Annexure-I Approach to Twelfth Five Year Plan A.

Goal: Faster, Sustainable and More Inclusive Growth Faster - 9 to 10 percent GDP Growth, Sustainable sustainable use of natural resources More Inclusive social justice and alleviation of poverty B. Macro-Framework: Macro Strategy: sustaining high growth, savings and investment, price stability, current account and fiscal balance. Financing the Plan: Gross Budgetary Support, Central and State Plans, Sectoral Outlays. Financing Infrastructure: incl. budgetary partnerships and debt market instruments. support, public-private

C. The People: (Development for, of and by the people) Education: Right to Education, vocational alternative to formal schooling at the secondary level, Higher Education Reform. Health: National Health Mission, Regulation of Medical Practice, Medical Education, Nutrition and Indigenous Systems of Medicine. Faster expansion and dispersal of income generating opportunities (more jobs, more enterprises) in industry and services Skill Development: including state action to match demand and supply of skills, and shifting of under-employed from agriculture to industry and services. Social Justice: Empowering the Excluded Scheduled Castes, Tribals and their rights (forest, land alienation), Other Backward Classes, Minorities, Differently-abled persons, Women (Gender related issues), Child rights.

D. The Planet: removing constraints on growth through sustainable use of resources. Climate Change: including National Action Plan for Climate Change Water: Holistic Water Management including Ganga Action Plan, limited inter-linking of rivers and National Water Mission Forests: including Green India Mission and protection of wildlife habitats Energy: Power, Coal, Oil and Gas, Renewables including Integrated Energy Policy Transport: including Integrated Transport Policy 3

Land Use: is a cross-cutting theme though strategy space is less common. The alternative is to have a section on land-use planning in each relevant chapter.

E. Making it Happen: Good Governance: Institutional Architecture, Capacity Building and Public Service Delivery. Leadership at all levels - Tackling problems of Change. Convergence in delivery of public services. Multiplicity of Centrally Sponsored Schemes. Fund Release and Monitoring. Avoidance of Waste - dismantling defunct/outdated programmes and institutions. National e-Governance Plan. Innovation and Science: Research in Scientific Departments, Incentivising Private Sector Research, Research in Universities and Academic Institutions, Quality Issues - Impact Factor and Patents. Agriculture: including value added agriculture - logistics of food from farm to kitchen. Food Security and Public distribution. Agriculture and allied activities cutting across primary and secondary sectors. Industry and Services: employment generation, strategic depth, small and medium enterprises. New Manufacturing Policy. Financial Sector Reforms. Managing Urbanization: including urban waste management, drinking water and sanitation, urban infrastructure, land use planning and integrated slum improvement. Rural Transformation: Rural Infrastructure, Water and sanitation, Targeted Poverty Reduction, Financial Inclusion. Redressing Inequality: Left-wing Extremism. Special Area Plans. Backward Region Grant Fund. Development of North-East.

Annexure-II INSIGHTS FROM CONSULTATIONS ON 19TH JUNE 2010 REGARDING APPROACH TO THE TWELFTH PLAN The purpose of this note is to abstract from the many suggestions made regarding the approach to planning and some important topics to be addressed in the Twelfth Plan, in the workshop on 19th June wherein Members of IPC listened to a diverse group of external thought leaders. These are summarized under five headings: 1. Architecture of the plan and approach to it 2. Philosophies underlying the approach 3. The issue of Implementation, which should be a (or the) principal subject to be addressed 4. Specific topics to be addressed in the Plan 5. The process of developing the approach to the Approach (and then the Plan) 1. Architecture Describe the big picturethe forces shaping India and the world, and the implications of these Create scenarios, which describe plausible, alternative outcomes of the interplay of these forces, not numerical predictions Locate key themes in these scenarios Organize chapters around these key themes, rather than sectors The topics in the draft framework presented at the workshop sound like text-book topics. They are the same and they are fine. Should go beneath them to find the more fundamental issues of why sufficient change is not happening in these areas Our major challenges are inter-disciplinary: locate and describe these inter-disciplinary challenges Plan should educate policy-makers and the country Money, People, Planet, Governance/Implementation, is a good way to map the space to be covered in the approach Editorial comment: We need an architecture, which is like a geodesic dome, with open space and themes going across it, rather than an office-block with walls and compartments, as the framework for the Approach to the Twelfth Plan, and perhaps for the Plan too. Some forces/themes suggested (should be validated by the scenario thinking process) Demographics: its changing shape and content, not just the numbers Opportunities for young women Neglected regions of the country Urbanization Climate changein Indian context Water 5

Gender, Jobs, Execution seem to be three strong themes coming out of the 19th June workshop according to a participant 2. Philosophyunderlying concepts and theories Social capitalcomposed of equity (not merely inclusion) and harmony Inclusion is not achieved by redistribution: how can we make infrastructure more inclusive, finance more inclusive, urbanization more inclusive? An interventionist strategy versus an enabling strategy for inclusion and development Women should not be just a topic to be addressed, but women should permeate through the approach as a means for achieving inclusion and development Young people are not the problem: they are the solution. We should consult with them and use their force to make change happen Put young women, and young adolescent girls at the center of the approach to change What is our strategy for creating more opportunities for young peoplejobs, entrepreneurship; it may be different to the Chinese factory strategy We say there is no dirth of demand in the country, but where there is no voice how can we know what the demand isneglected regions and communities What are public goods and private goodsuse this definition as a framework for planning 3. Implementation I am seeing sections and words (in plans) and not the how An enabling versus an interventionist approach to implementation Direct schemes only where there is a market failure Systemic improvements by looking at patterns across schemes Inter-disciplinary challenges, and implications at different levels of the federal structure Policies that are at logger heads with each other Problem is how policies are framed, how they are made Need innovations in policies Laws are there: it is their application that must be monitored A more horizontal and less vertical approach to implementation Silos; delivery systems that are clogged pipes into which we thrust (and waste) more resources in the expectation that it will flow through Need more integrated approaches focused on the needs of persons Nodes to put things together for people on the ground The way the schemes are administered versus giving more money Attention to systems, and incentive-compatible strategies Focus more on how resources are deployedthey are being treated as freebies in the political system The role of competition in improving delivery of healthcare and education 6

Role of civil society organizations (not only NGOs); member-based organizationscooperatives, unions, etc that enable direct participation of people; use the social capital of these organizations; policy issues related to these Inclusion and Implementation are inter-linked Links between corporate activities and peoples livelihoods What is coming in the way of effective private engagement with development? Government should identify and support good initiatives, rather than starting new ones of its own Reviews of programs should involve civil society organizations along with specialists

4. Some observations regarding inclusion and treatment of Topics Science throughout society, not just in departments of science Corporate governance must be included as an important topic Urbanization must focus on small towns and in-situ urbanization Urban planning to focus on needs of the poor Focus on India-specific aspects of climate change e.g. pattern of monsoons In demographics, include the needs of the increasing number of aged people Land use strategy must be addressed Sanitation is an important topic in itself, linked to others such as health and water Integrated energy policy to be highlighted Need an Intelligent Industrial Policy Focus attention on the ungoverned parts of India Disaster management should be included as an important topic 5. Process of developing the approach Use techniques of scenario planning; engage people who use this technique Consultations should be more around cross-cutting themes and less around sectors Cross-cutting teams should work on these issues, to get out of silos Consultation groups should have diversity in them (like the group on June 19th) Decentralize consultation processgo to small towns Regional consultations should be organized Engage with groups of college students in the consultationsto get the youth perspective Engage with groups of young women, and women generally, to get the feminine perspective which must become a key force Listen to the experienced not just to experts Use technology to facilitate the consultation process and increase its reach Examine examples of the generic bottle-necks in implementation what can be learned, and what would be generic solutions. 7