Anurag Thakur announces key cabinet decisions | Highlights

Union Minister Anurag Thakur, announcing the cabinet's decision to the media, said the extension will cost the exchequer around ₹11.8 lakh crore. The extension will be applicable from January 1, 2024, and will continue until December 2028. A decision in this regard was taken in the meeting of the Cabinet, chaired by Prime Minister Narendra Modi.

Thakur also expressed his confidence that there will be no shortage of funds as well as no issues with procurement on account of extending the free ration scheme.

"Keeping in view welfare of the beneficiaries and in order to strengthen the food security in terms of accessibility, affordability and availability of foodgrains for the targeted population, and to maintain uniformity across the states, the decision has been taken to continue providing foodgrains, free of cost, under PMGKAY for five years," an official release said.

The PMGKAY was initiated in April 2020 to assist the poor during the COVID-19 pandemic for three months but was later extended. Under this free ration scheme, poor families receive 5 kg of food grains each month.

In another key decision at the meeting, the government approved the 'Terms of Reference' for the 16th Finance Commission, which makes recommendations on the sharing of tax revenues between the Centre and states.

"The next decision is regarding the 16th Finance Commission. The Union Cabinet has given its approval on the Terms of Reference of the 16th Finance Commission...On the basis of the recommendations of the Working Group, the Terms of Reference of the 16th Finance Commission have been decided...The 16th Finance Commission will submit its report by October 2025, Centre will take a decision on it and this will be implemented from 1st April 2026 to 31st March 2031," Thakur said.

The commission would submit its report by October 31, 2025, he added.

The list of schemes approved by the Union Cabinet also included Pradhan Mantri Janjati Adivasi Nyaya Maha Abhiyan (PM JANMAN) with a total outlay of 24,104 crore. Out of this amount, central will contribute ₹15,336 crore while remaining portion needs to be spent by states. The Prime Minister announced the Abhiyan on Janjatiya Gaurav Diwas from Jharkhand's Khunti.

During the 2023-24 budget, centre has said this scheme aimed “to improve socio-economic conditions of the Particularly Vulnerable Tribal Groups (PVTGs)."

"This will saturate PVTG households and habitations with basic facilities such as safe housing, clean drinking water and sanitation, improved access to education, health and nutrition, road and telecom connectivity, and sustainable livelihood opportunities. An amount of Rs.15,000 crore will be made available to implement the Mission in the next three years under the Development Action Plan for the Scheduled Tribes (DAPST),” the budget added.

Considered one of the most vulnerable sections of Indian society, Schedule Tribes (ST) make up only 10.45 crore of the total population, as per 2011 census.

The Union Cabinet has also approved a central scheme amounting to ₹1,261 crore for providing drones to Women's Self-Help groups (SHGs).

According to the scheme, drones will be provided to 15,000 selected women's self-help groups during fiscal years 2023-24 and 2025-2026. As per the Union Minister, around 500 drones will be handed to SGHs by March 2024 with the remaining 14,500 drones to be given over the next two years.

"Drone Sakhis will be paid ₹15,000 per month and the drone maintenance and repair costs will be provided by the Centre," he added.

The initiative aims to integrate drone technology with the agricultural sector while empowering women SHGs. The strategy involves collaborative efforts from the Department of Agriculture & Farmers Welfare, Department of Rural Development, and Department of Fertilisers and women groups. These drones can be rented out to farmers for agricultural uses.