Chapter 2 Performance Audit Horticulture Department
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Chapter 2 Performance Audit This Chapter presents the performance audits of ‘National Horticulture Mission Programme’, ‘Implementation of Drinking Water Supply Projects’, ‘Implementation of schemes for welfare and upliftment of weaker and backward sections of society’, ‘Working of Rajasthan University of Health Sciences, Jaipur’ and ‘Twelfth Finance Commission Grant for Maintenance of Roads and Bridges’. Horticulture Department 2.1 National Horticulture Mission Programme Executive summary The National Horticulture Mission (NHM) Programme was launched in 2005-06 by the Government of India, Ministry of Agriculture, Department of Agriculture and Co-operation, as a centrally sponsored scheme, with the objective of promoting holistic growth in horticulture sector covering fruits, vegetables, mushroom, spices, flowers, aromatic plants etc. The State Level Executive Committee (SLEC) is the nodal agency and Rajasthan Horticulture Development Society (RHDS) implements the programmes at State and District level. During performance audit of NHM covering 13 components in eight selected districts, it was noticed that SLEC neither issued instructions/set methodology for carrying out base line surveys and feasibility studies for preparation of the Strategic/Perspective and Annual Action Plan nor was the data of such surveys called for from field offices. Cluster approach for potential crops was not adopted in most of the test checked districts. The budget proposals were over estimated by 116 per cent while utilisation percentage of available funds ranged between 63 and 96 per cent during the period 2005-09 resulting in accumulation and non-utilisation of funds ranging from ` 8.39 crore to ` 28.20 crore. NHM funds ranging from ` 0.01 crore to ` 13.86 crore were utilised in other on going schemes run by the RHDS, without approval of Government of India (GoI). Excess assistance of ` 1.65 crore was spent on establishment of new gardens due to adoption of higher rates than admissible. Water sources, created without developing gardens with drip systems, resulted in unfruitful expenditure of ` 35.77 crore. Of this, construction of defective water sources, having leakages/cracks in 42 cases involved expenditure of ` 3.82 crore. 15 Report No. 2 (Civil) for the year ended 31 March 2011 Monitoring of programme by SLEC was ineffective as it did not suggest measures to improve tardy implementation. Besides, internal control mechanism was also inadequate. Geographic and horticulture Scenario Rajasthan is the largest State of India with a geographical area of 342 lakh hectare (ha). It represents 10.4 per cent of land mass and 5.5 per cent population of the country, but it has hardly 1.1 per cent of total national water resources. An area of 57.7 per cent of the State consists of desert and two-third areas are arid/semi arid. The average annual rainfall is a meagre 575 mm and that too is variable both in time and quantum. The soil is sandy having very low water holding capacity. Irrigation of 66 per cent of fruit gardens is carried through wells and tube wells1. The overall position of production and productivity in the State under various schemes including National Horticulture Mission (NHM) during 2005-102 is given below: Table 1: Position of production and productivity of horticulture crops Year Fruits Spices Area Production Productivity Area Production Productivity (ha) (MT) (PHMT) (ha) (MT) (PHMT) 2005-06 25,442 4,18,520 16.45 3,48,712 3,02,598 0.87 2006-07 27,610 4,02,170 14.57 3,81,583 3,56,051 0.93 2007-08 28,995 5,62,770 19.41 5,67,782 5,28,728 0.93 2008-09 30,601 5,00,171 16.34 5,43,359 5,60,298 1.03 2009-10 32,129 6,79,594 21.15 5,57,872 5,55,673 1.00 Total 1,44,777 25,63,225 17.70 23,99,308 23,03,348 0.96 Source: Administrative Reports of RHDS for 2005-10 The above data shows the position of production and productivity of horticulture in the State as a whole and includes gardens established under NHM as well as other schemes of the State plan3. The Rajasthan Horticulture Development Society (RHDS) has not maintained separate data for NHM hence the impact of the scheme on the horticulture scenario could not be ascertained. 2.1.1 Introduction The National Horticulture Mission (NHM), a Centrally Sponsored Scheme, was announced in 2005-06 with 100 per cent assistance by Government of India (GoI) during 10th Plan (2005-06 to 2006-07) and 85 per cent during 11th Plan (2007-08 to 2011-12). The State Government was to contribute 15 per cent. The NHM, aimed to promote holistic growth of horticulture sector, was implemented in Rajasthan in September 2005 initially in 13 districts4. Eleven 1. Based on the geographical and horticulture status of Rajasthan as exhibited in the Annual Action Plan of NHM, 2007-08 prepared by RHDS. 2. Report for 2010-11 awaited (October 2011). 3. Old gardens (before 1989-90) Udyanki Vikas Project (since 1989-90), Rashtriya Krishi Vikas Yojana (since 1992-93). 4. Ajmer, Alwar, Baran, Barmer, Chittorgarh, Jaipur, Jalore, Jodhpur, Jhalawar, Kota, Nagaur, Pali and Sriganganagar. 16 Chapter 2 Performance Audit districts were added subsequently in 2006-07 (four)5 2007-08 (six)6 and in 2008-09 (one)7 totalling to 24 districts as on date. 2.1.2 Mission objectives The main objectives of the Mission were to: (a) provide holistic growth of horticulture sector through area based regionally differentiated strategies; (b) enhance horticulture production, improve nutritional security and income support to farm households; (c) establish convergence and synergy among other ongoing and planned programmes; (d) promote, develop and disseminate technologies through a seamless blending of traditional wisdom and modern scientific knowledge; and (e) create opportunities for employment generation for skilled and unskilled persons. 2.1.3 Mission structure The NHM has a three layered structure, viz. at Central level - General Council (GC) and National Level Executive Committee (NLEC), at State Level - State Level Executive Committee (SLEC) and at District level - District Mission Committee. GC8 is the policy formulation body giving overall directions and guidance to Mission and is empowered to lay down and amend Operational guidelines. NLEC9 is empowered to reallocate resources, approve projects and use its discretion in approval of projects for which norms have not been prescribed. The SLEC works under Chairmanship of Principal Secretary, Department of Agriculture and Co-operation (DoA), having representatives from other Departments/organisations of State Government. The State Mission Director is the Member Secretary of SLEC. At the operational level, SLEC’s main function is to prepare action plan, organise base line surveys and feasibility studies, receive funds from NHM, release funds to implementing agencies and monitor/ oversee implementation of the Mission's programme. The SLEC is to implement the mission programmes through a society. Accordingly, Rajasthan Horticulture Development Society (RHDS) was established (July 2005). The Chairman of the SLEC is also the Chairman of RHDS. 5. Banswara, Karauli, Sawaimadhopur and Tonk. 6. Bundi, Bhilwara, Dungarpur, Jhunjhunu, Sirohi and Udaipur. 7. Jaisalmer 8. General Council (GC) works under the Chairmanship of Union Agriculture Minister, having nine other Ministers, 14 Secretaries of different Ministries/Departments as Members and Joint Secretary, DoA as Member Secretary. 9. National Level Executive Committee (NLEC) is headed by Secretary, DoA and comprises of six Secretaries of different Ministries/Departments and three experts as members, Joint Secretary, DoA as Member Secretary. 17 Report No. 2 (Civil) for the year ended 31 March 2011 The District Mission Committee, being the main implementing agency, is headed by the District Collector as Chairman and Deputy/Assistant Director Horticulture (DDH/ADH) or District Horticulture Officer (DHO) as Member Secretary. 2.1.4 Components of the programme The National Horticulture Mission programme embraces following components/activities: • Production and distribution of planting material which includes establishment of nurseries, vegetable seed production and seed infrastructure. • Establishment of new gardens for fruits, flowers, spices and aromatic plants. • Rejuvenation/replacement of senile plantation. • Creation of water sources. • Protected cultivation through Green House constructions, mulching, shade nets and plastic tunnels. • Promotion of Integrated Nutrient Management (INM)/Integrated Pest Management (IPM). • Organic farming. • Human resource development in Horticulture. • Distribution of bee hives/colonies and equipments. • Technology Dissemination through front line demonstration. • Post harvest management by developing pack houses, cold storages, mobile processing units, whole sale markets etc. • Mission management. • New interventions. All these components/activities have forward and backward linkages to achieve the various objectives of the scheme. 2.1.5 Audit objectives The objectives of the performance audit were to assess: • Adequacy and effectiveness of the planning process and financial management. • Economy, efficiency and effectiveness in implementation of the programme. • Effectiveness of internal control mechanism. • Impact of the scheme on socio economic status of beneficiaries. 18 Chapter 2 Performance Audit 2.1.6 Audit criteria The following audit criteria were adopted: • Operational guidelines issued by GoI/NHM. • Guidelines and instructions issued by Rajasthan Horticulture Development Society (RHDS), Jaipur. • Achievements against