Context
In October 2026, Karnataka sought assistance from the National Disaster Response Fund (NDRF) to address severe drought conditions and crop losses.
About NDRF
- Legal Basis: Established under Section 46 of the Disaster Management Act, 2005, giving it statutory backing.
- Nature: A fund managed by the Central Government to meet expenses related to emergency response, relief and rehabilitation during disasters.
- Purpose: Supplements the State Disaster Response Fund (SDRF) when a disaster of severe nature occurs and adequate funds are unavailable with the state.
- Account: It is maintained in the Public Account of India under the reserve funds not bearing interest category. Its operation follows the rules applicable to the Public Account, unlike the Consolidated Fund of India, which requires parliamentary authorisation for withdrawals.
When can states access NDRF?
- Severe Disasters: It provides additional assistance when disasters such as cyclones, droughts and earthquakes are considered severe and state expenditure exceeds the available SDRF balance.
- Application Process: The state submits a memorandum detailing sector-wise damage and its funding requirements.
- Assessment: The Central Government assesses the damage and decides on additional assistance from the NDRF.
- Nature of Assistance: NDRF assistance provides immediate relief, not compensation for losses or damage to property.
Permitted Uses of NDRF
- Covered: Emergency response, immediate relief and rehabilitation.
- Not Covered: Disaster preparedness, mitigation, restoration and reconstruction. These activities are supported through other schemes and funds, such as the National Disaster Mitigation Fund, National Cyclone Risk Mitigation Project and National Flood Management Programme.
Sources of Financing
- Cess: Financed through a cess on specified items, with the relevant provisions approved annually through the Finance Bill.
- Budgetary Support: Any requirement beyond available NDRF resources is met through general budgetary resources.
Administration and Audit
- Expenditure Decisions: The National Executive Committee (NEC), constituted under the Disaster Management Act, takes decisions regarding NDRF expenditure.
- Audit: The Comptroller and Auditor General of India (CAG) audits NDRF accounts annually.
Frequently Asked Questions (FAQs)
Q1. What is the National Disaster Response Fund (NDRF)?
The NDRF is a statutory fund established under Section 46 of the Disaster Management Act, 2005, to provide additional assistance during severe disasters.
Q2. When can a state seek assistance from the NDRF?
A state can seek additional assistance when a severe disaster occurs and its available State Disaster Response Fund (SDRF) resources are insufficient, subject to central assessment and approval.
Q3. Which activities are covered under the NDRF?
The fund supports emergency response, immediate relief and rehabilitation, but does not cover disaster preparedness, mitigation, restoration or reconstruction.
