MPLADS

MPLADS is Members of Parliament Local Area Development Scheme. It is also called Sansad Nidhi Yojana. In 2020, the Government of India suspended the scheme for two years, that is till 2022 due to COVID-19 crisis.

What is MPLADS?

The MPLADS Scheme was launched in 1993. The scheme enables the parliament members to carry out developmental works in their constituencies. These developmental works are manly focused on public health, drinking water, sanitation, roads, etc. It was launched by the then Prime Minister of India Narasimha Rao. First it was implemented by the Ministry of Rural Development and then by the Minister of Statistics.

What are the key features of MPLADS?

• Under the scheme, the MPs are provided with five crores of rupees every year. In 1998, it was five lakhs of rupees. It was then increased to two crores and then finally to five crores.
• The MPs should use at least 15% of the MPLAD fund in the areas with a greater number of Scheduled Castes and Scheduled Tribes.
• The Lok Sabha members shall use these funds within their constituency and the Rajya Sabha members shall use the funds in the state.

How is MPLADS implemented?

First the MP (Member of the Parliament) provides his choice of district to the implementing ministry. A copy of the choice is sent to the chosen district magistrate and the state government. The Government of India then releases the amount. The amount is released in two instalments. The amount is directly sent to the district authority.

What are the Guidelines to implement MPLADS?

The Government of India released MPLADS Guidelines in 2016. Here are a few guidelines:

• The MPLADS Funds allocated should be converged with MGNREGA and Khelo India scheme.
• The MPLADS Should be used to implement the following schemes:
  • Sansad Adarsh Gram Yojana
  • Swachh Bharat Mission
  • Accessible India Campaign
  • Water Conservation using rainwater systems

Why was MPLADS suspended?

• The MPLADS is highly contrary to separation of powers. Here the legislators become the executors. It takes away the decision-making powers of district authorities. They have no other way but to accept the projects.
• According to Comptroller and Auditor General report, the amount allocated for the scheme is underused. That is, the main objective of the scheme is asset creation. But the MPLADS was moving towards asset upgradation. Around 78% of the projects recommended under MPLADS were for improving the existing assets.
• As of 2015, around five thousand crores of MPLADS funds were lying unspent with the district authorities. Between 2014 and 2018, 93.55% of the MPs did not use the entire sum allocated to them.