Enhancing Transparency and Accountability in NPO Operations through the NGO DARPAN Portal

Since its inception in 2015, NITI Aayog has been working diligently to bring all Non-Profit Organizations (NPOs) onto its NGO DARPAN portal. This year marks a decade of NITI Aayog’s sustained efforts to integrate NPOs into the platform through various awareness workshops, letters to states and Union Territories (UTs), and continuous engagement. The NGO DARPAN portal has emerged as a game-changer for both NPOs and government agencies, serving as a centralized platform to manage and track the operations of voluntary organizations across India.

The DARPAN portal is a one-of-its-kind initiative that consolidates essential information about NPOs and provides each registered organization with a Unique DARPAN ID. This ID not only identifies and authenticates the NPO but also serves as a vital tool for government agencies in making informed decisions when interacting with NPOs. This dual-benefit system helps streamline administrative processes, improve transparency, and foster a culture of accountability within the sector.

One of the key features of the DARPAN portal is its Dashboard, which provides restricted access to authorized users. This system is crucial for facilitating decision-making processes, especially when it comes to Grant-in-Aid and other financial matters. Nodal officers from all states and UTs have access to this dashboard, allowing them to monitor data analytics on the disbursement of grants to NPOs by central ministries and departments. The dashboard also displays essential information such as the basic profiles of NPOs, their areas of work, and the distribution of NPOs across different regions. This data proves invaluable for state and UT governments in making informed decisions and ensures that funds are allocated efficiently and equitably.

In accordance with the Prevention of Money Laundering (Maintenance of Records) Amendment Rules, 2023, financial institutions are now required to verify that all NPOs operating accounts with them possess an NGO DARPAN Unique ID. This regulatory shift further emphasizes the importance of registration on the DARPAN portal for NPOs.

It is imperative for all states and UTs to make the most of the DARPAN portal by incorporating it into their decision support systems. States should make the DARPAN ID mandatory for all NPOs operating within their jurisdiction, ensuring that the portal becomes a universal database for NPOs across India. Additionally, linking the databases of NPO registration authorities at the state and UT levels with the DARPAN portal is a critical step that needs the active engagement of state and UT governments.

Registration on the DARPAN portal provides multiple advantages for both state governments and NPOs. For state governments, the portal offers a centralized view of NGOs operating within their jurisdiction, including their past grant history and areas of intervention. This consolidated information facilitates better planning, monitoring, and the ability to take corrective action when necessary. States also have the option to blacklist NPOs, ensuring that only trustworthy and reliable organizations receive government support.

For NPOs, being registered on the DARPAN portal enhances visibility, boosts credibility, and simplifies the process of applying for grants. It helps establish the NPO’s identity across various government departments and ministries, streamlining communication and reducing bureaucratic hurdles. The integration of the DARPAN portal with the Public Financial Management System (PFMS) ensures that grant applications are tracked efficiently, promoting accountability and financial transparency.

As a crucial step in ensuring transparency and accountability, it is essential that states and UTs ensure that no grants are disbursed to NPOs that are not registered on the DARPAN portal and do not possess a Unique DARPAN ID. This will help eliminate the chances of misuse of public resources and ensure that funds are utilized effectively for the intended purposes.

To maintain the integrity of the system, it is also vital that states and UTs regularly update the list of blacklisted NPOs on the portal. States must conduct proper due diligence before releasing any funds, ensuring that grants are allocated only to legitimate and well-established organizations. The DARPAN portal should be the primary tool used by governments to guarantee the transparency, accountability, and effective utilization of public resources allocated to the NPO sector.

In conclusion, the NGO DARPAN portal stands as a pivotal initiative in modernizing the interaction between government agencies and NPOs. By ensuring that all NPOs are registered and their data is readily accessible, NITI Aayog is making significant strides toward creating a more transparent, accountable, and efficient system for managing Non-Profit Organizations in India. The next steps involve expanding the portal’s reach and ensuring full compliance with its registration requirements across all states and UTs.