Center Releases Over ₹3,324 Crores to Strengthen Rural Local Bodies in Bihar, Haryana, Himachal Pradesh, Uttar Pradesh and West Bengal
Center Releases Over ₹3,324 Crores to Strengthen Rural Local Bodies in Bihar, Haryana, Himachal Pradesh, Uttar Pradesh and West Bengal
The Union Government has sanctioned and released the 2nd installment of Fifteenth Finance Commission (XV FC) Untied Grants for FY 2025–26 to Panchayati Raj Institutions (PRIs)/Rural Local Bodies (RLBs) in Bihar, Haryana, Himachal Pradesh, Uttar Pradesh and West Bengal to further empower grassroots governance and enable need-based local development.
Under this tranche, Bihar has received Rs. 80,240.00 lakhs (Rs. 802.40 crores) benefiting all 38 District Panchayats (DPs), 533 Block Panchayats (BPs) and 8,053 Gram Panchayats (GPs), along with an additional release of Rs. 139.10 lakh (Rs. 1.39 crores) from the withheld portion of the 1st installment for 3 BPs and 7 GPs that have since become eligible. Similarly, Haryana has been provided Rs. 19,762.70 lakhs (Rs. 197.627 crores) covering eligible 19 DPs, 138 BPs and 6,194 GPs, with a further Rs. 249.80 lakhs (Rs. 2.50 crores) released to additionally eligible 1 DP, 4 BPs and 30 GPs from the earlier withheld amount.
For Himachal Pradesh, the allocation stands at Rs. 6,830.03 lakhs (Rs. 68.30 crores) for all 12 DPs, eligible 80 BPs and 3,602 GPs, supplemented by Rs. 34.53 lakh (Rs. 0.35 crores) released to 26 newly eligible GPs. Uttar Pradesh has received Rs. 1,55,940.00 lakhs (Rs. 1,559.40 crores) for all 75 DPs, 826 BPs and 57,694 GPs, in addition to Rs. 1,101.64 lakhs (Rs. 11.016 crores) released from the withheld portion to 2 DPs, 13 BPs and 61 GPs that attained eligibility. Further, West Bengal has been allocated Rs. 68,085.79 lakhs (Rs. 680.86 crores) for eligible 21 DPs, 335 BPs and 3,225 GPs under the same installment.
Government of India through Ministry of Panchayati Raj and Ministry of Jal Shakti (Department of Drinking Water and Sanitation) recommends release of XV-FC grants to States for Rural Local Bodies, which is then released by Ministry of Finance. The allocated grants are recommended and released in 2 installments in a financial year. The Untied Grants will be utilized by Panchayati Raj Institutions/ Rural Local Bodies for location-specific felt needs, under the Twenty-Nine Subjects enshrined in the Eleventh Schedule of the Constitution, except for salaries and other establishment costs. The Tied Grants can be used for the basic services of (a) sanitation and maintenance of ODF status, and this should include management and treatment of household waste, and human excreta and fecal sludge management in particular and (b) supply of drinking water, rainwater harvesting and water recycling.