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Manual for Development Projects - Planning Commission

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<strong>Manual</strong> For <strong>Development</strong> <strong>Projects</strong><br />

6.45 Vide <strong>Planning</strong> & <strong>Development</strong> Division's circular of January 29, 1994 [1] (Annexure-<br />

XXXVII), the Prime Minister has decided to dispense with the requirement of obtaining prior<br />

clearance of the Prime Minister be<strong>for</strong>e seeking financial assistance <strong>for</strong> the development projects. It<br />

has, however, been desired by the Prime Minister that an MIS on the projects cleared by the<br />

Committee be sent <strong>for</strong> Prime Minister's in<strong>for</strong>mation which may contain such details as the cost of<br />

project, financial plan, sources of financing, location, sector, commencement and completion dates<br />

etc. Unless objected to by the Prime Minister the list would be assumed to have been cleared <strong>for</strong><br />

further processing. Accordingly, the <strong>Planning</strong> & <strong>Development</strong> Division submitted the list of<br />

projects cleared by the CDWP/CCC <strong>for</strong> seeking <strong>for</strong>eign assistance to the Prime Minister's<br />

Secretariat <strong>for</strong> in<strong>for</strong>mation of the Prime Minister after every meeting of the CDWP/CCC. In case<br />

of any objection from the Prime Minister on any development project, the sponsoring agency<br />

concerned and the EAD are in<strong>for</strong>med accordingly.<br />

6.46 In September, 1994 it was decided that in future the proposals which constitute a part of the<br />

approved PC-I and <strong>for</strong> which the donors are changed should be considered conceptually cleared<br />

and should not be brought afresh <strong>for</strong> consideration.<br />

6.47 It has been noticed that the proposals <strong>for</strong> seeking <strong>for</strong>eign assistance are sent by sponsoring<br />

agencies <strong>for</strong> approval of Concept Clearance Committee without proper examination, and sufficient<br />

details of proposals establishing their need are not available. It has accordingly been decided<br />

(Annexure-XXXVIII) in the meeting of CDWP/CCC held on 29-3-95 that in future:<br />

(i) All concept clearance proposals costing Rs.10.00 million and above must accompany a<br />

feasibility study prepared departmentally.<br />

(ii) No proposal <strong>for</strong> <strong>for</strong>eign assistance will be considered <strong>for</strong> the purchase of vehicles, air<br />

conditioners and other consumer durables, produced in the country.<br />

6.48 After careful study of the whole procedure, the following guidelines are framed:<br />

Page 14 of 17<br />

(i) It should be a normal practice to submit projects on PC-I or PC-II <strong>for</strong> the approval of CDWP.<br />

However, only those projects should be sponsored <strong>for</strong> concept clearance where strong indication is<br />

available from multilateral agencies/donors <strong>for</strong> making available necessary funding and <strong>for</strong>mal<br />

request <strong>for</strong> donor financing can not wait <strong>for</strong> preparation of PC-I/PC-II.<br />

(ii) The proposals should be accompanied by adequate in<strong>for</strong>mation regarding basic concept of the<br />

http://hd2/pc/popup/ch6_p.html<br />

9/23/2010

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