AGRICULTURE -- Accelerating inclusive agricultural growth

Present Status
Contribution to GDP 14%; Acceleration in growth rate from 2.4% in X Plan to 3.6% in XI Plan.
Gross Capital formation improved from 14.9% in 2006-07 to 20% of Agri-GDP.
Highest employer in rural area - 57% | Record production of food grains ~259 m tons; fruits and vegetable.
Indias Productivity lower than world average in Wheat and Rice production and significantly low in case of Maize.
Major Challenges
Natural Resources Shrinking land base | Dwindling water resources | Extreme weather events
Farm Operations Shortages of farm labor | Youths participation in agriculture declining | Inadequate
mechanization
Cost and Prices Increasing costs of inputs | Price volatility | Subsidies vs. public investment
Growth Drivers
Viability of farm enterprise and returns Scale, market access, prices and risk
Availability and dissemination of improved technologies Quality of research and skill development
Plan expenditure in agriculture & infrastructure Functioning of markets and efficient use of natural resources|
Focus on disadvantaged regions
Governance & Institutions Better delivery of services-credit and quality inputs
Demand and Supply Projections of food items XII FYP
Structured diversification and sustaining growth in horticulture | Enhancing use efficiency of resources and climate
resilient technologies | Vertical diversification for profit maximization | Building-up carbon stock in soils |Efficient
Fertilizer and rainwater use |Non-Pesticidal Management of diseases/insects-pests
Farm Viability
Building capacity of institutions to encourage group formation | Small and women farmers at all points of value chain
|Formation of FPOs- appropriate policy and legal initiatives |Extension reforms-use of ITs for precision farming
Programmes
Flagship Scheme Rastriya Krishi Vikas Yojana
Five Missions National Food Security Mission| National Horticulture Mission | National Mission on Oilseeds & Oil
palm | National Mission on Agriculture Extension and Technology | National Mission on Sustainable Agriculture
Four Central Sector Schemes Integrated scheme on agricultural marketing | Integrating scheme on agricultural
cooperation | Integrated scheme for farmers income security | Integrated scheme on Agri. Census & Statistics
Agricultural Research
Increase funding to agricultural R&D | Farming system based technology developments | National Initiative on Climate
Resilient Agriculture | Inter-Departmental platforms for multi-disciplinary research in priority areas | Farmers FIRST,
Student READY (Rural Entrepreneurship and Awareness Yojana) , Attracting and Retaining Rural Youths in Agriculture
(ARYA) | Agro-Innovate to promote research industry partnership | National Agricultural Entrepreneurship Project to
nurture entrepreneurship through translational research | National Agricultural Education Project to improve
education quality in SAUs (State Agricultural Universities)
Livestock, Dairying and Fisheries Strategies
Livestock & Dairying Enhancing availability of feed and fodder |Breeding strategies |Better health services
|Conservation of indigenous breeds |Clean milk production- restricting bacteria load.
Fisheries Raise the production from inland fresh water fisheries resource |Utilize water bodies & irrigation reservoirs
in rain fed areas | Regulate aquaculture activity in coastal areas following CAA norms |Utilization of natural wetlands
(excluding heritage) Tanks created under MGNREGA/Watersheds |Harnessing offshore fishery resources.
Expected Outcome
Faster and inclusive growth through more Diversified Agriculture | Economies of Scale to Small & marginal Farmers |
4% growth in GDP of Agriculture & Allied Sector | Enhanced Food & Nutritional Security | Stability in food prices

SCHOOL EDUCATION AND LITERACY

School Education Sector covers Pre-primary Education |Primary Education (Class I-V) |Upper Primary Education
(Class VI-VIII) | Secondary Education (Class IX-X) | Higher Secondary Education (Class XI-XII) |Vocational Education |
Adult Education (Literacy)

National Female Literacy Mission has been launched through Saakshar Bharat targeting 60 mn women & 10 mn men.

Elementary Education in India


Access to primary education increased to 99% and upper primary to 95% |Since 2004-05 SSA has enrolled 17mn children
of which girls accounted for 75% and SC and ST 60%.

XII Plan monitorable targets
Achieve mean years of schooling of 7 by 2016-17 | Eliminate social and gender gaps in enrolment by 2016-17

Mean Years of Schooling


Indias MYS at 4.67 in 2001(Census) had increased to 5.98 in 2009-10(NSS). The perspective is to achieve a MYS of 8 years
in 10 years and the target set for the 12th Plan is 7 years.

Elementary Education challenges
Ensuring RTE Act prescribed norms and standards for schools and professionally qualified teachers |Enrolling all the
OOSC (Out of school care) including street children & Children with Special Needs (CWSN) | Bridging Regional, Social &
Gender gaps in enrollment & school retention | Addressing systemic problems in school education | Improving the
quality and standards of education in publicly funded schools

Elementary Education: XII Plan Interventions
Provision of at least 1 year of well supported well resourced, pre-school education in Primary schools to all children
particularly those in EBBs
Programmes for learning enhancement and school retention including supplemental instruction for disadvantaged
children.
Additional KGBVs in EBBs and in areas with high concentration of SCs, STs and Muslim population.
Residential schools for children in the areas of civil strife, children of migrating population and tribal children-
Seasonal hostels for the children of migrating families.
Transport/escorts facilities for children - in areas of civil strife, with disabilities, and most marginalized ST and SC
groups.
Close monitoring of quality of Meals supplied under MDMS and extend coverage to all NCLP children and
disadvantaged children studying in private schools in districts of SCs/STs concentration.
Support to States for children in private schools (RTE 25% quota) and focused efforts in enhancing the access of
urban poor children to elementary education.
Improved teacher training with emphasis on effective pedagogy given the multi age, multi grade, multi-level
contexts.
Governance reforms promoting school education and easing regulations that impede growth of private investments
in school education.
Strong focus on learning outcomes for good quality education.
Ensuring all children acquire basic reading and numeracy skills by Class 2 and skills of critical thinking, expression and
problem solving by Class 5.
Teacher Eligibility Tests (TETs) institutionalized and made mandatory for teacher recruitments.
Launch National Mission on Teachers and Teaching to deal with issues of teacher education in a holistic manner.
Periodic review of school textbooks by NCERT/SCERT.
CBSE introduced wide-ranging examination reforms for its affiliated 13000 schools, emulated by other Boards.
Secondary and Senior Secondary Education

About 60% of Secondary schools & Sr. Secondary schools in India are privately managed (aided and un-aided).
There are 45 Boards of Secondary Education in the country.
The Central Government KVs and NVs under CBSE pattern perform well with high pass percentages.
SSA is accelerating demand for secondary education.
TWELFTH PLAN FOCUS
Increase Secondary Education GER to 90%, Sr. Secondary GER to 65%
Common syllabi & Examination/Assessment Reforms, Quality Assurance &TET
Revamped vocational education with new National Vocational Education Curriculum Framework- Competency
based Modules-Mobility- and linked with sector skill councils.
Partnership with employers who provide trainers and internships, advice on curricula, assessment and certification
Dropout rate at secondary level to be reduced < 25%
Ensure quality secondary education with relevant skills including basic competency in mathematics, science,
languages and communication;
Implement common curricula and syllabi of nationally acceptable standards for Science, Maths and English in all
schools in the country:
Develop life skills including skills of critical and constructive thinking, use of ICT, Organisation and leadership, and
community services
Extend RMSA gradually to Higher Secondary stage and cover all Government and Aided Schools
Set national norms of secondary schooling for Universalization of Secondary Education (USE)
XII Plan Interventions
Setting up all the 6000 high quality model schools at Block level- 3500 schools in partnership with States approved
and 2500 Model schools in PPP mode
Up gradation of 11,200 upper primary schools to Secondary Schools to meet increased demand.
Direct Benefit Transfer of Scholarships/ Incentives linked with Aadhar.
Increasing the intake capacity of 44,000 existing government secondary schools, residential schools & hostels
facilities for boys and girls.
Strengthening of infrastructure facilities in existing schools with provision of Lab/Library/ICT in
Ensuring 100% trained teachers in all schools.
Pace setting Role for KVs & NV & support to sports & Physical Education.
XII Plan expected outcomes
India achieving a MYS of seven years | Regional, Gender and Social gaps in Elementary Education enrollment bridged &
that in Secondary Education substantially reduced | GERs in Secondary and Sr. Secondary levels exceeding 90% and
65%, respectively | Gender gap in Literacy reduced to 10%age points | A significant improvement in quality and
standards of education in Government Schools.

EMPLOYMENT AND SKILL DEVELOPMENT
Current Employment scenario
11th Plan targeted creation of 58 million job opportunities - 18 million work opportunities created on CDS basis
between 2004-05 & 2009-10.
Unemployment rate declined from 8.28% in 2004-05 to 6.6% in 2009- 10 on CDS basis & from 2.3% to 2% on UPSS
basis.
LFPR declined from 43% to 40% & WFPR from 42% to 39.2% between 2004-05 and 2009-10.
Increase in Salaries and Wages of regular & casual workers between 2004-05 and 2009-10.
Share of informal sector employment increased marginally from 92.4% (2004-05) to 92.8% (2009-10).
Sectoral share: Decline in agriculture & manufacturing, increase in non-manufacturing which includes construction,
marginal increase in services.
NSSO Employment statistics 68
th
round (handwritten KDM)


Proportionate share of sectors in employment and Major challenge - present labor market scenario


Action Plan
Thrust on Manufacturing Sector to make it the engine of employment growth that would create 10 million
additional jobs during the 12th Plan.
To bring in supportive policies to incentivize labor intensive manufacturing sectors such as textile & garments, leather
& footwear, food processing, gems & jewellery to generate more employment.
Expanding employment in services like IT, finance & banking, tourism, trade & transport.
Prioritizing skill training for the informal sector; creation of appropriate skill sets among rural migrants and urban poor
to make growth inclusive.
Ensuring the employability of skill training by involving Sector Skill Councils in preparation of Skill Modules matching
market demand.
Building on the potential of Modular Employable Skill programme by ensuring combination of modules to guarantee
employability.
Extending Social Security benefits to Unorganized Sector workers.
Enable skill loans for poor students (Credit Guarantee Fund)
Streamlining the skill development programs for disadvantaged sections to ensure much larger funding for skill
development.
Setting up of National Skill Registry to link data bases across Ministries/States to provide a platform linking people who
seek/provide employment.

Expected Outcomes by 2017
To create 50 million additional non-farm job opportunities in manufacturing and service sector.
Increase skilled workforce to at least 50 million.
Increase percentage of workforce receiving formal training from present 10% to 25%.
Doubling the annual training capacity from the existing 4.5 million.

ENERGY
Integrated energy policy, 2008 recommendations for sustainable energy security Enhancing exploitation of
domestic energy potential | Sectoral initiatives in petroleum, coal, power and nuclear energy | renewable energy |
energy efficiency | boosting energy related R&D | Household energy security.
Power sector indicators

Developments coal gasification and coal mine extraction| policy on bio diesel and ethanol use under
implementation |power projects on rice husk, municipal solid waste taken up | Maximizing co-generation in sugar
mills from bagasse |Fast breeder reactor | Shale gas, underground coal gasification, gas hydrates
Household energy security Under RGGVY aim is to provide electricity to all villages. 92% villages covered, 70.6%
households covered | replace kerosene with LPG.
Mitigating CO2 emissions Indias emissions currently are among lowest and would be increasing with the
consumption growth. Higher share of non-conventional energy + efficiency measures reqd.
Energy efficiency Need to improve energy efficiency by 20% per unit of GDP over next 10 years. Initiatives power
generation plants being mandated to improve efficiency from current by deploying super critical technology (& ultra-
super critical) | Providing CFL/LED lamps to reduce power consumption | Minimum fuel efficiency standards for public
transport system | Development of energy efficient transport system: promoting coastal movement, inland
waterways, and increased share of rail transport | Dedicated freight transport corridor | BEE proposed schemes
Energy conservation building code (ECBC) in new building and energy efficiency improvements in existing buildings
(phase II), Municipal demand side management, Energy efficiency and technologies up gradation in small and medium
enterprises, standard and labeling scheme < of equipment and appliances |larger use of public transport, developing
metros in major cities | shift in modes of transport from roads to railways in case of freights| coordinated approach
for flagship schemes like RGGVY, RGGLVY & RVE and subsidized kerosene supply in different states | Policy for
LPG/clean cooking fuels supply in rural areas in view of 80 % households using biomass for cooking.

ENVIRONMENT
Vision statement: Managing environment, forests, wildlife and challenges due to climate change for faster and equitable
growth, where ecological security for sustainability and inclusiveness is restored, equity in access to all environmental
goods and ecosystem services is assured, through institutionalization of peoples participation and a future in which the
nation takes pride in the quality of its environment, forests, richness of its biodiversity and efforts by the state and its
people to protect, expand and enrich it for intra and inter-generational equity and welfare of the local and global
community.

Strategies 1. Programmatic 2. Organisational 3. Regulatory 4. Policy reform 5. Infrastructure and technology
upgradation and investment 6. Bio diversity and climate change thrusts 7. Capacity building and international
cooperation 8. Livelihoods 9. National forests 10. Wildlife

Monitorable targets

Green India mission greening 5 mn ha including 1.5 mn ha of degraded lands, afforestation and eco restoration of .9
ha of eco sensitive areas | Technology-based monitoring of forest cover, biodiversity and growing stock including
change-monitoring on periodical basis through dedicated satellite by 2017 and establishment of open web-based
National Forestry and Environmental Information system for research and public accessibility by 2015 | Engagement of
Village Green Guards/Community Foresters for every Joint Forest Management (JFM) village by 2016 | Establish forestry
seed bank in forest circles and Model Nursery in every district with information on public portal by 2014 |Twenty per
cent of veterinary professionals in the country will be trained in treating wildlife |Integrated Ecotourism District Plans
covering 10 per cent of all potential Protected Areas (PAs) by 2017| Promoting participation of private sector, civil
societies, NGOs and philanthropists in animal welfare | Mapping and preparation of biodiversity management plans for
deserts (both cold and arid), coastal areas, important coral zones, wetlands, mangroves and so on to be completed by
2017.

New Initiatives
Recasting the scheme of Common Effluent Treatment Plant (CETP) | Enhancement of Sewage Treatment Capacity
|National Plan for Conservation of Aquatic Eco-System (NPCA) | National Environmental Monitoring Programme
Effective implementation measures
By Linking existing goals with Global Agendas, ideologies and efforts.eg. The GEF (Global Environmental Facility)
targets etc. | Collaborating projects with international protocols and mechanisms such as the REDD+ mechanism |
Reviewing Best Practices within the Govt. (e.g. Tamil Nadu Govt. has made exemplary progress in the domain of air
quality monitoring) | Reviewing best practices outside the Government e.g. Green Growth Strategies, Models ,
Approaches | Detailed analysis of scope of PPP especially for projects relating to Sewage Treatment | Complete
monitoring of implementation of National Action Plan and State Action Plan.
HEALTH
Objectives: lower mortality, raise life expectancy | lower morbidity, raise quality of healthy life lived | Financial
protection | Choice to consumer
Issues in health systems in India
Poor quality |low availability | cost leading to out of pocket expenses and impoverishment | Dual burden of disease |
weal governance of health systems | ineffective regulation | insufficient health information and its use
Strategy
Strengthening of public sector health care | Substantially increase in health care expenditure |Efficient Financial and
managerial systems |Coordinated delivery of services | Cooperation between the public and private sector |Expansion of
skilled human resource |Prescription drugs reforms |Effective regulation through a Public Health Cadre |Inclusive
agenda |Pilots on Universal Health Care
Priorities
Financing: Funding as an instrument of incentive and reform |National Health Mission with universal coverage and
greater flexibility to States |Public Health Cadre for decentralized planning, program management, behavior Change
Communication, community participation, quality control, HIS, regulation, convergence of social determinants of health
| Access to Essential Medicines in All Public Facilities: Operationalize CPA |Human Resource strengthening |Building
effective Health Information Systems |Health Systems Strengthening
Goals
Reduce Maternal Mortality from 212 to 100 |Reduce IMR from 44 to 25 |Reduce underweight children below 3 years
from 40% to 23% |Increase child sex ratio from 914 to 950 |Reduce levels of anemia among women from 55% to 28%
|Reduce Total Fertility Rate from 2.5 to 2.1 |Reduce poor households' out-of-pocket expenditure on health
URBANISATION
Pace of Urbanization in India
Indian urban population is expected to go up from 377mn in 2011 to 600mn in 2031, increase of 200 mn in just 20 years |
About 60% of the growth in urban population in the past is due to natural increase whereas rural-urban migration has
contributed to only about 20% | There is a concentration of urban population in large cities and existing urban
agglomeration. The census of 2011 states that there are 53 million plus cities accounting for 43% of Indias urban
population |The census of 2011 notes that the number of towns in India increased from 5161 in 2001 to as many as 7935
in 2011. Most of this increase was in the growth of census towns (2532) rather than on statutory towns (242) |Indias
urbanization, however, is in smaller proportion as compared to other large developing countries such as China (45%),
Indonesia (44%), Mexico (78%) and Brazil (87%)
Main challenges in Urbanisation
There is a urban housing shortage of 18.78 million | According to the 2011 census, only 70.6% of urban population is
covered by individual water connections compared with China (91%), South Africa (86%) and Brazil (80%) Duration of
water supply in India cities is only between one to six hours | According to 2011 census, about 13% of urban population
defecate in the open, about 37% are connected by open drains and 18% are not connected at all | the number of urban
poor has increased by about 34.4% between 1993-2004 | In so far as the urban transport is concerned, a Ministry of
Urban Development study in 2010 based on sample of 87 cities has estimated that in about 20 years time, the expected
journey speed of major corridors in many cities would fall from 26-17 kmph to 8-6 kmph | The air quality has also
deteriorated sharply carrying with it concomitant health costs |The per capita emission levels in Indias seven largest cities
have been estimated to be at least three times than WHO standards.
Strategy to be followed for Urbanisation
Multi-pronged strategy Accelerate rate of job creation | to impart relevant skills to urban poor | facilitate self-
employment opportunities for urban poor | provide basic services to urban poor especially through rehabilitation of slums |
ensure financial inclusion of urban poor. || Strategy for urban five year plan will focus on strengthening the five enablers
for organization governance, planning, financing, capacity building and innovation ||
Governance Issues
For strengthening urban governance, the following steps need to be taken: Transfer of all the 18 functions identified in the
74th Constitutional Amendment to the ULBs | Set up an independent utility regulator at the state level to monitor service
levels and adjudicate disputes related to state and pricing of services | With the objective of establishing single point
accountability, the Mayor should be the Executive Head of the city and he should be vested with appropriate authority | All
million plus metropolitan areas should set up a Unified Metropolitan Transport Authority (UMTA) | Every municipality
should publish a Citizens Charter which should contain comprehensive information on services levels for all urban services.
| In all metropolitan areas and cities, dedicated government agencies with additional autonomy should be carved out to
provide services like water supply, solid waste management, sewerage, sanitation etc. The allocated municipal bodies may
procure services from these agencies by entering into suitable MoUs | Committees and Area Sabhas should be set up for
institutionalizing participatory development process for effectively carrying out the functions devolved to Urban Local
Bodies | Adopt an outcome based project and put up a robust monitoring system | Set up Lokayuktas / Ombudsman at
state and city level
Issues related to planning
Indias urbanization effort is being implemented through disjointed projects / activities with inadequate or no planning for
the urban area as a whole |The Master Plan approach focuses on only the core area of the city and has little linkages to
any financial and operational strategy | Every city/town should have a Development Plan by taking at least a 10 year
perspective | Along with the City Development Plan, there is need for a functional plan that indicates the sources of funds
required for holistic urban development of the city | There is a need to provide incentives for strategic densification of
cities / new towns on growth corridors | Considering land re-adjustment which is gaining acceptance as an alternative to
land acquisition.

Issues about financing of urban infrastructure
The share of Urban Local Bodies own revenues has declined significantly from 63% in 2002-03 to about 53% in 2007-08 |
A major strategy under the 12th Plan would be to strengthen the municipal finance and make them predictable | Profits
accruing to Urban Local Bodies from innovative sources like land monetization should be pooled into a ring fenced City
Development Fund which should be used only for urban infrastructure projects | The State Finance Commissions need to
be further strengthened for functional devolution and imparting predictability to the municipal finances.
How to improve Municipal Finances
Making a Constitutional Amendment that clearly outlines the various tax and non-tax revenue streams for Urban Local
Bodies through the incorporation of a Local Bodies Finance List in the Constitution | States should share 25% of the GST
equivalent with Urban and Local Bodies | Additional Floor Space Index (FSI) i.e. giving beyond what is normally prescribed
should be charged for adequately | Increase user charges collection for all measurable services where beneficiaries are
easily identifiable. The user charges should not only cover O&M cost, debt servicing cost and depreciation, but also
provide minimal profit to the Urban Local Bodies | Added investments from the private sector can be obtained through
People Private Public Partnerships (PPPP) and about 13-23% of investments in urban infrastructure can be raised
through this mode.
Issues on capacity building
Lack of efficient capacity across all levels of Government is the root cause of Indias urban development challenges
|Substantial skill gaps exist across all areas of urban management | The Central Government should create a
comprehensive frame-work that addresses issues such as staffing, training, skill development and finances | Every State
should institutionalize a dedicated municipal cadre with necessary technical skills | To meet the skill deficit in the short to
medium term, policies should enable reforms from the private sector and hiring of external Consultants through a fast
track process
A dedicated unit to address issues such as implementation of reforms, dissemination of best practices across urban issues
should be set up under the capacity building mission structure of JNNURM| The Government of India in partnership with
the State Governments and the private sector should set up 5 Indian Institutes of Urban Management (IIUMs) | The
Ministry of Urban Development and the Ministry of Housing & Urban Poverty Alleviation should bolster existing institutions
and set up new ones to assist with policy research, design etc. | The Governments net-work of about 1,800 Industrial
Training Institutes (ITIs) and 3,300 Industrial Training Centers (ITCs) run by the private sector can be roped in for skilling
personnel from Urban Local bodies |The Indian Institute of Public Administration along with the Administrative Training
Institutes should be tasked with the preparation of standardized training modules | The focus of the National Institute of
Urban Affairs should be renewed so that it is capable of assisting the Ministry of Urban Development with policy
formulation, providing advisory services to States etc.
Matters related to housing
The Technical Group on the Estimation of Urban Housing shortage has estimated the current shortage to be about 18.8
million dwelling units. The Group has further estimated that 73% of the shortage in self-occupied units is in bottom 40%
of the urban households | Under the scheme of JNNURM, only about 1.6 million dwelling units have been sanctioned | All
costs for housing cannot be met by the Government and, therefore, there is need to attract private investment | It is not
just the availability of finance which is problematic as far as housing is concerned since availability of land itself is the
most crucial issue | Scarcity of land is the result of sub-optimal land use patterns largely induced by the regulatory regime
in place, lack of long term urban planning and lack of participatory planning process
Urban transport
The National Urban Transport Policy 2006 calls for increasing the share of public transport in our cities from 22% to 60%
|The Study (2008) conducted by the Ministry of Urban Development estimated that public transport had accounted for
only 27% of the urban transport in India | In the 12th Plan, the aim must be to raise the share of public transport to at
least 50% of all motorized trips | A key challenge to generate non-budgetary resources to fund transport projects
especially through land based instruments needs to be devised | The Ministry of Urban Development should initiate a
proposal for setting up an apex institution viz. the National Urban Rail Transit Authority | The Ministry of Urban
Development should also initiate a proposal for setting up a Center of Excellence for Rail based Mass Transit system which
should promote research in civil net-work, rolling stock, tracks and signaling etc. All metro projects which are in high
density corridors and are viable on their own may be encouraged under People Private Public Partnership mode.
Solid waste Management important issues
Absence of segregation of waste at source | Lack of funds for waste management at Urban Local Bodies | Lack of
technical expertise and appropriate institutional arrangement | Unwillingness of Urban Local Bodies to introduce
appropriate collection, segregation, transportation etc. |Indifference of citizens towards waste management due to lack of
awareness
Jawaharlal Nehru National Urban Renewal Mission
The Jawaharlal Nehru National Urban Reforms Mission (JNNURM) was launched in December, 2005 for a period of seven
years with an outlay of Rs. 66,085 crore. The objective of the Scheme included empowerment of Urban Local Bodies
(ULBs), planned and holistic development of cities and making them inclusive | About 70% of the funds were used for
projects in 65 identified Mission cities and only the balance was used for projects in smaller cities/towns | The Scheme
mandated preparation of City Development Plans and setting up urban reforms at state and municipal levels | Release of
funds under JNNURM was linked to reforms undertaken by the State and also at the municipal level |The majority of the
projects which were taken up were for water supply, sewerage, drainage, housing with upgradation of slums, roads and
flyovers etc. | Some key inadequacies noted during its implementation included failure to mainstream urban planning,
incomplete reforms and slow progress of project implementation, delay in securing land for projects and obtaining
approvals in a time bound manner from various regulatory authorities. Till March 2012, only about 30% of the projects
were completed | The scheme of JNNURM has been instrumental in ushering in an era of reforms in the urban sector and
the areas where a lot of progress has been made includes Shift to double entry accounting system, Revision of building
bye-laws to make rain water harvesting mandatory, Rationalization of stamp duty to 5%, Increase in coverage of property
tax, E-Governance
Swarna Jayanti Sahari Rozgar Yojana
The Swarna Jayanti Shahari Rozgar Yojana (SJSRY) is designed to enable poor to get gainful employment. Under the
Scheme, about 4,000 towns have been covered with an assistance of Rs. 3,360 crore. Since inception, about 12.3 lakh
persons have been imparted training under the scheme | The funds have been utilized for upgradation of skills and also
for providing financial assistance to Self-Help Groups (SHGs) apart from assisting setting up of micro enterprises | One of
the major drawbacks of this scheme is that while information is available on the number of beneficiaries, no information is
available on how many beneficiaries actually got employment after being given training
Focus of XII FYP
The distinction between Mission and Non-mission cities is being removed so that smaller cities and towns are also able to
avail the benefits of this scheme | Greater emphasis is being laid to capacity building which was one of the major
weaknesses of the program | The link between release of money under the program to that of reforms actually achieved
would continue during the 12th Plan period | As far as employment opportunities is concerned for the urban poor, the
scheme of SJSRY would continue but would now be implemented on a mission mode and would be rechristened as
National Urban Livelihood Mission (NULM).
RURAL DEVELOPMENT



Approach to poverty reduction through sustainable development

Expected Outcomes
Sustainable development for rural transformation | Skill development of large number of rural poor youth for employment |
to facilitate 30 lakh entrepreneurs among the poor to set up microenterprises |Nurturing and strengthening the Institutions
of poor | women empowerment | better quality IAY houses | comprehensive financial inclusion through linkages to banks,
post offices and other financial institutions.
WATER
Current status 38-40% water efficiency
Challenges in water sector rising water demand | growing population and economy strains the demand supply balance |
limited water resources with spatial and temporal variation | falling ground water tables | ground water contamination |
surface water pollution |climate change impact on hydrological cycle |lower efficiency in water uses | frequent spells of
floods and droughts | increasing water conflicts | sustainability of the resources | over dependence on ground water leading
to slip back and contamination | lack of convergence of rural water supply with sanitation-toilets constructed under TSC |
inequity in urban water supply | disaggregated demand supply details required for various regions
Action plan Improving water use efficiency | sustainable participatory groundwater management | watershed
restoration and groundwater recharge | new approach to rural drinking water supply on population basis | integrate urban
water supply with sewage systems | emphasis on recycle and reuse of water | basin approach for water planning and
management
Ground water action plan Aquifer mapping for ground water management as primary focus | promoting ground water
development in north eastern India
Rural water supply and sanitation action plan Waste water treatment and sanitation integral part of water supply
plans | solid and liquid waste management to form part of nirmal gram

Urban water supply and sanitation action plan focus on demand management | bridge water supply and sewage
treatment gap | Inter-se reallocation of water among various sectors | all generated sewage to be tapped and treated |
efficient systems, minimize loss, progressive tariff structure | industry-reduce water use and recycle | water audits in public
and private institutions
Flood and its management action plan Emphasis on restoring traditional water bodies and natural drainage systems |
Involve civil society organizations to manage floods
Expected Outcomes 50% of population to have piped water supply | 50% of gram panchayats to attain Nirmal Gram
status | cover all rural habitations with sanitation | All urban water supply projects to combine sewage treatment facilities
also

XII Plan Strategy
Short term Challenges Reverse current growth slowdown: 5.5% in 2012-13, aim for 6.5-7% in 2013-14
Longer Term Get back to higher growth
Inclusiveness Reduce poverty| Improve regional equality across states and within states | Improve conditions for SCs,
STs, OBCs, Minorities | Generate attractive employment opportunities for youth | close gender gaps
XII FYP 25 monitorable targets
Economic Growth
Real GDP growth at 8%.
Agriculture growth at 4%.
Manufacturing growth at 10%.
Every state must attain higher growth rate than the rate achieved during 11th plan.
Poverty and Employment
Poverty rate to be reduced by 10% than the rate at the end of 11th plan.
5 Crore new work opportunities and skill certifications in non-farm sector.
Education
Mean years of schooling to increase to 7 years.
20 lakh seats for each age bracket in higher education.
End gender gap and social gap in school enrollment.
Health
Reduce : IMR to 25; MMR to 1. Increase Child Sex Ratio to 950.
Reduce Total Fertility Rate to 2.1
Reduce under nutrition of children in age group 0-3 to half of NFHS-3 levels.
Infrastructure
Investment in Infrastructure at 9% of GDP
Gross Irrigated Area 103 million hectare (from 90 million hectare)
Electricity to all villages; Reduce AT&C losses by 20%.
Connect Villages with All Weather Roads
National and State high ways to a minimum of 2 lane standard.
Complete Eastern and Western Dedicated Freight Corridors.
Rural Tele-Density to 70%.
40 Litres Per Capita Per Day Drinking Water to 50% of rural population; Nirmal Gram Status to 50% of all
Gram Panchayats.
Environment and Sustainability
Increase green cover by 1 million hectare every year.
30,000 MW renewable energy during Five Year Period.
Emission intensity of GDP to be reduced to 20-25% of 2005 levels by 2020.
Service Delivery
Banking Services to 90% of Indian Households.
Subsidies and Welfare related payment to be routed through Aadhar based Direct Cash Transfer Scheme.
Strategy for achieving Inclusiveness
There are two routes to inclusiveness through higher growth which expands income and employment
opportunities |through government pro-poor programmes which target poorer groups
Both are important Twelfth Plan combines the pro-poor programme approach with efforts to get a growth
pattern which is faster and inherently more inclusive
Two routes are mutually reinforcing High growth generates more revenues, to finance inclusiveness programmes
|Many inclusiveness programmes (health and education) contribute to growth



Macroeconomic challenges in achieving higher growth
Must increase the rate of investment, especially in infrastructure
Domestic savings must increase even more to reduce the investment saving gap which is necessary to keep the
Current Account Deficit under control
Government dis-savings must be eliminated. This means fiscal deficit must be reduced
Growth of subsidies has to be contained
75% of the investment in the economy is private investment (household plus corporate)
Both the Centre and the States have to create an eco-system that encourages private investment
Infrastructure, especially quality of power, and availability of skills is critical
Effectiveness of plan programmes
Twelfth Plan sets ambitious targets for Flagship Programmes in areas of Health, Education, Rural infrastructure,
Livelihood Development etc.
Too much focus on the level of expenditure in these programmes. Not enough on effectiveness in terms of end
results
Implementation in the field is the responsibility of State Government agencies. However, programme guidelines are
set by the Central Government
There are demands for greater flexibility from states. We are responding as follows:
o Guidelines are being made more flexible to meet the requirements of individual States
o 10% flexi-fund within each scheme for innovations
Energy
8 percent GDP growth requires 6 percent growth in energy supply from all sources
Our fossil fuel resources are limited, and our import dependence is already high
Enhanced Energy Efficiency in all sectors
We need to push for renewable Energy: Wind, Solar and Storage Hydro
Difficult Policy Issues:
o Coal vs. Forest Cover
o Petroleum Price Distortions
o Natural Gas Exploration Framework
o All Energy Prices: Coal, Petroleum product, Natural Gas and Electric power are currently underpriced. Fuel
adjustment is needed
Water
Management of water resource is a major challenge. Estimates of water availability have been optimistic
Twelfth Plan proposes modified AIBP and expanded Watershed Management Programme
Water sector needs better Regulatory Framework
o New Groundwater Law
o Water Regulatory Authorities in each state
o National Water Framework Law
Agriculture accounts for 80% of water use at present, must shift to more water efficient agriculture practices
Manage urban and industrial water demand through water recycling and rationalize user charges

Alternative scenarios
12th Plan goal of 8% inclusive growth is not a foregone conclusion
Depends on difficult policy decisions to be taken by Centre and States
For the first time Plan presents three scenarios
Strong Inclusive Growth 8%
Insufficient Action 6 to 6.5%
Policy logjam 5 to 5.5%