The Union finance minister?s call for the states to adopt the use of smart cards in the implementation of the National Rural Employment Guarantee Scheme (NREGS), together with the full computerisation of records, needs to be heeded straightaway. The clear instant benefit is that it will ensure enhanced vigilance and prevent misuse of funds required for the scheme?s nationwide implementation. It is no secret that the increase in spending on the NREGS to a massive Rs 1 lakh crore over the next five years would pose a major challenge to the crumbling governance structure in the states. There are probably thousands of hopefuls all through the system rubbing their palms in glee at the possibility of large-scale diversion of funds. The use of smart cards can block pilferage at the ?last mile? phase of the funds? use, where wads of cash somehow end up with non-existent entities.
The Bihar government has been a pioneer in introducing smart job cards that also serve as ATM/debit cards on a pilot basis earlier this year. The system uses a biometric verification device that offers a foolproof way of ensuring full compliance at minimal costs. But nothing much seems to have happened since then. What is required now is a much bigger nationwide effort, with the nodal ministry for the scheme?s implementation coordinating the action across all states. But care has to be taken that smart cards being issued by assorted bodies at the Central and state levels do not lead to a proliferation of plastic. The Centre has already asked the states to implement a smart card- based project for driving licences and registration certificates in a uniform format by next year. The Kerala government has initiated a pilot project to provide smart ration cards. The best way to avert a jumble of plastic all over the country is to speed up the introduction of the multi-purpose national identity card, a pilot project for which was rolled out in 12 states a few months ago. The smart cards to be provided under this scheme would allow different agencies to have their own data-modules embedded in the chips. This way, citizens need carry only a single piece of plastic to avail of a variety of services, subsidy transfers and entitlement schemes. Data security, of course, would have to be very high. Data misuse is not unknown either.
