State meet with PCI further delayed
Sanjeev Pargal
JAMMU, May 1: In a significant decision, Chief Minister Omar Abdullah, who holds Planning Department, has authorized 25 per cent of the plan amount to all Government Departments to meet their expenditure including capital component for development as plan meeting of the State has been further delayed and was now expected to take place in the middle of May.
Official sources told the Excelsior that the Planning Department held by the Chief Minister himself has issued an order to this effect and circulated it to all Government Departments.
“One-fourth of total plan authorization for the financial year of 2012-13 has been made in favour of all Government Departments-whether they were connected with the incurring of capital expenditure or not, the Planning Department has issued authorization certificates to all Departments”, sources said.
They added that this has been done to ensure functioning of all Departments including those connected with development notwithstanding delay in finalisation of annual plan of the State by the Planning Commission of India.
‘‘As finalisation of J&K’s annual plan, tentatively projected at Rs 7300 crore, was expected to be finalized by June followed by holding of District Development Board (DDB) meetings, the Government with a view to ensure that working of the Departments didn’t suffer issued authorization letters in favour of all Departments giving them a nod to use 25 per cent plan amount out of the total budgetary allocations made in their favour by the State Legislature”, sources said.
Noting that 25 per cent plan amount was enough to meet expenses of all Government Departments, sources said rest of the authorization letters would be issued as and when the plan amount was sanctioned and allocated by the Planning Commission of India in June.
They disclosed that 25 per cent plan in favour of all Government Department would be funded by the State through its ‘‘own resources”, which had recorded an all time increase in 2011-12.
As reported, the Government had already authorized the District Development Commissioners to go ahead with development works, which were already under execution without waiting for the plan finalisation. However, the Government had asked the DDCs not to undertake any new development works till finalisation of the plan and holding of DDB meetings.
Sources said one-fourth plan authorization would be enough for the Departments pending finalisation of the annual plan.
Meanwhile, plan finalisation of the State has been further delayed.
Only one meeting of the State bureaucrats was held with officials of the Planning Commission of India on December 15, 2011. The next meeting was scheduled for January-February but it couldn’t take place due to budget session of the Legislature and Assembly election in five States including Uttar Pradesh, Punjab, Uttarakhand, Goa and Manipur.
With Civil Secretariat, the seat of the Government, now scheduled to re-open on May 7 at summer capital of Srinagar, the Planning Department would take up with the Planning Commission of India for early fixation of plan meeting of the State. Sources said at least a couple of meetings were expected at bureaucratic level after which the State plan would be clinched in a meeting between Chief Minister Omar Abdullah, Finance Minister Abdul Rahim Rather and Planning Commission Deputy Chairman Montek Singh Ahluwalia.
The Chief Minister could also meet Prime Minister Dr Manmohan Singh and Finance Minister Pranab Mukherjee before finalisation of the plan as this year also happened to be the first year of 12th five year plan for which separate meetings would be conducted by the Union Finance Minister and the Planning Commission with all State.
It may be mentioned here that the State had projected Rs 7300 crore worth annual plan and Rs 700 crore Prime Minister’s Re-construction Plan (PMRP) for 2012-13. The projected plan was 10 per cent over and above the previous year’s plan of Rs 6600 crore.
However, the PMRP amount, which was Rs 1200 crore during last financial year, has been pegged at Rs 700 crore this year as some of the schemes undertaken under the PMRP have been completed.
Sources said the Planning Commission in its first meeting with the State bureaucrats had sought the details of targets of Own Tax Revenue in the State, reforms in different sectors and expenditure of current financial year’s plan. The Planning Commission had expressed satisfaction over all three issues.
The delegation had apprised the Planning Commission that the State’s power revenue was also increasing but a big gap remained between power bill and revenue as it can’t initiate all reforms in one go.
‘‘It was in view of this that the State Government had batted for annual power reforms grant to the tune of Rs 2000 crore for few years till the State managed to bring reforms and improve its revenue”, sources said, adding that the Planning Department assured to give a thought to the State’s demand.
Worthwhile to mention here that J&K Government was given Rs 1300 crore worth annual power reforms grant for three years in 2006-07, 2007-08 and 2008-09. The grant was later stopped as the Government didn’t take significant power reforms then.
Follow our WhatsApp channel