Controversy Erupts Over Financial Power Shift in Odisha Panchayats

The Odisha Cabinet's decision to enhance the financial authority of Block Development Officers (BDOs) has sparked opposition from the BJD, which argues it undermines the Panchayati Raj system. The BJD plans to protest this move, alleging it facilitates the BJP's political agenda and diminishes the role of elected representatives.


Devdiscourse News Desk | Bhubaneswar | Updated: 11-09-2025 22:12 IST | Created: 11-09-2025 22:12 IST
Controversy Erupts Over Financial Power Shift in Odisha Panchayats
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The Odisha Cabinet's recent move to increase the financial powers of Block Development Officers (BDOs) has ignited a firestorm of criticism from the opposition BJD party, which claims it undermines the state's democratic Panchayati Raj system.

On Wednesday, the state Cabinet amended the Odisha Panchayat Samiti Accounting Procedure Rules, effectively shifting financial control from elected representatives to BDOs, a decision that has drawn strong condemnation from opposition leaders. Former Panchayati Raj Minister Arun Sahoo denounced the policy as an act of power hijacking, alleging it serves the BJP's political motives.

The changes have removed the requirement for block-level chairpersons to countersign projects ranging from Rs 2 lakh to Rs 10 lakh, granting BDOs sole authority. BJD vice-president Pratap Jena accused the move of serving the BJP's political greed by facilitating undue influence over local projects. In response, the BJD has threatened statewide protests unless the decision is revoked.

(With inputs from agencies.)

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