The village panchayats of Goa have recently come under the spotlight as they received funds from the Members of Parliament Local Area Development Scheme (MPLADS). However, owing to the Covid-19 pandemic, this scheme is presently undergoing a suspension. It is important to note that the disbursed funds were allocated earlier, prior to the current suspension.
MPLAD Scheme: An Overview
The MPLAD scheme is a Central Sector Scheme introduced in December 1993. Initially, it rolled out under the Ministry of Rural Development’s control before transitioning to the Ministry of Statistics and Programme Implementation in October 1994.
Functioning of the MPLAD Scheme
Each year, MPs receive Rs. 5 crore in two equal instalments of Rs. 2.5 crore. The MPLAD Scheme’s funds do not lapse, providing continuity of support. Lok Sabha MPs have a mandate to recommend projects in their respective constituencies to district authorities, while Rajya Sabha MPs spend it in the state from which they are elected. Nominated members from both Houses can recommend works anywhere in the country.
Priority Projects Under MPLAD Scheme
The focus of the MPLAD Scheme is on asset building, including enhancing drinking water facilities, primary education, public health sanitation, and roads. From June 2016, these funds became applicable for executing schemes such as Swachh Bharat Abhiyan, Accessible India Campaign (Sugamya Bharat Abhiyan), conservation of water through rainwater harvesting, and Sansad Aadarsh Gram Yojana.
Criticism Faced by MPLAD Scheme
Despite its objectives, the MPLAD scheme has faced criticism on several fronts. The Comptroller and Auditor-General of India (CAG) has flagged financial mismanagement instances and artificially inflated expenditure figures. The scheme is not bound by any statutory law, leading to concerns about the government’s influence on its operations.
Monitoring and Regulation Issues
The MPLAD Scheme aimed to promote participatory development. However, the absence of indicators to measure participation levels raises questions about its effectiveness and transparency. Critics argue that the scheme breaches federalism by stepping onto local self-governing institutions’ turf, thus violating Parts IX and IX-A of the Constitution.
Conflict With Doctrine of Separation of Powers
Another critique is against MPs carrying out executive functions which may be seen as a conflict with the doctrine of separation of powers.
Debate Over Constitutionality
The constitutionality of the MPLAD scheme has been debated at various forums. For instance, the National Commission to Review the Working of the Constitution in 2002 recommended discontinuing the MPLAD scheme, arguing it contradicts the spirit of federalism and power distribution between the centre and states. Similarly, the 2nd Administrative Reforms Commission’s report on “Ethics in Governance” in 2005 expressed concerns over the erosion of separation of powers.
However, in a 2010 judgement, a five-judge bench of the Supreme Court ruled that there was no violation of the concept of separation of powers as MPs only play a recommendatory role and the execution is carried out by Panchayats and Municipalities, both of which belong to the executive organ.
