Plan panel to be given the go-by

New Delhi: In a significant move that could well be seen as a virtual obituary of the Planning Commission, the Narendra Modi government has asked all ministries and departments to bypass Yojna Bhavan and submit proposals and demands directly to the finance ministry for this year’s budgetary allocations.

Confirming this, government sources said that the joint secretary, who handles Plan expenses in the finance ministry’s expenditure division, has advised all ministries and departments “to send budgetary proposals directly” to North Block.

Sources said the finance ministry noted that normally the “allocations have already been made in the interim budget”, and they should adhere to that. “But in case any unavoidable increase in demand is made, it should be communicated to the finance ministry directly”, the note added.

This is seen in government circles as a step to clip the Planning Commission’s wings as traditionally Yojna Bhavan used to be another hub of activities after the finance ministry in the run-up to the Budget every year.

“The expenditure part of the Budget is divided between Plan and non-Plan heads. The Planning Commission used to be solely responsible for firming up Plan expenditure,” a senior official of the Planning Commission said. “But now, it virtually has no role to play in the government.”