Chennai: The demonetisation had not only affected the common man, but it had also adversely affected the state government departments.
According to secretariat sources, local bodies like municipalities, corporations and Chennai metro water board benefited from the demonetisation raking in extra revenue crossing more than Rs 100 crore, but several other government departments like registration, transport, revenue, highways, co-operative societies, Tasmac and Chennai metropolitan development authority suffered a huge setback post demonetisation.
First, the footfall of the public to all these government departments reduced at least by 30 per cent as there were no development works during the past two months. Further now with the cash crunch continuing the state exchequer will feel the pinch for the next few months.
Several government departments like local bodies, highways and cooperatives are delaying the payments to contractors due to the cash crunch, an informed official said.
“The situation is worse in the case of state-run transport corporations as the revenue earned through long distance express buses has come down post demonetisation and we are not getting adequate spares to repair the state-owned buses and one of the reasons for the short supply of certain automobile spares is said to be due to demonetisation,” said an informed source with the State Express Transport Corporation.
