Why are the new rules for Panchayats in Odisha getting flak? | Explained

The story so far: The Bharatia Janata Party (BJP) government, led by Mohan Majhi in Odisha, announced the rules of 2025 new Odisha Panchayat Samiti accounting procedure (amendment) after the approval of the State Cabinet last month. However, Biju Janata Dal (BJD) and Congress strongly criticized the modified rules, undermining people of Panchayati Raj Institutions (PRI) representatives.

What are the modified rules?

According to the amended rules, authorities at the ground level will now enjoy more financial authority to pass invoices without requiring the opposing representatives of selected representatives. Previously, block development officers (BDOs) can only clean the invoices up to La 2 Lakh, which needs any approval of the president of the Panchayat Samiti, an elected representative. In accordance with the new provision, the BDOs can independently make invoices up to La 10 Lakh. Similarly, the power of administrative approval for Panchayat Samiti plans and estimates was transferred to Zillad Parishad’s chief development officer-Cum-Cicracian officer, although the Zilla Parishads were ruled by elected presidents. The change is also expanding the authority to apply technical sanctions for engineers’ larger development projects. Depending on their ranks, engineers can now clear projects ranging from La 5 Lakh to La 4 Crore – a sharp increase from the previous financial boundaries. Similarly, the financial authority was transferred to engineers in the implementation of the Mahatma Gandhi Natural Rural Employment Law (Mgnrega), a central government plan. Administrative approval powers were also revised for general development plans. The BDOs can now approve up to La 20 Lakh projects and the presidents of Panchayat Samiti (elected representatives) up to 50 Lakh.

What did the opposition say?

According to the government, these changes will accelerate the invoice processing, provide timely approvals, and maintain the controller role of the presidents, while facilitating the implementation of development programs without any problems in the entire Panchayat Samitis.

However, the BJD claimed that the last change was a conspiracy to completely reduce the authority of elected representatives in Pris for political reasons. In the 2022 rural survey, BJD, led by Naveen Patnaik, won an empathic victory by winning 766 of the 853 Zillary Parishad seat with approximately 90% and 52.73% of the votes. Although the Panchayat elections were not objected to the party symbols, the BJD -backed candidates swept the chests throughout the state. The next Panchayat elections will be held in 2027. BJP, which was floated with an unexpected victory in the 2024 parliament and in the Lok Sabha elections, is under tremendous pressure to increase the success of the base level to reinforce its impact. The observers say that BJP can control the bureaucracy and implement development programs without being connected to the PRI members, most of them compatible with BJD.

Why is BJD angry?

The problem for BJD goes beyond financial control or political leverage. The party claims that BJP is trying to tamper with a heritage: the strengthening of three -layer Pris, a system fed by both late Biju Patnaik and his son Naveen Patnaik.

Biju Patnaik was accepted as the first prime minister in India, which made a 33% reservation for women in Pris, and then expanded to the president. Naveen Patnaik increased this quota to 50% in 2012.

BJD also objected to the flagship plan, but Odisha Nabin Odisha’s re -branding of Bikashita Gaon Bikashita Odisha, and the provisions have changed significantly. Under the original scheme, each Panchayat l la lakh, but the allocations have now been reduced to 7-8 Lakh, B BJD said.