Changed Funding Patterns in the Government schemes

May 15, 2015 May 15, 2015

There are three types of government schemes in India.

  • Central schemes (also known as Central Sector Schemes): These schemes are funded and implemented by the union government.
  • Centrally Sponsored Schemes: These schemes are funded by the Union Government or Union as well as State government but implemented by State governments. If such as scheme is jointly funded by Union and State government, the funding pattern may be in various ratio such as 50:50; 75:25, 90:10 etc.
  • State schemes: These schemes are funded and implemented by the state governments.

In 2013, the number of Centrally Sponsored Schemes was 173. The number has proliferated at a rapid pace during the Planning Commission era. While in 2007-08 they numbered 99, in 2011-12 their number proliferated to 147. Various committees have recommended to bring down the number of Centrally Sponsored Schemes.

After the 14th finance commission report; the share of the states in the Union taxes has increased to 42%. As a consequence to this, the central government moved ahead to delink many schemes from central support and allow the states to implement on their own with increased revenues. However, central government cannot delink all Centrally Sponsored Schemes because some of them have national priorities (Such as MGNREGA) and few are legal obligation on the part of central government (for example Government collects Education Cess to fund Sarva Shiksha Abhiyaan). Thus, three types of schemes have now emerged in India as follows:

  • Schemes which are 100% supported by Central Government
  • Schemes which run with changed fund sharing patterns between centre and states
  • Schemes which have been delinked from central support.

As per the Union Budget 2015-16, there were 31 schemes to be fully sponsored by the Union Government, 24 Schemes will now be run with the changed sharing pattern and 8 Schemes have been delinked from support of the Centre. These schemes are as follows:

Schemes to be fully supported by Union Government

  1. Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGA)
  2. Multi-Sectoral Development Programme for Minorities (MSDP)
  3. Pre-Matric scholarship for children of those engaged in unclean occupation
  4. Scholarship Schemes (Post and Pre-Matric) for SC, ST and OBCs
  5. Support for machinery for Implementation of Protection of Civil Rights Act, 1955 and Prevention of Atrocities Act, 1989
  6. National Programme for Persons with Disabilities
  7. Scheme for providing Education to Minorities
  8. Umbrella Scheme for education of ST children
  9. Indira Gandhi Matritva Sahyog Yojana (IGMSY)
  10. Integrated Child Protection Scheme (ICPS)
  11. Rajiv Gandhi Scheme for Empowerment of Adolescent Girls (RGSEAG)-SABLA
  12. National Nutrition Mission
  13. Scheme for Protection and Development of Women
  14. Assistance for Schemes under Proviso (i) to article 275 (1) of the Constitution
  15. Special Central Assistance to Tribal Sub-plan
  16. Sarva Shiksha Abhiyaan (Financed from Education Cess)
  17. Mid Day Meal
  18. Schemes of North Eastern Council
  19. Special package for Bodoland Territorial Council
  20. National Social Assistance Programme (NSAP) including Annapurna
  21. Grants from Central Pool of Resources for North Eastern Region and Sikkim
  22. Social Security for Unorganized Workers Scheme
  23. Support to Educational Development including Teacher Training and Adult Education
  24. Border Area Development Programme
  25. Member of Parliament Local Area Development Scheme (MPLADS)
  26. Cess backed allocation for Pradhan Mantri Gram Sadhak Yojana (PMGSY)
  27. Roads and Bridges financed from Central Road Fund
  28. Project Tiger
  29. Project Elephant
  30. Additional Central Assistance for Externally Aided Projects (loan portion)
  31. Additional Central Assistance for Externally Aided Projects (Grant portion)

Schemes to be run with the Changed Sharing Pattern

  1. Cattle Development
  2. Mission for Integrated Development of Horticulture
  3. Rashtriya Krishi Vikas Yojana
  4. National Livestock Mission
  5. National Mission on Sustainable Agriculture
  6. Dairy Vikas Abhiyaan
  7. Veterinary Services and Animal Health
  8. National Rural Drinking Water Programme
  9. Swaccha Bharat Abhiyaan (Rural and Urban)
  10. National Afforestation Programme
  11. National Plan for Conservation of Aquatic Eco-system (NPCA)
  12. National AIDS and STD Control programme
  13. National health Mission
  14. National Urban Livelihoods Mission (NULM)
  15. Rashtriya Madhyamik Shiksha Abhiyaan (RMSA)
  16. Strategic Assistance for State Higher Education – Rashtriya Uchcha Shiksha Abhiyan (RUSA)
  17. For Development of Infrastructure Facilities for Judiciary
  18. National Land Records Modernisation Programme
  19. National Rural Livelihood Mission (NRLM)
  20. Rural Housing-Housing for All
  21. Integrated Child Development Service
  22. Rajiv Gandhi Khel Abhiyan (RGKA) (erstwhile Panchayat Yuva Krida aur Khel Abhiyan (PYKKA)
  23. PMKSY (including Watershed programme and micro irrigation)
  24. Impact Assessment Studies of AIBFMP

 Schemes delinked from support of the Centre

  1. National e-Governance Plan
  2. Backward Regions Grant Funds
  3. Modernization of Police Forces
  4. Rajiv Gandhi Panchayat Sashaktikaran Abhiyaan (RGPSA)
  5. Scheme for Central Assistance to the States for developing export infrastructure
  6. Scheme for setting up of 6000 Model Schools
  7. National Mission on Food processing
  8. Tourist Infrastructure
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