For the Year Ended 31 March 2016 Government of Punjab
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Report of the Comptroller and Auditor General of India on Social, General and Economic Sectors (Non-Public Sector Undertakings) for the year ended 31 March 2016 Government of Punjab Report No. 1 of the year 2017 Report of the Comptroller and Auditor General of India on Social, General and Economic Sectors (Non-Public Sector Undertakings) for the year ended 31 March 2016 Government of Punjab Report No. 1 of the year 2017 Table of contents Description Reference to Paragraph Page Preface v Overview vii Chapter-I: Introduction Budget profile 1.1 1 Application of resources of the State Government 1.2 1 Persistent savings 1.3 2 Grants-in-aid from Government of India 1.4 2 Planning and conduct of audit 1.5 3 Significant audit observations and response of 1.6 3 Government to audit Recoveries at the instance of audit 1.7 4 Lack of responsiveness of Government to Audit 1.8 4 Follow-up action on Audit Reports 1.9 4 Status of placement of Separate Audit Reports of 1.10 5 autonomous bodies in the State Legislature Year-wise details of performance audits and paragraphs 1.11 5 appeared in Audit Reports Chapter-II: Performance Audit EDUCATION DEPARTMENT Implementation of Sarva Shiksha Abhiyan 2.1 7 FINANCE DEPARTMENT Information Technology Audit of 'Integrated Financial 2.2 24 Management System' HEALTH AND FAMILY WELFARE DEPARTMENT National Rural Health Mission-Reproductive and Child 2.3 36 Health SPORTS AND YOUTH AFFAIRS DEPARTMENT Punjab State Sports Council 2.4 53 Chapter-III: Compliance Audit AGRICULTURE DEPARTMENT Functioning of Punjab State Agricultural Marketing 3.1 69 Board Audit Report–Social, General and Economic Sectors (Non-PSUs) for the year ended 31 March 2016 Description Reference to Paragraph Page HEALTH AND FAMILY WELFARE DEPARTMENT Working of Drug De-addiction and Rehabilitation 3.2 74 Centres. Misappropriation of user charges 3.3 81 Idle expenditure arising from delay in submission of 3.4 82 utilisation certificates under scheme for ‘Establishment of Multi-Disciplinary Research Units’ HOME AFFAIRS AND JUSTICE DEPARTMENT Development of judicial infrastructure 3.5 83 Short realisation of cost of land 3.6 88 HOUSING AND URBAN DEVELOPMENT DEPARTMENT Avoidable payment due to delay in award for land 3.7 89 acquisition IRRIGATION DEPARTMENT Accelerated Irrigation Benefits Programme 3.8 92 Avoidable payment of interest due to delay in payment 3.9 98 of land compensation IRRIGATION AND FINANCE DEPARTMENTS Commencement of work without assurance of funds 3.10 100 PUBLIC WORKS (BUILDINGS & ROADS) DEPARTMENT Over payment of price escalation 3.11 101 Extra expenditure due to change in scope of work 3.12 102 Additional cost due to delay in handing over 3.13 103 encumbrance free site for execution of work Unfruitful expenditure due to inadequate allotment of 3.14 105 funds after administrative approval and commencement of works REVENUE, REHABILITATION AND DISASTER MANAGEMENT DEPARTMENT Excess payment of compensation to landowners 3.15 107 Non-utilisation of satellite imagery for hazard 3.16 108 vulnerability analysis for disaster management REVENUE, REHABILITATION & DISASTER MANAGEMENT AND IRRIGATION DEPARTMENTS Avoidable burden on State Exchequer due to undue 3.17 110 delay in announcement of award for land compensation ii Table of Contents Description Reference to Paragraph Page SCIENCE, TECHNOLOGY AND ENVIRONMENT DEPARTMENT Post clearance monitoring of environment clearances 3.18 112 SOCIAL SECURITY AND WOMEN AND CHILD DEVELOPMENT DEPARTMENT Beti Bachao Beti Padhao Scheme 3.19 117 TECHNICAL EDUCATION & INDUSTRIAL TRAINING DEPARTMENT Upgradation of Government ITIs through Public 3.20 119 Private Partnership iii Audit Report–Social, General and Economic Sectors (Non-PSUs) for the year ended 31 March 2016 Appendices Sr. Description Reference to No. Paragraph Page 1.1 Details of performance audits/paragraphs of 1.9 127 the Reports of the Comptroller and Auditor General of India for which departmental replies were not received up to 31 December 2016 2.1 Details of Children With Special Needs 2.1.8.5 128 identified and availability of medical (ii)(a) assessment records and Individualized Education Plan 2.2 Office bearers of the Governing Body of State 2.3.2 129 Health Society 2.3 Details of units selected for test check 2.3.4 130 2.4 Details of infrastructural facilities not available 2.3.8.2 131 at test-checked Public Health Centres (PHC)/ Community Health Centres (CHC) as of March 2016 2.5 Position of staff at health centres as on 2.3.9.1 (i) 132 31 March 2016 3.1 Details of activities/functions performed by 3.2.5 (ii) 133 District Drug De-Addiction and Rehabilitation Societies 3.2 Statement showing shortfall in upgradation and 3.20.2 134 introduction of trades iv Preface This Report for the year ended 31 March 2016 has been prepared for submission to the Governor of the State of Punjab under Article 151 of the Constitution of India. The Report contains significant results of the performance audit and compliance audit of the departments and autonomous bodies of the Government of Punjab under the Social, General and Economic Sectors (Non-Public Sector Undertakings). The instances mentioned in this Report are those which came to notice in the course of test audit during the year 2015-16 as well as those which came to notice in earlier years but could not be reported in the previous Audit Reports. Instances relating to the period subsequent to 2015-16 have also been included, wherever necessary. The audit has been conducted in conformity with the Auditing Standards issued by the Comptroller and Auditor General of India. Overview OVERVIEW This Report contains four performance audits viz. on (i) Implementation of Sarva Shiksha Abhiyan, (ii) Information Technology Audit of Integrated Financial Management System, (iii) National Rural Health Mission- Reproductive and Child Health and (iv) Punjab State Sports Council and 20 paragraphs involving money value of ` 226.23 crore. The total expenditure of the State Government increased by 69.73 per cent from ` 34,820 crore in 2011-12 to ` 59,101 crore in 2015-16. The revenue expenditure increased by 51.53 per cent from ` 33,045 crore to ` 50,073 crore. The non-plan revenue expenditure increased by 44.20 per cent from ` 31,041 crore to ` 44,762 crore and capital expenditure increased by 91.43 per cent from ` 1,598 crore to ` 3,059 crore during the period 2011-16. PERFORMANCE AUDIT 1. Implementation of Sarva Shiksha Abhiyan Sarva Shiksha Abhiyan (SSA) is the primary vehicle for implementing the Right of Children to Free and Compulsory Education Act, 2009 (RTE Act) and to provide useful and relevant education to all children in the age group of 6-14 years by 2010. A performance audit of the implementation of Sarva Shiksha Abhiyan for the period 2011-16 brought out lack of planning and deficiencies in both financial management and execution of the programme which undermined achievement of its objectives. The implementation of the SSA in the State commenced late due to delay in notification of the Right to Education Rules and was hampered by delayed or short release of funds which adversely impacted the implementation of the programme as reflected in shortfalls in infrastructure required in the schools. Inadequate planning and implementation was also evidenced by lack of mapping of neighbourhood schools and data relating to children belonging to the weaker sections and disadvantaged groups. Finally, there were discrepancies in the distribution of uniforms and books with excess expenditure of ` 14.76 crore on their purchases. Some of the significant findings are summarized below: Perspective Plan was not prepared at State and district level for the period covered under audit. (Paragraph 2.1.6.1) Sarva Shiksha Abhiyan funds were released short by ` 1,362.76 crore during 2011-16. Government of Punjab did not release central share of ` 48.48 crore during 2014-16. (Paragraphs 2.1.7.1 and 2.1.7.1 (iii)) Deployment of resource teachers was not related to the number of Children with Special Needs and the nature of their disability. No norms were fixed by the State for deployment of resource teachers. No resource teacher was Audit Report–Social, General and Economic Sectors (Non-PSUs) for the year ended 31 March 2016 appointed in the State in cases of multiple disabilities, cerebral palsy, learning disability and autism spectrum disabilities resulting in deprival of resource support to 18,214 children suffering from these disabilities. (Paragraph 2.1.8.5 (iii) (a & b)) Only one set of uniform was provided against required two sets of uniforms to the students during the years 2011-16. (Paragraph 2.1.8.6 (ii)) Excess expenditure of ` 6.76 crore was incurred on purchase of books against the norms fixed by the Ministry of Human Resources and Development. (Paragraph 2.1.8.7 (v)) 1,170 primary schools were running with single teacher and 572 upper primary schools with less than three teachers. (Paragraph 2.1.9.1) 2. Information Technology Audit of 'Integrated Financial Management System' In October 2009, the Government of Punjab initiated the Integrated Financial Management System to bring transparency and responsiveness in public financial management by establishing a network between all stakeholders. An information technology audit of the ‘Integrated Financial Management System’ brought out shortcomings/deficiencies such as non-implementation of some of the modules, non-mapping of Punjab Treasury Rules for monitoring of Abstract/Detailed contingent bills and absence of various validation checks, system controls and third party audit in the implementation of the project. Some of the significant audit findings are summarised below: Instead of availing services of Punjab State e-Governance Society, a designated agency of the State Government at no extra cost, services of Punjab Infotech were taken at four per cent of the project cost for implementation of the project resulting in avoidable expenditure of ` 1.59 crore.