Chief Minister Siddaramaiah at a pre-budget meeting with farmers in Bengaluru on Tuesday Photo | Express
Karnataka

Karnataka may trim guarantee scheme outlay as Siddaramaiah targets ineligible beneficiaries

With opposition attacking spending priorities, the Congress government is tightening eligibility across welfare schemes, a move that could lower allocations in the upcoming state budget under Siddaramaiah.

Ashwini M Sripad

BENGALURU: With the state government at the receiving end of opposition barbs for spending large amounts on guarantee schemes and allegedly ignoring development projects, Chief Minister Siddaramaiah may reduce the allocation on these poll promises in the upcoming budget. He will do that by cutting down the number of beneficiaries not eligible for the schemes.

Soon after coming to power in 2023, the Congress government implemented the guarantee schemes. In the supplementary budget that year, Siddaramaiah had allocated Rs 35,410 crore for eight months. In 2024-25, the fund was Rs 56,000 crore and in 2025-26 (the current financial year), it is around Rs 51,000 crore. As the government has removed a number of beneficiaries from different schemes for not meeting the eligibility criteria, the allocation in the budget is expected to be lesser compared to previous years.

Now, 70-75 lakh women use free buses under the Shakti scheme every day. Transport Minister Ramalinga Reddy told The New Indian Express that they are streamlining to bring accountability and transparency. That is the reason at the recent cabinet meeting, they approved a smart card for Shakthi scheme beneficiaries. “This will prevent the use of fake documents. At some places, even men are being issued free tickets by conductors, burdening the government. With the smart card, we can allow only eligible beneficiaries to get the benefits,” he said.

Under the Anna Bhagya scheme, the government is providing groceries to 4.21 crore beneficiaries. But over the last few months, the Food and Civil Supplies Department has started weeding out bogus card holders. Minister KH Muniyappa recently said that 20% of card holders are not eligible and the government removed close to 4 lakh card holders. The department has also restructured the scheme replacing 5 kg rice with tur dal, sugar, salt and oil, which has reduced the expenses drastically.

‘Final decision after discussions’

Sources in the Women and Child Welfare Department said they too are streamlining the Gruha Lakshmi scheme, in which women heads of family get Rs 2,000 every month. “In 2023, over 1.3 crore women had registered. Later, it was found that many beneficiaries were paying income tax or their spouses were IT payers, which is against the rules. Also, a large number of beneficiaries are dead, but the money continues to be credited into their accounts.

The government is now planning to introduce life certificates similar to pensions. It will help us save crores,” sources said. Under Yuva Nidhi, youngsters can get money only for two years after graduation, but many continue to receive funds even three years after getting out of college, while some are also working.

There are issues with Gruha Jyothi, the free power scheme, too. A senior government official said there have been multiple suggestions to reduce the amount allocated for guarantee schemes. “While some ineligible beneficiaries are removed, some continue to get added. No final decision has been taken yet. We will have clarity after a couple of rounds of discussion,” the official added.

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