Failure to utilise funds irks DoNER

NEW DELHI, Feb 28: Upset over the failure of the north eastern states to utilise Central funds that left 233 projects incomplete, Ministry, Development of the North Eastern Region (DoNER) has sought personal intervention of the Chief Ministers of the region. Considering the delay in completion of projects under Non Lapsable Central Pool of Resources (NLCPR) Minister DoNER, Mani Shankar Aiyar has written to the Chief Ministers urging their personal attention to expedite completion of the projects, an Action Taken Report (ATR) tabled in the Parliament this week said.

The Minister’s reaction came after the Parliamentary Standing Committee attached to his Ministry lamented that north eastern states could not complete 233 projects within the stipulated time mainly due to delay in utilisation of funds and limited working seasons.

In a damning indictment, the Parliamentary panel said it was not convinced with the argument put forward for the backlog in completion of the projects. “The Committee strongly recommends that the State Governments should strictly adhere to the time schedule,” it reacted.

The oft-repeated claim by the NE states that lack of funds has hit projects flies in the face of the Parliamentary Standing Committee’s report that shows that underutilisation rather than lack of resources is the prime reason for the delay in execution of projects.

As it were, distribution of NLCPR funds has been the bone of contention between the NE states and Ministry, DoNER. A common grouse of the States, clamouring for funds, is that they don’t get enough to complete the project in time. Ministry DoNER complains that delay in receipt of Utilisation Certificate and incomplete Detail Project Reports and wrong prioritisation are the main culprits.

Meanwhile, in the latest ATR submitted before the two Houses of Parliament, the Ministry DoNER has said that it has taken up with the Planning Commission the issue of higher allocation of funds. Discussions are currently going on at the highest level, the report informed.

The Parliamentary Standing Committee that is headed by Sushma Swaraj had earlier expressed concern at the slashing of NLCPR funds almost by half by the Planning Commission. The Ministry had projected Rs 1200 crore for NLCPR, and it got Rs 650 crore instead. The allocations were made on the basis of the projection during the last two years.

It was also noted with concern that the unspent balance was lying with other ministries. It was recommended that the allocation for NLCPR may be increased at the Revised Estimate stage to meet the requirement of various projects projected by DoNER.

It was recommended that allocation may be made from out of the unspent balance of various ministries. It suggested that the Ministry may peruse the matter at the highest level for early release of funds.

The Central Government was called upon to consider making budgetary allocation to the Ministry DoNER according to its requirements, so that the projects undertaken should not remain incomplete for want of funds.

The Parliamentary panel expressed its dismay, when it commented that it felt that the Ministry’s attempt to change the norms according to the condition of the region has not yielded the desired results. More ‘vigorous efforts’ need to be made by the Ministry DoNER so that more ministries and departments change their norms in respect of their flagship programmes and spend the allocated amount in the North-east.

The ATR said that the issue was taken up with various ministries whose unspent balance forms major part of the NLCPR, to amend norms for incurring expenditure on their flagship programmes, according to condition of the region, to ensure utilisation of their 10 per cent Gross Budgetary Support in the north eastern region.

Source: Assam Tribune