The Hindu : Tamil Nadu News : Rs. 9,100-crore annual plan finalised

Online edition of India's National Newspaper
Wednesday, Dec 01, 2004

Tamil Nadu

Tamil Nadu

Rs. 9,100-crore annual plan finalised

By Alok Mukherjee

NEW DELHI, NOV. 30. The 2005-06 annual plan for Tamil Nadu was today fixed at Rs. 9,100 crores, which includes a one-time assistance of Rs. 100 crores for special programmes. The increase in the outlay was significant, up from Rs. 7,000 crores for 2003-04 and Rs. 8,001 crores for 2004-05.

"We are very happy with the plan size. We wanted it at Rs. 9,100 crores and we got it," the Chief Minister, Jayalalithaa, told the media after a meeting with the Deputy Chairman of the Planning Commission, Montek Singh Ahluwalia, here.

The Plan size was finalised at this meeting, first annual plan discussion under the Manmohan Singh Government.

The Chief Minister said a 13.7 per cent increase in approved plan outlay would put Tamil Nadu on the road to achieving its targeted Tenth Plan outlay of Rs. 40,000 crores.

Focus on power sector

The 2005-06 plan would focus on the power sector with an outlay of Rs. 1,362.36 crores, on road infrastructure (Rs. 1,505.66 crores), on agriculture and allied activities (Rs. 641.11 crores) and on rural development (Rs. 907.80 crores). Another Rs. 425 crores has been earmarked for irrigation and Rs. 3,687.64 crores for social services including education, health and nutrition.

Low growth

The Deputy Chairman complemented the Tamil Nadu administration on undertaking reforms in various sectors but expressed concern over the comparatively low growth of the State. He said power subsidy should be more rationalised, diversification of agricultural produce taken up and the agricultural marketing system further modernised.

Mr. Ahluwalia said Tamil Nadu could be a major tourist destination in view of its geographical location if more efforts were made to develop infrastructure, particularly hotel room accommodation. He suggested that the State take up perspective planning for improvement of urban facilities.

In her presentation, the Chief Minister said the State had already implemented the Fiscal Responsibility Act and was going to implement the Medium-term Fiscal Programme under the Act. The State had stressed crop diversification, going in for less water-intensive crops. Moreover, two million hectares of wasteland was brought under land development programmes.

`Link rivers'

The Commission was asked to revise the guidelines of the Accelerated Irrigation Benefit Programme to ensure more allocation for Tamil Nadu. The Chief Minister also suggested inter-linking of the Mahanadi with the Gundar in Tamil Nadu and asked for increased financial assistance under the Accelerated Power Development Programme in view of the State's record in power reforms.

Ms. Jayalalithaa wanted full Central assistance for the mid-day meal scheme for pre-school and school children and the National Slum Development programme. She urged the Commission to consider a special allocation to the State for the development of the Eastern Ghats and coastal areas.

The Chief Minister drew the Commission's attention to the special infrastructure development programme for the Chennai Metropolitan Area, launched on an outlay of Rs. 18,000 crores, and requested Mr. Ahluwalia to include Chennai along with Delhi and Mumbai for special development programmes.

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