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Indian Economic Policy
Notes 6. Construction of houses for scheduled castes/scheduled tribes and freed bonded labourers
7. Construction of rural roads.
8. Land development and reclamation of waste lands or degraded lands.
9. Construction of community centres, panchayat ghars, Mahila Mandals, Market yards,
dispensaries, anganwadis, balwadis etc.
10. Construction of school buildings, etc.
Million Wells Scheme (MWS)
The Million Wells Scheme was launched as a sub scheme of NREP/RLEGP during 1988-89 to provide
open irrigation wells, free of cost, to poor small and marginal farmers belonging to SCs/STs and
freed bonded labourers.
Since the beginning of the programme in 1988-89, a total 10.0 lakh wells were constructed with an
expenditure of ` 4,021 crores by 1996-97. Additional 1.9 lakh wells were constructed during 1997-98
and 1998-99 at a cost of ` 937 crores.
Indira Awaas Yojana (LAY)
Indira Awaas Yojana was aimed at providing houses, free of cost, to the members of the SC/ST. freed
bonded labourers. From 1993-94, the scheme was extended to other poor categories (besides SC/ST) as
well. The permissible expenditure for each house under IAY which was fixed at ` 14,000 was enhanced
to ` 20,000 with effect from Ist August 1996 in view of the rise in the cost of building materials.
Under Jawahar Rozgar Yojana, during 1989-90 to March 2001, a total of 67.5 lakh houses were
constructed with a total expenditure of ` 11,324 crores. Average cost of construction of a house was
` 16,776.
Third Stream — Innovative and Special Employment Projects
Under the third stream of JRY, special and innovative projects which aim at prevention of migration
of labour, enhancing women’s employment, special programmes through voluntary organisations
aiming at drought proofing as well as watershed development/wasteland development resulting in
sustained employment were undertaken. Besides this. Operation Black Board was undertaken to
provide assistance for construction of class rooms and school buildings. During the 5 year period
(1989-90 to 1993-94), as against the target of 4,332 million mandays, the States generated employment
of the order of 4,283 million mandays, nearly 97 per cent of the target. The total expenditure incurred
was ` 14.010 crores. This implies that ` 32.7 per manday were spent for the purpose. This was a very
encouraging achievement.
Employment Assurance Scheme (EAS)
On the model of the Employment Guarantee Scheme of Maharashtra, the Government introduced
Employment Assurance Scheme (EAS) with effect from 2nd October 1993 in rural areas in 1,778
blocks of 261 districts. The scheme aimed at providing assured employment of 100 days of unskilled
manual work to the rural poor who are in need of employment and seeking it. The assurance of 100
days extends to all men and women over 18 years and below 60 years of age. A maximum of two
adults per family were to be provided employment under the scheme.
The average employment provided per person was 41.3 days in a year, as against the target of 100
days of employment. To make the scheme more enduring to enable beneficieries to cross the poverty
line, it would be more desirable to reach the target of 100 days of employment per year.
Evaluation of Jawahar Rozgar Yojana (JRY)
During 1992, the Government of India undertook concurrent evaluation of JRY through reputed research
institutions covering all districts in the country. More concerns of the concurrent evaluation were:
Areas of Concern pointed out by the Report are :
(a) In majority of cases, panchayat heads were not given any training for undertaking JRY works.
(b) The workers who belonged to the category of ‘ineligibles’ also took advantage of the programme.
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