UP passes adjunct budget

In an unprecedented move the Samajwadi Party-led government introduced the supplementary budget in the second month of the current fiscal even as the budget for 2006-07 was passed by the state legislature in March.

In 2005-06, the government had obtained approval for three supplementary budgets from the legislature.

The total size of the first supplementary is Rs 1,629 crore, of which Rs 642 crore is for revenue expenditure while the remaining Rs 987 crore is for capital expenditure.

Chief Minister Mulayam Singh Yadav said the supplementary grants would have no bearing on the overall fiscal situation of the state because during the current fiscal total receipts of the government were likely to more than Rs 2,127 crore.

Moreover, he said with the sharp drop in revenue deficit in 2004-05 and subsequent reduction in 2005-06, the Twelfth Finance Commission has waived a large part of the loan of the state government, thus reducing the burden of committed expenditure from the revenue account on account of interest and principal.

Rs 1.56 crore has been provided for the construction of an auditorium at the Regional Rural Development Institute in Mainpuri, where the chief minister's nephew Dharmendra Yadav is an MP, and Rs 20 crore for a para medical institute at Sefai, the native village of the chief minister in Etawah.

For the Azamgarh district, represented by senior minister Balram Yadav, a provision of Rs 132 crore has been made for a super specialty hospital and a medical college.

The lion's share of the first supplementary budget, Rs 400 crore, goes for funding the unemployment allowance scheme. The scheme targets benefiting nearly 800,000 unemployed graduates. The government has also provided Rs 30 crore for the waiver of power dues on power looms.

A provision of Rs 40 lakh has been made for a plasma TV in meeting halls in the state secretariat. For the officer's mess of Home guards HQ, Rs 88 lakh has been provided. For the various civil works and improvement of water supply at the governor's house Rs 8.85 crore has been provided in the supplementary grants.