New Delhi: In a significant development, the Central government has granted approval for the immediate release of Rs.7,532 crore to 22 state governments under the State Disaster Response Fund (SDRF). This crucial decision comes in the wake of the widespread heavy rains that have impacted the entire country. Unlike previous procedures, the guidelines have been relaxed, enabling prompt financial assistance without waiting for the utilization certificate from the previous fiscal year.

Established under Section 48 (1) (a) of the Disaster Management Act, 2005, the state disaster response fund (SDRF) serves as the primary resource available to state governments for addressing notified disasters. The central government's contribution varies, with 75% for general states and 90% for northeastern and Himalayan states. The annual central allocation is disbursed in two equal installments, aligning with the recommendations of the Finance Commission.

Traditionally, funds are released once the utilization certificate for the previous installment is received, along with a report from the state government detailing the activities carried out using the SDRF. However, due to the urgency of the current situation, these requirements have been waived for the latest disbursement.

It is essential to emphasize that the SDRF must be utilized solely for immediate relief measures directed at victims affected by officially declared calamities, such as cyclones, droughts, earthquakes, fires, floods, tsunamis, hailstorms, landslides, avalanches, cloud bursts, pest attacks, and frost and cold waves.

The ministry has outlined that the allocation of SDRF funds to each state is determined by several factors, including past expenditure, geographical area, population, and disaster risk index. These factors provide insight into the states' institutional capacity, exposure to risks, as well as hazards and vulnerabilities.

Following the recommendations of the 15th Finance Commission, the central government has allocated a substantial amount of 1.28 trillion for the SDRF spanning the years 2021-22 to 2025-26. Out of this allocation, the central government's share amounts to Rs.98,080.80 crore.

Prior to the latest release, the central government had already disbursed Rs.34,140.00 crore. Consequently, the total amount of central share allocated to state governments under the SDRF now stands at an impressive Rs.42,366 crore.

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