MPLADS

In News: the Union Finance Ministry has ordered revised rules for the scheme, under which the interest that the fund accrues will be deposited in the Consolidated Fund of India

• So far, the interest accrued on the fund used to be added to the MPLADS account and could be used for the development projects.

Member of Parliament Local Area Development Scheme (MPLADS)

• It is a Central Sector Scheme which was announced in December 1993.
• To enable MPs to recommend works of developmental nature with emphasis on the creation of durable community assets primarily in their Constituencies

Implementation

• The process under MPLADS starts with the Members of Parliament recommending works to the Nodal District Authority.
• The Nodal District concerned is responsible for implementing the eligible works

Funding

• Each year, MPs receive Rs. 5 crore in two installments of Rs. 2.5 crore each.
• Funds under MPLADS are non-lapsable.
• Lok Sabha MPs have to recommend the district authorities projects in their Lok Sabha constituencies, while Rajya Sabha MPs have to spend it in the state that has elected them to the House.
• Nominated Members of both the Rajya Sabha and Lok Sabha can recommend works anywhere in the country.

Guidelines for MPLADS implementation

• The document ‘Guidelines on MPLADS’ was published by the Ministry of Statistics and Programme Implementation in June 2016
• It recommended MPs to recommend works in the area with at least 15 per cent of their entitlement for the year for areas inhabited by Scheduled Caste population and 7.5 per cent for areas inhabited by ST population.
• According to the Guidelines MPLAD funds can also be used for implementation of the schemes such as Swachh Bharat Abhiyan, Accessible India Campaign (Sugamya Bharat Abhiyan), conservation of water through rain water harvesting and Sansad Aadarsh Gram Yojana, etc.
• The district authority must inspect at least 10% of all works under implementation every year.

Source: Hindustan Times

Previous Year Question

Q.1) With reference to the funds under Members of Parliament Local Area Development Scheme (MPLADS), which of the following statements are correct? (2020)

1. MPLADS funds must be used to create durable assets like physical infrastructure for health, education, etc.
2. A specified portion of each MP’s fund must benefit SC/ST populations.
3. MPLADS funds are sanctioned on yearly basis and the unused funds cannot be carried forward to the next year.
4. The district authority must inspect at least 10% of all works under implementation every year.

Select the correct answer using the code given below:

1. 1 and 2 only
2. 3 and 4 only
3. 1, 2 and 3 only
4. 1, 2 and 4 only