NDRF

Subject:Polity

Context:

The government has come out with the modalities for contributions to the National Disaster Response Fund (NDRF).

Concept:

• As per Section 46(1)(b) of the Disaster Management (DM) Act, 2005, receipt of contributions and grants from any person or institution for the purpose of disaster management in the National Disaster Response Fund (NDRF) can be made.
• The National Disaster Response Fund (NDRF), constituted under Section 46 of the Disaster Management Act, 2005, supplements SDRF of a State, in case of a disaster of severe nature, provided adequate funds are not available in SDRF.
• It is a fund managed by the Central Government for meeting the expenses for emergency response, relief and rehabilitation due to any threatening disaster situation or disaster.
• NDRF amount can be spent only towards meeting the expenses for emergency response, relief and rehabilitation.
• It is financed through the levy of a cess on certain items, chargeable to excise and customs duty, and approved annually through the Finance Bill.
• The requirement for funds beyond what is available under the NDRF is met through general budgetary resources.
• A provision also exists in the DM Act to encourage any person or institution to make a contribution to the NDRF.
• It is kept under “Public Accounts” of Government of India.
• Comptroller and Auditor General of India (CAG) audits the accounts of NDRF.
• Department of Agriculture and Cooperation under Ministry of Agriculture (MoA) monitors relief activities for calamities associated with drought, hailstorms, pest attacks and cold wave /frost while rest of the natural calamities are monitored by Ministry of Home Affairs (MHA).