Draft VB-G RAM G Rules released for public consultation ahead of its implementation from July 1 to replace MGNREGA

After notifying the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025 (VB–G RAM G) across all states and Union Territories from July 1, the Center on Saturday released the draft rules for public consultation.

The draft rules, formulated under Section 33 and other relevant provisions of the Act, have been published to get wider feedback from stakeholders before finalisation.

The proposed rules outline provisions relating to transitional measures, National Level Management Committee, Central Gramin Rozgar Guarantee Board, administrative expenditure, grievance redressal mechanisms, payment of wages and unemployment allowances and expenditure beyond prescribed allocations, including expenditure on Union Territories without legislatures.

Officials of the Ministry of Rural Development said the rules aim to create the institutional, administrative, financial and administrative framework necessary for the nationwide implementation of the law.

They added that the consultative process is designed to promote participatory governance and invite constructive suggestions from states, institutions, experts, civil society groups and the general public.

The Draft Transitional Provisions Rules provide a framework for the transition from MGNREGA to VB-G RAM G, a new rural employment guarantee scheme to replace the existing scheme.

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The provisions aim to ensure continuation of ongoing projects, settlement of outstanding liabilities, transfer of records, recognition of e-KYC verified work cards and protection of workers’ rights during the transition period until states formally announce the new regime.

Introduction of VB-G RAM G from July 1: Informed the Parliamentary Committee

A meeting of the Parliamentary Standing Committee on Rural Development and Panchayati Raj, chaired by Congress MP Saptagiri Ulaka, was briefed in detail about the measures being taken to roll out the Viksit Bharat – Rozgar Mission Guarantee and Ajeevika (Gramin) Act, 2025 (VB-G RAM G) Act, 2025, according to PTI discussions citing sources dated July 1.

Rural Development Minister Rohit Kansal informed the panel that 25 states have already allocated funds for the VB-G RAM G program and that administrative and political processes are underway.

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The VB-G RAM G scheme, which replaces MGNREGA, guarantees 125 days of wage work per financial year to every rural household whose adult members voluntarily do unskilled manual work, extending income support beyond the previous 100-day limit.

According to officials, the new legislation marks a major overhaul of MGNREGA by addressing structural weaknesses while improving job creation, transparency, planning and accountability.

They said the shift from a central sectoral scheme to a centrally sponsored model recognizes the localized nature of rural employment and asset creation.

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Under the revised framework, states will share both financial responsibility and implementation responsibilities through a prescriptive allocation mechanism aimed at promoting effective implementation and limiting abuse.

Officials estimated the annual expenditure on wages, material and administrative components at ₹1,51,282 crore, including the contribution of the States. From this, the center’s share in the amount is assumed ₹95,692.31 million crowns.

They insisted that the transition would not impose an excessive financial burden on the states.

The funding model was structured according to the capacities of the states, with a cost-sharing ratio of 60:40 between the Center and the states, a ratio of 90:10 for the North-Eastern and Himalayan states, and full central funding for Union territories without legislatures.