While keeping Rajasthan's Panchphal Yojana in focus, critically discuss how innovative solutions can augment resources and multi-dimensional benefits for panchayats?

The real intention behind 73rd constitutional amendment act was to ensure power devolution to the 3rd tier so that they can act as local self-government unit. However one of the major issues is the lack of adequate financial sources.
Innovative solutions like Rajasthan’s “Panchphal Yojana” can help not only in resource augmentation but also can have multi-dimensional benefits for panchayats.
As per the scheme, fruit-bearing plants are planted on pasture land. Initially, the revenue is not high but once fruits from trees will be mature enough then it will augment resources of Panchayats.Apart from a permanent source of revenue for the panchayats, these trees will create greenery in the region. Also, the leaves and parts of such trees can be used as organic fertilizers. The initiative will also help in creating employment opportunities. Thus it can be a good way to eradicate poverty,
Also, it will help in resolving the encroachment issues on the pasture land. The problem of shrinking size of land can also be resolved with such plantation.
Such initiative can help in mitigating the adverse effects of climate change. Therefore such innovative idea should not only be imitated by other states but they should also provide adequate support to such initiatives.

Topics: GS-II: Devolution of Powers and Finances Up to Local Levels