Supplementary demand for grants

Subject: Polity

Context:

The Supplementary Demand for Grants 2020-21, introduced in the House included Rs 40,000 crore for enhanced expenditure under Mahatma Gandhi National Rural Employment Guarantee Program

Concept:

• The additional grant required to meet the required expenditure of the government is called Supplementary Grants.
• 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.
• The Public Accounts Committee examines these excesses and gives recommendations to the Parliament.
• Comptroller and Auditor General of India bring such excesses to the notice of the Parliament.
• The Demand for Excess Grants is made after the actual expenditure is incurred and is presented to the Parliament after the end of the financial year in which the expenses were made.