Supplementary Demands - 14/03/2008

Supplementary Demands

Of the Supplementary Demands for Expenditure during current fiscal presented to the house today totalling Rs.1274 crores.

Rs. 844 crores relate to Irrigation and Power, of which Rs.840 crores arises from the power subsidy rising from the projected figure of Rs.1780 crores to Rs. 2620
crores.

Manpreet Badal clarified in the house that this was because of the tariff ruling by the regulator.

Did he mean that the government was expecting a higher tariff ruling from the regulator or did her mean that the state's delay in implementing the regulator's tariff was the cause of the increased subsidy?

This is unacceptable. The government in last year's budget should have anticipated the time bound actions of the regulator and provided for a realistic sum.

That the government failed to do so is further evidence of the government wishing to withhold from the public the harsh realities of the state finances and, in particular, the PSEB.

The last budget was presented in June 07. The regulator ruled two months later. The ongoing deliberations between the government and the regulator should have made matters crystal clear to the government.

This government has failed to deliver efficiencies across the board, not least in the power sector.

This government will continue to dogmatically plead that it cannot predict the ruling of the regulator. But it equally cannot hide from the statutory obligation to make a reasonable provision. To be Rs. 840 crores off target is simply not good enough.

Jassi Khangura MLA Qila Raipur

14 March 2008

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