Govt departments asked to observe restraint

Chief Minister K. Chandrasekhar Rao File photo File photo

Chief Minister K. Chandrasekhar Rao File photo File photo  

KCR for strict austerity measures to tide over financial crisis

Chief Minister K. Chandrasekhar Rao on Wednesday warned all government departments not to spend a rupee more than the budgetary allocation to them in view of the economic slowdown.

Presiding over a meeting of the Cabinet, Mr. Rao asked the departments to observe strict restraint in their expenditure to tide over the crisis. Only a disciplined approach in spending will help, he said.

A release said the meeting extensively discussed the economic slowdown and its impact on the State and the release of Central funds due to the State. Though other issues also came up for discussion, the focus was mainly on finance.

It was noted that the devolution of funds by the Centre was not taking place properly and the payment of compensation for implementation of Goods and Services Tax (GST) did not happen. The revenues of State government had dropped on account of slowdown. So, there was need for all departments to take strict austerity measures.

The meeting discussed opportunities to generate additional financial resources for the State government. The changes that were required to plug loopholes in utilisation of funds also came up for discussion.

The Cabinet approved construction of a barrage on the Godavari at Dummugudem to generate 320 MW of power. The cost of construction estimated at ₹ 3,482 crore should be allocated in the annual budget for two years. The barrage would help in hydel generation at cheaper rates as water was available there for five to six months a year. It can be constructed at a height of 63 mts without land acquisition as 37 tmc ft water can be stored in the flowing river at that point till it touched the barrage, officials present informed Mr. Rao.

The Cabinet also approved lifting one tmc ft water additionally for supply to Mid Manair dam from Kaleshwaram. Presently, Kaleshwaram project is designed to lift two tmc ft water daily to Mid Manair. The additional burden of ₹ 11,806 to the government will be met by budget allocation over two years.

The meeting discussed the outcome of 30-day action plan implemented in villages on greenery and sanitation. Mr. Rao expressed anger that the officials failed to sustain the programme out of the enthusiastic spirit generated among public. He questioned the Principal Secretary of Panchayat Raj why steps were not taken to extend the programme beyond 30 days. Another 10-day spell of the programme should be taken up next month, he told the officials.

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Printable version | Feb 23, 2020 11:58:07 PM |

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