TN will have Rs 12,500 plan outlay

New Delhi, June 6: Planning Commission today approved an outlay of Rs 12,500 crore for Tamil Nadu during 2006-07.

This is Rs 3,400 crore more than the 2005-06 plan size.

The new plan envisages enhanced outlay for agriculture, water supply, irrigation, textile and leather.

Tamil Nadu Chief Minister M Karunanidhi held discussions with Planning Commission Deputy Chairman M S Ahluwalia, after which he sought an outlay beyond Rs 12,000 crore.

Dr Karunanidhi asked the commission to treat as plan expenditure the waiver of cooperative loans of farmers announced by his government on the first day of assuming power.

Pointing out that the state was faced with scarcity of water for irrigation, he wanted the commission to relax the conditions of the Accelerated Irrigation Benefit Programme (AIBP) to take up medium and minor irrigation schemes to support agriculture.

Under the present AIBP guidelines, irrigation schemes with an outlay of more than Rs 500 crore alone could receive central support.

Dr Karunanidhi sought more 'liberal funding' to the state under the "Mid-day Meal Scheme" of the Centre.

After the discussions, he said the state had experienced a period of "sluggish" growth in the last five years, when the state's average rate of growth was less than the national average. "We are determined to reverse this trend." The Chief Minister sought substantial assistance for the implementation of schemes under the "Bharat Nirman" Scheme, launched by the UPA government with the objective of upgrading rural infrastructure.

Dr Karunanidhi also met CPI(M) General Secretary Prakash Karat and Marxist veteran Harkishen Singh Surjeet.

UNI