“SOCIO-ECONOMIC IMPACT OF RURAL ROAD IN INDIA ”

Submitted To :-DR.(Mrs.) V. TARE (Project Guide)Mrs. MAHI SHARMA (Project Co-Guide)

Submitted By:- TARUN PRAKASH BISEN

Roll No. 0801CE14ME50 M.E. - III SEM

CONTENTS

1. Introduction 1.1 –Rural Roads 1.2- PMGSY2. Need of study 3. Impact study 4. Objective 5. Methodology used6. Literature review 7. Critique8. Reference

*Major portion of Indian population lives in rural area according to data 69% of population lives in rural India .*In India there are about more then 6 lakh villages located in

different terrain condition .e.g., plains, hilly and mountainous region desert swamp etc.*A large number of villages in the rural India are still not

connected with the all weather roads. *Providing good road network is essential for the development

of any country. *Social, economical and educational development of these

villages greatly depend on accessibility. *The employment opportunities and basic necessities, like health

education cannot reach rural areas without a system of good road network .

INTRODUCTION

NH2%

SH & MDRs14%

Rural Roads 84%

Total length of road network in India : 32 Lakh km National Highways (NH) :

65,600 Km (2.05%)State Highways & Major District Roads (SH & MDRs) :

4,32,000 Km (13.5%)Rural Roads : 27 Lakh Km (84.4%)

80 % of Rural Roads unsurfaced3.42 lakh habitations (39%) out of 8.88 lakh rural

habitations lacked all-weather connectivity in the year 2000.

Status of Road Network in India

About PMGSY*The Pradhan Mantri Gram Sadak Yojna (PMGSY) was launched on 25

December 2000 as a fully funded Centrally Sponsored Scheme (MORD).

*Providing all weather connectivity to all habitations having population of

500 or more in plain areas and all habitations having population of 250 or

more in Hill States, Tribal (Schedule-V), Desert and water logged area by

2009.

*An Action Plan has been prepared for connecting 1,10,000 habitations with

4,20,000 km of all-weather roads had been sectioned at a cost of 1.19

trillion INR ($27 billon)(MORD 2012.)

*The mandate of the program has recently has been expanded include all

habitation with population above 100.

*To provide cost and benefit analysis for rural roads *Is a continuation of PMGSY socially & economically profitable ? *General information about socio-economic conditions before and

after study of road construction *A detailed assessment of the impact of road investment in order

to influence budgets, road planning criteria and road design ?

WHY NEED OF IMPACT STUDY

Improvement

Employment

Transport

Agriculture

Non-Road Related Employment

Non-Agricultural Production

Income Effects

Social Effects

Institutional Changes

Time Effects and Impacts of Road Construction/Improvement

Over Time

Prosperity

IMPACT STUDY OF RURAL ROAD

Impact of Road Development on

Village Economy Household’s AssetHolding

Trade Sector

Transport Sector

Service Sector Labour

Household’s AssetHolding

Land

Agriculture andRural Industry

Physical Assets

Changes in Livelihood Pattern

Poverty Impact

OBJECTIVE OF STUDY :

• Collection of data from villages under near PMGSY road,

through socio- economic survey.

• Analysis of data collected .

• To find out effect of construction of road on socio

economic condition of villages.

- studies using data Historical before and after studies with controls roads (CR)and project road (PR)

-Analysing data With and with out a road investment- Geographical cross-sectional studies that compare areas

with good access with poor access at the same time-Macro econometric analysis using statistical approach-Estimate empirical strategy for economic activity

- .

METHODOLOGY USED FOR IMPACT STUDY

As per the requirement carried out the following surveys for socio economic impact study :

1) Traffic Survey (on Sample project and control roads)2) Road Users/ Passengers Survey (on Sample project and control roads)3) Sample Villages’ Perception (Focus Group)4) Village Primary Data Collection (Key Informant Interviews)5) Village Primary Data Collection (Community Self Monitoring)6) Household Tracer study (Change Process)

LITERATURE REVIEW

Overview of Papers:-

1.Role of rural road connectivity (PMGSY)in Improving quality of life in INDIA :-A literature review by NRRDA 2 Cost –benefit analysis of rural road incorporating social benefits†2006DR. L.R. KADIYALI* DR. N.B. LAL* & RAKESH SATI*:- In these paper agricultural surplus approach for the Economic Analysis of rural road projects, various factors affecting the Internal Rate of Return (IRR) or Economic Internal Rate of Return (EIRR)value, like the Analysis period, maintenance strategy adopted and different levels of investment per unit population have been discussed in detail. The need for quantifying social benefits in economic terms and incorporating them in addition to the conventionally used economic benefits has been brought out.

3. Protocol written by John Hine, Maysam Abedin, Richard Stevens, Tony Airey,Tamala Anderson, Cardno EPPI-Centre Social Science Research Unit Institute of Education University of London: IT Transport Does the extension of the rural road network have a positive impact on poverty reduction and resilience for the rural areas served? If so how, and if not why not ?.

4. MONITORING OF SOCIO-ECONOMIC IMPACT – CHHATTISGARH RURAL ROADS APRIL 2009 TECHNICAL SUPPORT CONSULTANTS OPERATIONS RESEARCH GROUP PVT. LTD :- The project relates to a multi-year program to document and analyse the socio-economic impacts of the construction/ improvement of about 5500 Km of village and Other District Roads (ODR) in Chhattisgarh state through ADB funding of Rural Roads Project No. 1. It is expected that once the project is completed, it will impart direct and indirect benefits to the road users as well as to the people living in the areas/ villages abutting the project roads.

5. Economic Analysis of a Rural Basic Access Road Project: The Case of AndhraPradesh, India Zhi Liu 2000:- Rural basic access road projects are expected to yield substantial social benefits, which cannot be properly evaluated using conventional cost-benefit analysis methodology. This note describes the application of cost-effectiveness analysis to supplement cost-benefit analysis in the evaluation and selection of road works for financing under a Bank rural road project in the State of Andhra Pradesh, India.

CRITIQUE Despite the importance of the topic, there is some dissatisfaction with

the evidence to demonstrate the impact of rural road investment. Although there have been quite a number of studies of impact, giving varying results, much of it has been anecdotal and in one conclusion came that there were relatively few studies that had been required to carried out with proper controls and subject to rigorous analysis and statistical testing .

In order to better inform decision makers we need to develop a more appropriate planning methodology from the evidence of impact studies through an appropriate theory of change.

REFERENCES World Bank Website, http://www.worldbank.org/

PMGSY Website, http://www.pmgsy.org/

Pradhan Mantri Gram Sadak Yojana(pmgsy), Project Detail

(April 2012) MPRRDA, Jabalpur Division, Madhya Pradesh.

Report PMGSY, A Program for Rural Connectivity (2012)

NRRDA, Ministry of Rural Development, Govt. of India (2010a).

Evaluation Study on Rural Roads Component

Government of India, New Delhi Planning Commission.