GOVERNMENT OF KARNATAKA Status and Performance of Direct Benefit Transfer (DBT) Scheme in Karnataka KARNATAKA EVALUATION AUTHORITY DEPARTMENT OF PLANNING, PROGRAMME MONITORING AND STATISTICS GOVERNMENT OF KARNATAKA March 2020 Status and Performance of Direct Benefit Transfer (DBT) Scheme in Karnataka Kishan Jindal Principal Investigator NABARD Consultancy Services Department of Finance KARNATAKA EVALUATION AUTHORITY DEPARTMENT OF PLANNING, PROGRAMME MONITORING AND STATISTICS GOVERNMENT OF KARNATAKA March 2020 ©Karnataka Evaluation Authority, 2020 Published For: Karnataka Evaluation Authority, #542, 5th Floor, 2nd Stage, M.S. Building, Dr. Ambedkar Veedhi, Bengaluru – 560 001. By: NABARD Consultancy Services # 49, K. G. Road Bengaluru - 9 Typeset & Printed by Marc enterprises [email protected] CONSTITUTION OF INDIA PREAMBLE WE, THE PEOPLE OF INDIA, having solemnly resolved to constitute India into a SOVEREIGN SOCIALIST SECULAR DEMOCRATIC REPUBLIC and to secure to all its citizens: JUSTICE, social, economic and political; LIBERTY of thought , expression, belief, faith and worship; EQUALITY of status and of opportunity; and to promote among them all FRATERNITY assuring the dignity of the individual and the unity and integrity of the Nation; IN OUR CONSTITUENT ASSEMBLY this twenty-sixth day of November, 1949, do HEREBY ADOPT, ENACT AND GIVE TO OURSELVES THIS CONSTITUTION. FOREWORD Will be taken print out separately ACKNOWLEDGEMENTS NABCONS is grateful to Karnataka Evaluation Authority (KEA) for assigning the “Study on Status of Performance of Direct Benefit Transfer (DBT) Schemes in Karnataka” to NABCONS. Special thanks are due to CEO, KEA and team of officers for providing guidance to the study team. NABCONS thanks the RDPR Department, Finance Department, Department of Social Security and Pension, Gram Panchayat, Taluk Office, Banks, Post Office and beneficiaries for providing necessary cooperation to the team during the course of the study. Status and Performance of Direct Benefit Transfer (DBT) Scheme in Karnataka Karnataka Evaluation Authority Website: kea.karnataka.gov.in #542, 5th Floor, 2nd Gate Contact No: 080 2203 2561 Dr. B.R Ambedkar Veedhi Email Id: [email protected] M.S. Building Bengaluru – 560 001 Table of Contents List of Tables List of figures List of Abbreviations Executive summary …………………………………………………………………… 1 Introduction …………………………………………………………………………… 10 Process of Implementation of DBT under MGNREGA and NSAP in Karnataka State …………………………………………………………………………………………. 18 Review of Literature …………………………………………………………………... 30 Theory of Change and Log frame ……………………………………………….......... 3 Evaluation Methodology ……………………………………………………………… 41 Findings of Study – MGNREGA ……………………………………………………... 65 Findings of Study – NSAP ……………………………………………………………. 102 Cost benefit analysis of DBT – a few inferences ……………………………………... 132 Common issues and data linkage between MGNREGA and NSAP under DBT ……... 137 Limitations / Constraints in conduct of Evaluation study …………………………….. 141 Recommendations …………………………………………………………………….. 142 Annexures ……………………………………………………………………………... 146 List of Tables Table 1: All India Direct Benefit Transfer Details for last 3 years ………………… 15 Table 2: All India Estimated Benefits/ Gains from DBT and Other Governance Reforms – Up to 31 March 2019 ………………………………………….. 15 Table 3: Status of DBT implementation in MGNREGA- All India ………………... 17 Table 4: Beneficiary distribution under NSAP and status of Aadhar seeding (as on 31.8.2019) …………………………………………………………………. 17 Table 5: DBT of Cash Schemes in Karnataka for current year (as on 31.8.2019) …. 19 Table 6: Status of Aadhar seeding under SSP in Karnataka (As on 31st August, 2019) ………………………………………………………………………. 28 Table 7: Status of Aadhar seeding and DBT of MGNREGA beneficiaries in Karnataka (as on 31.08.2019) …………………………………………....... 28 Table 8: Conceptualized Log frame matrix for DBT ………………………………. 39 Table 9: Sample design for MGNREGA …………………………………………… 46 Table 10: Sample design for SSP Schemes ………………………………………….. 46 Table 11: Identified stakeholder for interviews at different tiers ……………………. 47 Table 12: Taluk-wise details of sample beneficiaries under MGNREGA …………... 47 Table 13: Taluk-wise details of sample beneficiaries under NSAP …………………. 48 Table 14: Taluk-wise and Category wise details of sample beneficiaries under NSAP …………………………………………….………………………... 49 Table 15: Gender wise Details of MGNREGA sample beneficiaries ……………….. 52 Table 16: Taluk wise and Category-wise distribution of sample beneficiaries Under MGNREGA ……………………………………………………………….. 53 Table 17: Age profile of sample beneficiaries Under MGNREGA …………………. 54 Table 18: Educational profile of sample beneficiaries Under MGNREGA …………. 55 Table 19: Taluk wise and scheme wise distribution of Sample beneficiaries under NSAP ……………………………………………………………………… 56 Table 20: Gender wise distribution of sample beneficiaries under NSAP …………... 57 Table 21: Category-wise, Scheme wise distribution of the sample beneficiaries under NSAP ……………………………………………………………….. 58 Table 22: Category-wise distribution of sample beneficiaries under NSAP ………… 58 Table 23: Age profile of sample beneficiaries under OAP and SSY Scheme ………………. 59 Table 24: Age profile of sample beneficiaries under DWP scheme …………………. 60 Table 25: Age profile of sample beneficiaries under DP scheme …………………… 62 Table 26: Educational profile of sample Beneficiaries under NSAP ………………... 63 Table 27: Aadhaar seeding with MGNREGA ……………………………………….. 67 Table 28: Gender and category wise details about Aadhaar seeding to be done with MGNREGA ……………………………………………………………….. 68 Table 29: Major reasons for not linking Aadhaar with MGNREGA ………………... 69 Table 30: Time taken to link Aadhaar to MGNREGA ………………………………. 70 Table 31: Intimation about Aadhar enrolment for MGNREGA ……………………... 72 Table 32: Beneficiaries having Bank Account under MGNREGA …………………. 73 Table 33: Major reasons for not opening any account at Post Office / Bank ………... 75 Table 34: Bank Account seeding with MGNREGA scheme ………………………... 76 Table 35: Category wise details about Bank Account seeding with MGNREGA scheme (in Percentage) ……………………………………………………. 77 Table 36: Linking Aadhaar to bank account under MGNREGA ……………………. 78 Table 37: Caste wise details about not Linking Aadhaar to bank account Under MGNREGA ……………………………………………………………….. 79 Table 38: Problems in linking Aadhaar to Bank Under MGNREGA ……………….. 80 Table 39: Awareness about DBT under MGNREGA ……………………………….. 81 Table 40: Mode of payment of wages in MGNREGA ………………………………. 83 Table 41: Mode of receipt of wages (Gender wise) Under MGNREGA ……………. 84 Table 42: Social group wise mode of receipt of wages Under MGNREGA ………… 84 Table 43: Tip or commission paid while receiving wages …………………………... 84 Table 44: Frequency of bank visit by MGNREGA sample beneficiaries ………….... 86 Table 45: Purpose of visit to bank in last Six months by MGNREGA sample beneficiaries ……………………………………………………………….. 88 Table 46: Mode of Money Withdrawal by MGNREGA sample beneficiaries …….... 89 Table 47: Level of Awareness in MGNREGA sample beneficiaries about filing the complaint (in percentages) ………………………………………………... 91 Table 48: Extent of beneficiaries filing complaint under MGNREGA ……………... 92 Table 49: Modes of filing Complaint under MGNREGA ………………………….... 93 Table 50: Major issues recorded in complaints under MGNREGA …………………. 95 Table 51: Ease of Filing Complaint under MGNREGA …………………………….. 96 Table 52: Resolution of complaint under MGNREGA …………………………….... 97 Table 53: Time taken to resolve complaints under MGNREGA ……………………. 98 Table 54: Proportion of Aadhaar enrolment under NSAP …………………………... 103 Table 55: Seeding Aadhaar with NSAP ……………………………………………... 104 Table 56: Category wise details about Enrolling Aadhaar with SSPs (in Percentage) 105 Table 57: Time taken to link Aadhaar with SSP Schemes …………………………... 106 Table 58: NSAP sample beneficiaries with bank or post office account ……………. 107 Table 59: Category wise SSPs sample beneficiaries with bank or post office account 107 Table 60: Average Distance between Bank\Post Office and Resident of SSPs beneficiaries ……………………………………………………………….. 109 Table 61: SSPs sample Beneficiaries with bank\PO accounts with and without Aadhaar Seeding…………………………………………………………… 110 Table 62: Category wise details about SSPs sample Beneficiaries with bank\PO accounts with Aadhaar Seeding…………………………………………… 111 Table 63: Awareness level among SSPs Beneficiaries regarding DBT ……………... 112 Table 64: Category wise details on awareness (In Percentage) under NSAP………... 113 Table 65: Extent of Aadhaar enabled DBT beneficiaries in SSPs Schemes ………… 114 Table 66: Field survey data on the different modes of receiving pension……………. 115 Table 67: Percentage of Gender wise and Category wise beneficiaries drawing pension in cash (Through MO) …………………………………………… 116 Table 68: Mode of receiving pension under NSAP ………………………………….. 117 Table 69: Periodicity of receipt of pension for SSPs Sample Beneficiaries who avail pension through Money Order ……………………………………………. 118 Table 70: Periodicity of receipt of pension by SSPs Sample Beneficiaries who receives pension through bank and post office …………………………… 119 Table 71: Regularity in receipt of pension amount by SSPs Beneficiaries who avail pension through DBT ……………………………………………………... 120 Table 72: Frequency of Bank visit by SSPs sample beneficiaries with Bank\PO account……………………………………………………………………... 122 Table 73: Banking operations performed by SSPs sample Beneficiaries with Bank\PO account…………………………………………………………... 123 Table 74: Mode of Banking