ECI raises poll expenditure limit by 10pc, then sets up a panel to seek feedback

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@prashanthamine

Mumbai: Barely three days after raising the election expenditure limits by 10 percent for candidates in Lok Sabha and Assembly elections, the Election Commission of India (ECI) on October 22 set up a two member panel to seek feedback on the raised poll expenditure limits. The average poll expenditure limit for Lok Sabha elections has been raised to Rs 77 lakhs and for Assembly elections to Rs 30.80 lakhs. It is applicable across 28 states and eight union territories with immediate effect.

On October 19, the Union Ministry of Law and Judiciary issued a notification seeking to amend Rule 90 of Conduct of Election Rules, 1961 enhancing the existing expenditure limit by 10 percent, applying the hike with immediate effect. The poll expenditure limits do not apply to political parties.

The candidate expenditure for Lok Sabha elections in big states like Maharashtra, Uttar Pradesh etc has been raised to Rs 77 lakhs from Rs 70 lakhs in 2014. In smaller states like Sikkim and Goa the expenditure limit has been raised to Rs 59.40 lakhs from Rs 54 lakhs in 2014. An average rise of Rs 7 lakhs to Rs 5 lakhs.

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In the case of Lok Sabha poll expenditure limits in Union Territories the average limit is Rs 59.40 lakhs. However, the poll expenditure limit in New Delhi is Rs 77 lakh and in Jammu and Kashmir it is Rs 70 lakhs. In 2014, the Lok Sabha poll expenditure limit in New Delhi was Rs 70 lakhs and for the other Union Territories it was Rs 54 lakhs. An average rise of Rs 7 lakhs to Rs 5 lakhs.

In the case of expenditure limits for candidates in Assembly elections in big states has been raised to Rs 30.80 lakhs from Rs 28 lakhs in 2014 polls. In smaller states the expenditure limit is the same, Rs 20 lakhs as it was in 2014 polls.

Whereas, the expenditure limits for Assembly elections in Union Territories the limit in New Delhi and Jammu and Kashmir it is Rs 30.80 lakhs and in Puducherry it is Rs 22 lakhs. Earlier, in 2014, the election expenditure limit in New Delhi was Rs 28 lakhs and in Puducherry it was Rs 20 lakhs.

However, it does seem as the hike effected in the expenditure limits for candidates in Lok Sabha and Assembly elections has not gone down too well with the candidates, political parties and other stakeholders.

Hence the ECI on October 22 set up a two member panel consisting of retired IRS officer Harish Kumar and Umesh Sinha (IRS), secretary general and director general (Expenditure). The panel is tasked to examine the issues concerning expenditure limit for a candidate in view of increase in number of electors and rise in Cost Inflation Index (CII) and other factors. The panel is expected to submit its report within 120 days (4 months).

As per the press statement issued by the ECI on October 21, the expenditure limit was last raised on February 28, 2014. In the last six years the expenditure limit was not raised despite an increase in electorate from 834 million to 910 million in 2019 and to 921 million now. Furthermore, the CII during the said period has increased from 220 to 280 in 2019 and to 301 now.

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