CAG Audit on Pradhan Mantri Kaushal Vikas Yojana (PMKVY)

1. The Comptroller and Auditor General of India (CAG) flagged significant gaps in the Pradhan Mantri Kaushal Vikas Yojana (PMKVY).
2. The audit evaluated the first three phases of PMKVY, covering 2015 to 2022.
3. Major operational and financial challenges were highlighted in the scheme’s implementation.
   
   

Key Issues Identified by CAG

1. Skill-Gap Discrepancies: Trainings were not consistently aligned with skill requirements identified in the National Policy for Skill Development and Entrepreneurship (NPSDE), which defines sector-wise skill needs.
2. Underutilization of Funds: About 20% of funds released for state components remained unspent as of March 2024.
3. Data Integrity Issues: The Skill India Portal (SIP) had serious lapses, with ~95% of candidate information such as email IDs and bank accounts being invalid or missing.
4. Technical Qualification Lapses: For roles requiring prior technical education, 85.40% of certified candidates had only basic literacy.
5. Fictitious Agencies: Certifications were awarded through agencies that were non-existent or ineligible.
6. Low Placement Rates: Only 41% of trained candidates secured employment.
7. Duplicate Records: Instances of duplicate bank accounts or identical photographs were observed.
8. Educational Deficiencies: Many candidates lacked the required educational background for certain roles.
9. Poor Centre-State Coordination: Coordination between central and state authorities was inadequate.

CAG Recommendations

1. Align skill training programs with skill-gaps identified in job roles across sectors and states, based on market demand.
2. Expedite the preparation of the National Skill Development Plan (NSDP), a roadmap for skill development initiatives nationwide.
3. Strictly enforce IT controls under PMKVY 4.0 and implement a data retention policy for accuracy.
4. Strengthen oversight mechanisms and ensure strict enforcement of system validation checks.
5. Expedite integration of Unified District Information System for Education (UDISE) data with PMKVY to improve monitoring and coordination.

About PMKVY Launched in 2015 by the Ministry of Skill Development and Entrepreneurship (MSDE). Objective: Provide short-term skill training and upskilling/re-skilling through Recognition of Prior Learning (RPL), which validates existing skills of youth. Targets youth nationwide, including those in rural areas.

Phases of PMKVY

• PMKVY 1.0: Pilot phase in 2015-16.
• PMKVY 2.0: Trained around 1.10 crore candidates.
• PMKVY 3.0: Included Customised Crash Course Programme for COVID Warriors and Skill Hub Initiative (SHI).
• PMKVY 4.0: Focus on New Age Skills like Industry 4.0 technologies, Web 3.0, AR/VR, climate change, circular economy, and green economy.

Achievements of PMKVY

• Over 1.6 crore youth trained since 2015.
• Approximately 45% of trained candidates are women, promoting gender inclusion.