Punjab’s liquor revenue dips under Captain regime

PATIALA: Even as Punjab’s politicians and bureaucrats are engaged in a turf battle over excise policy for liquor amid the pandemic, an analysis of data shows its increase in revenue from the trade (in terms of percentage) has dipped over the past two fiscal years.

The period corresponds with the Congress taking charge of the government in March 2017.

The state registered negative growth in excise revenue for fiscal 2018-19, collecting Rs 5,072 crore, against Rs 5,135 crore in 2017-18. For the fiscal-ended March 31, there has been a slight increase (2.5%) in revenue over the past year at Rs 5,200 crore.

The figure of Rs 5,200 crore, however, is a whopping Rs 1,000 crore short of its target of Rs 6,201 crore that the state had set in the budget. The excise revenue from liquor was clocked at Rs 5,135 crore for 2017-18, against target of Rs 5,422 crore. Revenue dipped to Rs 5,072 crore in 2018-19, before dipping to Rs 5,200 crore (not the final figure) last fiscal that ended on March 31 this year.

The state’s Comptroller and Auditor General (CAG) has listed out the data in its accounting reports. Even though the actual target were also not met in SADBJP regime, but there was significant growth of revenue.

Some of the reasons for the dipping revenue are flawed policy, poor implementation and interference of politician-contractor nexus, sources said. Politicians never ask for actual realised revenue, ensuring that some in the officialdom take them for a ride, they claim.

A state government official admitted, on condition of anonymity, “Even though the actual target was not even met in SADBJP regime, but there was a significant growth of revenue. Now either there is no growth, or negative growth. We are short of targeted revenue by 15%.”

Admitting that revenue collection had dipped and growth had halted, an official said, “We usually see a dip in revenue in an assembly polls year. However, a dip every year is a cause for concern.” He claimed contractors had been able to manipulate policy, with liquor sold in large quantity in the state even during curfew and lockdown, and on top of that there was demand for relaxation.

Punjab chief secretary Karan Avtar Singh, who holds the charge of excise and taxation department, could not be contacted for comments. Excise and taxation commissioner Vivek Partap Singh did not respond to repeated calls on his phone.