IMPHAL, June 29: Though the Centre has increased shares of Central taxes for States by 10 percent, the State government had to finalise the Budget plans in an economical manner, Chief Minister Okram Ibobi Singh observed during the general discussion on Budget Estimates 2015-16 in the House today.
Clarifying the argument on the general discussion on the budget estimate, Ibobi said it is very unfortunate for the State that the Centre has abolished the Special Category States status for 11 States of India including Manipur.
He told the House that the State government has been giving more emphasis to centrally sponsored schemes through the NEC, NLCPR which allow further fund sanctions on submission of Utilisation Certificates.
Now, the State has to be extra economically in releasing amounts for even these projects, he said.
He continued earlier before the annual budget sanction, the State used to receive separate funding from the Centre to the tune of Rs 900 crores through normal central assistance, Rs 800 crores under ASC, Rs 450 crores under Special Plan Assistance, however, after the Centre discontinued the Special Category States status, the State is facing problems in the 2015-16 budget.
Ibobi said the government is trying to increase tax collection from Power, transport and Sale tax and carefully monitoring the issue of tax collection leakage from Moreh side.
This fund leakage from Moreh side will be checked once, the Integrated Check Post at Moreh is completed in April, 2016, Ibobi informed the House.
In the Power department, as the State spends around Rs 20/21 crores to buy electricity in a month, there is a need to collect atleast 75 percent of the taxes every month, which is also the target of the authorities, he said.
Now the government has introduced pre-paid system including in the hill district headquarters to solve this issue, he said adding that at the same time, the first main focus of the government to provide adequate power supply to the people.
The issue of water supply in Imphal area is very difficult as the pipes laid around the seven constituencies under imphal Municipal Council are old and at the same time, the Imphal Sewage project is taking a long time to complete, however, we are trying to find alternative means, he said.
He also said that due to financial constrains the State government is unable to replace the old pipelines.
He continued supply of raw water for Imphal can only be possible from the Thoubal Multi-purpose Dam, and the authorities have already started drilling of two tunnels for the same purpose to bring raw water from the dam, he continued.
Ibobi also told the House that the cold storage facility at Nilkuthi is functional now and may be made to run for trial by storing vegetable from Khoijuman, Bishnupur district.
He further appealed to the member of the House to allow passing of the Budget Estimate 2015-16 unanimously.
Read more / Original news source: http://kanglaonline.com/2015/06/special-status-removal-bearing-heavily-on-states-budget-plans-cm/