Election FAQs | Who bears the cost of state elections?

With Mizoram and Chhattisgarh(first phase) elections scheduled for November 7, parties in fray have put their best foot forward while campaigning. As the campaigns have come to an end, let us take a look at how the expenditure in elections are monitored and who takes the responsibility of it.

In order to make sure that elections are held in a free and fair manner without the misuse of money and muscle power, the Election Commission of India overlooks, directs and controls Parliamentary as well as Assembly elections in India, including the expenditure incurred in these elections. 

The ECI divides election expenditure into two broad categories: legal expenditure which includes campaigns, public meetings, rallies, advertisements and illegal expenditure which are impermissible like bribery, distribution of money and liquor etc. 

Therefore, as a part of its election expenditure monitoring, the ECI requires election expenditure to be truthfully reported by candidates. 

“Section 77(1) of the Representation of the People Act, 1951 makes it mandatory for every candidate to the House of the People or a State Legislative Assembly, to keep a separate and correct account of all expenditure incurred or authorized by him or by his election agent, between the date on which he was nominated and the date of declaration of the result of election, both dates inclusive. The total of the said expenditure shall not exceed such amount as may be prescribed under Section 77(3) of R.P. Act, 1951.”

It must be noted that a failure to maintain this account is an electoral offence. 

Moreover, within 30 days of declaration of the results, the contesting candidate must “lodge a true copy of the account of his election expenses with the District Election Officer (DEO).”

The Election Commission can even disqualify a candidate disqualify a candidate in case the account is found to be incorrect or untrue. Therefore, a candidate is not only required to maintain their election expenditure within the ceiling provided by the law but also maintain an account of the same. 

What is the poll expenditure limit?

The total expenditure that the Election Commission authorises in connection with n election is given below: