The Union Cabinet recently decided to extend the Flood Management Programme in the 12th Five Year Plan.
But while extending the scheme, aimed at helping states carry out flood protection works, the Cabinet in its October 17 meeting decided to reduce its share in the scheme.
In the 11th Five Year Plan, the central share was 90 per cent of the total cost for special category states and 75 per cent for other states.
The special category states are the seven northeastern states, Sikkim, Uttarakhand, Himachal Pradesh and Jammu and Kashmir.
More From This Section
The logic behind reducing the central share, sources said, is that the state governments now have more funds to implement such programmes.
So far, no new work under the scheme has been sanctioned in the 12th Plan as the scheme was not approved.
The Ministry of Water Resources has been sanctioned Rs 10,000 crore in the 12th Plan for the scheme, though the Working Group on Water Resources had recommended Rs 16,000 crore for it.
Sources said fresh guidelines to get works sanctioned under the scheme would be finalised shortly to help states apply for new projects.