Why SOPD (State-Owned Priority Development) funds not utilized?

STAFF REPORTER

GUWAHATI: With March 31 approaching, the spending of development funds by various departments of the State government is much below par. Barring three departments, spending of development funds by the other departments ranges from 5-32 per cent of their total budgetary allocations. This is the plight of the SOPD (State-Owned Priority Development) funds that come from the State’s own resources.

The inability on the part of any department to spend its allocated share of SOPD fund has a direct bearing on the underdevelopment of the State. But when viewed from a close range, it is clear that there are many departments that have been able to spend only 1-5 per cent of their respective allocated SOPD funds. It remains to be seen as to how these departments would be able to spend the remaining funds before the end of current fiscal on March 31.

The three departments that have spent sizeable amounts of their share of the SOPD funds are: PWD (74 per cent), Education (54 per cent) and Health and Family Welfare (32 per cent).

Among the non-performing departments, while the Department of Excise has spent 2 per cent, the Environment and Forest department, the HAD (Hill Area Development) and the Department of Cooperation have spent 3 per cent each, the Department of Cultural Affairs has spent 4 per cent; Department of Labour 6 per cent; GDD (Guwahati Development Department) 9 per cent; Department of Commerce and Industries 18 per cent; and the PHE Department has spent 20 per cent.

What may lead to such an unbelievable situation in the spending of SOPD funds in the State? Official sources say that most of the departments don’t submit project proposals on time, and sometimes they do not submit the proposals in the proper manner. There are also allegations that the Finance Department raise unnecessary queries and objections leading to delays in clearing files. In such a situation, it takes a month or more for a department to provide satisfactory replies; and that leads to the poor expenditure of the SOPD funds. With 100 per cent expenditure of the allocated funds never happening, the government deems even 80 per cent fund utilization as a great success.

The moot question: How will the remaining SOPD funds be spent by the various departments within March 31?

Recently, Union Finance Minister Nirmala Sitharaman had appealed to the States not to wait for the March-end for spending of development funds. The March-end spending of funds hardly serves the purpose.

The inflow of the estimated consolidated funds of the 2019-20 Budget of the State from its own resources is around Rs 26,000 crore, an amount that even falls short to meet the salaries, pensions and wages of the State government employees that need around Rs 28,000 crore annually. The estimated fund flow to the State is from the following sources: 35 per cent Central share amounting to around Rs 34,000 crore, 19 per cent from the Centrally-sponsored schemes amounting to around Rs 18,000 crore and 15 per cent from public debt amounting to around Rs 14,000 crore.

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