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Central Sector and Centrally Sponsored Schemes

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<p>In India’s developmental plan exercise we have two type of schemes viz;  
 
<p>In India’s developmental plan exercise we have two type of schemes viz;  
 
central sector and centrally sponsored scheme. The nomenclature is derived from  
 
central sector and centrally sponsored scheme. The nomenclature is derived from  
the pattern of funding and the modality for implementation. Under Central sector  
+
the pattern of funding and the modality for implementation.</p>
schemes, it is 100% funded by the Union government and implemented by the  
+
 
 +
<p>Under Central sector schemes, it is 100% funded by the Union government and implemented by the  
 
Central Government machinery. Central sector schemes are mainly formulated on  
 
Central Government machinery. Central sector schemes are mainly formulated on  
subjects from the Union List. Under Centrally Sponsored Scheme a certain  
+
subjects from the Union List.In addition, the Central Ministries also implement some schemes directly in States/UTs which are called Central Sector Schemes but resources under these Schemes are not generally transferred to States.</p>
 +
 
 +
<p>Under Centrally Sponsored Scheme (CSS) a certain  
 
percentage of the funding is borne by the States in the ratio of 50:50, 70:30,  
 
percentage of the funding is borne by the States in the ratio of 50:50, 70:30,  
 
75:25 or 90:10 and the implementation is by the State Governments. Centrally  
 
75:25 or 90:10 and the implementation is by the State Governments. Centrally  
 
Sponsored Schemes are formulated in subjects from the State List to encourage  
 
Sponsored Schemes are formulated in subjects from the State List to encourage  
States to prioritise in areas that require more attention.</p>
+
States to prioritise in areas that require more attention.Funds are routed either through consolidated fund of States and or are transferred directly to State/ District Level Autonomous Bodies/Implementing  Agencies. As per the Baijal Committee Report, April, 1987, CSS have been defined as the schemes which are funded directly by Central Ministries/Departments and implemented by States or their agencies, irrespective of their pattern of financing, unless they fall under the Centre's sphere of responsibility i.e., the Union List.</p>
 +
 
 +
<p>Conceptually both CSS and [http://arthapedia.in/index.php?title=Central_Plan_Assistance Additional Central Assistance (ACA)] Schemes have been passed by the Central Government to the State governments. The difference between the two has arisen because of the historical evolution and the way these are being budgeted and controlled and release of funds takes place. In case of CSS, the budgets are allocated under ministries concerned themselves and the entire process of release is also done by them.</p>
  
  
 
==Contributed by==
 
==Contributed by==
* [http://www.ies.gov.in/myaccount-profile-view.php?memid=229 A Srija, IES(1996)]
+
* [http://www.ies.gov.in/myaccount-profile-view.php?memid=229 Ms. A Srija, IES(1996)] and [http://ies.gov.in/myaccount-profile-view.php?memid=358 Mr. Manu J. Vettickan IES (2008)]
*Email- [mailto:asrijaies@gmail.com asrijaies@gmail.com]
+
*Email- [mailto:asrijaies@gmail.com asrijaies@gmail.com] [mailto:manuvettickan@gmail.com manuvettickan@gmail.com];
  
 
[[Category:concepts|CentralSectorandCentrallySponsoredSchemes]]
 
[[Category:concepts|CentralSectorandCentrallySponsoredSchemes]]

Revision as of 08:26, 28 June 2013

In India’s developmental plan exercise we have two type of schemes viz; central sector and centrally sponsored scheme. The nomenclature is derived from the pattern of funding and the modality for implementation.

Under Central sector schemes, it is 100% funded by the Union government and implemented by the Central Government machinery. Central sector schemes are mainly formulated on subjects from the Union List.In addition, the Central Ministries also implement some schemes directly in States/UTs which are called Central Sector Schemes but resources under these Schemes are not generally transferred to States.

Under Centrally Sponsored Scheme (CSS) a certain percentage of the funding is borne by the States in the ratio of 50:50, 70:30, 75:25 or 90:10 and the implementation is by the State Governments. Centrally Sponsored Schemes are formulated in subjects from the State List to encourage States to prioritise in areas that require more attention.Funds are routed either through consolidated fund of States and or are transferred directly to State/ District Level Autonomous Bodies/Implementing Agencies. As per the Baijal Committee Report, April, 1987, CSS have been defined as the schemes which are funded directly by Central Ministries/Departments and implemented by States or their agencies, irrespective of their pattern of financing, unless they fall under the Centre's sphere of responsibility i.e., the Union List.

Conceptually both CSS and Additional Central Assistance (ACA) Schemes have been passed by the Central Government to the State governments. The difference between the two has arisen because of the historical evolution and the way these are being budgeted and controlled and release of funds takes place. In case of CSS, the budgets are allocated under ministries concerned themselves and the entire process of release is also done by them.


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