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Volume I

Chapter 1: Summary of Recommendations Finances of Union and States Goods and Services Tax Union Finances State Finances Sharing of Union Tax Revenues Revised Roadmap for Fiscal Consolidation Local Bodies Disaster Relief Grants-in-aid NPRD and Performance Incentive Elementary Education Environment Improving Outcomes Maintenance of Roads and Bridges State-specific Needs Monitoring Chapter 2: Introduction Terms of Reference Administrative Arrangements Key Activities Consultations Workshops and Seminars Visits of the Commission Studies Commissioned and Other Inputs Working Groups and Task Forces Other Meetings Acknowledgements Chapter 3: Issues and Approach Introduction Approach to Fiscal Consolidation Considerations in Recommending the Design of Fiscal Transfers Vertical Devolution: Issues and Approach Horizontal Devolution: Issues and Approach Principles Governing the Design of Grants State-specific Grants: Approach 1 1 1 2 2 3 4 6 8 8 8 8 9 9 10 10 10 12 12 14 14 15 16 17 18 18 19 20 21 21 25 26 31 34 35 38


Thirteenth Finance Commission Assignment of Resources to Local Bodies: Issues Assignment of Resources to Local Bodies: Approach Chapter 4: Review of Union and State Finances Introduction Review of Central Finances Gross Tax Revenues of the Centre Trends in Non-tax Revenues Trends in the Centre’s Expenditure Summary Review of State Finances Trends in Aggregate Fiscal Indicators Trends in Aggregate Revenues of States Trends in Aggregate Expenditure of States Power and Irrigation Subsidies State Level Public Sector Undertakings Summary State Finances: A Comparative Perspective Own Tax Revenues Expenditure of States Summary Trends in Inter-governmental Transfers Vertical Imbalance Policy Implications Chapter 5: Goods and Services Tax Introduction Views of State Governments Views of the Central Government Impact of GST on Foreign Trade Report of the FC-XIII Task Force The Model GST Outline of the Model GST Operational Modalities Benefits from Supporting the Model GST Concerns of State Governments Revenue from Certain Products Dilution of Fiscal Autonomy of States Compensation Mechanism Checkposts The Grand Bargain Binding Agreement between Centre and States Disincentives for Non-compliance Compensation/Incentive Grants Implementation Schedule of the Model GST Modalities for Disbursing Compensation 38 39 41 41 42 45 46 46 49 49 50 51 53 53 53 54 54 58 59 59 60 61 61 63 63 64 65 65 66 67 67 69 70 71 71 71 71 72 72 72 73 73 74 74


Assessment of Revenue and Expenditure: Basic Approach Gross State Domestic Product Base Year Projections Own Tax Revenue Base Year Estimates Projections Own Non-tax Revenues Interest Receipts Dividends and Profits Elections Lotteries and Miscellaneous General Services Royalties Power Forestry and Wildlife Irrigation Other Non-tax Revenues Non-plan Revenue Expenditure Salary Pension Arrears Interest Payments Elections Compensation and Assignment to Local Bodies Committed Liabilities 75 75 76 77 77 77 78 79 80 81 81 82 82 85 86 87 88 88 88 89 89 90 91 91 92 93 94 94 94 94 95 95 95 95 95 96 97 98 98 98 99 99 99 iii .Contents The Way Forward Impact of GST on Projections made by the Finance Commission Summary of Recommendations Chapter 6: Union Finances: Assessment of Revenue and Expenditure Introduction Scope of the Chapter The Consultative Process Policy Considerations Informing the Assessment Reassessment of Base Year 2009-10 Projections for the Award Period Tax Revenues Non-tax Revenues Non-plan Expenditure Plan Expenditure Capital Receipts and Expenditure Summary of Recommendations Chapter 7: State Finances: Assessment of Revenue and Expenditure and Structural Reforms A.

Thirteenth Finance Commission Irrigation Roads and Bridges Food Subsidy and Other Non-plan Expenditure Summary of Assessment B. Structural Reforms at the State Level: Performance of State Public Sector Undertakings Finalisation of Accounts Measures to Enhance Financial Viability of SPSUs Power Sector Projected Finances of State Power Utilities Financial Exposure of States to Power Utilities Projection of Total Financing Requirements of Power Sector Recommendations New Pension Scheme Cash Management Accounting Reforms Uniform Adoption of the Coding System in Accounts Uniform Booking of Expenditure under Different Heads Contra Entries Funds Outside the Budget Framework Appendices to Finance Accounts Statement of Subsidies Statement of Salaries Statement of Maintenance Expenditure Summary of Recommendations Chapter 8: Sharing of Union Tax Revenues Vertical Devolution Views of the Union and the States Recommendations on Vertical Distribution Horizontal Sharing Views of State Governments Criteria for Horizontal Sharing End Note Chapter 9: Revised Roadmap for Fiscal Consolidation The Overall Macro-fiscal Position: Assessment and Targets Stakeholders’ Views on Existing FRBM Network Central Government: Roadmap and Recommendations Fiscal Targets Reforms to FRBM Legislation Making the FRBM Process More Transparent and Comprehensive Sensitivity to Shocks and Countercyclical Changes Monitoring and Compliance State Finances: Roadmap and Recommendations General Category States Special Category States 101 102 102 102 102 103 103 104 104 105 106 106 107 108 108 109 110 110 110 110 111 111 111 111 112 114 114 114 115 118 119 119 124 125 125 127 128 128 131 135 135 137 137 138 139 iv .

Ministry of Rural Development State Governments’ Views Consultations with Local Body Representatives in State Capitals Planning Commission Eleventh Plan Document Administrative Reforms Commission National Commission for Review of the Constitution Studies/Seminars Sponsored by FC-XIII Conference on ‘Empowering Panchayati Raj Institutions’ Study of Municipal Best Practices Urban Property Tax Potential in India: Cities and Towns Institutions to Assist Municipalities in Assessing Property Tax Municipal Property Assessment Corporation West Bengal Valuation Board Data Collected by the Commission Issues to be Addressed by the Commission Devolution-Related Issues Accounts of Local Bodies Audit and Accountability of Local Bodies State Finance Commissions Role of Other Development Authorities Nagar Panchayats Areas Where Parts IX and IX A do not Apply Recommendations 140 141 141 142 143 146 146 147 149 149 149 149 150 150 151 151 152 152 153 153 154 155 156 156 157 158 158 160 160 160 162 162 164 164 165 165 166 166 167 169 170 171 172 172 173 v .Contents Monitoring and Compliance Consolidated Fiscal Roadmap Debt Relief for States Debt Consolidation and Relief Facility of FC-XII Loans from National Small Savings Fund Loans not Consolidated in 2005-10 Implementation and Compliance Summary of Recommendations Chapter 10: Local Bodies Introduction Previous Finance Commissions’ Flows to Local Bodies Framework for Recommendations Quantum of Flows Basis of Horizontal Distribution Utilisation of Funds Allocated by the Previous Commissions Conditionalities Imposed Treatment of Schedule V and VI Areas Other Recommendations to Augment Consolidated Fund of States Views Expressed During Consultations Ministry of Panchayati Raj Ministry of Urban Development Department of Drinking Water Supply.

2005 Disasters Administrative Mechanism Roles and Responsibilities in Relief Operations Financing Arrangements Views of the Central Government Department of Agriculture and Cooperation Ministry of Home Affairs Views of NDMA Ministry of Finance Planning Commission Views of the State Governments Allocation to CRF Additional Expenditure Over and Above CRF Sharing Pattern Norms for Expenditure List of Calamities NCCF Disaster Management Act International Experience Australia 173 178 180 180 182 182 182 183 184 184 184 184 184 184 186 186 186 187 188 188 189 189 190 190 190 190 190 191 191 191 191 192 192 192 192 192 193 193 193 193 193 193 194 194 194 vi .Thirteenth Finance Commission Grants to Local Bodies Incentive Framework for General Performance Grant Incentive Framework for Special Area Performance Grant Processes for Release of Funds Role of Other Development Authorities Areas Where Parts IX and IX A do not Apply Revamping Fire and Emergency Services Strengthening the Local Body Framework Changes to Finance Accounts Other Measures to Strengthen Local Bodies Payment of Service Charges Sharing of Mining Royalties Setting up SFC-like Bodies in Areas not Covered by Part IX Summary of Recommendations Chapter 11: Disaster Relief Terms of Reference Approach of Previous Finance Commissions Studies Commissioned Existing System Calamity Relief Funds National Calamity Contingency Fund Additional Central Assistance Convergence with CSS Overall Disaster Management Disaster Management Act.

Contents United States of America Canada South Africa Japan Brazil The Indian Context Review of the Existing Schemes CRF and NCCF List of Natural Calamities Existing Schemes and Disaster Management Act Administrative Mechanisms Risk Transfer and Insurance Recommendations Financing Arrangements Disaster Mitigation Allocations for the SDRFs List of Calamities Capacity Building Fund for Pooled Procurement Risk Pooling and Insurance Administrative Mechanism Summary of Recommendations Chapter 12: Grants-in-Aid Introduction Post-devolution Non-plan Revenue Deficit Grant Performance Incentive Grant for Elementary Education Environment Related Grants Forest Grants Incentive for Grid Connected Renewable Energy Incentive Grants for Water Sector Management Grants for Improving Outcomes Incentive Grants Improving Justice Delivery Police Training Promoting Innovation Improving Transparency in Government Accounts Grants for Maintenance of Roads and Bridges State-specific Grants Andhra Pradesh Arunachal Pradesh Assam Bihar Chhattisgarh Goa 194 194 195 195 195 195 195 195 196 196 196 196 197 197 198 199 200 201 201 201 202 202 203 203 204 206 206 208 213 214 215 216 217 220 222 222 224 226 227 228 229 230 231 231 232 vii .

Thirteenth Finance Commission Gujarat Haryana Himachal Pradesh Jammu & Kashmir Jharkhand Karnataka Kerala Madhya Pradesh Maharashtra Manipur Meghalaya Mizoram Nagaland Orissa Punjab Rajasthan Sikkim Tamil Nadu Tripura Uttar Pradesh Uttarakhand West Bengal General Conditionalities Monitoring Chapter 13: Looking Ahead: Towards a New Architecture for Federal Finance 233 233 234 234 236 237 238 238 239 240 241 242 242 243 244 245 245 247 247 249 250 251 251 252 254 viii .

1: Centre: Profile of Fiscal Indicators 4.16: Relative Shares of Centre and States in Revenue and Total Expenditures Goods and Services Tax 5.2: Summary of Assessment 7.9: Trends in Aggregate State Revenue Receipts 4.1: Estimates of the Tax Base of GST by Different Approaches 5.1: State-wise Share in Total Transfers (Tax devolution + Grants) as Recommended by Different FCs and its Deviation from the Mean Share Review of Union and State Finances 4.11: Comparative Performances of States: Revenue and Fiscal Deficits 4.5: Trends in Central Government Expenditure 4.2: Grants-in-Aid to States Introduction Box 2.15: Share of the Centre in Combined Revenue Receipts Before and After Transfers 4.4: Net Losses of State T&D Utilities at 2008 Tariffs 7.5: Status of Tariff Revision in States 4 10 Chapter 2: 17 Chapter 3: 28 Chapter 4: 43 44 44 45 47 47 50 50 51 52 55 56 57 58 61 62 Chapter 5: 67 73 81 Chapter 6: Chapter 7: 88 102 105 105 105 ix .1: Research Studies Issues and Approach 3.12: Outstanding Debt Relative to GSDP: State-wise Position 4.3: Outstanding Liabilities of the Central Government 4.13: Own Tax Revenues: Comparative Performance of States 4.8: State Finances: Sources of Fiscal Correction 4.10: Aggregate State Finances: Expenditure Indicators 4.4: Major Taxes of the Centre: Performance since 2003-04 4.14: States: Comparative Trends in Expenditure 4.1: Past Performance and Projections of the States’ Receipts and Expenditure 7.2: Scheduling of GST Grant Union Finances: Assessment of Revenue and Expenditure 6.7: Aggregate State Finances: Fiscal Indicators 4.1: Inter se Shares of States 1.Contents TABLES AND BOXES Chapter 1: Summary of Recommendations 1.3: Net Losses of State T&D Utilities 7.6: Explicit Subsidies Relative to the Centre’s Revenue Receipts 4.1: Tax-GDP Ratio State Finances: Assessment of Revenue and Expenditure and Structural Reforms 7.2: Fiscal Correction at the Centre: 2003-04 to 2007-08 4.

2: Accounting System Under Calamity Relief Fund Chapter 12: Grants-in-Aid 12.3: Share of States other than Jammu & Kashmir in the Service Tax 8.1: Releases from NCCF Box 11.2: Adjusted Debt Stock of Central Government 9.2: Inter se Shares of States 8.3: Post-Devolution Non-Plan Revenue Deficit/Surplus 12.3: Fiscal Consolidation Path for the Centre 9.Plan Revenue Deficit Grant 12.5: FD Path for General Category States with RD in 2007-08 9.1: Aggregate Position of Centre and States 9.4: Recommended Grants for Local Bodies 10.1: Amounts Allocated by Previous FCs and Amounts Drawn 10.7: Investment Requirements of Generation. Transmission and Distribution 7.7: Consolidated Fiscal Reform Path of Centre and States 9.1: National Small Savings Fund Chapter 10: Local Bodies 10.9: Total Financing Requirements of Power Sector Chapter 8: Sharing of Union Tax Revenues 8.6: FD Path for Special Category States with High Base FD 9.5: Weights Allotted to Criteria for Grants to Local Bodies Chapter 11: Disaster Relief 11.1: Criteria and Weights for Tax Devolution 8.9: Interest Rates Applicable on Loans from NSSF Box 9.3: Areas Where Provisions of Parts IX and IXA do not Apply 10.1: Margin Money Scheme Box 11.5: Scheduling of IMR Incentive Grant 12.4: Average Devolution as Percentage of GSDP Revised Roadmap for Fiscal Consolidation 9.2: Pre-Devolution Non-Plan Revenue Deficit/Surplus 12.8: Projected Income from Power Sector 7.7: Total Finance Commission Transfers to States (2010-15) 106 106 106 106 122 122 123 123 Chapter 9: 125 130 131 138 139 139 141 142 144 143 151 163 172 174 177 189 187 188 204 205 205 206 219 252 253 x .2: International Experience on Property Tax Collections 10.6: Grants-in-Aid for State-specific Needs 12.4: RD Path for General Category States with RD in 2007-08 9.Thirteenth Finance Commission 7.6: Financial Exposure of the States to Power Utilities 7.4: Non.8: Summary of Performance under DCRF 9.1: Grants-in-aid to States 12.

1: GSDP Projections Fig. 7.3: Reduction (+) in Revenue Deficit in Special Category States: 2007-08 over 2004-05 Fig.1: Effective Rate of Interest of NSSF Loans to Centre and States Disaster Relief Figure 11. 7.4: Relative Shares of States in Combined Revenue and Total Expenditure State Finances: Assessment of Revenue and Expenditure and Structural Reforms Fig. 4. Indirect and Total (1970-71 to 2009-10 (BE)) Fig. 9.1: Projections made by FCs 46 56 56 62 Chapter 7: 90 93 Chapter 9: 144 Chapter 11: 187 xi .Contents FIGURES AND GRAPHS Chapter 4: Review of Central and State Finances Fig.2: Tax-GSDP Ratio Revised Roadmap for Fiscal Consolidation Fig. 4.1: Centre’s Tax-GDP Ratio: Direct. 4.2: Reduction (+) in Revenue Deficits in General Category States: 2007-08 over 2004-05 Fig.4.

19: Seminar Organised by National Institute of Public Finance and Policy (NIPFP) on ‘Issues Related to India’s Fiscal System’ on 15 November 2008 259 261 262 263 264 265 266 267 269 271 273 278 279 281 282 284 285 287 289 xii .17: International Seminar on Challenges before the Thirteenth Finance Commission Organised by the Foundation for Public Economics and Policy Research (FPEPR) at India Habitat Centre. Kolkata. Bengaluru Annex 2.B.13: Meetings held with the Accountants General of States Annex 2.N.2: Notification Regarding Appointment of Dr. New Delhi Annex 2. and Shillong Annex 2. Infosys Technologies.14: Workshop on Issues Relating to ‘Finances of Local Self-Government’ held at J. on 27 March 2008 Annex 2. New Delhi. Chandigarh on 5 April 2008 Annex 2. New Delhi on 17 May 2008 Annex 2.10: Commission Meeting Annex 2.7: Ministry of Finance’s Letter Dated 28 November 2008 Regarding Delegation of Powers of ‘Department’ of the Central Government to the Thirteenth Finance Commission Annex 2.Chavan Centre.Tata Hall. Sanjiv Misra as Member of the Finance Commission vice Dr.3: Notification Regarding Addition in ToR Annex 2.9: Rules of Procedure Annex 2.18: Seminar on ‘Issues Before the Thirteenth Finance Commission’ Organised by National Institute of Public Finance and Policy (NIPFP) held on 23-24 May 2008 Annex 2.6: List of Functionaries Annex 2.15: Meeting on ‘Priorities Before the Thirteenth Finance Commission’ held at Y.1: Ministry of Finance (Department of Economic Affairs): Notification Regarding Constitution of the Commission Annex 2.8: Public Notice Annex 2.16: Conference of ‘Special Problems and Prospects of Development of Border Areas’ Organised by the Centre for Research in Rural and Industrial Development (CRRID).5: List of Sanctioned Posts Annex 2.4: Notification Regarding Extension of Term of Finance Commission Annex 2. Abusaleh Shariff Annex 2.Thirteenth Finance Commission Volume II ANNEXES Chapter 2: Introduction Annex 2.11: Meeting with Economists and Economic Administrators at Chennai. Pune.12: Meeting with Chairmen and Members of Previous Finance Commissions held at India International Centre. Mumbai.

New Delhi on 14 November 2008 Annex 2.crore) Annex 6.26: Meetings with Departments/Ministries of Central Government Annex 2.2: Revenue Transfers from Centre to States as Percentage of Gross Revenue Receipts of the Centre Union Finances: Assessment of Revenue and Expenditure Annex 6. New Delhi on 2 June 2009 Annex 2.3: Non-Plan Expenditure: Government of India (Rs. crore) Annex 6.2: Annual Growth Rate of GSDP Annex 7.27: Itinerary of Finance Commission’s Visits to States Annex 2. Gujarat on 22-23 December 2008 Annex 2. Mussoorie.4: Debt Stock Annex 7.21: Workshop on ‘Empowering the Panchayati Raj’ held at the Institute of Rural Management.1: Projections Furnished by State Governments for 2010-15 Annex 7. Anand (IRMA).31: List of Personalities who called on the Chairman Chapter 4: Review of Union and State Finances Annex 4.24: List of Participants of the Meeting with the Empowered Committee of State Finance Ministers at Vigyan Bhawan Annexe.Contents Annex 2.4: Non-plan Expenditure: Government of India (% of GDP) State Finances: Assessment of Revenue and Expenditure and Structural Reforms Annex 7.28: Lists of Participants in Meetings of the Thirteenth Finance Commission during State Visits Annex 2.22: Workshop on ‘Development of Good Governance Index for the States in India’ Organised by National Institute of Administrative Research.29: Itinerary of the Commission’s Visit to the USA and Canada: 15-24 October 2008 Annex 2. at India International Centre.2: Revenue Receipts: Government of India (% of GDP) Annex 6. Patna held on 13 December 2008 Annex 2.5: Provision for Committed Liabilities of Completed Plan Schemes 290 292 294 296 297 300 301 302 303 369 371 373 375 376 Chapter 6: 377 378 379 380 Chapter 7: 381 382 383 384 385 xiii .1: Percentage Composition of Revenue Transfers from the Centre to States Annex-4.3: Tax-GSDSP Ratio Annex 7.20: Workshop on ‘Inter-State and Intra-State Economic Disparities in India: Implications for the Thirteenth Finance Commission’ Organised by Asian Development Research Institute (ADRI). New Delhi on 16 September 2008 Annex 2.1: Revenue Receipts: Government of India (Rs.23: Conference on ‘India’s Medium Term Macro-Economic and Fiscal Outlook’ held at India International Centre.30: List of Studies Commissioned Annex 2.25: Meeting between the Finance Commission and the Planning Commission on 23 October 2009 Annex 2.

2005-06 and 2006-07) Annex 8.1: Criteria and Weights Suggested by the States in their Memoranda Submitted to the Thirteenth Finance Commission Annex 8. 2701 & 2702) Assessed Own Revenue Receipts and Non-plan Revenue Expenditure: Andhra Pradesh Arunachal Pradesh Assam Bihar Chhattisgarh Goa Gujarat Haryana Himachal Pradesh Jammu & Kashmir Jharkhand Karnataka Kerala Madhya Pradesh Maharashtra Manipur Meghalaya Mizoram Nagaland Orissa Punjab Rajasthan Sikkim Tamil Nadu Tripura Uttar Pradesh Uttarakhand West Bengal 386 387 387 388 388 389 389 390 390 391 391 392 392 393 393 394 394 395 395 396 396 397 397 398 398 399 399 400 400 Chapter 8: Sharing of Union Tax Revenues Annex 8.2: Population of States Annex 8.Thirteenth Finance Commission Annex 7.5: Tax-GSDP Ratio (average of 2004-05.3: Area of States Annex 8.4: Per Capita Comparable GSDP Annex 8.2: Fiscal Deficit (Past Trends and Future Targets) Annex 9.6: Annex 7.7: Maintenance Expenditure Projected for Irrigation (MH-2700.1: Outstanding Debt (Base year and Future Projections) Annex 9.6: Index of Fiscal Discipline Revised Roadmap for Fiscal Consolidation Annex 9.3: Revenue Deficit (Past Trends and Future Targets) 401 404 405 406 407 408 Chapter 9: 409 410 411 xiv .

4: Sample Calculations for Assumed Achievement during Award Period 414 416 419 422 424 427 429 433 434 435 436 437 438 439 440 441 442 443 444 445 446 447 448 449 Chapter 11: 450 451 452 Chapter 12: 453 454 455 456 xv .15d:State-wise Composite Share .1: Data Collected by the Commission Annex 10.9c: Rural and Urban Population Annex 10.2: State Disaster Relief Fund: Centre’s and States’ Share (2010-15) Annex 11.5: Template for Reports of the State Finance Commissions Annex 10.Special Areas Performance Grant and Aggregate Grant Disaster Relief Annex 11.2: Grants-in-aid for Forests Annex 12.5: Chapter 10: Interest Relief on NSSF Loans Central Loans Administered by Ministries Other than Ministry of Finance 412 413 Local Bodies Annex 10.1: Grants-in-aid for Elementary Education (Major Head 2202-Sub Major Head-01) Annex 12.2: SFC-I Reports: Constitution and Submission SFC-II Reports: Constitution and Submission SFC-III Reports: Constitution and Submission Annex 10.7: Index of Devolution (Non-plan Revenue Grants Aggregated for 2005-06.9b: SC/ST Population Annex 10.1: State Disaster Relief Fund (2010-15) Annex 11.15b:State-wise Composite Share -General Performance Grant Annex 10.13: State-wise Allocation to ULBs Annex 10.8: Comparable GSDP of States Annex 10.Contents Annex 9.3: Number of Local Bodies at Different Tiers Annex 10.14: State-wise Composite Percentage Shares Annex 10.10a:Income Distance: Per Capita GSDP (Primary Sector) Annex 10.4: Annex 9.Special Areas Basic Grant Annex 10.3: Projections for Non-plan Revenue Expenditure under Forestry and Wildlife (Major Head 2406) Annex 12.3: Grant for Capacity Building Grants-in-Aid Annex 12.15a:State-wise Composite Share -General Basic Grant Annex 10. 2006-07 and 2007-08) Annex 10.9a: Area Annex 10.11a:FC Local Body Grants Utilisation Index (Grants to Panchayati Raj Institutions) Annex 10.4: State-wise Position of Audit of Local Bodies Annex 10.11b:FC Local Body Grants Utilisation Index (Grants to Urban Local Bodies) Annex 10.15c:State-wise Composite Share .12: State-wise Allocation to PRIs Annex 10.6: Aggregate Special Areas Grant Annex 10.10b:Income Distance: Per Capita GSDP (Excluding Primary Sector) Annex 10.

13: Concept Note and Guidelines for Setting Up of the Centre for Innovations in Public Systems (CIPS) Annex 12. Normal NPRE (under Major Heads 2700.10: Formula for Incentive Grants for Reduction of IMR Annex 12.6: Total Projected NPRE. 2701 and 2702).Thirteenth Finance Commission Annex 12. Recovery Rate for Irrigation and Grants-in-Aid for Water Sector Annex 12.16: Grants-in-Aid for Maintenance of Roads and Bridges Annex 12.17: Projections for Non-plan Revenue Expenditure under Roads and Bridges (Major Head 3054) 457 458 461 462 463 464 467 468 469 473 474 475 476 xvi .7: Recovery Rate for Irrigation in 2009-10 (BE) Annex 12.14: State-wise Grants for District Innovation Fund and for Improving District and State Statistical Systems Annex 12.8: Conditionalities for the Release of Incentive Grants for Water Sector Annex 12.11: Simulated Calculations for Change in Infant Mortality Rate Annex 12.15: Template for Employee Data Base Format Annex 12.12: Allocation of Grants for Improving Delivery of Justice Annex 12.9: Incentive Grant for UID Annex 12.5: Grants-in-Aid for Water Sector Annex 12.

Contents GLOSSARY AAY ACA ADB ADC ADR ADRI AE AGM AP APDRP ARWSP ASCI AT&C ATF ATR AWP&B BE BPL BRGF BT C&AG CAMPA CASI CBI CBO CBRN CENVAT CEO CEPA CERC CESP CFI CGA CGE CIDDR CII CIPS CPC CPR CRA CRF CRISIL CRRID Antyodaya Anna Yojana Additional Central Assistance Asian Development Bank Autonomous District Council Alternate Dispute Resolution (mechanism) Asian Development Research Institute Advance Estimates Annual General Meeting Andhra Pradesh Accelerated Power Development and Reforms Program Accelerated Rural Water Supply Program Administrative Staff College of India (Hyderabad) Aggregate Transmission and Commercial (losses) Aviation Turbine Fuel Action Taken Report Annual Work Plans and Budgets Budget Estimates Below Poverty line Backward Regions Grant Fund Black Top (roads) Comptroller and Auditor General (of India) Compensatory Afforestation Fund Management and Planning Authority Centre for Advanced Studies of India Crucial Banking Investment Civic Body Organization Chemical. Biological. Radiological and Nuclear Central Value Added Tax Chief Executive Officer Committee of Experts on Public Administration Central Energy Regulatory Commission Centre for Economic Studies and Planning Consolidated Fund of India Controller General of Accounts Computable General Equilibrium Central ID Data Repository Confederation of Indian Industry Centre for Innovations in Public Systems Central Pay Commission Centre for Policy Research Central Recordkeeping and Accounting Agency Calamity Relief Fund Credit Rating Information Service of India Limited Centre for Research in Rural and Industrial Development xvii .

Thirteenth Finance Commission CSO CSS CST CTJW CVB CVD DA DCRF DDRF DFAA DfID DFPRs DIF DM Act DMF DPC DPR DRF EAC EC EMA ER ERF ESCO EU FC FEMA FFF FICCI FPEPR FRBMA FRL FSI FWP GASAB GBM GBS GCS GDP GFR GIC GIS GoI GPF GSDP G-sec GST Central Statistical Organization Centrally Sponsored Scheme Central Sales Tax Counter Terrorism and Jungle Warfare Central Valuation Board Countervailing Duty Dearness Allowance Debt Consolidation and Relief Facility District Disaster Response Fund Disaster Financial Assistance Arrangements Department for International Development (UK) Delegation of Financial Powers Rules District Innovation Fund Disaster Management Act Disaster Mitigation Fund Duties. Functions and Functionaries Federation of Indian Chambers of Commerce and Industry Foundation for Public Economics and Policy Research Fiscal Responsibility and Budget Management Act Fiscal Responsibility Legislation Forest Survey of India Food for Work Program Government Accounting Standards Advisory Board General Body Meeting Gross Budgetary Support General Category States Gross Domestic Product General Financial Rules General Insurance Corporation Geographic Information System Government of India General Provident Fund Gross State Domestic Product Central Government Securities Goods and Services Tax xviii . Powers and Conditions of Service (Act) Detailed Project Reports Disaster Response Fund Economic Advisory Council Empowered Committee of State Finance Ministers Emergency Management Australia Earthen Roads Environment Relief Fund Electricity Services Company European Union Finance Commission Federal Emergency Management Agency Funds.

Contents HDI HMGP HSD HVDS IAY ICDS ICRIER IDF IDFC IDRC IDS IEG IEO IIFM IIM IIPA IIT IMC IMR INTACH IPU IRDA IRMA ISP IT ITC ITI J&K JICA JNNURM JV LIC LPG LSG MBBC MD MDG MFI MHA MHRD MIS MNRE MODVAT MoEF MoF MoU MoWR Human Development Indicator Hazard Mitigation Grant Program High Speed Diesel High Voltage Distribution Systems Indira Awas Yojana Integrated Child Development Scheme Indian Council for Research on International Economic Relations India Development Foundation Industrial Development and Finance Corporation International Development Research Centre Institute of Development Studies Institute of Economic Growth Independent Evaluation Office Indian Institute of Forestry Management Indian Institute of Management Indian Institute of Public Administration Indian Institute of Technology International Management Centre Infant Mortality Rate Indian National Trust for Art and Cultural Heritage Irrigation Potential Utilised Insurance Regulatory and Development Authority Institute of Rural Management. Anand India Statistical Project Information Technology Input Tax Credit Industrial Training Institute Jammu and Kashmir Japan International Cooperation Agency Jawaharlal Nehru National Urban Renewal Misison Joint Venture Life Insurance Corporation Liquified Petroleum Gas Local Self-Government Maharaja Bir Bikram Singh College (Agartala) Managing Director Millennium Development Goals Micro-Finance Institution(s) Ministry of Home Affairs Ministry of Human Resource Development Management Information System Ministry of New and Renewable Energy Modified Value-Added Tax Ministry of Environment and Forests Ministry of Finance Memorandum of Understanding Ministry of Water Resources xix .

Thirteenth Finance Commission MPAC MPTC MRP MS MSP MSS MTFP MW MYT NABARD NALSA NCA NCAER NCCF NCS NDC NDMA NDRF NDRRA NEC NELP NFCR NGO NIAR NIC NIF NIPFP NMAM NPNFC NPRD NPRE NPS NPV NREGS NRHM NSDL NSSF NSSP NTFP O&M OPD OTR OTS PA PDS PE PEAIS Municipal Property Assessment Corporation Manipur Police Training College Maximum Retail Price Motor Spirit Minimum Support Price Market Stabilisation Scheme Medium Term Fiscal Plan Mega Watt Multi-Year Tariff National Bank for Agricultural and Rural Development National Legal Services Authority Normal Central Assistance National Council of Applied Economic Research National Calamity Contingency Fund National Commission on Statistics National Development Council National Disaster Management Authority National Disaster Response Fund Natural Disaster Relief and Recovery Arrangement National Executive Committee New Exploration Licensing Policy National Fund for Calamity Relief Non-Governmental Organisation National Institute of Administrative Research National Informatics Centre National Innovation Foundation National Institute of Public Finance and Policy National Municipal Accounts Manual Non-Plan Non-Finance Commission (grants) Non-Plan Revenue Deficit Non-Plan Revenue Expenditure New Pension Scheme Net Present Value National Rural Employment Guarantee Scheme National Rural Health Mission National Securities Depository Limited National Small Savings Fund National Strategic Statistical Plan Non-Timber Forest Produce Operation and Maintenance Out Patient Department Own Tax Revenue One-Time Settlement (scheme) Public Assistance Public Distribution System Provisional Estimates Panchayati Empowerment Accountability and Incentive Scheme xx .

Contents PESA PFRDA PHC PIB PLI PMGSY PPP PRI PS PSC PSE PSU PTG R-APDRP RBI RCCE RE RGGVY RGI RIDF RNR RSBY RTE RTI SALSA SARC SC SCS SDMA SDRF SDS SEB SEC SERC SEWA SFC SFR SHG SLC SLDC SOE SPCB SPSE SPSU SPT SPU Panchayats (Extension to Scheduled Areas) Act Pension Fund Regulatory and Development Authority Primary Health Centre Public Investment Board Public Liability Insurance (Act) Pradhan Mantri Gram Sadak Yojana Public Private Participation Panchayati Raj Institution Public Safety Public Service Commission Public Sector Enterprise Public Sector Undertaking Primitive Tribal Group Restructured Accelerated Power Development Reforms Program Reserve Bank of India Revenue Consequences of Capital Expenditure Revised Estimates Rajiv Gandhi Gramin Vidyutikaran Yojana Registrar General of India Rural Infrastructure Development Fund Revenue Neutral Rate Rashtriya Swasthya Bima Yojana Right of Children to Free and Compulsory Education Act Right to Information (Act) State Legal Services Authority Second Administrative Reforms Commission Scheduled Castes Special Category States State Disaster Management Authority State Disaster Response Fund Society for Development Studies State Electricity Board State Executive Council State Electricity Regulatory Commission Self-Employed Women's Association State Finance Commission State of Forest Report Self-Help Group State Level Committee State Load Despatch Centre Statement of Expenditure State Pollution Control Board State Public Sector Enterprise State Public Sector Undertaking Semi-Permanent Timber (bridges) State Power Utility xxi .

Thirteenth Finance Commission SRS SSA ST T&D TDS TERI TG&S TGR TIN TINXSYS ToR TSR TTADC UC UDA UID UIDAI ULB UN UP URP UT VAT WBM WMA/OD WTO YASHADA Sample Registration System Sarva Shiksha Abhiyan Scheduled Tribes Transmission and Distribution Tax Deduction at Source The Energy Research Institute Technical Guidance and Supervision Trend Growth Rate Tax Information Network Tax Information Exchange System Terms of Reference Tripura State Rifles Tripura Tribal Autonomous District Council Utilisation Certificate Urban Development Authority Unique Identification Unique Identification Authority of India Urban Local Body United Nations Uttar Pradesh Uniform Recall Period Union Territory Value Added Tax Water Bound Macadam (Road) Ways and Means Advance/ Overdraft World Trade Organization Yashwantrao Chavan Academy of Development Administration xxii .