House Panel Criticizes Withholding of SSA Funds Over PM-SHRI Agreement

A parliamentary standing committee has strongly criticized the withholding of Samagra Shiksha Abhiyan (SSA) funds to states that have not signed agreements under the PM-SHRI scheme. The committee, chaired by Digvijaya Singh, noted that linking SSA grants to PM-SHRI adoption is “not justifiable” and recommended that the Ministry of Education immediately release pending funds to Kerala, Tamil Nadu, and West Bengal.

The committee report highlighted that the SSA is a long-standing scheme aimed at achieving the goals of the Right to Education (RTE) Act, which guarantees education as a fundamental right. In contrast, PM-SHRI is a model school initiative introduced under the National Education Policy (NEP) 2020. The report emphasized that SSA, as an RTE-driven program, should not be subject to conditions imposed by an executive policy like NEP.

Pending SSA Funds and State Concerns

The committee revealed that significant SSA funds are pending for opposition-ruled states:

• West Bengal: ₹1,000 crore
• Kerala: ₹859.63 crore
• Tamil Nadu: ₹2,152 crore

The Tamil Nadu government has been vocal about the issue, with Chief Minister M.K. Stalin writing to Prime Minister Narendra Modi in February 2025, expressing concerns over the central government’s decision to link SSA funds with NEP adoption. He reiterated Tamil Nadu’s commitment to its two-language policy and sought the immediate release of funds.

Kerala, Tamil Nadu, and West Bengal have demonstrated strong educational outcomes, with gross enrollment ratios above the national average. However, the report noted that delays in SSA fund disbursement have hindered improvements in school infrastructure, teacher training, and student support. In many cases, states have had to use their own resources to cover teacher salaries and operational costs.

Committee’s Observations and Recommendations

The parliamentary panel stressed that:

• Withholding SSA funds affects school operations – Delayed funding has disrupted teacher salaries, RTE reimbursements, and transportation for students in remote areas.
• The Centre should not penalize states for non-adoption of NEP 2020 – SSA funding should be independent of PM-SHRI agreements.
• An amicable resolution is necessary – The Ministry of Education should ensure that pending SSA funds are released as a priority.

The committee also recommended extending the Right to Education (RTE) Act and the PM-POSHAN (midday meal) scheme to students up to the age of 18. Currently, the RTE Act mandates free education only up to Class 8, and the PM-POSHAN scheme provides midday meals for the same age group. The report suggested:

• Expanding midday meal coverage to Class 12 students – This would help reduce adolescent dropout rates and address gender disparities in nutrition.
• Introducing a national breakfast program – Aimed at combating morning hunger and improving cognitive performance, especially in rural and economically weaker sections.

Concerns Over Underutilization of Education Funds

The committee also raised concerns about poor fiscal management in the education sector. Out of the ₹57,427.39 crore budgeted for centrally sponsored schemes like SSA, PM-POSHAN, and PM-SHRI for 2024-25, the Ministry had only spent ₹29,241.67 crore by February 2025—just 50.9% of the total budget. The report criticized this underutilization of allocated funds, calling for better financial planning to ensure the effective implementation of educational programs.

Conclusion

The committee’s findings underscore the need for a fair and transparent approach to education funding. Withholding SSA grants based on PM-SHRI adoption undermines the core objectives of the RTE Act. The report urges the Ministry of Education to ensure that states receive their rightful allocations without political considerations, allowing them to continue improving school education and ensuring access to quality learning for all students.