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Suggestions for the Institution to replace Planning Commission

Suggestions for the Institution to replace Planning Commission
Start Date :
Aug 17, 2014
Last Date :
Jan 30, 2015
04:15 AM IST (GMT +5.30 Hrs)
Submission Closed

Addressing his fellow Indians from the Red Fort on 15th August 2014 the Prime Minister called for replacing the Planning Commission with another Institution that is in sync with ...

Addressing his fellow Indians from the Red Fort on 15th August 2014 the Prime Minister called for replacing the Planning Commission with another Institution that is in sync with the modern times and most importantly in sync with the aspirations of 21st century India. The Prime Minister also emphasized on the important role the states have to play in taking the nation forward.

This forum invites your innovative ideas on what shape will this proposed institution take in terms of structure, composition and area of functioning. Another area of focus that requires your inputs is how this proposed institution can enhance Centre-State coordination and thus become a true celebration of India’s Federal Structure.

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Showing 3121 Submission(s)
Devendra Narain
Devendra Narain 11 years 11 months ago
Appraisal of Central Projects -I I am writing this about the role of the organisation to be set up in place of the Planning Commission (PC). Several persons have suggested that the new body should not waste time and energy on micro-issues like project appraisal. I strongly feel that such persons are either ignorant of the subject and its importance or have some personal reasons. After all, macro objectives are achieved though projects and schemes and/or administrative measure.
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Devendra Narain
Devendra Narain 11 years 11 months ago
Certainly, being a seasoned administrator PM is very much aware of the importance of project appraisal. I am mustering courage to give comments and suggestions because I have worked for nearly 20 years in the field: more than 10 years in Project Appraisal Division (PAD) of PC (from the Dy Secretary to head of the Division), 7 years as head of Project Monitoring Div in Dept of Programme Implementation (5 years as JS +2 years as Additional Secretary), one year at Oxford and 2 yrs of study leave.
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Devendra Narain
Devendra Narain 11 years 11 months ago
I have appraised/supervised appraisal of nearly 1000 projects, monitored implementation of more than 1000 projects and carried out concurrent and ex-post evaluation of large number of projects pertaining to different sectors of the economy.
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Devendra Narain
Devendra Narain 11 years 11 months ago
The PAD was set up the PC in 1972 to institutionalise the system of project appraisal in the Government of India. The division carries out techno-economic appraisal of Central projects/schemes (presently costing Rs. 50 crore or above) which are considered by the Expenditure Finance Committee/Public Investment Board for recommendation for approval or rejection by the Union Cabinet. Techno-economic project appraisal involves ex-ante examination of the feasibility report.
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Devendra Narain
Devendra Narain 11 years 11 months ago
Apart from the examination of options leading to project identification, aspects normally examined are commercial, technical, financial and economic viability (using tools and techniques of cost-benefit analysis, CBA for brief, cost-effectiveness analysis for both and domestic resource cost for economic), availability of infrastructure, environmental aspects, employment generation, impact on the target group, uncertainties/risks involved, organisational structure and the state of preparedness.
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Devendra Narain
Devendra Narain 11 years 11 months ago
Project appraisal is a multi-disciplinary task requiring knowledge of tools and techniques of appraisal, knowledge of the sector to which the project belongs (for example, for appraising a coal project, knowledge of different types of coal mines, different grades of coal, different technologies of mining, etc.) and analytical ability to thoroughly examine all aspects.
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Devendra Narain
Devendra Narain 11 years 11 months ago
Obviously, one person cannot have all the knowledge required for appraisal of projects of different sectors but every appraisal must have sound knowledge of tools and techniques. Moreover, an appraiser is effective only when he has ability to understand and analyse all the issues objectively, without yielding to any pressure or temptation.
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Devendra Narain
Devendra Narain 11 years 11 months ago
Since unviable and unnecessary projects/schemes are often pushed under political pressure, appraisal cannot be left to the Ministry that has submitted the proposal. There must be an independent organisation with requisite expertise to carry out proper appraisal and give free and frank advice to the government on specific policies, projects and schemes.
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Devendra Narain
Devendra Narain 11 years 11 months ago
Appraisal of Central Projects -II One advantage of its location in the PC is that appraisers are able to get necessary inputs from subject divisions of the Commission. Such an advantage would not be available elsewhere, not even in the Finance Ministry. There could be suggestion to outsource the work to outside appraising agencies but there are several disadvantages in doing so.
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Devendra Narain
Devendra Narain 11 years 11 months ago
• Most of the banks and private organisations do not have the requested expertise. • If the task is assigned to a bank or to a private agency, lobbyists have all the opportunities to influence appraisal. High burden of NPAs is ample proof of that.
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