Himanta Biswa Sarma Warns Closure of Funds, Foreclosure of Schemes

Staff Reporter

GUWAHATI: State Finance Minister Himanta Biswa Sarma had a bit of straight talk on the floor of the State Assembly on pending fund utilization certificates on Wednesday. He said that the funds of the BTC, local bodies and Social Welfare department will be closed if they failed to their submit fund utilization certificates of the year 2016-17 by September 15 this year. Likewise, the schemes under the MLA Local Area Development (MLALAD) funds and untied funds will be foreclosed (rule out or prevent a course of action) if the utilization certificates for the year 2016-17 are not submitted by September 15 this year, he said.

The Finance Minister said this on Wednesday while the Assam Appropriation (Bill No III), 2019 was under consideration in the House. Himanta Biswa Sarma said: “We’re trying to bring the number of pending utilization certificates (UCs) to zero. If we can make this happen, it will be a standard in itself in the country. No State in the country has ever achieved zero utilization certificates. In fiscal 2015-16 the number of pending utilization certificates was 8,551. After we came to power in 2016-17, we brought it down to 1,600. It further came down to 819 in June 2019 when the AG prepared its report. Submission of utilization certificates is still going on. As of now, 558 utilization certificates of 2016-17 are still pending. After a thorough examination, it came to light that economic affairs in the Finance Department has 58 pending utilization certificates for funds meant for local bodies, 67 of the BTC, 98 of untied funds including MLALAD funds, 116 of the Social Welfare Department, 20 of Urban Development Department etc.”

Himanta Biswa Sarma further said: “Now I’m going to take a tough stand. We’ve already set the August 30 deadline for deputy commissioners on schemes under MLALAD funds and untied funds. We’ll wait till September 15, and if UCs don’t come by then we’ll have to take the tough stand of foreclosing the schemes. Likewise, the funds meant for the BTC, Social Welfare Department, local bodies and Urban Development Department will be closed. We’ll release funds only after the submission of utilization certificates.”

Sarma further said: “We’re going to bring down expenditure exceeding the budgeted amount drastically. During fiscal 2015-16, the excess expenditure was Rs 3,801 crore. In 2016-17 we brought it down to Rs 1,348 crore, and it was Rs 168 crore in 2018-19. This has been reflected in the report of the AG. Even capital expenditure in the State has increased, it has drawn accolade from the AG. In 2018-19 we could spend 65 per cent of the Budget allocation, and in 2019-20 we want to raise it up to 75 per cent. No State in the country could spend 100 per cent budget allocation. Tamil Nadu could spend 80-82 per cent.”

The minister informed the House that the gross state domestic product (GSDP) of the State has gone up.

Also Read: Japanese Encephalitis May Turn Epidemic: Himanta Biswa Sarma