Q.Explain the structure of the Parliamentary Committee system. How far have the financial committees helped in the institutionalisation of Indian Parliament?

Body Analysis

Structure of the Parliamentary Committee System

1. Standing Committees (Permanent)

These bodies are reconstituted annually or periodically to carry out continuous, specialized tasks:

• Departmentally Related Standing Committees (DRSCs): There are currently 24 DRSCs. Each committee consists of 31 members (21 nominated from the Lok Sabha and 10 from the Rajya Sabha) to oversee and scrutinize the performance and budgetary demands of various ministries.
• Financial Committees: These are vital organs for fiscal oversight and include:
  • The Public Accounts Committee (PAC)
  • The Estimates Committee
  • The Committee on Public Undertakings (COPU)
• Other Functional Committees: These include the Committee on Petitions, the Committee on Subordinate Legislation, and the Committee on Government Assurances, which track policy implementation and legislative commitments.

2. Ad Hoc Committees (Temporary)

Established for specific, time-bound objectives, these committees dissolve upon submitting their reports:

• Select Committees: Formed to analyze and refine specific legislative bills.
• Joint Parliamentary Committees (JPCs): Comprising members from both Houses to investigate complex issues or financial irregularities (e.g., the JPC on the 2G Spectrum case).

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Role of Financial Committees in Institutionalizing Indian Parliament

Financial committees have been instrumental in transforming Parliament from a mere debating forum into a robust institution of financial oversight:

• Public Accounts Committee (PAC):
  • Core Function: Scrutinizes the annual audit reports compiled by the Comptroller and Auditor General (CAG) to ensure that public funds are utilized economically and in alignment with parliamentary sanctions.
  • Recent Work: In 2022, the PAC examined the utilization of resources under the PM CARES Fund and the national healthcare budget to ensure optimal spending efficiency.
• Estimates Committee:
  • Core Function: Evaluates budget estimates to suggest alternative policies that promote administrative efficiency and fiscal economy.
  • Recent Work: The committee recently scrutinized the budgetary allocations for the Ministry of Health and Family Welfare, specifically targeting the National Health Mission (NHM), which prompted a strategic reallocation of resources toward rural primary healthcare infrastructure.
• Committee on Public Undertakings (COPU):
  • Core Function: Audits the reports and financial accounts of Public Sector Undertakings (PSUs) to ensure they operate on sound commercial principles.
  • Impact: COPU ensures that public enterprises remain aligned with state policy objectives while maintaining fiscal discipline.

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Contribution to Institutionalization

1. Strengthening Executive Accountability: By conducting detailed post-mortems of public expenditure, these committees ensure that the executive branch remains answerable to the legislature.
2. Enhancing Transparency: Their detailed reports bring financial operations into the public domain, fostering informed debates within Parliament.
3. Informed Legislation: The technical expertise and non-partisan deliberations of these committees provide a solid foundation for evidence-based lawmaking.
4. Preserving Institutional Memory: The cumulative records and recommendations of these committees serve as an invaluable repository of governance knowledge.
5. Policy Impact: Their scrutiny often leads to the rectification of systemic financial irregularities and the recovery of public funds.