State financial health satisfactory: CM

Chief Minister K Rosaiah on Monday reviewed the financial position of the State and also the progress of the Externally Aided Projects and expressed his satisfaction over the financial position and directed that not a single ongoing programme be allowed to suffer for want of finances.

Mr Rosaiah has directed the Finance Department to release funds as per the requirement to various schemes. "We should ensure that no eligible or deserving person should be deprived of the benefits of the welfare schemes", he said.

Chief Minister complimented Finance Department for judicious management and spending of funds. He was happy that the mobilisation of resources from various departments so far this year is good. He hoped that the trend would continue.

The Chief Minister reiterated that all developmental and welfare schemes launched by former Chief Minister Y S Rajasekhara Reddy will be continued vigorously. All priority welfare schemes like Aarogyasri, free power for farmers, tuition fee reimbursements, Rs 2 per kg rice scheme will be implemented vigorously.

Mr Rosaiah also asked the Finance Department to maintain utmost discipline and prudence in expenditure so that the State Finances are on a strong footing. The Chief Minister who also reviewed the external-aided projects directed the Finance Department to expedite finalisation and approval of various projects to be sent to different International Institutions.

He expressed satisfaction that there has been improvement in the collection of taxes and the other major sources of revenue such as Commercial Taxes, Excise, Transport etc. The revenue mobilisation from April to the end of August 2010, have recorded a growth of 19.7 per cent over the figures for the corresponding period last year.

The Chief Minister directed the Finance department to ensure that all the concerned departments step up efforts to achieve their targets.

Special Chief Secretary, Finance, G Sudhir apprised the Chief Minister about the release of funds for the various schemes during the current financial year Rs 1,814 crore has been released to APTRANSCO towards power subsidy. An amount of Rs 1,500 crore has been released for the Rs 2 per kg rice scheme to the Civil Supplies Department for supply of rice to the white card holders.

 An amount of Rs 541 crore has been released so far towards the most popular Rajiv Arogyasri Scheme as against the budget provision of Rs 925 crore in the current year. For Indiramma pensions for senior citizens, widows, disabled persons etc., an amount of Rs 1,449 crore has been so far released.

An amount of Rs 911 crore has been released this year for Indiramma Housing Programme out of the budget provision of Rs 1,800 crore. Abhaya Hastam is a co-contributory pension scheme for women beneficiaries in the age group of 18 to 60 years and the scheme is implemented through the Life Insurance Corporation of India.

An amount of Rs 110 crore has been released so far out of the budget provision of Rs 220 crore.

The officials informed the Chief Minister that Rs 649 crore has been released to Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) as against the budget provision of Rs 300 crore towards Matching State Share.

Towards the Matching State Share under Sarva Shiksha Abhiyan (SSA), Rs 537 crore has been released which includes Rs 187 crore relating towards previous year.

The provision in the budget is Rs 350 crore and Rs 90 crore has been released under Rashtriya Madhyamika Shiksha Abhiyan (RMSA) towards Matching State Share as against the budget provision of Rs 75 crore in this year and Rs 237 crore has been released to universities including the new universities.

 The Chief Minister was informed that Reimbursement of Tuition Fees and scholarships to all the eligible students belonging to SCs, STs, BCs, Minorities, EBCs and Disabled categories has been taken up on priority and an amount of Rs 1,836 crore has been released clearing the arrears.

Pavala Vaddi Scheme for the Self Help Groups of women enables them to take up various economic activities by accessing bank credit Rs 270 crore has been released as against the budget provision of Rs 200 crore.

So far Rs 744 crore has been released to the Roads and Buildings Department for taking up various road works and highway projects. Funds are also regularly being released for Irrigation Projects.

Officials said Rs 200 crore has been released towards the Godavari water supply scheme to Hyderabad Metro Water Supply and Sewerage Board (HMWS and SB) under the Urban Water Supply Scheme.

The Government also sanctioned Rs 150 crore for the second phase of the Multi Modal Transport System (MMTS) in the State Capital and Rs 377 crore has been released under Rural Water Supply Scheme and Rs 479 crore under Rural Sanitation campaign.

The Government has taken very effective steps during the "LAILA" cyclone in May this year which helped to minimise the damage to life and property of the people of the concerned areas. Action was taken promptly to sanction Rs 396 crore for various departments to launch relief, repair and restoration works immediately after the cyclone.

The Chief Minister directed the Finance Department to give top priority for release of funds for welfare and development programmes to ensure their smooth implementation so that the benefits reach the people in time.

Government of Andhra Pradesh is implementing various externally aided projects with the assistance from the World Bank, Japan Bank for International Cooperation (now known as Japanese International Cooperation Agency--JICA) and KFW of Germany.

At present there are 13 projects under implementation in energy, rural development, irrigation, urban development, rural water supply and sanitation, roads sectors etc. There are proposals for projects in the pipeline for improvement of energy sector, water supply and sewerage project of Hyderabad Metro Water Supply and Sewerage Board and the AP Rural Poverty Reduction Project (Phase-III). In addition, proposal for permanent repairs of damage caused due to the heavy rains and floods of August, 2009 are also under consideration.

The Chief Minister directed the Finance department to expedite action for sending necessary proposals to the Government of India and the International agencies after examining their feasibility from the point of debt sustainability with respect to the State finances.

Chief Secretary S V Prasad, Adviser PK Agarwal, Special Chief Secretary of Finance G Sudhir, Secretary of Finance Vasudha Mishra, Secretary of  Finance Sekhar Babu, Principal Secretaries to CM and other officials attended the meeting.