Dehradun:With assembly elections in Uttarakhand scheduled in 2012, the poor revenue realisation is giving a tough time to the BJP government. Judging by the present scenario it seems unlikely that the state government will be successful in ending the revenue deficit before assembly polls.

If the situation does not improve, the state may be deprived of Rs 700 crore grant under the 13th Finance Commission.

The Commission gifted the state government Rs 1,000 crore grant for generously implementing economic reforms which compelled the Centre to increase state’s plan size. However,its non-plan expenditure has surged to Rs 14,000 crore from Rs 11,233 crore.

Despite the government’s declarations, financial reforms in the state look almost impossible as the plan size of the government is increasing with each passing year. Making the scenario worse is the fact that the state government is also not taking any chances to increase taxes due to forthcoming assembly elections.

In-order to increase its resources, the state government is endlessly waiting for the report of Cabinet Sub–Committee. However, it appears impossible for the state government to capitalize on its achievements atleast for the current year. As a result, appointments in the C and D groups will be made through outsourcing in place of appointing people on the permanent basis.

Since Ramesh Pokhriyal Nishank government is putting its best efforts to win elections, stress is being given on giving permanent jobs to people. Even recruitments in the group D are also being made through outsourcing.

The government is also facing the challenge of bringing the revenue loss to zero level in the current year which has been put as a pre-condition for receiving the grant which the state government will receive from the Centre during 2010 -2015. There is anxiety in the state circles over the proper expenditure of grant which is either allocated to it in the budget or it receives as grant from the Finance Commission.


Budget expenditure report of the first three months of the government has been very dismal.

Resultantly,administration has been given a strict advice to keep a tab on the expenses so that there is no budget lapse like the earlier year. The government is also focusing on improving its working in the first six months.


Which is manifested by the state’s Planning Minister Prakash Pant as he remarks that the state government was focusing on decreasing its wayward expenditure.

(JPN/Bureau)