Utilisation of Funds by PRIs

                The development grant component of the Backward Regions Grant Fund (BRGF), administered by the Ministry of Panchayati Raj, is implemented by the Panchayats and the Municipalities. Fund under the Development Grant Component is apportioned among the 250 identified backward districts as per the following norms:

(i) Rs. 10 crore per annum per district is provided as the basic minimum allocation.

 (ii)The balance allocation is distributed by giving equal weight to the population and area of the district in the total population and area of all the 250 backward districts.

             

               The State Governments are required to determine the norms for further allocation of this BRGF fund to the Panchayats and theMunicipalities in the districts.  The detailed guidelines of the Programme for utilization of BRGF fund are available in the website of the Ministry, namely, www.panchayat.gov.in.

 The fund under the BRGF Programme has not been utilized fully by the Panchayati Raj \ Institutions in many States including Maharashtra. State-wise details of funds released and
utilized under the BRGF are at Annex.

 The main reasons for slow pace of utilization of BRGF fund are as follows: –

 (i) Delayed release of funds by the States to the implementing entities i.e. Panchayats and Municipalities.

 (ii)Delay in receipt of the Annual Plans of the districts.

 (iii)Good performing Panchayats and Municipalities have to wait for the release of funds till the whole district reaches the minimum required level of expenditure.

 

                The Ministry of Panchayati Raj insists on submission of Utilization Certificates and Expenditure Progress Reports for a certain percentage of the released amounts before sanctioning the second or subsequent installments of the grant. The Ministry is regularly monitoring and exhorting the State through written communications, video conferencing and meetings to expedite utilization of the funds.  The Ministry has also decided to impose penal interest on the States for delay in transfer of BRGF funds to the implementing entities beyond 15 days.

  

 Budget Estimates (BE) for the 250 identified districts under BRGF, which stood at Rs. 4670 crore for 2009-10, is proposed to be enhanced toRs. 5050 crore for 2010-11.  The amount to be available to Maharashtra would depend on its performance.

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                                                                                                       -2-

Status of Entitlement,Releases and Utilisation of Development Grant Under BRGF (Status on 09-03-2010)

      Amount Rs. in crore

Sl

No.

State

Annual

Entitlement

from

2007-08 to

2009-10


2006-07

         2007 -08
                                        

      2008-09

      2009-10

 

 

 

Release

Utilisation

 Release

Utilisation

 Release

Expenditure/ Utilisation

Release

Expenditure/ Utilisation

1

Andhra Pradesh

335.3

 

 

301.9

301.9

250.4

249.1

335.3

193.0

2

Arunachal Pradesh

14.5

 

 

0.0

0.0

11.1

9.8

11.8

0.0

3

Assam

157.2

 

 

60.0

48.1

53.2

3.5

56.0

0.0

4

Bihar

603.0

 

 

538.2

538.2

421.6

346.3

488.7

63.9

5

Chhattisgarh

235.5

 

 

224.9

224.9

192.5

188.4

207.6

78.0

6

Haryana

28.4

 

 

25.6

25.3

22.5

16.5

19.4

0.0

7

Himachal Pradesh

28.5

 

 

25.7

25.7

21.5

21.5

25.7

0.0

8

Gujarat

101.3

 

 

0.0

0.0

0.0

0.0

91.2

0.0

9

JammuAnd Kashmir

45.9

 

 

0.0

0.0

40.8

0.0

0.0

0.0

10

Jharkhand

322.6

 

 

0.0

0.0

290.3

197.2

209.2

0.0

11

Karnataka

103.2

 

 

84.5

84.5

0.0

0.0

94.9

0.0

12

Kerala

32.3

 

 

21.2

14.3

0.0

0.0

22.2

0.0

13

Madhya Pradesh

428.4

20.0

20.0

378.4

373.3

300.4

222.3

305.8

0.0

14

Maharashtra

253.6

 

 

0.0

0.0

0.0

0.0

228.2

0.0

15

Manipur

39.1

 

 

34.7

31.4

10.0

5.6

27.7

0.0

16

Meghalaya

37.0

 

 

0.0

0.0

33.6

21.4

21.1

0.0

17

Mizoram

23.0

 

 

19.2

15.6

0.0

0.0

19.3

0.0

18

Nagaland

37.1

 

 

31.9

31.9

30.3

30.3

37.0

12.7

19

Orissa

305.7

 

 

262.7

260.8

227.8

177.8

200.4

23.9

20

Punjab

15.7

 

 

0.0

0.0

0.0

0.0

14.1

0.0

21

Rajasthan

251.0

 

 

300.9

295.6

183.5

76.9

109.3

0.0

22

Sikkim

13.0

 

 

0.0

0.0

11.7

9.1

10.9

0.0

23

Tamil Nadu

108.0

 

 

0.0

0.0

97.2

62.6

62.1

0.0

24

Tripura

12.2

 

 

0.0

0.0

11.0

7.7

7.7

0.0

25

Uttar Pradesh

602.1

 

 

0.0

0.0

541.7

535.7

559.6

280.6

26

Uttarakhand

41.9

 

 

0.0

0.0

0.0

0.0

0.0

0.0

27

West Bengal

244.9

 

 

187.3

183.0

142.6

82.4

158.7

10.2

 

ForTechnical Support#

 

 

 

25.0

 

 

 

 

 

TOTAL

4420.0

20.0

20.0

2521.9

2454.5

2893.6

2264.0

3323.8

662.3

 

# States were provided funds @ Rs. 10 Lakh per BRGF District to engage Technical Support Institutions (TSIs)  for preparation of District Plans.

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ST/-

(Release ID :61838)