Revisiting the Issues in the Design and Implementation of Centrally Sponsored Schemes Post Rationalisation

Abstract

    Centrally Sponsored Schemes, being an important component of specific purpose grants given by the Centre to States, aim at ensuring minimum standards of public services to the people throughout the country. These schemes have, in fact, become an aggressive intervention of the Centre in areas Constitutionally assigned under State List. Almost ever since their introduction during Fourth Five-Year Plan or so, the Centrally Sponsored Schemes have often been criticized by various State Governments as well as by subject experts for a number of reasons. It was only during the Twelfth Five-Year Plan that a significant rationalization and restructuring of these schemes was attempted. The present paper tries to examine if the issues associated with CSSs which became an all-time concern of States and subject experts have been taken care of by the process of rationalization so attempted. The analysis of this paper reveals that the number as well as the nature of Centrally Sponsored Schemes and the issues associated with them have hardly changed even after a comprehensive rationalisation/restructuring is attempted. This calls for a complete overhauling of the specific purpose transfer system in India.

Key Words- Centrally Sponsored Schemes, Rationalisation, Specific Purpose Grants.