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Fix Bihar plan size at Rs 24,000 cr: Nitish

Press Trust Of India
Feb 14, 2011 at 06:52pm IST

Patna: Demanding fixation of the 2011-12 plan size for Bihar at Rs 24,000 crore, Chief Minister Nitish Kumar on Monday said a dispute had cropped up due to differences in estimates on income from the taxes to be imposed by the state.

"Our stand on the issue of fixation of plan size at Rs 24,000 crore for 2011 is justified . I think Planning Commission will approve the plan size," Kumar told reporters on the sidelines to his weekly 'Janata Darbar'.

Member of Planning Commission Narendra Jadhav during a meeting with him had indicated the Commission's approach, he said. Stating that differences in estimates on income from taxes to be imposed in Bihar had raised the "dispute". Kumar said , "We have pegged the plan size at Rs 24,000 crore for the next fiscal. This is after evaluating the income from imposition of taxes in conformity with the 13th Finance Commission recommendations. There is some shortfall in the calculation by the Centre on this count."

Fix Bihar plan size at Rs 24,000 cr: Nitish

Nitish Kumar to meet Pranab Mukherjee to seek an annual provision of Rs 4,000 cr for Bihar.

Kumar, who would be leaving for New Delhi this evening, said he would try to meet Union Finance Minister Pranab Mukherjee to seek an annual provision of Rs 4,000 crore as special help for Bihar in the five year plan. "I expect that the Centre will now adopt a positive attitude towards Bihar and will give a go ahead to the state's plan size," he said adding it was like a "litmus test" for the UPA government.

After Jharkhand was carved out, it was planned to provide Bihar a special assistance of Rs 1000 crore per annum from 2002 for the execution of central schemes. The state government had later concurred to hand over the execution works of those schemes to the central agencies.

"There are many schemes which are at the final stages of completion. To complete by end of the current financial year, the state would require a sum of Rs 3100 crore from the centre. Unfortunately we are getting indications that the Centre is backing out and is considering afresh to give Rs 1500 crore to the state which will be unjust and breach of promise," Kumar said.

The Chief Minister said he would present these issues during his meeting with Mukherjee. In 2004, when UPA came to power there was mention of a special package for Bihar in the presidential address. "But nothing has been done in this regard as yet," he said.

On his expectations from the central budget for 2011-12, the Chief Minister said it should be one which is lower in regional imbalances and should provide much relief to people as faulty central policies have led to inflation in the country.

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