Avtar Bhat
JAMMU, Mar 7: Making a complete autopsy of the budget for 2013-14 presented by Finance Minister, Abdul Rahim Rather in the State Assembly yesterday, former Finance Minister and People’s Democratic Party (PDP) senior leader Muzaffar Hussain Baig termed it as a directionless document which is full of discrepancies.
Initiating debate on Budget 2013-14 in the Legislative Assembly today, Baig cautioned the State Government against painting a false and rosy picture of prevailing economic mess in the State.
Contradicting the figures given in the budget and those of the economic survey of 2012-13, Baig said economic survey and budget proposals are in contradiction to each other and Finance Minister owed an explanation to the House that which figures are correct.
Comparing the figures given in the budget proposals and that of the economic survey, the PDP leader said if the projections made in the economic survey are wrong then the Minister should initiate contempt proceedings against the officers.
Satirically pointed towards couplet quoted by the Finance Minister at the start of his budget speech, the PDP leader said “fortunately there has not been much storm in the State during the last two successive years. I don’t know about which storm our Finance Minister was talking about”.
Baig said, “If we look at economic survey and budget speech, figures are totally contradictory as social sector and infrastructure are in poor condition. There is always a roadmap, but the budget presented by Government has mentioned nothing concrete about the future”.
He pointed out that regarding GSDP of the State, two contradictory figures have been presented in budget speech and economic survey report. He said that the Finance Minister has claimed that there was improvement in GSDP but the economic survey report has pointed out a different picture.
He further pointed out that Finance Minister had mentioned that the per capita income figure which was Rs 30212 in the year 2008-09 and rose to Rs 44,533 last year was estimated at Rs 50,806 in the current finance year. But, while quoting economic survey report, he pointed out that in comparison with the neighbouring eight States per capita income of Jammu and Kashmir is woefully poor. As per the report, Jammu and Kashmir occupied the second last number amongst the Northern states and UTs, he added.
Contesting figure of Finance Minister that fiscal deficit has been reducing in the State, Mr Baig, quoting economic survey report said that the fiscal deficit has increased from Rs 1930 crore in 2006-07 to Rs 2833 crore in the year 2011-12. He said that the Finance Minister has deliberately tried to hide figure of estimated fiscal deficit of the current financial year. He further observed that Accumulated Fiscal Deficit has been increasing with every passing year.
Taking a dig at Finance Minister for not disclosing deficit in power sector, Baig asked him, “why you are afraid of disclosing power deficit?.
In an obvious reference towards Chief Minister, Omar Abdullah who is holding the power portfolio, PDP leader told the Finance Minister, “I know PDD Minister is higher in the hierarchy but you are custodian of Finance”.
He said that power sector was emerging as major defaulter for J&K, but Government has not been able to bring reforms in the sector. “Failure of the Government to improve collection efficiency and reducing transmission and distribution losses are the main reasons for increasing power deficit but the Government has not mentioned any steps in the budget document to be taken to improve this sector”, he added.
He said Government has failed to improved energy management efficiency and expressed surprise on all other sectors. The Government had hid figures of the current financial year but as far as collection efficiency is concerned the Finance Minister has claimed that it would be 100 percent. “This is total fraud”, he observed.
Further quoting economic survey report, he said that Government has even failed to utilized funds allotted under the plan. “Is economic survey report wrong or your budget speech is wrong?” he asked.
Baig said that as per the economic survey report the arrears of revenue, as on March 2012, in respect of principal heads of revenue were Rs 1610.09 crore of which Rs 798.6 crore were outstanding for more than five years. “Is it fiscal discipline?”, he asked, “why you have not disclosed this in the budget document?”.
He said that agricultural and allied sectors were the backbone of the economy of our State but share of this sector has been declining steadily. He said that nothing worthwhile has been mentioned in the budget for growth of this sector. He further mentioned that manufacturing and industrial sector was also ignored in the budget as the Finance Minister had mentioned only three lines for industry in his budget.
Mr Baig pointed out that entire Kashmir division including Ladakh has been ignored in tourism sector as no new tourism project has been proposed for entire division. He said that there was no mention of creating tourism infrastructure in the budget.
Health Sector was another sector which has not received justice in the budget, Baig said , adding also no concrete plan has been made to solve the problems of unemployment in the State.
While concluding his speech, Mr Baig mentioned observations made in the report of Comptroller and General (CAG). CAG has exposed fraud, embezzlement, irregularities and misappropriation of funds in Jammu and Kashmir.
“Lack of response to audit indicated inaction against the defaulting officers, and facilitated continuation of serious financial irregularities and loss to Government even after being pointed out in audit. The Government should look into the matter and revamp the system to ensure proper response to the audit observations from the departments in a time bound manner”, Mr Baig quoted from the CAG report.
“You have to give reply of such observations otherwise people will think that your Government is involved in such misdeeds”, he told the Finance Minister.
“Don’t paint a false rosy picture. Please enforce accountability”, he advised the Finance Minister.
Hailing the budget, NC leader and former Minister, Dr Mustafa Kamaal accused the Centre of not being interested in the development of the State as it is delaying the payment of funds for the development of the State.
He said “if this attitude of the Centre continued towards the State, the day will come when the rope which tied State with Union of India will break’’. He said “Centre does not trust us and we face an awkward position at Delhi in seeking funds. “The plan money is our share whether we throw it into water it is our money and Centre should pay money without any hesitation’’, he added.
Dr Kamaal said Rs 1750 crore were given in three years to the State by Centre and this is a wrong attitude. People are annoyed as already they have been distanced from India and such distance is not good, he added.
Hailing the budget proposals, Dr Kamaal said the long standing demand of Panchs and Sarpanchs has been solved by the Government. While hailing the Government for taking up steps for increasing power generation, Dr Kamaal stressed on improving transmission and distribution system in the State. This is a great disease which needs immediate treatment.
He said proper attention has been paid to agriculture which is the backbone of States economy and main employment generation sector in J&K. He said like credit cards given in agriculture same concession will be given in horticulture sector.
While hailing the steps taken for modernization of carpet industry sector he said out of 8000 looms 5000 looms were given last year and 2000 this year. He appealed that rest be given soon to boost carpet industry.
Dr Kamaal said 12 to 13 lakh tourists visited Valley and the infrastructure for tourism industry needs to be improved. It should be improved in such a way that the environment is not disturbed, he added
He, while accusing opposition of criticizing the budget just for the sake of criticism said the important sectors of health and education which are the pillars of the society have been paid full attention by the Finance Minister.
Former Union Minister and MLA Jammu West Prof Chaman Lal Gupta said though Rs four lakh crore have been got from Centre during last 65 years but the position in the State is such a bad that rural areas which inhabit 74 percent of the population still lack basic amenities like drinking water, electricity and roads.
He said this budget has touched 1700 crore, still the State has no money to pay salaries to its employees. Though Rs four lakh crore have been spent by the State so far but it is not in a position to create its own resources, he added.
Accusing the Government of neglecting the Jammu and Ladakh, he said these regions are being neglected on communal considerations.
He criticized the dismal performance of PDD and alleged that transformers are not being repaired and attention needs to be paid to make the functioning of the Department better.
Terming budged old wine in new bottles Prof Gupta said it will not make any difference, he said prices have touched sky and ration is not available. The assurance of former CAPD Minister to bifurcate ration cards has not been kept and consumers are not given more than 20 kgs of ration per card. He demanded that Desi Ghee and vegetables be exempted from VAT.
Expressing concern over statement of Dr Kamaal he said such statements should not be made which increase distances.
G M Saroori of Congress while hailing the budget however stressed that rural areas especially Doda Kishtwar and Poonch -Rajouri be given proper attention in development.
He said many steps were taken to boost economy and protect the interests of agriculturists, horticulturists. He while welcoming the steps taken for improving the production of saffron, regretted that only Pampore was mentioned where it is being cultivated while no attention has been paid for boosting the world class Safforn of Kishtwar.
He also welcomed for keeping 24 projects of 150 mws for state subject contractors. He expressed concern over 18 hour power cut in Chatru area of Kishtwar and demanded that same be improved immediately.
He termed the one time settlement of 6900 pension cases a good step.
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