NPC to let local bodies decide projects themselves

KATHMANDU, Sept 15:

In yet another effort to delegate more powers to the local bodies, the National Planning Commission (NPC) will hereafter allow the local bodies to decide their projects themselves.

Monday’s meeting of the National Development Action Committee (NDAC) chaired by Prime Minister Sushil Koirala decided not to publish ‘part two’ of the report on district-wise and smaller projects from next fiscal year.

Talking to Republica, NPC Member Chandra Mani Adhikari said that the decision was taken to implement the Local Self Governance Act 1999 and it will also prepare some ground for a federal structure.

“The decision is a major shift from the prevailing practice of making a list of small projects from the center,” said Adhikari. He added that the decision lets them focus on policymaking and proper planning.

As the program book of national projects got thicker the district-wise projects were pulled out to form a separate ‘part two’ but now part two is also getting significantly large. It even contains projects involving just a few thousand rupees.

Local leaders and even lawmakers were found queuing at the ministries and at the NPC for small development projects such as short road stretches and drinking water facilities, among others.

Experts and critics have long been lobbying for changes in the practice of defining projects at the local level and for bringing the dividends of decentralization to the local level.

Adhikari said, “NPC will send a ceiling to the district development committees for the next fiscal year and they will choose the projects themselves and fix the amounts for their projects.”

Likewise, in a major departure in the project development and approval process, NPC will allow line ministries and departments from next fiscal year to approve the breakdown of their projects and programs on their won. This decision has ended the long-standing practice of tabling the breakdown of projects and programs and then seeking approval from NPC. After the Appropriations Bill is approved by parliament, the line ministries and agencies can work out the breakdown of the projects and programs along with the budget amounts and approve these themselves.

It is believed that following these changes, delays in budget approval will be minimized and project implementation expedited.

Source: Republica