The National Disaster Response Fund (NDRF) is a crucial financial mechanism established by the central government of India. Its primary purpose is to provide comprehensive financial assistance for major disasters, ensuring that 100% of the relief and recovery expenses are covered during such events.
In contrast, the State Disaster Response Fund (SDRF) operates at the state level, specifically designed to manage smaller incidents and disasters. The central government plays a significant role by contributing 75% of the SDRF, while the remaining 25% is funded by the respective state governments.
The funding structure for both funds is distinct yet complementary. The central government is responsible for providing full funding for the NDRF, whereas it contributes 75% to the SDRF. State governments are tasked with covering the remaining 25% of the SDRF. Additionally, funding can be supplemented through donations, international aid, and other resources.
A calamity is classified as being of a severe nature if it results in significant losses regarding life, property, and infrastructure, surpassing the capacity of the state government to manage the situation. The classification of such calamities often relies on recommendations from the Inter Ministerial Central Team (IMCT).
Interestingly, the Disaster Management Act of 2005 does not provide a legal definition for the term “National Calamity.” This term is frequently utilized by the media and the public to describe major disasters, while the official terminology used in legal contexts is “calamity of a severe nature.” Typically, when the state fund is depleted, the national fund is activated if necessary, which is referred to as a national disaster in such scenarios.
State governments have the authority to petition the central government for a declaration of a disaster as a national disaster or calamity of severe nature. This request is carefully evaluated based on the disaster's impact and various other criteria.
The IMCT plays a pivotal role in disaster management. It assesses the on-ground situation and makes essential recommendations to the central government regarding the classification of disasters and the necessary response strategies.
International aid is indeed a viable resource for supplementing both the NDRF and SDRF, providing additional support for disaster relief and recovery initiatives in India. This collaborative approach enhances the capacity to respond effectively to disasters.
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