Rajshahi University

1. Rajshahi University • International Workshop • on • Large Scale National Surveys • October 18 – 19, 2012 • National Statistical Commission, GoI : • Origin & Activuities • Bikas K Sinha

2. Genesis of National Statistical Commission [NSC] • The rapidly changing economic scenario, particularly with the liberalization and opening of the Indian economy and other related factors, has put increasing demands on the statistical system to be more effective. The Government of India constituted a National Statistical Commission (NSC) under the Chairmanship of Dr. C. Rangarajan in January 2000, to examine critically the deficiencies of the present statistical system with a view to recommending measures for a systematic revamping of the system aimed at generating timely and reliable statistics for the purpose of policy and planning in the Government at different levels of administrative structures.

3. Rangarajan Report …..2001 • The Commission reviewed the Statistical System and the entire gamut of Official Statistics in the country. The Rangarajan Commission submitted its report to the Government in August 2001. It was a Volumenous Report prepared by Statisticians and Economists working together.

4. Rangarajan Report….. • The Commission made a number of recommendations in its report (August 2001) to bring about operational efficiency of the institutions involved and improvements in quality of • data collected. The Commission inter-alia recommended the need for strengthening the statistical system within the states; enabling Directorates of Economics and Statistics to play a more proactive roles in technical coordination with all state Departments in respect of the content, methodology and dissemination of statistics and organizing effective statistical cadres in the states. • Government acted on the recommendations • It took unusually long time……eventually….

5. NSC2006…By an Act of Parliament…. • By an Act of Parliament, Government of India appointed Permanent NSC on 12th July 2006 with the Composition : • 1. Chairperson who will be an eminent statistician or social scientist2. Four Members covering the following fields of specialization and experience in: • (i) economic statistics in such areas as agriculture, industry, infrastructure, trade or finance,(ii) social and environment statistics in such areas as population, health, education, labour and employment or environment,(iii) statistical operations in such areas as censuses, surveys, statistical information system or information technology, and (iv) national accounts, statistical modeling or State Statistical Systems.

6. NSC2006…By an Act of Parliament…. • First-Term : July 2006 – July 2009 • Chairman…..Prof. Suresh D. Tendulkar • Members ….Prof. SurjitBhalla, Prof. BikasSinha, Prof. AmitabhKundu and Dr. Padam Singh • The Chairman enjoyed the Status of Minister of State while the Members enjoyed the Status ofSecretary of State. • Second-Term : July 2009 – July 2012 • Chairman : Prof. R. RadhakrishnaMembers : ShriSuman K. Bery, Prof. Anil P. Gore, Prof. ShibdasBandyopadhyay , Dr. SudiptoMundle

7. Functions of the NSC • The NSC is mandated to perform the following functions, namely: - • to identify the core statistics, which are of national importance and are critical to the development of the economy; • to constitute professional committees or working groups to assist the Commission on various technical issues; • to evolve national policies and priorities relating to the statistical system;

8. Functions of the NSC….contd. • to evolve standard statistical concepts, definitions, classifications and methodologies in different areas in statistics and lay down national quality standards on core statistics; • to evolve national strategies for the collection, tabulation and dissemination of core statistics, including the release calendar for various data sets; • to evolve national strategies for human resource development on official statistics including information technology and communication needs of the statistical system;

9. Functions of the NSC….contd • to evolve measures for improving public trust in official statistics; • to evolve measures for effective co-ordination with State Governments and Union Territory Administrations on statistical activities including strengthening of existing institutional mechanisms; • to exercise statistical co-ordination between Ministries, Departments and other agencies of the Central Govt.; • to exercise statistical audit over the statistical activities to ensure quality and integrity of the statistical products;

10. Functions of the NSC….contd. • to recommend to the Central Government, or any State Government, as the case may be, measures to effectively implement the standards, strategies and other measures evolved …….; • to advise the Government on the requirement of legislative measures on statistical matters including the statute for the National Statistical Commission; and • to monitor and review the functioning of the statistical system in the light of the laid down policies, standards and methodologies and recommend measures for enhanced performance.

11. NSC….. • SALIENT FEATURES OF THE ACTIVITIES OF THE NSC…… • FIRST & SECOND TERMS……..

12. Collection of Statistics….. • 1953 : Collection of Statistics Bill • Features • Limitations • 2010 : Collection of Statistics Act

13. Core Statistics ….. • The NSC in its mandate has inter alia the following functions : • To identify the core statistics, which are of national importance and are critical to the development of the economy • To evolve standard statistical concepts, definitions, classifications and methodologies in different areas in statistics and lay down national quality standards on core statistics • To evolve national strategies for the collection, tabulation and dissemination of core statistics, including the release calendar for various data sets.

14. Core Statistics…. NSC will determine the areas of official statistics that are to be considered as core or critical to the functioning of the economy and accordingly prioritize the statistical activities of national statistical system. Core Statistics will have the following characteristics : • Be of National Importance. • Mandatory for the Governments at all levels to collect and disseminate • Conform to prescribed definitions, concepts and standards laid down by the Commission.

15. Core Statistics • Be updated periodically, with suitable periodicity to be determined. • Be available at both aggregate and disaggregate levels, wherever appropriate. • NSC : To ensure that the production of core statistics and their release are free from Government influence, by designating appropriate institutions or functionaries to be solely and independently responsible for these functions. • NSC : To exercise a statistical audit over the statistical activities to ensure quality and integrity of the statistical products.

16. Core Statistics…. • NSC : To keep in view the optimum use of national resources, in the context of essentially decentralised character of statistical system NSC : To evolve and arrange to monitor the nation-wide strategies on Core Statistics - updating the list of Core Statistics; framing and monitoring the advance release calendar & dissemination of data • NSC : To recommend formation of a permanent and statutory apex body – the National Commission on Statistics – independent of the Government and responsible to the Parliament in respect of policy making, coordination and certification of quality of Core Statistics.

17. Core Statistics….. • NSC : Mandate • Define the scope of Core Statistics • Determine Periodicity and procedure for collection of Core Statistics • Delegate powers to Central and State Ministries and other Statistical offices for collection of Core Statistics. • Note : Necessary legal provisions should be made, either by expanding the scope of the present Collection of Statistics Act (1953) or by passing new Act or Acts to cover any topic under “Core Statistics”, as defined by the Commission.

18. Collection of Statistics Act, 2008 • The Collection of Statistics Act, 2008 enacted by the Parliament that came into effect on 11th June 2010 contains the following enabling provision on core statistics. • "27. Without prejudice to the provisions contained in this Act, the Central Government may, by notification in the Official Gazette, declare from time to time any subject for the collection of statistics of national importance as ‘core statistics’ and make such arrangement, as it may consider necessary, for regulating the collection and dissemination of statistics on the subject so declared."

19. Core Statistics….. • Key Sources….. • Censuses / Sample Surveys • Indices compiled at national level or in a majority of States • Administrative statistics (Examples are statistics that could be generated under Companies Act, Limited Liability Partnership Act, Indian Partnership Act, Societies Act, Factories Act, Mineral Conservation and Development Rules,Registration of Births and Deaths Act, and Land Use Statistics compiled under State regulations, etc.)

20. Core Statistics…… • National Accounts Statistics • Statistics of Foreign Trade of India and Inter-State trade • Statistics in respect of resources including human resources of the country • Statistics on the performance of different sectors including infrastructure sectors, financial and external sectors of the economy at all India level • Minimum set of statistical products to be compiled by States/ UTs for use by the Centre • Statistics required to be generated due to international commitments from time to time

21. Core Statistics….. • 120 Items : Divided into 8 Categories • (I) National Income [20] • (II) Production & Services Sectors [35] • (III) Budgetary Transactions [9] • (IV) Money & Banking [8] • (V) Capital Market [5] • (VI) Indices & Other Short-Term Indicators [8] • (VII) External Sectors [8] • (VIII) Demography, Social & Environmental Sectors [27]

22. Listing…… • LIST OF CORE STATISTICS……

23. INTERMISSION…… • INTERMISSION………….5 minutes

24. Excellent Documentation • Strengthening of State Statistical Bureaus, Core Statistics AND Role of Statistical Advisers • by • Shri J. Dash, Additional Director General, CSO • and • Shri M.M. Hasija, Director, Field Operations Division, National Sample Survey Organisation

25. State Statistical Systems…. • Statistical System in the States / Union Territories (UTs) • The Statistical system in the States is generally decentralized laterally over the Departments of State Governments, with major Departments, such as Agriculture and Health, having large statistical divisions. • At the apex level, the Directorate of Economics and Statistics(DES) (earlier known as State Statistical Bureaus), is responsible for the coordination of statistical activities in the State. The DES have large organizations at the headquarters, with statistical offices in the districts and, in some cases, in the regions of the State. The statistical activities of the DESs are more or less uniform.

26. India Statistical Strengthening Project • To strengthen the information base for meeting the increasing needs of data for policy formulation and to improve the reliability, quality and timeliness, the Ministry of Statistics and ProgrammeImplementation (MOS&PI) with the World Bank assistance, has undertaken “India Statistical Strengthening Project (ISSP). One of the components of the Project is the “Study for Identifying the Specific Requirements for Strengthening of the State Statistical Bureaus”.

27. ISSP…… • The study is aimed at documenting the existing statistical activities of DES, assessing the efficacy of the resource allocations for various activities and developing a comprehensive proposal for strengthening the State Statistical System to raise them to a minimum level of standard. The study has been planned to be conducted in two phases.

28. ISSP….. • The first phase comprises • assessing the existing statistical activities of DES and Line Departments of States/UTs along with their standards and quality, assessment of existing infrastructure (physical, information technology and human resources) and identification of data gaps, prioritization of activities and assessing the requirements of additional resources for improvements of various outputs / activities and identification of such improvements likely to be achieved.

29. ISSP…… • In the second phase • The study would consolidate the specific requirements of each State for achieving a minimum standard for a common set of statistical output and evolve an action plan for implementation along with costing and other details.

30. Phase I of the Study • Project : “Identifying the Specific Requirements for Strengthening of State Statistical Bureaus” has been assigned to M/S JPS Associates (P) Ltd., New Delhi by the MOS&PI. For the purpose of the study, the States / UTs were put in the following seven groups:- • Group 1: Jammu & Kashmir, Himachal Pradesh, Punjab, Haryana and Chandigarh (5) • Group 2: Rajasthan, Gujarat, Maharashtra, Goa, Dadra & Nagar Haveli, Daman & Diu (6) • Group 3: Andhra Pradesh, Karnataka, Kerala, Lakshadweep, Tamil Nadu and Pondicherry (6) • Group 4: Delhi, Uttar Pradesh, Uttaranchal, Madhya Pradesh and Chattisgarh (5) • Group 5: Bihar, Jharkhand, Orissa, West Bengal, Andaman & Nicobar Islands (5) • Group 6: Assam, Arunachal Pradesh, Meghalaya, and Sikkim (4) • Group 7: Manipur, Mizoram, Nagaland and Tripura (4)

31. Phase I……Strengthening DESs • To carry out the study, a group of consultants comprising a Project Director, an Expert in official statistics and an Information Technology expert have been employed by M/s JPS Associates (P) Ltd. for each group of States/UTs. • A Task Force under the Chairmanship of Additional Director General, Field Operations Division (FOD), National Sample Survey Organisation(NSSO) looks into the operational aspects of the study, provides guidance to the consultants where required, monitors the activities of the consultants and approves the reports. • The Task Force has representatives from CSO, Planning Commission, important Ministries of the Central Government, six States and National Bank for Agriculture and Rural Development (NABARD).

32. Phase I….Strengthening of DESs… Core Statistical Activities The Task force has suggested the following activities as Core Statistical activities to be studied in relation to various parameters such as concepts, definitions, methodology, base year, periodicity, timeliness, sample size, data volume, flow of information, receipt of statistical returns on statutory and non-statutory basis, data gaps, deficiencies and associated problems.

33. Core Statistical Activities…… • (i) Estimation of State Domestic Product • (ii) Estimation of Capital formation and Savings • (iii) Estimation of District Domestic Product • (iv) Estimation of the contribution of local bodies • (v) Compilation of data on major Fiscal variables • (vi) Participation in the conduct of Annual Survey of Industries • (vii) Compilation of Index of Industrial Production • (viii) Estimation of Crop Area and Production • (ix) Compilation of Wholesale Price Index numbers • (x) Compilation of Consumer Price Index numbers

34. Core Statistical Activities…. • (xi) Collection and compilation of Health, Morbidity and Mortality and Family welfare statistics • (xii) Collection and compilation of Education and Literacy statistics • (xiii) Collection and compilation of Labour and Employment statistics • (xiv) Collection and compilation of Housing statistics • (xv) Birth and Death registration and Population • (xvi) Compilation of Electricity production and distribution statistics

35. Core Statistical Activities…. • (xvii) Compilation of Environment and Forest statistics • (xviii) Participation in the Surveys of National Sample Survey Organisation • (xix) Compilation of Transport statistics • (xx) Collection and compilation of Statistics for local area planning

36. Study Report…… • Expected to provide information on: • (i) Organisational and Functional Structure • (ii) Availability and Use of IT Tools • (iii) Mapping of resource & output in respect of Data processing staff for each major data series • (iv) Prioritisation of outputs and inputs assessment • (v) What improvement can be achieved in high priority outputs / activities if some low priority of activities are dropped or pursued with less frequency. • (vi) Requirement of additional resources for improvement of various activities / outputs and extent of improvements likely to be achieved.

37. Methodology adopted in the Conduct of the Study • Keeping in view the terms of reference of the study, a structured questionnaire for collection of data from States/UTs was finalized by the Task Force - taking inputs from the consultants, representatives of the various Ministries and World Bank experts. • The questionnaire was circulated to all States. Information for the statistical activities on various parameters in respect of DES and other line Departments was obtained.

38. Methodology….. • Thereafter the consultant had discussions with the officials of the DES and line Departments to elicit qualitative information. • Based on the information gathered through the questionnaire and the discussions held with officials, a Draft report for each of the States/UTs was prepared. These reports were discussed in the debriefing workshop with the States/UTs. Draft Final Reports have been prepared incorporating the suggestions, observations, comments received from the State Governments and members of the Task Force.

39. Salient Features of the Study…. (i) The consultants studied in detail, the functions and activities of state Directorate of Economics & Statistics (DES) - organizational structure, manpower and their recruitment rules & qualification, infrastructure availability and publications brought out. (ii) The consultant also visited two District Statistical Offices (DSOs) - one in advanced district and one in backward district, in each State/UT to study their statistical activities, manpower availability, infrastructure facilities, operational methods, constraints, etc.

40. Salient Features….. • (iii) For each of the 20 core statistical activities identified for states, the consultants studied the statistical returned used for data collection, methodology, frequency of release of data, publications where data are published, manpower engaged, IT Tools used and quality of output. A table indicating the core statistical activities not being carried out by the various States/UTs is given at Annexure I. In addition to the above, some of the other important statistical activities of the line Departments have also been studied.

41. Salient Features….. • (iv) The consultants have identified data gaps in respect of the 20 core statistical activities. The data gaps identified are based on the discussions with the concerned state officials and the knowledge of the consultants. Some of the common data gaps identified for various activities are given in Annexure II. • (v) One of the important concerns in any statistical activity is the Quality of the output generated over a long period of time. The quality of statistical information is multidimensional. Quality embraces the attributes of relevance, and characteristics of accuracy, timeliness, accessibility, interpretability and coherence. It incorporates the characteristics of consistency, compatibility and completeness across statistical programmes and products.

42. Assessment of Quality….. • Assessment of quality requires a framework. • InternationalMonetary Fund (IMF) has developed standards for assessing data quality. The assessment of quality of statistical outputs of the identified statistical activities of the states has been made on the “Accuracy and Reliability” characteristics of IMF Data Quality Assessment Frame Work (DQAF). Although, IMF standards do not apply for state statistical activities, these have , however, been used for assessing the reliability and accuracy of the statistical activities by the consultant.

43. Data Quality….. • The reliability and accuracy indicators prescribed by IMF and used for the study are: • (a) The source/field data to compile statistics in terms of adequacy, comprehensiveness, approximation to definition, and timeliness. • (b) Regular assessment of source data for coverage, sample error, response error, and non sampling error. • (c) Use of sound statistical techniques in data compilation and statistical analysis. • (d) Assessment and validation of intermediate data and statistical outputs and • (e) Tracking of revisions.

44. Data Quality….. • While assessing the quality, components of (a) (b) & (d) above were considered as threshold indicators. The quality of statistical output has been classified in 3 categories - high, medium and low. The categorization criteria being Quality • High – if all the components of the threshold indicators plus one of (c) and (e) are met, • Medium – if the three threshold indicators are met • Low - if one of the three threshold indicators is not met.

45. Salient Features…contd. • It has been observed that in almost all States/UTs • The Quality of fiscal data, electricity production and distribution data, vehicle registration data is High. • However for other statistical activities, there is a need for improvement. • (vi) The requirement of IT resources for DES and line Department has been separately worked out for the State/UT. • (vii) Category-wise optimum manpower requirement for each of activities has been worked out.

46. Salient Features….contd. • (viii) The consultants have separately given the prioritization of statistical activities from the states’ perspective, inferred priority (i.e. percentage difference between optimum required manpower and current manpower deployed for the activity), demand based prioritization and quality driven prioritization in the report for each State/UT.

47. Key Findings of the Study…. Some of the major findings that have emerged from the study are: • (i) In most of the States/Uts, work relating to the following activities have been assigned to the State Directorate of Economics and Statistics: • a) Compilation of State Domestic Product, Capital formation, District Domestic Product and Contribution of Local Bodies. • b) Annual Survey of Industries and Index of Industrial Production. • c) Wholesale Price Index. • d) Consumer Price Index • e) Participation in Survey Programmes of NSSO.

48. Key Findings….. • The work of Registration of Births and Deaths, Housing Statistic, Crop area and Agriculture Production in some States/UTs are assigned to the DES and in some to separate line Departments. • (ii) Important Statistical activities where shortage of manpower is acute in almost all the States/UTs are: • a) Crop Area and Production Statistics • b) Health & Family Welfare Statistics • c) Registration of Birth and Death Statistics • d) Labour and Employment Statistics • e) Local Area Planning.

49. Key Findings….. • (iii) Most of the States/UTs are not compiling Wholesale Price Index and Consumer Price Index. However, they are collecting price data regularly. • (iv) The statistical outputs generated by the States are disseminated through the traditional mode of publications resulting in inordinate delays in release and availability of data to the public. • (v) DES, though is the nodal agency for all statistical activities in the State/UT in most of the states it is ‘Dejure’ rather than ‘De-facto’. There is virtual absence of coordination mechanism in most of the states.

50. Key Findings…. • (vi) The states are collecting socio-economic data by participating on matching basis in the Annual Socio-economic Surveys conducted by the National Sample Survey Organisation. • However the data is being processed by very few States only. • (vii) There is a need for collection of detailed village level data for local area planning. • (viii) The staff in most of the states is not adequately trained. They are deficient in statistical skills both at operational level – data collection & processing, tabulation - and in statistical methods – application of theoretical techniques and analysis of data.