Himachal Budget: No new taxes, thrust on ‘green state’

Tribune News Service

Pratibha Chauhan

Shimla, March 17

Chief Minister Sukhvinder Singh Sukhu today presented a tax-free budget of Rs 53,413 crore for 2023-24 with thrust on making Himachal a ‘Green State’ and ensuring qualitative improvement in rural, health and education sectors.

The policies of the previous govt resulted in a debt of Rs 92,833 on every citizen of the state and a liability of Rs 10,000 crore on account of pending payment of arrears to employees and pensioners. We hope to create 90,000 jobs, said the Chief Minister

Sukhu, who also holds the finance portfolio, announced 13 new schemes even as his government faces the daunting task of keeping the wheels of development moving in view of an Rs 75,000 crore debt. The estimated fiscal deficit this year is about Rs 9,900 crore, which is 4.61 per cent of the Gross State Domestic Product (GSDP). The revenue deficit is estimated at Rs 4,704 crore compared to Rs 6,170 crore in the last fiscal year.

The burden of committed liabilities like salary and pension (Rs 42) and loan and interest payment (Rs 20) is mounting every year and as a result a mere Rs 29 in every Rs 100 available is left for development works. As such, the Chief Ministers spelt out special measures taken by his government for resource generation, including the imposition of a water cess (expected to generate Rs 4,000 crore), cow cess of Rs 10 per liquor bottle (expected to generate Rs 100 crore), auction of liquor shops, GST revenue enhancement project and checking illegal mining.

The economy is expected to grow at the rate of 6.4 per cent during 2022-23, which is 1.2 per cent less than the previous year. The estimated per capita income (PCI) is Rs 2.22 lakh, indicating a 10.4 per cent growth. “The policies of the previous government has resulted in a debt of Rs 92,833 on every citizen of the state and a liability of Rs 10,000 crore on account of pending payment of arrears to employees and pensioners,” Sukhu said.

He said, “We hope to create 90,000 jobs, both in the government and private sectors. Our endeavor is to encourage the youth to set up their own startups and ventures after upgrading their skills.” Special attention was being paid to strengthening tourism infrastructure to create employment avenues.

He said that Kangra would be developed as the tourism capital of the state. A golf course, tourist village, ice and roller skating rinks would be created and shikaras, cruise and yachts would be launched be in the Pong Dam. A zoo, spread over 180 hectares, would be set at Bankhandi in Kangra at a cost of Rs 300 crore; Rs 60 crore had been allocated in this Budget, he added.

The Chief Minister said that the honorarium of the elected representatives of urban local bodies and panchayati raj institutions had been increased. Social security pensions had also been enhanced. The Rs 28 increase in MGNREGA wages would benefit nine lakh workers while daily wages had been raised to Rs 375 from Rs 350.

Rs 1K cr for e-vehicles

The CM spelt out his priority of making Himachal a ‘Green Energy State’. In all, 1,500 diesel buses of the state transport corporation would be replaced with electric buses and Rs 1,000 crore had been allocated for the purpose.

Pension for women

Sukhu announced that in the first phase, a monthly pension of Rs 1,500, one of the 10 promises made during the Assembly elections, would be given to 2.31 lakh women, who are getting Rs 1,000 and Rs 1,150 at present.

Satellite township

The govt plans to set up a satellite township at Jathia Devi near the Jubbarhatti airport in Shimla district to decongest the state capital and an Rs 1,373 crore detailed project report (DPR) has been sent to the Centre,” he said.

Cow cess on liquor

Cow cess of Rs 10/bottle to be imposed on the sale of liquor. The move is expected to fetch Rs 100 crore revenue per annum. There is also a proposal to hike honorarium for representatives of panchayats and urban local bodies.

CM arrives in electric car

The CM reached the Vidhan Sabha, earlier known as Council Chamber that was opened by Lord Reading on August 27, 1925, in an electric car. Setting a new trend of explaining within the speech in detail how the budgetary provisions are going to benefit people, the CM used poetic verses and quotes from famous Hindi writers.

Kangra to be tourist capital

In order to boost tourism, the Chief Minister said that Kangra district would be developed as the tourist capital with attractions like water sports,'shikaras' and cruises. It will also get a zoo, a golf course and a tourist village. All 12 districts will be connected with heliport facilities over the next one year.

Incentives for women, girls

A subsidy of Rs 25,000 will be provided to 20,000 girls studying in government schools across the state on the purchase of electric scooty. Apart from this, 231,000 women residents of the state will get Rs 1,500 per month aide; costing Rs 416 crore per year to the exchequer.

LEADER SPEAK

Resource mobilisation

The state is facing fund crunch due to the policies of the previous government. As such, thrust has to be on resource mobilisation and reducing wasteful expenditure.

Sukhvinder Singh Sukhu, Chief Minister

Will check unemployment

The CM has scripted a new chapter in the history of all-around development. The Budget will also prove useful in removing unemployment and providing self-employment to the youth.

Pratibha Singh, State Cong president

Confusion on guarantees

The Budget is silent on the functional schemes of the BJP government. Some of our schemes have been renamed. There is confusion how the govt will fulfil its poll guarantees.

Jai Ram Thakur, Leader of Oppn

Bid to misguide people

The state government has taken credit for the Centre’s scheme. The Congress has come to power by misguiding people and the Budget is another attempt to misguide people.

Suresh Kashyap, State BJP president

No roadmap on agri crisis

Unemployment is a major issue, but it has not been addressed in the Budget. It talks of creating only 25,000 jobs, which is not sufficient. It also doesn’t lay out a roadmap to mitigate agrarian crisis.

Onkar Shad, CPM State Secretary

No mention of free power

There’s nothing much in the Budget. There is no mention of the promised 300 free units of electricity. There’s also no clarity on Rs 1,500 grant to women. It seems to be a Budget to misguide people.

Surjeet Thakur, AAP  State president

QUICK NOTES

Rs 8,828-cr allocation for education sector

The education sector has got an allocation of Rs 8,828 crore. There is a proposal to set up one Rajiv Gandhi Government Model Day Boarding school in every Assembly segment and Rs 300 crore has been allocated for the purpose. The school will have best sporting facilities, including a swimming pool. He added that a library would be set up in every senior secondary school, 10,000 meritorious students would be given tablets, 762 schools would be provided with smart classrooms, 17,510 regular primary teachers would be given tablets and 40,000 desks would be provided so that students did not have to sit on mats. The Budget allocated Rs 361 crore for technical education. The government proposes to improve the quality of technical education by adding robotics, block chain technology, cyber security, cloud computing, data analytics, artificial intelligence and machine learning courses. TNS

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