State Disaster Relief Fund eased by Prime Minister to help States

PM Modi in the recent meet with chief ministers have eased the norms for State Disaster relief Fund. The meeting was with the chief ministers of seven states including Tamil Nadu, Punjab, Maharashtra, Andhra Pradesh, Karnataka, Delhi and Uttar Pradesh, that have been severely affected from the covid-19 virus. More than 63% of active cases of covid-19 are concentrated in these seven States.

Key Facts

  • Prime Minister announced that the limit of use of state disaster response fund (SDRF) is being increased from 35 % to 50%.
  • The increased limit would will help the states in developing covid-19 related infrastructure.
  • In March this year,  the Government of India had declared covid-19 as a notified disaster under disaster management Act 2005.
  • This was done to help the states to use the State disaster response Funds for covid-19 relief measures.
  • Apart form Covid-19, there are 13 disasters covered under the act for which the disaster response funds can be used-  landslides, earthquakes, cyclone, hailstorm, drought, fire, pest attacks, Tsunami, Avalanche, Frost,  cloudburst and cold waves.

State Disaster Response Fund (SDRF)

On the recommendations of 13th finance commision, SDRF was constituted under disaster management Act, 2005. The Government of India allocates 75% of SDRF to the states and 90% for special category states annually. The disbursement of the fund for a state is based on the Recommendation of the finance commission. Apart form that, the ministry of home affairs is empowered to release 25% of the central share in case of emergency. The fund is audited by the Comptroller and Auditor General of India every year.