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State to press for plan outlay of Rs. 15,000 crores

Staff Reporter

Discussions with Centre this week: Sindhia


  • Tax collection targets till December 2005 met
  • Additional Rs. 200 crores for repair of roads and bridges
  • Rs. 150-crore loan to be taken for highway work
  • University of law to be established

    BANGALORE: The State Government will seek a plan outlay of over Rs. 15,000 crores from the Centre for the 2006-2007 financial year, Minister for Finance and Industries P.G.R. Sindhia said here on Tuesday.

    He told presspersons that he has been holding pre-budget talks, and one of the topics discussed was ways of increasing resource mobilisation. He said he will be able to give the exact plan outlay by Wednesday. A delegation comprising Chief Minister N. Dharam Singh, senior officials and himself will discuss the State's outlay with the Centre on Thursday and Friday, he added.

    Mr. Sindhia said the Government has met its tax collection targets till December 2005 in the areas of excise and stamp duty and commercial taxes. Funds, including those for the estimated expenditure till March 31, have been released to gram, taluk and zilla panchayats. Over Rs. 200 crores of additional funds will be released to the Public Works Department before February to enable it to take up repair of roads and bridges damaged during floods and heavy rain.

    The Finance Department has permitted the Public Works Department to avail itself of a package loan of Rs. 150 crores for taking up work on the highways, Mr. Sindhia said.

    He described the Centre's decision to increase the price of rice supplied through the public distribution system an "anti-people measure", and said he and his party will not accept it. The State Government will have to incur an additional burden of over Rs. 100 crores because of the decision. To keep its commitment to supply rice to the poor at Rs. 3 a kg., the Government requires Rs. 400 crores, he added.

    Mr. Sindhia said the Finance Department has given its consent to appoint 2,500 teachers in private grant-in-aid schools as a one-time measure. The proposal had been withheld since 2003-2004, he added.

    Mr. Sindhia said the Government has given its "in-principle" consent to establish a university of law as proposed by Minister for Law and Parliamentary Affairs H.K. Patil.

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