Raw Deal!
DoNER fund allocation slashed:
New Delhi, May 2: Several development projects in the North-East are likely to be hit following massive reduction in allocation of the Ministry of Development of North Eastern Region (DoNER) funds. The Ministry made a projection of Rs 2,922 crore for the current fiscal, however, actual allocation was pegged at Rs 1455 crore, leaving it high and dry.
Subsequently, the Ministry intimated a Parliamentary Standing Committee that due to reduction in the allocation by almost 50 per cent projects would suffer. The Ministry would not be able to implement the scheme for development of the region.
The reduction in allocation is the latest set back to hit the Ministry.
However, there has been increase in plan outlay for Non Lapsable Central Pool of Resources (NLCPR) and North Eastern Council (NEC) and North Eastern States Road Projects, whereas loan to NEDFi has remained static.
Besides, the projects under development of inland waterways in the NER have been entrusted to the Ministry of Shipping and Transport.
In his presentation before the Panel, Secretary NEC said that analysis of the Vision-2020 has revealed that a staggering amount of Rs 25,000 crore was needed even to catch up with the present national per capita income.
Interestingly, the House Panel was not convinced by the reasoning given by the NEC Secretary, on the visibility aspect of the development. The component of private investment is a totally different matter to be viewed in the proper context and perspective. First of all, the outcome of the public investments should be visible and transparent.
Then only a positive message will go for private investment. The Committee appreciates that there are basic and inherent problems in converting public investment into tangible results. That can only be achieved if there is sense of commitment among implementing agencies and the State Governments.
The Committee recommends that sincere efforts should be made to ensure that whatever investment is made for the development of NER should yield concrete result so much so that the outcome should manifest itself.
Meanwhile, there are 233 projects, which North Eastern States could not complete in time schedule. The delay in utilisation of funds by the State Government and limited working season are the main cause for non-completion of the projects in time-schedule, the Ministry said.
A total of 925 infrastructure projects at an estimated cost of Rs 6637.09 crore to NES have been sanctioned, which includes projects in power sector, roads and bridge, education health and water supply. So far, Rs 5048.41 crore has been released for implementation. Out of this, NES reported completion of 426 projects.
Source: The Assam Tribune
New Delhi, May 2: Several development projects in the North-East are likely to be hit following massive reduction in allocation of the Ministry of Development of North Eastern Region (DoNER) funds. The Ministry made a projection of Rs 2,922 crore for the current fiscal, however, actual allocation was pegged at Rs 1455 crore, leaving it high and dry.
Subsequently, the Ministry intimated a Parliamentary Standing Committee that due to reduction in the allocation by almost 50 per cent projects would suffer. The Ministry would not be able to implement the scheme for development of the region.
The reduction in allocation is the latest set back to hit the Ministry.
However, there has been increase in plan outlay for Non Lapsable Central Pool of Resources (NLCPR) and North Eastern Council (NEC) and North Eastern States Road Projects, whereas loan to NEDFi has remained static.
Besides, the projects under development of inland waterways in the NER have been entrusted to the Ministry of Shipping and Transport.
In his presentation before the Panel, Secretary NEC said that analysis of the Vision-2020 has revealed that a staggering amount of Rs 25,000 crore was needed even to catch up with the present national per capita income.
Interestingly, the House Panel was not convinced by the reasoning given by the NEC Secretary, on the visibility aspect of the development. The component of private investment is a totally different matter to be viewed in the proper context and perspective. First of all, the outcome of the public investments should be visible and transparent.
Then only a positive message will go for private investment. The Committee appreciates that there are basic and inherent problems in converting public investment into tangible results. That can only be achieved if there is sense of commitment among implementing agencies and the State Governments.
The Committee recommends that sincere efforts should be made to ensure that whatever investment is made for the development of NER should yield concrete result so much so that the outcome should manifest itself.
Meanwhile, there are 233 projects, which North Eastern States could not complete in time schedule. The delay in utilisation of funds by the State Government and limited working season are the main cause for non-completion of the projects in time-schedule, the Ministry said.
A total of 925 infrastructure projects at an estimated cost of Rs 6637.09 crore to NES have been sanctioned, which includes projects in power sector, roads and bridge, education health and water supply. So far, Rs 5048.41 crore has been released for implementation. Out of this, NES reported completion of 426 projects.
Source: The Assam Tribune
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