UT fixes criteria for balanced regional development
*CCF to ensure equitable allocation of funds
Sanjeev Pargal
JAMMU, May 19: In a decision which indicates that no early decision is expected on constitution of new Hill Councils or Territorial Council in Ladakh, the UT administration has brought all five newly created districts under administrative and financial control of existing Councils of Leh and Kargil for both Capital and Revenue budgets, prioritization of works/projects etc.
Follow the Daily Excelsior channel on WhatsApp
Three new districts were carved out of Leh which include Sham, Nubra and Changthang while two districts were created out of Kargil including Drass and Zanskar.
“The UT administration has ordered that till independent institutional, budgetary and financial structures are established, all ongoing as well as newly approved Capex (Capital Expenditure) works of newly created districts shall continue to be administratively and financially mapped through the respective parent Ladakh Autonomous Hill Development Councils (LAHDCs), Leh and Kargil, in accordance with the existing arrangements,” official sources told the Excelsior.
This means that three newly created districts i.e. Sham, Nubra and Changthang, which were part of Leh district will continue to be administratively and financially mapped through LAHDC Leh while Drass and Zanskar, which were part of Kargil district will be mapped on these twin fronts by Kargil Hill Council.
“During the transition period, the newly created districts shall remain under administrative and financial oversight of their respective parent LAHDCs (Leh or Kargil, as applicable). Accordingly, all matters related to financial reporting, physical and financial progress reviews, submission of UItilisation Certificates and monitoring of expenditure and implementation status, shall be routed through the Chief Controller of Finance of the concerned parent LAHDC,” the officials said.
The UT administration of Ladakh has, however, fixed criteria for balanced regional development which include 60 percent weightage based on population, as per the Census 2011 and 40 percent weightage based on geographical area of newly created districts.
“The Chief Controller of Finance (CCF) of the respective parent LAHDCs shall ensure equitable allocation of funds in accordance with the criteria,” the officials said, adding the highest priority shall be accorded to works at advanced stage of execution that can be completed in shortest possible time. Special focus shall be placed on early commissioning of public utility and service-oriented projects to ensure timely public benefits and optimal utilization of Government resources.
However, no new works pertaining to five newly created districts shall be included in the Capex Action Plan unless it has been duly examined, vetted and recommended by concerned parent LAHDC.
Further, the officials said, the CCF of respective parent LAHDC shall compile revenue budget requirements from all newly created districts, consolidating inputs on operational needs, establishment expenditure and other essential expenditures.
“The CCFs shall also assess any requirement for additional funds post-rationalization and forward a justified proposal to the Finance Department through the concerned Chief Executive Officers (CEOs) of the respective LAHDCs for timely consideration and approval,” the officials said.
Further, the CCF shall oversee budget allocation, regulation of releases, expenditure management, and financial monitoring for both parents LAHDCs and newly created districts under its jurisdiction in order to ensure fiscal discipline, proper fund utilization, and avoidance of duplication or irregular expenditure.
There have been reports that the Central Government could shortly come out with the mechanism on Hill Councils. Proposals under consideration include one Territorial Council, two Divisional Councils, or seven Councils-one each for seven districts. However, no decision has been taken so far.
While Kargil Hill Council is in place, the Leh Hill Council completed its five-year tenure in October 2025 as fresh elections were not held to the body in view of creation of five new districts. Powers of the Hill Council Leh have been given to the Deputy Commissioner.
Five new districts, created in August 2024, were operationalized ahead of Union Home Minister Amit Shah’s two-day visit to the UT of Ladakh on April 30 and May 1. The Deputy Commissioners and SSPs have been posted in newly created districts.
Follow our WhatsApp channel
