15TH FINANCE COMMISSION

Aug. 30, 2021

Rs. 1,42,084 Crore tied grant to rural local bodies (RLBs)/ panchayats for water and sanitation for the five years 2021–22 to 2025–26, which has been recommended by the 15th Finance Commission, will have a huge impact on ensuring these services in villages and thus on public health and quality of life in rural areas.

About:

  • In all, the 15th Finance Commission recommended Rs. 2,36,805 Crore to RLBs/ PRIs for the period 2021-22 to 2025-26.

  • Commission also identified ‘water supply and sanitation’ as national priority areas, which determines the quality of life of people living in rural areas.

  • It has recommended 60% of the allocation to RLBs/ Panchayats i.e. Rs. 1,42, 084 Crore as a tied grant to be utilized for a.) supply of drinking water, rainwater harvesting and water recycling; and b.) sanitation & maintenance of open-defecation free (ODF) status.

  • The Dept. of Drinking Water & Sanitation (DDWS), Ministry of Jal Shakti, Govt of India will act as the nodal Department for determining the eligibility of the rural local bodies for the ‘15th FC tied grant for water & sanitation’ and recommend release of tied grant for water & sanitation, to the Dept. of Expenditure, Ministry of Finance for all States.

Source : PIB

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