Minor relief: J&K gets second SPA installment worth Rs 300 crores

Sanjeev Pargal

JAMMU, Jan 27: In a minor relief for cash starved Jammu and Kashmir, the Planning Commission of India has cleared another installment of Rs 300 crores under Special Plan Assistance (SPA) for Jammu and Kashmir, which would be utilized for construction of projects already submitted by the Planning and Development Department to the PCI.
This would be the second installment under the SPA, which the Planning Commission of India would release in favour of Jammu and Kashmir for the current financial year of 2013-14. The State Government had received first installment of Rs 174 crores worth SPA from the Planning Commission in the month of November.
With the release of second installment of SPA worth Rs 300 crores in the next few days, the State would get Rs 474 crores of the total amount of Rs 2074 crores of SPA to which it was entitled during current financial year of 2013-14.
Official sources told the Excelsior that the Planning Commission of India, as per the reports received by the State Government, has cleared second installment of Rs 300 crores for Jammu and Kashmir under the SPA for construction of specified projects. The projects along with the amount have been sent by the Planning Commission to the Union Finance Ministry for final clearance.
“The State would be receiving the amount in the next few days,’’ sources said.
However, they added that even after the release of Rs 474 crores worth SPA, the State Government would still be left with Rs 1600 crores worth pending SPA even as a little over two months were left for the completion of current financial year of 2013-14.
With last financial year’s experience fresh in mind, the State Government has decided to continue to pursue with the Planning Commission of India for the release of remaining Rs 1600 crores worth SPA at the earliest.
During 2012-13, the Planning Commission had blocked over Rs 1500 crores worth plan funds of Jammu and Kashmir including majority amount under the SPA reducing total plan amount of the State from Rs 7300 crores to Rs 5800 crores.
Admitting that during current financial year also, the State might not be able to get full Rs 2074 crores worth SPA, sources said the Government has directed the officials of Planning and Development and Finance Departments to continue to pursue the funding process with the Planning Commission of India so that maximum funds were availed from the Commission in the pending two months period to utilize them under the SPA.
The State Government has already submitted about 15,000 development works to be executed under the SPA. Sources said the Planning Commission of India has cleared Rs 300 crores for the identified projects, which would be taken up for development.
Sources expressed confidence that the State would get the full plan amount during the current financial year but they admitted that the doubts persisted in view of the last year’s experience.
“It was in view of the past experiences that the State Government was taking no chances this year and continued to pursue the case frequently for full release of SPA with the Planning Commission officials. The Government has asked the Planning and Finance Department officials to remain on toes and frequently inter-act with the Planning Commission to get the funds released,’’ sources said.
Worthwhile to mention here that the State had been allocated Rs 7300 crores worth annual plan for 2013-14, which was equal to the amount sanctioned for financial year of 2012-13. However, with Rs 1500 crores worth cut, the State plan was eventually reduced to Rs 5800 crores in 2012-13.

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