Non-ration card holders risk being left out of the food security net

Rights: Not possessing a ration card may once again leave several people out of the food security net provided by the second round of the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) scheme. This central government scheme aims to provide the country’s vulnerable citizens grain through the public distribution system.

The Centre, on April 23rd 2021, announced the second round of PMGKAY, whereby it will provide free food grains to 81 crore ration card holders in the months of May and June 2021. However, no provision has been made for citizens with no ration cards. This unavailability of free grain is likely to result in a humanitarian crisis for large segments of the population.

Last year, the Atma Nirbhar Bharat package was announced to supplement PMGKAY. The scheme covered as many as 2.7 crore people without ration cards, out of an initial target of eight crore people. However, no such scheme has been announced so far this year.

According to a national survey conducted by Gaon Connection on the impact of COVID-19 on rural India, a majority of the economically poor households with no ration cards faced ‘very high’ or ‘high’ difficulty in accessing food during the lockdown.

In Delhi, for instance, 71 lakh ration cards had been issued; and still, during last year’s lockdown, an additional 60 lakh e-coupons had to be issued for those without ration cards to access free food grain given by the Delhi government, said Anjali Bhardwaj of the Delhi Rozi Roti Adhikar Abhiyan.

“This shows the huge levels of food insecurity. The number of ration cards issued are totally inadequate and it is the most vulnerable population who don’t have the requisite documentation and fall out of this safety net,” she said. “Last year, the Atmanirbhar scheme was brought in, and state governments came up with temporary solutions because of this. This time, the government has a moral obligation not to wait until the humanitarian crisis erupts,” she added.

In 2019, the government had launched the One Nation One Ration Card (ONORC) scheme. This aimed to provide ration and food security to migrant workers and their families under the National Food Security Act (NFSA). According to the Food Department a total of INR 60.7 lakh additional people had been covered under the NFSA since 2020.

Read this article on why access to basic entitlements is a critical safety net for vulnerable communities.

Fundraising & Communications: The Ministry of Home Affairs (MHA) has issued a circular extending the validity of FCRA registration certificates to September 30th, 2021. This applies to all FCRA licences that have expired or will expire between September 29th, 2020 and May 31st, 2021. The decision to extend the deadline has been driven by the exigencies arising from the COVID-19 situation.

FCRA refers to the Foreign Contribution (Regulation) Act 2010, which permits charitable organisations based in India to raise funds from foreign sources.

The order also clarified that nonprofits that have already opened an account and have the requisite permission to receive foreign aid, can henceforth receive it only in these newly-opened accounts.

The FCRA law was amended in September 2020 to include a clause that mandated that all nonprofits receiving foreign aid must necessarily open an account in State Bank of India’s New Delhi Main Branch. The government had initially set the deadline for this account opening as March 31st, 2021; it later extended it to June 30th, 2021 after several nonprofits argued in court that there had been delays because necessary approvals from MHA had not been received.

Several organisations have not been able to receive foreign funds during the crisis caused by the second wave, and this has impacted their COVID-19 relief efforts. Relaxing the foreign funding rules could significantly help organisations ramp up their operations to help individuals, supply critical healthcare equipment, and respond to communities in rural areas.

Read this article to know how amending the FCRA can have unforeseen implications.

Philanthropy & CSR: The Ministry of Corporate Affairs (MCA) has issued a circular that allows corporate spending on health infrastructure for COVID-19 care to qualify as corporate social responsibility (CSR) expenditure.

This includes setting up medical oxygen generation and storage plants, manufacturing and supply of oxygen concentrators, ventilators, cylinders, and other medical equipment to counter COVID-19.  

The announcement comes at a time when all efforts are being directed towards expediting efforts to support the country’s healthcare infrastructure.

According to the circular, companies can now undertake projects and activities in collaboration with other companies using CSR funds. Additionally, they can contribute to specified research and development projects, as well as publicly funded universities and certain organisations that conduct research in science, technology, engineering, and medicine.

The government had earlier clarified that setting up makeshift hospitals and temporary COVID-19 care facilities would also be considered a CSR activity. Rajesh Verma, the Corporate Affairs Secretary, has requested businesses to consider converting vacant office buildings into COVID-19 facilities to cater to the rapidly increasing caseload.

Read this article to understand why media attention on COVID-19 deaths due to lack of oxygen in big cities has skewed donor priorities.