Govt considering hike in annual allocation under MPLADS

The government is considering a proposal to increase annual allocation under the Member of Parliament Local Area Development scheme from Rs 5 crore a year to as much as Rs 25 crore for every MP.
"The matter (of increasing annual allocation of MPLAD fund) is under examination in consultation with Ministry of Finance," Statistics Minister V K Singh said in a written reply to the Lok Sabha.
"Deputy Speaker Lok Sabha (16th Lok Sabha) and Chairman Lok Sabha Committee on MPLADS vide letter dated February 25, 2015, have requested for increase of annual allocation of MPLADS funds per Member of Parliament to Rs 25 crore," he said.

The Lok Sabha Committee on MPLAD in its sitting held on July 1, 2013 had recommended to increase the annual allocation per MP from Rs 5 crore to Rs 10 crore, he added.
In 1993-94, when the MPLAD scheme was launched, an amount of Rs 5 lakh per MP was allotted. This rose to Rs 1 crore per MP per annum from 1994-95 and Rs 2 crore per MP per annum from 1998-99. In 2011-12, the amount was increased to Rs 5 crore.
Under the MPLAD scheme, each MP has the choice to suggest to the District Collector for works to the tune of Rs 5 crore per annum to be taken up in his or her constituency.

Rajya Sabha MPs can recommend works in one or more districts in the state from where they have been elected.
The nominated MPs of both the Houses may select one or more districts from any state in the country for the implementation of their choice of work under MPLAD.