FinMin wants CSS to stay within Budget

A cash-strapped finance ministry has laid out strict guidelines for continuing existing schemes in the Twelfth Five Year Plan period and has urged all nodal ministries to consider merging similar schemes in order to ‘avoid wasteful duplication of efforts.’

Written by Surabhi | New Delhi | Published: April 5, 2012 1:26 am

A cash-strapped finance ministry has laid out strict guidelines for continuing existing schemes in the Twelfth Five Year Plan period and has urged all nodal ministries to consider merging similar schemes in order to ‘avoid wasteful duplication of efforts.’

“It is often seen that there is inadequate synergy or a lack of synergy between various ministries,resulting in duplication of efforts and sub-optimal utilisation of government resources. It is important that unnecessary creation of establishment and thin spread of resources is avoided,” the finance ministry has said in a missive to all government ministries on Tuesday.

It has further said that just a change in name or merger of schemes would not be a sufficient reason for their continuation in the Twelfth Five Year Plan period.

Further,heads of ministries must carefully scrutinise each proposal for continuation of a scheme in the five year plan period between 2012-17 to ensure that it falls within the Budgetary allocations.

The nodal ministry must ensure that the States’ share of funding in a Centrally Sponsored Scheme (CCS) does not decrease and also ensure that the scheme’s Budget stays within the outlay approved by Planning Commission.

The finance ministry missive has also asked all ministries to ensure that Aadhar numbers are dovetailed with CSS schemes for identification and authentication.

“Such linkage would need to be built both for new schemes as well as existing schemes,” the internal circular of the department of expenditure in the finance ministry has said. The missive comes at a time when the government is trying hard to rationalise its expenditure in order to fund a fiscal deficit of 5.1 per cent in 2012-13.

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