CAG flags underutilization of funds for major schemes by LDF govt

Thiruvananthapuram: Latest Comptroller and Auditor General (CAG) report on state finances flagged non-utilization of funds set aside for various schemes, including former LDF govt’s flagship project Total Housing Scheme-Urban (LIFE-Parppida Mission).

According to the report, LDF govt had earmarked Rs 192 crore each from 2022-23 to 2024-25 in the budget, but the total expenditure for the scheme during these years was only Rs 17.89 crore.The scheme aims at providing safe housing to the homeless and is implemented by the local self-govts using their plan grant as well as plan support from state govt. It envisages construction of individual houses to those who come under the extreme poverty list and for meeting the costs of construction of flats/housing complexes/housing clusters in urban areas. The drawing and disbursing officer of the scheme is the under secretary, local self-govt department, and is implemented by Life Mission, Kerala.In 2022-23, the total expenditure for the scheme was Rs 6.91 crore (Rs 183.09 crore unspent), in 2023-24, expenditure was Rs 8.70 crore (Rs 183.50 crore unspent) and in 2024-25 the total expenditure was only Rs 2.28 crore (Rs 189.72 crore unspent). The report said CAG was waiting for govt’s response on reasons for consistent no-utilization of the amount.Similarly, several new schemes announced in the budget over the years remain a nonstarter.

Though govt announced the setting up of an effluent treatment plant in fishing sector in Aroor-Chandiroor region, no outlay was set aside for the scheme.Further, though an amount of Rs 3 crore for construction of a cruise vessel for Kerala Shipping and Inland Navigation Corporation (KSINC), Rs 2 crore for UNNATHI scheme for providing merit cum means scholarships and financial assistance to help underprivileged youth to pursue higher education abroad and build business and Rs 10 crore for Valsalyanidhi scheme, an insurance and financial support programme for girls from marginalised communities, were set aside, no expenditure was incurred on the implementation of these schemes.It was also observed that while Rs 100 crore was budgeted for the scheme ‘Kerala Climate Resilient Agri Value Chain Modernization,’ only Rs 6.15 crore was spent during the 2024-25 financial year.