Govt reserves 65% NREGS funds for water conservation works in rural blocks, Pg 6.

Key Highlights:

• The Ministry of Rural Development amended MNREGA on September 23, 2025, earmarking funds for water conservation based on groundwater extraction levels.
• A minimum of 65% of NREGS funds in 'over-exploited' and 'critical' blocks will be used for water-related works.
• Approximately ₹35,000 crore will be available for water-related projects under NREGS, according to the Jal Shakti Minister.
• Blocks are categorized by the Central Ground Water Board (CGWB) based on groundwater extraction stages.

Detailed Insights:

• The amendment to Schedule-I of MGNREGA mandates specific expenditure percentages for water conservation in rural blocks.
• This decision follows Prime Minister Modi's expressed expectations to prioritize water conservation efforts under MNREGA.
• 'Over-exploited' blocks extract more groundwater than is replenished, while 'critical' blocks have extraction rates between 90-100%.
• Blocks categorized as 'semi-critical' will allocate a minimum of 40% of NREGS funds for water-related activities.
• 'Safe' blocks, with groundwater extraction at or below 70%, will allocate a minimum of 30% of funds for water conservation.
• The amended Schedule-I lists permissible works under MGNREGA, adding a new provision to prioritize water conservation projects.

Key Concepts Involved:

• MGNREGA: A scheme guaranteeing 100 days of wage employment to rural households.
• Groundwater Extraction: The process of removing groundwater from the earth.
• Water Conservation: Practices and policies to manage freshwater resources sustainably.