News Highlight
- As Gujarat Assembly tenure ends, 1/4th of MLA Local Area Development (LAD) fund unspent, set to lapse.
Key Takeaway
- According to state government figures from the General Administration Department, only Rs 803.98 crore of the total MLA LAD funds allocated between 2017-18 and 2022-23 have been spent.
MLA Local Area Development Funds (LAD)
- What is MLA-LAD Fund?
- Members of Legislative Assembly Local Area Development Funds (MLA-LAD) are constituency development funds provided by India’s states to their MLAs.
- Each MLA can use their Fund for small development projects in their constituency.
MLAs Local Area Development Scheme(MLALADS)
- From 2000-01, the government implemented the MLAs Local Area Development Scheme, which allowed MLAs to recommend small capital development projects and to remove regional imbalances in development.
- This scheme is implemented in both rural and urban areas of a state.
- MLAs receive no money under this scheme. Instead, the government transfers it directly to the respective local authorities.
- Under the scheme, each MLA has the option of recommending to the Deputy Commissioner of their district, to the extent of allocations given from year to year, that their constituency is taken up.
- Important Features
- Developmental work with a local focus should be the norm for this programme.
- The job should be done so that it can be finished in a single fiscal year and produce long-lasting assets.
- A minimum of 10% of the funds should be used for the state’s jobless youth to get training and capacity building.
- The work accepted under MLALADS shall never be less than Rs. 1 lakh.
- Works that may be taken up under MLALADS
- Construction of buildings for schools, hostels, libraries and other facilities of educational institutions belonging to the government.
- Construction of village roads, bridges, public irrigation channels and public drainage schemes.
- We are providing drinking water to the people in the area by digging tube wells.
- Construction of public health care buildings, public toilets and bathrooms, footpaths, pathways and footbridges.
- Construction of common gobar plants and non-conventional energy systems/devices for community use.
- Bus Sheds/Stops for public transport passengers.
- Social forestry, farm forestry, horticulture, parks and gardens in government and community land.
Member of Parliament Local Area Development Funds (MP-LAD)
- About
- The MPLAD scheme was established in 1993.
- MPLAD allows Members of Parliament (MPs) to recommend development projects in their constituencies, focusing on creating long-term community assets based on locally perceived needs.
- The Ministry of Rural Development and Planning initially oversaw the Scheme.
- The scheme was transferred to the Ministry of Statistics and Programme Implementation in October 1994.
- Every MP can spend Rs 5 crore per year under this scheme.
- Issues with the MP-LADS Scheme
- Insufficient monitoring of sanctioned works
- Inconsistency with the Doctrine of Separation of Powers
- Implementation Lapses
- The MPLAD Scheme is not governed by any statutory law and is subject to the government’s whims and fancies.
Way Forward
- Lapsable funds can pressure MPs and MLAs for optimum utilisation and prevent the accumulation of unutilised funds.
- Improved transparency and oversight of funds spent and approved projects
- The scheme can be more inclusive by allowing citizens to vote on which MLA-LAD should fund projects.
Pic Courtesy: freepik
Content Source: Indian Express