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Multi Level Planning and Role of District Development Agencies

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HAPTER

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Level Planning was formulated but in practice it was different. Indian planning was conceptualised at two levels only — National and State. In fact, as some critics point out, the Planning Commission had even encroached upon the autonomy of the States under the federal system. Planning Commission began to modify or even reject the State’s proposals for development programmes for which central financial assistance was sought and which could be granted only on the recommendations of the Planning Commission.

The central planning system has been unable to provide for equitable distribution of the benefits of economic growth among regions and groups. The decision makers at the centre would not be able to understand the needs of heterogeneous regions and groups. In central planning and management there is over-concentration of power, authority and resources at the centre.

Red tape and highly structured, procedures are its inevitable characteristics. In a vast country like India, with considerable degree of

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diversity between regions, planning by a sole central planning agency can even be counter productive.

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ECENTRALISATION It has been widely recognised that an effective and meaningful national development is not possible without giving adequate importance to parties who have stake in development. In other words national development should be a national endeavour involving a large number of parties at different levels.

Various levels of government are therefore, necessarily involved in the formulation and implementation of plans. This is what is known as decentralised planning. Broadly speaking decentralisation in planning means the involvement of the people at various stages of plan formulation and implementation. Decentralisation, is an essential way for the success of development particularly in a country like India with wide spread diversities, imbalances and differences in necessities. Thus, the planning has to be done at the central level, at the state level and at levels below the state that is district, block and even village. This requires establishment of a suitable planning machinery at various levels.

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In India there has been a realisation of the importance and necessity of people’s participation and decentralisation.

In fact, in the Constitution of India itself

the subject planning is mentioned in the Concurrent List and not in the Union List. It means that the responsibility for undertaking planned development through systematic formulation, implementation and evaluation of plans is a responsibility of both the Centre and the States. Also the ideas of decentralised planning, planning from below, people’s participation in planning, multi level planning etc., have been mentioned time and again in the Five-Year Plans. For the coordination between the Union and States a National Development Council was established. The Community Development Programme and establishment of Panchayati Raj Institutions were the most comprehensive attempts at putting the idea of grass roots planning into action.

In general, these attempts failed.

However, from time to time failures of centralised planning and need for decentralisation kept on being emphasised.

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OUNCIL The National Development Council is one of the key organisations to symbolise the federal approach to planning in India. It is a product of the Planning Commission’s recommendations. In the draft outline of the First Five-Year Plan, the Commission recommended the need for a body comprising the Central and State governments to enable the plans to have a national character. According the National Development Council, set

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up in August 1952, the function of the Council are:

(i) to prescribe guidelines for the formulation of the national plan;

(ii) to consider the national plan as formulated by the Planning Commission;

(iii) to assess resources required for implementing the plan and to suggest ways and means for raising them;

(iv) to consider important questions of social and economic policy affecting development;

(v) to review the working of the plan from time to time and to recommend such measures as are necessary for achieving the aims and targets articulated in the national plan.

The National Development Council is chaired by Prime Minister and is comprised of all Union Cabinet Ministers, Chief Ministers of States, Chief Executives of the Union Territories and members of the Planning Commission.

The Council is required to meet at least twice a year. In its meetings it generally, reviews the approach papers to the Five-Year Plans, Draft Five-Five-Year Plans and Five-Year Plans.

There are differences of opinion with regard to role played by NDC in national planning. Some feel that it has functioned as a useful link among the Union Government, Planning Commission and the State governments. It has contributed in providing a rational perspective to planning. The other view is that the NDC has not been able to act as an

effective instrument for developing consensus and commitment to the national policies. The Sarkaria Commission which was appointed to review Centre-State relations has recommended that the NDC should be made more effective, so that it emerges as the supreme institution at the political level for the Centre – State planning relations. It has also recommended to give it a constitutional status and rename and reconstitute it as National Economic and Development Council.

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A number of subjects involved in developmental activities like agriculture, irrigation, power, cooperation, social service, etc., are in the State list. As such both planning at State level and coordination between the Central and the State governments in the sphere of development are essential. In the initial years while at the Central level the Planning Commission was constituted to formulate plans at the Central level, no such institution was created by the State. Almost all States had a planning department as a part of government, which was felt to be inadequate. The Planning Commission itself pointed out this problem in 1962 and suggested for the establishment of State Planning Boards.

On the basis of the above suggestions some States constituted State Planning Boards. But these were not given clearly defined functions.

Therefore, they were not much

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successful. The Administrative Reforms Commission, appointed in 1967, in its recommendations suggested to entrust the State Planning Boards with the tasks of macro-level economic planning, assessing state resources, determining priorities and facilitating district planning. In 1972 Planning Commission issued guidelines for strengthening the State planning machinery by including a number of technical experts in it. Thus, in 1970s several States set up Planning Boards with a view to complement and supplement the already existing planning machinery. It was hoped that the States with the help of the planning boards, would be in a better position not only for mobilising resources and apprising the plans on a more scientific lines but they would also be enhancing their capabilities for bargaining with the Planning Commission.

There is no uniform structure of State Planning Boards. These differ from State to State. As Sarkaria Commission in its report observed that although State Planning Boards had been created in all States except one, they have not been involved in real planning work. The State Planning departments continued to discharge this responsibility. The Planning Boards in general did not command due status and authority in the State governments.

As far as Centre is concerned, grants to States are released on the recommendations of the Planning Commission which generally, does not show much concern for State formulated plans. Thus, as a whole

functions and role of State Planning Boards continue to be ambiguous and limited. They have played only a limited advisory role. Planning process has continued to be centrally controlled only with minor shifts towards decentralisation.

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GENCIES Development planning has to be people oriented. Accordingly, an understanding of the needs of people at grass roots level and fulfillment of their needs are the most essential aspects of planning. Mahatma Gandhi strongly advocated decentralisation and empowerment of people at grass root level. Decentralised Planning enables a better perception of the needs of all areas, makes better decision making possible, gives people a greater voice in decisions concerning their development and welfare, serves to achieve better coordination and integration amongst programmes. Framers of the Constitution included this idea in Part IV on Directive Principles of State Policy. The Constitution enumerates that the State shall take steps to organise village Panchayats and endow them with such powers and authority as may be necessary to enable them to function as units of self-government. In the 1950s the Community Development Programme and the establishment of the Panchayati Raj Institutions were the first and significant steps towards putting the idea of grass root planning into action. However, both these attempts failed for various reasons.

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The government of India in 1957 appointed Balwant Raj Mehta committee to study the problems of development at the village level. The Committee recommended for the introduction of democratic institutions to take care of all aspects of development work. Accordingly, a three tier structure of Panchayati Raj Institutions with elected Panchayats at the village level, an executive body called the Panchayat Samiti at the block level and an advisory body called Zila Parishad at the district level were setup.

While the goal behind Panchayati Raj Institutions was very important, the spirit with which these were organised in various states lacked real enthusiasm. As a result apart from other failures the planning under the Panchayati Raj Institutions was not much of a success. They were really never given a chance to actively engage in local planning. They failed because of lack of experience, skill and help in planning; domination by the bureaucracy; inadequate devolution of financial powers and complete subordination to State governments.

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While planning in India has generally, remained confined to the Centre and State levels, unsatisfactory results of this have kept the pressure for decentralisation. Along with

Community Development Programme and Panchayati Raj Institutions and later with their failure, significant suggestions have been made to evolve the idea of District Planning and establishment of District Development Agencies. The Administrative Reforms Commission in its report in 1969 had recommended that there should be a District Planning Committee consisting of the representatives of the Zila Parishad, Municipal bodies in the district, professional talent in the district with appropriate association of the district officers. The Planning Commission also issued guidelines for decentralised planning and for establishment of District Planning Agency involving government, local self-government bodies and progressive farmers and entrepreneurs. A suitable planning machinery at the district level, however, remained missing. Ashok Mehta Committee in its report in 1978 pointed out that Panchayati Raj Institutions have been rarely given an opportunity to take up planning or implementation work on a sizeable scale. In its suggestions the committee proposed that the district should be the first point of decentralisation below the State. The block, which is the unit of planning in most of the States, was not to be the basic Unit of devolution by merely an executive committee of the Zila Parishad.

In 1978, a working group was appointed to study block level planning. The committee found that planning machinery at the district level was either non-existent or extremely

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deficient. The committee suggested for strengthening of District Planning Cells.

On the basis of these recommendations, the Planning Commission once again in 1982 issued guidelines for strengthening of planning at the district level. The scheme suggested for inclusion of technical personnel with knowledge and skills required for scientific district planning. To transform the district planning idea from a concept to a reality the Planning Commission also set up a working group on District Planning under the chairmanship of C.H. Hanumanta Rao. The working group in its report submitted in 1984 said:

decentralisation (through district planning) enables a better perception of the needs of the local areas, makes better informed decision making possible, gives people a better voice in decisions concerning their development and welfare, serves to achieve better coordination and integration among programmes, enables felt needs of the people to be taken into account, ensures effective participation of the people, serves to build up a measure of self-reliance by mobilising resources of the community in hand or money, making development of local resources and growth potentials of local area for improved productivity and increasing production feasible.

The working group accordingly laid down the functions of district planning agencies. These were (i) crystallisation of local needs and objectives; (ii) taking stock of the natural and human development; (iii) listing and mapping

of amenities; (iv) formulation of district plans; (v) formulation of policies, programmes and priorities;

(vi) coordinated implementation; and (vii) monitoring and review of district plan and programmes. To fulfil these tasks the working group suggested for broad-based district planning agencies comprising of representatives from the Zila Parishad, Panchayat Samitis, Municipalities, MLAs and MPs from the district, representatives of workers, entrepreneurs and banks, etc.

On the recommendations of Hanumanta Rao group and with the motivation and assistance of the Planning Commission, District Planning Cells have been created in a number of States. The primary job of a District Planning Cell is preparing a resource paper for the district with the help of other district level departments. In many cases these cells have been entrusted with the task of formulating district annual plans. But generally, District Planning Cells have remained mere a formality then actually functioning in a real meaningful way.

The basic reason is contradiction between planning and authority. In the absence of any financial powers it becomes impossible for the district level bodies to set targets, decide on priories, mobilise resources and decide on allocations. Also in most of the cases District Planning bodies have not been provided with adequate trained and competent planning personnel.

However, as has been said, there is a realisation at least at conceptual level that it is very important that

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development and planning is initiated at district level. An encouraging step towards this has finally been taken by giving constitutional recognition to district level planning by the 73rd and 74th Constitutional amendments.

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OMMITTEES A major initiative in strengthening and rejuvenating local-self governments finally came in 1992 with the adoption of 73rd and 74th amendments of the Constitution. Through these amendments for the first time institutions below the State level, Panchayats, Municipalities and Corporations have been given constitutional status. Certain functions of these bodies have also been made mandatory within this frame work. The 74th amendment also makes provision for the constitution of a planning committee at the district level to consolidate plans prepared by the Panchayats and the Municipalities and prepare a development plan for the district as a whole. The State legislature has been empowered to make provisions with respect to the composition of the District Planning Committees (DPC).

The 74th amendment also prescribes that while preparing the draft development plan DPC will keep in view matters of common interest between Panchayats and Municipalities including spatial planning, sharing of water and other

physical and natural resources; the integrated development of infrastructure and environmental conservation and the extent and type of available financial and non-financial resources.

The district has been accepted as advantage point for development and planning for several reasons. As already mentioned a number of committees and studies have favoured this. The major reasons, as given by several experts, have been summed up as:

(i) A district is relatively closer to the local population than is any other middle level regional spatial unit.

(ii) A district is large enough to serve as a viable planning unit.

(iii) Because of historical reasons it has a settled pattern of administration with a high degree of internal consistency and well-established administrative relationships.

(iv) Most information relating to revenue, land records, irrigation works, development loans, housing, roads, electrification, social services, etc., is organised on a district to district basis.

(v) Most departments and agencies of the State governments have their regional offices located at the district level.

(vi) Because of the well-entrenched administrative system at the district level, district planning facilitates a clearer evaluation of the impact of the development efforts and initiatives on the people and the institutions of that area.

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(vii) People’s awareness of the administrative process in a district is high because of their long time association with the district administration.

As a whole, development agencies at the district level have an important role to play in the planning and development process. The 73rd and 74th Amendments of the Constitution have raised some hopes for the empowerment of district and lower level institutions but the results so far are not very encouraging. It is time for the policy makers to realise the importance

of grassroots and diversified planning particularly in a country like India with so much diversities, imbalances and differences in needs and aspirations. It is the absence of appreciation of people’s aspirations and steps to fulfil them that create situations of regional and sectional movements which ultimately become serious issues for national integration itself. National integration can best be achieved by involving the people as participants in decision making and implementation of developmental process and not by imposing values and needs from the above.

EXERCISES

1. Why is decentralisation important in India?

2. Describe the composition and functions of National Development Council.

3. Explain the development of District Planning Agencies.

4. Describe the changes in the nature of District Planning Committee brought in by 73rd and 74th amendment of the Constitution.

5. Write short notes on the following:

(i) State Planning Boards;

(ii) Panchayati Raj and Planning;

(iii) Need for Decentralisation.

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OU have already read that after independence the Constitution of India, keeping in view the desires and aspirations of the people, values strengthened during national freedom movement and the ideas prevailing in the world, envisaged for State not only a democratic political order but also the goals of Justice, Liberty, Equality and Fraternity. These goals are clearly reflected in the Preamble of the Constitution, in parts on Fundamental Rights and Directive Principles and other specific Articles in the Constitution. All these provisions suggest that India is a welfare state, committed to the welfare and development of its people in general and of vulnerable sections in particular. The vulnerable sections in India include Scheduled Castes, Scheduled Tribes and Other Backward Classes, Women, Minorities, Disabled and Children. For the welfare of these people mere guaranteeing of right to equality or

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OU have already read that after independence the Constitution of India, keeping in view the desires and aspirations of the people, values strengthened during national freedom movement and the ideas prevailing in the world, envisaged for State not only a democratic political order but also the goals of Justice, Liberty, Equality and Fraternity. These goals are clearly reflected in the Preamble of the Constitution, in parts on Fundamental Rights and Directive Principles and other specific Articles in the Constitution. All these provisions suggest that India is a welfare state, committed to the welfare and development of its people in general and of vulnerable sections in particular. The vulnerable sections in India include Scheduled Castes, Scheduled Tribes and Other Backward Classes, Women, Minorities, Disabled and Children. For the welfare of these people mere guaranteeing of right to equality or