Money from markets to be distributed equitably

Taking serious cognisance of minister for water resources, Girish Mahajan’s repeated statements that his department will take loans to complete irrigation projects, Maharashtra governor, C.

Update: 2016-03-17 20:14 GMT

Taking serious cognisance of minister for water resources, Girish Mahajan’s repeated statements that his department will take loans to complete irrigation projects, Maharashtra governor, C. Vidyasagar Rao, has specifically instructed that the money that will be raised from market borrowing outside the budget will be distributed equitably among development boards as per his directives.

Both Mr Mahajan and chief minister Devendra Fadnavis on Thursday said in the Assembly that the government would borrow funds from the open market to complete last mile irrigation projects. The governor, in his directive, said that the fund will be distributed among regions in the same proportions as specified by him.

The governor directed that the committee presided by additional chief secretary (planning) will finalise project-wise allocations. “While making allocations, the committee will ensure priority to projects nearing completion so that their benefits reach farmers in the immediate future,” directed the governor.

Mr Rao also expressed concern that despite constant follow-up, issues of governance like land acquisition and rehabilitation and filling up of vacancies had still not been resolved in a satisfactory manner. This had impacted absorption of funds made available to the four backlog districts including Amravati, Akola, Washim and Buldhana. He directed that adequate funds be provided for these purposes.

According to Raj Bhavan’s report, the state would require Rs 74,008 crore for completion of ongoing works in Vidarbha, Marathwada and the rest of Maharashtra as on April 1, 2015. However, Mr Mahajan said that the state would require Rs 90,000 crore to complete ongoing projects.

Considering huge balance costs of the ongoing projects and also in view of the danger of spreading resources thin, Mr Rao said that his directive — that work on any new project would not be started till the state is able to allot adequate additional resources.

Slamming the public health department for failure to spend allocated funds in backward regions, Mr Rao directed that a detailed action plan be prepared, ensuring that allocation be absorbed to remove the backlog. He also directed that the plan of action be submitted within two months of his approval.

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