When disasters strike, swift and effective relief can mean the difference between recovery and prolonged suffering. Yet across India, relief implementation continues to face critical challenges that undermine the very purpose of disaster response systems. From fund misappropriation to political interference, these issues have created a crisis within the crisis, leaving vulnerable communities waiting for help that often arrives too late or not at all.
Table of Contents
- The persistent gap between policy and practice
- Political interference undermining relief distribution
- Audit revelations expose systemic fund misuse
- Himachal Pradesh’s ₹22.61 crore irregularities
- West Bengal and Jammu & Kashmir cases
- Structural flaws crippling relief mechanisms
- Absence of objective criteria
- Procedural delays in fund disbursement
- Outdated compensation norms
- Lessons from the 1999 Orissa cyclone
- The path forward
The persistent gap between policy and practice
India has established a comprehensive disaster management framework under the Disaster Management Act of 2005, creating institutions from the national to district level. However, the gap between policy and actual implementation remains significant. The State Disaster Response Fund (SDRF) serves as the primary fund for immediate relief, with contributions split 75:25 between the Centre and general category states. When SDRF proves inadequate, the National Disaster Response Fund (NDRF) is supposed to supplement it. Yet this two-tier system often fails to deliver timely assistance when communities need it most.
Political interference undermining relief distribution
One of the most troubling issues in disaster relief is the influence of political considerations on fund allocation and distribution. The quantum and timeliness of aid can be shaped by the political alignment between the Centre and affected state governments, turning humanitarian necessity into political bargaining. This dynamic was evident during the 1999 Orissa super cyclone, when inadequate central government funding hampered relief efforts even as thousands of lives hung in the balance.
The recent Wayanad landslides in Kerala illustrated this pattern starkly. Despite an assessed loss of ₹2,200 crore, the state received only ₹260 crore from the Union government. Similar concerns emerged during Punjab’s 2025 floods, when disputes erupted over the Rs 12,000 crore available under SDRF, with accusations of fund misuse and political maneuvering dominating public discourse instead of relief operations.
Audit revelations expose systemic fund misuse
Comptroller and Auditor General (CAG) reports have repeatedly exposed serious irregularities in disaster relief fund utilization across multiple states. These findings paint a disturbing picture of how funds meant for disaster victims are diverted to unauthorized purposes.
Himachal Pradesh’s ₹22.61 crore irregularities
In December 2024, CAG flagged irregularities amounting to ₹22.61 crore in SDRF utilization across five districts of Himachal Pradesh. The audit covering sanctions from December 2016 to May 2021 revealed that Deputy Commissioners sanctioned ₹10.23 crore for 823 inadmissible works including repairs of government offices, residential quarters, court complexes, and playgrounds.
In a particularly egregious violation, Chamba and Sirmour districts released ₹1.76 crore for eight bridge repair works despite executive agencies confirming no disaster-related damage had occurred. The state-level committee responsible for oversight failed to establish any effective monitoring mechanism, and similar shortcomings flagged in earlier 2014-2017 audits remained unaddressed.
West Bengal and Jammu & Kashmir cases
The Calcutta High Court has been seeking explanations from CAG over alleged irregularities of nearly ₹1,000 crore in flood relief allocations in Malda district from 2017. The initial CAG report indicated possible irregularities and identified probable offenders among panchayat members who allegedly siphoned funds instead of distributing them to genuine flood victims.
Similarly, a 2016 CAG performance audit on disaster management in Jammu and Kashmir found that ₹1.02 crore was not accounted for in the cash book of the Deputy Commissioner in Leh. The audit also revealed that timely relief for next of kin was provided in only 123 out of 216 cases, with delays ranging from 13 to 60 months in the remaining cases.
Structural flaws crippling relief mechanisms
Beyond individual cases of misuse, the disaster relief system suffers from fundamental structural weaknesses that impede effective response.
Absence of objective criteria
The Disaster Management Act does not clearly define what constitutes a “calamity of a severe nature,” leaving considerable room for subjective decisions. This ambiguity enables discretionary decision-making rather than objective indicators like rainfall thresholds or per capita loss to determine NDRF eligibility. The Finance Commission’s allocation criteria rely heavily on population and area rather than scientific hazard maps and exposure indices.
Procedural delays in fund disbursement
NDRF support depends on time-consuming procedures including submission of detailed memorandums by states, assessment by Inter-Ministerial Central Teams, and approval by high-level committees. This bureaucratic process delays fund release precisely when speed is most critical for saving lives and preventing further damage.
Outdated compensation norms
The compensation norms under SDRF and NDRF frameworks have not been updated regularly to reflect inflation, reconstruction costs, or livelihood losses. These outdated norms leave affected communities with inadequate support for actual recovery needs, forcing many to take on debt or abandon reconstruction efforts entirely.
Lessons from the 1999 Orissa cyclone
The super cyclone that struck Odisha on October 29, 1999, killing over 10,000 people and affecting 15 million, remains a watershed moment highlighting relief distribution failures. The scale of destruction revealed critical gaps in disaster preparedness and response mechanisms.
Distribution of emergency supplies faced severe logistical hurdles, with coordination between government agencies, military units, and NGOs proving difficult amid collapsed transportation networks and communication blackouts. When relief materials were air-dropped, the most able-bodied men often received the most, leaving women, children, and persons with disabilities behind.
Political apathy compounded the crisis. Central government funding was inadequate even before the super cyclone, and black-marketing of essential commodities like kerosene oil continued unchecked. Three days after the disaster, angry residents in Paradip attacked a helicopter carrying senior government ministers, protesting the lack of relief supplies, medicines, and drinking water.
The path forward
Addressing these challenges requires systemic reforms rather than incremental adjustments. Several countries have adopted objective, rules-based mechanisms that India could learn from. The United States uses per capita damage thresholds to trigger federal assistance. Mexico’s former FONDEN model released funds automatically when rainfall or wind speed crossed specific levels. The Philippines employs objective indices based on rainfall and fatalities for quick-response fund release.
The Sixteenth Finance Commission should recommend creating automatic, trigger-based mechanisms for fund release based on measurable parameters like rainfall thresholds, loss-to-GSDP ratios, and satellite-based damage assessments. Compensation norms need periodic revision to match current reconstruction costs and livelihood restoration needs.
A scientifically robust National Disaster Vulnerability Index integrating multi-hazard risks, population exposure, infrastructure vulnerability, and socio-economic factors should guide fund allocation. State-level committees must establish effective monitoring mechanisms with regular audits and transparent reporting to prevent fund diversion.
Most importantly, disaster relief must shift from discretionary, negotiation-based assistance to a transparent, rules-based partnership between Centre and states. Only through such fundamental reforms can India’s disaster response system truly serve the vulnerable communities it was designed to protect.
What do you think? How can we ensure disaster relief reaches affected communities without political interference or bureaucratic delays? What role should civil society and technology play in monitoring relief fund utilization?
References
- https://www.nextias.com/ca/editorial-analysis/29-11-2025/indias-disaster-response-slippery-slope-for-federalism
- https://www.insightsonindia.com/2025/11/29/indias-disaster-response-centralisation-concerns-and-the-road-ahead/
- https://theprint.in/india/punjab-relief-fund-disaster-rs-1200-cr-unspent-sdrf-funds-aap-bjp-slugfest-self-goal-by-mann-govt/2742740/
- https://www.tribuneindia.com/news/himachal/cag-flags-misuse-of-disaster-relief-fund-in-five-himachal-districts/amp/
- https://www.newkerala.com/news/o/calcutta-hc-seeks-cag-explanation-delay-report-alleged-rs-191
- https://www.drishtiias.com/daily-updates/daily-news-editorials/reforming-india-s-disaster-strategy
- https://www.dailypioneer.com/2025/columnists/india-needs-a-permanent-disaster-relief-law-for-climate-resilience.html
- https://www.saswat.com/blog/orissa-cyclone-1999
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