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Lok Sabha Winter Session Grants & Appropriation Bill Debate

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Lok Sabha Winter Session

Grants & Appropriation Bill Debate
December 15, 2025 | FY 2025–26 | Consolidated Fund Authorization

The Winter Session of Lok Sabha resumed today with critical discussions on the Grants and Appropriation Bill, which authorizes payments from the Consolidated Fund of India for the financial year 2025–26. This session marks important legislative business including supplementary grants and budget authorization.

Indian Parliament Lok Sabha Chamber

Session Overview & Key Updates

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Session Dates

The Winter Session of Parliament runs from December 1–19, 2025. Day 11 of the session (December 15) focused on key legislative business and supplementary demands.

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Budget Authorization

The Appropriation (No. 4) Bill, 2025 seeks approval for gross additional expenditure of ₹1,32,000 crore including fertilizer subsidy (₹18,000 crore).

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Financial Procedure

The Bill authorizes withdrawal and appropriation of funds from the Consolidated Fund of India for government services and commitments in FY 2025–26.

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Supplementary Demands

Parliament also debated Supplementary Demands for Grants – First Batch covering additional budgetary requirements across various ministries and departments.

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Parliamentary Process

Finance Minister Nirmala Sitharaman moved the Bill for consideration and passage, outlining the rationale behind supplementary allocations and fiscal management.

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Final Week Proceedings

The BJP issued a whip for all MPs to attend sessions from December 15–19 to ensure full participation in final legislative business of the Winter Session 2025.

Understanding the Appropriation Bill

📖 What is the Appropriation Bill?

The Appropriation Bill is crucial legislation that authorizes the government to withdraw funds from the Consolidated Fund of India (CFI) and spend them on various government services and commitments. Without this Bill, the government cannot legally spend money even if budgeted.

Key Point: Appropriation Bills are money bills that require Lok Sabha approval. The Rajya Sabha cannot reject or amend them; it can only give recommendations.
  • Passed after budget presentation and discussion of demands for grants
  • Specifically authorizes expenditure during the fiscal year
  • Must be passed before the government can release funds
  • Forms part of the parliamentary control over public finances
  • No amendments possible; only voting (pass/reject)

⚙️ Purpose & Parliamentary Process

The primary purpose of the Appropriation Bill is to exercise parliamentary control over government spending and ensure accountability for every rupee spent from the national treasury.

Process Step: Demands for Grants (budget discussion) → Appropriation Bill passage → Government can release funds
  • Budget Speech: Finance Minister presents budget allocation
  • Demands Discussion: Parliament debates each ministry's spending
  • Cut Motions: MPs can propose cuts (usually rejected)
  • Guillotine: Lok Sabha Speaker can apply "guillotine" to pass all demands at once
  • Appropriation Bill: Formally authorizes the spending
  • Fund Release: Government releases money for implementation

🏦 The Consolidated Fund of India

The Consolidated Fund of India (CFI) is the main account into which government revenue flows and from which government expenditure happens. It's essentially the nation's primary bank account where all government income and expenses are managed.

Revenue Sources: Taxes, customs duties, licensing fees, and other government income go into the CFI.
  • Created under Article 266 of the Indian Constitution
  • All government revenue must flow into the CFI
  • Only money appropriated by Parliament can be withdrawn
  • No withdrawal without parliamentary approval
  • Ensures democratic control over public finances
  • Separate from contingency fund and public account

💵 FY 2025–26 Appropriation Details

For FY 2025–26, the government has sought parliamentary approval for supplementary allocations and additional expenditure beyond the original budget presented earlier in the fiscal year.

Allocation Figures: Additional expenditure of ₹1,32,000 crore (net cash outgo ~₹41,455 crore)
  • Fertilizer Subsidy: ₹18,000 crore (key agricultural support)
  • Savings Adjustment: ₹90,812 crore matched by ministry savings
  • Emergency Allocations: For unforeseen requirements and priorities
  • Supplementary Round: First supplementary batch for FY 2025–26
  • Parliamentary Approval: Lok Sabha passes the Bill formally
  • Release Timeline: Funds released after passage and President's assent

Key Budget Figures for FY 2025–26

₹1,32,000 Cr
Gross Additional Expenditure
₹18,000 Cr
Fertilizer Subsidy
₹41,455 Cr
Net Cash Outgo
₹90,812 Cr
Budget Savings Offset

PYQs: Parliament & Budget (For Aspirants)

Prompt: Explain how the Indian Parliament exercises control over government spending through budget and appropriation processes.

Answer Structure:

  • Define parliamentary supremacy in financial matters (Article 265 & 266)
  • Explain budget process: presentation → discussion → appropriation
  • Role of Consolidated Fund and no tax without parliamentary approval
  • Cut motions and "guillotine" procedure
  • Money Bill definition and Lok Sabha's exclusive authority
  • Examples: fertilizer subsidy, defense spending, welfare schemes

Prompt: Analyze the role of subsidies in Indian fiscal policy with reference to current budget allocations.

Answer Structure:

  • Define subsidy and its economic impact (deadweight loss)
  • Types: fertilizer, food, fuel, agricultural subsidies
  • FY 2025–26 subsidy allocation (₹18,000 cr fertilizer example)
  • Pros: farmer support, food security, rural welfare
  • Cons: fiscal burden, market distortion, inflation
  • Recent reforms: direct benefit transfer, targeted subsidies

Prompt: What is a Money Bill? Explain its passage through Parliament with special reference to Lok Sabha powers.

Answer Structure:

  • Define Money Bill (Article 110 of Constitution)
  • Characteristics: taxation, borrowing, appropriation, funds
  • Lok Sabha exclusive power: Rajya Sabha cannot reject
  • If Rajya Sabha recommends changes, Lok Sabha can override
  • Amendment only possible in Lok Sabha (lower house)
  • Real example: Appropriation Bill 2025 passage (December 15)

Prompt: Why does the government require supplementary appropriations mid-year? What are the fiscal implications?

Answer Structure:

  • Original budget vs supplementary: why needed?
  • Unforeseen circumstances: natural calamities, wars, inflation
  • Higher commodity prices (fertilizer example in FY 2025–26)
  • Priority shifts and policy changes mid-year
  • Parliamentary approval process and control mechanism
  • Fiscal responsibility act constraints and procedures

Key Notes for Aspirants

Current Affairs Strategy: Parliament news and budget discussions are frequently asked in UPSC, BPSC, and other exams. Link budgetary decisions with broader policy objectives and macroeconomic trends.

  • Money Bill Supremacy: Lok Sabha has exclusive power; Rajya Sabha cannot reject.
  • Consolidated Fund: All government revenue and appropriation flows through CFI.
  • Supplementary Rounds: Usually 2–3 times per year for unforeseen needs.
  • Fertilizer Policy: ₹18,000 cr FY 2025–26 reflects agricultural support priority.
  • Parliamentary Control: Core principle of democratic accountability over spending.
  • Guillotine Rule: Speaker can pass all demands at once if needed (rare use).

Other Key Bills in Winter Session 2025

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129th Constitutional Amendment

Proposes simultaneous elections for Lok Sabha and all state assemblies to reduce election-related expenditure and administrative burden.

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130th Constitutional Amendment

Suggests removal of ministers convicted and sentenced to 30+ days imprisonment, enhancing accountability and ethical standards.

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Viksit Bharat Shiksha Adhishthan Bill

Aims to strengthen educational infrastructure and accessibility across India for overall socioeconomic development.

Sources & Attribution

Information Sources (December 2025):

  • Lok Sabha Official Website: Parliamentary proceedings and bill details
  • India Today & Indian Express: Live updates on Winter Session 2025
  • News on Air (AIR): Government's official news service
  • Parliamentary Affairs Ministry: Session schedules and legislative agenda
  • Finance Ministry: Budget allocation and appropriation details

Disclaimer: This content is educational for exam aspirants. Information sourced from official government channels and news agencies. Always verify latest parliamentary proceedings from official sources for accuracy.

© 2025 Parliament Affairs Magazine | Current Affairs for Civil Service & Competitive Exams

Updated: December 15, 2025 | Winter Session 2025 | Lok Sabha Proceedings

For exam aspirants: Use this coverage for UPSC GS-II (Polity), BPSC, and other competitive exam preparation.

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