The Plan outlay for Tamil Nadu for 2011-12 has been fixed at Rs.23, 535 crore, which is Rs. 3,467 crore more than the 2010-11 outlay.
This was decided at a meeting here on Wednesday between Chief Minister Jayalalithaa and her Finance Minister O. Panneerselvam, and officials and a team, led by Planning Commission Deputy Chairman Montek Singh Ahluwalia.
Ms. Jayalalithaa told journalists that this was what she expected from the meeting and she was quite happy. Many of the requests she made to Prime Minister Manmohan Singh, during her earlier visit to the capital, were not included in the outlay, as they came under a special package, and she hoped Dr. Singh would consider them and respond positively. She also urged the Planning Commission to take up the issue with the Centre. “I hope Mr. Ahluwalia will make positive recommendations on our request.”
Earlier, she told the Commission that Tamil Nadu was in a “fiscally weakened condition” now (because of the previous DMK rule), and the State's outstanding debt had risen to Rs.1,01,541 crore. This was in addition to the outstanding debt of more than Rs.40,000 crore of the Tamil Nadu Generation and Distribution Company. Her government had been elected on the basis of its commitment to enhance the standards of living of the people through considerable investments in agriculture, industry and basic infrastructure. These investments, the efforts at revitalisation of critical sectors, and the reintroduction of good governance would become fundamental to leading the State successfully through an ambitious 12th Five-Year Plan from 2012 to 17.
She said amenities basic to the livelihood and dignity of the rural and urban poor would be improved. The State intended to make a determined push for growth in the manufacturing sector for sustaining growth in the services sector.
Mr. Ahluwalia complimented Tamil Nadu on making new efforts at accelerating growth and making it more inclusive. He pointed out that Tamil Nadu's human development index was better than the national average. The focus of the development initiatives in the 12th Plan Period should be on energy, health, water and urbanisation. In the process of rebuilding the State, improving revenue generation should also get priority, he said, highlighting the importance of public-private partnership in the development of roads and the health sector. The Commission was keen on making guidelines for the Central government-sponsored schemes more flexible to ensure better utilisation.
Appreciating the new government's approach to handling issues of Tamil Nadu, he said the State's initiative to work out a vision document (Vision 2025) was a step in the right direction. The State was advised to ensure that inclusiveness got right priority in its development strategy.
