Release MPLAD funds for 2023-24 in advance this fiscal, says Parl panel

Though the MPLAD scheme was suspended for two years (2020-21 and 2021-22), it was restored for the remaining part of 2021-22

With the Covid-19 pandemic leading to the suspension of the release of funds under MPLADS and impacting projects, the Parliamentary Committee on Estimates has asked the government to release Rs five crore meant for 2023-24 in this fiscal itself so as to complete unfinished projects.

The panel headed by Girish Bhalchandra Bapat said in its report tabled in Parliament on Monday that MPs have not been able to recommend any new project under MPLADS in 2020-21 and 2021-22 as the scheme was suspended owing to Covid-19.

Though the Member of Parliament Local Area Development (MPLAD) scheme was suspended for two years (2020-21 and 2021-22), it was restored for the remaining part of 2021-22 with the release of Rs 2 crore for each MP in one instalment.

“The Committee strongly desire that as the Covid-19 situation eased, for the present MPs, the MPLADS fund for 5th year (of the government 2023-24) may be released during the 4th year, in advance, in order to enable the MPs to recommend/sanction,” the report said.

Recommending the release of pending instalments of MPLADS funds for 2019-20, the panel said the suspension of the scheme was only for two fiscals but it found out that instalments for 2019-20 were also not released for most of the MPs.

The committee said there were certain sanctioned projects which have been completed or are at the stage of completion but due to the non-release of previous instalments, projects are “unfortunately” being “abandoned mid-way”.

“To overcome this, the Committee now calls upon the government to make appropriate arrangements to release pending instalments of previous years in order to clear the committed liabilities under MPLAD scheme and to help people derive benefits from erstwhile dead/abandoned projects under MPLADS,” it said.

According to the report 102, instalments to be released of MPs of the 17th Lok Sabha in 2019-20 are pending. This includes four Karnataka MPs -- G S Basavaraj, Tejasvi Surya, Ramesh Jigajinagi and Umesh Jadhav -- whose second instalment under MPLADS were pending.

For the 16th Lok Sabha, according to the report, 470 instalments covering Rs 1,175 crore are pending.

The committee also urged the government to close the savings bank account of the predecessor MP linked to MPLAD and transfer the amount into successor MP in a time-bound manner.

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