Unlike the earlier wage employment programmes that were allocation-based, MGNREGA is demanddriven and resource transfer from Centre to States is based on the demand for employment in each State. This provides an additional incentive for States to leverage the Act to meet the employment needs of the poor. There is also a concomitant disincentive for failing to provide work on time, as the States then bear the cost of the unemployment allowance.
Gram Panchayats GPs are to implement at least 50 per cent of the works in terms of cost. This order of devolution of financial resources to GPs is unprecedented.
Plans and decisions regarding the nature and choice of works to be undertaken, the order in which each work is to be triggered, site selection etc. The GS may accept, amend or reject them. These decisions cannot be overturned by higher authorities, except to the extent of ensuring conformity with the provisions of the Act and its Operational Guidelines.
MGNREGA also marks a break from the relief programmes of the past towards an integrated natural resource management and livelihoods generation perspective. Potentially, this creates unprecedented accountability of performance, especially towards immediate stakeholders. The radically new character of the programme, requires innovative approaches for effective implementation. This will ensure that the novel elements of the MGNREGA are realised appropriately on the ground; at the cutting-edge level of its implementation.
Moreover, if Govt fails to provide employment, it is bound to give certain unemployment allowances to the people.
NREGA not only provides economic security and rural assets but also helps in protecting the environment, empowering rural women, reducing rural-urban migration, fostering social equity etc.
The principles and agencies for execution, list of allowed works, financing pattern, monitoring and evaluation and quintessentially the detailed measures to ensure transparency and accountability are elaborately described in the act. In the programme, one-third of all employment is reserved for the women and there is a provision of equal wage between the men and women.
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