72 Central schemes set to shrink to 30

A Chief Ministers’ Sub-Group of NITI Aayog has reached a broad consensus on reducing the number of Centrally-sponsored schemes (CSS) from a burgeoning 72 to 30. In a draft report prepared by the panel on Saturday, it has suggested that CSS should be divided into two broad groups. The first — Core Schemes — should comprise national development agenda that includes legislatively-backed schemes such as MNREGA, Swachchh Bharat Mission and Mid-Day Meal. The final list will decided later.

The second is Optional Schemes for social protection and social inclusion. Based on the division of schemes into two parts, the number of CSS would be 30, the draft report said.Further to this, it has suggested that the Centre’s share would not be less than 50 per cent. The panel at the same time has also suggested increasing the share of flexi-funds to 25 per cent from the current 10 per cent. The report was presented to NITI Aayog CEO Sindhushree Khullar by the panel during the meeting.

Kerala Chief Minister Oommen Chandy, however, sought greater share of States in CSS, saying that it should be 75 per cent in Core Schemes. His views were backed by Rajasthan Chief Minister Vasundhara Raje, who also suggested that the fund-sharing pattern of the Core CSS should be 75:25 per cent, rather than the current 60:40.

Accusing the Centre of deviating from the principle of cooperative federalism, Uttar Pradesh Chief Minister Akhilesh Yadav claimed that it had not consulted the States before re-organising the CSS. This move would put additional financial burden on the States, Yadav added.Meanwhile, Madhya Pradesh Chief Minister Shivraj Singh Chouhan, who is the convenor of the Sub-Group, told reporters after the meeting at NITI Aayog that there is a broad consensus on reducing the number of CSS and having two types of schemes.

The recommendations will be finalised by July 5 and consent of all members would be sought before submitting the final report to Prime Minister Narendra Modi.“Some more suggestions have come. I have formed a committee of NITI Aayog officials headed by its CEO. It will deliberate...Prepare a final draft by July 5. After seeking all Chief Ministers’ consent on the draft, the final recommendations will be submitted to the Prime Minister,” said Chouhan.

Saturday’s meeting was attended by the Chief Ministers of Madhya Pradesh, Rajasthan, Kerala, Uttar Pradesh, Jharkhand and Nagaland among others. In each of the identified Core Schemes, ordinarily, Centre will implement the umbrella programme having a large number of components with a uniform funding pattern to suit States’ requirement.

As per the draft report, for general category States, under Core Schemes, Centre and State would share funding in the ration 60:40 per cent. However in schemes where Centre’s share is below 60 per cent, it will remain the same.Under the Optional Schemes for general category States, the funding would be shared equally. But in schemes where Centre’s share is below 50 per cent, it will remain the same.

Meanwhile for 11 special category States under Core Sector scheme, Centre-State sharing will be in the ratio of 90:10 per cent while for optional schemes it would 80:20 per cent, the draft report suggested.The draft report also said that for all projects under CSS in which 30 per cent of the work has been completed, funding should be continued. The sharing pattern under which the project was approved should also continue till March 2017. If the projects remain incomplete even thereafter, the State would have to complete the project using their own funds.

It further added that the schemes in sector including poverty elimination, drinking water, Swachchh Bharat, rural electrification, women and child health nutrition, Housing for All and urban transformation should be give priority for realising ‘Vision 2022’.As per the draft, the rationalisation of schemes and restructure funding patter of CSS should be implemented from 2016-17.

The sub-group was constituted by the Prime Minister in March this year in pursuance of decision taken in the first meeting of governing council of NITI Aayog a month earlier.Members of the Chief Ministers’ Sub-Group include Madhya Pradesh (Convener), Arunachal Pradesh, Jammu & Kashmir, Jharkhand, Kerala, Manipur, Nagaland, Rajasthan, Telangana, Uttar Pradesh and lt Governor of Andaman & Nicobar islands.