Sanjeev Pargal
JAMMU, June 23: Change of Government at the Centre notwithstanding, the new Government has decided to go ahead with the Prime Minister’s Re-construction Plan (PMRP) for Jammu and Kashmir, which was announced by former Prime Minister Dr Manmohan Singh as head of UPA-I in 2004 and had been given several extensions.
The PMRP, which was worth Rs 24,467 crores when it was announced in 2004, has already crossed Rs 34,000 crores due to cost escalations of several projects, mainly in the Central sector. Latest extension to the Plan had expired in 2013-14 but was likely to be extended for current financial year of 2014-15.
Official sources told the Excelsior that the Government of India has given its nod to the PMRP for current financial year of 2014-15 despite change of guard at the Centre. It has also decided to review the PMRP expenditure for previous years in both Central and State sectors and then release the amount for the current year.
There had been apprehensions in the State that with Narendra Modi led BJP Government taking over at the Centre, the extended term of the PMRP might be discontinued. The State Government has been receiving Rs 600 crores to Rs 1200 crores per year under the PMRP for construction of projects identified under it.
However, the Government of India has made it clear that it had no plan to discontinue the PMRP and the State would receive due share under it for the current financial year of 2014-15. The State Government has projected Rs 600 crores under the PMRP for current financial year. The Government was now confident that it would get the amount projected in the budget under the PMRP i.e. Rs 600 crores.
The UPA-I Government headed by the then Prime Minister Dr Manmohan Singh had in 2004 announced Rs 24,467 crores worth PMRP for Jammu and Kashmir in Central and State sectors. While the projects under Central sector, mainly related to power, were being executed by the Central agencies on their own, the State Government was authorized to identify and executed projects in the State sector.
The PMRP had expired after five years but the UPA Government continued to extend its term. The latest extended term had expired on March 31, 2014. The Centre has now extended the PMRP for current financial year of 2014-15, giving major relief to the State Government, sources said.
Apart from Rs 600 crores under PMRP, the State Government has projected Rs 7300 crores worth annual plan and Rs 4000 crores under Centrally Sponsored Schemes for 2014-15.
During 2012-13, out of Rs 700 crores given to the State under the PMRP, the Government had earmarked Rs 195.24 crore on strengthening of Transmission and Distribution (T&D) network and Rs 105.29 crore for further construction, upgradation and other works on Mughal Road.
Other works undertaken in 2012-13 were rehabilitation of dwellers within Dal and Nigeen lakes (Rs 233.82 crore) and construction of 5242 two room tenements for Kashmiri migrants (Rs 45.65 crore).
The Government had provided Rs 120 crore for Counterpart Fund and Asian Development Bank (Part-II).
They added that the State had been able to spend half of Rs 1207 crores sanctioned under the PMRP during 2011-12 due to which it was given only Rs 700 crores in 2012-13 but even a major part of that amount was not released.
During 2013-14, the State was given full amount of Rs 700 crores under the PMRP, This year, the State has projected only Rs 600 crores under PMRP and was confident of getting the amount.
The PMRP, which was Rs 24,467 crores in 2004 when it was announced by Prime Minister Dr Manmohan Singh as the head of UPA-I, has already gone up to Rs 34,000 crores mainly due to escalation of prices of different projects.
The plan, which was given to the State as an economic package for raising infrastructure damaged during the militancy, is being implemented in two sectors—Central and State. The Central projects, mainly power generating hydro-electric projects, are being constructed by National Hydro-electric Power Corporation (NHPC) while State sector projects are being executed by different agencies.
Out of revised estimates of PMRP worth Rs 34,000 crores, about Rs 22,000 crores are reserved for Central sector while remaining amount of Rs 12,000 crores is at the disposal of the State Government. An estimated 65 to 70 per cent amount of the PMRP has been utilized so far.
The State amount under the PMRP is released in installments every year with this year’s share projected to be Rs 600 crores.
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