Monday, April 30, 2012

My take on the issue of outright replacement of PDS


My take on the issue of outright replacement of PDS with direct cash transfer to beneficiary accounts is as follows:
 For this- direct cash transfer- to happen the pre-requisite is an abuse proof identification and delivery mechanism.

Two secured numbers or may be three would be essential for roll out of such an ambitious program:
1) UID Number
2) Bank Account Number (Financial Inclusion will take care)
3) A portable mobile telephone number (then money could be transferred through the mobile phone)

Though theoretically universal functional literacy is not required but Professor Practical would say it is a must. 

As we are far from achieving any of the above; a proposal to replace PDS – out right- is preposterous, absolutely fabulous on paper though.  Throwing out the tried and test PDS system- which delivers according to the political will and astuteness of the ruling dispensation- at this stage, would be equivalent to the proverbial “throwing the baby with the bath water”.

It is like making Tendulkar an MP (Rajyasabha) before he retires from actives cricket. For, before he retires he can not even afford to go and listen to the debates, much less to talk about contributing into those debates. Lest anyone thought otherwise: I am a great fan of Sachchin. Yet, where is it mentioned that Rajyasabha seats are prizes, which should be doled out for recognizing sporting/ artistic displays?
However, the process of issuing UID cards should be expedited so that we can make a beginning now and over a period of a decade we can say good bye to the leaky PDS system. That approach would be inline with the culture of LPG- Liberalization, privatization & Globalization- which we’ve adopted since 1991. 

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