09 May, 2021

3 Min Read

State Disaster Response Fund

State Disaster Response Fund

The Centre has released the first instalment of the State Disaster Response Fund (SDRF) for 2021-22 to all the States, in the wake of the second wave of COVID-19. Normally, the annual exercise of the release of the first instalment is usually done in June, as per the recommendations of the Finance Commission.

  • As a special dispensation, the Department of Expenditure, Ministry of Finance, at the recommendation of the Home Ministry, has released in advance the first instalment of the Central share of the SDRF.
  • Since Delhi is a Union Territory, the fund is released by the MHA and is included in the Union Budget.
  • State Disaster Response Fund (SDRF) has been constituted under Section 48 (1) (a) of the Disaster Management Act, 2005, based on the recommendations of the 13th Finance Commission.
  • It is the primary fund available with the State governments as part of their response to the notified disasters to meet expenditure on providing immediate relief to victims.
  • The Centre contributes 75% of the allocation for general category States and Union Territories and 90% for special category States (northeastern, Sikkim, Uttarakhand, Himachal Pradesh, Jammu and Kashmir).
  • The annual Central contribution is released in two equal instalments as per the recommendation of the Finance Commission.
  • The allocation to each State depends on its population and utilisation of such funds in the previous financial year.
  • The SDRF is audited by the Comptroller and Auditor General of India (CAG) every year.

Source: PIB

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