Sanjeev Pargal
JAMMU, Apr 24: Annual plan of the State for current financial year of 2013-14 would be finalised at a high level meeting between Chief Minister Omar Abdullah, his senior Cabinet colleagues and Deputy Chairman of Planning Commission Montek Singh Ahluwalia on May 20.
The Planning Commission of India has conveyed the State Government the date for holding final plan meeting in New Delhi on May 20.
Omar-Ahluwalia meeting would be preceded by an interaction between Administrative Secretaries and Head of Departments (HoDs) of J&K Government with the Planning Commission members and Advisors.
The Chief Minister would be accompanied in the meeting by Finance Minister Abdul Rahim Rather, Planning Minister Ajay Sadhotra, Minister of State for Finance and Planning Dr Manohar Lal Sharma and Economic Advisor to Jammu and Kashmir Government, Jalil Ahmad Khan.
Official sources told the Excelsior that the State Government was likely to stake claim for Rs 8050 crore worth annual plan for 2013-14 and Rs 600 crore under Prime Minister’s Re-construction Plan (PMRP).
This year the annual plan of the State would be finalised well in advance. Last year, it had been finalised on July 13. The State had taken up with the Planning Commission the need for early finalisation of annual plan as it had limited working season in many areas and delayed finalisation and release of funds hampered the development works there.
The Central Government had in January this year conveyed its decision to the State Government for extension of the PMRP for one more financial year i.e. 2013-14. This was third extension in the PMRP.
J&K’s demand for Rs 8050 crore worth annual plan for 2013-14 amounted to about 10 per cent hike over the previous fiscal year’s plan, which was Rs 7300 crore. A 10 per cent hike in the plan was being given to the State for past about three years. Though the hike was worked out at Rs 8030 crore, the State has sought Rs 8050 crore worth plan and was fully confident of getting it.
In addition to Rs 8050 crore worth plan, the State would seek Rs 600 crore under the PMRP for 2013-14. Last year, it had been allocated Rs 700 crore under the PMRP and prior to that Rs 1200 crore. However, since in 2011-12, the State was able to spend just a little of Rs 450 crore under the PMRP as against Rs 1200 crore approved for it, the Centre had in 2012-13 reduced the amount to Rs 700 crore. For 2013-14, the State would be asking for Rs 600 crore under the PMRP.
Sources said final plan meeting between Omar-Ahluwalia would be preceded by an elaborate meeting between Administrative Secretaries and HoDs of the State with Planning Commission members and Advisors. The State would explain in detail its resource position, requirements and expenditure on various projects for the current financial year.
Meanwhile, the State was likely to seek re-validation of funds under various heads, which have lapsed during the last financial year.
“The Government was going to take up the matter with the Finance Ministry and the Planning Commission on re-validation of funds,’’ sources said.
The first plan meeting of the State between top bureaucrats of Planning and Finance Departments with the Planning Commission members and Advisors was held on January 24. This was for the first time that the meeting was held through video conferencing.
Sources said the State Government has already apprised the Planning Commission of India about tax and non tax revenue, which the State has collected during last fiscal year, expenditure of the Government, salary and pension bill of the employees and other tax resources and expenditure.
“The Planning Commission required source position of the State to ascertain how much large plan the Government could fund and this has already been explained to them’’, sources said.
Both tax and non tax revenue of the State had witnessed about 25 to 30 per cent increase during last financial year.
Sources said the officers of Planning and Finance Department have already apprised the Planning Commission Advisors and members that the State was in a position to fund a healthy annual plan above Rs 8050 crore for 2013-14 as it had done during last financial year when it was granted Rs 7300 crore worth plan.
So far, Rs 7300 crore worth annual plan of the State during last financial year of 2012-13 was the highest ever.