Demands exceed Maharashtra budget 2010-11 by 18%

The state government made an enhanced allocation of Rs23,223 crore over 2010-11, thus exceeding its original budgetary demands by almost 18 per cent.

The original budget demands for 2010-11 was Rs1,29,499 crore. The government which had emphasised on the budget discipline appears to have buckled under pressure to make excess allocations under the pretext of emergency requirements via supplementary demands throughout the year. As a result the overall budgetary demands went up from Rs1,29,499 crore to Rs1,52,723 crore.

While the government explains the enhanced allocations as a sign of development, the opposition attacked them for poor planning. 

The BJP’s Devendra Fadnavis (MLA) said, “The massive allocations through supplementary demands indicate how badly the government had planned its original budget. What is more shocking is the enhanced funds which have been sought under emergency were spent on tourism, beautification and helicopters.”

According to a former bureaucrat (finance): “If the government has sought Rs800 crore as emergency funds, it should have been used for natural calamity or such other developments. You cannot seek emergency budget for buying helicopters.”

The officer pointed how budgetary demands go up and often 40% of the funds remain underutilised, thus exposing the execution and planning.

A source in the government said, “Almost Rs15 crore was granted under emergency and urgent clause for the purchase of helicopters and maintenance of aircraft.”

In another case, the government had set aside Rs 4.99 crore for development of Jejuri religious centre to promote tourism. It provided Rs10 lakh more as urgent grants. Over and above the budget the government provided Rs270 crore financial aid to cooperative bank. The public works department managed to get grant of Rs167 crore which was not reflected in the original budget. 

Sources in the ministry of finance said, “Often the expenditure incurred on a project is not taken in account during the preparation of annual budget. But when the government is confronted with new expenditure it evokes the sub-head of urgency or emergency to get approval.”

Some of the departments which overshot its budget plans and had to seek more funds last one year are as follows: Finance was granted Rs3,1148 crore. It was provided additional Rs2,440 crore. Similarly, revenue and forest budget at Rs2,944 was provided additional Rs882 crore. The higher and technical education demands went up by Rs crore to its origin of Rs3,432 crore. The food and civil supplies origin budget at Rs3,841 was given additional Rs870 crore.