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Sushanta Talukdar
Date of Publish: 2019-08-20

Disaster Response Fund: Assam government’s failure to fully utilise SDRF assistance deprives flood-affected families from additional NDRF assistance

A ravaging wave of flood that gripped Assam in July not just left a trail of destruction across the state but also exposed the failure of the successive governments to effectively utilise disaster response fund to reduce the woes of the affected people. The flood affected over 52 lakh people in 4620 villages in 124 revenue circles in 32 districts and claimed 67 lives in the state. Altogether 2,25,737 affected people had to take shelter in 689 relief camps during the peak and 391 relief distribution centres were also opened.

Years after years millions of people affected by ravaging multi-wave annual floods in the state have remained deprived from adequate relief and have been held hostage to miserable failure of the successive state governments in utilising the fund available under State Disaster Response Fund (SDRF). The failure to utilise the fund released under SDRF fully and in time also weakened the state’s case for getting additional relief from the National Disaster Response Fund (NDRF) to provide adequate relief to the affected people.

Photo - Fire & Emergency Services, Assam

Position of SDRF, according to official records available with the Government of India, for the year 2017-18, for instance, reveals that Assam had an opening balance of Rs 2790.65 crore while the amount released by the Centre to the State for the year under SDRF was Rs. 456.30 crore. State’s own share was Rs. 50.60 Crore and therefore total amount available with the State Government under SDRF for the year was Rs. 3297.55 Crore. Expenditure reported by the Assam Government during the year was Rs. 2240 Crore and balance amount left with the State government at the end of the financial year was Rs. 1056.97 Crore which was the opening balance for SDRF for 2018-19. The unspent balance under SDRF is treated as the opening balance for the next financial year.

Whenever media is flooded with allegations of inadequate distribution of relief measures and deficiency in rescue operations, the State Government, both during the present Sarbananda Sonowal-led regime and the previous Tarun Gogoi-led regime rushed to clarify that there was adequate fund available to meet the requirement. However, what the state government fails to explain is why the SDRF fund remains unspent when millions of people are affected every year and suffer wanton loss due to flood.

On May 4, 2016, the then Union Minister of state for Home Kiren Rijiju informed the Rajya Sabha that both the instalments of the Central share of SDRF amounting to Rs. 207.00 crore each had been released, in advance, for the year 2015-16 to the State Government, on May 27, 2015 and September 17, 2015 respectively. “In addition, as reported by State Accountant General (AG) of Assam, an amount of Rs. 1320.10 crore is available in SDRF account as on 1st April 2015 for management of relief necessitated by notified natural disasters in the affected areas,” the minister added in his written reply.

Photo - Fire & Emergency Services, Assam

The Centre released a total amount of Rs. 4722.53 crore under NDRF assistance to 15 states for the year 2017-18. Shares of some states of this amount were: Bihar- Rs. 1343.67 crore (SDRF allocation for Bihar in the year was Rs. 387.75 Crore and the total expenditure projected in memorandum submitted by Bihar government was Rs. 7444.60 Crore), Karnataka – Rs. 913.04 Crore, Jharkhand – Rs 913 Crore, Madhya Pradesh – Rs. 502.09 Crore, Rajasthan- Rs. 607.77 Crore. However, no amount was allocated to Assam from NDRF during that financial year.

In 2018-19, of the total NDRF assistance amounting to Rs, 10000 Crore released to various states Kerala got Rs. 2904.85 Crore, Maharshtra- Rs 2088.59 crore, Andhra Pradesh- Rs. 1000.88 Crore, Karnataka- 959.84 Crore, Tamil Nadu- Rs. 900.31 crore, Arunachal Pradesh- Rs. 132.49 Crore and Tripura- Rs. 171.74 Crore.

Expenditure from NDRF is meant to assist a State to provide immediate relief in those cases of severe calamity, where the expenditure required is in excess to the balance in the state’s SDRF. Expenditure on disaster preparedness, restoration, reconstruction and mitigation should not be part of the SDRF and NDRF and is to be met from normal budgetary heads and Plan funds.

Photo - Fire & Emergency Services, Assam

For current financial year of 2019-20, the Centre on July 15 released the first instalment of Rs. 251.55 crore of its share for Assam. The central share of the SDRF allocation is normally released in two instalments in June and November.

SEC’s failure in SDRF utilisation

Under the SDRF, the State Executive Committee (SEC) headed by the Chief Secretary is authorised to decide on all matters relating to relief expenditure from SDRF, in accordance with the items and norms approved by the Government of India. Minutes of the 39th Meeting of the SEC in Assam held on June 10 this year lay bare the manner in the SDRF assistance is utilised in the state.

The SEC directed Water Resource Department to resubmit 9 SDRF proposals, against which issue of administrative approval is pending, in compliance with SDRF norms within a month. These were among the 168 proposals of the department amounting to Rs. 250 Crore for 2018-19 approved by SEC in its 38th meeting held on November 30, 2018.

The committee also directed the Public Works Department (Roads) to resubmit 61 SDRF proposals against which issue of administrative approval is pending, in compliance with SDRF norms within a month. These 61 proposals were among 378 proposals of the department amounting to Rs 75 Crore for 2018-19 approved in the 38th meeting.

The SEC approved the SDRF proposal of Agriculture Department for an amount of Rs 75.13 crore for financial assistance to 2,67,608 farmers affected in ten districts in the first and second waves of flood in 2017 in which 1,03,497 hectares agricultural area were damaged.

Photo - Fire & Emergency Services, Assam

Minutes of the SEC meeting chaired by Chief Secretary Alok Kumar also reveal the level of preparedness of the state for this year’s flood. The meeting held just a month ahead the state was gripped by devastating flood gave approval to the proposal for providing 20 Life buoys and 20 Life jackets to each of the 29 flood prone districts of Assam and 10 Life buoys and 10 Life jackets to very high flood prone Revenue Circles to be procured through tendering process.

In its 38th meeting held on November 30, 2018 the SEC accorded approval to a project of the PWD (Roads) for procurement of five bailey bridges. In the 39th meeting the SEC accorded approval to correction in the title of the proposal of as "Procurement of 5 (Five) units of Galvanized 120 ft. DDR Standard Width Steel Deck Bailey Bridge" amounting Rs 5, 93, 54,000.”

In a resolution on one of the agenda of the 38th meeting on “Multi-purpose flood shelter in flood-affected areas, stated : “the SEC observed that the cost for construction of multi-purpose flood shelter as per the Plan and Estimate submitted by the PWD ( Building & NH) is very high. SEC, therefore, directed the PWD (Building & NH) department to prepare cost-effective plan and estimate considering the geo-climatic and socio-cultural conditions of the state.” There was no agenda on this plan and estimate in the 39th meeting.

Through Agenda Item Number 18 the SEC accorded approval for enhancement of remuneration of Information Assistants of District Emergency Operation Centre (DEOC) s by Rs 300 from Rs.8, 700/- to Rs.9, 000/ per month/ personnel and place their services directly under the District Disaster Management Authority (DDMA) on annual contractual basis. The SEC further directed Assam State Disaster Management Authority (ADSMA) to prepare a detailed guideline to be followed by DDMAs for hiring of services for Information Assistants of DEOCs. This Agenda Item was preceded by the Agenda Item of approval for journey by Air for travel outside the State for Officers of ASDMA at State Head Quarter and District Project Officers.

The 14th Finance Commission adopted the practice of previous commissions and used past expenditure on disaster relief for the period 2006-07 to 2012-12 to determine the corpus of State Disaster Response Fund (SDRF) of each state. The commission recommended an aggregated corpus SDRF of Rs. 61,219 Crore for all states for the award period of 2015-20. The allocation for the period 2010-2011 to 2014-15 of Rs. 33,580 crores. The Centre contributes 90 per cent while the states contribute 10 per cent of the SDRF allocation. With effect from April 1, 2018, the funding pattern under SDRF has become uniform of 90: 10 for all the states as recommended by the 14th Finance Commission. It was earlier 75:25 for general category states and 90:10 for special category states like Assam. While the new funding pattern reduced the burden on the general category states of their shares to the SDRF, for the special category states the status-quo was maintained.

Photo - Fire & Emergency Services, Assam

Of the total central share of the SDRF allocation of Rs 10343.85 Crore to 29 states for 2019-20, the allocation of central share for Assam is Rs 503.10 Crore, Maharashtra – Rs 1352.25 Crore, Rajasthan – Rs. 1000.5 Crore, Madhya Pradesh- Rs 799.50 Crore, Odisha – Rs. 681.75 Crore, Gujarat- Rs. 642 Crore, Tamil Nadu- Rs. 618 Crore, Uttar Pradesh – Rs 615 crore and Bihar- Rs 427.50 Crore.

For the five-year period from 2010-11 to 2014-15 the total SDRF allocation for Assam was Rs 1457.51 Crore of which the Centre’s share was Rs. 1311.76 and the state share was Rs. 145.75 Crore. Total central share for the period was Rs. 25847.93 Crore.

In 2016, the Centre approved the assistance of Rs 332.57 crore from NDRF to Assam government, for flood in 2015, after the central team made an assessment of damages and requirements of funds for relief and rehabilitation of immediate nature, following submission of memorandum by the state government.

Neglected issue of SDRF utilisation

The revised list of items and norms of assistance from SDRF or NDRF for the period for 2015-20 covers many items which include Gratuitous Relief such as Ex-Gratia payment, search and recuse, operations, undertaking relief measures, clearance of affected areas such as de-silting, assistance to affected farmers, input subsidy for agriculture, assistance to fishermen, affected handicraft and handloom artisans, housing assistance, repair/restoration (of immediate nature) of damaged infrastructure. In addition to these, procurement of search and rescue equipment (not exceeding 10 per cent of the annual SDRF allocation and capacity building (not exceeding 5 per cent of the annual allocation) were also included in the list of revised norms. The prescribed rates for various norms and the extent of damage caused by flood in Assam indicate that the SDRF fund should not remain unutilised if all the affected are provided relief and compensated in accordance with the norms.

In the event of calamity of ‘severe nature’ in which requirement of fund for relief operations is beyond the funds available in the State’s SDRF account then taking into account the intensity and magnitude of disaster, the level of relief assistance, capacity of the state government to tackle the problem, additional central assistance is provided from NDRF which is 100 per cent centrally funded. The laid down procedure requires the State Government to submit a memorandum indicating sector-wise damage and requirement of funds. After receipt of the final memorandum an inter-ministerial team is constituted by the central government and deputed for on the spot assessment of the damage and requirement of the fund in accordance with the items and prescribed norms. Based on the recommendation of the Sub-committee of National Executive Committee headed by Union Home Secretary made after considering the report of the central team, the High Level Committee of the central government comprising of Union Home Minister, Union Agriculture Minister, Union Finance Minister and vice-chairmman of NITI Ayog approves the quantum of assistance under NDRF after taking into account the norms of assistance and balance available in the SDRF account. Sources in the central ministries claim that states availing NDRF assistance exhausts the SDRF account by utilisation of fund in time and submit much more detailed and elaborate memorandum on flood damage while seeking assistance under NDRF.

Photo - Fire & Emergency Services, Assam

In Assam, the SDRF utilisation issue gets drowned in shrill debates of where or the state’s flood and erosion problem receive adequate media attention nationally or overshadowed by the allegation of “step-motherly treatment by the Centre” in not recognising the gravity of Assam’s twin problems and declaring them as national disasters.

A closer look at the utilisation of disaster response fund and the minutes of the SEC meetings may open a Pandora’s box on Assam flood.

Sushanta Talukdar

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