Members of Parliament Local Area Development Scheme or MPLADS is also known as Sansad Nidhi Yojana. In the year 2020, the Indian Government suspended the program for a period of two years due to the COVID 19 crisis.


MPLADS, is a government program launched in the year 1993. This central sector program was developed as an initiative to enable parliamentarians to recommend the development work of their constituency areas based on the needs recognized in the region. This development work focuses primarily on national priority areas such as education, drinking water, sanitation, public health and roads. MPLADS, was promoted by the late Prime Minister Narasimha Rao. This program is currently managed by the Ministry of Statistics, but was previously managed by the Ministry of Rural Development.

Key Features of MPLADS

This is a government-sponsored program and the annual funding available to each MP member is 5 crore rupees. The first support under the MPLAD program was Rs 5,00,000 per MP. As of the year 1998-99, ??this amount was increased to 2 crore rupees per MP, the amount currently available for this program has increased to 5 crore rupees per MP.

MP recommendations should be made annually and cost at least 15% of MPLADS entitled in areas where the Scheduled Caste population resides and 7.5% in areas where the ST population resides. A total of Rs 75,00,000 will be provided to build assets for the betterment of the indigenous people. Lok Sabha members must use these funds within the constituency, and Rajya Sabha members must use the funds within the state.

Implementation of MPLADS

The MP must inform the Ministry of Statistics and Program Implementation of the nodal district selection in a given format. A copy of this must be given to the state government and the district judge of the elected district. The Government of India grants an annual right of 5 crore rupees in two instalments.

This amount will be given to the district authorities selected by the relevant parliamentarians. The executing agency should be nominated by the district authorities. The executing agency must be able to perform qualified work in a qualitative, timely and satisfying manner. All recommended work must be approved within 75 days of receiving the recommendation after completing all procedures. However, if the job is not approved within the specified time period, the district administration may notify the MP of the job refusal within 45 days of receiving the recommendation. The program can also be converted into individual / independent projects within the framework of central and state government programs if MPLADS funding requirements are met.

Municipal funds can be pooled in the same way as MPLADS, but funds from other program sources must be used first. MPLADS funds will need to be released later to successfully complete the project. When work is done under the scheme, it should be publicly available to be used.


The Government of India published MPLADS guidelines in the year 2016.  The funds allocated to the MPLADS must be integrated with Khelo India and MGNREGA programs. MPLADS should be used to implement Sansad Adarsh ??Gram Yojana, Accessible India Campaign, Swachh Bharat Mission and Water saving by rainwater system.

Issues related to MPLADS

MPLADS is strongly inconsistent with the division of power. Here the legislature becomes the executor. It deprives district authorities of their decision-making power and has no choice but to accept the project. Comptroller and Auditor General reports that the amount allocated for the settlement has not been used properly. So the main goal of the system is to create assets. However, MPLADS was moving in the direction of asset valuation. Approximately 78% of the projects recommended by MPLADS helped improve existing systems. In the year 2015, approximately 500 million MPLADS funds remained unused by district authorities. Between the years 2014 and 2018, 93.55% of parliamentarians did not use the full amount allocated.