Punjab would spend more than one third of its total allocation under Annual Plan 2008-09 on power as the Punjab government targets to make the state power surplus in next three years.
The Annual Plan, that is to be presented to deputy chairman Planning Commission Montek Singh Ahluwalia on February 19, earmarks Rs 2,204.52 crore to power out of the total plan of Rs 6,000 crore. The allocation to power works is more than one third of total funds earmarked in the 2008-09.
Even in the 11th Five Year Plan 2007-12 of Rs 37,000 crore, Punjah has proposed about Rs 13,000 crore for power, which again is more than one third of total funds earmarked for the Five Year Plan. In fact the ruling party manifesto had promised to make Punjab power surplus as the state being land locked could only compete with Haryana, which had proximity to the national capital and Himachal Pradesh, where special concessions had been given by the Centre.
The second highest allocation in the 2008-09 Plan is for social sector which would get Rs 1,389.38 crore. However, it is less than the total allocation for this sector in the Plan 2007-08, which stood at Rs 1,587.48 crore.
Eventhough Punjab finance minister Manpreet Singh Badal while speaking FE claimed that “irrigation sector would get a lion’s share of about 12% in the Annual Plan”, the Annual Plan draft, however shows that the total allocation on irrigation this year is just Rs 270.05 crore, not even half of Rs 6,50.00 crore earmarked in 2007-08 Plan.
The government has proposed to keep Rs 1,008.27 crore for transport sector in the next Annual Plan against Rs 866.48 crore in the previous year’s plan. There is about 85% increase in allocation for agriculture this year, which stands at Rs 371.12 crore against Rs 200.08 crore in last plan. The funds for rural development also see a healthy 55% increase from Rs 350.88 crore last year to Rs 541.30 crore this year.
Those sectors that would see steep decline in allocation, include, general economic services on which the government plans to spend Rs 85 crore under the proposed plan against Rs 262 crore in the previous plan. Similarly this year, science, technology and environment will have Rs 31.32 crore against Rs 40.32 crore.
Industry and minerals and general services would be given Rs 25.40 crore and Rs 73.61 crore this year against Rs 28.30 crore and Rs 63.38 crore respectively last year.
The Annual Plan draft 2008-09 of Punjab would be approved on February 19 when chief minister Parkash Singh Badal and the finance minister present the plan to Montek.