Local Governance Sustainable Livelihoods SDC South Asia Regional

Local Governance & Sustainable Livelihoods SDC South Asia Regional Meeting on 4 th November 2008 Dr. Rajesh Tandon, President, PRIA 42 Tughlakabad Institutional Area, New Delhi – 110 062 Tel: +91 -11 -29960931/32/33; Fax: +91 -11 -29955183 Email: rajeshtandon@pria. org; Web: www. pria. org

Sustainable Livelihood requires • Assets (physical, financial, human, natural) • Capabilities (skills, knowledge, organization) • Infrastructure (transport, communication, energy) • Markets (access, exchange, regulation)

Local Governance responsible for • Economic development • Social justice • Basic services

Indirect Enablement of Livelihoods • Bottom-up local planning (CDP in India) • Market facilities (Mandis /hats, vendors’ stalls) • Access to commons (Land, water, forests, minerals)

Direct Promotion of Livelihoods • Sub-contracting (SHG groups, labour coops) • Targeting of social and food security (PDS, Emergency food, old age pensions) • Inclusive basic services (education, sanitation, preventive health care/ immunization) • Identity Formation (Birth registration, land records, debt relief)

Direct Provision of Livelihoods NREGS in India • 100 days/year guarantee • Demand-based • Panchayats as principal agencies • Asset building for poor (water and land related assets for SC/ST/other poor households)

Realities • Avg less than 40 days • Three-fourth of works are road/building public works • Delays in allocation of work and payment of wages • Official driven, leakages widespread

Challenges to be addressed • Capacities in local government (institutional and human) – Planning (DPC, Data, Integrated rural-urban) – Implementation (contracting, monitoring) – Voice at higher tiers (negotiating investments) • Reform of public finance system – Poor tax base (Developed countries (India) comparisons – Devolution of responsibility without authority

Cont… – Tax 50% (10%), User charges 20% (10%) Transfers 30% (80%) – Multiple authorities with conflicting jurisdictions • Citizen Engagements – Demanding transparency (Right To Information) – Involvement in planning (Visioning) – Interfacing private and public investments