The Karnataka government has taken a firm step to streamline its guarantee schemes’ payouts by cancelling below poverty line (BPL) cards held by income tax payers and government employees. This correction is long overdue and necessary, considering that the guarantees BPL cardholders are eligible for such as 10 kg of rice and Rs 2,000 a month to women heads of beneficiary families claim large amounts from the exchequer. The Congress government, which has implemented its five promised guarantee schemes, has realized that while the largesse is securing votes, it is hurting development.
The schemes cost the government Rs 56,000 crore a year and benefit about 66 percent of the state’s 6.8 crore people. After conducting a survey of BPL cardholders and income tax payers, the government discovered a mismatch among the eligible beneficiaries. The state considers those with an annual income exceeding Rs 1.2 lakh to be ineligible for BPL cards. Karnataka, being the second-largest tax-generating state, it is not feasible for two-thirds of its population to lie below the poverty line.
The survey identified 22.63 lakh ineligible cardholders. Food and Civil Supplies Minister K H Muniyappa has claimed there are only 1.3 crore eligible families. The government has assured that genuinely eligible families will not lose their cards; as of now, only 1.02 lakh cards have been cancelled or modified. Clearly, there is considerable confusion that will need to be sorted by officials, and the ineligible individuals will have to be weeded out. The Karnataka State Government Employees’ Association has also begun a campaign to ensure its members surrender their BPL cards.
One and a half years into the new government, development has taken a hit, and there are allegations of ‘commission’ demands for the schemes’ payouts. Even Congress leaders are unhappy with the lack of grants for their constituencies. With the Lok Sabha elections and bypolls now over, the government can take some tough decisions, despite the opposition’s claims that the poor will be deprived. The urban-employed taxpayer has been excluded from schemes and development benefits so far and is likely to feel alienated. The government should look to divert more funds toward development and fixing civic infrastructure. The Congress can take a tip from the BJP government’s playbook: Sabka Saath, Sabka Vikas take everyone along.