OVERVIEW

The expenditure on Scientific Departments during 2000-2001 was Rs 11493.70 crore. This represented an increase of 21.62 per cent over the last two years. Of the total expenditure on Scientific Departments, Rs 4551.50 crore related to Department of Atomic Energy, followed by Department of Space, which accounted for an expenditure of Rs 1905.40 crore. With reference to the budget allotment, the Scientific Departments had an overall unspent balance of Rs 1309.03 crore. The Departments of Atomic Energy, Space, Environment and Forests spent Rs 493.95 crore, Rs 117.44 crore and Rs 249.71 crore less than the allocation respectively

This report contains three performance reviews and 17 paragraphs. An overview of audit findings contained in the report is given below :

REVIEW

Indian Council of Agricultural Research

The Indian Agricultural Research Institute (IARI), New Delhi, a constituent unit of Indian Council of Agricultural Research (ICAR) is a premier institution for agricultural research, education and extension in the country. It was accorded the status of a Deemed University in 1958 and has been offering M.Sc. and Ph.D. degrees in Agricultural Science. The IARI undertook 402 in-house projects during 1995-2001 without the approval of Staff Research Council and Board of Management. It completed 180 projects and 23 projects were either terminated or had not even started. However, final project reports were available for 55 projects out of 180. In 15 projects objectives were only partially achieved resulting in unfruitful expenditure of Rs 2.79 crore. The IARI completed only 40 sponsored projects which was low when compared to 180 in-house projects completed during 1995-2001. It incurred excess expenditure of Rs 75.12 lakh on sponsored schemes from its own resources and did not recover the excess amount from sponsoring agencies. There was lack of demand for released varieties of wheat, paddy, maize etc. among the farmer community which indicates that the projects were undertaken without proper survey to identify the needs of the farmers. The National Phytotron Facility meant to provide controlled environment for study of response of plants to climatic conditions and established at total cost of Rs 10.55 crore, was not utilised effectively. The construction of a glass house complex which was to be completed by September 1989 at a total cost of Rs 98.58 lakh was not completed as yet even after incurring an expenditure of Rs 1.14 crore. The Board of Management, the Research Advisory Council and the Staff Research Council, which monitor research activities did not meet according to the norms fixed by ICAR. Consequently, the institutional arrangements for selection, review and evaluation of research projects and other functions in the IARI did not work effectively during 1995-2001. Negligence in proper documentation of the research projects also contributed to poor monitoring of the research projects.

The National Dairy Research Institute (NDRI), Karnal a constituent unit of Indian Council of Agricultural Research, is a leading institution in the field of Diary Research. The Institute’s progress in three major areas of R&D activities viz. (i) dairy production (ii) dairy processing and (iii) dairy extension/management in terms of practical applications/development of technologies was dismal. During 1996-1999, only 12 technologies were developed in-house and only one technology was transferred/commercialised. No technology was got patented. Extension activities of the Institute remained confined to Karnal district only. The monitoring and evaluation mechanisms in the Institute were neglected as Board of Management never met during 1998-2001. Staff Research Council and Research Advisory Committee which were to monitor the research activities of NDRI also did not meet regularly. There was a need for better herd management to reduce the mortality rate as 1149 animals died during 1996-2001 due to various diseases. There was delay in construction of Auditorium due to change in specification which resulted in cost and time overrun. Defective video projector system installed in February 1999 in auditorium at a cost of Rs 22.09 lakh was yet to be replaced. Spray drier plant received in August 1997 at a cost of Rs 35.65 lakh in Experimental Dairy Plant remained uncommissioned till date.

Ministry of Environment and Forests

Zoological Survey of India (ZSI) was established in 1916 to promote survey, exploration and research leading to advancement in knowledge of various aspects of the animal life of India. The primary objectives of survey and exploration work of ‘faunal’ resources in the selected areas was behind schedule for periods ranging from five to 13 years. There was slow progress in conducting status survey of endangered species. Research results were not published expeditiously resulting in their non-dissemination. Non-commissioning of Marine Aquarium Research Centre at Digha for about a decade adversely affected marine research and equipment worth Rs 49.25 lakh remained idle. Ineffective monitoring and evaluation resulted in delay in achievement of targets fixed by Ministry of Environment and Forests in 1987.

TRANSACTION AUDIT FINDINGS

Council of Scientific and Industrial Research

Structural Engineering Research Centre (SERC), Ghaziabad placed a purchase order in March 1989 for the import of Microprocessor Controlled Pressure cum Voltage Scanning (MCPVS) System for establishing Industrial Wind Tunnel (IWT). The complete equipment was received by March/May 1991. SERC incurred a total expenditure of Rs 25.41 lakh in its procurement. In July 1992, the Indian agent informed that the 200 MB Maxter hard disk could not be repaired and required replacement. However, no steps were taken to obtain the replacement and despite efforts made, the equipment could not be installed even ten years after its purchase, resulting in infructuous expenditure.

Central Fuel Research Institute attempted to install and commission sophisticated equipment imported at Rs 18.57 lakh without adequate expertise. It did not ask the supplier to replace the equipment within the guarantee period. Attempts to install and commission the equipment with the help of National Chemical Laboratory also failed. The equipment was lying unused and in defective condition since October 1994, rendering the entire expenditure wasteful.

Ministry of Information Technology

The Ministry of Information Technology, erstwhile Department of Electronics released Rs 117.50 lakh to Centre for Development of Advanced Computing (C-DAC) towards its share of expenditure for a project costing Rs 180.50 lakh. Though C-DAC completed the project at a cost of Rs 124.75 lakh, it did not refund the unspent grant of Rs 45.19 lakh.

In 1994, the erstwhile Department of Electronics (DOE) took up a project under its Technology Mission Programme to build a commercial system in collaboration with the user industry, to demonstrate the concept of retrofit automation of existing paper mills. Two paper mills were identified for the project.

In 1994-95, DOE released an amount of Rs 40.25 lakh to the two mills. As per terms of the release, both the firms were required to repay the amounts in installments after the fully functional system was handed over to them. According to these terms of repayment, one firm was to repay the whole amount by March 2000, while the other was to repay by January 2001.

In both cases, however, none of the installments had been repaid as of May 2001. The funds were released by DOE without signing formal agreements and without obtaining any security in the form of bank guarantee/ bonds etc. The failure of DOE to safeguard interest of the Government while sanctioning funds resulted in undue benefit to the mills and non-recovery of dues worth Rs 40.25 lakh

Society for Electronics Test Engineering (SETE) was established as an autonomous body under Standardisation, Testing and Quality Certification (STQC) Directorate in February 1994. In September 1994, Secretary, Ministry of Information Technology, approved an arrangement by which the revenue generated from the services offered by STQC would be credited to SETE and would be utilised for meeting the requirements of STQC. A bank account (service account) was also opened by SETE for the purpose.

Over the period 1994-2000, an amount of Rs 11.29 crore was accumulated in the service account. In March 1999, Secretary MIT permitted STQC to incur an expenditure of Rs 9.00 crore out of these funds. The income generated by STQC is the revenue of the government. All revenues of the government are to be credited to the Consolidated Fund of India and no expenditure can be incurred, except with the authority of Parliament. The approval of the Secretary, MIT for crediting government receipts to a service account and authorising expenditure out of these funds was incorrect.

Department of Science and Technology

Satyendra Nath Bose National Centre for Basic Sciences incurred an avoidable expenditure of Rs 42.98 lakh during July 1995 to August 2000 towards consumption of electricity due to its failure to take appropriate action to get the contracted demand reduced.

Indian Council of Medical Research

Even after 21 years and after incurring an expenditure of Rs 49.07 lakh on the maintenance of land acquired from Government of Maharashtra in 1980 for developing a primate colony, Indian Council of Medical Research/Institute for Research in Reproduction, Mumbai could not develop a workable blue print on the type of research facility to be established on the land.

Department of Atomic Energy

Negligence and undue delays by Directorate of Purchase and Stores of Department of Atomic Energy and Nuclear Fuel Complex (NFC), Hyderabad in inspection of equipment imported at a cost of Rs 1.64 crore resulted in its damage. The equipment was repaired at an additional cost of Rs 99.70 lakh.

Department of Space

Though Space Application Centre, Ahmedabad owned 12 buses and had adequate drivers, the Centre hired two/three buses from Ahmedabad Municipal Transport Service resulting in avoidable expenditure of Rs 50.15 lakh for the period February 1998 to July 2001.

Ministry of Environment and Forests

Arid Forest Research Institute constructed 80 additional Staff Quarters, when 24 existing quarters were lying vacant. 72 out of the additional 80 quarters were also not occupied since their construction in 1997. Thus, due to improper assessment and lack of planning on the part of Indian Council of Forestry Research Education, expenditure of Rs 3.33 crore incurred on these quarters remained unfruitful.

Department of Scientific and Industrial Research

A project for development and establishment of pilot scale production of piezoelectric ceramic filters and resonators for use in electronic receiving equipment was executed by Central Electronics Limited, Sahibabad at a total cost of Rs 1.28 crore. The project aimed at the production of filters and resonators in a commercially viable manner. The contribution of Department of Scientific and Industrial Research was Rs 1 crore including Rs 10 lakh towards equipment for encapsulation and final testing. The line for pilot scale production of the components was not set up for want of encapsulating equipment, an essential requirement for commercialisation process. Imported components were cheaper owing to a liberalised import policy which was already in place when the investment decision was taken. The objective of the project was not achieved and entire expenditure of Rs 1 crore was wasteful.

Department of Ocean Development

A social welfare project was envisaged by Department of Ocean Development to assist fishermen in effective communication between boat to shore and boat to boat as well as receive emergency signals on a separate channel. Despite expenditure of Rs 3.40 crore and even after a lapse of more than four to eight years of targeted date of completion, none of the stations have been made fully operational. The respective state governments have not yet taken over these stations.