Second UP supplementary budget likely ahead of polls

Lucknow, Aug 4 (UNI) With assembly polls months away, Uttar Pradesh government has stepped up developmental schemes and is likely to bring the second supplementary budget during the Monsoon session of the state legislature starting August 21.

The second supplementary is aimed at financing the long list of sops to be offered by the Samawjadi Party-led government to the farmers and other electorally significant sections of the society before the elections.

Sources said the first and foremost concern of the government is to appease the farmers for which the electricity bills are likely to be waived off. Announcement for waiver of the farmers power bill is expected to be made before the elections, due in February, 2007.

Saifai, the hometown of the chief minister Mulayam Singh Yadav, in Etawah district and Kannauj Lok Sabha constituency, represented by his son Akhilesh Yadav are likely to get more sops in the supplementary budget.

The cabinet on August 1 last had approved the 'Detailed Project Report' of Rs 212 crore for setting up a 500 bed medical college and hostel in Kannauj.

''After this session there may not be any opportunity left for the government to arrange funds for meeting the commitments for its populist schemes as before the elections there may be a brief session of the assembly to adopt the vote on account for the next fiscal 2007-08 and other necessary Legislative business,'' admitted a senior official of the Finance department.

This would be the second supplementary budget within five months of the current fiscal 2006-07 to be brought by the state government. The supplementary grants are likely to be introduced for completion of the developmental works and to fulfill the political commitments of the Mulayam Singh Yadav government.

The Rs 82,850 crore budget for the the financial year 2006-07 year was passed by the state Legislature in February, while the government obtained first supplementary of Rs 1,629 crore for the current fiscal in May 2006.

Finance department sources said the second supplementary is expected to be close to Rs 2,000 crore, where provision will be made largely for the myriad populist schemes for the various sections of society like farmers, Muslims and other social groups, announced by the chief minister. The government is all set to seek the approval of the Legislature for the second supplementary despite the government agencies involved in developmental work facing the giagantic problem of utilizing the funds.

By the end of May 2006, the state government had released over Rs 25,000 crore to all districts for the various development works in rural areas and social welfare. These funds do not include the funds directly released by the central government to the panchayat institutions and districts authorities for the rural development and drinking water schemes. In 2005-06, the Centre had directly released Rs 5,636 crore to the districts for the rural development schemes.

The officials citing secrecy of the finance bill refused to comment over the size of the second supplementary.

UNI MB NAB AKJ DS1230