No plan to shift offices to second capital, Virbhadra Singh tells House

  • | Saturday | 18th March, 2017

SHIMLA: Shimla remains the state capital and no office would be shifted to Dharamshala despite it being made the second capital of the state, chief minister Virbhadra Singh announced in the assembly while replying on the budget discussion on Friday. "Actual receipt during these two years remained Rs 528 crore less as compared to the amount estimated by the 13th Finance Commission. There was overestimation in the recommendations of 13th Finance Commission on account of share in central taxes for the year 2013-14 and 2014-15, he said. Opposition members had raised the issue of loans taken by the state government over and above the prescribed limit. He said government will cover more farmers in the financial year 2017-18 under Anti-Hail Net Scheme.

SHIMLA: Shimla remains the state capital and no office would be shifted to Dharamshala despite it being made the second capital of the state, chief minister Virbhadra Singh announced in the assembly while replying on the budget discussion on Friday. Denying any plan to shift the state secretariat to Dharamshala, he said the opposition was trying to mislead the people on the second capital issue.Leader of opposition Prem Kumar Dhumal and BJP's Shimla MLA Suresh Bhardwaj had raised the second capital issue in the House.While replying to Dhumal's allegations on state being financially dependent on Centre, Virbhadra said the state government used to get grants of about Rs 3,000 crore per annum from Planning Commission before it was abolished by the Centre. Opposition members had raised the issue of loans taken by the state government over and above the prescribed limit. Virbhadra replied that increase in debt during the recent years was mainly because of sharp reduction in revenue deficit grant during the years 2013-14 and 2014-15 and increased salary burden due to pay scale revision by the Punjab government, which the HP government matched in 2012.He said the revenue deficit grant, which was Rs 2,232 crore for thefirst year (2010-11) of the award period was reduced sharply to Rs 406 crore for the last year (2014-15) of the 13th Finance Commission's award period. There was overestimation in the recommendations of 13th Finance Commission on account of share in central taxes for the year 2013-14 and 2014-15, he said."Actual receipt during these two years remained Rs 528 crore less as compared to the amount estimated by the 13th Finance Commission. Thus in 2013-14 and 2014-15, the state had to borrow more than 3% of the GSDP, to keep the pace of development in the state," he said.He said that 14th Finance Commission had also overestimated the tax devolution for the year 2015-16 and 2016-17. During the year 2015-16, the state government received Rs 3,611 crore as against the estimation of Rs 4,441 crore.He said that tax devolution will be Rs 4,343 crore during current year 2016-17 as against Rs 4,778 crore estimated by 14th Finance Commission in its recommendations. "As such we have received Rs 966 crore less during first two years of 14th Finance Commission award period," he said.He said Himachal Pradesh has very low tax base, however, the state government has been making efforts to increase tax revenue through efficient tax collection.He said that tax revenue of the state government which was Rs 4,626 crore in 2012-13 has increased to Rs 6,341 crore in 2015-16 and likely to be increased to Rs 7,945 crore during 2017-18.While replying to the opposition's allegation that there has been delay in the preparation of DPRs for declared national highways in the state, he denied any delay in the appointment of consultant on the part of the state government. He said the delay had been caused due to poor response from the consulting firms, change of guidelines and instructions of the Union ministry for recalling tenders, he added.Dhumal alleged that benefit of scheme of providing anti-hail nets was made available only to a few people, the CM said that 473.73 hectare area has been covered under anti-hail net scheme. He said it benefitted 1,514 orchardists during last four years in the state. He said government will cover more farmers in the financial year 2017-18 under Anti-Hail Net Scheme.

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