MPLAD Scheme

Why in news

• Citing economic recovery, the Union Cabinet on 10^th November 2021 restored the Members of Parliament Local Area Development Scheme (MPLADS) that was suspended in April 2020 subsuming the funds for the scheme in the consolidated fund of India.

What is MPLAD scheme?

• Under the MP Local Area Development Scheme (MPLADS), each MP has the choice to suggest to the District Collector for works to the tune of Rs.5 Crores per annum to be taken up in his/her constituency.
• It is a Central Sector Scheme

Who can recommend?

• Lok Sabha Members can recommend works in their respective constituencies
• The Rajya Sabha Members can recommend works in one or more districts in the State from where he/she has been elected.
• The Nominated Members of the Lok Sabha and Rajya Sabha may select any one or more Districts from any one State in the Country for implementation of their choice of work under the scheme.
• Elected MPs can also recommend work of upto Rs. 25 lakhs per year outside their constituency or state of election to promote national unity, harmony and fraternity.

Implemented by:

• The scheme is under the Ministry of Statistics and Programme Implementation.
• District Collector/District Magistrate/Deputy Commissioner is generally the District Authority to implement MPLADS in the district.

Non-Lapsable Funds

• Funds released to the District Authority by the Government of India are non-lapsable.
• Funds left in the district or not released by Government of India can be carried forward for utilization in subsequent years

Guidelines:

• The sum can be spent only on creating permanent structures and not on perishables.
• Infrastructure and development works, with an emphasis on creation of durable assets in the constituency are permissible under MPLADS.
• According to the given guidelines, out of Rs.5 crores a M.P. shall recommend Rs.75 lacs for areas inhabited by S.C. population and Rs.37.5 lacs for areas inhabited by S.T. population.
• In case there is insufficient tribal population in the area of Lok Sabha Member, they may recommend this amount for the creation of community assets in tribal areas outside of their constituency but within their State of election.
• In case a State does not have S.T. inhabited areas, this amount may be utilized in S.C. inhabited areas and vice-versa.
• This scheme can also be converted into individual/stand-alone projects under the Central and State Government schemes provided they meet the eligibility conditions of MPLADS.

Add ons:

• Funds for MPLADS can be converged with Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) for creating more durable assets and with National Program for Development of Sports (Khelo India).
• Infrastructure development on land belonging to registered societies/ trusts is permissible, provided the society/trust is engaged in social welfare activity, and is in existence for three years.

PRELIMS QUESTION

Which of the following statements is/are correct regarding ‘Members of Parliament Local Area Development Scheme (MPLADS)’?

1. The annual funding per MP under the scheme is Rs.20 crore.

2. Funds for MPLADS can be converged with Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) for creating assets.

Select the correct answer using the code given below:

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Answer