Restructuring of Central Schemes soon

Published: 21st June 2013 09:23 AM  |   Last Updated: 21st June 2013 09:23 AM   |  A+A-

In a move to provide more flexibility to state governments for proper implementation of centrally-sponsored schemes, the Centre on Thursday decided to merge them in 66 schemes and allow 10 per cent flexibility to the states.

The Union Cabinet meeting chaired by Prime Minister Manmohan Singh approved the proposal of the Planning Commission to restructure all the centrally-sponsored schemes into 66 schemes.

These include 17 flagship programmes with significant outlays for major interventions required in health, education, irrigation, urban development, infrastructure, including rural infrastructure and skill development.

To suit the requirements of the states, the Cabinet has also approved that a scheme may have state specific guidelines which may be recommended by an Inter-Ministerial Committee constituted for this purpose. Besides, the financial assistance to the states in these schemes would be provided through the consolidated funds of the states.

Briefing on the decisions of the Cabinet, Deputy Chairman of the Planning Commission Montek Singh Ahluwalia said though work on the restructured schemes would begin this year, the bulk of it would come only from the next financial year. “The states had been complaining that the guidelines of centrally-sponsored schemes were rigid. We have now made the guidelines more flexible and given 10 percent flexibility to the states in the implementation of such schemes,” he said.

Ahluwaia pointed out that it means of the Rs 1.86 lakh crore, the government spends on the centrally-sponsored schemes, around Rs 18,700 crore would be available to the states to be spent at their discretion.

Finance Minister P Chidambaram, in his Budget speech, had stated that the Centre is concerned about the proliferation of centrally sponsored schemes and that each scheme would be reviewed and restructured.

Earlier, the NDC, while approving the 12th plan, had also recommended building flexibility in the schemes to suit the requirements of the state governments.

Stay up to date on all the latest Nation news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp