Pending MGNREGS Supplies Payments Worth Rs 180 Crore Approved for Andhra Pradesh by Union Government

The Union government has approved the release of Rs 180 crore in pending payments for material suppliers in Andhra Pradesh under the MGNREGS scheme. Minister of State for Rural Development, Chandra Sekhar Pemmasani, announced this decision, highlighting that these payments had been halted by the previous YSR Congress Party government.

Pending payments under NREGS 2019, which were unjustly closed by the Y S Jagan Mohan Reddy administration, have now been reopened by the new coalition government. "A big day for small material suppliers in Andhra Pradesh!" Pemmasani stated in a post on X. "Today's decision brings a sigh of relief to those who suffered for over six years due to Jagan's politics of vendetta and harassment," he added.

Centre-State Coordination Key to Resolution

Pemmasani credited strong coordination between the Centre and state for making this resolution possible. He expressed gratitude to Andhra Pradesh Chief Minister N. Chandrababu Naidu, Deputy Chief Minister Pawan Kalyan, Prime Minister Narendra Modi, and Union Minister Shivraj Singh Chouhan for their roles in resolving the issue.

Officials from the Rural Development Ministry noted that Andhra Pradesh had requested the reopening of 4,22,633 works that were closed by the previous government. Payments for material components to vendors had been pending. The Centre decided to reopen 3,52,788 works on NREGASoft to facilitate these payments.

Outstanding Liabilities and Unpaid Dues

A statement from Pemmasani's office highlighted that over 4.22 lakh works under MGNREGS were marked closed between 2014-15 and 2018-19 without full material payments. Although Rs 1,285 crore was disbursed, significant dues remained unpaid—21% under Line Departments and 6% under Rural Development Works.

This situation created outstanding liabilities of nearly Rs 181 crore, severely affecting hundreds of material suppliers across Andhra Pradesh. The ministry's detailed review involved consultations with NIC-DRD and the Finance Division and considered multiple representations from the state government and directions from the High Court.

Reopening Works and Payment Clearance

The ministry has now approved reopening 3,52,788 works on NREGASoft. These reopened works will remain active for only 30 days to clear pending material payments within sanctioned limits, strictly adhering to MGNREGS guidelines.

Meanwhile, it was found that 69,361 of the total works had more expenditure than sanctioned amounts and would not be reopened. These unjust closures by the previous state government caused immense distress to thousands of rural material suppliers since 2019.

The decision marks a significant step towards addressing long-standing grievances of rural suppliers in Andhra Pradesh. The reopening aims to ensure fair compensation for work completed under MGNREGS guidelines.

With inputs from PTI