In 2nd month of FY, state feels the pinch

Un­paid bills mount as fi­nan­cial cri­sis looms large

Deccan Chronicle - - FRONT PAGE -

In the very sec­ond month of the cur­rent fi­nan­cial year, the TS govern­ment is fac­ing a fi­nan­cial cri­sis.

The state govern­ment is not able to pay even pend­ing bills of the pre­vi­ous year. These bills are mount­ing due to non-pay­ment.

Ac­cord­ing to of­fi­cials, the present fi­nan­cial li­a­bil­i­ties of the state govern­ment are about `10,000 crore in­clud­ing pend­ing bills. Of this, about `5,000 crore is re­lated to pend­ing bills of var­i­ous de­part­ments. In the pre­vi­ous year, the state govern­ment had di­verted about `1,000 crore be­long­ing to Cen­trally-spon­sored schemes.

Till to­day, the state govern­ment did not re­lease the amounts to the de­part­ments con­cerned.

For ex­am­ple, the Central govern­ment has re­leased `16.74 crore to the agriculture depart­ment un­der Param­para­gat Kr­ishi Vikas Yo­jana to de­velop or­ganic farm clus­ters.

The to­tal scheme cost is `27.84 crore and the TS govern­ment has to con­trib­ute `11.13 crore as its share. But state govern­ment did not re­lease this amount to the agriculture depart­ment.

Re­cently, agriculture depart­ment of­fi­cials held a meet­ing with fi­nance of­fi­cials and re­quested them to re­lease the funds.

The state govern­ment has to pay about `3,000 crore to its em­ploy­ees to­wards Pay Re­vi­sion Com­mis­sion ar­rears.

It had an­nounced the re­lease of this amount but due to fi­nan­cial prob­lems, is not in a po­si­tion to do so.

The state govern­ment has to pay about `5,000 crore in pend­ing bills to con­trac­tors of var­i­ous de­part­ments.

Due to the fi­nan­cial crunch in the pre­vi­ous year, the state govern­ment did not clear the bills.

In the last two months, more bills were added to pend­ing bills. The state govern­ment has dis­trib­uted trac­tors to farm­ers at 50 per cent sub­sidy. Un­der this scheme, a farmer can buy a trac­tor that nor­mally costs `10 lakh, for `5 lakh, the re­main­ing to be paid to the man­u­fac­turer by the state govern­ment.

Ac­cord­ing to of­fi­cials of the agriculture depart­ment, the state govern­ment did not pay the sub­sidy amount to the com­pany till to­day.

De­spite in­creas­ing the state’s own rev­enue the govern­ment is not able to clear the li­a­bil­i­ties.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.