Stood at 17.69 % by the middle of October
THIRUVANANTHAPURAM: Though it has been over a month since the state government has gone on an overdrive to mobilize revenue, the utilization of plan funds continues to grovel.
At just 17.69 percent by the middle of October, more than the half-way mark, utilization is one of the worst in over a decade. Even last fiscal, when the going was equally tough, utilization at this point of time was 21.03 percent.
“Plan fund utilisation is a function of the state’s revenue. If the revenue in the form of taxes are flowing into its coffers, the utilization will automatically go up,” said K Sankar Krishnan, economist.
“Now with revenues hard to come by even after unprecedented measures, the state’s development seems to have taken a severe beating,” he said. Only seven of the 39 state departments, including local self governing bodies, have spent more than 25 percent of the plan funds allotted to them.
According to the stricture passed by the Planning Board, all departments should have crossed 40 percent utilisation by the end of September. As of now, only three, public works, health and family welfare and tourism have spent more than 30 percent. Public works alone has utilized more that 40 percent, with a utilization of 68.46 percent.
Chief Minister Oommen Chandy himself has virtually admitted that the aggressive tax collection measures were not yielding results. He admonished the collectors for non-effective revenue recovery proceedings. The Finance Department had plans to mobilize at least Rs 3000 crore of the Rs 23,000 crore of unpaid taxes. Both the pillars on which the government claims to stand, development and care – seem to have been decimated.
As revenues dwindle, it is not just development that has suffered. Social welfare too has been found wanting. Most of the welfare pensions have not been paid. The Chief Minister wants these pensions to be distributed immediately but the officials are staring at empty coffers.
( Source : dc correspondent )
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