Planning Commission Defined Proverty line on MPCE Basis: RTI
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An RTI reply by the SRO(Br.Officer) of Planning Commission,Sunder Pal and originally filed by Delhi based RTI Activist Gopal Prasad seeking information regarding Poverty Lines .The proverty line is defined by the Planning Commission on the basis of Monthly Per Capita Consumption Expenditure (MPCE) as the criterion. The methodology for estimation of Poverty has been reviewed from time to time . Accordingly , the Planning Commission constituted an Export Group under the Chairmanship of Prof. Suresh D.Tendulkar in December ,2005. The Tendulkar committee submitted its report in December ,2009 in which MPCE of Rs. 447 for rural areas and Rs. 579 for urban areas was recommended as the poverty line at 2004-05 prices, which was accepted by the Planning Commission. The Tendulkar Committee has mentioned in its report that the proposed poverty lines have been validated by checking the adequacy of actual private expenditure per capita near the poverty lines on food, education and health by comparing them with normative expenditures consistent with nutritional, educational and health outcomes.
The Planning Commission estimates poverty lines and poverty ratios for the years for which large sample surveys on household consumer expenditure have been conducted by the National Sample Survey Office (NSSO). These surveys are conducted quinquennially.
In response of RTI filed by Activist Gopal Prasad had received photocopy of affidavit of Planning Commission to the direction in a Supreme Court case (Writ Petition (C) No.196 of 2001 in the matter of People’s Union for Civil Liberties & Others). The Planning Commission has filed an affidavit updating the poverty line to Monthly Per Capita Consumption Expenditure at June ,2001 price level using Consumer Price Index for Agricultural labourers (CPI-AL)for rural areas and Consumer Price Index for Industrial Workers(CPI-IW) for urban areas. At June ,2011 price level , for a family of five , the provisional Poverty Line would amount to Rs.4824 per month and Rs. 965 per capita per month in urban areas. This Poverty Line would vary from state to state including Delhi because of price differentials. The media has interpreted this figure as per capita per day expenditure of Rs. 32 in urban areas.
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GOPAL PRASAD( RTI Activist), H. No.-210, St. No.-3, Pal Mohalla
Near Mohan Baba Temple, Mandawali, Delhi-110092 Mob: 9289723144, 8743057056.