Mamata Banerjee on Thursday asked the MPs and MLAs of her party to spend their local area development funds on dwelling units of the rural poor for next one year, the directive making it clear that she doesn’t want the Centre’s funding pause to affect the scheme.

“The Centre is not releasing funds under the 100 days’ job scheme (under MGNREGA) and the awas yojana (housing scheme). I will request the MPs and MLAs to give their local area development funds for Banglar Bari for one year. With this fund, we can progress with the scheme,” said the chief minister during a party workers’ meeting.

The instruction is significant as it indicates that the state government is desperate to arrange funds for rural development schemes ahead of the 2023 panchayat polls after the Centre froze funds under schemes like the PMAY, citing irregularities.

Trinamul has 213 MLAs and 39 MPs, including those in the Rajya Sabha. Each MP gets Rs 5 crore and each MLA gets Rs 60 lakh every year for local area development.

“If the local area development funds are put together, more than Rs 320 crore will be generated. With this, we can take the rural housing schemes forward in the absence of central funds," said a Trinamul insider.

Mamata said that the state government would prepare a guideline for proper utilisation of funds under the dwelling unit scheme.

She also asked the zilla parishads to utilise 15 per cent of the funds they get from the 15th finance commission for this purpose. So far, Rs 7,000 crore is lying unspent with the rural bodies under this particular head.

“If all the funds are put together, work can proceed without waiting for central funds,” said a source.

“Rural development schemes are extremely important for any ruling party set to face panchayat polls. The rural populace is not getting jobs under the 100 days’ job scheme. They are not getting dwelling units too. The situation is not at all comfortable for the ruling party at this moment. The chief minister is trying hard to change the situation,” said a source.

While lauding Mamata’s initiatives, some Trinamul MPs and MLAs expressed misgivings about the implementation of the plan.

“Funds under the MPLAD are usually used for schemes beneficial for the community as a whole, not an individual. The rural housing scheme benefits individuals,” said an MP.

An MLA pointed out a separate scheme for the housing of rural poor.

“I am not sure if we can spend local area development funds for this purpose. Still, if the chief minister asks, I don't have any problem in handing over the fund for this particular purpose,” said the MLA.

According to sources, the state has a target of completing 10 lakh dwelling units for the rural poor in 2022-23. But as the Centre held up funds under this scheme, the state could not start work on even one unit.

“A total of 10 lakh beneficiaries is huge. The ruling establishment is trying to reach out to as many beneficiaries as possible by arranging funds in its own way," said a bureaucrat.