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Uncertainty over fate of PC likely to delay approval of plan outlay
Govt in dilemma, panic among stakeholders waiting for funds
5/28/2014 11:03:32 PM
Early Times Report

Jammu, May 28: Uncertainty hovers over approval of plan outlay for the current fiscal year for J&K as the fate of Planning Commission post taking over of Narender Modi led NDA government at Centre is yet not known. The improbability of having the plan size approved is not only worrying the coalition government but has panicked more contractors and other stake holders whose huge amount of money stands blocked due to non availability of funds with the government. Planning Commission after marathon discussions and meetings with the government had granted plan for the state last year in the month of June. However no meeting has been held this year so far which may also delay finalization of the outlay which has been projected at Rs 8000 cr this year by the government.
Sources said the government which is already disappointed and desperate on political front after debacle in LS polls is worried on what it sees delay in receiving funds from the Centre this year. Planning Commission members and chairman have already resigned and there is talk of this government not keen on having this body in place any more, instead centralizing the key finance and funds related matters with the Finance ministry. However, nothing has been finalized as yet at the level of Centre but at the same time there is no word yet on whether and when the plan outlay for states including J&K would be approved, sources said adding thate the worry of coalition government in the state has aggravated on account of the fact that Planning Commission had taken a tough stance on some fiscal aberrations and indiscipline in J&K and even disapproved a meeting with the government sought recently by the latter. " Our spending and all expenditures are dependent heavily on assistance from Centre, mainly the plan outlay .....but this year there is no hope we will receive it any time soon", said a senior official in Civil Secretariat. The government fears that if grants from centre do not come, it may not be able to pay salary to its employees in time to come, the official said adding that even though the salary expenditure is borne out in non plan plank , it is also getting affected as the government is diverting some amount from the non plan funds in matters of urgent requirement , it having no funds available at present. There are certain works of urgent nature where the government cannot wait for central funds and this amount is taken for now from the funds earmarked for non plan expenditures. The non plan funds, it is pertinent to mention, is generated mostly through own resources and receipts of collection from various sources. Pertinently, the hard posturing over the approval of Rs 8000 crores as plan outlay for J&K for the current fiscal by Planning Commission has made a number of stake holders a worried lot whose money has not been paid by the government for a number of development works across the state. Scores of development works are also stagnant and not moving ahead due to lack of funds with the concerned agencies which are eagerly awaiting approval of plan outlay from the Centre.
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