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Subject: Disaster Management

  • Prime Minister’s National Relief Fund (PMNRF)

    Keeping in view the novel coronavirus crisis across the country, various govt. employees, celebrities and political dignitaries are open-heartedly contributing to the PM’s National Relief Fund (PMNRF) to help combat the disease.

    PM’s National Relief Fund (PMNRF)

    • In pursuance of an appeal by the then PM, Pt. Nehru in January, 1948, the Prime Minister’s National Relief Fund (PMNRF) was established with public contributions.
    • It was aimed to assist displaced persons from Pakistan.
    • The resources of the PMNRF are now utilized primarily to render immediate relief to families of those killed in natural calamities like floods, cyclones and earthquakes, etc. and to the victims of the major accidents and riots.
    • Assistance from PMNRF is also rendered, to partially defray the expenses for medical treatment like heart surgeries, kidney transplantation, cancer treatment and acid attack etc.
    • The fund consists entirely of public contributions and does not get any budgetary support.

    Legal status

    • PMNRF has not been constituted by the Parliament.
    • The fund is recognized as a Trust under the Income Tax Act and the same is managed by PM or multiple delegates for national causes.

    Donations

    • PMNRF accepts only voluntary donations by individuals and institutions.
    • Contributions flowing out of budgetary sources of Government or from the balance sheets of the public sector undertakings are not accepted.
    • Conditional contributions, where the donor specifically mentions that the amount is meant for a particular purpose, are not accepted in the Fund.

    Its operation

    • PMNRF operates from the Prime Minister’s Office and does not pay any license fee.
    • PM is the Chairman of PMNRF and is assisted by Officers/ Staff on an honorary basis. Permanent Account Number of PMNRF is AACTP4637Q.

    Tax exemptions

    • PMNRF is exempt under the Income Tax Act, 1961 under Section 10 and 139 for return purposes.
    • Contributions towards PMNRF are notified for 100% deduction from taxable income under section 80(G) of the Income Tax Act, 1961.
  • Explained: Notified Disaster

    The Ministry of Home Affairs has decided to treat COVID-19 as a notified disaster for the purpose of providing assistance under the State Disaster Response Fund (SDRF).

    What is a Disaster?

    According to the Disaster Management Act, 2005 a disaster is defined as-

    • A catastrophe, mishap, calamity or grave occurrence in any area, arising from natural or manmade causes, or by accident or negligence which results in substantial loss of life or human suffering or damage to, and destruction of, property, or damage to, or degradation of, environment, and is of such a nature or magnitude as to be beyond the coping capacity of the community of the affected area.
    • The MHA has defined a disaster as an “extreme disruption of the functioning of a society that causes widespread human, material, or environmental losses that exceed the ability of the affected society to cope with its own resources.

    What is the State Disaster Response Fund?

    • The SDRF is constituted under the Disaster Management Act, 2005 and is the primary fund available with state governments for responses to notified disasters.
    • The Central government contributes 75 per cent towards the SDRF allocation for general category states and UTs, and over 90 per cent for special category states/UTs (which includes northeastern states, Sikkim, Himachal Pradesh and Uttarakhand).
    • For SDRF, the Centre releases funds in two equal instalments as per the recommendation of the Finance Commission.
    • The disasters covered under the SDRF include cyclones, droughts, tsunamis, hailstorms, landslides, avalanches and pest attacks among others.

    The NDRF

    The National Disaster Response Fund, which is also constituted under the Disaster Management Act, 2005 supplements the SDRF of a state, in case of a disaster of severe nature, provided adequate funds are not available in the SDRF.

    Categories of disaster

    • A High Power Committee on Disaster Management was constituted in 1999 to identify disaster categories.
    • It identified 31 disaster categories organised into five major subgroups, which are: water and climate-related disasters, geological related disasters, chemical, industrial and nuclear-related disasters and biological related disasters, which includes biological disasters and epidemics.

    Have there been such instances in the past?

    • In 2018, in view of the devastation caused by the Kerala floods, political leaders in Kerala demanded that the floods be declared a “national calamity”.
    • As of now, there is no executive or legal provision to declare a national calamity.
    • In 2001, the National Committee on Disaster Management under then PM was mandated to look into the parameters that should define a national calamity.
    • However, the committee did not suggest any fixed criterion.
    • In the past, there have been demands from states to declare certain events as natural disasters, such as the Uttarakhand flood in 2013, Cyclone Hudhud in Andhra Pradesh in 2014, and the Assam floods of 2015.