Members of Parliament Local Area Development Scheme
50% of the funds allocated for projects run under Members of Parliament Local Area Development Scheme remained unutilized till the end of the financial year.
- The Standing Committee on Finance (SCF) has questioned the Finance Ministry over the release of funds for the Members of Parliament Local Area Development Scheme (MPLADS) just a week before the end of the financial year 2020-2021.
- As a result, the remaining unutilized amount will remain unutilized for the next year also.
- Earlier, the government had suspended the MPLADS for two years last year, and used this money for the management of COVID-19.
- This paucity of finance has adversely affected various local area development projects pending under implementation across the country.
About Members of Parliament Local Area Development Scheme (MPLADS)
- It is a central sector scheme. It was started in the year 1993 to enable the Members of Parliament (MPs) to recommend development works in their constituencies.
- The non-lapsed fund entitlement for each parliamentary constituency under MPLADS is Rs 5 crore per annum.
- Initially, the scheme was under the Ministry of Rural Development, but later it was transferred to the Ministry of Statistics and Program Implementation.
Functioning:
- Each elected member of the Lok Sabha gives suggestions for development works in his constituency.
- An elected member of the Rajya Sabha can recommend development works in any district of his state. Nominated member can suggest development work in any one state only.
Source – PIB
