"Girls studying in a recognised school in educationally backward blocks run by any authority state, district or any NGO with a valid certificate from the school headmaster will be eligible to stay in these hostels," the ministry stated, adding that it sought to admit 50 per cent girls hailing from SCs, STs and OBCs.

The hostels would be built in Kasturba Gandhi Balika Vidyalayas, or in the schools chosen by the respective state government. "The KGB Vidyalaya students will be given preference in accommodation. In blocks with no KGB vidyalayas, students from all government or aided schools in the vicinity of the hostel will be eligible," the press statement said. An amount of Rs 2,000 crore has been set aside for the scheme under the 11th Plan.

The ministry has henceforth decided to scrap the old scheme, saying in a statement that fund users were exploiting procedural gaps in the old scheme.

The TISS studied the old scheme in Maharashtra, Andhra Pradesh and Orissa and said it needed an urgent revamp. The new scheme would give financial assistance for building and running girls hostels by state governments in educationally backward blocks, a press statement from the HRD ministry said. It added that the new Rs 2,000 crore scheme to be implemented from this financial year includes recurring grants to meet residents' need. Target groups would be girls students of classes IX to XII and from minority communities and BPL families.