Note4Students

From UPSC perspective, the following things are important :

Prelims level: Public Accounts Committee

Mains level: Key points related to report on the performance of State legislatures in India in 2023

Why in the news?

Madhya Pradesh passed 85% of its Budget without discussion in 2023 followed by Kerala and Jharkhand.
These observations are based on repot of PRS Legislative Research’s Annual Review of State Laws 2023.The report analyses the performance of State legislatures in various key functions.

BACK2BASICS:

The inception of the Public Accounts Committee dates back to 1921 following its initial reference in the Government of India Act, 1919, commonly known as the Montford Reforms.
Currently, the formation of the Public Accounts Committee is an annual occurrence as per Rule 308 of the Rules of Procedure and Conduct of Business in the Lok Sabha.
The primary objective of the Public Accounts Committee (PAC) is to examine and scrutinize the government’s financial transactions and expenditures to ensure transparency, accountability, and proper utilization of public funds.

Budget Passing Without Discussion: Nearly 40% of the ₹18.5 lakh crore budget presented by 10 States was passed without discussion. In some States like Madhya Pradesh, Kerala, Jharkhand, and West Bengal, a significant portion of the budget was passed without debate.
Public Accounts Committee (PAC) Inactivity: In five States, including Bihar, Delhi, Goa, Maharashtra, and Odisha, the PAC did not table any reports in 2023. Maharashtra’s PAC neither met nor released a report during the year.
Fast-Track Passage of Bills: A significant number of bills were passed quickly with minimal debate, with 44% passed either on the same day they were introduced or the next day. This trend was consistent with previous years, indicating a pattern of swift legislative activity.
Promulgation of Ordinances: 84 ordinances were promulgated in 20 States, covering various subjects such as new universities, public examinations, and ownership of apartments. Uttar Pradesh, Andhra Pradesh, and Maharashtra accounted for the highest number of ordinances.
Regional Disparities: There were regional disparities in legislative activity, with states like Tamil Nadu and Himachal Pradesh tabling a significant number of PAC reports, while others like Maharashtra and Bihar saw inactivity. Similarly, some states passed bills quickly, while others took more time for deliberation.

Lack of Transparency: Budgets being passed without discussion indicate a lack of transparency and accountability in the budgetary process, potentially leading to decisions being made without proper scrutiny or public input.
Ineffective Oversight: The inactivity of Public Accounts Committees (PACs) in some states suggests a failure of oversight mechanisms, undermining the scrutiny of government expenditure and accountability for public funds.
Quality of Legislation: The fast-track passage of bills with minimal debate raises concerns about the quality of legislation and the thoroughness of deliberation, potentially resulting in hastily drafted or poorly scrutinized laws.
Overuse of Ordinances: The high number of ordinances promulgated signifies a reliance on executive orders to bypass the legislative process, which can undermine democratic principles and the role of the legislature in lawmaking.

Enhancing Transparency and Accountability: Mandate thorough discussions and debates on budgets before passage to ensure transparency and accountability in financial decision-making.Establish mechanisms for public participation and input in the budgetary process to increase transparency and foster citizen engagement.
Reforming Oversight Mechanisms: Strengthen the functioning of Public Accounts Committees (PACs) by ensuring regular meetings and timely submission of reports.Empower PACs with adequate resources, authority, and independence to effectively scrutinize government expenditure and promote accountability.

Q Discuss the role of Public Accounts Committee in establishing accountability of the government to the people. (UPSC IAS/2017)