Parliament

JPC vs PAC

admin_2 - December 2, 2010

By Chakshu Rai and Anirudh Burman What is the difference between a JPC and a PAC? A structured committee system was introduced in 1993 to provide for greater scrutiny of government functioning by Parliament. Most committees of Parliament include MPs from both the Lok Sabha and Rajya Sabha. A Joint Parliamentary Committee (JPC) is an ad-hoc body. It is set up for a specific object and duration. Joint committees are set up by a motion passed in one house of Parliament and agreed to by the other. The details regarding membership and subjects are also decided by Parliament. For example, the motion to constitute a JPC on the stock market scam (2001) and pesticide residues in soft drinks (2003) was moved by the government in the Lok Sabha. The motion on the stock market scam constituted a JPC of 30 members of which 20 were from the Lok Sabha and 10 were from the Rajya Sabha. The motion to constitute the JPC on pesticides included 10 members from the Lok Sabha and 5 from the Rajya Sabha. The terms of reference for the JPC on the stock market scam asked the committee to look into financial irregularities, to fix responsibility on persons and institutions for the scam, to identify regulatory loopholes and also to make suitable recommendations. The Public Accounts Committee (PAC), however, is constituted every year. Its main duty is to ascertain how the money granted (budget) by Parliament has been spent by the government. The PAC scrutinises the accounts of the government on the basis of CAG reports. The composition and functions of the committee are governed by parliamentary procedures. The PAC can consist of 15 to 22 members. Not more than 15 members can be from the Lok Sabha, and the representation from the Rajya Sabha cannot exceed 7 members. A minister cannot be a member of the PAC. What can a JPC do that a PAC cannot? The PAC examines cases involving losses and financial irregularities. Its examination is usually limited to the scrutiny of CAG reports and issues raised by the reports. The committee expresses no opinion on points of general policy, but it is within PAC’s jurisdiction to point out whether there has been waste in carrying out that policy. The mandate of a JPC depends on the motion constituting it. This need not be limited to the scrutiny of government finances. How many JPCs have we had so far? Although a number of joint committees have been formed since Independence, four major JPCs have been formed to investigate significant issues that have caused controversy. These are: (1) Joint Committee on Bofors Contracts; (2) Joint Committee to enquire into irregularities in securities and banking transactions; (3) Joint Committee on stock-market scam; and (4) Joint Committee on pesticide residues in and safety standards for soft drinks. How effective have JPCs been? Is the government bound by their recommendations? JPC recommendations have persuasive value but the committee cannot force the government to take any action on the basis of its report. The government may decide to launch fresh investigations on the basis of a JPC report. However, the discretion to do so rests entirely with the government. The government is required to report on the follow-up action taken on the basis of the recommendations of the JPC and other committees. The committees then submit ‘Action Taken Reports’ in Parliament on the basis of the government’s reply. These reports can be discussed in Parliament and the government can be questioned on the basis of the same. How effective is the PAC process? Between 2005 and 2010, the PAC has prepared 54 reports and examined ministries that have cumulatively received around 80% of the budgetary allocations in the last five financial years. Since it is not possible to examine every CAG audit finding in a formal manner, ministries have to submit Action Taken Notes to the PAC on all audit paragraphs. A 2009-10 report of the PAC, however, noted that there were 4,934 audit paragraphs still pending with various ministries. What can the JPC or the PAC find in the 2G case that is not already known, that the CAG and the Trai have not already said? The JPC or the PAC can only look at the documents and examine ministry officials who testify before the committee. The parliamentary committees can arrive at independent conclusions based on the documents placed before them. Members of the committee can also place dissent notes if they do not agree with the majority. Can Raja be tried and the telecom licences cancelled on basis of a JPC report or do we need a CBI report as well? Prosecution of individuals and cancellation of licences are executive functions and can only be initiated by the government. A JPC report can recommend the prosecution of a particular person or the cancellation of certain licences. However, the government can disagree with the JPC’s findings and refuse to take such action. How much of Parliament time have we lost already and how many critical Bills are stuck? The Lok Sabha and Rajya Sabha are supposed to work daily for six hours and five hours, respectively. The Lok Sabha has worked for five hours and forty five minutes and Rajya Sabha has worked for an hour and twenty five minutes in the past 12 days. Some important Bills that are listed for consideration and passing in Parliament are the Seeds Bill, 2004; the Commercial Division of High Courts Bill, 2009; and the Amendment to the Right to Education Act, 2010. Bills listed for introduction include the National Identification Authority Bill, 2010; the Protection of Women from Sexual Harassment in Workplace Bill, 2010; the Judicial Standards and Accountability Bill, 2010; Land Acquisition (Amendment) Bill; and the Rehabilitation and Resettlement Bill. This article appeared in Financial Express.

The Saansad Adarsh Gram Yojana was launched last week, for the development of model villages.  Under the Yojana, Members of Parliament (MPs) will be responsible for developing the socio-economic and physical infrastructure of three villages each by 2019, and a total of eight villages each by 2024.

The first Adarsh Gram must be developed by 2016, and two more by 2019.  From 2019 to 2024, five more Adarsh Grams must be developed by each MP, one each year.  This implies that a total of 6,433 Adarsh Grams, of the 2,65,000 gram panchayats, will be created by 2024. Key features of the Yojana are outlined below.

Objectives

Key objectives of the Yojana include:

  1. The development of model villages, called Adarsh Grams, through the implementation of existing schemes, and certain new initiatives to be designed for the local context, which may vary from village to village.
  2. Creating models of local development which can be replicated in other villages.

Identification of villages

MPs can select any gram panchayat, other than their own village or that of their spouse, to be developed as an Adarsh Gram.  The village must have a population of 3000-5000 people if it is located in the plains, or 1000-3000 people if located in hilly areas.

Lok Sabha MPs can choose a village from their constituency, and Rajya Sabha MPs from the state from which they are elected.  Nominated members can choose a village from any district of the country.  MPs which represent urban constituencies can identify a village from a neighbouring rural constituency.

Funding

No new funds have been allocated for the Yojana.  Resources may be raised through:

  1. Funds from existing schemes, such as the Indira Awas Yojana, Pradhan Mantri Gram Sadak Yojana, Mahatma Gandhi National Rural Employment Guarantee Scheme, and Backward Regions Grant Fund, etc.,
  2. The Member of Parliament Local Area Development Scheme (MPLADS),
  3. The gram panchayat’s own revenue,
  4. Central and State Finance Commission Grants, and
  5. Corporate Social Responsibility funds.

Implementation

A Village Development Plan must be created for each Adarsh Gram.  While each village will develop a list of activities to be carried out, based on its own resources and requirements, possible activities have been listed in the guidelines for the scheme.  For example, Adarsh Grams can work towards providing universal access to basic healthcare facilities, promoting diversified livelihoods through agriculture related livelihoods and skill development, providing pension for all eligible families, housing for all, and promoting social forestry.

The table below outlines key functionaries at the national, state, district, and village level and their responsibilities.

Table 1: Roles and responsibilities of key functionaries

Level Functionary Key roles and responsibilities
National Member of Parliament
  • Identify the Adarsh Gram
  • Facilitate the planning process
  • Mobilise additional funds
  • Monitor the scheme
  Two committees, headed by the Minister of Rural Development, and Secretary, Rural Development, respectively.*
  • Monitor the process of identification and planning
  • Review the implementation of the scheme
  • Identify bottlenecks in the scheme
  • Issue operational guidelines
  • Indicate specific resource support which each Ministry can provide
State A committee headed by the Chief Secretary
  • Supplement central guidelines for the scheme
  • Review Village Development Plans
  • Review implementation
  • Outline monitoring mechanisms
  • Design a grievance redressal mechanism for the scheme
District District Collector
  • Conduct the baseline survey
  • Facilitate the preparation of the Village Development Plan
  • Converge relevant schemes
  • Ensure grievance redressal
  • Monthly progress review of the scheme
Village Gram Panchayat and functionaries of schemes (at various levels)
  • Implement of the scheme
  • Identify common needs of the village
  • Leverage resources from various programmes
  • Ensure participation in the scheme

Note: *These committees will include members from other Ministries.

Sources: Saansad Adarsh Gram Yojana Guidelines, Ministry of Rural Development; PRS

Monitoring

A web based monitoring system will be established to enable the MP and other stakeholders to monitor the scheme.  Outputs relating to physical and financial targets will be measured each quarter.  A mid-term evaluation and post-project evaluation will be conducted through an independent agency.

More information on the scheme is available in the guidelines for the scheme, here.