CAG forms panel to look into ‘issues’ of Centrally Sponsored Schemes

“We have constituted a committee to look at the problems and issues in the Centrally Sponsored Schemes. Basically, for strengthening the budgeting, accounting and payment framework for the Centrally Sponsored Schemes,” the official told The Indian Express.

The official said the committee’s mandate is not to deliberate about the delivery of the CSS. “It is about budgeting. For example, Sustainable Development Goals (SDGs) are linked with some individual schemes. It is depicted very well in some states like Haryana and Rajasthan and in many states it is not. In some states, the Central share in the Centrally Sponsored Schemes is depicted very well… You can see that in the Budget,” the official said.

The official said, “We looked at 8-10 topics, which were discussed in the State Finance Secretary Conference. The State finance secretaries had made a presentation on these topics. After that, it was felt there is a need to strengthen the budgeting, accounting and payment framework of the CSS. The committee was constituted in October. It is likely to submit its report by February-March next year. The committee comprises senior officials from the CAG, four state finance secretaries, and officials from the departments concerned.”

Sources said the move will bring more transparency in budgeting, accounting and payments. Sources said the CAG is also in the process of harmonising “object heads” so they remain the same at the Centre and state level. An order is likely to be issued by the CAG before the National Audit Day on November 16, the sources said.

In the Union Budget 2025-26, the Centre has allocated Rs 5.41 lakh crore for the CSS, of its total spending of Rs 50.65 lakh crore. There were several schemes, including MGNREGS, Jal Jeevan Mission and PM-Kisan, each having an annual budget of over Rs 50,000 crore.

Each rupee the government spends, 8 paise go to the CSS.

There are 54 CSSs and 260 Central Sector Schemes which have their terminal date of approval until March 31, 2026 and are likely to be submitted for re-appraisal, according to the Finance Ministry.

Harikishan Sharma, Senior Assistant Editor at The Indian Express' National Bureau, specializes in reporting on governance, policy, and data. He covers the Prime Minister’s Office and pivotal central ministries, such as the Ministry of Agriculture & Farmers’ Welfare, Ministry of Cooperation, Ministry of Consumer Affairs, Food and Public Distribution, Ministry of Rural Development, and Ministry of Jal Shakti. His work primarily revolves around reporting and policy analysis. In addition to this, he authors a weekly column titled "STATE-ISTICALLY SPEAKING," which is prominently featured on The Indian Express website. In this column, he immerses readers in narratives deeply rooted in socio-economic, political, and electoral data, providing insightful perspectives on these critical aspects of governance and society. ... Read More

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