Project management

Performance of the North-eastern states has always been dismal when it comes to utilization of central sector schemes. Poor implementation of the North East Special Infrastructure Development Scheme (NESIDS) is pointer to the failure of the states in the region as well as the Central government in achieving the goal of bridging the infrastructure gaps. A report of the Parliamentary Standing Committee on Home Affairs reveals that as on January 31, 2020 only Rs. 532 crore have been utilized against the financial outlay of Rs. 1600 crore under this Central sector scheme during 2018-19 and 2019-20. The Committee recommended to the Ministry of Development of North Eastern Region (DoNER) to formulate schemes/projects that may be taken up under this scheme in consultation with the State government and that all projects undertaken are completed within the stipulated time-frame. The NESIDS was launched in 2017 after restructuring the Non-Lapsable Central Pool of Resources (NLCPR) Scheme. The NLCPR was set up in 1998 on the recommendation of the S. P. Shukla-led High-Level Commission appointed in 1997 by the Central government. The Shukla Commission proposed creation of a central corpus by allocating ten per cent of gross budgetary allocations of various ministries to ensure that there is no dearth of fund for projects submitted by the State governments. Prior to NLCPR, the major amount of the Central fund allocated to various ministries for funding projects in the region used to lapse for failure of the states to utilize in time due to longer period of rainy season and lack of capacity.

The NLCPR schemes were initially administered by the then Planning Commission and later transferred to DoNER Ministry after its creation of the ministry in 2001 to expedite infrastructure project. In its Action Taken Report to the committee the ministry informed that the progress of NESDIS is reviewed time to time and a Chief Nodal Officer and Nodal Officers have been appointed state wise for monitoring the progress of all the schemes. Poor implementation of the central sector scheme is a pointer that the review and monitoring of the project implementation require innovative approach to overcome the problem of poor utilization of the available fund. Ironically, the region continues to suffer from infrastructure-deficit even though there is no dearth of fund. The report also reveals inordinate delay in implementation of projects under the North Eastern Road Sector Development Scheme (NERSDS). The parliamentary committee notes with concern that "the delay is to such an extent that when the projects should have been completed, has now commenced." It reveals that projects worth Rs 1000 crore were approved in 2017 for thee years under NERSDS against which 14 projects costing Rs 981.27 crore were sanctioned only in 2019 "after complete loss of two financial years." Nine of these projects were sanctioned in July-August 2019 while five projects were sanctioned in February and March this year and construction commenced only in the last quarters of 2020. The Committee observes that North East Road Projects are "strategically and economically significant because most of the roads in NER are linked with the international borders which are used in the movement of security personnel and of other essential commodities at the time of need, therefore, keeping these roads in serviceable condition is very important." The Committee also notes that there is a shortfall of Rs. 2165.49 crore in the allocation in 2020-21 against the Ministry's projected amount of Rs. 4495.63 crore for various schemes. The committee's observation that "The shortfall is too steep, particularly under the schemes of the NEC and North East Special Infrastructure Development Scheme and will adversely affect the infrastructure development in the North Eastern Region" is a timely wake-up call to the state governments too undertake serious review in consultation with the ministry to expedite the projects.

Timely submission of the utilization certificates, eliminating errors in preparing the Detailed Project Reports, fixing accountability of the officials concerned are critical to ensuring timely completion of projects and judicious utilization of the sanctioned fund. The issue of poor utilization of fund meant for the region's infrastructure development often gets overshadowed by the falsehood of comparison of percentage increase in allocations by successive governments. Such comparisons are influenced by the tendency of ruling and opposition parties to score brownie points over progress of Northeast region. Public discourses should be focused on utilization of allocated fund rather than on the amount of allocation, on status of the project than the claims made during foundation stone laying functions. Public scrutiny of the projects can be possible only when the implementing authorities ensure transparency. It is time the departments and implementing agencies concerned stop citing the excuse of long period of monsoon season and start working seriously to put in place a robust system of realistic planning and implementation to prevent time and cost overrun.