MANITIANS

Team Details:

Concerned issues A Brief Overview With Solution

PDS Accounts For 2.4% Of National GDP And Works with a network of

0.46 million FPS distributing SFA’s among 222.20 million families..

57% of the PDS food grain does not reach the intended people (UIDAI, 2009)

For every ₹4 spent on PDS, only ₹1 reaches the poor

76% of population had nutrition consumption below the norm of 2400 calorie

All is not well in PDS Main Reasons For Vanity Of PDS.. • Approx 20746 Crores₹ Loss In PDS in Corruption Presumptions: Corruption,Bribe and Loose System

Viability Of FPS • Only 39 % Of FPS Make Positive Net Income Over

Reccuring Cost Presumptions: a) Strength Of Ration Card Of FPS b) Door Delievry and Rentals c) Margins and turnovers d) Ignorance of consumer interest by supplier

Consumer Offtake And Its Determinance Causes: a) Lack Of Awareness b)Problem In Delievery Mechanism c)No Public Access for Complain d) Offtake By APL Is Negligible

Leakage and Diversion

36.38% Leakage And 21.4% Diversion To Unintended Beneficiaries

Causes:a)Inclusion And Exclusion

Errors b)Approximately 16% Ghost

Cards c)Improper BPL Identfication

Survey

Storage And Procurement

Out Of 36million tons procurement, Offtake Is Only 5%

Causes : a) Lackadaisical Approach

of State Government b) Insufficient Godowns

For Stock

Around 23% Of All Fair Price Shops (FPS) Are Not Viable And Survive Solely Due To Leakages And Diversions. Only Around 39% Of The FPS Make Positive Net Income Over Recurring Costs.

Bogus Ration Cards Estimated To Be Around 16.7%

An Approach To Reach High Above The Standards In PDS

The National Food Security Act – “that will provide a statutory basis for a framework which assures food security for all. Every family below the poverty line in rural as well as urban areas will be entitled, by law, to 25 kilograms of rice or wheat per month at Rs.3 per kilogram.”.

How this will be

achieved?

IMPLEMENTING IDEAS

Synchronization with UIDAI , Creation of Benificiary database and IT based solution.

Systematic changes through formation of vigilance committee and effective enforcement of commodities act.

Results in

Technological Advancement

Monitoring Of Government Machinery

Technological Advancement In PDS

Fully Inclusive Enrolment Process

Enrolment of identified family member by enrolling them into UID . It should appoint multiple registrars.

One Aadhar = One Benificiary

Aadhar is a unique number and a resident can have only one number use to verify his identity.

Ration Card Registration

The resident who wants to apply can approach any government body such as Panchayat office , CSC or can register from

their own mobile phones Residents

Enrollment agencies

Registrars

UIDAI

Ration card management system, an individual benificiary system, offtake analysis system and a full featured MIS system.

Aadhar Linked Payment

State Govt. can channel subsidy to Aadhar enabled bank account and benificiary can access this accounts through Aadhar authentication.

Portal User Interface

Mobile User Interface

External API &Data Feeds

UI Forms & Reports Extensions

State specific business rules & workflow extension Engine

Database Extension

Information, Communication &Technology Infrastructure

It need to deploy all the key offices of food department .

Central data center could be collocated with the state data center and state wide area network.

Aadhar & PDS: A Synergic Partnership

Proposed IT Based Solution Approach

Identifying “Physical Theft” using GPS on trucks. Tracking their movement and Electronic Weighing bridges. Monitoring movement of food grains from FCI to Civil . Supplies Corporation using mobile phones/gadgets.

Ration Card data should be digitalized by developing a common software with the help of institutional mechanism to undertake the complex task of conceptualizing , developing and maintaining the

IT systems on a continuous basis.

Self-service inquiries through mobile phones. A toll-free contact centre for PDS enquiry. Online account status on the internet will empower

beneficiaries.

Online account status on the internet to empower beneficiaries , establishing a direct and transparent grievance redressal channel.

All FPSs with electronic billing machines .

Monitoring Of Government Machinery

VIGILANCE COMMITTEES MORE REALISTIC PDS

Clear delineation of responsibilities and functions of each

position connected with PDS; provide benchmarks

for performance levels and

introduce the concept of personal liability in

case of lapses

Identification of genuine

benificiaries by time bound door to door

drive

District-wise vigilance

committees may be constituted, vesting them

with appropriate powers,

functions and responsibilities

The Anti Hoarding Cell should be headed by an

officer holding the rank of not less than a Deputy

Commissioner of Police with a

“Special Flying Squad” also

constituted into it

Effective Enforcement Of Commodity Act

Action should be taken without loss of time to seal the FPS if found contravening statutory provisions.

A Fast Track Court should be constituted in respect of cases pertaining to violations of Essential Commodities Act, 1955.

The Police Department should be directed to exercise their powers of search and seizure without exception.

Incentive should be given to FPS dealers for selling

other commodities in conjunction with SFAs.

Accountability should be fixed for any delay in

delivery of SFAs.

Doorstep delivery will relieve the FPS owner of the burden of paying a sum of Rs. 15/- per Quintal towards transport of BPL stock which amount

automatically increases his profit.

Step Towards Success

Viability Of PDS

High level of monitoring is required for the

presence of food stamp scheme Possibilities of exclusion should be minimum as

it can cause serious nutritional risk for the deprived

Proper reimbursement system should be in place to create incentive for the Shopkeepers

SYSTEMATIC CHANGES

Current system

Proposed system

Beneficiary Identification, Inclusion/Exclusion errors

Addressing diversion during movement , lifting etc.

Confirmation of delivery in last mile Tracking movement of goods, inefficient inventory management Accountability and monitoring

FPS misbehavior-under-weighing, extra charges, poor quality, etc.

IMPACTS & REACH

TECHNOLOGICAL BARRIERS such as… Cyber crime , Slowed down servers, Data theft

SMS service & alerts access difficult for BPL people

Unawareness and adoption of technology will prove to be a big headache

Need of more technical skilled workers

Funding and revenue problems such as raising loans & availing grants

ADVANTAGES Better human capital, economic growth, , decrease

in poverty & hunger, social and political stability. Clear identification of benificiary , enabling

individual entitlements , exclusion of fake and duplicate Ration Cards

Addressing Diversion & Leakages Ensuring zero proxy withdrawls. Providing benificiary with portable entitlement

APPENDIX

A document that details the on boarding of registrars at UIDAI: http://uidai.gov.in

Welfare scheme: http://fciweb.nic.in/PDS/Note%20on%20PDS%20

Department of Food and Public Distribution : http://fcamin.nic.in/storage/mannual%20I.doc

JUSTICE WADHWA COMMITTEE REPORT ON PDS: Report on the State of Tamilnadu Report on the State of Gujarat Report on the State of Chhatishgarh Report on Computerization of PDS operations

REFERENCES