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Government of India
Ministry of Social Justice & Empowerment
06-September-2005 16:2 IST
Special Component Plan

SPECIAL COMPONENT PLAN

            Scheduled Castes constitute 16.20 % of the total population of the country (2001 census).  The Scheduled Castes suffer on account of several socio-economic deprivation arising out of poor asset base, dependence on wage labour, subsistence level of farming, engagement in scavenging and other unclean occupations and related social evils. was, therefore, evolved by the Planning Commission in 1979 came up with the strategy of Special Component Plan (SCP) in order to expedite their socio-economic development.

            The guidelines envisage that Special Component Plan is to be formulated by States/UTs/Central Ministries to channelise flow of outlays and benefits in their Plans in proportion to the percentage of Scheduled Castes population to the total population.  At present 27 States/UTs having sizeable SC population are formulating and implementing Special Component Plan for the SCs.

Objectives:

            Special Component Plan is not a scheme by itself.  It is an umbrella under which schemes implemented by State and Central Governments are dovetailed by apportioning funds exclusively for SCs for addressing their needs/problems. Its main objectives are:

1.       Direct flow of benefits through family and individual oriented programmes aimed at economic development of the Scheduled Castes, covering the farmers, primary leather workers (flayers, tanners etc.) rural artisans, fishermen, sweepers and scavengers, urban unorganised labourers etc.  The objective is to provide income generating assets and skill so as to enable the SC families to earn sustained income and thereby cross the poverty line.

2.       Benefits to SCs of the services like provision of drinking water, health services, house sites and housing, drainage, link roads etc., and programmes for extending facilities like education, vocational guidance etc.

Implementation of Special Component Plan

            Implementation of Special Component Plan by the State Governments is reviewed by the State Government concerned as well as by the Ministry of Social Justice and Empowerment at the Centre with a view to give a renewed thrust to the strategy for rapid economic development of the SCs, States have been advised to follow Maharashtra Model.  Maharashtra has been following a budgetary mechanism, for earmarking Special Component Plan fund under the demand of the Scheduled Casters Welfare Department of the State.  After the State Legislature passes the demand, the amount is utilized by the SC welfare Department with the help of other line Departments.  This sort of approach help in ensuring provision of resources adequately under SCP, checking any diversion and avoiding any duplication of administrative machinery.

Special Central Assistance (SCA) to Special Component Plan for Scheduled Castes (SCs)

            The Central Government provides 100% grant-in-aid known as Special Central Assistance (SCA) to Special Component Plan (SCP) formulated by State Governments.  The only condition with regard to SCA is that it should be spent for programmes of economic development to enable SC families to cross the poverty line by providing them sustainable income generating means of livelihood.

The Criteria for Allocation of SCA Funds

            Special Central Assistance to Special Component Plan is released to States/UTs on the basis of the following criteria:

First Instalment

i)

SC Population of the States/UTs

40%

ii)

Relative backwardness of the States/Uts

10%

Second Installment

i)

Percentage of SC families in  the States/UTs  covered by composite economic development programmes in the State Plan to enable them to cross  the   poverty line.(of previous financial year).

25%

ii)

Percentage of  SCP to the  Annual  Plan  as  compared  to SC population percentage of  the  States/UTs ( of previous Financial year).

25%

Utilisation of SCA funds by the States/UTs:

            The programmes for which the State Governments could use SCA would vary from State to State and region to region within the same State depending on the local occupational patterns and the economic activities available.  Primarily SCA is to be utilised for income generating activities for the BPL SC families. Apart from this best of SCA can be used for SC women and dalits as follows:

i.                 15% of the total SCA released to the States/UTs in year may be utilized exclusively on viable income generating economic development schemes/programmes for SC women;

ii.                 5% of the total SCA released to the States/UTs in year may be utilised for the economic development of disabled persons among SCs;

iii.                 5% of the total SCA released to the States/UTs in year may be utilised for skill development training programmes.

iv.                 10% of total SCA released in year to the States/UTs in year may be utilised for infrastructure development programme in villages where the SC population is 50% or more.

Utilisation Report

            States are required to furnish quarterly utilisation Certificates.  If the UCs are not submitted in time the unspent/unreported amount shall be deducted from the subsequent installment of SCA. Sometimes, no SCA will be released.

            Some of the States with sizeable SC populations have not been  following the guidelines to the desired effect.

            The Parliamentary Standing Committee on Labour and Employment in its 13th Report recommended that second installment of SCA should be released to the States/UTs after ensuring expenditure of cumulative opening balances of the previous year and 75% utilisation of the first installment for the current year.  The Committee further said that the Planning Commission has been continuously reducing SCA allocations for the last three years viz. Rs. 423 crore in 2000-01, Rs. 407.70 crore in 2001-02 and Rs. 371.62 crore in 2002-03.  The Committee express its dissatisfaction over the dismal performance of the SCA scheme in general and not availing of SCA funds by the seven States in particular.  In the opinion of the Committee, the ultimate sufferer are not the defaulting States but the poor SC families who have been deprived of the benefits of the scheme.  The Committee, therefore, recommend that the Planning Commission should put some embargo on the Annual Plan of the States who fail to utilise the SCA funds properly.

MLD:LK:(back-SCA)(6.9)