Ludhiana: Ration depot holders continue to await commission release

Senior officials attribute the delay to the SNA-SPARSH payment module, rolled out by the central government which has become a bottleneck

Nearly nine months after the central government shifted commission disbursements to the SNA-SPARSH (Single Nodal Agency – System for Payments, Accounting, Reconciliation and Settlement of funds) payment module in April, ration depot holders in Ludhiana are reeling under prolonged payment delays, with commissions running several months behind schedule, forcing them to continue lifting and distributing foodgrains in the current quarter without remuneration.

Officials explained that under the new system, payments are routed directly from RBI accounts, which require additional verifications at the state level. (HT File Photo)

Depot holders point out that commissions, which earlier used to be released within 10 days of the completion of quarterly wheat distribution, are now persistently delayed with no clear timeline of release. The commission for the July to September quarter remains unpaid even as wheat distribution for the October to December quarter is nearing completion.

Highlighting the gravity of the situation, depot holders said that the disruption in cash flow has left them struggling to meet routine operational expenses while ensuring uninterrupted ration distribution to beneficiaries.

Amarjeet Kaur, a local ration depot holder, said, “The problem of commission delays has persisted since April. The payment for the April to June quarter, which should have been released in July, was credited only in October. Now, even the commission for the July to September quarter, due by October has remained stalled for over two months, leaving us to manage operations without timely payment.”

Senior officials of the district food and civil supplies department attributed the delay to the introduction of the SNA-SPARSH model, rolled out by the central government to replace older fund release systems for centrally sponsored schemes.

The officials noted that while the system was designed to ensure faster and more transparent fund flows, officials acknowledged that its implementation has instead become a bottleneck. As the module is new and involves 10 to 12 layers of verification, the process has significantly slowed the release of payments.

Officials explained that under the new system, payments are routed directly from RBI accounts, which require additional verifications at the state level. “Moreover, all financial transactions of state treasuries are handled by a single nodal officer under this system. Since payments for all government departments are processed through this single module, it inevitably adds to the delay,” an official said.

Meanwhile, the depot holders have expressed their frustration over the prolonged delays.

Karamjit Singh Arreccha, Punjab president and national general secretary of the All India Fair Price Shop Dealers Federation, said that while ration depot holders initially cooperated with the department during the transition to the new payment system, the delays have now become unreasonably, especially when depot holders survive on a minimal commission of just ₹90 per quintal.

He further explained that despite the delayed payments, depot holders are required to continue distributing free ration and bear all operational expenses on their own. “We have to pay unloading charges, labour costs, electricity bills and manage shop rent. The free ration distribution for the October to December quarter is nearing completion, and its commission is due to be released by January, but the payment for the previous quarter has still not been cleared, pushing us in financial hardships,” he added.

Echoing similar concerns, Roshan Lal, state president of the NFSA (National Food Security Act) Depot Holders Welfare Association, said the issue was not confined to Ludhiana alone. “This is a statewide problem. Many ration depot holders across Punjab have been awaiting their payments since April.

He added that the absence of clear guidelines, timelines and accountability under the new payment system has deepened the crisis. “Depot holders are not being informed about when their payments will be released or what specific bottlenecks are causing the delay. Despite repeated follow ups, there is no clarity, leaving depot holders to manage daily operations entirely from their own pockets,” he added.

Responding to the concerns, Sartaj Singh Cheema, district food supplies controller (Ludhiana West), said, “We have cleared payments for almost all ration depot holders in Ludhiana West. Any delays that persist are largely due to issues related to bank accounts. I will look into the matter to resolve the remaining grievances.”

Similarly, Shefali Chopra, district food supplies controller (Ludhiana East), said most payments in her jurisdiction had been cleared. “Only a few cases remain. Since the SPARSH module is new, it is taking time to implement it efficiently,” she said.