Miscellaneous
Constituency Development Fund: FinMin opts for middle path
With lawmakers seeking Rs 50 million for each electoral constituency, the Finance Ministry is planning to adopt a middle path whereby it addresses lawmakers' demand without extra burden...Prithvi Man Shrestha
Finance Ministry sources say the ministry has started internal consultations about clubbing existing small development projects instead of making additional funding available for new programmes in an electoral constituency.
The government is under pressure from lawmakers across the party line who are lobbying for an Electoral Constituency Development Programme (ECDP) to replace the Parliament Development Fund (PDF). Currently, each lawmaker gets Rs 1 million to spend in their constituency through the District Development Committee under the PDF.
Multiple sources at the ministry and the National Planning Commission (NPC) said the effort was aimed at satisfying the lawmakers through an alternative mechanism as the government was unable to afford additional expenditures.
Finance Secretary Yubaraj Bhusal admitted that they are planning to realign existing smaller projects to ensure that they are implemented in each of the 240 electoral constituencies.
In the 601-member Constituent Assembly, 240 lawmakers are elected directly from as many constituencies. At present, each of the 601 members gets Rs 1 million for petty development works in their constituencies.
Finance Minister Ram Sharan Mahat told reporters in Biratnagar on Thursday that as the government is not in a position to spend Rs 50 million on each constituency as sought by the lawmakers, it is planning to allocate budget by adopting a policy suitable for all the constituencies. "It is not unusual to demand budget for development projects. Funds will be allocated to all the constituencies in a just manner," Mahat said.
The Finance Ministry has held talks with Deputy Prime Minister and Minister for Federal Affairs and Local Development Prakash Man Singh on realignment of small projects to the need of a constituency.
"We are also holding consultations with the Ministry of Physical Infrastructure and Transport and Ministry of Urban Development in this regard," said the official, adding, however, that the matter was yet to be discussed with lawmakers.
There are ongoing road projects in almost 90 percent of the districts which are implemented through the District Development Committees. Roads, water supply projects and energy are said to be the three priorities of the lawmakers.
The government has, however, proposed monitoring the progress in existing projects in each constituency by a team led by its elected lawmaker with the Local Development Officer as its member secretary.
"Instead of allocating resources for new projects, it is better to implement the existing ones effectively under lawmakers' monitoring," said NPC Vice-chairman Govinda Raj Pokharel. "A monitoring team led by a directly elected lawmaker would monitor financial transparency, efficiency in project implementation, quality and public participation."
Lawmakers also agree that there should be parliamentary oversight of development spending. On the last day of pre-budget discussion in Parliament on Wednesday, Nepali Congress lawmaker Gagan Thapa stressed parliamentary committee for supervising and monitoring programmes under the ECDP.