Advocating more central funds for the development of Uttar Pradesh, Chief Minister Akhilesh Yadav said here on Thursday that unless the backward state like UP progress India cannot march to the path of development.
In his meeting with the members of the 14th Finance Commission, Yadav demanded Rs 72526 crore for improving education, health and infrastructure in the state and also asked for increase in state’s share in revenue receipt. "Uttar Pradesh is a backward state and need finances for its speedy development. Unless the state gets funds for improving core sectors the development index of UP will not improve," he told the members of the Finance Commission led by former Reserve Bank of India Governor Dr Y.V. Reddy.
Yadav said that the first priority of the Finance Commission is to bring the backward states at par with other states and then state equal distribution of resources. "As far as horizontal distribution among the States is concerned, criteria of equity and efficiency have been used by the finance commissions. We are not against the efficiency criteria and are also making sincere efforts to bring fiscal reforms and fiscal discipline in the State, but it is more important to uplift the backward States to the level of developed States. It is therefore, imperative that preference may be given to the principle of equity," he said and demanded creation of a divisible pool among the States on the basis of population of 2011 with a weightage of 25 per cent for population, 5 per cent for area, 50 per cent for fiscal capacity index and 20 per cent for fiscal discipline," Chief Minister said
He said that a Financial Restructuring Programme (FRP) has been formulated with a view to improve the deteriorating financial condition of Power Distribution Companies of the States. Under this scheme States will have to give commitment to take over financial burden of distribution companies. This is adversely affecting the finances of the State. The Commission provided help to the State to tide over this difficult financial situation.
Uttar Pradesh has sought Rs 9928 crore for Sarv Sikhsha Abhiyan, Rs 3465 crore for improving infrastructure in Basic Education Department, Rs 1075 crore for secondary education, Rs 1947 crore for Higher education and Rs 698 crore for Technical education. Besides, Government has asked for Rs 3914 crore for Health and Family Welfare, Rs 6039 crore for police department, Rs 1438 crore for Jail administration and Rs 1820 crore for improving infrastructure in newly formed districts.
Government has also sought Rs 19197 crore for construction and maintenance of bridges, Rs 8182 crore for for Irrigation facilities. Besides Government has sought Rs 10108 crore as special grant which would be used for creating educational hub for minorities, eradication of Japanese encephalitis and construction of CC Roads in villages.
Heads of different departments gave presentations about the need for grants. The Uttar Pradesh Government sought increase in state’s share in revenue receipt from existing 32 per cent to 36 per cent. Chief Secretary Jawed Usmani, IDC Alok Ranjan and Principal Secretary, Chief Minister Rakesh garg were present in the meeting.