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Govt mulls various options for simpler food bill
The government is veering towards a consensus for a simpler National Food Security Bill, the ruling Congress's flagship social safety legislation, by having a single category of beneficiaries, instead of two. Zia Haq reports.
The government is veering towards a consensus for a simpler National Food Security Bill, the ruling Congress's flagship social safety legislation, by having a single category of beneficiaries, instead of two.
The Bill is currently being scrutinised by a parliamentary panel as is required under law-making and its provisions can be altered once the panel returns the bill, usually with a list of recommendations.
An official not wanting to be named said the changes could come as part of the parliamentary panel's suggestions, as the government is likely to propose them when its views are sought.
PM Manmohan Singh reviewed the options on the table at high-level meeting with key ministers and aides, including food minister KV Thomas, farm minister Sharad Pawar, the head of his economic advisory panel, C Rangarajan and home minister P Chidambaram. Plan panel chief Montek Singh Ahluwalia was also present.
Leading economists such as John Dreze and Planning Commission member Abhijit Sen have proposed clubbing the proposed "priority" and "general" groupings of beneficiaries.
Sources told HT that the government is almost certainly doing away two categories of beneficiaries, replacing it with one, a change that will address a major concern, that in its current form, the legislation was is unwieldy.
The current bill promised to provide 63.5% of the people with subsidised grains. It comes with an 'escape hatch though': it will not apply in case of "force majeure conditions", such as, war, flood, earthquake or "any act of God".
Eliminating the "general" category gives the government more financial legroom to widen the coverage from the proposed 63.5% of the population to between 65% and 70%. However, entitlements are likely to be slightly reduced.
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