Centrally Sponsored Schemes vs Central Sector Schemes

There are three types of schemes:
  1. Central schemes / Central Sector Schemes:
    1. These schemes are funded and implemented by the union government.
    2. Usually they are schemes related to the subjects over which union government has jurisdiction as per Schedule VII
  2. Centrally Sponsored Schemes:
    1. These schemes are funded by the Union Government or Union as well as State government but implemented by State governments.
    2. Funding pattern may be 50:50,75:25 etc.
    3. North Eastern and Hilly states generally have patter of  90:10
  3. State schemes: These schemes are funded and implemented by the state governments.
Changes in Centrally Sponsored Schemes in recent past? (Facts given for better understanding only)
  • Announced in 2016 Budget : Each scheme will have a sunset date i.e. in the beginning it will be decided till when the scheme will run. Midterm reviews will further decide whether the scheme is to be extended or not.
  • Earlier there were too many schemes, which did not yielded desired result because of:
    • Bureaucratic mindset (Budget maximisation tendency)
    • Duplication of efforts (No coordination among various schemes)
  • Number of schemes are being reduced :
    • UPA : There were 147 Centrally Sponsored Schemes (CSS)
    • In 2013, UPA reduced CSS to 66
    • In 2014, NDA added 6 more CSS leading to total 72 CSS
    • In 2015, NITI Ayog constituted a Panel under Chairmanship of Shiv Raj Singh Chauhan, which recommended to reduce CSS to 27 only.
    • Based on the recommendation of Shiv Raj Singh Chauhan Panel, government is restructuring CSSs.
    • Government has reduced the number of centrally sponsored schemes (CSS) from 66 to 28 umbrella schemes, effective from the financial year 2016-17
How restructuring is being done?
  • Schemes are now classified into three types :
    • Core of the Core (Total 6 schemes)
    • Core  (Total 20 schemes)
    • Optional (Total 2 schemes)
  • Special Category states are : 11 total ( 8 North Eastern states + 3 Himalayan states i.e. Uttarakhand, HP & JK)
  • Funding pattern for these type of schemes would be:
  • For Core of the Core
    • For General Category states : Existing pattern
    • For Special Category states : Existing pattern
  • For Core
    • For General Category states :  60 : 40 (i.e. 60% by centre, 40% by state)
    • For Special Category states :  90 : 10 (i.e. 90% by centre, 10% by state)
  • For Optional
    • For General Category states :  50 : 50 (i.e. 50% by centre, 50% by state)
    • For Special Category states :  80 : 20 (i.e. 80% by centre, 20% by state)
  • Core of the Core Schemes:
    • National Social Assistance Program (For Senior citizens, widows etc.)
    • Umbrella Scheme for SC (All schemes for SC in one)
    • Umbrella Scheme for ST (All schemes for ST in one)
    • Umbrella Scheme for OBC (All schemes for OBC in one)
    • Umbrella Scheme for Minorities (All schemes for Minorities in one)
  • Core Schemes:
    1. Green Revolution
      • Krishi Unnati Yojana
      • Rashtriya Krishi Vikas Yojana
    2. White Revolution – Rashtriya Pashudhan Vikas Yojana (Livestock Mission, Veternary Services and Dairy Development)
    3. Blue Revolution
    4. Pradhan Mantri Krishi Sinchai Yojana
      • Accelarated Irrigation Benefit and Flood Management Program (Har Khet Ko Pani)
      • Per Drop More Crop
      • Integrated Watershed Development Program
    5. Pradhan Mantri Gram Sadak Yojana
    6. National Rural Drinking Water Mission
    7. Swachh Bhart Abhiyan
      • SBA – Rural
      • SBA – Urban
    8. National Health Mission
      • NHM – Rural and Urban Mission
      • NHM – Human Resource in Health and Medical Education
      • NHM – AYUSH
    9. Rashtriya Shasthya Suraksha Yojana
    10. National Education Mission
      • NEM – Sarva Shiksha Abhiyan
      • NEM – Rashtriya Madhyamik Shiksha Abhiyan
      • NEM – Teacher’s Training and Adult Education
      • NEM – Rashtriya Ucchatar Shiksha Abhiyan
    11. Mid Day Meals Program
    12. Integrated Child Development Scheme (Umbrella ICDS)
      • Core ICDS
      • National Nutrition Mission
      • Maternity Benefits Program
      • Scheme for Adolescent Girls
      • Integrated Child Protection Schemes
    13. Pradhan Mantri Awas Yojana
      • PMAY – Rural
      • PMAY – Urban
    14. Forestry and Wild Life
      • National Mission for Green India
      • Integrated Development of Wildlife Habitats
      • Conservation for Natural Resources and Ecosystems
    15. Urban Rejuvenation Missions – SMART Cities and AMRUT
    16. Modernisation of Police Forces
    17. Infrastructure Facilities for Judiciary
    18. Member of Parliament Local Area Development Schemes
  • Optional Schemes: (Because all states don’t need them)
    1. Border Area Development Program
    2. National River Conservation Plan

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