Subject: Social Justice

The persistent Centre-State dynamics in implementing welfare schemes has been a crucial concern, especially regarding the restructuring of Centrally Sponsored Schemes (CSS) to enhance their effectiveness in addressing vulnerable populations' needs.

Centre's Concerns and State Implementation

• Resource Allocation: Despite states spending 11% of their overall expenditure on CSS implementation, there are significant inter-state variations in utilization and outcomes.
• Implementation Gaps: The challenges include:
  • Poor targeting of beneficiaries and leakages in service delivery.
  • Last-mile connectivity issues in remote and tribal areas.
  • Lack of adequate monitoring mechanisms and accountability frameworks.

Restructuring Initiatives and Their Impact

• Flexibility Enhancement:

  • States now have greater autonomy in choosing and implementing schemes based on local needs.
  • Bottom-up approach in planning and execution of welfare programs.
  • Integration of multiple schemes to prevent duplication and enhance efficiency.

• Financial Reforms:

  • Direct Benefit Transfer (DBT) implementation to reduce leakages.
  • Enhanced fund allocation flexibility through flexi-funds.
  • Better coordination between Centre and States through NITI Aayog's initiatives.

Challenges in Implementation

• Structural Issues:

  • Limited state capacity for effective implementation.
  • Inadequate infrastructure in backward regions.
  • Complex procedural requirements affecting timely fund releases.

• Operational Constraints:

  • Lack of trained personnel at grassroots level.
  • Poor coordination between different departments.
  • Insufficient data management systems for monitoring progress.

The restructuring of CSS represents a significant step towards empowering states in welfare delivery. However, success depends on addressing both structural and operational challenges through measures like capacity building, enhanced digital infrastructure, and stronger monitoring mechanisms. The way forward lies in strengthening cooperative federalism and ensuring better Centre-State coordination for achieving the ultimate goal of uplifting vulnerable sections of society.