NEW DELHI: The Chief Ministers of the northern States have agreed with the broad outlines of the development model to be adhered to during the Eleventh Plan.

At a meeting with Planning Commission Deputy Chairman Montek Singh Ahluwalia as part of the regional consultations on the Approach Paper to the Plan period (2007-12), the States also favoured a step-up in the growth rate by 1.5 per cent, subject to certain policy changes and intervention by the Centre in several key areas.

Speaking to newspersons after the meeting, Mr. Ahluwalia said, "There are areas where Central policies need to be changed or improved. Equally, there are areas where State policies need to be amended. It is a two-way street."

Chaired by Mr. Ahluwalia, the meeting voiced agreement with the Commission's view that the growth rate has to be improved from the current level of seven per cent to 9.5 per cent. Some of the States felt that they could do even better, he said.

In attendance at the consultation meeting were Delhi Chief Minister Sheila Dikshit, Haryana Chief Minister Bhupinder Singh Hooda, Uttar Pradesh Chief Minister Mulayam Singh Yadav, Himachal Pradesh Chief Minister Virbhadra Singh, Chief Minister of Jammu and Kashmir Gulam Nabi Azad and Punjab Chief Minister Amrinder Singh.

Realistic rate

Addressing the Chief Ministers, Mr. Ahluwalia said in the last three years, the growth rate had been in a phase of acceleration and the economy was poised to post a growth rate of 9-9.5 per cent by the terminal year of the Tenth Plan and almost catch up with the rapidly growing economies of South Korea and China. The Commission, he said, could have pitched for a higher growth rate. However, to be realistic, it settled for a more feasible growth rate, higher by 1.5 per cent.

Mr. Ahluwalia pointed out that nearly 70 per cent of the investments came from the public sector and the balance from the private sector. In such a scenario, the role of the public sector was still more crucial as it had to act as a facilitator and catalyst to spur private investments. The farm sector, he said, required huge investments and there were massive gaps in the fields of health and education.

A thrust area for the 11th Plan, Mr. Ahluwalia said, would be the development of infrastructure. Private entrepreneurship would also have to be harnessed to provide a boost to public-private partnership (PPP) schemes.

During the discussions, in a sharp note of dissent, the Uttar Pradesh Chief Minister questioned the Centre's decision to import wheat at over Rs. 1,000 a quintal. The `mandis' in his State, he said, could provide the cereal at the minimum support price (MSP) of Rs. 650 a quintal.

Other Chief Ministers also raised specific points pertaining to their states and the problems they were facing. The Delhi Chief Minister mentioned certain issues that were affecting the development of the capital. Delhi, she pleaded, should be permitted to set up joint power plants in neighbouring States in view the shortage of land in the capital.

Printer friendly page  
Send this article to Friends by E-Mail