SRINAGAR: Jammu and Kashmir could not utilise and draw a substantial portion of the Central assistance allocated under the Jal Jeevan Mission (JJM), with the Union Territory receiving Rs 5,754.42 crore against an allocation of Rs 9,657.20 crore between 2019-20 and 2023-24, the Comptroller and Auditor General (CAG) has observed.
After excluding Rs 67.86 crore transferred to the Union Territory of Ladakh, the net Central assistance received by Jammu and Kashmir stood at Rs 5,686.55 crore, leaving a shortfall of Rs 3,970.64 crore against the total allocation, according to the CAG’s Composite Audit Report (Civil) for the period ended March 2024.
The audit attributed the shortfall primarily to delays in utilisation of funds and the consequent failure to meet conditions required for release of subsequent instalments and tranches.
Under Para 7.8 of the JJM Operational Guidelines, the first instalment is to account for 50 per cent of the total allocation admissible to a State or Union Territory in a financial year and is released in two tranches. The second tranche is released automatically once utilisation of available funds exceeds 80 per cent.
The second instalment also constitutes 50 per cent of the annual allocation and is released in two tranches, subject to the prescribed conditions. The last date for receiving release proposals from a Union Territory, including the second proposal, is February 15.
Low utilisation restricted subsequent releases
The audit found that only the first tranche of the first instalment was released to Jammu and Kashmir during 2020-21 and 2021-22 because of slow utilisation of funds. Consequently, subsequent tranches were not released automatically.
In 2022-23, both tranches of the first instalment were released, with J&K receiving Rs 1,439.51 crore against an allocation of Rs 3,039.11 crore. However, the second instalment was not availed because utilisation remained low.
During 2023-24, J&K received Rs 3,267.12 crore against the earmarked allocation of Rs 2,867.12 crore, including an additional Rs 400 crore under the Additional Functional Household Tap Connection (FHTC) component.
For 2019-20, the recorded Central assistance totalled Rs 389.89 crore, including Rs 67.86 crore subsequently transferred to Ladakh. The assistance received during 2020-21 was Rs 53.72 crore against an allocation of Rs 681.77 crore, while Rs 604.18 crore was received in 2021-22 against an allocation of Rs 2,747.17 crore.
The audit concluded that Jammu and Kashmir’s inability to utilise funds in accordance with the prescribed conditions prevented it from accessing the full Central allocation available under the mission.
Department cites early implementation hurdles
In its reply in August 2025, the department attributed the slow pace of implementation during the initial years to several factors, including poor response to tenders, disruption following the constitutional changes of August 2019, restrictions imposed during the COVID-19 pandemic and shortages in the supply of pipes.
The department stated that these issues were subsequently resolved and that the pace of execution improved from 2022-23 onwards, resulting in increased utilisation of funds.
It also pointed out that the Union Government provided J&K an additional Rs 400 crore during 2023-24 over and above the earmarked allocation of Rs 2,867.12 crore.
The department further stated that the Government of India had announced the extension of the Jal Jeevan Mission at the national level up to December 2028.
