Strengthening Parliamentary Oversight

Context: The editorial discusses the evolving role of the Public Accounts Committee (PAC) in India’s parliamentary system. With recent changes in the political landscape, there is a renewed focus on PAC’s role in ensuring accountability of the executive, especially in light of past attempts to evade parliamentary scrutiny.

Relevance: General Studies Paper II – Polity and Governance

Mains Question: Critically evaluate the role of the Public Accounts Committee (PAC) in ensuring financial accountability in India. How has its role evolved in recent years?

1. Background of PAC:
   • The PAC is one of the oldest parliamentary panels, tasked with ensuring that government expenditures are carried out in accordance with parliamentary decisions and financial prudence.
   • The committee draws much of its deliberations from the Comptroller and Auditor General’s (CAG) reports, which examine the financial functioning of government departments.
2. Recent Developments:
   • The new PAC, headed by Congress MP K.C. Venugopal, has selected 161 topics for discussion, focusing on areas such as reforms in the banking and insurance sectors, public infrastructure, energy transition, and regulatory frameworks.
   • The PAC is making efforts to move beyond traditional scrutiny of expenditures to also examine policy wisdom, faithfulness, and economy, marking a shift in its oversight role.
3. Political Dynamics and Oversight:
   • The recent political scenario, where the ruling BJP depends on allies, provides the Opposition with greater leverage in calling for accountability.
   • The PAC’s assertiveness in choosing politically charged subjects, such as reforms and public utilities, signals its willingness to investigate government policies deeply, despite opposition from the ruling party.
4. Challenges to PAC’s Functioning:
   • Despite the committee’s assertive stance, its effectiveness could be hampered by the majority of the ruling coalition (13 members from the NDA vs. 9 from the Opposition).
   • Moreover, delays in constituting related parliamentary standing committees may also weaken the broader framework of parliamentary accountability.
5. Importance of PAC in the Constitutional Framework:
   • The CAG is a constitutional authority, and its reports, which are the basis for PAC deliberations, are crucial in holding the executive accountable for financial transparency.
   • The PAC plays a pivotal role in scrutinizing public expenditures and ensuring that funds sanctioned by Parliament through Appropriation Bills are used as intended.
6. Issues of Crony Capitalism:
   • Allegations against the government for fostering crony capitalism have been raised, with PAC refusing to investigate certain public sector controversies, such as those involving SEBI and Adani Group.
   • The government’s reluctance to investigate these allegations points to a broader issue of accountability and transparency.

Conclusion:

The PAC’s role in ensuring financial accountability is critical for maintaining the integrity of India’s parliamentary system. Despite challenges, the recent assertiveness of the PAC offers hope for more comprehensive oversight of the executive’s financial and policy decisions. It is imperative that the committee remains independent and strengthens its capacity to act as a robust instrument of accountability.