KCR asks Cabinet to get pending funds from Centre; Ministers flock to Delhi

Hyderabad: Ministers are making a beeline to New Delhi to meet Union ministers and Central government officials after Chief Minister K. Chandrasekhar Rao told them to recover arrears pertaining to the schemes implemented by their respective departments. He told the ministers at a Cabinet meet that their performance would be assessed based on this parameter.

Deputy Chief Minister Kadiam Srihari, ministers A. Indrakaran Reddy, P. Mahender Reddy and Jogu Ramanna have visited Delhi during the past week. Ministers C. Laxma Reddy and Jupally Krishna Rao plan to go to the Capital next week.

The CM said state was yet to receive nearly Rs 1,100 crore to implement Centrally sponsored schemes and this was because of the failure of the respective departments which failed to submit utilisation certificates to the Centre in time to seek funds.

The Centre sponsors 64 schemes in which it gives up to 70 per cent funds; the rest is borne by the state government. The government needs to submit utilisation certificates to the Centre periodically to claim funds in instalments.

The government estimated that it would receive Rs 7,800 crore from the Centre in 2016-17 but has received only Rs 6,700 crore. With the current fiscal set to end in 50 days, Mr Rao asked ministers to act quickly.

“The arrears pertain to TRS government's flagship programmes like 2BHK houses for the poor, Mission Bhagiratha, Mission Kakatiya. The government is heavily dependent on bank loans to implement these projects. Failure to secure funds from the Centre is imposing a heavy financial burden in the form of interest on loans,” said an official in the finance department.