PM reviews progress on Direct Benefit Transfer System

BANGALORE, INDIA: Prime Minister Manmohan Singh is meeting the National Committee on Direct Benefits Transfer (DBT) to review the progress of the DBT system that was rolled out by the Government on January 1, 2013. The PM would also review the approaches and strategies being adopted for expansion into new districts and schemes.

The DBT was launched in a phased manner in 43 districts and 26 schemes. According to a government press release, "There is a large process re-engineering exercise that is going on within Ministries and Departments to facilitate this switch to DBT."

On the basis of the digitisation of databases, the opening of Bank accounts, the enrolment in Aadhaar and the seeding of databases with Aadhaar numbers, the progress will be reviewed. One of the main priorities will be given to the digitisation of data of beneficiaries in all districts, irrespective of the rollout of DBT as this is a critical activity and can be done in parallel.

As per the official release, "The department of Financial Services will be asked to ensure coverage of all beneficiaries with bank accounts and it will ensure that all Micro-ATMs that are procured will have specifications such that are interoperable and are Aadhaar enabled."

In the meeting, Ministries will be asked to quickly complete their process re-engineering exercise to eliminate redundant layers, to ensure flow of authenticated lists, to make electronic payments through APB and to utilise the feedback loop to obtain proof of transfer for record keeping.

DBT will be expanded to cover districts in Odisha, West Bengal, UP, Uttarakhand, Bihar and Chhattisgarh, which have been allocated initially to Registrar General of India (RGI) for collecting biometric data under the National Population Register (NPR).

Inorder to achieve about 80 percent coverage by June 2013, the MHA and the Registrar General of India (RGI) will work towards accelerating biometric collection in selected districts in NPR states. This would enable the government to roll out DBT from July 1, this year.

From July 1, 2013 (i.e. the next phase of roll out), DBT is likely to be expanded to cover 78 more districts and under the DBT, three pension schemes managed by MoRD for old age persons, widows and the disabled would be covered. Post offices will be included from October 1, 2013.