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Govt mulls raising MPLAD fund to Rs 1 crore

Last Updated: Friday, November 30, 2012 - 15:16

New Delhi: The government is considering raising the limit of money MPs can spend from the Local Area Development fund on education institutions to Rs 1 crore, the Rajya Sabha was informed on Friday.

While there is no limit for MPLAD funds being spent on government schools, Rs 50 lakh in a year can be provided for private or NGO-run educational institutions, Minister for Statistics and Programme Implementation Srikant Kumar Jena said during Question Hour.

Besides, there is a limit of Rs 25 lakh per private/NGO- run education institution, he said adding two House panels have recommended raising doubling of the limits to Rs 1 crore and Rs 50 lakh respectively in a year.

"We are considering that and very soon we will take a call," Jena said.

He said MPLADS fund cannot be used for creating any asset for commercial use. "Movable assets like Porta Cabins are not allowed for any purpose under MPLAD Scheme," he said.

The funds can be used for creation of community assets of developmental nature in priority sectors like drinking water, primary education, public health, sanitation and roads.

The minister said many state governments were treating MPLAD and MLA LAD differently and the Centre is impressing upon them to apply common parameters and sanction work uniformly.

"There has to be transparency on this," he said.


First Published: Friday, November 30, 2012 - 15:16

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