Here is a reality check. Post the implementation of the Fourteenth Finance Commission recommendations, Odisha has received a bonanza from the Centre notwithstanding the intense political drama over it.
The State in 2015-16 has seen flow of a whopping Rs8,327 crore more than what it was receiving in 2013-14 via the transfer of State’s share in Centre’s taxes and duties. Even, the prized-flow to continue in 2016-17 as Odisha would get nearly Rs3,000 crore more than what it received in 2015-16.
Sample this: The net transfer from Central taxes and duties to Odisha as State’s share in 2013-14 was Rs 15,247 crore, which rose to mere around Rs16,181 crore in 2014-15.
However, following implementation of Fourteenth Finance Commission (FFC) recommendations, the year 2015-16 recorded a steep rise in the net transfers that touched Rs23, 574 crore.
As per the Union Budget estimates, the net transfer of Centre’s taxes and duties as State’s share in 2016-17 would be Rs26, 567 crore. The figures reveal that Odisha is gaining lump sum revenue from Central tax proceeds now.
According to FFC, the benefit for States in gaining this lump sum is they come with no strands attached, unlike the Central flagship schemes, and States are free to spend so as per their priority. Significantly, politics over FFC hit the roof in Odisha when the ruling BJD came on to the roads to protest against a cut in Central schemes, which is also a part of FFC recommendation.
Now, consider this. Odisha which was receiving Rs784 crore fund from Centre under various Central farm schemes like Rashtriya Krishi Vikas Yojana, ISOPOM etc, dropped to Rs532 crore in 2015-16.
Similarly, under National Rural Water Drinking Programme (NRDWP) Odisha received Rs103 crore in 2015-16 against Rs317 crore in 2013-14. The State also got Rs333 crore less in 2015-16 vis-à-vis 2013-14 under Integrated Child Development Scheme (ICDS), Rs 9 crore less in National Rural livelihood Mission (NRlM), Rs217 crore less under Mid-day Meal (MDM) scheme and Rs35 crore less under the Modernisation of Police Forces (MPF). A look shows that Odisha had a minus account of over Rs1,051 crore in some of the Central flagship schemes in 2015-16 vis-a-vis 2013-14.
However, the other significant fact that comes to fore is Odisha in 2015-16 had also received a whopping Rs2,077 crore more via other Central flagship schemes vis-a-vis 2013-14.
Under Pradhan Mantri Gram Sadak Yojana, Odisha got Rs624 crore more in 2015-16, Rs139 crore more under Indira Awas Yojana (IAY) and Rs82 crore more under Sarva Skishya Abhiyan (SSA).
But the highest jump is noticed under Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), where Odisha received whopping Rs744 crore more over that of mere Rs735 crore in 2013-14 and a whopping Rs571 crore against nil in 2013-14 under Nirmal Bharat Abhiyan (NBA).