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18.09.2007
Background
Declining investments in Agriculture Declining share of agriculture in the GDP Insufficient attention to the allied sectors Continued high dependence of the rural people on the agriculture and allied sectors Rapid growth in other sectors of the economy Distress in Agriculture
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NDC Resolution
In its meeting held on 29.5.2007, the NDC resolved to introduce An additional Central Assistance Scheme (now RKVY) that incentivizes states to increase public investment in Agriculture and allied sectors.. -Key end goal achieve at least 4.1% growth in agriculture by the end of XI Plan
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Determination of Eligibility to be done by the Planning Commission Determination of Allocation to be done by the Planning Commission Distribution of Funds to be done by the DAC
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Once a state becomes eligible.. The allocation among the eligible states is dependant upon three parameters.. % share of net un-irrigated area to the net un-irrigated area of the eligible states 20% The Projected growth rates in the GSDP, to be attained by the end of XI Plan 30% Increase in the total Plan expenditure in Agrl. & Allied Sectors - 50%
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Stream-1
Stream-1 funding is approved by a State Level Sanctioning Committee (SLSC) headed by the State Chief Secretary Stream-1 is oriented toward project based funding, with definite time-lines States will have to prepare DPRs for undertaking projects consistent with the SAPs and DAPs
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Stream-2
Existing Schemes that require strengthening can be covered under this especially such schemes that have a resource gap Not more than 25% allocated funds can be used for this stream Sanction procedure as in the case of other plan schemes Option to expend the entire resources under the Stream-1 exists
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Planning Process
A District Agriculture Plan (DAP) for each district should be formulated Planning Commission has already circulated detailed guidelines The DAP should include AH, Dairying, Fisheries, Minor Irrigation Projects, RD works, etc. A comprehensive State Agriculture Plan (SAP) should evolve out of the DAPs Finalized SAP should be placed before the DAC/Planning Commission, as a part of the State Plan Exercise.
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DAP
RD
Areas of Convergence
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Contd.
Nodal Agency will finalize the SAP and submit it to the State Planning Department for integrating with the overall State Plans. State Planning Department will pose it to the Planning Commission Meanwhile, the DPRs are to be kept ready for placing before the SLSC Once the approvals are received from the Planning Commission, SLSC is convened and Stream-1 proposals are placed before the SLSC
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Contd.
The SLSC Agenda is sent to the DAC at least 15 days prior to the meeting date. The DAC representative, not below a Joint Secretary will attend the SLSC meeting. Once the SLSC sanction is given the DAC will immediately release funds to the Implementing Agency, or the Nodal Department, as the case may be.
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State Level Sanctioning Committee Chaired by the Chief Secretary APC/Principal Secretary, Agriculture Vice-Chairman Secretary, Agriculture Member- Secretary Representation from the DAC, DAHD, and Planning Commission Quorum incomplete without at least one GoI representative To meet at least once a quarter States to constitute the Committee as soon as possible
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Responsibilities of SLSC
1. Sanction the projects under Stream- 1 of the RKVY 2. Monitor and Review the progress of the sanctioned projects 3. Ensure that the convergence takes place 4. Ensure that no duplication of efforts takes place 5. Commission field studies to monitor and evaluate the projects
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Funds
Rs.1500 crore for the year 2007-2008 Rs.5875 crore every year till the end of the XI Five year Plan Total investment of Rs.25,000 crore for the XI Five Year Plan
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Administrative Expenditure
States are entitled to spend upto 1% of their allocation under the RKVY for administrative contingencies that may include Consultant Fees Operational expenses Expenses of the Implementing Agency including Staff Costs BUT NO VEHICLES CAN BE BOUGHT NO PERMANENT EMPLOYMENT CAN BE CREATED
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Thank You
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