Central Government Allocates Over ₹562 Crore to Empower Rural Local Bodies in Punjab, Uttarakhand, and Chhattisgarh
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Synopsis
The Central government has released substantial grants to enhance rural governance in Punjab, Uttarakhand, and Chhattisgarh. This funding aims to fortify grassroots democracy through improved local bodies and targeted services.
Key Takeaways
- Punjab received over ₹225 crore
- Chhattisgarh allocated over ₹244 crore
- Uttarakhand granted over ₹93 crore
- Focus on grassroots democracy
- Funding for various local governance structures
New Delhi, Feb 18 (NationPress) The Central government on Tuesday allocated the 15th Finance Commission grants (financial year 2024–25) aimed at enhancing rural local bodies in Punjab, Uttarakhand, and Chhattisgarh to further solidify grassroots democracy.
Punjab was granted over ₹225 crore, while Chhattisgarh received over ₹244 crore, and Uttarakhand was allocated over ₹93 crore to enhance rural governance.
The Ministry of Panchayati Raj stated, "For the rural local bodies of Punjab, the initial installment of untied grants totaling ₹225.1707 crore has been disbursed. These funds are designated for the 13,144 eligible Gram Panchayats, 146 eligible Block Panchayats, and all of the 22 eligible District Panchayats within the state."
The grants for Chhattisgarh's rural local bodies represent the second installment of Untied Grants for the Financial Year 2024–25, amounting to ₹237.1393 crore, alongside the previously withheld first installment of ₹6.9714 crore.
These funds are intended for 11,548 eligible Gram Panchayats, all eligible 146 Block Panchayats, and all eligible 27 Zila Panchayats of the state.
"For Uttarakhand, the first installment of Untied Grants worth ₹93.9643 crore has been released. These funds will support 7,769 eligible Gram Panchayats, all eligible 995 Block Panchayats, and all eligible 13 Zila Panchayats of the state," the ministry announced.
The Untied Grants will be utilized by Panchayati Raj Institutions/ Rural Local Bodies for addressing location-specific needs, as per the 29 subjects outlined in the Eleventh Schedule of the Constitution, excluding salaries and establishment costs.
The Tied Grants can be allocated towards essential services such as sanitation and maintaining Open Defecation Free (ODF) status, which includes managing household waste, human excreta, and faecal sludge management, alongside providing drinking water, rainwater harvesting, and water recycling.
The 16th Finance Commission was established on December 31, 2023, with Arvind Panagariya, former Vice-Chairman of NITI Aayog, serving as its Chairman. Officials indicated that the recommendations from the 16th Finance Commission will be released by October 31, 2025, covering a five-year award period starting from April 1, 2026.
