Lok Sabha Question No. 1931 (UNSTARRED), answered on 2023-08-01
Subject: Digital Payments for Development Work
Ministry: PANCHAYATI RAJ
Asked by: Y. S. Avinash Reddy, Komati Reddy Venkat Reddy, Manne Srinivas Reddy

## GOVERNMENT OF INDIA

## MINISTRY OF PANCHAYATI RAJ LOK SABHA UNSTARRED QUESTION NO.1931 ANSWERED ON 01.08.2023

## DIGITAL PAYMENTS FOR DEVELOPMENT WORK

## 1931 SHRI Y.S. AVINASH REDDY: SHRI KOMATI REDDY VENKAT REDDY: SHRI MANNE SRINIVAS REDDY:

Will the Minister of PANCHAYATI RAJ be pleased to State:

- (a) whether the Government is taking steps that all panchayats across the country will mandatorily use digital payments for development work and revenue collection and they will be declared UPI enabled, if so, the details thereof, State-wise particularly in Andhra Pradesh and Telangana;
- (b) whether it is a fact that almost 98% of the panchayats had already started UPI based payments and payments to panchayats will now be made Digitally and payments in cheques and cash have almost been stopped, if so, the details thereof and present status thereof;
- (c) whether the Government has issued any directions/advisory in 2014 to panchayats to hold meetings since 2014 with service providers and vendors including and task has been  given  to  panchayats  to  choose  appropriate  service  providers,  and  finalise vendors, if so, the details thereof; and
- (d) whether panchayats have also been directed to choose a single vendor which covers the whole area and if so, the details and progress made so far, State-wise?

## ANSWER

## THE MINISTER OF STATE FOR PANCHAYATI RAJ

## (SHRI KAPIL MORESHWAR PATIL)

(a) & (b) In consonance with the vision of Digital India, where digital payments play a vital role across all segments of the population for various purposes, Ministry of Panchayati Raj has launched eGramSwaraj, an accounting application to simplify Panchayat work like planning, accounting and budgeting. In order to ensure better financial management of PRIs for enhancing transparency & accountability in maintenance of accounts, the eGramSwaraj has been integrated with Public Finance Management System (PFMS) to make real time payments to  vendors/service  providers.  The  progress  made  under  eGramSwaraj  including  Andhra Pradesh and Telangana for the year 2023-24 is given at Annexure-I .  States have also been advised to adopt UPI-based digital payment methods across all the Panchayati Raj Institutions in India for the Services delivered by the respective Panchayats.  In case of Telangana, the State has reported that UPI based payment solutions are already enabled across the Panchayats in the State. Andhra Pradesh has completed a Proof of Concept (PoC) in 3 Gram Panchayats. The rollout of UPI based solution across the Panchayats in Andhra Pradesh is currently underway. State wise status may be seen in Annexure-II.

(c)  &  (d)  The  States/  Panchayats  have  been  advised  to  utilize/  leverage  the  services  of authorized Payment Service Providers, Payment Banks, and Third-Party Payment Applications (TPAPs) recognized by the National Payments Corporation of India (NPCI) for deployment of UPI based solutions and/ or for any technical/ handholding support required during the rollout. NPCI through their State teams has also been requested to extend requisite support to the State Panchayati Raj Departments/ Panchayats with the UPI rollout.

***

Annexure-I

Annexure referred to in reply to part (a) & (b) of the Lok Sabha Unstarred Question No. 1931 answered on 01.08.2023 regarding 'Digital Payments for Development Work'.

## Adoption of eGramSwaraj at Panchayat level during FY 2023-24

|   S.No | State Name        |   Total Number of Village Panchayats & Equivalent |   Village Panchayat onboard |   Village Panchayats & Equivalent with Online Payment |   Total Number of Block Panchayats |   Block Panchayat onboard |   Block Panchayats with Online Payment |   Total Number of Zila Panchayats |   Zila Panchayat onboard |   Zila Panchayats with Online Payment |
|--------|-------------------|---------------------------------------------------|-----------------------------|-------------------------------------------------------|------------------------------------|---------------------------|----------------------------------------|-----------------------------------|--------------------------|---------------------------------------|
|      1 | ANDHRA PRADESH    |                                             13371 |                        8841 |                                                     0 |                                660 |                       609 |                                      0 |                                13 |                       13 |                                    12 |
|      2 | ARUNACHAL PRADESH |                                              2108 |                        2096 |                                                   615 |                                  0 |                         0 |                                      0 |                                25 |                       25 |                                    16 |
|      3 | ASSAM             |                                              2662 |                        2197 |                                                  2075 |                                191 |                       191 |                                    184 |                                30 |                       27 |                                    26 |
|      4 | BIHAR             |                                              8176 |                        8175 |                                                  6585 |                                534 |                       534 |                                    450 |                                38 |                       38 |                                    36 |
|      5 | CHHATTISGARH      |                                             11659 |                       11658 |                                                  6460 |                                146 |                       146 |                                    132 |                                27 |                       27 |                                    27 |
|      6 | GOA               |                                               191 |                         191 |                                                    37 |                                  0 |                         0 |                                      0 |                                 2 |                        1 |                                     0 |
|      7 | GUJARAT           |                                             14589 |                       14272 |                                                  9681 |                                248 |                       248 |                                    248 |                                33 |                       33 |                                    33 |
|      8 | HARYANA           |                                              6226 |                        6174 |                                                  3775 |                                143 |                       142 |                                     66 |                                22 |                       22 |                                    15 |
|      9 | HIMACHAL PRADESH  |                                              3615 |                        3612 |                                                  2785 |                                 81 |                        81 |                                     73 |                                12 |                       12 |                                    12 |
|     10 | JHARKHAND         |                                              4345 |                        4344 |                                                  4062 |                                264 |                       264 |                                    256 |                                24 |                       24 |                                    23 |
|     11 | KARNATAKA         |                                              5958 |                        5958 |                                                  5488 |                                233 |                       232 |                                    113 |                                31 |                       31 |                                    17 |
|     12 | KERALA            |                                               941 |                         941 |                                                   544 |                                152 |                       152 |                                     60 |                                14 |                       14 |                                    11 |
|     13 | MADHYAPRADESH     |                                             23032 |                       22989 |                                                 17341 |                                313 |                       313 |                                    260 |                                52 |                       52 |                                    47 |
|     14 | MAHARASHTRA       |                                             27555 |                       27446 |                                                 16643 |                                351 |                       351 |                                    173 |                                34 |                       34 |                                    31 |
|     15 | MANIPUR           |                                              3812 |                         161 |                                                     0 |                                  0 |                         0 |                                      0 |                                12 |                        6 |                                     3 |
|     16 | MEGHALAYA         |                                              6760 |                           0 |                                                     0 |                               2240 |                         0 |                                      0 |                                 3 |                        3 |                                     0 |
|     17 | MIZORAM           |                                               834 |                         834 |                                                    24 |                                  0 |                         0 |                                      0 |                                 0 |                        0 |                                     0 |
|     18 | NAGALAND          |                                              1293 |                           5 |                                                     0 |                                  0 |                         0 |                                      0 |                                 0 |                        0 |                                     0 |
|     19 | ODISHA            |                                              6798 |                        6798 |                                                  5818 |                                314 |                       314 |                                    304 |                                30 |                       30 |                                    19 |

| S.No   | State Name    |   Total Number of Village Panchayats & Equivalent |   Village Panchayat onboard |   Village Panchayats & Equivalent with Online Payment |   Total Number of Block Panchayats |   Block Panchayat onboard |   Block Panchayats with Online Payment |   Total Number of Zila Panchayats |   Zila Panchayat onboard |   Zila Panchayats with Online Payment |
|--------|---------------|---------------------------------------------------|-----------------------------|-------------------------------------------------------|------------------------------------|---------------------------|----------------------------------------|-----------------------------------|--------------------------|---------------------------------------|
| 20     | PUNJAB        |                                             13241 |                       13181 |                                                  6565 |                                152 |                       151 |                                    109 |                                22 |                       22 |                                    18 |
| 21     | RAJASTHAN     |                                             11342 |                       11323 |                                                  6841 |                                352 |                       352 |                                    266 |                                33 |                       33 |                                    30 |
| 22     | SIKKIM        |                                               199 |                         181 |                                                   134 |                                  0 |                         0 |                                      0 |                                 6 |                        4 |                                     4 |
| 23     | TAMIL NADU    |                                             12525 |                       12489 |                                                  9945 |                                388 |                       388 |                                    379 |                                36 |                       36 |                                    36 |
| 24     | TELANGANA     |                                             12769 |                       12767 |                                                 12255 |                                540 |                       540 |                                    286 |                                32 |                       32 |                                    25 |
| 25     | TRIPURA       |                                              1178 |                        1178 |                                                   806 |                                 75 |                        75 |                                     62 |                                 9 |                        9 |                                     6 |
| 26     | UTTARAKHAND   |                                              7812 |                        7811 |                                                  7122 |                                 95 |                        95 |                                     93 |                                13 |                       13 |                                    13 |
| 27     | UTTAR PRADESH |                                             58853 |                       58822 |                                                 48456 |                                827 |                       826 |                                    777 |                                75 |                       75 |                                    75 |
| 28     | WEST BENGAL   |                                              3340 |                        3229 |                                                  3217 |                                344 |                       336 |                                    334 |                                22 |                       21 |                                    21 |
| Total  | Total         |                                            265184 |                      247673 |                                                177274 |                               8643 |                      6340 |                                   4625 |                               650 |                      637 |                                   556 |

Annexure referred to in reply to part (a) & (b) of the Lok Sabha Unstarred Question No. 1931 answered on 01.08.2023 regarding 'Digital Payments for Development Work'.

## UPI rollout: State wise Status

|   S.No. | State Name        | Meeting with Service Providers   | Selection of Vendor                                       | Rollout of UPI                                                                                                                                             |
|---------|-------------------|----------------------------------|-----------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------|
|       1 | Andhra Pradesh    | Conducted                        | Finalised                                                 | - Union Bank of India and PayTM has been onboarded for UPI&QR based payment - Proof of Concept (PoC) completed in 3 Gram Panchayats - Roll-out in progress |
|       2 | Arunachal Pradesh | Conducted                        | Finalised                                                 | - SBI has been appointed for UPI enablement - Zila Panchayat has been UPI enabled, GPs UPI enablement is in progress                                       |
|       3 | Assam             | Conducted                        | Finalised                                                 | - Panchayats instructed to obtain QR code from respective Banks and display in the offices                                                                 |
|       4 | Bihar             | Conducted                        | Bank / Service provider finalization is still in progress |                                                                                                                                                            |
|       5 | Chhattisgarh      | Conducted                        | Bank / Service provider finalization is still in progress |                                                                                                                                                            |
|       6 | Goa               | Conducted                        | In Progress                                               |                                                                                                                                                            |
|       7 | Gujarat           | Conducted                        | In Progress                                               |                                                                                                                                                            |
|       8 | Haryana           | Conducted                        | In Progress                                               |                                                                                                                                                            |
|       9 | Himachal Pradesh  | Conducted                        | Bank / Service provider finalization in progress          |                                                                                                                                                            |
|      10 | Jharkhand         | Conducted                        | Bank / Service provider finalization in progress          |                                                                                                                                                            |
|      11 | Karnataka         | Conducted                        | Finalised                                                 | Rollout in progress                                                                                                                                        |
|      12 | Kerala            | Conducted                        | Finalised                                                 | New POS devices being procured for UPI-based payment &dynamic QR Targeted Timeline 28 July                                                                 |

|   S.No. | State Name     | Meeting with Service Providers   | Selection of Vendor                               | Rollout of UPI                                               |
|---------|----------------|----------------------------------|---------------------------------------------------|--------------------------------------------------------------|
|      13 | Madhya Pradesh | Conducted                        | Finalised                                         | Rollout in progress- 1000 GPs have been UPI enabled till now |
|      14 | Maharashtra    | Conducted                        | Finalised                                         | Rollout in progress- 40% of the GPs have been UPI enabled.   |
|      15 | Manipur        |                                  |                                                   |                                                              |
|      16 | Meghalaya      |                                  |                                                   |                                                              |
|      17 | Mizoram        | Conducted                        | Finalisation of service provider is in progress   |                                                              |
|      18 | Nagaland       |                                  |                                                   |                                                              |
|      19 | Odisha         | Conducted                        | Finalised                                         | PoC completed in 5 Panchayats, roll-out plan is in progress  |
|      20 | Punjab         | Conducted                        | Finalisation of service provider is in progress   |                                                              |
|      21 | Rajasthan      | Conducted                        | Finalisation of service provider is in progress   |                                                              |
|      22 | Sikkim         | Conducted                        | Local Banks have been informed for UPI enablement | Rollout in progress- 65 GPs enabled till date                |
|      23 | Tamil Nadu     | Conducted                        | Finalised                                         | Completed- All Panchayats UPI enabled                        |
|      24 | Telangana      | Conducted                        | Finalised                                         | State application already allows for UPI based payments      |
|      25 | Tripura        | Conducted                        | In Progress                                       |                                                              |
|      26 | Uttarakhand    | Conducted                        | Finalised                                         | Rollout in progress                                          |
|      27 | Uttar Pradesh  | Conducted                        | Finalised                                         | Rollout in progress- 10,000 GPs UPI enabled till date        |
|      28 | West Bengal    | Conducted                        | In Progress                                       |                                                              |
|      29 | Jammu &Kashmir | Conducted                        | In Progress                                       |                                                              |
|      30 | Ladakh         |                                  |                                                   |                                                              |