URBAN POVERTY AND VULNERABILITY IN PUNE CITY A THESIS SUBMITTED IN FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF DOCTOR OF PHILOSOPHY IN ECONOMICS AT UNDER GUIDANCE OF DR. SUDDHASIL SIDDHANTA GOKHALE INSTITUTE OF POLITICS AND ECONOMICS SEPTEMBER 2017 1 URBAN POVERTY AND VULNERABILITY IN PUNE CITY Number of Volumes One Name of the Student Shilpa Deepak Deo Name of the Principal Supervisor Dr. Suddhasil Siddhanta Degree Doctor of Philosophy in Economics Name of University Gokhale Institute of Politics and Economics Month and Year of Submission September 2017 2 DECLARATION I, Shilpa Deepak Deo, hereby declare that this thesis on the topic entitled, “Urban poverty and vulnerability in Pune city” is submitted for the award of Degree of Doctor of Philosophy in Economics to the Gokhale Institute of Politics and Economics, Pune 411004. It is an original contribution and has been completed during my tenure as a research scholar at Gokhale Institute of Politics and Economics, Pune. This thesis has not been submitted by me elsewhere for the award of any degree or diploma – part or full. The information gathered by me elsewhere for the thesis is original, true and factual. Such material as has been obtained from other source has been duly acknowledged in the thesis. I hereby request, to consider the thesis for the award of the degree of ‘Doctor of Philosophy’. Pune September 26, 2017 Shilpa Deepak Deo 3 Dr. Suddhasil Siddhanta CERTIFICATE CERTIFIED that the work incorporated in this thesis entitled “Urban Poverty and Vulnerability in Pune City” submitted by Shilpa Deepak Deo was carried out by candidate under my supervision. It is an original contribution and has not been submitted elsewhere for the award of any other degree. Such material as has been obtained from other source has been duly acknowledged in this thesis. I recommend that the thesis should be considered for the award of the degree of ‘Doctor of Philosophy’. Date: September 26, 2017 Dr. Suddhasil Siddhanta Place: Pune Research Guide 4 ACKNOWLEDGEMENT The research work would have been next to impossible without the co – operation and support of several people. Firstly, I would like to thank and express my indebtedness to my guide Dr. Suddhasil Siddhanta and Prof. Dhanmanjiri Sathe for their relentless guidance, encouragement and continued assistance. They were always ready to help me out with my problems despite their busy schedules. They have helped me immensely to channelize the research work in a proper direction. I wish to express my gratitude to the Director, Prof. Rajas Parchure, and the entire teaching and non – teaching staff of the Gokhale Institute of Politics and Economics for providing all the facilities and support. I would also like to thank Dr. Anjali Radkar, Associate Professor at the Institute, for inspiring and helping me a lot at every step of the research work. The research work would have been incomplete without the indispensible inputs provided by Dr. Debasish Nandy. Mrs. Ashwini. A. Joglekar, Finance & Accounts Officer at the Institute, has been very co – operative and encouraging. Her continuous follow – up with the UGC so as to send the fellowship in time has helped me immensely to do good research work. The six monthly presentations conducted at the Institute have helped me in a great way to cross – check whether I am progressing in the right direction. Mrs. Vidya Kher, Mrs. Anjana Chandrachud and Ms. Manisha Shinde, Heads of the Ph.D section, have always inspired me to work hard and do good and quality research work. The PMC officials have been highly co – operative in providing the secondary data and other required information on slums without which the primary data collection would have been impossible. The patient assistance and guidance of the officials is greatly appreciated which has helped me in interpreting the results. The PMPML has been very helpful in providing timely bus service without which conducting the field work would have been highly difficult. I would also like to thank Prof. Lehman. B. Fletcher, Retired Faculty, Department of Economics, Iowa State University, for his valuable inputs. He had also suggested me some reading material which helped to gain great insight into the research topic. Ms. Harsha Kirve, head of the Nagarvasti Abhyas Gut at Jnanaprabodhini, has been very co – operative throughout my study period. She has worked for the slum dwellers of Pune City for many 5 years. Moreover, she shared all her experiences with me very generously which helped me in a great way to understand the living conditions of the slum dwellers. This acknowledgement note would be rather incomplete if I do not thank my family and friends. I owe a lot to my parents. They have supported me emotionally, financially and inspired and encouraged a lot throughout my life. My sisters have helped me in every possible way for completion of the research work. My in – laws have also been very encouraging and patient throughout the study period. This research work wouldn’t have been completed without my husband’s support and patience. He has always provided me with a third – person point of view on my topic and helped me in developing the analytical ability. I could sort out many problems, which were confronted while working on the research topic, because of my friend Medhavinee Watve. She has been very patient and encouraging during the discussions. Last but not the least; I would like to thank all the respondents who have been highly co – operative and patient at sharing the information with me. Most of them were very caring and sweet. Pune September 26, 2017 Shilpa Deepak Deo 6 CONTENTS Chapter Title Page number number Certificate Declaration Acknowledgements Contents 7 List of Tables 8 List of Figures 10 List of Abbreviations 11 1 Urban poverty in India 15 2 Review of literature 23 3 Methodology 62 4 Poverty and vulnerability of slum dwellers in India 79 5 Socio – economic and demographic profile of slum dwellers 91 6 Vulnerability to poverty 120 7 Perceptions of poor about poverty and measures for poverty 156 reduction 8 Summary, conclusion and policy recommendations 178 References 196 Appendices A Methodology – Determination of sample size 224 B Methodology – Indices: Dimensions of vulnerability to poverty 225 C Questionnaire 229 D SECC – Identification Process 239 E Methodology – Residential vulnerability index: NSSO 243 7 LIST OF TABLES Serial Table Description Page number number number 1 2.1 Poverty line, poverty ratio and number of poor: Lakdawala group method 26 2 2.2 Poverty line, poverty ratio and number of poor: Tendulkar group method 27 3 2.3 Decline in poverty ratio: Tendulkar group method 28 4 2.4 Poverty estimates in 2009 – 10 and 2011 – 12 30 5 3.1 Growth of total population and slum population in PMC area 63 6 3.2 Correlation: Total and slum population in PMC area 64 7 3.3 Ward wise analysis of declared slums in the city 65 8 3.4 Source of drinking water 67 9 3.5 Source of lighting 67 10 3.6 Type of latrine facility 68 11 3.7 Drainage connectivity for waste water outlet 68 12 3.8 Type of census houses 69 13 3.9 Number of room 69 14 3.10 Household size 70 15 3.11 Ownership status of census house 70 16 3.12 Location of drinking water source 70 17 3.13 Availability of bathing facility within premises 71 18 3.14 Availability of separate kitchen 71 19 3.15 Fuel used for cooking 72 20 3.16 Households availing banking services 72 21 3.17 Households possessing various assets 73 22 3.18 Ward wise sample size and slums covered for data collection 76 23 4.1 Land ownership and location of the slums 79 24 4.2 Determinants of residential vulnerability 83 25 5.1 Head of the household 92 26 5.2 Religion 94 27 5.3 Category by type of slum 94 28 5.4 Migration 95 29 5.5 Migration history by type of slum 96 30 5.6 Availability of social networks in city by type of slum 98 31 5.7 Motivation for migration by social networks 98 32 5.8 Help by social networks by type of slum 99 33 5.9 Permanent migration by type of slum 99 34 5.10 Literacy level 103 35 5.11 Current literacy status 104 36 5.12 Number of children by type of school 105 37 5.13 Ownership of all assets by type of slum 108 38 5.14 Head count ratio by type of slum 112 39 5.15 Drug addiction by sex 118 40 6.1 Type of house by type of slum 123 41 6.2 Source of light by type of slum 123 42 6.3 Experience of eviction / demolition by type of slum 124 43 6.4 Experience of theft by type of slum 124 8 44 6.5 Source of drinking water by type of slum 125 45 6.6 Type of toilet by type of slum 125 46 6.7 Availability of bathing facility by type of slum 127 47 6.8 Monthly payment for the usage of community toilet and bathroom by type 127 of slum 48 6.9 Availability of ration card by type of slum 128 49 6.10 Proximity to FPS by type of slum 128 50 6.11 Payment to agent for getting ration card by type of slum 129 51 6.12 Determinants of residential vulnerability index 130 52 6.13 Determinants of access to basic services index 133 53 6.14 Dimensions of vulnerability by administrative wards of Pune city 136 54 7.1 Quantum of kerosene distribution 170 55 7.2 Classification and number of FPS in Maharashtra 171 9 LIST OF FIGURES Serial Figure Description Page number number number 1 3.1 Average annual population growth rate in PMC area 64 2 5.1 Per capita income by type of slum 111 3 5.2 Expenditure inequality 114 4 5.3 Expenditure inequality by type of slum 115 5 6.1 Percentage of households vulnerable to poverty by type of 121 slum 6 6.2 Percentage of households vulnerable to poverty by type of 122 slum 10