Why TMC’s new welfare scheme can cut both ways for cash-strapped Mamata govt

As elections draw near, Mamata Banerjee’s cash-strapped TMC government is set to roll out a new welfare scheme, a political move that some believe could cut either way.

The ‘Amader Para, Amader Samadhan’ (our locality, our solution) scheme will be for booth development – almost in line with the local area development scheme available for the MLAs and MPs, but with a twist.

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Rs 8,000-Cr programme

The scheme is set to be launched across West Bengal on August 2 as a government-public participatory initiative, Chief Minister Mamata Banerjee announced on Wednesday (July 23).

The state government has earmarked Rs 8,000 crore for the programme, allocating Rs 10 lakh to each of the state's approximately 80,000 polling booths.

According to the latest data from the Election Commission (EC), West Bengal has around 7.64 crore voters, translating to fewer than 1,000 voters per booth.

Local development needs, outreach camps

The funds are intended to address “minor” local development needs such as installing drinking water sources, repairing damaged roads, or fixing the roofs of ICDS (Integrated Child Development Services) centres and primary schools.

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Government officials will organise public outreach camps by clubbing three polling booths in each locality. These camps aim to directly hear and address the needs and concerns of citizens. The initiative will run for 60 days, with a 15-day break during Durga Puja. In addition, residents can submit their suggestions online.

Task forces will be set up at the state and district levels to monitor the implementation of the scheme. Chief Secretary Manoj Pant will head the state-level task force.

Describing it as a first-of-its-kind initiative in the country, the ruling Trinamool Congress has hailed the programme as a “citizen-centric revolution” that would empower the people to “decide and prioritise” the needs that impact them the most.

Damage control for past shortcomings?

However, beyond the stated goals, the initiative appears to be driven by a deeper political motive. Over the past four years, a significant portion of the state's revenue has been directed toward approximately 94 welfare schemes, often at the expense of infrastructure developments, particularly in rural areas.

The Panchayat Advancement Index reveals that a significant number of gram panchayats in West Bengal are underperforming, largely due to a shortage of funds following the Centre’s decision to freeze allocations under key rural development schemes such as MGNREGA and rural housing programmes.

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Protests over poor road conditions or lack of drinking water are not very uncommon scenes in rural Bengal – issues that carry the potential for political backlash against the TMC in the Assembly elections due in less than a year.

Mamata Banerjee’s latest initiative seems aimed at addressing some of these shortcomings. But it could prove to be a double-edged sword for a government already burdened with mounting debt.

Debt burden

The state has a total outstanding debt of Rs 7,06,531.61 crore, as per the revised budget estimate for 2024-25. The debt is almost four times more than what the TMC government had inherited in 2011.

“Dole politics of the TMC drained the state exchequer to such an extent that the government is unable to pay even the outstanding dearness allowance of the state employees,” said senior Congress leader Adhir Ranjan Chowdhury, as he questioned the rationale behind the new scheme.

The Supreme Court in May directed the state government to pay at least one fourth of the unpaid DA (dearness allowance), which comes to around Rs 10,425 crore, to state government employees by June 27.

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Crisis over unpaid DA

Instead of complying with the directive, the state government sought a six-month extension to make the payment amid a severe financial crisis.

Two employees’ organisations have moved contempt petitions against the state government in the apex court. The court is likely to hear the petitions next month.

If the Supreme Court issues a contempt notice to the state government for non-compliance, it would be a major embarrassment for the ruling TMC ahead of the elections. Furthermore, the non-payment of DA could turn the state's approximately 14 lakh government employees against the ruling party.

Notoriety of past schemes

Welfare schemes such as Lakshmir Bhandar, Krishak Bandhu, Swasthya Sathi, Sabooj Sathi, and Duare Sarkar played a key role in helping the TMC secure successive electoral victories ever since it came to power in 2011.

Many of these schemes have also been criticised for fostering corruption and encouraging a cut-money culture within the party.

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“We all know how the Duare Sarkar (government at the doorstep) scheme became a tool of coercion for TMC’s local functionaries. The new scheme is likely to meet the same fate,” opined CPI(M) leader Sujan Chakraborty.

It’s true that the TMC has, so far, managed to avert any adverse electoral fallout from corruption allegations against its leaders and functionaries. But there’s always a tipping point. Any major corruption or bribery scandal linked to the Amader Para, Amader Samadhan initiative could be that moment-- especially at a time when the party is already grappling with multiple graft charges.