Sikkim panchayats yet to get full powers, CAG flags gaps ahead of polls

Sikkim’s Panchayati Raj Institutions (PRIs) are yet to be fully empowered, with the Comptroller and Auditor General of India (CAG) finding that the State has devolved only 15 of the 29 subjects mandated under the Constitution.

The findings come ahead of the next round of panchayat elections, expected around 2027, with the five-year term of the existing panchayats nearing its end.

The 73rd Constitutional Amendment envisages panchayats as institutions of self-government and provides for the devolution of functions, powers and responsibilities relating to the 29 subjects listed in the Eleventh Schedule. These include agriculture, health, education and rural development.

According to the CAG audit, 14 of the 29 subjects have not yet been devolved to the PRIs. As a result, State government departments continue to exercise control over planning, funding and implementation in several areas, leaving elected panchayat bodies with limited decision-making powers.

The audit also flagged gaps in the financial autonomy of Gram Panchayats. Though they have legal powers to levy local taxes, fees and other charges, the panchayats largely did not exercise these powers, with only isolated instances recorded.

Fund transfers from State departments to PRIs also lacked a consistent pattern, the CAG noted. The irregularity in fund flow made it difficult for panchayats to plan and execute expenditure with certainty from one year to another.

The audit further pointed to shortcomings in legislative oversight. Earlier audit findings relating to PRIs had not been taken up for discussion by a legislative committee, weakening follow-up and accountability on the issues raised.

Under Article 243E of the Constitution, panchayats have a five-year term. The Sikkim State Election Commission, which is constitutionally responsible for conducting panchayat elections, is yet to announce the schedule for the next polls.

The CAG findings raise questions over the extent of administrative and financial authority that will be available to the newly elected panchayat bodies when Sikkim goes to the polls.

While regular elections have ensured the continuation of elected local institutions, the audit underscores that the devolution of functions and financial powers remains incomplete.

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