Narendra Modi invites suggestions for structure of institution to replace Planning Commission

Prominent personalities from both the public and corporate sectors are likely to be roped in and it will work under direct supervision of Prime Minister.

Published: August 19, 2014 6:32 PM IST

By Editorial

Narendra Modi invites suggestions for structure of institution to replace Planning Commission

After announcing the closure of Planning Commission from the ramparts of the Red Fort in his maiden Independence Day address to the nation, Prime Minister Narendra Modi on Tuesday kick started the process of setting up the new institution.

“Inviting you to share your ideas on what shape the new Institution to replace the Planning Commission can take,” Prime Minister Narendra Modi tweeted on Tuesday.

He said, “We envision the proposed Institution as one that caters to the aspirations of 21st century India and strengthens participation of the States.” Modi said the suggestions can be posted on the government websites. He tweeted, “A special Open Forum has been created on MyGov for suggestions on the new Institution. Let the ideas flow!http://www.mygov.nic.in.”

Modi’s recent announcement to abolish the six-decade old Planning Commission might be seen by many as end of Planning Commission, but it is an innovative move in right direction as it will fast-track development work in the country and empower the states. The new commission would consist of five members’ think-tank and apparently it would be led by Suresh Prabhu.

In his Independence Day speech Modi had said that time has changed and that the Planning Commission which was relevant once, is of no use today. Modi also said the 64-year-old Commission and its five year plans are laboriously planned but failed in executing it, but the new institution would be more federal in nature.

Modi, in his speech had said that the Planning Commission was “a very old system” that would have to be “rejuvenated and changed a lot”. The Prime Minister also said that planning commission was established according circumstances and the needs of those times. In recent years, Planning Commission has contributed to the growth of the country in its own way.

Planning commission was established by Nehru in March 1950 to optimise scarce resource in newly-born nation. During his tenure as Chief Minister of Gujarat, Modi accused Commission of doing step-motherly treatment and the State has never been given adequate funds to carryout development work. He also accused the members of Commission of high-handedness and hobbling States with one-size-fits-all policies.

Independent Evaluation Office (IEO) in its report said that the States want a system which gives them a flexibility to use these funds in a manner that suits their development and addresses their development challenges.

Expert says that the new commission will be made on the basis of China’s National Development and Reforms Commission (NDRC). The proposed multi-member body is expected to be very contemporary in its thought and being.

According to the reports, prominent personalities from both the public and corporate sectors are likely to be roped in and it will work under direct supervision of Prime Minister. It will look into economic, social, infrastructure and other areas. The terms of reference of the new body have not been fixed yet. The proposed apex think-tank will be tasked with charting the future of the country’s economy, including the implementation of Modi’s ‘Make in India’ campaign for boosting manufacturing in the country.

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