GOVERNMENT OF KERALA PERSPECTIVE PLAN 2030 - KERALA Volume III Entrepreneurialism and Environmental Sustainability Kerala State Planning Board National Council of Applied Economic Research Copyright © State Planning Board (Government of Kerala) 2014 All rights reserved. No part of this book may be reproduced or utilized in any form or by any means, electronic or mechanical, including photocopying, recording or by any information storage or retrieval system, without the permission in writing from the Kerala State Planning Board, Government of Kerala. First Published in October, 2014. Technical Consultant National Council of Applied Economic Research (NCAER), New Delhi Design: Centre for Development of Imaging Technology (C-DIT) Printing: Government Central Press, Thiruvananthapuram iii Foreword Sri. Oommen Chandy Chief Minister of Kerala Kerala Perspective Plan 2030 is a perception of the future, which reveals and points to some- thing new, beyond what is already available and accessible. The goal of the Perspective Plan is to improve the quality of life of the people of Kerala to the level of Nordic countries (Swe- den, Denmark, Norway and Finland), by 2030. These countries have achieved high material, human, social and ecological development and a highly regarded balance of all aspects of development. In order to get there, we need a framework that defines clearly where we are to- day, what challenges we face, where we want to be by 2030 and how to get there. Perspective Plan for a State/region means creating a set of alternative long term development strategies and integrated implementation approaches, for reaching the goal of future development. Our future is about the people. This plan has been prepared after considerable consultations with various expert groups and citizens. The expected change would be to transform Kerala into a healthy and knowledge based economy, in which people enjoy high standards of living, a good quality of life and have access to quality education, health and other vital services. The Vision of Perspective Plan 2030 is the creation of a diversified, knowledge economy with a resource-based industrial sector, competitiveness and productivity in agriculture, placing great emphasis on skills development. In addition, the Plan will promote competitiveness in all sectors, in terms of product quality and differentiation. As required by this perspective, the State will operate a totally integrated, amalgamated, flex- ible and high quality education and training system, which prepares Kerala’s learners to take advantage of a rapidly changing global environment, including developments in science and technology. This, in turn, would contribute to the economic and social development of the people of Kerala. Arising from the overall capacity building investments, Kerala will be trans- formed into a knowledge-based society, and changes in production and information technol- ogy will revolutionalize all aspects of the manufacturing process. Perspective Plan 2030 is expected to reduce disparities and move the State significantly up the scale of human development, to be ranked on par with the developed countries in the world. There will thus be a pervasive atmosphere of tolerance in matters relating to culture, religious practices, political preference and differences in social background. The plan will facilitate equity in access to social services and facilities, as well as access to productive re- sources such as land, labour and capital. Kerala will be a just, moral, tolerant and safe society PERSPECTIVE PLAN 2030 -KERALA iv with legislative, economic and social structures in place to eliminate marginalisation and en- sure equity between women and men, the diverse and ethnic groups, and people of different ages, interests and abilities and harmony and peace in society. The major challenge of this Perspective Plan is for all of us (Government, private sector, civil society, as well as individuals) to make a determined effort to concentrate on resolving, not just addressing, very important State level problems. This document: Perspective Plan 2030, presents a clear view of the major problems faced by the State and how these problems can be effectively resolved by deploying-to the fullest extent-our human and natural resources. Kerala’s future will also depend largely on the people themselves; much will depend on our ability and willingness to respond with innovation and commitment to new challenges. The immediate challenge we face as a State, now that we have a Perspective Plan document that defines our state’s future development possibilities, is to ensure that the Perspective Plan is translated into reality. As a step in that direction, implementation strategies will be developed and human and financial resources will be mobilized. The programmes of Perspective Plan 2030 have specific targets and periodically, through the State Development Plans, we will evaluate the programme’s performance. The success of the Perspective Plan depends on commitment not only of successive governments at the State level and local body level but also on the support we receive from the Union Government in achieving the goals. By the year 2030, with all of us working together, we should be the most developed state in India enjoying prosperity, interpersonal harmony and peace. (Oommen Chandy) Entrepreneurialism and Environmental Sustainability v Preface Sri. K.M. Chandrasekhar Vice Chairman, State Planning Board Perspective Plan is a plan for a fairly long period, say 15 or 20 years, less detailed and less concrete than plans actually implemented scheme wise. The purpose of a perspective plan is to set a ‘perspective’ for the short term plans. The short term plans, so worked out, would be such as to lead to certain long term results. Thus it is neither a fully worked out plan nor just a theoretical exercise, but a framework within which concrete short term plans can be fitted. Kerala Perspective Plan 2030 presents a clear view of where we are, where we want to go from here, and over what time frame. It is a vision that will take Kerala from the present into the future; a vision that will guide us to make deliberate efforts to improve the quality of life of our people. Creation of a knowledge-based economy is central to this Perspective Plan. It is designed as a broad, unifying vision which would serve to guide the State’s five-year develop- ment plans and, at the same time, provide direction to government departments, the private sector, NGOs, civil societal and local Government authorities. Therefore, Kerala Perspective Plan 2030 will create policy synergies, which will effectively link long-term perspectives to short-term planning. The plan will be implemented through the next four Five Year Plans. Unless and until there is commensurate increase in productive capacity, maintaining growth rates above 8 per cent may prove to be difficult to sustain in the long run. There is relatively high personal and regional inequality in Kerala. The State faces several problems: an aging population, rapidly increasing urbanisation and increasing pressures on natural resources, especially land and water. In a highly competitive business scenario, there is need to improve the quality of growth in terms of productive capacity, structural transformation and the quality of human development. Strategic planning is an essential first step to place a region on an upward trajectory. One of the major principles upon which our Perspective Plan 2030 is based is ‘partnership’. Partnership is recognised as a major prerequisite for the achievement of dynamic, efficient and sustainable development in the State. This involves partnership between government, communities and civil society; partnership between different branches of government, with the private sector (the business community), banks and financial institutions, nongovern- mental organisations, community-based organisations and the international community; partnership between urban and rural societies and, ultimately, between all members of Kerala society. While the principle of sustainable development is the cornerstone on which the strategies for realizing the objectives of perspective Plan 2030, the driving force among the complex agents of our development comprises the sectors Tourism, Information Technology, PERSPECTIVE PLAN 2030 -KERALA vi Education, Science and Technology, Health, Sustainable Agriculture, Energy, Social Justice, Gender Equality. In support of the objectives of Perspective Plan 2030, capacity building will be pursued with the utmost vigour by both the private and public sectors to facilitate the implementation of the Plan. The capacity building process (including institution restructuring and building, and human resource development) will continue to be promoted by the existence of a suitable, economic resources and opportunities, and social norms which are conducive to sustained development. In order to realise the objectives of capacity building in Perspective Plan 2030, human resource information management systems will be strengthened; the ultimate objec- tive is to balance supply and demand in the labour market and in this way achieve full employ- ment in the economy. With determined effort to address macro economic imbalances, and to achieve effective implementation of the strategies and action plans suggested in this four volume document, there are strong possibilities of bringing our State on par with the status of developed countries by the year 2030. Acknowledgements