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20 states to spend Rs.4.26 trillion
Dr. M.S. KAPADIA
Tuesday, June 19, 2012, 13:06 Hrs  [IST]

The Planning Commission has approved state plan outlays of 20 states till June 7. These states would be spending 425,666 crore during FY13, the first year of the 12th Plan (2012-2017), maintaining the annual step-up at 19 per cent recorded in approved outlay in 2011-12, the final year of the 11th Plan. Gujarat gets the highest investment as also the highest annual rise in outlay in FY13 whereas Meghalaya gets the highest rate of 44 per cent step-up in outlay. These 20 states accounted for three-fourths of total approved state outlay during 2011-12.

The contours of plan strategies of these states for FY13, as also the 12th Plan, built from available scrappy details, are set out below.

Rajasthan (33,500 crore): The state has put before it 13 targets for the 12th Plan which inter alia include removing imbalance between water demand and availability, and improving employment opportunities and infrastructure deficit. The state will also work towards enhancing participatory planning and removing weakness in delivery system.

West Bengal (25,910 crore): The state was aiming at inclusive growth with sustainable development so as to create adequate employment opportunities and food security to all. Development of social sector and infrastructure is the top priority and the private sector is being encouraged to join through public-private partnership route. In rural development, the target is to reduce poverty from 43 per cent to 25-28 per cent. On development of the Sundarbans, the proposals include connecting every island through fast, safe and affordable boat service.

Karnataka (42,030 crore): The Karnataka Guarantee of Services to Citizen's Act 2011 covering 151 services across 11 departments has been initiated to ensure better service delivery with efficiency, transparency, timeliness and accountability, and to curtail red tape and delay tactics. The Planning Commission has suggested that more focused attention was needed in agriculture and infrastructure sectors, and public-private partnership should be encouraged to expedite development process.

Andhra Pradesh (48,935 crore): Priority has been given to irrigation, which will get 30.60 per cent of plan outlay. Next in priority are rural development and welfare of SCs, STs and minorities with each being allocated 10.54 per cent of plan fund. The state government has given special incentives to large and mediumscale industries. An Industrial Promotion Fund with adequate provision will be created for the purpose. The state government would target a growth rate of 10 per cent during the 12th Plan. It would be broadbased growth involving all sectors and all sections of people.

Kerala (14,010 crore): The annual plan will give the agriculture sector top priority by providing substantial increase in the outlay. Similarly, a major thrust is given to medical and public health, higher education, urban development, dairy development, sports and youth services, tourism, and art and culture. Infrastructure development is one of the major thrust areas. State Road Improvement Project, Improvement of Road Maintenance Project and Road Safety Enhancement are some of the new proposals for infrastructure development. In 12th Plan, the focus will be on 'Development with Care and Compassion'. The state government will actively promote PPP and project financing through various schemes.

Haryana (26,485 crore): The annual plan will give priority to education (11.79 per cent), transport (5.53 per cent), and energy (5.12 per cent). In terms of increase in outlay for 2012-13 over 2011-12, the maximum increase has been in science, technology, forestry, and wildlife and environment (101 per cent), education (48 per cent), general economic services (41 per cent) and decentralised planning (27 per cent). Tentative growth target for agriculture in the state for the 12th Five-Year Plan is 3.43 per cent. The state would further focus on broadbased and significant improvements in health outcomes, universal access to school, improved standards of education, including skill development, and improvement of basic amenities like water, sanitation, electricity, roads and housing.

Odisha (17,250 crore): In the annual plan, priorities have been given to energy (14.75 per cent), irrigation (13.98 per cent), transport (10.94 per cent), education (10.67 per cent) and special area programmes (9.34 per cent). In 12th Plan, which has targeted 9 per cent growth, major effort will be on improving human development indicators, particularly quality of education, healthcare and food security. Keeping the growth target in view, the state has projected resource requirement of 100,000 crore for the state at 2011-12 prices.

Punjab (14,000 crore): The annual plan will focus on development of infrastructure in power, roads, rural water supply and sanitation, water supply, sewerage and sewage treatment plants in municipal areas. The Planning Commission has decided to support the establishment of integrated skill development centres, industrial complexes and infrastructure facilities in border districts. The Planning Commission also agreed to give in principle support to create an industrial zone for ancillary units around the Bhatinda Refinery, under the National Industrial Manufacturing Zones initiative.

Madhya Pradesh (28,000 crore): The focus would be on creating an industry friendly environment in which new industrial projects could be set up expeditiously without much procedural hassles. The state is fast moving out of 'Bimaru' status and has registered a growth of 10.2 per cent against a target of 7.6 per cent fixed for the 11th Plan. The state would pursue an ambitious target of 12 per cent growth during the 12th Plan. Public-private partnership in extension services and agro-processing would be encouraged.

Maharashtra (45,000 crore): The state has decided to improve and strengthen infrastructure for air transport of passenger and cargo for boosting the growth of backward areas. The Planning Commission and Government of India were requested to create a separate line of funding for addressing the challenges of mega cities under a concept of 'National Projects for Mega Cities' which would be entitled to receive 90 per cent funding from the Centre.

Chhattisgarh (23,480 crore): The state would follow a policy of faster and more inclusive growth with 10 per cent growth target for the 12th Plan. Higher investments would be made in agriculture to improve productivity and income. Social sector spending would be further enhanced to reduce disparity inhuman development indicators.

Gujarat (51,000 crore): The state has an excellent track record of double-digit growth over the past several years and is committed to providing better healthcare to the poor and vulnerable sections of the society.

Tamil Nadu (28,000 crore): The state is aiming at increasing the share of manufacturing in its economy, improve agriculture productivity, and focus on improving skills and human resources. For this a total investment of 15 lakh-crore in key infrastructure projects is proposed, that will trigger and intensify economic growth.

Other states 
  • Tripura (2,250 crore) will place emphasis on strengthening trade, commerce, economic and cultural ties with Bangladesh during 12ht Plan to give necessary fillip to the economy. 
  • Sikkim (1,877 crore) aims to develop rural areas at par with towns and cities by providing basic and modern amenities, and sustainable employment opportunities in rural areas. 
  • Himachal Pradesh (3,700 crore) has given top priority to social services, transport and communication and energy. The state has targeted 9.5 per cent growth for the 12th Plan, against 8.1 per cent during the 11th Plan. 
  • Assam (10,500 crore) would strive for growth of around 9.38 per cent during the 12th Plan comprising 5.01 per cent under agriculture, 12.50 per cent under services, and 4.65 per cent under industry. 
  • Manipur (3,500 crore) has placed the main thrust on reducing infrastructural deficit and expanding and strengthening capacity of health, education, women and child welfare, nutrition and food security. 
  • Mizoram (2,300 crore) has introduced new power policy, revised industrial policy, and adopted new land use and management policy to give necessary impetus to the development strategy. 
  • Meghalaya (3,939 crore) has prioritised accelerated development of physical and social infrastructure and introduction of policies which will encourage private sector participation in infrastructure development for the 12th Plan.
Untitled Document
STATE PLAN OUTLAYS ( CRORE)
  2011-12 2012-13 % Increase
Gujarat 38,000 51,000 34.2
Andhra Pradesh 43,000 48,935 13.8
Maharashtra 42,000 45,000 7.1
Karnataka 38,070 42,030 10.4
Rajasthan 27,500 33,500 21.8
Madhya Pradesh 23,000 28,000 21.7
Tamil Nadu 23,535 28,000 19.0
Haryana 20,358 26,485 30.1
West Bengal 22,214 25,910 16.6
Chhattisgarh 16,710 23,480 40.5
Odisha 15,200 17,250 13.5
Kerala 12,010 14,010 16.7
Punjab 11,520 14,000 21.5
Assam 9,000 10,500 16.7
Meghalaya 2,727 3,939 44.4
Himachal Pradesh 3,300 3,700 12.1
Manipur 3,210 3,500 9.0
Mizoram 1,700 2,300 35.3
Tripura 1,950 2,250 15.4
Sikkim 1,400 1,877 34.1
Total 356,404 425,666 19.4
 
                 
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