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Govt Releases XV Finance Commission Grants To Strengthen Rural Local Bodies

BW Online Bureau Nov 05, 2024

Untied grants enable RLBs to address location-specific needs, covering various subjects in the Eleventh Schedule of the Constitution

The Union Government has disbursed grants from the Fifteenth Finance Commission (XV FC) to the rural local bodies (RLBs) of Haryana, Tripura, and Mizoram for the financial year 2024–25, aiming to strengthen rural governance and self-reliance.

Haryana’s rural local bodies (RLBs) have received Rs. 194.87 crore in untied grants as the first instalment from the Fifteenth Finance Commission (XV FC), benefiting 18 eligible District Panchayats, 139 Block Panchayats, and 5,911 Gram Panchayats that met the mandatory requirements.

In Tripura, RLBs were allocated Rs. 31.4 crore in untied grants and Rs. 47.1 crore in tied grants, totaling Rs. 78.5 crore, which will support 1,260 RLBs, including the Tripura Tribal Areas Autonomous District Council (TTAADC), 40 Block Advisory Committees, and 587 Village Committees.

Meanwhile, Mizoram received the second instalment of XV FC grants for FY 2022–23, with Rs. 14.2 crore in untied funds and Rs. 21.3 crore in tied grants, aimed at 834 village councils, including those within the Autonomous District Council areas.

Untied grants enable RLBs to address location-specific needs, covering various subjects in the Eleventh Schedule of the Constitution, except salaries and establishment costs. Tied grants focus on basic services, including sanitation, maintenance of open defecation-free (ODF) status, waste management, and water supply, with an emphasis on sustainable sanitation and drinking water facilities.

The XV FC grants are part of the government’s effort to empower rural local self-governance and promote sustainable development, contributing to Prime Minister Narendra Modi’s vision of “Sabka Saath, Sabka Vikas, Sabka Vishwas, Sabka Prayas.” This funding aims to support inclusive growth and participatory democracy in India’s rural areas.

The grants are recommended by the Ministry of Panchayati Raj and Ministry of Jal Shakti (Department of Drinking Water and Sanitation) and disbursed by the Ministry of Finance in two instalments each fiscal year.