Lok Sabha Question No. 4564 (UNSTARRED), answered on 2017-03-29
Subject: Development of Backward Region/ Areas
Ministry: PLANNING
Asked by: LAXMI NARAYAN YADAV, RAMSINH PATALYABHAI RATHWA, HARISH CHANDRA MEENA, RAMA DEVI

## GOVERNMENT OF INDIA MINISTRY OF PLANNING

## LOK SABHA UNSTARRED QUESTION NO. 4564 TO BE ANSWERED ON 29.03.2017

## DEVELOPMENT OF BACKWARD REGION/AREAS

4564: SHRI LAXMI NARAYAN YADAV: SHRI RAMSINH RATHWA: SHRI HARISH MEENA: SHRIMATI RAMA DEVI:

Will the Minister of PLANNING to be pleased to state:

(a) whether the Government has made special provisions for the development of backward area/ districts and also proposes to review the said provisions ;

(b) if  so,  the  details  thereof  along  with  the  funds  allocated  by  the    development  of  backward  areas/ districts, state-wise including Rajasthan;

(c) the details of monitoring mechanism for proper utilization  of funds;

(d) whether the Government had enhanced the funds for the Special Plan for some States under the Backward Region Grant Fund (BRGF); and

(e) if so, the details thereof during the Eleventh Five year Plan, State - wise?

## ANSWER

## MINISTER OF STATE (INDEPENDENT CHARGE) FOR MINISTRY OF PLANNING AND MINSTER OF STATE FOR MINISTRY OF URBAN DEVELOPMENT AND MINISTRY OF HOUSING AND URBAN POVERTY ALLEVIATION.

## (RAO INDERJIT SINGH)

- (a) The Fourteenth Finance Commission (FFC) was of the view that the devolution formula should be continue to be defined in such a way that it attempts to mitigate the impact of the differences in fiscal capacity and cost disability among States. Keeping in view these factors, FFC while assigning weight of 17.5% to Population, 10% to Demographic Changes, 50% to Income Distance, 15% to Area and 7.5% to Forest Cover in the devolution formula and increased the devolution to the States in general by way of increasing their Share in Central Taxes from 32% to 42% which is the biggest ever increase in vertical tax devolution/share of the States in the Central divisible pool.  Thus, the recommendations of FFC will enhance the  availability  of  funds  at  the  disposal  of  States.    The  higher  tax  devolution  will  allow  States  greater autonomy in financing and design of schemes as per the needs and requirements including for filling the development gap in the deficit region.

(b) & (c)      Ministry of Panchayati Raj (MoPR) was implementing the District component of the Backward Regions Grant Fund (BRGF) Programme in 272 identified backward districts of all the States of the country except Goa during the period 2006-07 to 2014-15. The BRGF Programme has been delinked from budgetary support of the Central Government w.e.f. financial year 2015-16 after the implementation of recommendations of FFC.  All the States have been advised to submit complete utilization certificates or refund the unspent balance, if any, to this Ministry.  A statement showing State-wise funds  allocated  & released  since  the  financial  year  2012-13  to  2014-15  is  at Annexure .    Implementation  of  the  BRGF Programme at the ground level was done by the various State Governments concerned. The Programme guidelines provided for physical and financial audit of the works at the end of each financial year and in each district a Review Committee at the District level was to be constituted by the District Planning Committee and social audit was to be done by Gram Sabhas. The Ministry of Panchayati Raj has followed this up by periodic review meetings with Principal Secretaries of Panchayati Raj Departments of States, and visits by the officers of the Ministry.

- (d)   Under State Component of BRGF Special Plan for KBK Districts of Odisha, Special Plan for Bihar and Special Plan for West Bengal were in operation to address the issues of regional imbalances in development processes. For the 12 th Five Year Plan period an allocation of Rs. 1250 crore under Special Plan for KBK Districts of Odisha; Rs. 11088.34 crore under Special Plan for Bihar and Rs. 8749.35 crore for Special Plan for West Bengal  was approved. Upto 2014-15, an amount of Rs.  882.07 crore under Special Plan for KBK Districts of Odisha; Rs. 5605.31 crore under Special Plan for Bihar and Rs. 6419.34 crore under Special Plan for West Bengal was released.  No allocation under the Union Budget was made during 2015-16 and 201617 for the State Component of BRGF as it became a part of the devolution.  However, during 2015-16,   as against the balance funds  under these Special plans an amount of Rs. 132.07 crore under Special Plan for KBK Districts of Odisha, Rs. 1887.53 crore under Special Plan for Bihar and Rs. 836.77 crore under Special Plan for West Bengal was released as One Time Assistance out of the Demand No. 37.  Similarly, during 2016-17, an amount of Rs.367.93 crore under Special Plan KBK Districts of Odisha and Rs. 1329.40 crore under Special Plan for Bihar has been  released as Special Assistance from Demand No. 32 to the State Govt. of Odisha and Bihar for completion of on-going schemes.
- (e)   Releases under Special Plan for KBK Districts of Odisha, Special Plan for Bihar and Special Plan for West Bengal during the Eleventh Five Year Plan are as under:

| Special Plans                            |   Amount Released (Rs. Crore) |
|------------------------------------------|-------------------------------|
| Special Plan for KBK Districts of Odisha |                       1250    |
| Special Plan for Bihar                   |                       6209.43 |
| Special Plan for West Bengal             |                       2888.16 |

## ANNEXURE

## Statement  referred  to  in  reply  of  Lok  Sabha  Unstarred  Question  No.  4564  due  for  answer  on 29.03.2017

## State-wise funds allocated & released since financial year 2012-13 under the BRGF Programme

(Amount in Rs. crore)

| S.No.   | State             | 2012-13    | 2012-13        | 2013-14    | 2013-14        | 2014-15    | 2014-15        | 2015-16                                                                                  |
|---------|-------------------|------------|----------------|------------|----------------|------------|----------------|------------------------------------------------------------------------------------------|
| S.No.   | State             | Allocation | Funds Released | Allocation | Funds Released | Allocation | Funds Released | BRGF Programme delinked from budgetary support of the Central Government w.e.f. 2015-16. |
| 1.      | Andhra Pradesh    | 389.77     | 327.75         | 475.10     | 325.62         | 136.09     | 43.80          |                                                                                          |
| 2.      | Arunachal Pradesh | 16.38      | 13.88          | 19.86      | 0.00           | 18.05      | 15.35          |                                                                                          |
| 3.      | Assam             | 205.76     | 142.35         | 249.39     | 76.40          | 226.64     | 139.41         |                                                                                          |
| 4.      | Bihar             | 722.70     | 490.51         | 877.80     | 485.80         | 796.93     | 206.52         |                                                                                          |
| 5.      | Chhattisgarh      | 284.75     | 229.37         | 345.83     | 192.56         | 313.96     | 218.26         |                                                                                          |
| 6.      | Gujarat           | 115.64     | 55.70          | 140.48     | 42.87          | 127.53     | 65.07          |                                                                                          |
| 7.      | Haryana           | 32.15      | 32.05          | 38.98      | 26.41          | 35.42      | 12.98          |                                                                                          |
| 8.      | Himachal Pradesh  | 32.22      | 35.19          | 39.09      | 27.79          | 35.52      | 11.92          |                                                                                          |
| 9.      | Jammu& Kashmir    | 73.98      | 37.36          | 89.58      | 20.40          | 81.43      | 45.67          |                                                                                          |
| 10.     | Jharkhand         | 388.16     | 166.60         | 470.89     | 40.85          | 427.73     | 281.75         |                                                                                          |
| 11.     | Karnataka         | 131.06     | 106.32         | 159.41     | 71.22          | 144.63     | 46.53          |                                                                                          |
| 12.     | Kerala            | 36.83      | 20.23          | 44.73      | 0.00           | 40.61      | 29.20          |                                                                                          |
| 13.     | Madhya Pradesh    | 586.88     | 476.07         | 712.99     | 279.21         | 647.20     | 221.22         |                                                                                          |
| 14.     | Maharashtra       | 292.56     | 267.91         | 356.10     | 246.82         | 322.95     | 236.14         |                                                                                          |
| 15.     | Manipur           | 43.93      | 21.86          | 53.20      | 39.83          | 48.36      | 36.76          |                                                                                          |
| 16.     | Meghalaya         | 41.44      | 35.25          | 50.15      | 32.41          | 45.60      | 2.56           |                                                                                          |
| 17.     | Mizoram           | 25.58      | 19.42          | 30.91      | 25.36          | 28.12      | 24.39          |                                                                                          |
| 18.     | Nagaland          | 63.53      | 41.51          | 76.79      | 9.12           | 69.87      | 60.87          |                                                                                          |
| 19.     | Odisha            | 360.03     | 240.05         | 437.01     | 283.63         | 396.83     | 179.46         |                                                                                          |
| 20.     | Punjab            | 17.80      | 12.93          | 21.60      | 0.00           | 19.62      | 14.87          |                                                                                          |
| 21.     | Rajasthan         | 304.30     | 262.09         | 370.28     | 62.30          | 335.84     | 211.45         |                                                                                          |
| 22.     | Sikkim            | 14.58      | 11.11          | 17.66      | 8.68           | 16.05      | 12.32          |                                                                                          |
| 23.     | Tamil Nadu        | 123.74     | 100.16         | 150.41     | 94.42          | 136.49     | 42.42          |                                                                                          |
| 24.     | Telangana*        | 0.00       | 0.00           | 0.00       | 0.00           | 294.49     | 89.42          |                                                                                          |
| 25.     | Tripura           | 13.66      | 13.66          | 16.53      | 13.04          | 15.03      | 12.63          |                                                                                          |
| 26.     | Uttar Pradesh     | 702.17     | 207.65         | 853.17     | 273.35         | 774.36     | 346.86         |                                                                                          |
| 27.     | Uttarakhand       | 47.24      | 46.84          | 57.25      | 22.79          | 52.02      |                |                                                                                          |
| 28.     | West Bengal       | 283.14     | 306.37         |            |                | 312.65     | 2.53           |                                                                                          |
|         |                   |            |                | 344.81     | 99.12          |            | 226.64         |                                                                                          |
|         | Total             | 5349.98    | 3720.19        | 6500.00    | 2800.00        | 5900.00    | 2837.00        |                                                                                          |

Note : Year-wise allocation is as per BE allocation;  Releases are as per RE allocation.

* Telangana was carved out from Andhra Pradesh during 2014-15.