MANUAL

ON
RURAL INFRASTRUCTURE
DEVELOPMENT FUND
(RIDF)

NABARD

National Bank for Agriculture and Rural Development

Meghalaya Regional Office, Shillong
 CONTENTS

Chapter Title Page No

1 INTRODUCTION
1.1 Rural Infrastructure 1
1.2 RIDF – Genesis and Coverage 1
1.3 The Growth Story of RIDF 2
1.4 Need for RIDF 2
1.5 Use of Manual 3
2 POLICY
2.1 Normative Allocation 4
2.2 Phasing 5
2.3 Eligible Activities 6
2.4 Eligible Institutions 6
2.5 Loan Eligibility 6
2.6 Rate of Interest 7
2.7 Penal Interest 7
2.8 Documentation/Security 7
2.9 Discharging of Time Promissory Notes (TPNs) 8
2.10 Repayment Period & Pattern 8
2.11 Cost Escalation 8
2.12 Non-Starter Projects 9
Annexure I - RIDF (Eligible Activities) 10

3 PROJECT APPRAISAL & SANCTIONS

3.1 Project Approach 12
3.2 Appraisal & Sanction of Proposals 12
Annexure III - Checklist for preparation/formulation of RIDF 17
Projects
 4 LOAN DISBURSEMENTS
4.1 Disbursements/Drawals 30
4.2 Adjustment of Mobilisation Advance 31
4.3 Security for Loan 32
4.4 MMonitoring 32
4.5 Project Completion Certificate 33
4.6 Project Completion Report 33
Annexure IV – Format of Drawal Application 34
Annexure V – Form of Promissory Note 39
Annexure VI – Progress in implementation of sanctioned projects 40
Annexure VII – Project Completion Certificate 41
Annexure VIII – Project Completion Reports 42
Annexure IX – Project Board - Specimen 68

5 RURAL INFRASTRUCTURE PROMOTION FUND

5.1 Guiding Principles of RIPF 69
5.2 Eligible Activities 70
5.3 Eligible Institutions 70
5.4 Criteria for Selection 71
5.5 Project Duration 71
5.6 Mode and Quantum Assistance 71
5.7 Submission of Proposals 71
5.8 Release of Assistance 71
5.9 Monitoring & Submission of Progress Reports 72
5.10 Utilisation of Assistance 72
5.11 NABARD’s Rights 72
Annexure X – Format for seeking financial assistance 73
Annexure XI – Format of undertaking 74

6 RIDF IN MEGHALAYA
6.1 Status 75
6.2 Overview of RIDF in Meghalaya as on 31.01.2020 75
6.3 Benefits Accrued 77
 1. Introduction

Summary:

1. Rural Infrastructure
2. RIDF - Genesis & Coverage
3. RIDF – The Growth Story
4. Need for RIDF
5. Use of this Manual

1.1 Rural Infrastructure

Infrastructure is the growth driver of the economy and our country needs massive
investments in rural infrastructure in sectors like agriculture including irrigation, rural
connectivity, renewable energy, health care, etc., to provide good quality services to the rural
population and in bringing significant positive changes in their lives. The Government of
India is committed for the welfare of the farmers and others in the rural areas. The
development of rural infrastructure has, therefore, far reaching implication for ushering in
prosperity and better quality of life.

1.2 RIDF – Genesis and Coverage

The Hon’ble Union Finance Minister, while presenting the union budget for 1995-96 on 15
March 1995, had inter-alia, indicated as under:

“Inadequacy of public investment in agriculture is today a matter of general

concern. This is an area which is the responsibility of the States but many
States have neglected investment in infrastructure for agriculture. There are
many rural infrastructure projects, which have been started but are lying
incomplete for want of resources. They represent a major loss of potential
income and employment to the rural population”.

Pursuant to the announcement made by the Hon’ble Finance Minister, RBI spelt out the
broad terms and conditions for setting up of a Rural Infrastructure Development Fund

1|P a g e
Taking Rural India >> Forward
(RIDF) for the purpose of financing of state governments, etc., while announcing the slack
season credit policy on 17 April 1995.

1.3 The Growth Story of RIDF

RIDF which started as a “last mile approach” to facilitate completion of ongoing irrigation,
flood protection and watershed management projects during 1995-96, have become more
broad based over the years and as on date covers as many as 37 eligible activities which are
broadly classified under three categories as (i) Agriculture and related sector, (ii) Social
sector and (iii) Rural Connectivity.

RIDF has grown from an initial corpus of Rs. 2000 crore in 1995-96 (Tranche I) to Rs.
28000 crore in 2018-19 (Tranche XXIV). The cumulative funding commitment, as on 31
March 2019, to 30 State Governments/UT stood at Rs. 3.44 lakh crore (inclusive of Rs.
18500 crore under Bharat Nirman Programme). As many as 6.53 lakh projects have been
sanctioned against which Rs. 2.68 lakh crore have been disbursed as of March 2019. Over the
years, RIDF has emerged as a dependable source of public funding of impactful rural
infrastructure projects. Assistance from RIDF constitutes a significant proportion of the
investments by the various State Governments in the rural infrastructure sector.

1.4 Need for RIDF

The agrarian Indian economy is characterised by high incidence of rural poverty whose main
determinants are lack of income, continuous inflationary trend in food prices and
inadequacy of economic and social infrastructure affecting the quality of life of the people
and their employability. Since poverty eradication is one of the major objectives of our
development process, there is a need for prioritising development of rural infrastructure
which enables acceleration of the wheels of growth. Development of rural infrastructure such
as irrigation, roads and bridges, drinking water supply, flood control, health care, education,
etc. are essential to stimulate economic growth and improve the quality of life in the rural
and backward areas. RIDF was operationalized during 1995-96 as an endeavour to bridge
the gap. For the rural segment of our society, the benefits from completed projects are
sizeable.

The RIDF assistance to various State Governments is estimated to have created/restored an

irrigation potential of 330.44 lakh ha and 4.68 lakh km of rural roads, 11.45 lakh meters of
bridges creating non-recurring employment of 2772.05 crore mandays. A few studies on the
impact of RIDF by reputed national institutes like IIMs, IITs have not only documented
improved agricultural productivity and income levels of farmers but also revealed enhanced

2|P a g e
Taking Rural India >> Forward
demand for credit in the project areas apart from diversification of lending portfolio, growth
in deposits, increased branch network leading to greater financial inclusion.

Infrastructure development is a necessary pre-condition for integrated rural development. In

view of limited scope for private investment in the rural infrastructure, there is the need to
step up public investment with all available resources. RIDF is best suited to supplement the
efforts of the State Governments in this direction.

1.5 Use of Manual

The purpose of this Manual is to provide a comprehensive understanding of how RIDF loan
is extended to the eligible entities. The Manual has been developed from the existing policy
and procedural instructions. This Manual will help further define the NABARD‟s policy
under RIDF and serve as a primary reference source. The policies outlined herein are
intended to be general in nature and will be supplemented by related guideline and
clarifications issued from time to time, which will contain implementing details.

3|P a g e
Taking Rural India >> Forward
 2. Policy

Summary:

1. Normative Allocation
2. Phasing
3. Eligible Activities/Eligible Institutions
4. Loan Eligibility
5. Rate of Interest
6. Documentation/Security
7. Repayment Period & Pattern
8. Cost Escalation
9. Empanelment of Consultants
10. Environment & Social Policy of NABARD

2.1 Normative Allocation

2.1.1 After finalisation of RIDF tranche every year, RBI makes bank-wise allocation to the
corpus out of the shortfall in achievement of Priority Sector/Agriculture/Weaker Sections
target by each bank. The RBI also provides the operational guidelines for each tranche
containing the terms and conditions of the Fund as also the bank wise allocation of the
Corpus together with Mark Downs w.r.t Bank Rate for Deposit Rate(%). NABARD places
demand for deposits with the banks as per the terms and conditions set out by RBI. The
purpose of the RIDF is to supplement the efforts of the State Governments to develop critical
infrastructure facilities in the rural areas. The fund is not used for refinancing purpose.

2.1.2 The corpus announced for each tranche is allocated among different States as per
“Normative Allocation” based on following parameters;
Sr. No Norms/Parameters Weightage
i. Geographical Area of the States 15%
ii. Rural Population 15%
iii. Composite Infrastructure Development Index 20%
iv. Inverse of Rural CD Ratio 15%

v. Performance under RIDF – (Utilisation of NA, actual drawals 20%

to drawables (%))
vi. Percentage of Borrowing Power under RIDF to drawables 10%
vii. Share of irrigation and agri related projects to total sanctions 5%

4|P a g e
Taking Rural India >> Forward
2.1.3 During 2018-19 (Tranche XXIV) and 2019-20 (Tranche XXV) based on the
recommendation from Department 0f Financial Services, Ministry of Finance, Government
of India, RBI allocated interim corpus, to the extent of 80% of previous year’s corpus, in the
beginning of the year, to enable NABARD to begin the sanctioning process early. The bank-
wise RIDF allocation was communicated to NABARD subsequently in due course.

2.1.4 On finalisation of the state-wise Normative Allocation, the same is communicated to

the State Governments. The State Governments are expected to prioritise projects under the
tranche and submit suitable proposals with DPRs on eligible activities to NABARD for
sanction.

2.1.5 A mid-term review of utilisation of Normative Allocation by each State is normally

taken up in the month of December and inter-state reallocation is made based on the actual
utilisation, progress in availment of drawals, availability of borrowing power, additional
requirement of various states, etc.

2.1.6 The smooth and timely execution of sanctioned projects necessitate allocation of
adequate budget by the State Govts., securing adequate borrowing power from GoI and
availment of prompt reimbursement from NABARD.

2.2 Phasing

2.2.1 The implementation phase for projects sanctioned is spread over 2-5 years, varying
with the type of the project and also location of the State. As against maximum phasing
period of 2-3 years for normal projects, a phasing period of 4 years is permitted for projects
from North East (including Sikkim) & Hilly States (Jammu & Kashmir, Uttarakhand &
Himachal Pradesh). The five years phasing is permitted for major & medium irrigation
projects and other stand-alone projects, involving RIDF loan of Rs.50 crore and above.

2.2.2 The phasing of projects, sanctioned in second half of the financial year i.e., between
01st October and 31st March, is reckoned from 01st April of the subsequent financial year.
The works can however be executed ahead of the schedule and reimbursements claimed
therefor immediately.

2.2.3While Tranche I to XVII have been closed, tranches from RIDF XVIII onwards are
ongoing, as on 31 March 2019.

5|P a g e
Taking Rural India >> Forward
2.3 Eligible Activities

2.3.1 Incomplete Irrigation, Soil conservation, Watershed Management projects, etc. were
financed under RIDF - Tranche I as a 'last mile approach' to facilitate completion of the
projects delayed on account of budgetary constraints. Sanctions under the subsequent
tranches of RIDF covered a broad spectrum of activities which included among others rural
roads and bridges, buildings for primary schools and primary health centres, mini-hydel
plants, rural drinking water projects. At present a wide range of 37 activities (Annexure I),
covering almost all aspects of rural infrastructure are being funded under RIDF.

2.3.2 The eligible activities are classified under three broad categories i.e., (i) Agriculture and
related sectors, (ii) Social sector and (iii) Rural connectivity.

2.4 Eligible Institutions

2.4.1 The fund was originally intended to supplement the efforts of the State Governments
and State Owned Corporations. The scope of RIDF has been further enlarged to cover
projects to be sponsored and implemented by Panchayat Raj institutions (PRIs), Non-
Governmental Organisations (NGOs), Self Help Groups (SHGs), etc.

2.4.2 RIDF funding could also be towards meeting the State Governments’ share of subsidy
to the beneficiaries under different schemes of GoI/State Govts. In these cases, the assets
created may even be owned by the beneficiaries.

2.5 Loan Eligibility

The Loan Eligibility as percentage to eligible Project Cost in respect of activities classified
under three broad categories is as under:

Category All States (other than NE/Hilly States

NE/Hilly States)
Agriculture & Related 95% 95%
Social Sector 85% 90%
Rural Connectivity 80% 90%

6|P a g e
Taking Rural India >> Forward
2.6 Rate of Interest

The interest rates on deposits placed by the banks and loans under RIDF shall be decided by
the Reserve Bank of India from time to time. With effect from 01 April 2012, the interest
rates payable to banks on deposits placed with NABARD and loans disbursed by NABARD
from RIDF have been linked to the Bank Rate prevailing at the time of placement /
disbursement, as the case may be. It was clarified by RBI that since interest rates are linked
to bank Rate which is a floating rate, the interest rates on RIDF will vary as per the changes
in Bank Rate from time to time. Hence the RIDF interest rates are not fixed for the financial
year. Presently it is fixed at 1.50% below the Bank Rate applicable as on the date of
disbursement.

2.7 Penal Interest

If State Government fails to pay the interest on the due date(s), it shall be liable to pay
interest on the overdue interest amount at the same rate as is applicable to the principal
amount. Managing Director is authorised to waive such additional interest depending upon
merit of the case/s.

2.8 Documentation / Security

2.8.1 All loans sanctioned by NABARD under RIDF are secured by the irrevocable letter of
authority / mandate executed by State Govt. and registered with Reserve Bank of India /
Scheduled Commercial Bank, which is the principal Banker to the State Government (or the
irrevocable letter of authority to Govt. of India for adjusting the dues of NABARD from any
amount payable to the State Govt. in the case of Sikkim) for repayment of the principal and/
or payment of interest to NABARD. In case of Telangana, NABARD has obtained a letter of
undertaking from the State Government for prompt repayment of Principal amount and also
for the payment of interest by making adequate and specific provision in its budget annually.
The annual budgetary allocations so made, shall be held in trust for repayment of the
outstanding(s) due to NABARD from time to time.

2.8.2 Submission of Time Promissory Note (TPN) in the prescribed format for each release
of loan.

2.8.3 Acceptance of terms and conditions (General & Special) of sanction.

7|P a g e
Taking Rural India >> Forward
2.9 Discharging of Time Promissory Notes (TPNs)

After the State Government repays the principal and interest towards RIDF loans, the
Regional Offices are required to cancel the relevant TPNs and return the same to the
respective State Government/s.

2.10 Repayment Period & Pattern

2.10.1 RIDF loans shall be repaid by the State Government in accordance with the
repayment schedule prescribed by NABARD. At present, loan is to be repaid in equal annual
instalments in seven years from the date of drawal, including a grace period of two years (till
RIDF IV, repayment period was 5 years with 2 years grace). The first instalment of Principal
Repayment will commence after 36 months from the date of disbursement. The instalments
falling due on any date during a month will be payable on the first day of the next month. If
the due date happens to be a Saturday/Sunday/Holiday, the principal repayment demand
would be raised on the preceding business working day.

2.10.2 The interest shall be paid at the end of each quarter i.e. 31 March, 30 June, 30
September and 31 December every year. Interest is payable during the grace period also. The
interest shall be paid by the State Government on the first day of the month succeeding the
quarter. If the State Government fails to repay the interest on the due date(s), it shall be
liable to pay interest on the overdue amount at the same rate as is applicable to the Principal
amount.
2.10.3 NABARD may accept advance repayment of loan or advance before due date subject
to the condition that there is no default of the State Government to NABARD under any
other loan and that the State Government gives three days clear notice (excluding Saturdays,
Sundays and Bank Holidays) to the concerned Office of NABARD for such advance payment,
provided however that if the State Government fails to give aforesaid advance notice of three
days, the repayment shall be deemed to have been made after three days (excluding
Saturdays, Sundays and Bank Holidays) from the actual date of realisation of the
cheque/draft and interest will be levied accordingly. In case of default of the State
Government under any other loan or advance or interest thereon the amount tendered by
way of advance repayment of loan will be first adjusted towards the loan/interest under
default and only the balance, if any, after such adjustment will be credited towards advance
repayment of the loan/advance in question.

2.11 Cost Escalation

2.11.1 State Governments are required to meet cost escalation, if any (apart from in-built),
out of their own resources. However, if cost escalation arises for certain genuine reasons,

8|P a g e
Taking Rural India >> Forward
beyond the control of State Governments like (i) change in Schedule of Rates (SoR) (ii) Need
based unforeseen changes in design and (iii) Land acquisition cost due to judicial
intervention (restricted to 60 % of the cost of land acquisition), the same may be considered.
The proposal for cost escalation needs to be forwarded within 2 years from the date of
sanction to be eligible for consideration of additional loan.

2.11.2 Cost escalation on following grounds shall not be eligible;

 Projects based on adhoc/ general estimates

 Cost escalation proposals after closure of the tranche
 Projects where the increase in cost is due to tender premia
 Projects where increase in cost is due to delay in land acquisition, delay in issuing
administrative approval, technical sanctions and tendering etc,

2.12 Non-Starter Projects

2.12.1 A project will be considered as non-starter if it is not grounded within 12 months from
the date of issue of sanction letter, irrespective of whether the mobilisation advance has been
availed or not by the State Government. A project will be treated as "grounded" only where
the work order has been issued and the physical work has commenced.

2.12.2 A cautionary letter will be issued to the State Government immediately once a project
is categorised as Non-starter suggesting measures for early grounding of the project. Second
cautionary letter will be issued at the end of 15 months from the date of sanction stating that
the sanction will lapse, if the project is not grounded within 3 more months, i.e, 18 months
from the date of sanction letter. However, this is done as a last resort after exhausting all
possible measures to ground the project.

2.13 Environment and Social Policy of NABARD

The Environment and Social Policy of NABARD has been duly approved by the Board of
Directors of NABARD in its 208th Meeting held on 14th September 2015.

As per the Environment Policy of NABARD, Environment Impact Assessment of

the project will be undertaken wherever RIDF loan size exceeds Rs. 500 crore
for a single project.

9|P a g e
Taking Rural India >> Forward
 ANNEXURE I

RIDF-ELIGIBLE ACTIVITIES

Agriculture and related sectors

 Minor Irrigation Projects/ Micro Irrigation;

 Soil Conservation;
 Flood Protection;
 Watershed Development/ Reclamation of waterlogged areas;
 Drainage
 Forest Development;
 Market Yard, Godown, Mandi, Rural Haat, Marketing Infrastructure;
 Cold storage, Public/ Joint sector cold storage at various exit points;
 Seed/ Agriculture/ Horticulture Farms;
 Plantation and Horticulture;
 Grading/ certifying mechanisms; testing/ certifying laboratories;
 Community irrigation wells for the village as a whole;
 Fishing harbour/ jetties;
 Riverine Fisheries;
 Animal Husbandry;
 Modern Abattoir;
 Medium Irrigation Projects;
 Mini Hydel Projects/ Small Hydel Projects (upto25 MW);
 Major Irrigation Projects (already sanctioned and under execution);
 Village Knowledge Centres;
 Desalination plants in coastal areas;
 Infrastructure for Information Technology in rural areas;
 Infrastructure works related with alternate sources of energy viz. Solar, wind etc. &
energy conservation
 5/10, MW Solar photo voltaic Power Plants
 Separate Feeder Lines
 Establishment of dedicated Rural Industrial Estates
 Farm Mechanisation

10 | P a g e
Taking Rural India >> Forward
 Social Sectors

 Infrastructure for Rural Education Institutions;

 Public Health Institutions;
 Construction of toilet blocks in existing schools, specially for girls
 "Pay & use" toilets in rural areas;
 Construction of Anganwadi Centres;
 Setting up of KVIC industrial estates/ centers.
 Solid Waste Management and Infrastructure works related with sanitation in
rural areas

Rural Connectivity

 Rural Roads;
 Rural Bridge

11 | P a g e
Taking Rural India >> Forward
 3. Project Appraisal & Sanctions

Summary:
1. Project Approach
2. Appraisal & Sanction of Proposals
3. Project Sanctioning Committee
4. Withdrawal of Projects
5. Disbursements/Drawals
6. Security for Loan

3.1 Project Approach

RIDF funding is based on project based lending which entails submission of Detailed project
Reports (DPRs) containing technical and financial parameters, drawings, maps, etc.
submitted by the Implementing Departments. Concept of project approach was adopted to
ensure proper end use of funds, completing the projects in time and deriving anticipated
benefits.

3.2 Appraisal & Sanction of proposals

3.2.1 Checklists for use by the concerned State Government Departments in preparation /
formulation of RIDF projects in respect of irrigation, roads & bridges, social sector and
agriculture & allied activities is contained in Annexure III.

3.2.2 While firming up the cost estimates care may be taken to ensure that the estimates are
as per the latest Schedule of rates (SoR) indexed to the current year/ market rates and should
be prepared after detailed field survey. Identifiable items of capital nature are only eligible
for funding under RIDF.

3.2.3 Pre-appraisal expenses such as expenses incurred on project preparation, cost of

technical surveys, etc, are allowed upto 0.5 % of the RIDF loan eventually sanctioned,
provided the same are outsourced.

3.2.4 Centage charges (as per rates fixed by State Government) are permitted, provided the
works are executed by State-owned corporations and State-owned agencies.

12 | P a g e
Taking Rural India >> Forward
3.2.5 “Contingencies” are permitted upto a maximum limit of 3% of civil works under the
project.

3.2.6 An in-built provision for cost escalation over the updated cost as mentioned in DPR /
Project report is also permitted. For projects having phasing upto 2 years - "upto 5% over the
updated cost" and for projects having phasing of more than 2 years “upto 10 % over the
updated cost" is allowed.

3.2.7 A proper mechanism may be adopted to maintain rural roads implemented under
RIDF during its economic life. Accordingly, the defect liability period for roads under RIDF
may be kept uniformly for 5 years for all the States. Taking economic life of the road as
10 years, NABARD may fund maintenance cost @ 10% by adding this cost into
the road construction cost with a condition that the State will maintain the road
for its economic life. A 5 years Defect liability period is mandatory for all road projects
under RIDF from 01 April 2020.

3.2.8 DPRs for the project proposals prioritised by State Government will have to be
submitted to NABARD Regional Offices through the Nodal (Finance) Department of State
Government. The DPRs should necessarily be submitted for all project proposals. The DPR
should necessarily include BAR/PERT/CPM Chart. The projects prioritised by the State
Governments should be completed in 3-5 years. The projects should be technically feasible
and economically viable. Economic Rate of Return (ERR) should be greater than 10 % and
Benefit Cost Ratio (BCR) should be more than 1 at a discounting factor of 10%. The projects
will be appraised by the concerned Regional Offices for technical feasibility and economic
viability.

3.2.9 Road Projects towards Major District Roads (MDR), Other District Roads (ODR) &
Village Roads (VR) are eligible for RIDF loan. Road projects towards State Highways and
National Highways are not eligible. The norms as per Indian Road Congress (IRC)
specifications shall have to be followed for Road projects. The widening of MDRs by
increasing the carriage way width from 3.75 m to 5.5m to meet the increased traffic intensity
is also eligible for RIDF loan. Construction of new bridges as per I.R.C/Ministry of Road
Transport & Highways (MoRTH) specifications to replace the existing old, damaged and
narrow bridges is eligible.

3.2.10 Bridge projects on State Highways in rural areas are also eligible for RIDF loan.
3.2.11 In case of road projects, provision of maintenance cost upto a maximum of 10% of the
project cost can be capitalised in the project cost.

13 | P a g e
Taking Rural India >> Forward
3.2.12 As per Pradhan Mantri Gram Sadak Yojana (PMGSY) guidelines, in case of bridge
projects whose span length exceeds 50 m, the pro rata cost beyond 50 m is required to be
borne by the State Governments. In respect of such projects, the pro rata cost beyond 50 m
could be considered for assistance under RIDF. No separate detailed technical appraisal
needs to be carried out for these projects. Similarly, for Accelerated Irrigation Benefit
Programme (AIBP) assisted Major and medium irrigation projects (and minor irrigation
where applicable), where the loan component is to be raised by State Governments through
borrowing, the States can seek support from NABARD under RIDF.

3.2.13 In respect of irrigation projects, water courses / distribution system should normally
be an integral part of the project. In case, it is not part of project, State Govt. should indicate
arrangements for On Farm Development (OFD) works so that water reaches the farmers’
fields. State Governments should be encouraged to submit proposals for water courses and
distribution system with provision for lined or piped systems to enhance water use efficiency.
In respect of all ongoing Major and Medium Irrigation projects where Inter-State aspects are
involved / projects of Multi-purpose nature, Central Water Commission (CWC) / Niti Aayog
clearance is required. Wherever applicable, clearances from Ministry of Welfare (if
Rehabilitation & Resettlement is involved) and Ministry of Environment, Forest and Climate
Change are also required.

3.2.14 Desilting of ponds / canals are more in the nature of periodic maintenance work and
should normally be undertaken by State Governments from their own resources. However,
in case desilting is found to be an essential component of the project the same can be
considered upto 15% of the project cost.

3.2.15 Project Sanctioning Committee

Eligible project proposals involving loan amount greater than Rs. 100 crore received from
different State Govts. are considered for sanction by Project Sanctioning Committee (PSC), a
sub-committee of the Board of Directors of NABARD, with the following Members :
Chairman, NABARD
# Deputy Governor of RBI on NABARD Board.
# Director representing RBI Board, appointed u/s 6(1)(c) of the NABARD Act.
# Representative of GoI (Finance) on NABARD Board, appointed u/s 6(1)(d) of the
NABARD Act
# Representative of GoI (Agriculture) on NABARD Board, appointed u/s 6(1)(d) of
the NABARD Act

14 | P a g e
Taking Rural India >> Forward
 # Representative of GoI (Rural Development) on NABARD Board, appointed u/s
6(1)(d) of the NABARD Act
# Two representatives of State Governments nominated u/s 6(1) (e) of the Act.
# Managing Director, NABARD (Vacant at Present)
# Deputy Managing Directors, NABARD (Vacant at Present)
Quorum for the meeting of PSC is 3 members (out of which 2 should be from out of
those nominated under section 6(1)(c)/6(1)(d)/6(1)(e) of NABARD Act).

3.2.16 Board of Directors have delegated power to sanction proposals with RIDF loan size
upto Rs. 100 crore to an Internal Committee of NABARD named as Internal Sanctioning
Committee (ISC). The ISC will comprise of Chairman, DMDs and four CGMs of NABARD (to
be nominated by Chairman). The quorum for the meeting is three including Chairman.

3.2.17 The proposals sanctioned by PSC/ISC are communicated to Regional Offices

specifying the name of the projects, RIDF loan sanctioned and any special terms and
conditions stipulated by the Sanctioning Committee. Regional Offices are required to
communicate sanction of projects to the State Governments. However, detailed Sanction
letters are issued only after receipt of Administrative Approval for the projects sanctioned.

3.2.22 Cost escalation proposals having cost escalation upto 40% over original sanctioned
cost or project involving sanction of additional RIDF loan upto Rs. 1 crore (in each case) over
original sanctioned amount (whichever is less) shall be sanctioned by Chairman/MD based
on recommendations of technical/standing committee on cost escalation. All other cost
escalation proposals shall be sanctioned by PSC. Sanction letters for cost escalation
proposals sanctioned are also to be issued by the Regional Offices as per the prescribed
format.

3.2.23 Modifications in the sanctioned projects can normally be permitted only with the
consent of sanctioning committee and generally, shall not be encouraged as the approach
under RIDF is project based. However, with a view to speeding up the work & avoiding delay,
minor deviations / modifications, which do not affect scope & benefits accruing from the
projects, may be permitted by Regional Offices. The deviations should be within the broad
parameters of the sanction and increase in cost, if any, shall be borne by the State
Government.

15 | P a g e
Taking Rural India >> Forward
3.2.24 Time Frame for Grounding of Projects is as given below :

1. Administrative Approval (AA) - Prior AA or AA within 1 month from the date

of in-principle sanction.
2. Technical Sanction (TS) - Prior TS or TS within 3 months from the date of
sanction.
3. Tendering- Within 6 months from the date of sanction.
4. Issuance of work order – within 9 months from date of sanction.
5. Grounding of project - within 12 months from the date of sanction.

3.3 Benefit Enhancement Scheme

If a project is fully completed at a lesser cost than RIDF loan sanctioned, an amount of max
10 % of the total project cost can be sanctioned /allowed for additional work items adjunct to
the original project without replacing / substituting approved work items as per sanction.
Prior approval of NABARD is required and additional works shall be treated as part of
original project and shall be part of same tranche.

3.4 Deletion/Withdrawal of projects

3.4.1 If the sanctioned projects are not grounded (i.e. work order not issued) within a period
of 18 months from the date of sanction letter, Regional Office may treat the projects as
deleted/withdrawn after obtaining approval of CGM/OIC.

3.4.2 Further, requests for deletion/withdrawal of RIDF projects may also be received from
the concerned State governments due to various other reasons viz., due to non-receipt of
necessary clearances, lack of land availability, delay in issue of Administrative Approval
(AA)/Technical Sanction (TS), etc. Regional Office may forward such proposals to Head
office for deletion/withdrawal of such projects together with a copy of the Nodal
Department’s letter recommending deletion/withdrawal of projects. Any outstanding
including the mobilisation advance disbursed under the projects proposed for
deletion/withdrawal, will be recovered/adjusted.

16 | P a g e
Taking Rural India >> Forward
 ANNEXURE III
Check List for preparation of Detailed Project Report to be submitted for loans
under RIDF

A. Irrigation project
i. Name of project :
ii. Districts covered :
iii. Project outlay (Rs. Crore) :

Sr. Furnished
Item Remarks
No. (Yes/No)
1 General
i. Whether the project is prioritized by the
State Govt.
Whether the project submitted through the
ii.
Nodal Dept.
Whether the project included in the State
iii. Plan
2 Clearances from (wherever
applicable)
i. Planning Commission, GOI Major & Medium
Irrigation Projects
ii. Central Water Commission (involving any -do-
Inter State Issue)
iii. Ministry of Environment & Forests
iv. Ministry of Welfare (involving rehabilitation -do-
& resettlement)
v. Administrative Approval
vi. Technical Sanction
vii. Land Acquisition – Extent, status and time-
frame
viii. State Ground Water Authority

3 General Profile
i. Objectives of the Project
ii. Salient features of Project Area Land classification
based on soil survey;
Topographical
features, drainage; Soil
characteristics etc.

17 | P a g e
Taking Rural India >> Forward
4 Agro-economic survey
i. Demographic and social characteristics Population, farm
size, land use, land
holding
pattern/farm size
distribution
ii. Cropping pattern Existing and
proposed cropping
pattern and yields
Extension services
iii. Agricultural support services
and supply of
inputs, marketing,
credit arrangement
5 Technical Aspects
i. Surface Water projects
a. Location Minimum 20 years
b. Source of Water rainfall data & run
off estimate may be
c. Catchment Area
furnished in
d. Rainfall
MJP/MIP
e. Hydrology Command area and
f. Design of dam, weir, barrage etc. live storage capacity
g. Design of main canal, branch canals, at 75%
dependability
distributaries
All relevant details
h. Any other relevant detail
like maps of the
project showing
dam, irrigation
network, cross
section of main
canals with other
structures etc.
should be
furnished.
i. Status of land acquisition
j. Submergence area under reservoir and
canals/distribution system
ii. Ground Water Projects
a. Location All relevant details
b. Geological formation like map of
c. Hydrogeology command area,
d. Ground water availability designs,
e. Design of wells specifications of
f. Specification of pumping machinery structures etc.
should be furnished

18 | P a g e
Taking Rural India >> Forward
g. Available discharge from the structures
h. Irrigation command area of structures
i. Any other relevant details
6 Financial Aspects
i. Schedule of rates adopted (Whether updated Year
to current costs)
ii. If not, whether proposed will be sufficient to
create the assets
iii. Cost Estimate
a. Item-wise cost of project Total physical
b. Item-wise expenditure incurred quantity, already
c. Item-wise cost of balance works completed and
d. Item-wise RIDF Loan balance to be
e. Item-wise State Govt. contribution completed for each
f. Year-wise phasing of RIDF Loan and State item of
g. Govt. contribution development should
BAR/PERT/CPM chart for project execution be detailed with
Specific justifications for high cost of unit cost and
development analysis.
7 Benefits and justification Irrigation potential
Overall impact of the project need to be to be created
assessed and detailed (category-wise
coverage of
Small/Marginal and
other farmers)
Increase in food
grain/non-food
grain commodities
production
Estimated
contribution to
GDP
Non-recurring and
recurring
employment
generation

Income ‘Without’
and ‘With’ project
and cash statement
to be furnished
8 Operation and Maintenance
Arrangements for O/M inc. involvement of
Water User’s Association/User Groups;

19 | P a g e
Taking Rural India >> Forward
 Water charges/
9 Infrastructure Facilities
i. Organizational structure of the
Implementing Dept.
Capacity and preparedness of the
ii.
Implementing Dept and status of
implementation of earlier sanctioned
projects
Quality control infrastructure and
iii. mechanism
Availability of labour
Budget provision
iv.
a. For contribution to State Share
v. b. For subsequent O&M
c. For repayment of loans – Principal
and interest
10 Project Risks
i. Land acquisition
ii. Rehabilitation and resettlement
Forest clearance
iii.
Railway/road crossings
iv.
Construction hazards
v. Any other risk
vi.
11 Convergence with any other programme

20 | P a g e
Taking Rural India >> Forward
 B. Road/Bridge project
i. Name of project :
ii. Districts covered :
iii. Project Outlay (Rs. Crore) :
Sr. Furnished
Item Remarks
No. (Yes/No)
1 General
i. Whether the project is prioritized by the
State Govt.
Whether the project submitted through the
ii.
Nodal Dept.
Whether the project included in the State
iii. Plan
2 Clearances from (wherever
applicable)
i. Ministry of Environment & Forests
ii. Ministry of Railways
iii. Administrative Approval
iv. Technical Sanction
v. Land Acquisition – Extent, status and time-
frame

3 Technical Aspects
i. General
a. Whether Master Plan prepared by State
Govt. and proposed projects are as per
Master Plan
b. Whether proposed projects are new or
strengthening of existing roads
c. Whether proposed projects have been
designed as per IRC standards. Reasons for
deviation, if any should be spelt out
d. Type of road projects –Village roads, Other
District Roads, Major Rural Roads
e. Whether fair weather connectivity is
proposed, reasons for same to be elucidated
ii. Roads Projects
a. Details of roadway, carriage way, pavement
thickness (formation, sub-base, base
courses, blacktopping), culverts and small
bridges in existing and proposed conditions

21 | P a g e
Taking Rural India >> Forward
 To be furnished in relevant Annexures
Extent of Cement Concrete sections,
wherever provided to be detailed
b. Justifications for widening/strengthening
should be supported by relevant data along
with year of construction
iii. Bridge Projects
Hydraulic data, geo-technical details of
foundations, design details and drawings be
furnished
Bridge projects with detailed investigations
should only be posed
4 Financial Aspects
i. Schedule of rates adopted (Whether updated Year
to current costs)
If not, whether cost proposed will be
ii.
sufficient to create the assets
iii. Cost Estimate
a. Item-wise cost of project Total physical
b. Item-wise expenditure incurred quantity, already
c. Item-wise cost of balance works completed and
d. Item-wise RIDF loan balance to be
e. Item-wise State Govt. contribution completed for each
f. Year-wise phasing of RIDF loan and State item of development
and Govt. contribution (2 years phasing should be detailed
allowed, reasons for 3 year phasing, with unit cost and
wherever required) analysis.
g. Bar/PERT/CPM chart for project execution
h. Specific justifications for high cost of
development
5. Benefits and justification Potential (road in km
Overall impact of the project need to be ad bridge in m span)
assessed and detailed Reduction in distance
(km)
Population benefitted
Access to Marketing/
tourist/ pilgrimage
centres (numbers to
be furnished)
PCU data with likely
savings in VOC etc.
Non-recurring and
recurring
employment
generation

22 | P a g e
Taking Rural India >> Forward
 Income ‘Without’
and ‘With’ project
and cash statement
to be furnished
6. Operation and Maintenance
Arrangements for O/M of projects after Exclusively for road
completion maintenance
7. Infrastructure Facilities
i. Organizational structure of the
Implementing Dept.
ii. Capacity and preparedness of the
Implementing Dept and status of
implementation of earlier sanctioned
projects
iii. Quality control infrastructure and
mechanism
iv. Availability of labour
v. Budget provision
d. For contribution to State Share
e. For subsequent O&M
f. For repayment of loans – Principal
and interest
8. Project Risks
i. Land acquisition
ii. Rehabilitation and resettlement
iii. Forest clearance
iv. Railway/road crossings
v. Construction hazards
vi. Any other risk
11 Convergence with any other
programme

23 | P a g e
Taking Rural India >> Forward
 C. Social Sector (School/Health etc.) project
i. Name of project :
ii. Districts covered :
iii. Project Outlay (Rs. Crore) :
Sr. Furnished
Item Remarks
No. (Yes/No)
1 General
i. Whether the project is prioritized by the
State Govt.
Whether the project submitted through the
ii.
Nodal Dept.
Whether the project included in the State
iii. Plan
2 Clearances from (wherever
applicable)
i. Ministry of Environment & Forests
ii. Administrative Approval
iii. Technical Sanction
iv. Land Acquisition – Extent, status and time-
frame

3. General
i. Whether present project is part of GOI
programme. If yes, furnish details of support
and conditions of GOI
ii. Justifications of the project with reference to
National and State Human Development
Index

4 Technical Aspects
a. Whether projects are based on detailed site
specific plans or based on replicable model
Approved drawings / details to be furnished
Whether all components have been included
in the project. If not, the arrangements for
the same by the State Govt. may be specified
5 Financial Aspects
i. Schedule of rates adopted (Whether updated Year
to current costs)
If not, whether cost proposed will be
ii.
sufficient to create the assets

24 | P a g e
Taking Rural India >> Forward
iii. Cost Estimate
a. Item-wise cost of project Total physical
b. Item-wise expenditure incurred quantity, already
c. Item-wise cost of balance works completed and
d. Item-wise RIDF loan balance to be
e. Item-wise State Govt. contribution completed for each
f. Year-wise phasing of RIDF loan and State item of development
and Govt. contribution should be detailed
g. Bar/PERT/CPM chart for project execution with unit cost and
h. Share of GOI, if any, to be specified analysis.
i. Specific justifications for high cost of
development
6. Benefits and justification Population (students
Overall impact of the project need to be in school projects) to
assessed and detailed be benefitted
Reduction in distance
(km)
Estimated benefits to
be accrued
Non-recurring
employment
generation
Income ‘Without’
and ‘With’ project
and cash statement,
wherever feasible, to
be furnished
7. Execution/Operation and
Maintenance
Arrangements for execution of projects (like
Schools under SSA) to be specified Role
Community in execution and O/M of
projects after completion
8. Infrastructure Facilities
i. Organizational structure of the
Implementing Dept. (coordination
mechanism, where project to be executed by
other than Implementing Dept)
ii. Capacity and preparedness of the
Implementing Dept and status of
implementation of earlier sanctioned
projects
iii. Quality control infrastructure and
mechanism
iv. Availability of labour

25 | P a g e
Taking Rural India >> Forward
v. Budget provision
a. For contribution to State Share
b. For subsequent O&M
c. For repayment of loans – Principal
and interest

9. Project Risks
i. Land acquisition
ii. Forest clearance
iii. Railway/road crossings
iv. Construction hazards
v. Any other risk
11 Convergence with any other
programme of GOI Details to be
furnished about the mechanism of
implementation

26 | P a g e
Taking Rural India >> Forward
 D. Allied to Agriculture Sector (Plantation/Horticulture/Forestry etc.)
Project
i. Name of project :
ii. Districts covered :
iii. Project Outlay (Rs. Crore) :
Sr. Furnished
Item Remarks
No. (Yes/No)
1 General
i. Whether the project is prioritized by the
State Govt.
Whether the project submitted through the
ii.
Nodal Dept.
Whether the project included in the State
iii. Plan
2 Clearances from (wherever
applicable)
i. Ministry of Environment & Forests
ii. Administrative Approval
iii. Technical Sanction
iv. Land Acquisition – Extent, status and time-
frame

3. General
i. Objectives of the Project
ii. Salient features of Project Area Land classification
based on soil survey;
Topographical
features, drainage;
Soil characteristics
etc.
4 Agro-economic survey
i. Demographic and social characteristics Population, farm
size, land use, land
holding pattern/farm
size distribution
Existing and
ii. Cropping pattern proposed cropping
pattern and yields
Extension services
and supply of inputs,
iii. Agricultural support services
marketing, credit
arrangement

27 | P a g e
Taking Rural India >> Forward
5 Technical Aspects
a. Location and suitability of the project area
for the proposed investment
b. All relevant details on technical aspects of
proposed investment, backward and forward
linkages inc. marketing, cost of
development/unit etc. should be furnished
6 Financial Aspects
i. Schedule of rates adopted (Whether updated Year
to current costs)
If not, whether cost proposed will be
ii.
sufficient to create the assets
iii. Cost Estimate
a. Item-wise cost of project Total physical
b. Item-wise expenditure incurred quantity, already
c. Item-wise cost of balance works completed and
d. Item-wise RIDF loan balance to be
e. Item-wise State Govt. contribution completed for each
f. Year-wise phasing of RIDF loan and State item of development
and Govt. contribution should be detailed
g. Arrangement for maintenance after 3 years with unit cost and
h. Bar chart for project execution analysis.
i. Specific justifications for high cost of
development
7. Benefits and justification Potential to be
Overall impact of the project need to be created
assessed and detailed Increase in
production
Estimated
contribution to GDP
Non-recurring and
recurring
employment
generation
Income ‘Without’
and ‘With’ project
and cash statement,
wherever feasible, to
be furnished
8. Operation and Maintenance
Arrangements for maintenance of the project
after execution till realization of returns

28 | P a g e
Taking Rural India >> Forward
9. Infrastructure Facilities
i. Organizational structure of the
Implementing Dept.
ii. Capacity and preparedness of the
Implementing Dept and status of
implementation of earlier sanctioned
projects
iii. Quality control infrastructure and
mechanism
iv. Availability of labour
Budget Provision
a. For contribution to State Share
b. For subsequent O&M
c. For repayment of loans – Principal
and interest
10. Project Risks
i. Land acquisition
ii. Forest clearance
iii. Railway/road crossings
iv. Construction hazards
v. Any other risk
11. Convergence with any other
programme
Furnish details

29 | P a g e
Taking Rural India >> Forward
 4. Loan Disbursements

Summary:
1. Disbursement Process – Scrutiny
2. Borrowing Power (Article 293(3)
3. Adjustment of Mobilisation Advance
4. Security for Loan
5. Monitoring

4.1 Disbursements / Drawals

4.1.1 The drawal of funds under sanctioned projects need to be considered on the basis of an
application in prescribed format from the Finance Department (Nodal Dept) of the State
Government authorised signatory of the Implementing Department (if project implementing
department is authorised by Finance Dept) after satisfactory completion of all the prescribed
formalities.

4.1.2 NABARD provides funds on, ‘reimbursement basis’, except for the initial 20 per
cent of the RIDF loan given as „mobilisation advance‟ (North Eastern States including
Sikkim and Hilly States of J & K, Himachal Pradesh & Uttarakhand are eligible for 30% of
loan as mobilisation advance). Mobilisation advance may be disbursed in 1 or 2 instalment/s
as per the request/s received from the State Government, within 1 year from the date of
sanction, on acceptance of the terms & conditions of sanction letter.

4.1.3 ‘Mobilisation Advance’, unlike subsequent reimbursements, is an upfront advance

provided with a view to ensuring smooth launch of RIDF projects by line departments, kick-
start implementation and accelerate the pace of ongoing projects. With resources made
available at commencement itself, the projects are expected to be grounded expeditiously.

4.1.4 Borrowings of State Government under RIDF are governed by Article 293 (3) of the
Constitution of India under which GoI determines its borrowing powers from the market and
financial institutions during a financial year and Article 293(1) under which limits are fixed
by the State Legislature for borrowing. Borrowing of Union Territory of Puducherry under
RIDF are approved under Article 48(A) of the Government of UTs Act, 1963. Thus
disbursements under RIDF need to be processed subject to the said limits. The State
Governments to provide, at the time of each drawal of loan under RIDF, a certificate to the

30 | P a g e
Taking Rural India >> Forward
 effect that each loan disbursed is within the limit under Article 293(1) of the Constitution
together with an undertaking for compliance of the requirement thereof in full.

4.1.5 The State Governments are required to submit Time Promissory Notes (TPNs) in
the prescribed format along with each drawal application for release of RIDF loans and each
drawal is treated as a separate loan. Once the State Government has repaid the principal plus
interest of RIDF loans released against the TPNs, the ROs may cancel the relevant Time
Promissory Notes and return the same to the respective State Government/s.

4.1.6 Disbursement is effected only after terms and conditions of sanction and
disbursement are accepted with and after execution of the required documents. Drawal
application format is given as Annexure IV.

4.2 Adjustment of Mobilisation advance

4.2.1 Mobilisation Advance released shall be adjusted from the eligible claims pertaining to
the same project. The proportion of amount to be adjusted should be slightly more than the
proportion of advance. If the advance is 20 % of RIDF loan, the amount adjusted will be, say
at least 25 % of eligible claim. The advances outstanding would be recovered / adjusted in
certain other situations as indicated below:

4.2.2 Non-Starter Projects

1. In case of Non-starter projects, outstanding advance may be adjusted against RIDF

claims under the same tranche for the same purpose / activity;

2. If (i) above is not possible, the outstanding advance may be adjusted against a claim
under a different tranche, but preferably for the same purpose /activity.

3. iii. If (‘i’) and (‘ii’) are not possible, the outstanding advance may be adjusted against
any other eligible claim under RIDF.

4.2.3 Withdrawn Projects

In case of withdrawn projects, outstanding advances/ loans, if any, have to be recovered /

adjusted against other eligible RIDF claims under the same tranche and purpose/activity. If
adjustment against claims under the same tranche is not possible, the outstanding advance
may be adjusted against eligible claims under other tranches.
31 | P a g e
Taking Rural India >> Forward
4.3 Security for Loan:

4.3.1 All loans sanctioned by NABARD under RIDF is secured by the irrevocable letter of
authority /mandate registered with Reserve Bank of India / any other Scheduled Commercial
Bank which is the principal Banker to the State Government (or the irrevocable letter of
adjusting the dues against the Central Government in the case of Sikkim), for repayment of
the principal and/or payment of interest to NABARD due in respect of the loans and
advances made from RIDF. In case of Telangana, NABARD has obtained a letter of
undertaking from the State Government for prompt repayment of Principal amount and also
for the payment of interest by making adequate and specific provision in its budget annually.
The annual budgetary allocations so made, shall be held in trust for repayment of the
outstanding(s) due to NABARD from time to time.

4.3.2 Submission of Time promissory Note (TPN) in the prescribed format for each release
of loan Annexure V.

4.3.3 Execution of unconditional Guarantee from State Governments (Additionally required

for support to State Govt. sponsored organisations, etc.)

4.3.4 Acceptance of terms and conditions (General & special) of sanction in the duplicate
copy of the sanction letter.

4.4 Monitoring
The State Governments have their own mechanism for monitoring which includes
monitoring by their Engineers/Officers in various grades, Engineers of Quality Control Wing,
maintenance of visit registers, test reports etc. The monitoring of RIDF projects by NABARD
is by exception and is conducted through the following two tools:
i. Desk Monitoring (off-site) and
ii. Field Monitoring (on-site)
These tools are supplementary and complementary to each other and facilitate timely
physical completion of projects, avoid cost/time overrun and add quality to the projects.
4.4.1 Objectives
i. Facilitate timely physical completion of the projects.
ii. Avoid cost/time overrun.
iii. Ensure suitable mechanism for compliance with quality parameters.
iv. Identify new investment opportunities complementary and supplementary to
rural prosperity.
v. Adherence to special terms and conditions of sanction, if any.
32 | P a g e
Taking Rural India >> Forward
 4.4.2 Desk Monitoring
The desk monitoring is done by scrutiny of prescribed returns as well as from the
information called from project-wise drawal applications submitted by the State
Government. The desk monitoring forms the basis for field monitoring on a sample basis.
This, in turn, also facilitates validation of the feedback received in desk monitoring. The desk
monitoring will help in identifying the critical issues such as NSPs, slow moving projects etc.
4.4.2.1 Quarterly Progress Reports (QPRs)
The Regional Offices should obtain on a quarterly basis the complete details regarding
progress recorded in respect of all the projects for which the assistance has been sanctioned.
The progress recorded in each quarter is to be compared with the target set for the quarter in
the PERT/bar charts. The format prescribed for submission of the progress of the projects
are given in Annexure VI. The information should cover all the projects irrespective of
whether drawal is submitted or not.

4.5 Project Completion Certificate (PCC)

Implementing Departments may submit a Project Completion Certificate (PCC) to

NABARD, immediately on completion of the physical works in respect of the project
executed with financial assistance under RIDF. The Specimen format in this regard is
enclosed as Annexure VII. Based on receipt of the PCC, NABARD will treat the project
as complete in its record.

4.6Project Completion Report (PCR)

The implementing departments are required to submit a detailed Project Completion

Report (PCR) to NABARD within 6 months from the date of the PCC in the prescribed
format (Annexure VIII – A to F).
In case of type design projects or projects involving multiple units of similar nature in a
proposal, a single PCR may be submitted, for multiple projects in a block/taluka/district,
depending on the implementing division. The relevant physical, financial details as well as
benefits envisaged from the projects may be captured in the form of an annexure. Sample
formats of PCR for Type Design Projects and proposals with similar multiple units are
also enclosed in Annexure VIII - G.

33 | P a g e
Taking Rural India >> Forward
 ANNEXURE IV

FORMAT OF DRAWAL APPLICATION UNDER THE RURAL INFRASTRUCTURE

DEVELOPMENT FUND (RIDF)
(To be submitted in duplicate to the Regional Office of NABARD)

To
The Chief General Manager/
Officer in Charge
National Bank for Agriculture and Rural Development
Regional Office
________________

Dear Sir,

Drawal Application under the Rural Infrastructure Development Fund (RIDF)

for the Quarter/Month ended____________

Please refer to your sanction letter No.NB.SPD______/RIDF_____/ (year) dated

__________ communicating the sanction of Rs.__________ crore in respect of ___
projects (please specify).
2. We had vide our letter No.__________________________dated
___________________ conveyed to you, the State Govt‟s. acceptance to the terms and
conditions stipulated in your sanction letter, referred to above, by returning the duplicate
copy of the sanction letter duly signed.
3. We hereby apply for release of a loan of Rs._________________ Crores (Col.9 of
Ann-I) being the amount expended by the Government, towards cost of the works done in
respect of the said projects upto the quarter/month ended ____________. Details of the
expenditure incurred and the claim thereof are furnished in Annexure A to B.
4. In this connection, we certify that:
i. The amount sought for under RIDF as per the present drawal is within the limits fixed
by the State Legislature under Article 293(i) of the Constitution of India/no limit has
been fixed (certificate in Form-I enclosed);
ii. The __________ Department has obtained the administrative approval of the
Competent Authority for the revised cost of the project as sanctioned by NABARD;
iii. Tendering Committee(s) had/have been constituted by the Government to finalise the
tender documents relating to the projects for which assistance had been sought for from
NABARD;

34 | P a g e
Taking Rural India >> Forward
i. The Government had actually incurred the amounts indicated in "Statement of
Expenditure" in Annexure I. In addition, the Government's proportionate share as per
the sanction letter has been provided or incurred.
ii. This claim for reimbursement do not include any expenditure for the projects incurred
prior to 01 April __________;(Start of applicable tranche)
iii. The amounts claimed under the drawal application had not been claimed earlier from
NABARD under RIDF or any other scheme of finance;
iv. None of the projects in respect of which reimbursement is claimed is under any
interstate water dispute. The water utilization in respect of the project (specify) is
within the allocation made by the concerned tribunal (specify); (Applicable for
Irrigation Projects)
v. Execution and completion of the projects is in progress in accordance with the
CPM/PERT chart submitted to NABARD by the__________ Department (Name of
implementing Dept.);
vi. Separate accounts of expenditure (project-wise) are being maintained by the
______________Department (Name of implementing Dept.);
vii. The project display board has been installed at the project site as per prescribed
specification.
We agree to repay the aforesaid amount and interest and other charges accruing/due
thereon at such rate of interest and as per the repayment schedules that may be prescribed
by NABARD while releasing the loan amount/revised by NABARD from time to time.
Yours faithfully,

Signature of the Authorized

Official of the Finance Department(Seal)
Enclosures: Annexure A & B

CERTIFIED THAT:
a. Items of work have been executed as per the financial rules of the Govt. of
__________ after observing the prescribed tender formalities.
b. Expenditure reported has actually been incurred & recorded in the books of accounts
of the concerned divisions.
c. The physical progress made is as per CPM/PERT chart and is satisfactory. (In case of
unsatisfactory physical progress/reasons are given here under)

Authorised Signatory
Implementing Dept.
(Seal)
Date:

35 | P a g e
Taking Rural India >> Forward
 (Statement of Expenditure)

GOVERNMENT OF _________________, FINANCE DEPARTMENT

(Enclosure to the drawal application dated ____________

Submitted by the Govt. of _________________, to
NABARD under RIDF scheme)

STATEMENT OF THE COST OF WORKS DONE UNDER RIDF PROJECT

DURING THE MONTH / QUARTER(S) 20 _____

(Rs. Lakh )

Sl. Type of No. of NABAR Cost of Amount Cost of Total Amt. of

N Project Project D's works of loan works Cost of loan for
o. s Sanction done already done works which
Letter upto end claimed during done the
---------- of the upto the the upto the present
No & previous end of month/ end of claim is
Date month the Qtr the submitte
/Qtr previous under quarter d
month/ ref.... under
Qtr ref....
1 2 3 4 5 6 7 8 9

TOTAL :

CERTIFIED THAT: the cost of works indicated in col.No.8 has been incurred.

Authorised Signatory
Finance Deptt.
(Seal)
Date:

36 | P a g e
Taking Rural India >> Forward
 GOVERNMENT OF _________________________
________ DEPARTMENT

(Enclosure to the drawal application dated _______________________________

Submitted by Govt. of _______________, to NABARD under RIDF scheme)

PROGRESS OF PHYSICAL AND FINANCIAL WORKS FOR ONGOING ______________

PROJECTS SANCTIONED UNDER RIDF FOR THE MONTH / QUARTER ENDING
20______
(To be submitted for each Project)

1. Name of the project:

2. Date of commencement of the project :
3. Approved/revised project cost (Rs.Lakhs)
4. Cost incurred upto 31 March _______ (Rs. Lakhs)
5. Balance cost for completion: _______ (Rs. Lakhs)

CERTIFIED THAT:

a) Items of work have been executed as per the financial rules of the Govt of
______________ after observing the prescribed tender formalities.

b) Expenditure reported has actually been incurred & recorded in the books of accounts of
the concerned divisions.

c) The physical progress made is as per CPM/PERT chart and is satisfactory (in case of
Unsatisfactory physical progress/reasons are given hereunder).

Authorised Signatory
Implementing Dept.
(Seal)
Date

37 | P a g e
Taking Rural India >> Forward
 (Rs. lakhs)
Sl. No Item Physical Financial Total Loan Likely Remarks
of (5 + requi drawal
work 6) red during
under the
Target Achie Expendi Expendi RIDF ensuing
veme -ture -ture quarter
nt incurred incurred ended...
upto the during
previous the
month/ present
quarter.. month/
…. quarter
1 2 3 4 5 6 7 8 9 10

10

TOTAL

Items of Work will be as applicable to the type of project. For Say Irrigation, it may be Head
Works, Canal works, Distributaries, on farm works, other works etc. (As per sanction letter)

38 | P a g e
Taking Rural India >> Forward
 ANNEXURE V

Form of Promissory Note to be obtained from a State

Government at the time of making Advances

(Note: This Promissory Note need not be stamped if borrower is a State Government)

The Governor of the State of Promises to pay the National bank of

Agriculture and Rural Development or order the sum of Rs. (Rupees
only) in five equal instalments, the first
such instalments shall be paid immediately on the expiry of a period of 36 months from the
date and subsequent instalments to be paid at intervals of 12 months therefrom, together with
interest on the amount for the time being outstanding at____% * per cent per annum from the
date, such interest to be calculated with quarterly rests and to be payable at the end of each
quarter.

Dated at this day of

(Signature)

Secretary, Finance Department

Government of
or the official authorised byhim,
acting for and on behalf of the Governor of
the State of

* As applicable

39 | P a g e
Taking Rural India >> Forward
 ANNEXURE VI

STATEMENT INDICATING THE PROGRESS IN THE IMPLEMENTATION OF

THE PROJECTS SANCTIONED UNDER RIDF – QUARTER ENDED

(To be furnished by the State Government/Works Department/ Irrigation Department to

Regional Office)

1. Name of the Project

2. District/Location (including river/ Basin wherever applicable)

3. CCA to be created

4. Date of Administrative approval

5. Total Project Costs

Rs.______crore(updated/revised cost)

6. Physical progress upto previous quarter (Item wise as per the major Item indicated in
PERT/Bar Chart)

7. Expenditure incurred upto previous quarter

8. Progress during the quarter

Major Target Achieve Percentage Reaso Cumulati Expenditu Cumulati
items of for ment achieveme n for ve re ve
work as quarter during nt shortf progress incurred Expendit
indicated quarter all (if during the ure
in PERT/ s any) Quarter incurred
Bar upto
Charts Quarter
submitte (phy.qty (phy.qt (1 to 4) (Rs.crore)
d to ) y)
NABARD (Rs.crore)

1 2 3 4 5 6 7 8

9. Reimbursed

i) Amount Claimed Rs. Date

ii) Amount released Rs. Date

40 | P a g e
Taking Rural India >> Forward
 ANNEXURE VII

Project Completion Certificate

This is to certify that the Project : (Name)____________________ (Project

ID)______________ at _____________ Block,
__________ District, __________________State sanctioned under RIDF
Tranche ____________ which commenced on ____________, has since been
completed on _________as per the general and special terms and conditions of sanction of
RIDF loan.

It is also certified that all physical works planned under the project have been completed
satisfactorily.

The project is expected to realise the objectives as laid down at the time of sanction.

The detailed Project Completion Report (PCR) in respect of the above project will be
submitted to NABARD within a period of six months, from the date of this certificate.

Authorised Signatory (with seal)

Circle ________
Department _____________
Government of __________
Dated :

41 | P a g e
Taking Rural India >> Forward
 Annexure VIII - A

PROJECT COMPLETION REPORTS

RURAL ROAD AND BRIDGE PROJECTS

1. State :
2. Name of the Project :
3. Location of the project :
(District / Block / Taluka)
a. Chainage (km) :
i. From :
ii. To :
iii. Length :
b. Other relevant details as per :
Annexure-(i) may be furnished

4. Type of Project (Please tick)

a. New :
b. Upgradation/Strengthening :
5. Implementing Agency :
6. Project Design Brief Tech. Details :
(As per Annexure ii and iii)
7. Details of approval :
a. Date of Administrative Approval(AA) :
b. Amount approved(Rs. lakh) :
c. Date of Technical Sanction
8. Date of Commencement of Project :
9. Scheduled date of completion as per sanction :
10. Date of actual completion of work :
11. No. and date of NABARD Sanction Letter :
12. RIDF Sanction (Rs. Lakh) :
a. Tranche and Project ID :
b. Total cost of the project :
c. Expenditure incurred before
RIDF loan sanction :
d. Balance Cost :
e. RIDF Loan :
f. State Govt. Contribution :
13. RIDF loan released (Rs. Lakh) :

42 | P a g e
Taking Rural India >> Forward
14. Up-to-date expenditure statement :
(Yearwise from inception)

Financial Year Amount (Rs. lakh)

TOTAL

15. Defect Liability Period (No. of years after completion):

16. Toll proposed to be collected :
17. Details of expenditure incurred -
a. Project cost as per sanction :
b. Actual expenditure on completion :
c. Excess / Savings :
18. Reasons for excess/savings :

4. Certificate

Certified that all items as envisaged in the sanction in respect of ____________ project
have been completed in all respects and there is no balance physical work remaining. The
work has been carried out as per specifications laid down in the sanction and as per sound
engineering practices. The project will be able to realize the objectives as laid down during
the time of sanction.

Superintending Engineer
(Signature with stamp)

Circle__________ Department ________

Dated:

43 | P a g e
Taking Rural India >> Forward
 Annexure (i)

1. Brief details of the road/bridge project :

2. Location of the road/bridge in the block map :

3. Direct Benefits / Expected Benefits

a. Employment generated (non-recurring) in lakh man-days :

b. No. of villages connected :
c. Population benefitted :
d. Marketing centers connected :
e. Distance reduction details (pre development position
vis-a-vis Post-development) :
f. Any other relevant information :

4. Indirect benefits :
5. Arrangements for maintenance after Defect Liability Period :
a. Budgetary Source:
b. Any Other Source (Please specify):

6. Constraints, if any, faced in implementation of the project :

7. Views of the beneficiaries on utility of the project :

8. Photograph (in colour) of the project t :

9. Safety measures/ Quality standards undertaken :

10. Any other relevant information :

44 | P a g e
Taking Rural India >> Forward
 Annexure (ii)
RIDF-RURAL ROAD PROJECTS-Technical Details

Sr. Status Length Class Road Carriage Lane Pavement

No. of Road of way way (single/ Thickness (mm) Material
(km) Road width width interme Sub- Base Surfac Total Sub- Base Surfac
(m) (m) diate/d base ing base ing
ouble)
1 2 3 4 5 6 7 8 9 10 11 12 13 14
1. Pre-
development
(existing)
2. As per
sanction
3. Post
development
(Final)
4. As per I.R.C
Standard
Note: In case of the project is being proposed in different sections, the above details may be
furnished for each section of the road.

Annexure (iii)
RIDF-Rural Bridge Projects – Techniccal Details – RIDF
Sr. Status Connecting Roads Length Width No. of Span Type
No. Class Roadway (m) (m) spans Length Found Super
width (m) (m) ation structure
1 2 3 4 5 6 7 8 9 10
1 Pre-development
(existing)
2. As per sanction
3. Post
development
(Final)
4. As per I.R.C.
Standard

45 | P a g e
Taking Rural India >> Forward
 Annexure VIII - B
PROJECT COMPLETION REPORTS
IRRIGATION PROJECT

1. State :
2. Name & Type of Project :
(Whether scheme part
of any composite Project)
3. Location of the project :
(District / Block / Taluka)

4. Project Details : Amount(Rs. lakh)

S. Items of Physical Financial details Remarks

No development* quantity ( reasons for

Estimated Actual

( only Major variation, if

cost expenditure
Components) any)

1
2
Total

* As per abstract of estimate

5. Implementing Agency :

6. Details of approval :
d. Date of Administrative Approval(AA) :
e. Amount approved(Rs. lakh) :
f. Date of Technical Sanction :

7. Date of commencement of project :

8. Scheduled date of completion of project :

46 | P a g e
Taking Rural India >> Forward
 as per sanction
9. Date of actual completion of work :

10. No. and date of NABARD Sanction Letter :

11. RIDF Sanction (Rs. Lakh) :

a. Tranche and Project ID :

b. Total cost of the project :
c. Expenditure incurred before
RIDF loan sanction :
d. Balance Cost :
e. RIDF Loan :

f. State Govt. Contribution :

12. RIDF loan released (Rs. Lakh) :

13. Up-to-date expenditure statement :
(Yearwise from inception)

Financial Year Amount (Rs. lakh)

TOTAL

14. Water rate proposed to be charged :

15. Status of Formation of Water User's Association and Extension Services :

16. Details of expenditure incurred -

d. Project cost as per sanction :
e. Actual expenditure on completion :
f. Excess / Savings :
17. Reasons for excess/savings :

47 | P a g e
Taking Rural India >> Forward
18. Certificate

Certified that all items as envisaged in the sanction in respect of ____________ project
have been completed in all respects and there is no balance physical work remaining. The
work has been carried out as per specifications laid down in the sanction and as per sound
engineering practices. The project will be able to realize the objectives as laid down during
the time of sanction.

Superintending Engineer
(Signature along with stamp)

Circle : Department:
Dated

48 | P a g e
Taking Rural India >> Forward
 Annexure (i)

1 Brief details of the project :

2 Location of the project in the block map :

3 Direct Benefits / Expected Benefits

a. Potential created (ha)
b. Employment generated (non-recurring) in lakh mandays :
c. No. of villages benefitted :
d. Population benefitted :
e. Any other relevant information :

4 Indirect benefits :

5 Arrangements for maintenance :

a. Budgetary Source:
b. Any Other Source (Please specify) :

6 Constraints, if any, faced in implementation of the project :

7 Views of the beneficiaries on utility of the project :

8 Photograph (in colour) of the project :

9 Safety measures/ Quality standards undertaken :

10 Any other relevant information :

49 | P a g e
Taking Rural India >> Forward
 Annexure VIII - C
PROJECT COMPLETION REPORT
RURAL DRINKING WATER SUPPLY PROJECT

1. State :

2. Name of the Project :

3. Location of the project :

(District / Block / Taluka)

4. Project Details : Amount (Rs.lakh)

Sr. Items of Physical Financial Details Remarks

No Development* Quantity ( reasons for

Estimated Actual
( Only Major variation, if
Cost Expenditure
Components) any)
1
2
Total

* As per abstract of estimate

5. Implementing Agency :

6. Details of approval :
a. Date of Administrative Approval(AA) :
b. Amount approved(Rs. lakh) :
c. Date of Technical Sanction :
7. Date of commencement of project :
8. Scheduled date of completion as per sanction :
9. Date of actual completion of work :
10. No. and date of NABARD Sanction Letter :
11. RIDF Sanction (Rs. Lakh) :
a. Tranche and Project ID :
b. Total cost of the project :
c. Expenditure incurred before RIDF loan sanction :

50 | P a g e
Taking Rural India >> Forward
 d. Balance Cost :
e. RIDF Loan :
f. State Govt. Contribution :
12. RIDF loan released (Rs. Lakh) :

13. Up-to-date expenditure statement :

(Yearwise from inception)

Financial Year Amount (Rs. lakh)

TOTAL

14. Designed Supply (in LPCD) :

15. Water charges

a. Private connections :
b. Stand Post connections :
16. Details of expenditure incurred -
a. Project cost as per sanction :
b. Actual expenditure on completion :
c. Excess / Savings :

17. Reasons for excess/savings :

18. Certificate
Certified that all items as envisaged in the sanction in respect of ____________ project
have been completed in all respects and there is no balance physical work remaining. The
work has been carried out as per specifications laid down in the sanction and as per sound
engineering practices. The project will be able to realize the objectives as laid down during
the time of sanction.

Superintending Engineer
(Signature along with stamp)

Circle : Department:

Dated :

51 | P a g e
Taking Rural India >> Forward
 Annexure (i)

1 Brief details of the project :

2 Location of the project in the block map :

3 Direct Benefits / Expected Benefits

a. Employment generated (non-recurring) in lakh mandays :

b. No. of private connections :
c. No. of stand-posts :
d. No. of villages benefitted :
e. Rural population benefitted :
f. Any other relevant information :

4 Indirect benefits :

5 Arrangements for maintenance :

a. Budgetary Source:
b. Any Other Source (Please specify) :

6 Constraints, if any, faced in implementation of the project :

7 Views of the beneficiaries on utility of the project :

8 Photograph (in colour) of the project :

9 Safety measures/ Quality standards undertaken :

10 Any other relevant information :

52 | P a g e
Taking Rural India >> Forward
 Annexure VIII - D
PROJECT COMPLETION REPORT
FOREST DEVELOPMENT PROJECT

1 State :

2 Name of the Project :

3 Location of the project :

(District / Block / Taluka)

4 Project Details : Amount

(Rs.lakh)

Sr. Items of Physical Financial Details Remarks

No Development* Quantity ( reasons for

Estimated Actual
( Only Major variation, if
Cost Expenditure
Components) any)

1
2
Total

* As per abstract of estimate

5 Implementing Agency :

6 Details of approval :

a. Date of Administrative Approval(AA) :

b. Amount approved(Rs. lakh) :

c. Date of Technical Sanction :

7 Date of commencement of project :

8 Scheduled date of completion of project :

as per sanction

9 Date of actual completion of work :

10 No. and date of NABARD Sanction Letter :

11 RIDF Sanction (Rs. Lakh) :

a. Tranche and Project ID :

b. Total cost of the project :

53 | P a g e
Taking Rural India >> Forward
 c. Expenditure incurred before

RIDF loan sanction :

d. Balance Cost :

e. RIDF Loan :

f. State Govt. contribution :

12 RIDF loan released (Rs. Lakh) :

13 Up-to-date expenditure statement :
(Year wise since inception)

Financial Year Amount (Rs. lakh)

TOTAL

14 Details of expenditure incurred -

15 Project cost as per sanction :
16 Actual expenditure on completion :
17 Excess / Savings :

18 Reasons for excess/savings :

19 Certificate
Certified that all items as envisaged in the sanction in respect of ____________ project
have been completed in all respects and there is no balance physical work remaining. The
work has been carried out as per specifications laid down in the sanction and as per sound
engineering practices. The project will be able to realize the objectives as laid down during
the time of sanction.

District Forest Officer

(Signature along with stamp)

Circle : Department:

Dated :

54 | P a g e
Taking Rural India >> Forward
 Annexure (i)

1 Brief details of the project :

2 Location of the project in the block map :

3 Direct Benefits / Expected Benefits

a. Employment generated (non-recurring) in lakh mandays :

b. Area benefitted :
c. No. of villages benefitted :
d. Rural population benefitted :
e. Any other relevant information :

4 Indirect benefits :

5 Arrangements for maintenance :

a. Budgetary Source:
b. Any Other Source (Please specify) :

6 Constraints, if any, faced in implementation of the project :

7 Views of the beneficiaries on utility of the project :

8 Photograph (in colour) of the project :

9 Safety measures/ Quality standards undertaken :

10 Any other relevant information :

55 | P a g e
Taking Rural India >> Forward
 Annexure VIII - E
PROJECT COMPLETION REPORT
RURAL EDUCATION INSTITUTION PROJECT
1 State :
2 Name of the Project :
3 Location of the project :
(District / Block / Taluka)
4 Project Details : Amount (Rs. Lakh)

S Addition
r. Name of s Physical Financial Details Remarks
Status of
N
o Schools modificatio Quantity ( reasons
school
Estimated Actual
ns made in Expenditur for
(Pre-
th Cost e
project)
e school variation,
*
(indicate if any)
variation
s
vis-a-vis
sanctions if
any )**

1
2

Total

*Specify such as new / ongoing, one room, two room, three room; kutcha / pucca structure
etc.
**Specify items such as additional rooms, toilet/boundary wall/ drinking water etc.
5 Implementing Agency :
6 Details of approval :

56 | P a g e
Taking Rural India >> Forward
 a. Date of Administrative Approval(AA) :
b. Amount approved(Rs. lakh) :
c. Date of Technical Sanction :
7 Date of commencement of project :
8 Scheduled date of completion of project
as per sanction :
9 Date of actual completion of work :
10 No. and date of NABARD Sanction Letter :
11 :
RI
a. Tranche and Project ID :
DF
b. Total cost of the project :
Sa c. Expenditure incurred before
nc i. RIDF loan sanction :
tio d. Balance Cost :
n e. RIDF Loan :
(R f. State Govt. Contribution :
s. RIDF loan released (Rs. Lakh)
12 :
La Up-to-date expenditure statement
13 :
kh (Yearwise from inception)
)
Financial Year Amount (Rs. lakh)

TOTAL

14 Details of expenditure incurred -

a. Project cost as per sanctio :
b. Actual expenditure on completion :
c. Excess / Savings :
15 Reasons for excess/savings :

57 | P a g e
Taking Rural India >> Forward
16. Certificate
Certified that all items as envisaged in the sanction in respect of ____________ project
have been completed in all respects and there is no balance physical work remaining. The
work has been carried out as per specifications laid down in the sanction and as per sound
engineering practices. The project will be able to realize the objectives as laid down during
the time of sanction.

District-In-Charge
Implementing Department
(Signature along with stamp)

Circle : Department:
Dated :

58 | P a g e
Taking Rural India >> Forward
 Annexure (i)

1 Brief details of the project :

2 Location of the project in the block map :

3 Direct Benefits / Expected Benefits

a. Employment generated (non-recurring) in lakh man-days :

b. Addition in student strength/reduction in drop-outs (No.) :
c. No. of villages benefitted :
d. Any other relevant information :

4 Indirect benefits :

5 Arrangements for maintenance :

a. Budgetary Source :
b. Any Other Source (Please specify) :

6 Constraints, if any, faced in implementation of the project :

7 Views of the beneficiaries on utility of the project :

8 Photograph (in colour) of the project :

9 Safety measures/ Quality standards undertaken :

10 Any other relevant information :

59 | P a g e
Taking Rural India >> Forward
 Annexure VIII - F
PROJECT COMPLETION REPORT
FLOOD PROTECTION PROJECT

1 State :

2 Name of the Project :

3 Location of the project :

(District / Block / Taluka)

4 Project Details :
Amount (Rs. lakh)

S. Items of Physical Financial details Remarks

developmen
No t* quantity ( reasons
Estimated Actual
( only Major for
Component
s) cost expenditure variation, if
any)
1
2

Total

*As per abstract of estimate

5 Implementing Agency :

6 Details of approval :

a. Date of Administrative Approval(AA) :

b. Amount approved(Rs. lakh) :

c. Date of Technical Sanction :

7 Date of commencement of project :

8 Scheduled date of completion of project :

as per sanction

9 Date of actual completion of work :

60 | P a g e
Taking Rural India >> Forward
10 No. and date of NABARD Sanction Letter :

11 RIDF Sanction (Rs. Lakh) :

a. Tranche and Project ID :

c. Expenditure incurred before

RIDF loan sanction :

d. Balance Cost :

e. RIDF Loan :

f. State Govt. Contribution :

12 RIDF loan released (Rs. Lakh) :

13 Up-to-date expenditure statement :
(Year-wise from inception)

Financial Year Amount (Rs. lakh)

TOTAL

14 Details of expenditure incurred -

a. Project cost as per sanction :
b. Actual expenditure on completion :
c. Excess / Savings :
d. Reasons for excess/savings :
b. Total cost of the project :
15 Certificate
Certified that all items as envisaged in the sanction in respect of ____________ project
have been completed in all respects and there is no balance physical work remaining. The
work has been carried out as per specifications laid down in the sanction and as per sound
engineering practices. The project will be able to realize the objectives as laid down during
the time of sanction.

Superintending Engineer/Deputy Director

(Signature along with stamp)

Circle : Department:
Dated :
61 | P a g e
Taking Rural India >> Forward
 Annexure (i)

1 Brief details of the project :

2 Location of the project in the block map :

3 Direct Benefits / Expected Benefits

a. Agriculture production :
b. Protection of assets/infrastructure :
c. Employment generated (non-recurring) in lakh man-days :
d. No. of villages benefitted :
e. Population benefitted :
f. Any other relevant information :

4 Indirect benefits :

5 Arrangements for maintenance :

a. Budgetary Source:
b. Any Other Source (Please specify) :

6 Constraints, if any, faced in implementation of the project :

7 Views of the beneficiaries on utility of the project :

8 Photograph (in colour) of the project :

9 Safety measures/ Quality standards undertaken :

10 Any other relevant information :

62 | P a g e
Taking Rural India >> Forward
 Annexure VIII - G
PROJECT COMPLETION REPORT
TYPE DESIGN PROJECTS

1. State :

2. Name of the Proposal :

3. Implementing Agency :

4. Tranche and Proposal ID :

5. No. and date of NABARD Sanction Letter :

6. Details of projects sanctioned in the District/Division (as per annexure)

a. Total cost of the projects :
b. Total RIDF Loan sanctioned :
c. Total RIDF loan released :
7. Defect Liability Period (No. of years after
completion) (where applicable)
8. Arrangements for maintenance after Defect Liability Period
a. Budgetary Source :
b. Any Other Source (Please specify)
9. Constraints, if any, faced in implementation of the projects :
10. Views of the beneficiaries on utility of the project :
11. Photographs (in colour) of the projects :

12. Safety measures/ Quality standards undertaken :

13. Any other relevant information :

14. Certificate
Certified that all items of works in respect of the projects mentioned in Annexure I have been
completed in all respects and there is no balance physical work remaining. The works have
been carried out satisfactorily in accordance with the approved design. The project will be able
to realize the objectives as laid down at the time of sanction.

District-In-Charge
Implementing Department
(Signature with stamp)
District/Division __________

Dated:

CARE :- Two annexures to be added attached in excel sheets

63 | P a g e
Taking Rural India >> Forward
 Sr. No Sr. No
Project Id Project ID

II. Upgradation
Project Name

II. Upgradation
Pre-Project

I. New Projects

I. New Projects
(km)
Post Project District

64 | P a g e
Length
of Road
Pre-Project Taluka/Block

II.
Rural Roads

Post Project

Class
Village

of road
Pre-Project From

(m)
width
Post Project
(km)

To

Roadway
Chainage

Pre-Project AA

(m)
way
width
Post Project TS

Carriage
Pre-Project Commencement
Scheduled
Date of

Lane
Post Project Completion

ediate/two)
Actual
Annexure I

Annexure II
Pre-Project Completion

TFO

(mm)
Post Project

Pavement
(single/interm Thickness
details

RIDF Loan
Financial

Non-Recurring
Employment (lakh
RIDF Loan released
mandays)
Project Completion Format – Multiple Projects

Village Connected (No)

Benefits Actual Exp incurred

Marketing Centres Excess/Savings

connected (no)
Reasons for
Distance Reduction
excess/savings
Toll proposed
(in crore)

Taking Rural India >> Forward

Remarks (deviation from sanction & IRC Any other relevant

norms, if any) information

 Sr. No
Project Id Sr. No
Pre-Project

I. New Projects
Project ID

II. Upgradation
Post Project Project Name

II. Upgradation
I. New Projects

Class
District

65 | P a g e
Pre-Project
Taluka/Block
Post Project
Rural Bridges

Roadway
Village

g Roads –

width (m)
Connectin
Pre-Project
From

ing

(m)
Post Project

Roads
Length
(km)

Connect
To
Chainage

Pre-Project
AA

(m)
Post Project

width
Bridge
TS
Pre-Project

&

(m)
Post Project

Span
Commencement
Pre-Project Scheduled
Date of

e
on &
Super
Post Project Completion

No. of Type of

length structur
spans foundati
Actual
Non-Recurring
Annexure I

Annexure II
Employment (lakh Completion
mandays) TFO

Village Connected (No)

RIDF Loan
details
Financial

Benefits
Marketing Centres RIDF Loan released
Project Completion Format – Multiple Projects

connected (no)
Actual Exp incurred
Distance Reduction
Excess/Savings
Toll proposed
Reasons for
Remarks (deviation
excess/savings
(in crore)

from sanction

Taking Rural India >> Forward

& IRC norms, if Any other relevant

any) information
 I.
Sr. No

Project ID

Project Name

II. Upgradation
New Projects

66 | P a g e
District

Cost per unit:

Taluka/Block

Village
Anganwadi Centres

AA

TS

Commencement
Date of

Scheduled
Area of individual building:______sq mt

Completion
Actual Completion

TFO
Annexure I

RIDF Loan
details
Financial

RIDF Loan released

Actual Exp incurred

Excess/Savings
Project Completion Format – Type Design Projects

Reasons for excess/savings

Children benefitted

Women benefitted

Taking Rural India >> Forward

(in crore)

Benefits

Other benefits, if any

 Sr. No

I.

II.
Project ID
Sr. No.
Project Name

67 | P a g e
Upgradation
New Projects
Cost per unit:

Annexure II
Project ID District

Taluka/Block
Recurring
Employment (No) Village
Village Knowledge Centres

Non-Recurring AA
Employment (lakh
TS
mandays)

Village benefitted Commencement

Benefits
(No.)
Date of

Scheduled Completion
Annexure I

Population benefitted
Area of Individual building: ________________sq mt

Actual Completion
(No.)

TFO
Remarks (deviation from
details

sanction, if any) RIDF Loan

Financial
Project Completion Format – Type Design Projects

RIDF Loan released

Actual Exp incurred

Excess/Savings

Reasons for excess/savings

Taking Rural India >> Forward

(in crore)

Any other relevant information

 ANNEXURE IX

(Project Display Board – Specimen)

RIDF Project

Implemented by :
(Department)

Project Name :

Location :

RIDF Tranche :
Project Code :
Project Cost :
NABARD Loan :
Date of Commencement:

Scheduled date of completion :

The Contractor :

Note:
i. The minimum size of the Board may be 6‟ x 4‟
ii. Letters in black Colour against yellow background
iii. The Project Board may be displayed prominently

68 | P a g e
Taking Rural India >> Forward
 5. RIPF

Summary:

1. Guiding Principles
2. Eligible Activities
3. Eligible Institutions
4. Sanction/Release
5. Monitoring/Utilisation
6. NABARD’s Rights

Rural Infrastructure Promotion Fund (RIPF)

Rural Infrastructure Promotion Fund has been created with an initial corpus of Rs. 25 crore
and operationalized from 1st September 2011 with an objective to promote capacity building
initiatives as also efforts for creation of innovative/experimental/promotional infrastructure
especially in rural sector and rural areas.

5.1 Guiding Principles of RIPF

i. The activities to be supported under RIPF should lead to promotion of

sustainable infrastructure development in rural and agriculture & allied
sector.
ii. The activities should include a component for documentation of experience
during implementation.
iii. Special thrust to North-East Regions including Sikkim, Eastern Region and
Hilly Himalayan States of Uttarakhand, Himachal Pradesh and J & K, for
creation of experimental/ promotional infrastructure as also for supporting
all other activities.
iv. The experimental projects/activities to be supported should be prototypes of
innovative/ experimental/demonstrative nature. Infrastructure assets created
should result in improvement or generate demand for other infrastructures of
higher order.
69 | P a g e
Taking Rural India >> Forward
 5.2 Eligible Activities

The following activities will be eligible for assistance:

i.Knowledge sharing workshops/seminars, conferences for policy makers/peoples‟

representatives, particularly on topics/ areas on infrastructure development/
promotion.

ii.Exposure visits national and international, of officials from commercial banks, RBI, GoI,
State Govts., NABARD and other agencies involved in promotion of rural infrastructure.
Exposure visits of Govt. officials from one State to another and for exchange of technical
experts, academicians, economists, media people, NGOs, people‟s representatives, to
get first-hand knowledge on RIDF implementation procedure, good practices, etc.

iii.Evaluation studies on RIDF projects, external monitoring of innovative infrastructure

projects and survey for potential assessment/demand survey for new rural
infrastructure projects and publication of success stories, documentation of good
practices, etc. in infrastructure sector.

iv.Preparation of detailed project reports for infrastructure development of North-East/

East/ Hilly areas by NABCONS on the approval of the concerned State Government.

v.Support to different stakeholders to develop/promote experimental infrastructure

projects/proto-types that may generate demand for infrastructures of higher order
through RIDF.

vi.Support for software development for RIDF operations, viz., project appraisal, database
management, monitoring, etc.

vii.Other activities that directly or indirectly lead to promotion of infrastructure in rural

areas

5.3 Eligible Institutions

The following institutions/ individuals will be eligible for assistance from RIPF:
i. State Governments/UTs.
ii. NGOs, Registered Community Based Organisations (CBOs), Panchayati Raj
Institutions (PRIs), SHGs/ SHG Federations and Farmers‟ Clubs/ FC Federations,
etc.Research Institutions, Universities, etc.
iii. Other stakeholders whose objectives/ activities are in conformity with the overall
objectives of RIPF and are approved by NABARD in this regard.
iv. Offices of NABARD.

70 | P a g e
Taking Rural India >> Forward
 5.4 Criteria for Selection

i.Research Institutions/ Universities/ other Academic Institutions should be institutions of

repute.

ii.NGOs/ CBOs should be registered under relevant Acts, have minimum three years‟
Audited Balance Sheets/ P&L A/Cs, have good track record/ relevant experience
in the field and have requisite staff, particularly technical staff, to look after and
monitor the project. In exceptional cases, organizations which are in existence for
less than three years also could be considered.

iii.Gram Panchayats, SHGs/SHG Federations, FCs/FC Federations have to establish how far
the experimental/ innovative project would benefit people in the rural area.

5.5 Project Duration

Generally, projects/ programmes having short duration of up to one year would be considered
for support under the Fund. However, where it is necessary, the projects of longer duration
could also be considered.

5.6 Mode and Quantum of Assistance

The support will be only in the form of grant. NABARD may support the projects fully or
partially. For certain experimental/innovative projects benefiting the community, NABARD
may prescribe peoples' participation in terms of "Shramadan", or any other mode of
contribution by the community to implement the project.

5.7 Submission of proposals

The institutions/agencies eligible to avail assistance under the Fund may submit their
proposals in the format prescribed by NABARD (Annexure XXVII).

5.8 Release of Assistance

a) The assistance shall be disbursed in suitable installments. Broadly, the following pattern
may be followed for release of installments under the Fund.
i. On acceptance of terms and conditions of sanction -20%

71 | P a g e
Taking Rural India >> Forward
 ii. During the course of implementation (As per the needs/ satisfactory progress, in
suitable installments, of the project) -60%
iii. On completion of the project -20%

5.9 Monitoring and Submission of Progress Reports

The agencies/ institutions will undertake to monitor the projects through constitution of
a Project Monitoring and Review Committee (PMRC). PMRC should meet at least twice
during the project period and monitor the progress and would guide in preparing
strategies for solving the problems encountered, if any. The PMRC will include -

a) Representative from NABARD not below the rank of DGM as Chairman.

b) Representative of NGO/PRI/SHG/CBO as Convener.

c) Representative from concerned State Govt. Dept. as Member

d) DDM of respective District as Member

e) The institutions availing assistance under the Fund may submit Quarterly
Progress Reports (QPRs) to NABARD.

5.10 Utilisation of Assistance

Eligible institutions availing of financial assistance will have to give an undertaking for
proper utilisation of assistance received from NABARD (Annexure XXVIII). Where the
assistance received from NABARD has not been utilised for the purpose for which it was
released and no satisfactory explanation is forthcoming, NABARD will recall the entire
amount of grant at once, along with interest or any other penal charge that may be levied.

5.11 NABARD's Rights

As far as studies /documentation/survey, etc. are concerned,

1. The recipient shall not publish the reports/ research findings/ results without a
written permission from NABARD. NABARD shall have the right to use the same for its
internal use, for training, publicity, etc. after duly acknowledging the source/s.

2. NABARD shall have the right to access the books of accounts of the institutions/
agencies assisted under the fund.
72 | P a g e
Taking Rural India >> Forward
 ANNEXURE – X

Format for seeking financial assistance from

Rural Infrastructure

Promotion Fund (RIPF)

i. Name and address of the institution/ agency (full contact address with telephone No./
e-mail, fax No., etc.) :

ii. Brief background details of the agency along with audited financial statements for
the last three years in case of NGOs and other institutions :

iii. Details of the proposed project & its expected outcome :

iv. Relevance of the proposal to infrastructure agriculture and rural sector

v. Duration of the Project and likely date of commencement

vi. Total cost/ outlay of the proposed project/ activity (Please furnish break- up details of each
item envisaged in the proposal) Rs. ……………. Lakh

vii. Agency’s /individual’s own contribution : Rs…………………. Lakh

viii. Quantum of assistance sought from NABARD : Rs………………. Lakh

ix. Monitoring mechanism (convening of monitoring committee meetings, submission of

monitoring reports, etc.)

x. Certificate/ Undertaking (As per format prescribed in Annexure XI).

73 | P a g e
Taking Rural India >> Forward
 Annexure - XI

Format of undertaking

Certified that

1. The proposed work has the approval of the competent authority of the applicant/agency.

2. We undertake that the assistance to be provided by NABARD will be utilised for the
purpose for which it is sanctioned by NABARD and in the event of our inability to utilize the
same, we shall refund the entire amount released by NABARD for the purpose with interest
or any other penal charge which NABARD may like to levy/ insist upon for the purpose.

(Signature of Authorised
Official/ Proponent)

Date :
Place:

74 | P a g e
Taking Rural India >> Forward
 6. RIDF in Meghalaya
6.1 Status
NABARD has sanctioned RIDF projects under various tranches for irrigation, roads, bridges,
animal husbandry, rural drinking water supply, rural education, etc. in the State. So far 1146
projects have been sanctioned under 24 tranches of RIDF with the total RIDF loan of
Rs.1262.11 crore out of which Rs. 1033.83 crore has been disbursed. 624 projects have
already been completed.
Rural Infrastructure Development Fund has made a significant impact on the life of rural
population and has brought about all round development since its inception. This note
discusses its multifarious influence on rural Meghalaya in following areas:
 Benefits of RIDF.
 Increase in agriculture production and productivity.
 Constraints in implementation of projects - findings of Monitoring and Evaluation
Studies.
 Learning experiences.

6.2 Overview of RIDF in Meghalaya - As on 31 January 2020

People in rural India, particularly in rural Meghalaya, are unable to satisfy their basic needs
and have lack of control over resources required for their livelihood. NABARD has addressed
this multidimensional malice by financing infrastructure for providing access to education,
skills, health, nutrition, shelter, water, sanitation, and forward & backward linkages essential
for undertaking economic activities.

6.2.1 Tranche-wise details of sanctions vis-a-vis disbursements under RIDF for

the State of Meghalaya are indicated below:

(Rs crore)

Project NABARD
No. of Disbursement
RIDF Tranche Cost Loan % of Disb.
projects upto 31.01.2020
sanctioned

CLOSED TRANCHE
I 19 7.84 3.39 3.39 100%
III 19 9.16 7.06 7.06 100%
IV 16 10.37 9.33 9.26 99%
V 61 39.00 35.10 30.89 88%
VI 52 33.88 30.49 28.70 94%
VII 28 20.34 18.30 16.90 92%
VIII 21 20.44 18.39 15.03 82%
IX 17 18.21 15.53 13.71 88%

75 | P a g e
Taking Rural India >> Forward
 XI 35 41.84 32.03 29.62 92%
XII 25 28.73 23.70 23.51 99%
XIII 116 81.74 56.85 53.66 94%
XIV 79 79.71 66.16 63.98 97%
XV 80 147.69 135.11 132.93 98%
XVI 113 165.12 142.97 141.08 99%
XVII 1 13.44 12.77 3.83 30%
Sub-Total 682 717.51 607.18 573.55 95%

NABARD
RIDF No. of Project Cost Disbursement
Loan % of Disb.
Tranche projects upto 31.01.2020
sanctioned
ONGOING TRANCHE
XVIII 8 7.18 6.82 6.82 100%
XX 54 121.09 92.97 91.71 99%
XXI 1 356.43 115.00 115.00 100%
XXII 45 112.12 99.10 80.08 81%
XXIII 46 143.95 130.06 91.68 70%
XXIV 310 231.41 210.98 75.35 36%
Sub-Total 464 972.18 654.93 460.64 70%
Grand Total
(Closed + 1146 1689.69 1262.11 1034.19 82%
Ongoing)

6.2.2 Purpose-wise details of sanctions vis-a-vis disbursements under RIDF for the State of
Meghalaya are summarized below:
(Rs crore)

No of RIDF
Sector TFO Disb. %of Disb.
Projects Loan

Rural Roads 512 640.59 550.83 448.18 81%

Rural Bridges 128 192.17 162.03 143.65 89%
Rural Drinking Water Supply 122 163.30 134.37 82.76 62%
Soil & Water Conservation 72 138.48 131.30 121.00 92%
Minor Irrigation 68 105.12 98.74 70.62 72%
Veterinary Dispensaries 18 13.56 12.84 12.82 100%
Modern Abattoirs 2 36.33 34.51 25.58 74%
Rural Regulated Market 2 0.71 0.64 0.04 6%
Mini Hydel Power 2 388.43 126.40 126.04 100%
Hydroger 220 11.00 10.45 3.14 30%
Total 1146 1689.69 1262.11 1033.83 82%

76 | P a g e
Taking Rural India >> Forward
 6.2.3 Status of Non-starter Projects: - Department wise list of non-starter projects for
Tranche XX is given below: -
(Rs. in crore)

No. of Project RIDF Loan

Tranche Department
Projects Cost Sanctioned
XX Mini Hydel 1 32.00 11.40
TOTAL 1 32.00 11.40

Department wise PCRs received for Tranche I to XXIII is given below: -

No. of
No. of No. of PCCs No. of PCRs
Department Projects
projects received received
completed
Public Works Department 640 400 20 331
Water Resources Department 68 48 1 47
Soil & Water Conservation Department 72 62 4 51
Animal Husbandry Department 20 18 0 18
Public Health Engineering Department 122 96 0 96
Power Department 2 0 0 0
Rural Regulated Market 2 0 0 0
Hydroger 220 0 0 0
Total 1146 624 25 543

6.3 Benefits of RIDF Projects - Against sanctioned 1146 RIDF projects, 624 projects are
completed in various sectors. These projects include rural roads, rural bridges, river valley
projects, flow irrigation projects, drinking water supply schemes, mini hydel projects, modern
abattoir, veterinary dispensaries etc. More than 600 km length of rural roads and 350 m span of
rural bridges have been constructed under RIDF. Approximately 8500 hectares of land have
been brought under soil and water conservation measures. Ganol Small hydel power project was
sanctioned under RIDF XXI and Riangdo Small hydel power project was sanctioned under RIDF
XX which together target generation of 24 MW on completion of the projects. The completed
projects have reaped several tangible as well as intangible benefits such as providing connectivity
to market yards, critical road network state highways, national highways, filling up the
infrastructure gaps in the rural areas, providing impetus for off-take of rural credit, increasing
supply of inputs to the rural area, marketing of rural farm and non-farm produce, improvement
in ground water level, increase in literacy level, supply of drinking water, improved animal
health, etc. The expected benefits have been passed on successfully to ground level beneficiaries

77 | P a g e
Taking Rural India >> Forward
upon the project completion. These projects complement both forward and backward linkages
for overall development of the rural areas.
In other words, the “Road Map for Development” is in the process of being put in place
through various tranches of RIDF and other dynamic life support systems such as
development of human capacity, self-managed institutions of the poor, convergence of
development programmes, strategic communication, private sector partnerships,
management of social risks, social mobilization & community based rehabilitation etc., are
expected to follow. Through RIDF, now it has become practically feasible to ground other
schemes for social mobilization, community empowerment, and development of grass-root
social and human capital.
NABARD’s RIDF projects carry a brand equity and reinforces quality in the minds of the
masses because of the monitoring and evaluation efforts made by NABARD. NABARD
undertakes continuous monitoring of the projects under implementation and also conducts
impact evaluation studies which helps reduction of time and cost overrun. Stringent project
requirements and guidelines provided by NABARD for formulation of projects have helped in
revitalizing and professionalizing the survey, investigation, design and planning aspects of
the implementing departments of the Government. The deliberation at the High Power
Committee has helped in sorting out interdepartmental issues and initiating quick actions.

78 | P a g e
Taking Rural India >> Forward