Lok Sabha Question No. 231 (STARRED), answered on 2015-08-05
Subject: MPLAD Scheme
Ministry: STATISTICS AND PROGRAMME IMPLEMENTATION
Asked by: VIRENDER KASHYAP

## GOVERNMENT OF INDIA

## MINISTRY OF STATISTICS AND PROGRAMME IMPLEMENTATION

## LOK SABHA STARRED QUESTION NO. 231

TO BE ANSWERED ON WEDNESDAY, THE 5 TH  AUGUST, 2015

## MPLAD SCHEME

## *231.   SHRI VIRENDER KASHYAP:

Will the Minister of STATISTICS AND PROGRAMME IMPLEMENTATION be pleased to state:

- (a)  the objectives of Member of Parliament Local Area Development Fund (MPLAD) Scheme and the guidelines issued for release and utilization of funds thereunder;
- (b)  the total funds incurred/spent for various development activities under  the  MPLAD  Scheme  for  the  eleventh  and  twelfth  FYP period;
- (c)  the  manner in which the various development activities under the scheme have benefitted the people especially rural people in the country; and
- (d)  the mechanism put in place for effective implementation of the scheme?

## ANSWER

MINISTER  OF  STATE  (INDEPENDENT  CHARGE)  FOR  MINISTRY  OF STATISTICS  AND  PROGRAMME  IMPLEMENTATION,  MINISTER  OF STATE  FOR  MINISTRY  OF  EXTERNAL  AFFAIRS  AND  MINISTER  OF STATE FOR MINISTRY OF OVERSEAS INDIAN AFFAIRS [GENERAL (Dr.) V.K. SINGH (Retd.)]

- (a) to (d): A statement is laid on the table of the House.

Statement referred to in reply to parts (a) to (d) of Lok Sabha Starred Question No. 231 for answer on 05-08-2015. Part (a):  The  essential objective of the Members of Parliament Local Area Development Scheme  (MPLADS)  is to enable Members  of Parliament (MPs) to recommend works of developmental nature with emphasis  on  creation  of  durable  community  assets  based  on  locally felt needs. Every  MP  is  entitled  to  recommend  works  amounting  to  rupees  five crore (Rs. 5 crore) per financial year. Implementation of the works in the field is undertaken by the District Authorities,  in  accordance  with  the  State  Government's  technical, administrative and financial rules and in accordance with the Guidelines on MPLADS. The  Guidelines  on  MPLADS  are  available  in  the  public  domain, including on the official website of Ministry of Statistics and Programme Implementation ( www.mospi.nic.in ). Para  4.3  of  the  Guidelines  on  Members  of  Parliament  Local  Area Development Scheme (MPLADS) lays down the conditions of release of MPLADS funds: The first instalment of Rs. 2.5 crore at the time of constitution of the Lok Sabha or election of the Rajya Sabha Member is released in the beginning of the financial year. In the remaining years, the first instalment is released in the beginning of the financial year subject to the condition that  the  second instalment  of  the  previous  year  was  released  for  the  Member  of Parliament concerned and also subject to furnishing of the provisional Utilization Certificate of the previous year covering at least 80% of the expenditure of the first instalment of the previous year.

The second instalment of the MPLADS funds is released subject to the fulfilment of the following eligibility criteria:-

(i)  the  unsanctioned  balance  amount  available  in  the  account  of

District  Authority  after  taking  into  account  the  cost  of  all  the  works

sanctioned is less than Rs. 1 crore;

- (ii) the unspent balance of fund of the Member  of  Parliament concerned is less than Rs. 2.5 crore; and

(iii)  Utilization  Certificate  and  Audit  Certificate  of  the  immediately

concluded financial year ending 31 st  March have been furnished by the

District Authority.

The funds under the MPLADS are non-lapsable both at the end of the Union  Government  and  at  the  end  of  the  District,  i.e.  the  unspent balances of a particular year are utilized in the subsequent year (s).

Part  (b):  During  the  11 th   Five  Year  Plan  period  (01-04-2007  to  31-032012), the amount reported to have been spent / utilized by the District Authorities under the MPLADS was as below:

Rajya Sabha MPs: Rs. 2294.18 crore

Lok Sabha MPs: Rs. 5304.32 crore

In the current 12 th  Five Year Plan till now (01-04-2012 to 30-06-2015), the amount  reported to have been spent / utilized by District Authorities under the MPLADS is as below:

Rajya Sabha MPs: Rs. 3122.20 crore

Lok Sabha MPs: Rs. 7740.90 crore

MP-wise  release  and  utilisation  details  as  furnished  by  the  District Authorities  are  available  on  the  official  website  of  the  Ministry  of Statistics and Programme Implementation ( www.mospi.nic.in ).

Part  (c):  There  is  no  stipulation  in  the  Guidelines  on  MPLADS  in respect of bifurcation of funds between rural and urban areas etc.

The benefits by the creation of durable community assets on the basis of locally felt needs are self-evident, which are difficult to quantify.

Part  (d):  Monitoring  mechanisms,  wherein  the  roles  of  the  Central Government,  State  Governments,  District  Authorities  and  Implementing Agencies  are  laid  down,  have  been  prescribed  in  the  Guidelines  on MPLADS.

The  Ministry  of  Statistics  and  Programme  Implementation  regularly reviews the implementation of the MPLADS through national-level review meetings with State Government / District officers and visits to States / Districts. The Ministry also undertakes third party physical monitoring of the MPLADS works in selected districts through independent agencies. In addition, the Comptroller and Auditor General (C & AG) of India conducted Performance Audit of the MPLADS for the period 2004-05 to 2008-09, and submitted its report in 2010-11.

Wherever / whenever violations of Guidelines or irregularities in implementation of the MPLAD Scheme come to notice in the Ministry, the concerned  State  Government  /  District  Authority  is  requested  to  take appropriate action, including penal and departmental action and recovery of MPLADS funds with interest.

The Guidelines on MPLADS stipulate that all recommended eligible works should  be  sanctioned  within  75  days  from  the  date  of  receipt  of  the recommendation, after  completing  all  formalities.  The  District  Authority should,  however,  inform  MPs  regarding  rejection,  if  any,  within  45  days from the date of receipt of recommendations, with reasons thereof. The time-limit  for  completion  of  the  works  should  generally  not  exceed  one year  (it  is  not  feasible  to  prescribe  precise  time-frames  for  all  the different types of works). The Ministry continuously emphasises on the qualitative, rule-bound and speedy implementation of the works under the Scheme. The  Guidelines  are  modified  from  time  to  time  in  order  to  improve  the design and implementation of the Scheme. An integrated MPLADS website has been developed to monitor all critical aspects such as fund release; fund utilisation; implementation of works; etc. The website is hosted at URL: http://164.100.129.134/mplads .

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