Overview
On 23 May 2026, the Union Government placed draft rules of the VB‑G RAM G Act in the public domain for consultation. The rules are framed under Section 33 of the Act and aim to create a uniform administrative and financial framework for the scheme across all States and Union Territories from 1 July 2026.
Key Developments
- Draft rules cover transitional provisions, the National Level Steering Committee, the Central Gramin Rozgar Guarantee Council, grievance redressal, wage payment, and excess‑expenditure handling.
- The transition framework outlines how the existing MGNREGA will be phased out, ensuring continuity of work, settlement of liabilities, and validity of e‑KYC-verified job cards.
- States have begun allocating funds; 25 States have already earmarked resources for the new scheme.
- Opposition parties and civil‑society groups warn that the 60:40 Centre-State funding model may strain poorer States and reduce the rights‑based nature of the guarantee.
Important Facts
The VB‑G RAM G Act increases the guaranteed days of wage employment from 100 to 125 days per rural household per year. It also shifts focus to village‑level planning, creation of rural assets, and a digital monitoring system. The draft rules specify that the transition period will continue until each State formally notifies the new scheme, safeguarding workers' rights and pending payments.
Exam Relevance
Understanding this policy shift is crucial for GS 2 (Polity) as it reflects the Centre’s use of legislation to restructure welfare programmes and the role of inter‑governmental bodies like the National Level Steering Committee. For GS 3 (Economy), the change in funding pattern (60:40 model) and the increased wage guarantee affect fiscal allocations, rural employment, and poverty alleviation. The digital components (e‑KYC) illustrate the push for technology‑enabled governance.
Way Forward
Stakeholders are invited to submit feedback on the draft rules before the consultation closes. The Ministry of Rural Development will incorporate constructive inputs, finalize the rules, and issue a notification for implementation. Monitoring mechanisms, grievance redressal cells, and financial audits will be set up to ensure transparency. Aspirants should track the evolution of the scheme, especially the impact on State finances and the effectiveness of the digital monitoring system, as these will be examined in future UPSC questions on welfare reforms and fiscal federalism.