The Union Cabinet today approved the proposal to increase the annual allocation under MPLAD Scheme from Rs.2 crore to Rs. 5 crore to each Member of Parliament with effect from the Financial Year 2011-12.
The enhanced annual allocation involves a total annual expenditure of Rs.3950 crore i.e. an enhancement of Rs.2370 crore per annum from the earlier Rs. 1580 crore per annum.
The Cabinet also approved the following :
Annual administrative expenses of 2% of the annual outlay under MPLAD Scheme to be given to the Districts/States for proper implementation and monitoring of the Scheme. This would be met within the outlay of Rs.5 crore per MP per annum, and
An additional annual allocation of Rs. 5 crore to the Ministry of Statistics & Programme Implementation towards monitoring through independent agency(ies) and for capacity building/training to State/District officials to be imparted by the Ministry.
The augmentation in the annual allocation of MPLAD Scheme will result in better fulfilment of the needs of the people and create more durable community assets based on locally felt needs.
Background
The MPLAD Scheme was launched in 1993-94. The Scheme enables the Members of Parliament to recommend works for creation of durable community assets based on locally felt needs to be taken up in their constituencies in the area of national priorities namely drinking water, education, public health, sanitation, roads etc. The Scheme is governed by a set of guidelines, which have been last revised in November, 2005.
As on 31.03.2011, 13.87 lakh works have been recommended by the Members of Parliament, and 12.30 lakh works sanctioned by the District authorities and 11.24 lakhs works have been completed since the inception of the Scheme. As on 31.03.2011, Rs.22490.57 crore have been released since inception of the scheme and as reported from the dstricts, an expenditure of Rs.20,454.56 crore has been incurred. The percentage cumulative utilization over cumulative release is 90.95%.
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