Senate Panel Questions Rs2.6 Trillion Federal Spending on Devolved Ministries
ISLAMABAD: A Senate panel has questioned the constitutional basis of Rs2.6 trillion in federal spending on health and education, two subjects devolved to the provinces under the 18th Amendment, calling the expenditure a misuse of taxpayers’ money.
The sub-committee of the Senate Functional Committee on Devolution met on Tuesday under convener Senator Zamir Hussain Ghumro. It took up AGP and Accountant General reports on federal spending on provincial subjects, plus compliance reports from federal departments.
Rs2.6 trillion devolved ministries spending: what the panel found
Ghumro said the federal government had spent around Rs2.6 trillion over 16 years on just two ministries devolved in 2010. He argued that the amount would run into many trillions once spending on all ministries created on provincial subjects was counted.
“This whopping expenditure of Rs2.6 trillion by the federal government on just two ministries devolved in 2010 is a misuse of taxpayers’ money as the federal government can spend only on its own subjects,” he said.
He stressed parliamentary oversight for 18th Amendment compliance. Citing Articles 168 and 169 and the audit framework, he questioned the constitutional authorisation for the spending shown in federal health and education ministry documents.
He said Parliament alone could authorise public expenditure, and only on federal subjects, since public funds required AGP scrutiny.
AGP officials told the meeting that their audit was guided by budgets approved by Parliament. Ghumro responded that under Section 8 of the AGP (Functions and Powers) Ordinance and Article 169, it was the AGP’s duty to check that expenditure was authorised for a service the federal government was constitutionally required to provide. He added that money from the Federal Consolidated Fund could not be authorised for devolved provincial matters.
The convener expressed concern that details sought by the committee had not been submitted within the stipulated time. He directed officials to furnish the information on a prescribed proforma. The AGP assured the panel that the data would be provided within two weeks.
Senators Jan Muhammad Buledi and Poonjo Bheel attended, along with the secretaries of the Cabinet Division, CCI and Establishment Division and senior officials.
Why the 18th Amendment matters here
The 18th Constitutional Amendment, passed in 2010, transferred 17 federal ministries to the provinces through notifications issued in December 2010, April 2011 and June 2011. Health and education were among the subjects handed over.
Sixteen years on, the panel’s complaint is that the federation never fully vacated the space. Federal ministries and bodies dealing with provincial subjects still operate and draw funds, and that overlap is what the panel says produced the Rs2.6 trillion bill.
The CCI Secretariat informed the committee that, in compliance with its directions, a summary had been moved to the prime minister and a response was awaited.
DISCOs privatisation also under the lens
The meeting also examined the proposed privatisation of power distribution companies (DISCOs) in the context of Article 157, provincial responsibilities and the role of the CCI. The chairman questioned whether the privatisation was consistent with the constitutional distribution of powers, noting that electricity distribution involved provincial interests.
The privatisation minister said legal requirements had been met and warned that sending the matter back to the CCI would cause delays and hurt investor confidence. Officials said the CCI had taken 11 relevant decisions with no formal provincial reservations recorded. The chairman directed the authorities to furnish those decisions and the supporting record.
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FAQs
What did the Senate panel question?
The sub-committee of the Senate Functional Committee on Devolution questioned the constitutional basis of around Rs2.6 trillion spent by the federal government over 16 years on the health and education ministries, both devolved to the provinces under the 18th Amendment in 2010.
Who chaired the meeting?
Senator Zamir Hussain Ghumro, convener of the sub-committee, chaired the meeting at Parliament House, Islamabad. Senators Jan Muhammad Buledi and Poonjo Bheel also attended.
What did the panel direct the AGP to do?
The convener directed officials to furnish details of federal spending on devolved subjects on a prescribed proforma. AGP officials assured the committee the data would be provided within two weeks.
Why does the panel say the spending is unconstitutional?
The panel argues that under Articles 168 and 169 of the Constitution and Section 8 of the AGP (Functions and Powers) Ordinance, the federal government can only spend on its own subjects, and money from the Federal Consolidated Fund cannot be authorised for matters devolved to the provinces.
