The EGoM, which met under Finance Minister Pranab Mukherjee’s chairmanship earlier this week, also approved “leveraging” aadhaar for unique identity numbers for “proper targeting” of food entitlements.
Section 31(3)(g) of the draft National Food Security Bill, 2011 provides the Centre the option of “introducing scheme for cash transfer, food coupons, among others, to the targeted beneficiaries in lieu of their food grain entitlements” as part of reform in the Targeted Public Distribution System (TPDS).
The draft Bill prepared by the NAC had sought to legalise the highly-leaky PDS system and thereby excluded other innovative options of delivering food subsidy, like cash transfer or food coupons. It only allowed for use of “ICT, smart cards and other innovative technologies” for monitoring of PDS implementation, “subject to successful pilots”.
While the NAC Bill emphasised the importance of the PDS, the EGoM approved draft underlines TPDS as the main channel for delivering food entitlements. The EGoM draft also provides for “leveraging aadhaar for proper targeting” of entitlements. This is exactly what the Prime Minister appointed expert panel on TDPS reform had suggested.
In fact, states like Gujarat, Karnataka and Maharashtra have already started preparing aadhaar-linked ration cards on experimental basis. The provision for this in the proposed law would facilitate the Centre to help the states expand this mechanism.
The EGoM has also rationalised the criteria and procedure for establishing a three-tier set-up —comprising National Food Security Commission, State Food Security Commission and District Grievance Redressal Officer ——- to monitor implementation of the food security law and “other similar Acts or schemes”.
Provisions in the EGoM-approved Bill may help the Centre ensure convergence in implementation of rights-based programmes like NREGS, Forest Rights Act and Food Security Acts, along with other welfare schemes.