₹2.04 Lakh Crore Boost to Disaster Management
₹2.04 Lakh Crore Boost to Disaster Management
Why in the News?
The Union government has accepted the 16th Finance Commission’s recommendation to create a ₹2,04,401 crore corpus for disaster management for 2026–31, strengthening State Disaster Response and Mitigation Funds with a greater focus on preparedness and capacity building. This move aligns with the principles of environmental jurisprudence and the precautionary principle in disaster management.
Finance Commission Recommendations and Fund Allocation:
- The 16th Finance Commission recommended a combined corpus of ₹2,04,401 crore for the State Disaster Response Fund (SDRF) and State Disaster Mitigation Fund (SDMF) for the period 2026–27 to 2030–31.
- The corpus will be divided in an 80:20 ratio, with ₹1,63,521 crore allocated to SDRF and ₹40,880 crore to SDMF, a recommendation accepted by the Centre.
- The Union government’s share will be ₹1,55,915.85 crore, while States’ contribution will be ₹48,485.15 crore, reflecting cooperative federalism in disaster management and environmental democracy.
- Cost-sharing norms remain differentiated: 75:25 between Centre and States for non-Northeastern and non-hilly States, and 90:10 for Northeastern and hilly States.
- The panel also suggested flexibility for States to reallocate resources within SDRF across response, relief, recovery and reconstruction, improving operational efficiency and potentially streamlining environmental clearance processes.
Shift in India’s Disaster Management Approach
- At a Parliamentary Consultative Committee meeting, Union Home Minister Amit Shah highlighted a shift from a relief-centric to a rescue-centric disaster management approach after 2014, emphasizing the importance of environmental impact assessments in disaster preparedness.
- SDRFs act as the first responders during disasters, comprising trained State personnel supported by national agencies.
- Training and preparedness are supported by institutions such as the National Disaster Response Force and the National Disaster Management Authority.
- The Commission emphasised that preparedness and capacity-building activities should be financed mainly through SDMF and the National Disaster Mitigation Fund.
- Special focus has been placed on emerging risks like Glacial Lake Outburst Floods (GLOFs) and landslides, with tailored training modules for vulnerable regions, incorporating lessons from environmental jurisprudence.
Disaster Management Framework in India: |
| ● Disaster management in India is guided by the Disaster Management Act, 2005, which institutionalised a multi-level framework at national, state and district levels. |
| ● SDRF primarily finances immediate response and relief, while SDMF focuses on long-term mitigation, preparedness and resilience-building. |
| ● Capacity-building measures include training manuals, programmes for State and district officials, and sensitisation of Panchayati Raj Institution (PRI) members and local communities. |
| ● Greater emphasis on mitigation reflects global best practices under the Sendai Framework for Disaster Risk Reduction. |
| ● The enhanced corpus is expected to strengthen climate resilience, improve local preparedness, and reduce long-term economic and human losses from disasters, while also considering the Forest Conservation Act and Coastal Regulation Zone guidelines. |

