Members of Parliament to get more funds for constituency development

New Delhi, July 7 (ANI): The Union Cabinet today decided to increase the development funds allocated to Members of Parliament under Local Area Development Scheme from the existing two crore to five crore rupees from the current financial year.

Briefing reporters following the meeting, Information and Broadcasting Minister Ambika Soni said that this would entail an increase of 2370 crore rupees from the previous 1580 crore rupees.

"The enhanced total expenditure will amount to 3950 crore rupees," she added.

The Cabinet also approved the annual administrative expenses of two per cent of the annual outlay under MPLAD Scheme to be given to the Districts/States for proper implementation and monitoring of the Scheme. This would be met within the outlay of Rs. five crore per MP per annum.

The MPLAD Scheme was launched in 1993-94. The Scheme enables the Members of Parliament to recommend works for creation of durable community assets based on locally felt needs to be taken up in their constituencies in the area of national priorities namely drinking water, education, public health, sanitation, roads etc.

The Scheme is governed by a set of guidelines, which have been last revised in November, 2005.

As on 31.03.2011, 13.87 lakh works have been recommended by the Members of Parliament, and 12.30 lakh works sanctioned by the District authorities and 11.24 lakhs works have been completed since the inception of the Scheme.

As on 31.03.2011, Rs.22490.57 crore have been released since inception of the scheme and as reported from the districts, an expenditure of Rs.20,454.56 crore has been incurred. The percentage cumulative utilization over cumulative release is 90.95 per cent. (ANI)