New Delhi: The Union Cabinet on Wednesday approved the restoration of the Member of Parliament Local Area Development Scheme (MPLADS) for the remaining part of the current fiscal and to continue till the financial year 2025-26.
Accordingly, the funds under the scheme would be released at the rate of Rs 2 crore per MP for the remaining period of FY 2021-22 in one instalment and at the rate of Rs 5 crore per annum per MP during FY 2022-23 to FY 2025-26 in two instalments of Rs 2.5 crore each.
The government had suspended the MPLADS in the face of the Covid pandemic early last year to use the funds to fight against the deadly virus.
“Looking at Covid 19 pandemic situation it was decided one and half year back that funds would be utilised for the fight against Covid 19 pandemic. With the improvement, as far as the economic situation is concerned and as you have seen GST numbers and other indicators where the economy is doing well, the government has decided to release Rs 2 crore under MPLADS to each MP in the financial year 2021-22,” Information and Broadcasting Minister Anurag Thankur said while briefing the media on Cabinet decisions.
“From FY23 onward till FY25-26 annually Rs 5 crore grant of this MPLAD scheme would be given to the MPs,” he added.
The Cabinet also approved Rs 17,408.85 crore committed price support to the Cotton Commission of India. The Cabinet Committee on Economic Affairs (CCEA) cleared expenditure for reimbursing losses under MSP operations for cotton during the cotton season (October to September) 2014-15 to 2020-21.
Thakur said that 60 lakh farmers would be directly benefitted across 11 states from the decision.
In another decision to help farmers, the Cabinet approved reservation norms for jute packaging materials for Jute Year 2021-22 under JPM Act, 1987.
Accordingly, 100% foodgrains and 20% of sugar to be packed in jute bags.
The Cabinet also approved mechanism for procurement of ethanol by Public Sector Oil Marketing Companies (Oilcos) under Ethanol Blended Petrol programme.
