F for failure
To transfer funds and functionaries to panchayats
Devolution has three elements says its managers, the so-called three Fs: functions, functionaries and funds. In addition, there is the need for rights of local governments over the resources critical for livelihoods and survival at the village. The United Progressive Alliance (upa) government created a new ministry for panchayati raj in 2004. The ministry decided to come up with a design for devolution, in the words of the panchayat minister and an old hand at decentralised governance, Mani Shankar Aiyar.
The key was to understand the state of affairs. Under the Panchayati Raj Act, 1992, the state governments must hold elections every five years. They must also hand over 29 functions
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