Sanjeev Pargal
JAMMU, Jan 30: Amidst a thorough review of budget preparations for 2016-17, Governor NN Vohra today called upon the Administrative Secretaries of Finance and Planning and Development Departments to get ready for presentation of full budget and Vote-on-Account (VoA) for next financial year as either of the two could be adopted depending upon the situation apart from the Revised Estimates (REs) for current fiscal year of 2015-16.
“The Governor reviewed preparations for presentation of separate power budget for 2016-17 and Revised Estimates for 2015-16, which dropped an indication that the practice of previous PDP-BJP Government to present separate power budget in the State would go on whether the budget was presented by the elected Government or the Governor,” official sources told the Excelsior.
The Governor reviewed financial position of the State and preparations for budget and Revised Estimates at a high level meeting that lasted nearly four hours and was attended among others by Chief Secretary BR Sharma, who also holds the charge of Planning and Development Department, Finance Secretary Navin K Choudhary, both of whom have been vested with powers of Ministers by the Governor after PDP-BJP Government ceased to exist. Principal Secretary to Governor PL Tripathi was also present.
Sources said the Governor reviewed priorities of all Government Departments, infrastructure development, pace on ongoing works and the projects to be listed in the budget if it was to be presented by him in the absence of duly elected Government. A detailed view was also taken on presentation of the Vote-on-Account for three or six months and Revised Estimates required to be passed for current financial year of 2015-16.
It may be mentioned here that all Legislature powers presently vests with the Governor after imposition of Governor’s Rule in Jammu and Kashmir on January 8.
“Though all options were open before the Governor, the Vote-on-Account for first three or six months of next financial year of 2016-17 was the most preferred option as, if the new Government was installed between the period, it can have the option of presenting its own budget.
Vohra directed the bureaucrats to keep papers ready for securing Vote-on-Account if such a situation arises and called upon them to bring up the budget before him on March 1, 2016 for a final decision. On Revised Estimates for 2015-16 (capital expenditure), he directed the administration to submit it for his immediate approval so that balance funds could be released to the Departments for utilizing available resources in remaining two months of the current financial years.
Confirming that separate power budget was on the cards, sources said the Governor had detailed discussion in the meeting on power scenario in the State including Revised Estimates required for the Department for current financial year and figures for the next year’s budget or Vote-on-Account.
The State, according to sources, has been suffering huge losses on account of huge gap between power purchase bill and revenue generated by the Department that had forced the previous Government to present separate power budget. This year too, they said, the practice would continue.
“If the full budget was presented, there will be a separate power budget and if the Vote-on-Account was taken, there will be separate figures for the power purchase,” sources said.
On their part, sources pointed out, the Administrative Secretaries declared that they were ready for presentation of budget or taking Vote-on-Account by the Governor anytime now.
To avert any Constitutional crisis, the State had to adopt budget or take Vote-on-Account for first three or six months of 2016-17 on or before March 31, 2016. If the Governor opted for full budget, it had to be adopted earlier as the budget, prepared by the Governor, required approval of the Parliament while Vote-on-Account didn’t need such approval. The Vote-on-Account helps the Government, if it was formed, to present the budget within the time period for which the Vote-on-Account had been taken.
Last year, the Governor had kept the administration ready for Vote-on-Account but it was not necessitated as PDP-BJP Government headed by Mufti Mohammad Sayeed was sworn-in on March 1, 2015 and then Finance Minister Dr Haseeb Drabu had presented full budget on March 22.
Last year also, the State was under Governor’s Rule from January 8 to March 1. This year the Governor’s Rule was necessitated following death of Mufti Sayeed.
The Governor was informed that the Financial Commissioner, Planning and Development and Commissioner, Finance Department have held extensive discussions with all the Administrative Secretaries and Heads of Departments regarding the preparation of the Revised Estimates (2015-16) and Budget Estimates (2016-17).
Also they have held joint reviews to complete the exercise for segregating the Revenue and Capital components of the Budget Estimates (2016-17), which requirement has arisen with the inception of the new regime after the Planning Commission was replaced by the NITI Aayog.
A Raj Bhavan spokesperson recalled that on the Governor’s earlier direction, the balance required funds for meeting the salaries and other revenue components have already been released by the Finance Department.
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