Sukhvinder Singh Sukhu Says MLA Area Development Fund Release Under Review

Chief Minister Sukhvinder Singh Sukhu on Wednesday said the government is reviewing how much of the MLA Area Development (LAD) Fund can be released to legislators in view of the state’s strained financial position.

He was responding to a query raised by Jogindernagar MLA Prakash during Question Hour in the Himachal Pradesh Vidhan Sabha.

Funds to Mahila Mandals

Sukhu pointed out that funds had already been extended to 543 Mahila Mandals from the MLA Area Development Fund, despite a 10 per cent ceiling on such allocations. He suggested that the money could have been used instead to complete pending development works.

He also informed the House that two instalments of the MLA LAD Fund had been released to all MLAs before July 5, 2025.

Opposition’s Sharp Reaction

The issue triggered strong reactions from the Opposition Bharatiya Janata Party (BJP) benches.

An agitated Rana remarked that if MLAs lack adequate powers or funds to address public concerns, the very purpose of being an elected representative is undermined.

“If I cannot help the people who elected me and who have expectations from their MLA, should I not resign?” he asked.

Consultation with LoP Assured

Sukhu maintained that the 2025–26 Budget remains valid until March 31, 2026, and assured members that the government would deliberate on releasing further instalments.

He added that the government would consult Leader of the Opposition Jai Ram Thakur to explore ways to ensure availability of both the MLA Area Development Fund and the Discretionary Fund, particularly in light of the discontinuation of the Revenue Deficit Grant (RDG).

BJP Questions Priorities

Jai Ram Thakur questioned the government’s priorities, asking how ₹2 crore could be disbursed to Mahila Mandals while MLA funds remained pending. He urged immediate release of the remaining two instalments of ₹1.10 crore, emphasising that Budget allocations approved by the Assembly must be honoured.

The debate highlights growing fiscal pressures in Himachal Pradesh and the broader political tussle over fund allocation amid uncertainty over central financial assistance.

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