Syllabus
GS Paper 2 – Functions & responsibilities of the Union and the States; issues and challenges of federal structure;
Context
Recent boycott by representatives of several states during NITI Aayogs 9th Governing Council meeting highlights significant structural and functional limitations.
Source
The Hindu| Editorial dated 29th July 2024
The NITI Aayog suffers from both structural and functional issues
NITI Aayog , established in 2015, replaced the Planning Commission of India to promote sustainable development and cooperative federalism. Recent boycotts by multiple State Chief Ministers have raised questions about its effectiveness and relevance.
Objectives of NITI Aayog
- National Development Vision: Develops a shared vision involving states.
- Village-Level Planning: Establishes mechanisms for planning at the village level.
- Cooperative Federalism: Fosters continuous support mechanisms with states.
- Inclusive Growth: Focuses on sections of society at risk of being left behind.
- National Security: Integrates national security into economic policy.
- Strategic Policy Design: Designs long-term policy frameworks and monitors progress.
- Stakeholder Partnerships: Encourages partnerships with national and international think tanks.
- Issue Resolution: Offers platforms for resolving inter-sectoral and inter-departmental issues.
- Innovation Support: Develops innovation and entrepreneurial support systems.
- Resource Centre: Maintains a repository of research on good governance and sustainable development.
- Monitoring and Evaluation: Actively evaluates and monitors implementation of initiatives.
- Capacity Building: Focuses on technology upgradation and capacity building.
- National Development: Undertakes activities to further national development goals.
Major Initiatives of NITI Aayog
Atal Innovation Mission (AIM)
- Promoting Innovation: AIM fosters a culture of innovation and entrepreneurship in India, focusing on technology-driven solutions.
- Support Programs: It supports startups and innovative projects through initiatives like Atal Tinkering Labs (ATL) and Atal Incubation Centers (AIC).
- Ecosystem Development: Facilitates the journey from ideation to execution and scaling, creating an ecosystem conducive to innovation.
National Nutrition Mission (NNM)
- Combating Malnutrition: Known as Poshan Abhiyaan , NNM aims to reduce stunting, wasting, and anaemia among children, adolescent girls, and women.
- Service Delivery: Uses a multi-faceted approach, converging nutrition-related schemes and promoting behavioural change via community events and digital platforms like the Poshan App.
Aspirational Districts Programme
- Targeting Underdeveloped Districts : Focuses on improving socio-economic indicators in 112 of India’s most developmentally challenged districts.
- Key Areas: Emphasizes health, education, agriculture, and infrastructure.
- Data-Driven Approach: Utilizes a ranking mechanism to encourage competition and share best practices for overall improvement.
Digital India
- Bridging Digital Divide: Aims to ensure electronic access to government services, enhancing digital literacy and infrastructure.
- Key Components: Includes Digital Locker, e-Hospital, and BharatNet project to improve service accessibility and efficiency, especially in rural areas.
Transformative Energy Access
- Sustainable Energy Solutions: Focuses on providing modern, affordable energy solutions, reducing reliance on traditional fuels.
- Key Projects: Expanding solar power, enhancing grid reliability, and promoting clean energy innovations.
Health Systems for a New India
- Holistic Healthcare: Outlines a vision for a more inclusive, accessible, and efficient healthcare system.
- Public and Private Integration: Strengthens primary healthcare and infrastructure, promoting digital health technologies like telemedicine.
Sustainable Development Goals (SDGs)
- Monitoring Progress: Leads India’s efforts in achieving the UN’s SDGs, using the SDG India Index to monitor and evaluate progress.
- Targeted Interventions: Identifies gaps and facilitates interventions, coordinating with ministries, states, and stakeholders for a cohesive approach.
Ease of Doing Business (EoDB)
- Regulatory Simplification: Aims to improve the business climate by reducing bureaucracy and streamlining approval processes.
- Digital Procedures: Enhances infrastructure and digitizes procedures to attract investments and boost economic growth.
Skill Development and Employment Generation
- Enhancing Employability: Supports the Skill India Mission to address workforce needs through vocational training, apprenticeships, and digital literacy initiatives.
- Industry Alignment: Collaborates with private sector and educational institutions to enhance employability and support entrepreneurship.
Agriculture Reforms
- Productivity and Market Access: Focuses on improving agricultural productivity, ensuring fair pricing, and enhancing market access for farmers.
- Key Initiatives: Includes contract farming, digital market linkage platforms, and modernization of infrastructure like cold storages and warehouses.
Urban Development and Smart Cities
- Sustainable Urban Growth: Promotes inclusive city growth through the Smart Cities Mission, using technology and data to improve urban infrastructure and service delivery.
- Key Components: Digital governance, intelligent transport systems, and green buildings to create livable, sustainable urban spaces.
Atmanirbhar Bharat Abhiyan (Self-Reliant India Mission)
- Economic Self-Sufficiency: Aims to boost the economy by promoting local manufacturing and reducing import dependency.
- Sectoral Focus: Covers MSMEs, agriculture, defense, and pharmaceuticals, providing financial support and policy reforms for growth and resilience.
Water Management and Conservation
- Sustainable Water Use: Emphasizes efficient water management and conservation to address scarcity and quality issues.
- Key Efforts: Includes promoting rainwater harvesting, efficient irrigation, and rejuvenation of water bodies, using the Composite Water Management Index to evaluate and encourage best practices.
Limitations of NITI Aayog
Structural Limitations
- Limited Legislative Power: NITI Aayog functions mainly as an advisory body without the authority to allocate financial resources or directly implement policies. This limits its influence over actual policy execution and resource distribution.
- Financial and Human Resources constrains: NITI Aayog often operates with limited financial and human resources, impacting its ability to conduct comprehensive research, develop innovative policies, and effectively monitor implementation.
- Centralization: Despite its aim to foster cooperative federalism, the centralized structure of NITI Aayog can sometimes lead to a disconnect with local governance structures, affecting the relevance and applicability of its recommendations.
Functional Limitations
- Dependency State Collaboration: Effective policy implementation requires cooperation from state governments. Variations in political alignment and administrative efficiency among states can hinder policy coherence and execution.
- Diverse Needs: India’s vast socio-economic diversity makes it challenging to devise uniform policies. Tailoring policies to address local needs while maintaining national coherence is complex and often leads to conflicts.
- Policy Implementation Hurdles: Translating policy recommendations into actionable plans and ensuring their execution remains a significant challenge due to bureaucratic inertia and resistance to change within the government machinery.
- Data Reliability and Accuracy: The formulation of effective policies relies on robust data. Inconsistencies and gaps in data collection processes can result in less informed decision-making, affecting the quality and impact of policies.
Addressing these Limitations
- Legislative Powers: Grant NITI Aayog limited legislative powers to influence resource allocation and policy implementation directly. This could enhance its effectiveness and ensure better alignment with its strategic objectives.
- Accountability Mechanisms: Establish mechanisms to hold NITI Aayog accountable for its recommendations and outcomes, ensuring greater responsibility and transparency in its functioning.
- State Involvement: Foster deeper collaboration with state governments through regular consultations and shared decision-making processes, ensuring that policies are well-aligned with local needs and capabilities.
- Data Infrastructure: Strengthen data collection and management infrastructure to ensure the availability of reliable and accurate data, facilitating more informed decision-making.
- Adequate Funding: Ensure that NITI Aayog is adequately funded to carry out its functions, including research, policy development, and monitoring activities.
- Human Resources: Attract and retain skilled professionals to bolster the organization’s capacity to address complex policy challenges.
Conclusion
NITI Aayog has brought positive changes in India’s planning process, emphasizing cooperative federalism and innovation. However, to fulfil its objectives effectively, it needs empowerment, adequate resources, accountability, and non-partisan functioning.
Related PYQ
How are the principles followed by the NITI Aayog different from those followed by the erstwhile Planning Commission in India? [ UPSC Civil Services Exam – Mains 2018]
Practice Question
Discuss the structural and functional limitations of NITI Aayog. How do these limitations impact its role in fostering cooperative federalism in India? [250 words]