etc. Our
research content is developed through consistent feedback and discussion with MPs. Additionally, Swaniti also provides
on-ground support and grassroots-level development insight at the constituency level in certain cases. The areas of
intervention are focused on our 4 core sectors (health, education, gender and livelihood). As part of engagements,
members from the Swaniti team travel to the constituency to study the issue at hand, interact with the different
stakeholders and subsequently draw a plan of action to address the issue. The Swaniti team also follows up with the
stakeholders at regular intervals to ensure that the project is completed in a time-bound manner.
In the month of August, our Engagement Associate visited Sikkim to work on the Saansad Adarsh Gram or Model Village
Program. This section highlights the activities undertaken in the constituency and stories from the field.
Additionally, a Roundtable was organized for the legislators of Bihar to familiarize them with the mobile application
developed by Swaniti Initiative to monitor Maternal and Child Health. This section features a report of the roundtable.
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Roundtable with Legislators on Maternal and Child Health Care
While the Central Government is considering the creation of a National e-Health Record System for every citizen,
various Departments of Government of India already collect data on specific health indicators. A few examples
include the Hospital Management Information System (HMIS), a huge data base which receives information from
public health facilities. As part of HMIS infrastructure, all Government run health facility centres receive a
computerized system, manpower and training for data entry. While this data cannot be utilized for analysing the
general health of the population (as it concentrates primarily on maternal and child health), it can be used for making
policy decisions based on the information provided by health centres. Besides HMIS, there are periodic surveys like
National Family Health Survey (NFHS - 2014), the Annual Health Survey (AHS - 2014) through Sample Registration
System (SRS), District Level household and facility Survey (DLHS), Registrar General Office and the Mother and Child
Tracking System which collect health related data. Apart from the above mentioned surveys, there are others which
are undertaken on an annual or a bi-annual basis. A tremendous amount of time and resources are spent on health
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data collection, however presently these extensive data bases are not being utilized by policy makers i.e. elected
officials or administrators for carrying out targeted interventions in the health sector.
There are two specific problems which plague the health data which are already available. Firstly, the data is spread
across multiple sources and secondly no medium or tool exists for utilizing this data at the constituency or district
level. However, health data is utilized for policy making at the Central and State level but the usage of the data is still
limited as it is not used to monitor the impact of these policies. The opportunity exists in the usage of extensive data
at the constituency or district level also for carrying out region specific developmental programmes. Recognizing the
problem and the potential, the Swaniti Team in association with Centre for Catalyzing Change (C3) , a non-profit
organisation which has field experience in working on maternal and child health care issues, decided to work
together to create a medium for efficient data utilization. The end result of this collaboration was an app which
collected real time data on maternal and child health from multiple sources and presented it on a single platform in
an easily accessible format.
The app was tailor made for elected officials as the data was presented constituency wise. The work involved in
developing the app was extensive and spread across diverse fields. Information and data was collected on multiple
health parameters. These health parameters were then matched to all the block and panchayats which fell under one
constituency. After the massive research exercise, the IT team was tasked with developing an algorithm which would
present this data in a comprehensive format and finally the outreach team had to create awareness about the app
amongst the interested sections of policy makers i.e. parliamentarians. The outcome was an interactive cross-
platform app which could support elected representatives to make data based interventions within their
parliamentary constituencies or local assembly constituencies, as the case maybe.
In order to popularise the app amongst the targeted audience, it was introduced to the MLAs of the State of Bihar in
the Bihar Vidhan Sabha. The presentation encompassed a brief introduction about the partner organizations, demo
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of the application and a detailed discussion of some specifics that emerged through data. The response was very
encouraging as the members were very expressive with their interest. What particularly caught their attention was
how they could see the performance of their own assembly constituency across certain health parameters in
comparison to other assembly constituencies. This would give them a comprehensive picture about the level of
health infrastructure accessible to their electorate which would lead their policy decisions to be better informed.
Our experience with this app leads us to believe that elected officials are interested in innovate methods which could
aid and actively support them in their decision making, however any new tool for policy making has to be specific to
the particularities of a developmental problem in order to create viable solutions.
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Latuk Chochenpheri Women’s Association – A Step towards Active Representation of Women in Village Affairs
Through the cohort of myriad performance measures, one of
the key objectives and performance indicators in the Sansad
Adarsh Gram Yojana is the improvement in ‘Access to Rights
and Entitlements’ among the communities in the Gram
Panchayat that leads to wider social mobilization and
ultimately helps in building an enriched social capital. A key
sub-component to this performance metric is women
empowerment.
The Government of Sikkim has been at the forefront of gender
empowerment in the country and the Hon’ble Chief Minister,
Mr. Pawan Chamling has stressed on the importance of
women participation in the grassroots level decision-making
process. Accordingly, the team had identified women
empowerment as a key focus area. With this objective in mind,
the team interacted with women members of the community
and understood their current socio-economic condition and involvement in village affairs. This report
details the key points from these discussions and the first step initiated towards women empowerment.
Women in Latuk Chochenpheri GPU – A SWOT Analysis
Nestled among the clouds, a few thousand feet above the sea level, Latuk Chochenpheri has traditionally
been a society respectful of women and in some measures, the society even represents a matriarchy. Case
in point, during marriages, the family members of the groom visit the bride’s family and pay in kind (which
is usually alcohol) and also sponsor the wedding. Female infanticide and foeticide are largely non-existent
and no significant cognitive biases against women exist in the society. This is further reflected by the fact
that Latuk Chochenpheri has a sex ratio of 964, which is much higher than the state average of 889.
Moreover, women’s economic contribution to the households is usually high through active involvement
Need for Women Empowerment
Latuk Chochenpheri, a GPU in Parkha
Block of Pakyong sub-division in East
Sikkim district, has been identified by Mr.
Prem Das Rai, the Honorable MP of Sikkim
under Phase II of the SAGY. Mr. Rai had
emphasized on the need for women
empowerment and their active
representation in planning activities for
development of the GPU.
Currently, there are 892 women across the
6 wards in the GPU. The GPU has a sex
ratio of 964 females per 1000 males (Total
population is 1,817). Interaction with the
women through FGDs indicated a lack of
leadership skills and negligible
participation in Gram Sabha or other
village forums. As a result, women centric
issues didn’t get highlighted.
“The women in our GPU not only handle all the household work but are also active participants in NREGA work. But they don’t have other economic opportunities available.”
- Mr. Krishan Bahadur Chhetri, Panchayat President, Latuk
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in agricultural production and also daily wage employment via MGNREGA. As per the data available with
the Gram Rozgar Sewak, 40 percent of the registered workers under NREGA are women and the women
participate in activities undertaken under the NREGA.
Through the course of interactions with the community and government representatives, the following
points were observed and taken into consideration:
3 wards – Latuk, Thek and Pheri – in the GP are reserved for women. This is in line with the Sikkim
Panchayat (Amendment) Act 2010 wherein 50 percent of the seats in rural local bodies have been
reserved for women. In the case of Latuk, only the women representative from Latuk ward is an active
participant in decision-making processes and Gram Sabha meetings. The other two Panchayat members
from Thek and Pheri are comparatively inactive and for all de facto purposes their husbands are
discharging their responsibilities on their behalf.
Negligible participation of women during the Gram Sabha even through the Sabhas were mostly led by
women – the ADC, Pakyong, Ms. Roshni Rai and Zilla Parishad member, Ms. Denka Bhutia. As a result,
women centric issues are not raised at this important platform and there is insignificant
institutionalization of their demands in the Gram Panchayat Development Plan (GPDP).
Most women recalled the creation of a Self Help Group (SHG) a few years ago but stated that it was a
token measure and did not achieve any significant benefits. It did not lead to creation of any new
livelihood opportunities and negligible training was offered to them in terms of credit facilitation and
skill development.
Most women have been born and brought up in an environment where, just like their male counterparts,
their only focus was on the benefits that could be provided by the government. There was a lack of
initiative and no body wished to undertake any leadership roles or participate in any entrepreneurial
Name of Ward No. of
Females No. of Males
Chochen 169 171
Chochen Tadong
140 140
Latuk 93 112
Pheri 192 192
Thek 90 100
Zeeling 208 210
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activities. When asked if they would like to be a part of women’s SHG, the most common question that
arose was “If we do so, then what would the government give us?” The sole concern among women
centres on the discharging of household duties and working as daily wage labourers as part of
MGNREGA.
The following SWOT analysis provides a snapshot of the gender empowerment situation in Latuk
Chochenpheri.
STRENGTHS
• Significant economic contribution by
women to household income
• Anthropological benefits attributed to
women especially in Bhutia culture in which
women are treated equal to men
• Women state employees at senior levels in
state offices
WEAKNESS
• Lack of intrinsic marketable cultural/ traditional skills
• Low motivation to participate in governance and lack of desire to contribute outside the household
• Lack of awareness about potential role in social development
Internal
OPPORTUNITIES
• Scope for participation in government machineries and creation of GPDPs
• Creation of employment in agricultural allied sectors (example: packaging of cardamom) and tertiary sectors such as that in upcoming tourism infrastructure at Chochen Lake
THREATS
• Lack of financial support • Lack of infrastructural support through
communication and transport for aid in macro (non-household) participation
• Lack of any previously successful SHG. Failed past structures are a cause for resentment against new effort
External
Positive Negative
Planning the Next Step – Collaborating with the Panchayat
Based on the detailed discussion with the women and the general interaction and experience with the
community, the team had made three important observations, as highlighted below:
Latuk is spread across a large expanse of area and the population in different habitations is sparse. The
mountainous terrain, combined with lack of means for communication and travel is also a challenge.
There exist fundamental perceptive barriers and psychological biases among the women, as highlighted
in the previous section. Best illustrated in the form of low levels of motivation.
29
The women members were contributing to the economic development of the community through
extensive involvement in agriculture and work carried out under NREGA.
Therefore, on the basis of further discussion with Panchayat President, Mr. Chhetri and Smt. Phur Diki
Sherpa (ward member from Latuk), it was decided that as a first step, the focus would be on helping the
women understand their role in decision making processes and human development in the community.
Moreover, the engagement has to be sustained and carried out in different phases to overcome the existing
challenges and ensure that any intervention, which comes out from the discussions, is not a short-term
measure.
Accordingly, the team decided to bring together the women on one common platform and engage with
them in a concerted manner. The idea was to hear their collective thoughts and grievances as well as work
with them to identify solutions to the issues voiced by them. As part of the SDP, a very important aspect is
to enable the community to become solution providers and the team wanted the women to not just raise
women-centric issues and become active participants in discussions pertaining to the development of the
village but also feel empowered enough to suggest solutions to the problems. Therefore, the Panchayat
members were requested to reach out to women from all socio-economic backgrounds and belonging to
different age groups, who shared the enthusiasm for taking up leadership roles within the community.
Subsequently, a total of 18 women from the 6 wards were identified and requested to assemble at the Gram
Prashashan Kendra office on 3rd September 2016.
Enhancing Women Participation in Decision Making Processes – A Women’s Association Takes Shape
Fostering the Spirit of ‘Unity’ – After a round of brief introduction from the assembled women, it was
apparent that the women were hesitant to speak up and felt shy to open up in a larger group. To allow a
sense of open space to percolate through the group, it was decided to use games as an ice breaking session.
For this purpose, all the 18 women were broken down into teams of 2 each (each team suggested a name
for their own self). As part of the activity, each team was asked to balance a pencil between their foreheads
and finish the race from the start to the finish line. Upon the completion of the task, the question – “What
did you learn from the activity?” was put forth. The most common response was ‘Unity’ and ‘not giving up
upon failure’. Post the activity, the women were briefed on the importance of working together in the form
of a women’s group across all the 6 wards in the GPU. The discussion also focused on putting forward their
perspectives in a collective manner at appropriate decision making forums so that the same could be part
of the development strategy for the entire GPU.
Highlighting the Concerns – Subsequently, the women were divided into two groups and requested to list
down the 10 most pressing issues faced by women in the GPU. The idea was to encourage the women to
participate in a group setting and feel free to discuss their problems and challenges. The following list of
items were put forth by the two groups:
30
Group 1 (Orchid)
Group 2 (Rose)
1. Lack of availability of stationary items for children
going to school
2. Lack of availability of Sanitary Napkins
3. Lack of waste disposal mechanisms for sanitary
napkins
4. Shortage of medicines such as iron tablets,
paracetamol and painkillers
5. Lack of drinking water connectivity (women have
to travel to far off water sources)
6. Low widow pensions that are spent on running
entire household
7. Illiteracy among women above 40 years old
8. Limited number of workers at PHSC (shortage of
resources)
9. Low salaries for ASHA workers against the amount
of work (traversing of large distances in travelling)
10. Lack of vehicles for transportation during medical
emergencies and time of delivery
11. Alcohol addiction among husbands (since women
do a lot of household work and even agriculture,
men have free time to spend in consumption of
alcohol – point was also raised by MP, Mr. P.D Rai
during discussion with CMO)
12. Extensive household responsibilities because of
husband’s migration to Gangtok
13. Low salary of Anganwadi workers
14. Lack of vegetables due to major allocation of
agricultural land to cash crop - cardamom
15. Distant location of PHSC (especially from Latuk
and Thek)
16. Lack of any SHGs (last meeting of previously
formed SHG happened in 2014. No formal structure
and no one knew the list of members in the SHG)
After compilation of the problem statements by the two groups, one member from each group was
requested to come forth and express the problems listed out by their respective groups in front of the entire
audience. After each point, some amount of group discussion followed. The point pertaining to availability
of sanitary pads and medicines made up for the most active discussion among the members.
Defining the Solution – As both groups shared their problem statements, the sheet of paper on which each
group had written their list of problems was exchanged between the groups. Next, each group was asked
to write down the solutions to the problems pointed out by the members of the first group. This exercise,
extremely important in nature, showed the women that they were capable of coming up with their own set
of solutions for their own problems and did not require external support. Even though not all solutions
were feasible, some of the good suggestions put forth by the women are listed as below:
o Creation of stationary shops within or close to the school premises
o Creation of garbage pits by Urban Development and Housing Department
o Refilling of medicine kit for ASHA workers
o Setting up of more fair price shops in the GPU (Presently only 1 FPS exists)
o Literacy workshops for old women
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o Timely dispensation of salary for Anganwadi Workers (AWW) and ASHA Workers
Creation of Women’s Group – At the end of the session, the present members talked about the need to
promote their collective interests and the importance of not relying on men for the fulfillment of their
demands. Moreover, they expressed their willingness to come together as part of a Women’s Associate and
dedicate time to the same so that it could emerge as an important institution in the GPU. At the same time,
they openly requested the team members to maintain the process for some time and do some amount of
handholding.
From L-R: Women form teams of two to participate in the ice breaker session; two women from different wards work together to complete the assigned task; women working as a group to identify most pressing issues and a
young member from Team Rose presenting the solutions to the problems mentioned by Team Orchid
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Swaniti in the Media
33
Swaniti in the Media covers the diverse range of articles authored by Swaniti on key developmental and policy issues.
The articles and research insights are published in leading broadsheets, news aggregators and daily newspapers.
This section also covers the media pieces which cover Swaniti’s work with elected officials and highlight the projects
that we have undertaken.
The August edition includes the following media article:
Farmers’ training workshop at Kalika gram panchayat: As part of the Saansad Adarsh Gram Yojana in Kalika,
Swaniti Initiative conducted a farmers training programme to sensitize them about the fertilizer requirements of the
soil. The article was published in The Statesman.
About Swaniti in the Media
34
Farmers’ training workshop at Kalika gram panchayat Published in The Statesman
A farmers training programme was conducted by Paradeep Phosphates Limited in Kalika Gram Panchayat, the
Adarsh Gram chosen by MP Mr. R. K. Jena in his constituency.
The session that benefitted more than 60 farmers focused on soil testing, balanced nutrient management and
improved package of crop production for higher crop yield.
The organizers from Bhubaneswar that included C. S. Roy, Biswajit Nanda, along with Marketing Manager Mr. R. K.
Satpathy also conducted a field training session and demonstrated the estimation of nutrient status of crop with Leaf
Color Chart. This helped the farmers understand the adequate fertilizer requirement for their crops.
“Till date, most of the agricultural training programme were conducted in a non-organized manner and focused on
too many aspects in a small time. This did not help us retain much knowledge for practical purposes,” stated one of
the farmers in the training class. The organizers encouraged the farmers to raise their problems and also provided
solution to each of them. After the training session, farmers were also given a Leaf Color Chart for their own purpose.
‘We are very happy to be associated with the Sansad Adarsh Gram Yojana project in Balasore and we extend our full
support to this cause’ said Mr. Nanda, Chief Manager at PPL.
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The Sarpanch, Gangadhar
Das, mentioned that this
was first such initiative for
the farming community in
his Panchayat in the last few
years. PPL plans to conduct
follow-up sessions in Kalika
over the next few weeks and
a training session in Kalika
over the next weeks and a
training session for 20
selected farmers at Farmers
Training School,
Bhubaneswar in September.
‘I highly appreciate the
initiative undertaken by
PPL in Kalika and I am sure that this will go a long way in transforming the lives of thousands of farmers in the region.
I would also like to thank Swaniti Initiative for coordinating the entire event,’ said MP Mr. R. K. Jena.
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Role of Youth and Technology in Governance: Swaniti Talk with
Mr. Amitabh Kant
On August 10, 2016, Swaniti Initiative organized a talk with Mr. Amitabh Kant, CEO of Niti Aayog at the Indian
Institute of Technology, Delhi. Mr. Kant is at the helm of policy and decision-making and is keenly interested in
technology and governance. The conversation was moderated by Mr. Shantanu Agarwal, Chairman and Program
Lead, Swaniti Initiative. The talk was on the 'Role of youth and technology in Governance' with focus on the shifts,
changes and patterns in the space of technology.
The discussion also looked at the Government's plan and vision in regard to technology where Mr. Kant highlighted
the key challenges and different ways of involving young citizens into supporting such technology driven initiatives.
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Weekly Policy Updates
38
About Weekly Policy Updates
Weekly Policy Updates aim to keep the elected officials updated on policy development by providing them crisp
information. This initiative of ours has been recognized by many MPs during our interactions with them.
This section includes the key policy initiatives which were announced in the month of August. These included
developments in Transport, Motor Vehicles, Surrogacy, amongst others. The Motor Vehicles Amendment Bill was
approved by the cabinet in the first week of August. The Bill focuses on issues relating to improving road safety,
citizens’ facilitation while dealing with the Transport Department, strengthening rural transport, improving last
mile connectivity and public transport, automation and computerization and enabling online services. The cabinet
also approved the introduction of the "Surrogacy (Regulation) Bill, 2016. The National Apprenticeship Promotion
Scheme was notified by the government this month.
Weekly policy updates sent out to elected representatives have been summarized in subsequent pages.
39
July 30th – August 5th, 2016 (Week 1)
1. Cabinet approves Motor Vehicle (Amendment) Bill 2016
The Union Cabinet has given its approval for Motor Vehicle (Amendment) Bill 2016. In the present Motor
Vehicle Act, there are 223 Sections out of which the Bill aims to amend 68 sections whereas Chapters 10 has
been deleted and a Chapter 11 is being replaced with new provisions to simplify third party insurance claims
and settlement process. The important provisions include increase in compensation for Hit & Run cases from
Rs. 25000 to Rs. 2 lakhs. It also has provision for payment of compensation upto Rs 10 lakh in road accidents
fatalities.
The Bill also proposes insertion of 28 new sections. The amendments mainly focus on issues relating to
improving road safety, citizens’ facilitation while dealing with the Transport Department. Strengthening
rural transport, last mile connectivity and public transport, automation and computerization and enabling
online services. The Bill propose to improve the transport scenario in the country by permitting the States
to grant exemptions in Stage carriage and contract carriage permits for promoting rural transport, public
transport, last mile connectivity and for passenger convenience and road safety. The Bill proposes that the
State Government can specify a multiplier, not less than one and not greater than ten, to be applied to each
fine under this Act and such modified fine.
In the area of road safety, bill proposes to increase penalties to act as deterrent against traffic
violations. Stricter provisions are being proposed in respect of offences like juvenile driving, drunken
driving, driving without licence, dangerous driving, over-speeding, overloading etc. Stricter provisions for
helmets have been introduced along with provisions for electronic detection of violations. To help the road
accident victims, Good Samaritan guidelines have been incorporated in the Bill. The Bill also proposes to
mandate the automated fitness testing for the transport vehicles with effect from 1st October 2018.
2. Cabinet approves Recommendations of the Sub-Group of Chief Minsters on Rationalization of Centrally
Sponsored Schemes
The Union Cabinet has accepted the major recommendations of the Sub-Group of Chief Minsters on
Rationalization of Centrally Sponsored Schemes (CSSs). The Sub-Group had examined 66 CSSs and
recommended that the number of CSSs should not normally exceed 30. The rationalization of the CSSs would
ensure optimum utilization of resources with better outcomes through area specific interventions. This
would also ensure wider reach of the benefits to the target groups.
The sub-committee had recommended the classification of the CSS into three categories: Core of Core, Core
and Optional. States would be free to choose the optional schemes they wish to implement. Funds for these
schemes would be allocated to States by the Ministry of Finance as a lump sum. The core of core and core
schemes would comprise of the National Development Agenda priorities and social welfare/security
schemes.
40
Existing Funding pattern of the Core of the Core Schemes would continue. For Core schemes the centre-state
funding ratio would be 60:40 while for optional schemes, the ratio would be 50:50. While designing the CSS,
the Central Ministries shall permit flexibility in the choice of components to the States as available under the
Rashtriya Krishi Vikaas Yojana (RKVY). Moreover, the flexi-funds available in each CSS has been raised from
the current level of 10% to 25% for the States and 30% for the UTs of the overall annual allocation under
each Scheme so that the implementation can be better attuned to the needs of individual State /UT.
3. Cabinet approves Spectrum Usage Charges for Forthcoming Auctions
The Union Cabinet has approved the rates for Spectrum Usage Charge (SUC) for various bands of spectrum
for which auction are going to be conducted shortly. With this decision the path is clear for issuance of the
Notice Inviting Application for spectrum auction by the Department of Telecommunications. This will
facilitate to move to a simple, transparent and flat ad-valorem SUC regime in accordance with the law and
avoid creative accounting to bypass the revenues. Spectrum acquired in forthcoming auction in 700, 800,
900, 1800, 2100, 2300 & 2500 MHz band is to be charged at the rate of 3% of Adjusted Gross Revenue (AGR)
excluding the revenue from wire-line services.
The weighted average of SUC rates across all spectrum assigned to an operator (whether assigned
administratively or through auction or through trading) in all access spectrum bands including BWA
spectrum obtained in 2010 auction shall be applied for charging SUC subject to a minimum of 3% of AGR
excluding revenues from wire-line services. The weighted average is to be derived by sum of product of
spectrum holdings and applicable SUC rate divided by total spectrum holding. The Weighted Average Rate
shall be determined operator wise for each service area.
The amount of SUC payable by the operators during 2015-16 at weighted average derived after taking into
consideration the spectrum acquired in the coming auction and excluding the spectrum in 2300 MHz/2500
MHz band acquired/ allocated prior to 2015-16, shall be treated as the floor amount of the SUC to be paid by
the operators. Further, in case there is a reduction in AGR of the service provider, the floor amount of SUC
shall be reduced proportionately.
August 13th - August 19th, 2016 (Week 2)
1. India Post Payments Bank Incorporated
The India Post Payments Bank Limited has received the Certificate of Incorporation from the Registrar of
Companies, Ministry of Corporate Affairs yesterday under the Companies Act 2013. This would be the first
PSU under the Department of Posts.
With the incorporation, the Board of the India Post Payments Bank Limited is likely to be constituted soon.
The incorporation of the IPPB Ltd is a significant step forward as this also paves the way for the bank to begin
hiring of banking professionals to set up the bank and begin its operations in 2017. The Department of Posts
is expected to complete the roll out of its branches all over the country by September 2017.
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The aspiration for the India Post Payments Bank is to become the most accessible bank in the world riding
on state of the art banking and payments technology. Coupled with the physical presence across 1.55 lakh
post offices and the reach of “The Dakiya”, the India Post Payments Bank aims to become a powerful and
effective vehicle of real financial inclusion in the country. It is poised to create a national payments
architecture riding on a modern payments platform and ubiquitous information and communication
technologies that can be accessed by all users and service providers like never before.
2. Consent Mechanism for Open Market Borrowings (OMBs) by the States Simplified
In the spirit of Co-operative federalism and in order to bring-in the transparency and predictability in the
Open Market Borrowings (OMBs) by the States, the Central Government has decided to simplify the consent
mechanism for OMBs under Article 293 (3) of the Constitution. Till now, the States were required to obtain
quarterly consent from the Central Government for raising OMBs within the Net Borrowing Ceiling (NBC)
fixed for each of the States as per the formula prescribed by the Fourteenth Finance Commission (FFC).
The simplified mechanism would, however, allow the States to prepare their borrowing calendar for the first
nine months and seek one-time consent for raising OMBs during the first nine months of the Financial Year.
Thereafter, based on the assessment of details of borrowings and repayment thereof (actuals for first 3
quarters and estimates for last quarter), consent for the first two months of Fourth Quarter will be given. The
consent for the last month i.e. March will be given based on the re-assessment of actual borrowings for the
first 11 months by the States.
Thus, the simplified procedure will ensure that consent under Article 293(3) is issued only on three
occasions during the year, one in the month of April for first nine months after fixation of borrowing ceilings,
second in the month of December for the first two months of the fourth quarter and last in the month of
March after the assessment of actual borrowings by the States.
3. Additional Facilities extended to persons residing in India on Long-Term Visa (LTV)
The Central Government has extended certain facilities in last two years to persons from Minority
community of Afghanistan, Bangladesh and Pakistan, namely Hindus, Sikhs, Buddhists, Jains, Parsis and
Christians staying on Long Term Visa (LTV) in India, such as affidavit in place of renunciation certificate,
LTV for five years instead of two years, facilities for education and employment, etc.
In order to provide them fair opportunities for a more comfortable living and hassle-free movement and
pursuit of economic activities within the territory of India, Government has decided to extend the following
additional facilities to this class of LTV holders: Permission to open bank account, Permission for purchase
of property for self-occupation and suitable accommodation for carrying out self–employment, Permission
to take self-employment, Issuance of driving licence, PAN card and Aadhar number.
42
Additional facilities also include allowing free movement within the State /UT where they are staying,
transfer of LTV papers from one State to other, Reduction of penalty amount on non–extension of Visa
/LTV, Permission to apply for LTV from the place of present residence when the applicants have changed
place without permission.
August 20th - August 26th, 2016 (Week 3)
1. Cabinet approves introduction of the "Surrogacy (Regulation) Bill, 2016"
The Union Cabinet has given its approval for introduction of the "Surrogacy (Regulation) Bill, 2016". The Bill
will regulate surrogacy in India by establishing National Surrogacy Board at the central level and State
Surrogacy Boards and Appropriate Authorities in the State and Union Territories. The legislation will ensure
effective regulation of surrogacy, prohibit commercial surrogacy and allow ethical surrogacy to the needy
infertile couples.
All infertile Indian married couple who want to avail ethical surrogacy will be benefited. Further the rights
of surrogate mother and children born out of surrogacy will be protected. The Bill shall apply to whole of
India, except the state of Jammu and Kashmir. No permanent structure is proposed to be created in the Draft
Bill. Neither there are proposals for creating new posts. The proposed legislation, while covering an
important area is framed in such a manner that it ensures effective regulation but does not add much
vertically to the current regulatory structure already in place at the central as well as states.
The major benefits of the Act would be that it will regulate the surrogacy services in the country. While
commercial surrogacy will be prohibited including sale and purchase of human embryo and gametes, ethical
surrogacy to the needy infertile couples will be allowed on fulfilment of certain conditions and for specific
purposes. As such, it will control the unethical practices in surrogacy, prevent commercialization of
surrogacy and will prohibit potential exploitation of surrogate mothers and children born through
surrogacy.
2. Cabinet approves National Highways Interconnectivity Improvement Project
The Cabinet Committee on Economic Affairs has given its approval for development of 1120 kms of National
Highways in the States of Karnataka, Odisha, Bihar, Rajasthan and West Bengal. The work for development
to two lane standards are under Phase-I of the National Highways Interconnectivity Improvement Project
(NHIIP) with World Bank assistance. The revised estimated cost is Rs. 6,461 crore including cost of land
acquisition, resettlement and rehabilitation and other pre-construction activities.
The proposal was initially approved for Rs.5,193 crore. The cost has increased due to higher bid prices, and
increase in cost of land acquisition, resettlement and rehabilitation and other pre-construction activities.
The projects are already taken up for implementation and 429 kms has been completed. The civil works are
expected to be completed by July, 2019 and maintenance works are expected to be completed by July,
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2024. The project will ensure safe, fast and all weather movement of traffic on the proposed National
Highways mostly located in backward regions thereby improving socio economic development.
3. Spot Study of Water Situation in Drought Affected Areas of the country
The report on the Spot Study of Water Situation in Drought Affected Areas of the country (2015-16) has
recommended construction of water harvesting structures, mass awareness among citizen for water
conservation, construction of new water storage structures, interlinking of rivers, renovation and repair of
existing water bodies as some of the important measures to meet the challenges of overall water scarcity
scenario in the country. The study was carried out by Central Water Commission under the Ministry of Water
Resources, River Development and Ganga Rejuvenation.
In some areas like Marathwada of Maharashtra, Bundelkhand of UP and MP interlinking projects have been
recommended. Water budgeting and planning the cropping patterns for the oncoming agricultural season(s),
the strategy for avoiding water intensive crops to the extent in consultation with the relevant expert
departments are also crucial for checking such situation. Micro irrigation (sprinkler and drip) should be
adopted to achieve more crops per drop.
The study says that at almost all places minimum domestic water requirements are being met through
importing water from other regions, if required; by digging local deep bore wells and also by tankers. Ground
water levels have been reported as falling in almost all regions of the country due to over exploitations and
inadequate recharging mechanism for ground water. However, no specific observation on water quality has
been reported at most of the areas except in Gujarat, where problem of salinity in coastal areas has been
reported.
August 27th - September 2nd, 2016 (Week 4)
1. Cabinet approves Initiatives to revive the Construction Sector
The Cabinet Committee on Economic Affairs has approved various measures to revive the construction
sector which has been undergoing stress. Under the proposal put forward by NITI Aayog and approved by
the CCEA, Government agencies would pay 75% of the arbitral award amount to an escrow account against
margin free bank guarantee, in those cases where the award is challenged.
The escrow account can be used to repay bank loans or to meet commitments in ongoing projects. This is a
major step which will allow recovery of loans by banks and allow construction companies to speed up
execution of ongoing projects. It will also increase the ability of construction companies to bid for new
contracts and the resulting competition will be beneficial in containing the costs of public works. This
measure will provide a stimulus to the construction industry and to employment.
Government Departments and PSUs have also been instructed to transfer cases under arbitration to the
amended Arbitration Act which has an expedited procedure, with the consent of the contractors. In the long
run, other measures are also under consideration, including changes to bid documents and model contracts,
44
and increased use of conciliation. NITI will also examine the idea of creating "claim take out funds" financed
by private sector investors, while the Department of Financial Services will examine a suitable scheme for
addressing stressed bank loans in the construction sector.
2. Incorporation of Sagarmala Development Company
As part of the efforts to promote port-led development in the country, the Sagarmala Development Company
(SDC) has been incorporated under the Companies Act, 2013. The company will have an initial Authorized
Share Capital of Rs. 1,000 Crore and a subscribed share capital of Rs. 90 Crore. The main objective of the
company is to identify port-led development projects under the Sagarmala Programme and provide equity
support for the project Special Purpose Vehicles (SPVs) set up by the Ports / State / Central Ministries and
funding window and /or implement only those residual projects which cannot be funded by any other means
/mode.
The Cabinet in July had approved the formation of the SDC under the administrative control of the Ministry
of Shipping. The company would help in structuring activities, bidding out projects for private sector
participation, identifying suitable risk management measures for strategic projects across multiple states /
regions and obtaining requisite approvals and clearances. The implementation of the identified projects
would be taken up by the relevant ports, state governments/Maritime Boards, central ministries, through
private or PPP mode. The Company would act as the nodal agency for coordination and monitoring of all the
currently identified projects under Sagarmala as well as other projects emerging from the master plans or
other sources.
SDC would be raising funds as debt/equity (as long term capital), as per the project requirements, by
leveraging resources provided by the Government of India and from multi-lateral and bilateral funding
agencies. It would also aim to increase the scope of private sector participation in project development. As
part of the programme, a National Perspective Plan (NPP) for the comprehensive development of the
coastline and maritime sector has been prepared. The NPP has identified more than 150 projects across the
areas of Port Modernization & New Port Development, Port Connectivity Enhancement, Port-led
Industrialization and Coastal Community Development.
3. Government notifies National Apprenticeship Promotion Scheme
Government has notified National Apprenticeship Promotion Scheme. It is for the first time a scheme has
been notified to offer financial incentives to employers. The Scheme has an outlay of Rs. 10,000 crore with a
target of 50 Lakh apprentices to be trained by 2019-20.Apprenticeship Training is considered to be one of
the most efficient ways to develop skilled manpower for the country. It provides for an industry led, practice
oriented, effective and efficient mode of formal training.
25% of the prescribed stipend payable to an apprentice would be reimbursed to the employers directly by
the Government of India. The scheme also supports basic training, which is an essential component of
45
apprenticeship training by sharing of basic training cost with basic training providers in respect of
apprentices who come directly to apprenticeship without any formal trade training (fresher apprentices).
All transactions including registration by employers, apprentices, registration of contract and payment to
employers will be made as online mode. Eligible employers shall engage apprentices in a band of 2.5% to
10% of the total strength of the establishment. Employers need to register on the apprenticeship portal and
must have TIN/TAN and any one of EPFO/ESIC/LIN. Employers are invited to register on the apprenticeship
portal to avail benefits under the scheme.
46
Upcoming... In Our Next Edition, grab hold of the following: 1. Tamra Patra
Tribal Welfare Schemes in North-East India Overview of the Citizenship (Amendment) Bill, 2016
2. Data and Democracy
India Posts
3. Research Support and Engagement with Honorable MPs
A Step towards an Adarsh Gram – Kathalbari, Tripura.
4. Weekly Policy Updates from September, 2016
47
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