Ministry of Panchayati Raj Devolution Report 2024

The Ministry of Panchayati Raj released a comprehensive report titled "Status of Devolution to Panchayats in States - An Indicative Evidence-Based Ranking, 2024" in February 2025 to assess the effectiveness of devolution and the role of local governments in strengthening grassroots democracy. The report presents a Devolution Index that provides overall scores and ranks for all States/Union Territories covered under Part-IX of the Constitution, based on six identified dimensions: Framework, Functions, Finances, Functionaries, Capacity Enhancement, and Accountability.

The report reveals that the extent of devolution to Panchayati Raj Institutions has increased from 39.9% to 43.9% between the period 2013-14 to 2021-22, indicating progress in decentralizing power to local governance bodies. The national average devolution score stands at 43.89, with significant variation across states and union territories.

State Rankings and Performance

Among General Category States, Karnataka ranked highest with a Devolution Index score of 72.23, followed by Kerala (70.59) and Tamil Nadu (68.38). Maharashtra (61.44) and Uttar Pradesh (60.07) rounded out the top five. At the lower end of the spectrum, Jharkhand scored 27.73, Punjab 29.34, and Goa 37.71.

In the Northeastern/Hilly Area States category, Tripura led with 57.58, followed by Himachal Pradesh (53.17), Uttarakhand (49.11), and Assam (49.06). Union Territories showed generally lower scores, with Jammu and Kashmir leading at 27.85, followed by Andaman & Nicobar Islands (27.15), while Dadra & Nagar Haveli and Daman & Diu scored lowest at 13.62.

Dimension-wise Performance

The report breaks down performance across six key dimensions with national averages: Framework (54.29), Functions (29.18), Finances (37.04), Functionaries (50.96), Capacity Building (54.63), and Accountability (47.51). Individual states showed leadership in specific dimensions: Kerala led in Framework (83.56), Tamil Nadu in Functions (60.24), Karnataka in Finances (70.65), Gujarat in Functionaries (90.94), Telangana in Capacity Building (86.19), and Karnataka in Accountability (81.33).

Capacity Building Initiatives

The Ministry has implemented a Centrally Sponsored Scheme, the Revamped Rashtriya Gram Swaraj Abhiyan (RGSA), effective from financial year 2022-23, with the objective of supporting Panchayati Raj institutions by imparting training to Elected Representatives and other stakeholders. The scheme provides capacity building support under different categories including basic orientation and refresher programmes, thematic interventions, specialized trainings, and Panchayat Development Plan-related programmes.

Additional initiatives include collaboration with IIM Ahmedabad to develop a training module on Own Source Revenue (OSR) to strengthen the financial self-reliance of Gram Panchayats, and the launch of a Specialized Training Module as part of "Shashkta Panchayat Netri Abhiyan" for the capacity building of Women Elected Representatives of Panchayati Raj Institutions.

Constitutional Context and State Responsibilities

Panchayats, being "Local Government," are a State subject under the State List of Seventh Schedule of the Constitution of India. Article 243G empowers State Legislatures to make provisions for devolution of power and responsibilities to Panchayats, including preparation of plans for economic development and social justice and implementation of schemes. The State legislatures are to consider the 29 subjects listed in the Eleventh Schedule for devolution of power.

While the Ministry of Panchayati Raj reviews performance of Panchayats through studies, review meetings, field visits, and other mechanisms, it does not maintain year-wise details of the funds, functions and functionaries devolved to Panchayats by States, as these matters fall within the purview of State Governments.