- 36 individual consultants and 59 consultancy firms appointed by the Government of Meghalaya
- CM is not sure whether a mandatory in-built disclosure of interest clause exists to ensure that no consultant works for a firm bidding for projects in the same department
- CM said about 87% of the payments to consultants come from externally aided projects
- To the 59 firms, the total amount given is Rs 131 crore, of which Rs 116 crore is through the administrative expenditure permissible under the externally aided projects
Shillong, Feb 17: Consultants may be an integral part of today’s governance system, but is the consultancy raj disparaging bureaucracy’s worth? While Chief Minister Conrad Sangma could clear the air on this issue on Tuesday, he seemed to fumble on a crucial question about the ‘conflict of interest’ clause in the consultants’ agreements.
The appointment of individual consultants and consultancy firms in Meghalaya is for their expertise in certain aspects and in no way belittles the competency of the bureaucracy, Sangma maintained while replying to a question raised by VPP MLA Heavingstone Kharpran.
Justifying the appointment of 36 individual consultants and 59 firms, Sangma said it was thanks to the consultants’ expertise that the state government could generate 1,500 jobs, 99% of which have benefited local youths.
However, the chief minister dithered when UDP MLA Paul Lyngdoh asked a supplementary question about whether “there is a mandatory in-built disclosure of interest clause to ensure that no consultant is working for firm bidding for projects in the same department” that it is offering consultancy.
To this, the chief minister, who was articulate about justifying the role of the consultants, said, “This is more technical in nature, (and) I don’t want to comment without going through facts.” He added that most of these agreements have the clause, and it “would not be appropriate and advisable for the government not to have that”.
Consultancy raj has been questioned not only in Meghalaya but also in other states of the country, prompting the Centre to rethink a reform in the appointment system, particularly of individual consultants.
Questions in Meghalaya
In 2023, Sangma had justified spending over RS 244 crore on consultancy.
On Tuesday, Conrad Sangma said about 87% of the payments to consultants come from externally aided funds.
Last year, VPP’s Ardent Basaiawmoit pointed out that while local youths are paid less for more work, consultants were taking a large share of the pie. The Trinamool Congress too had raised the concern over a lack of transparency in the appointment of the consultancy firms.
In the past, there were examples of states, like Maharashtra and Odisha, which reduced the engagement of consultants
Nationally, there were 1,499 consultants in 44 central departments, incurring an annual expenditure of over Rs 300 crore, a national daily report found out in 2024.
In Meghalaya, 10 departments are engaging individual consultants, and 13 have appointed firms. “The total annual expenditure on monthly remuneration for individual consultants is Rs 4.35 crore for 2024-25. Consultancy firms are typically not paid salaries or monthly remuneration… they are paid (sic) consultancy fee which is based on deliverables as per contract,” the chief minister said.
To the 59 firms, the total amount given is Rs 131 crore, of which Rs 116 crore is through the administrative expenditure permissible under the externally aided projects.
