Revised Fund Flow Procedure Under MPLAD Scheme

The Members of Parliament Local Area Development Scheme (MPLADS) Guidelines have been revised to make them simpler to understand, free from ambiguities, dynamic and easy to implement; and to make the MPLAD Scheme more flexible, efficient and effective and to bring it in line with the changing development needs of the community.

The Ministry receives and examines, on a continuous basis, the new suggestions/representations from Members of Parliament and other stakeholders, including suggestions for revision of provisions of MPLADS Guidelines, following due process.

The Revised Fund Flow Procedure came into effect from 01.04.2023 in line with the directions of the Ministry of Finance. Under the Revised Fund Flow Procedure, Members of Parliament will not be required to wait for the actual fund to be released by the Ministry before recommending new projects as they will be allocated annual drawing limits at the beginning of each financial year subject to certain conditions. The entire process of fund flow operates on an IT platform which allows all the stakeholders, including Members of Parliament, the Central and State Govt. agencies, the district authorities etc. to monitor the status of funds and works on real time basis, which facilitate effective implementation of projects under MPLADS and also bring in greater transparency and accountability in the system.

This information was given by the Minister of State (Independent Charge) of the Ministry of Statistics and Programme Implementation, Minister of State (Independent Charge) of the Ministry of Planning and Minister of State in the Ministry of Corporate Affairs, Shri Rao Inderjit Singh in a written reply in the Lok Sabha today.