This Article is From Oct 04, 2011

Rs 32 controversy: Joint statement by Montek Ahluwalia and Jairam Ramesh

New Delhi: Clearing the air over the reported disagreement over the definition of poverty, Montek Singh Ahluwalia, Deputy Chairman of the Planning Commission today said that he had reached "complete agreement" over the matter with Rural Development Minister Jairam Ramesh.

Last month, the Planning Commission filed an affidavit in the Supreme Court that stated that anyone who spends more than Rs 32 a day in urban areas cannot be defined as poor.

"The Supreme Court asked for an account of how we calculate the poverty line," said Mr Ahulwalia at a joint press conference with Mr Ramesh this afternoon.

Here is the full text of the joint statement:

1. The Union Ministry of Rural Development is coordinating the Socio-Economic Caste Census (SECC), 2011 which is surveying ALL rural households in the country to collect information on a number of socio-economic indicators. This is being carried out in association with the Office of the Registrar General of India and is expected to be completed by January 2012.

2. The Government of India will take into account multiple dimensions of deprivation based on the indicators that are being collected through the SECC, 2011 for arriving at specific entitlements that rural households will receive under various central government programmes and schemes. The present state-wise poverty estimates using the Planning Commission methodology will NOT be used to impose any ceilings on the number of households to be included in different government programmes and schemes.

3. The eligibility and entitlements of rural households in the country for different central government programmes and schemes will be determined after the SECC, 2011 survey results are available and have been analysed. The Union Ministry of Rural Development and the Planning Commission will consult with states, experts and civil society organisations to arrive at a consensus on the methodology by the time the SECC, 2011 is completed.

4. This methodology will seek to ensure that no poor or deprived household will be excluded from coverage under different government programmes and schemes. An Expert Committee will be appointed to ensure that this methodology is consistent with the provisions of the Food Security Bill as it finally emerges.
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