Supplementary demands for grants
- July 21, 2021
- Posted by: OptimizeIAS Team
- Category: DPN Topics
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Supplementary demands for grants
Subject: Polity
Context: In the Supplementary demands for grants for current fiscal, the single largest outgo proposed is ₹10,727.50 crore, which will be spent on meeting expenditure towards Grants-in-aid General under the National Rural Health Mission – India Covid-19 Emergency Response and Health System Preparedness Package Phase-II.
Concept:
Supplementary demands for grants
- Article 115 of the constitution provides for Supplementary, additional or excess grants.
- They are additional grants which are required to meet the expenditure of the government
- The Comptroller and Auditor General of India bring such excesses to the notice of the Parliament.
- Supplementary demands for grants is presented in each of the three sessions of Parliament Monsoon, Winter and Budget — when the amount authorised for the current financial year is in sufficient,
- The Public Accounts Committee examines these excesses and gives recommendations to the Parliament.
The need
- The need arises for additional expenditure on an existing service or a new service not contemplated in the annual financial statement for that year, and for recouping the Contingency Fund Advance.
- When actual expenditure incurred exceeds the approved grants of the Parliament, the Ministry of Finance and Ministry of Railways presents a Demand for Excess Grant.
- It is needed for government expenditure over and above the amount for which Parliamentary approval was already obtained during the Budget session.
- When grants, authorised by the Parliament, fall short of the required expenditure, an estimate is presented before the Parliament for Supplementary or Additional grants.
- These grants are presented and passed by the Parliament before the end of the financial year.