Rs 100 crore: Why a third of Delhi’s MPLAD funds is still unutilised
The MPLAD funds are released by the central government only after the Parliamentarian send their demands. Once that is done, the funds are allocated to the district administration to execute the works.
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Chandni Chowk MP Harsh Vardhan recommended 364 projects but only 98 were completed. (Express Archive) In the last 10 years, Lok Sabha members elected from Delhiās seven constituencies have not utilised Rs 100 crore from their entitled Rs 311.5 crore funds under the Members of Parliament Local Area Development (MPLAD) scheme. The Parliamentarians were unable to avail Rs 81 crore from the central government while they failed to spend Rs 19.75 crore that was dispersed by the government.
The MPLADS is a scheme that was set up by the Centre in 1993 to enable MPs to recommend developmental works for creation of assets and amenities in sectors such as drinking water, primary education, public health, sanitation and roads. Each MP is entitled to Rs 5 crore annually, released in two equal instalments. This means that the MPs have Rs 25 crore at their disposal, which are to be spent over five years. However, the period of 2019-2024 saw the entitlement of the MPs reducing from Rs 25 crore to Rs 17 crore due to Covid pandemic.
During the last 10 years, every MP representing the seven Delhi constituencies has been from the ruling Bharatiya Janata Party (BJP).
How does the scheme work?
An official responsible for the functioning of MPLAD funds said that, in principle, the MPs are entitled to get Rs 5 crore per year. However, they have to approach the district administration and provide them with information about the projects they want to pursue under the MPLAD scheme. The district administration then approaches the Ministry of Statistics and Programme to execute the recommended projects so that the funds under the scheme are released.
The MPLAD funds are released by the central government only after the Parliamentarian send their demands. Once that is done, the funds are allocated to the district administration to execute the works. Each MP has an exclusive account with the ministry where they can keep track of the progress of the work on their MPLAD-funded project. The MPs also have to provide a monthly progress report (MPR) of the project, failing which the money is not released. If the MP recommends work and the district administration is not able to complete it, the money remains unutilised and is transferred to the next financial year.
How have Delhi MPs fared in the last 10 yrs?
In the 16th Lok Sabha elected in 2014, the total entitlement for seven MPs in Delhi was Rs 187.5 crore, out of which they received Rs 185 crore while Rs 2.5 crore remained unreleased. Out of the amount that they received, the MPs were not able to spend Rs 16.82 crore on any project.
In the 17th Lok Sabha, elected in 2019, the entitlement was Rs 124 crore out of which the MPs managed to get only Rs 45.5 crore while Rs 78.5 crore remained unreleased. Out of the amount that they received, the MPs could not spend Rs 2.93 crore on any of the projects.
The MPs received only Rs 17 crore from 2019-2024 due to the Covid pandemic and the fund disbursal remained suspended from April 6, 2020 to November 9, 2021; no funds were allocated to the scheme for financial year 2020-21. For the remaining period between November 10, 2021 and March 31, 2022, Rs 2 crore was allocated under the scheme to each MP.
Data shows that a majority of the works recommended by the MPs in the 17th Lok Sabha (2019-2024) remained incomplete and the total entitlement stayed unutilised. While the MPs were entitled to get Rs 124 crore, they only received Rs 45.5 crore. The reason given by the Ministry of Statistics and Programme on its website shows that the monthly progress report of the projects were not provided by the MPs and thus, the pending amount wasnāt released. Out of Rs 45.5 crore, Rs 2.93 crore wasnāt spent. Thus, several projects were left incomplete.
For instance, Chandni Chowk MP Harsh Vardhan recommended 364 projects but only 98 were completed, according to data from sansad.in. Despite this, Harsh Vardhan had the highest number of works recommended and projects completed. The North West Delhi MP, Hans Raj Hans, followed him with 154 recommended projects out of which 47 projects were completed. (Details shown in graph)
The least number of works recommended and works completed were by East Delhi MP Gautam Gambhir (2019-2024). He recommended 48 works and only 12 were completed. Northeast Delhi MP Manoj Tiwari also had only 12 works completed out of the total 70 recommended works. Tiwari is the only candidate in Delhi who has been given ticket by the BJP again to contest from Northeast Delhi.
An official involved in the implementation of the MPLAD scheme said that an MP’s initiation and active participation is required so that they propose developmental projects, ensure that the funds are released and then actively monitor the projects so that they are completed. Otherwise, the money isnāt disbursed, the official added.
āThe rule says that you have to propose your set of demands to the Centreās Ministry of Finance (Department of Expenditure) for the set projects, without which money will not be disbursed,ā the official said.
As per the details available on MPLADS.GOV.IN, a majority of projects that were proposed by BJP MPs in 2024 remained unsanctioned. Some of these projects included installation of CCTV cameras, development of public parks, multi-gym equipment, playfield, and sports grounds.
Guidelines say that the minimum amount sanctioned under the MPLAD scheme for any individual work will normally be not less than Rs 2.5 lakh. However, if the implementing district authority is of the considered view that the work of lesser amount will be beneficial to the public at large, it may sanction the same for reasons to be clearly recorded in the sanction letter.
When asked about unutilised funds, a senior BJP leader from the party’s national unit alleged that the figures had not been updated due to the lack of initiative from government agencies concerned in Delhi.
āEach MP’s office has the exact details of the fund utilisation over the last 10 years; this was supposed to be supplied to be updated on the portal but has not been done,ā the leader added.
MPLADS funds can be used for creation of immovable public assets on government-owned land, and movable public assets for government-owned and government-controlled institutions only, i.e. the Central, State/UT and local governments, including government-aided institutions.
MPLADS funds released to the district administration by the Union government do not lapse and are carried forward to the next financial year or the next MP from a constituency.
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