Rs. 3,015-cr. Plan outlay for State

By Alok Mukherjee

NEW DELHI, AUG. 7.The revised 2001-02 Annual Plan for Kerala was finalised here today at Rs. 3,015 crores, lower than the Rs. 3,600-crore Plan presented by the previous Left Democratic Front Government in February this year. In fact, it was the new Kerala Government which sought a reduction in the Plan size in keeping with the resource mobilisation potential of the State.

The Plan was finalised at a meeting here today between the Deputy Chairman of the Planning Commission, Mr. K.C. Pant, and the Kerala Chief Minister, Mr. A.K. Antony. The Chief Minister informed the Commission that his Government had inherited the worst-ever financial crisis faced by the State. Mr. Antony explained that the State Government had decided to prune the Plan size as it was felt that the earlier Plan was unrealistic. ``As we are in the final year of the Ninth Plan and four months into the current year, drastic changes are not possible, but we are making efforts to streamline implementation, give priority to the completion of long pending projects,'' he said.

During the discussions, Mr. Pant complimented the State for excellent achievements in the areas of health and literacy as the State ranked first in terms of literacy. He also noted that the State had been successful in implementing decentralised planning. A State Finance Corporation had been constituted to review the financial position of panchayats, and the self-help groups formed with women below the poverty line were doing well, he said.

Mr. Pant, however, suggested that the State Government required to pay more attention to agriculture, irrigation and power. The Chief Minister told Mr. Pant that tariffs had been raised by 25 per cent recently and that a State Electricity Regulatory Commission would be constituted within three months.

Plea for hike in assistance

Mr. Antony sought increased assistance from the Planning Commission and its help in correcting certain policies which were considered harmful to the State.

He sought relaxation of the coastal zone regulation and the introduction of special assistance for coastal areas on the pattern of existing assistance to hill areas, deserts, etc.

Mr. Antony sought an increase in the allocation to Kerala under the Prime Minister's Rural Roads Programme from Rs. 20 crores to Rs. 100 crores this year. The Chief Minister also wanted the Centre to permit foreign airlines to operate from the Cochin International Airport and to correct the import policies which were harming the State's agriculture interests.

The Planning Commission was also requested for a grant of Rs. 300 crores for capital investments and for additional Central assistance for special projects like computerisation of the Secretariat, Statistics Department, Planning Board and employment exchanges. This last demand was accepted and the Deputy Chairman sanctioned a special assistance of Rs. 50 crores for the computerisation programme.

The Chief Minister informed the Commission that the power sector would be allocated Rs. 509 crores, local Governments Rs. 890 crores, industries and information technology Rs. 213 crores social services Rs. 547 crores, agriculture and allied activities Rs. 210 crores, irrigation Rs. 227 crores and the road and transport sector Rs. 220 crores. Out of the total Plan, Rs. 335 crores would be earmarked for development of Scheduled Castes and Scheduled Tribes, he added.

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