Over ₹342 Crore Released to Tamil Nadu and Assam Under 15th Finance Commission
The Government of India has released over ₹342 crore as grants under the 15th Finance Commission (XV FC) to strengthen rural local bodies in Tamil Nadu and Assam for the fiscal year 2025-26. This is part of a continued effort to empower Panchayati Raj Institutions (PRIs) and improve rural governance and infrastructure.
Grant Details
- Tamil Nadu: ₹127.59 crore released as the first installment of untied grants covering 2,901 eligible Gram Panchayats, 74 Block Panchayats, and 9 District Panchayats.
- Assam: ₹214.54 crore released for the financial year 2024-25, covering all 2,192 eligible Gram Panchayats, 156 Block Panchayats, and 27 Zilla Parishads.
Purpose and Utilization of Grants
The grants are disbursed by the Ministry of Finance based on recommendations from the Ministry of Panchayati Raj and the Ministry of Jal Shakti (Department of Drinking Water and Sanitation). The funds are divided into:
- Untied Grants: These can be used by rural local bodies for location-specific development needs, covering 29 subjects listed in the Eleventh Schedule of the Indian Constitution. However, these grants cannot be used for salaries or establishment costs.
- Tied Grants: These are earmarked for basic services, including:
– Sanitation and maintenance of Open Defecation Free (ODF) status,
– Management and treatment of household waste,
– Human excreta and fecal sludge management,
– Supply of drinking water,
– Rainwater harvesting and water recycling initiatives.
Impact on Rural Development
The release of these grants is expected to significantly enhance rural infrastructure, public health, water management, and waste treatment in rural areas of Tamil Nadu and Assam. This empowers local bodies to address grassroots issues efficiently and promote sustainable development.
