Latest news with #MLALocalAreaDevelopment
New Indian Express
21-05-2025
- Business
- New Indian Express
Delhi government cuts MLA Development Fund from Rs 15 crore to Rs 5 crore
NEW DELHI: Three months after its formation, the BJP government in Delhi has reduced the annual MLA Local Area Development (LAD) Fund from Rs.15 crore to Rs. 5 crore, igniting a sharp reaction from the Opposition AAP. The previous AAP government in October last year had increased the MLALAD Fund from Rs. 10 crore to Rs.15 crore. A sum of Rs. 4 crore was provided to each MLA in 2021-22 and 2022-23, and it was enhanced to Rs. 7 crore in 2023-24. According to an order by the Urban Development Department, the MLALAD Fund has been kept at Rs 5 crore/assembly constituency per year. 'In pursuance of Cabinet Decision No. 3187 dated 02.05.2025, the allocation of funds under the MLALAD Scheme has been kept at Rs. 5 crore per assembly constituency per year from financial year 2025-26 onwards,' said the order. The ministers have been directed that it will be an untied fund and could be spent for the approved works of capital nature as well as repairs and maintenance of the assets without a ceiling.
Hans India
21-05-2025
- Politics
- Hans India
MLA-LAD fund slashed from Rs 15 cr to Rs 5 cr
New Delhi: The BJP-led Delhi government has significantly reduced the annual allocation for the MLA Local Area Development (MLA-LAD) fund from ₹15 crore to ₹5 crore per legislator, according to a recent directive issued by the Urban Development Department. The decision, formalized through Cabinet Decision No. 3187 dated May 2, 2025, will come into effect from the financial year 2025–26. The move marks a major policy reversal from the previous Aam Aadmi Party (AAP) government, which had increased the fund from ₹10 crore to ₹15 crore in October 2024, just months ahead of the February 2025 Assembly elections. The AAP was defeated by the BJP in those elections. As per the order, each of Delhi's 70 MLAs will now receive ₹5 crore annually under the MLA-LAD Scheme, amounting to a total outlay of ₹350 crore. Notably, the fund has been designated as an "untied" allocation, meaning it can be used without restriction for both capital works and the repair and maintenance of public assets, provided they fall under approved categories. A BJP legislator, speaking to the media, stated that the decision reflects the government's commitment to financial discipline and more efficient use of public resources. 'This restructuring will help eliminate unnecessary expenditures and ensure greater transparency in the execution of developmental works,' the MLA said. Under the AAP administration, MLA funds had seen a steady increase — from ₹4 crore in 2021–22 and 2022–23, to ₹7 crore in 2023–24, and finally to ₹15 crore in 2024–25. The MLA-LAD scheme plays a crucial role in local development, allowing legislators to fund infrastructure, road works, school improvements, and other essential public services in their constituencies. While the current government has defended the cut as a fiscally responsible move, it remains unclear how the funds saved from this reduction will be reallocated or utilized. Opposition leaders have yet to comment formally on the decision.
Time of India
20-05-2025
- Politics
- Time of India
AAP, BJP exchange fire over MLA LAD funds
New Delhi: AAP on Tuesday accused BJP govt of dealing a blow to development works in the city by slashing the MLA Local Area Development (MLA LAD) Fund from Rs 15 crore to just Rs 5 crore. AAP-Delhi convener Saurabh Bharadwaj claimed at a press conference that during his party's govt, MLAs got Rs 15 crore as MLA LAD Fund and were able to complete all essential works in their respective constituencies. Calling it a "blatant falsehood", Delhi BJP spokesperson Praveen Shankar Kapoor challenged Bharadwaj to specify the year when Kejriwal govt allocated Rs 15 crore as MLALAD funds. Bharadwaj, however, said the MLAs then used Rs 15 crore annually for "urgent, local development works " that improved people's day-to-day lives. He said BJP govt increased the annual budget from Rs 70,000 crore to Rs 1 lakh crore for 2025-26. "By that reasoning, the Rs 15 crore should have gone up to Rs 25 crore. But instead, BJP govt slashed the allocation to just Rs 5 crore. This reveals their dishonesty," he pointed out. The former MLA claimed that the assertion that the fund was being wasted was an outright lie and it was fully utilised. He alleged that last year BJP had deliberately intervened and several projects were blocked. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Perdagangkan CFD Emas dengan Broker Tepercaya IC Markets Mendaftar Undo Kapoor claimed that the MLA fund between 2015 and 2018 was merely Rs 4 crore, which was increased to Rs 10 crore in 2018-19. "But even that amount was never actually disbursed. In Oct 2024, then CM Atishi passed a proposal to raise the fund to Rs 15 crore, but it was never implemented." He added, "Official records confirm that in 2018-19, govt announced the increase in the MLA fund to Rs 10 crore, but only Rs 4 crore was actually allocated. In 2019-20, Rs 4 crore were allocated, which was reduced to zero due to the pandemic in 2020-21 and increased to Rs 4 crore in 2021-22 and 2022-23." In 2023-24 and 2024-25, Rs 7 crore was announced, but most MLAs couldn't utilise it, Kapoor alleged.
&w=3840&q=100)
Business Standard
20-05-2025
- Politics
- Business Standard
Delhi govt cuts MLALAD fund to ₹5 crore from ₹15 crore per constituency
The Delhi government, led by the Bharatiya Janata Party (BJP), has slashed the annual MLA Local Area Development (MLALAD) fund to ₹5 crore per constituency. Previously, the fund stood at ₹15 crore after it was hiked by the Aam Aadmi Party (AAP)-led Delhi government in October 2024, news agency PTI reported. The earlier administration had increased the allocation by 50 per cent—from ₹10 crore to ₹15 crore. Citing a recent order issued by the Urban Development Department, the PTI report said the new allocation has been fixed at ₹5 crore per Assembly constituency per year. The cabinet decision was made on 2 May. 'In pursuance of Cabinet Decision No. 3187 dated 02.05.2025, the allocation of funds under the MLALAD Scheme has been kept at ₹5 crore per Assembly constituency per year from the financial year 2025–26 onwards,' the order stated. Citing the Council of Ministers, the order further added that this would be an untied fund and could be used for the repair and maintenance of public assets without a ceiling. It may also be utilised for capital projects approved under the scheme. A BJP MLA confirmed that ₹350 crore has been allocated under the MLALAD Scheme and has been distributed equally among the 70 MLAs in Delhi. What is the MLALAD fund? The MLALAD fund is issued annually by the state government, enabling Members of the Legislative Assembly (MLAs) to suggest development projects for their constituencies. Commonly funded works include road repairs, construction of community spaces and parks, and other local infrastructure. The scheme is modelled after the central government's MPLAD (Member of Parliament Local Area Development) scheme. While the funds are not disbursed directly to MLAs or MPs, elected representatives can recommend specific projects to be undertaken under defined guidelines. According to a report in The Indian Express, the funds can only be used for 'durable infrastructure work,' such as roads and community halls. During the Covid-19 pandemic, however, they were also used to procure personal protective equipment, including masks and testing kits. (with PTI inputs)
Hindustan Times
20-05-2025
- Politics
- Hindustan Times
Delhi MLAs' local area fund slashed to ₹5 crore; BJP, AAP trade barbs
The annual allocation for a legislator under the MLA Local Area Development (MLA-LAD) Fund has been slashed from ₹15 crore to ₹5 crore for the 2025-26 financial year. A decision to this effect was taken by the Delhi cabinet chaired by chief minister Rekha Gupta on May 2, said officials aware of the development. 'In pursuance of Cabinet Decision No. 3187 dated 02.05.2025, the allocation of fund under MLA-LAD scheme has been kept to ₹5 crore per Assembly constituency per year from 2025–26 onwards,' stated a government order issued on May 9 and signed by deputy secretary Arvind Jain. 'This will be an untied fund and can be spent on approved capital works as well as repairs and maintenance of assets, without a ceiling.' On October 10, 2024, the then Delhi cabinet under Aam Aadmi Party (AAP) had approved a 50% hike in MLA-LAD funds, increasing the annual allocation to MLAs from ₹10 crore to ₹15 crore, just months before the 2025 Delhi assembly polls. But the BJP secured a thumping majority in Delhi assembly winning 48 of 70 seats and reducing AAP to just 22 seats. First introduced in Delhi in 1994–95 and modelled on the MP Local Area Development Scheme, the MLA-LAD scheme allows elected representatives to recommend public works aimed at improving infrastructure in their constituencies — including roads, street lighting, drainage, and other civic amenities. The fund is routed through the urban development department as part of Delhi's annual budget. Launched in 1994-95 at 1 crore per MLA, the MLA-LAD fund cap rose to ₹4 crore in 2011-12, jumped to ₹10 crore per constituency after a Cabinet decision on 7 August 2018, and was lifted again to 15 crore on 10 October 2024, according to an official document seen by HT. The move has sparked political sparring, with BJP MLAs criticising the AAP for its handling of the scheme during its tenure. The AAP, meanwhile, accused the BJP of failing to prioritise development after coming to power. In the years leading up to the 2025 elections, the scheme had seen a patchy trajectory, according to BJP leaders. Party MLA and chief whip Abhay Verma insisted that the new allocation was actually an improvement over the AAP's early years. 'In 2020–21, the AAP government didn't release any funds under the MLA-LAD scheme due to Covid. In 2021–22 and 2022–23, it gave ₹4 crore each year to every MLA, totalling ₹8 crore for the two years. In 2023–24, it allocated ₹7 crore, and in 2024–25, ₹15 crore per MLA. So over five years, the AAP government gave ₹30 crore to each MLA,' said Abhay Verma, the BJP's chief whip in the Delhi Assembly. 'The BJP government is giving more than the previous government to MLAs. It's common practice for the MLA-LAD fund to increase over time. We expect that over five years, MLAs will receive more than the ₹30 crore given by the AAP government,' said Verma. 'Under AAP government, the MLA-LAD funds were misused by AAP MLAs rather than actually being spent on infrastructure. The AAP misled the people on these funds from the beginning — the government never provided the promised amount to be spent in constituencies,' alleged a BJP MLA who requested anonymity. Still, some BJP MLAs expressed dismay over the new government's decision to slash the allocation. 'We finally have the mandate to deliver, and residents have high expectations. Wherever we go, people hand over lists of pending works,' said another BJP MLA. 'With ₹5 crore, it won't be enough. Now, we'll need to route projects through multiple agencies instead of executing them directly.' AAP leaders, however, rejected the claim that they underfunded development. Matia Mahal MLA Aaley Mohammad Iqbal said the BJP's decision to cut the allocation would harm not just legislators but constituents across the city. 'With inflation so high, ₹5 crore is barely enough to fund basic repairs, let alone build anything new. All 70 constituencies will suffer,' he said. 'The fund should be restored to ₹15 crore annually.' The budget for the MLA-LAD Fund has been scaled down accordingly — from ₹400 crore in 2024–25 to ₹349 crore in 2025–26.
