'MPs have pumped crores into local development'

Neha Shukla, TNN, Sep 6, 2010, 06 ;

LUCKNOW: The MPLADS could be making an impact where it is expected to. The utilisation of funds under the scheme, as shown in reply to a RTI query, indicate so. The Members of Parliament Local Area Development Scheme (MPLADS) in 20-odd years of its existence is shown to have spent a sizable chunk of funds released under it by its nodal ministry. The performance of the scheme has improved remarkably since 2004-05, says the ministry in its annual report for 2008-09.

The information has been provided in response to an RTI query by applicant Urvashi Sharma. The applicant had sought information from the PMO in July, 2010. She had asked for year-wise and scheme-wise budgetary allocations, actual funds released and funds consumed (in Rs) for all development schemes/projects by Central government from April 1, 1950 to March 31, 2010. She also sought year-wise total fund allocations, actual funds released by Central government and funds consumed by MPs for the period mentioned above.

Since inception of the scheme in 1993-94, Rs 20,957.25 crore have been released to the nodal district authorities of the MPs. As per the information available in the ministry and information provided by the nodal district authorities of the MPs, Rs 19,095.02 crore have been spent, as on March 2010, says A K Choudhary, director and CPIO, Ministry of Statistics and Programme Implementation. It is also the nodal ministry for the scheme and is responsible for policy formulations, release of funds and monitoring of the scheme.

Under the said scheme, utilisation of funds is the basic indicator of performance. The high utilisation of funds is reflected by indicators such as percentage utilisation over release. Similarly, faster completion of works over the years is reflected by the percentage of works completed over works sanctioned by the district authorities. The figures provided by the ministry indicate utilisation of maximum funds so far.

The MPLADS was launched on December 23, 1993. It was launched to "provide a mechanism to the MP to recommend works of developmental nature for creation of durable community assets and for provision of basic facilities, including community infrastructure, based on locally felt needs". An amount of Rs 5 lakh per MP was allotted. The amount was increased to Rs 1 crore per annum from 1994-95 per MP/constituency. This amount was further increased to Rs 2 crore from 1998-99. The funds under MPLADS are non-lapsable. The funds remaining unreleased/unutilised in a particular year are released/utilised in the subsequent years.

Under the scheme, funds are directly sent to district authorities of the MPs, who examine and implement the eligible developmental works recommended by the MP and maintain the details of works/funds utilised and works executed. The ministry receives the cumulative information on the works recommended, sanctioned and expenditure incurred through the Monthly Progress Reports ( MPRs).

Meanwhile, the RTI application has also been transferred to the department of economic affairs for providing more information to the applicant.