By providing 100 days of work to a rural household, the Act provides an income
supplement for poor households, especially during the slack agriculture season when
demand for labour in agriculture is low. By increasing disposable income of poor
households, the MGNREGA creates the conditions for a consumption-based growth
path. It also promotes participation of the local people and the poor in choice of
assets to be created. The programme can act as an automatic macro-economic
stabilizer.
The lack of appropriate knowledge among practitioners is a major hurdle preventing MGNREGA from achieving its potential. Ponds, check dams, tanks, soak
pits and other similar water conservation and harvesting structures are works, which
are meant to lead to the green transformation of rural India. However, the study
found that the engineering cadres upon whom all responsibility for technical
soundness of MGNREGA works rests, are too few in number to be able to ensure
that works being constructed will serve their purpose. Panchayat level functionaries
like the mates, rozgar sevaks and secretaries, have little knowledge about watershed
development, but it is they who take crucial decisions such as the location, direction, dimensions and design of works. As a result, the rate of success of projects
related to water conservation and harvesting is poor. In this context, the role of
cluster facilitation teams (CFTs) and barefoot engineers, who understand basic
hydrogeology would be extremely useful. Integrating these practices into planning
and designing MGNREGA works would go a long way in making it a truly ‘green
scheme’.
References
Azam, M. (2012). The Impact of Indian Job Guarantee Scheme on Labour Market Outcomes:
Evidence from a Natural Experiment, Discussion paper No. 6548, word bank and IZA
Basu, A., Chau, N., & Kanbur, R. (2009). A theory of Employment Guarantee: Contestability,
credibility and distributional concerns. Journal of Public Economics, 93, 482–497.
Khera, R., & Nayak, N. (2009). Women workers and perception of the National Rural
Employment Guarantee Act. Economic and Political Weekly, 44(43) October 24.
Muthamizh Vendan Murugavel, D. (2009). Driver of Rural Economy. Kurukshetra, 58(2), 15–18.
NREGA (2005). National Rural Employment Guarantee Act. Delhi: Govt. of India.
Biradar, R. S., & A. S. (2009). A Study report on Appraisal of NREGA Programme in Thane And
Akola Districts of Maharashtra. Central Institute of Fisheries Education, Deemed University,
(ICAR), 1–101.
Thadathil, M. S., & Mohandas, V. (2012). Impact of MGNREGS on labour supply to agricultural
sector of Wayanad district in Kerala. Agricultural Economics Research Review, 25(1),
January-June 2012, 151–155.
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