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As govt harps on resource mobilisation,Badal wants ministers to get house in order

With the Punjab government looking at resource mobilisation as a way of easing its cash crunch,Chief Minister Parkash Singh Badal on Monday urged his cabinet colleagues to curtail unnecessary expenditure before they speak to others about the benefits of resource mobilisation.

Written by Harpreet Bajwa | Chandigarh | April 24, 2012 12:18:01 am

With the Punjab government looking at resource mobilisation as a way of easing its cash crunch,Chief Minister Parkash Singh Badal on Monday urged his cabinet colleagues to curtail unnecessary expenditure before they speak to others about the benefits of resource mobilisation.

Badal particularly singled out the issue of official cars. He reportedly told his ministers that they should only use the official car allotted to them (Toyota Camry) and not summon vehicles from their respective departments. The past practice has been for ministers and their kin to use departmental vehicles,besides the official car.

The chief minister was speaking at an unofficial cabinet discussion on resource mobilisation. While he said that the departments have been asked to send in their proposals on resource mobilisation,the chief minister stressed on the need for frugality within the cabinet.

Sources said that in the last cabinet meeting,state finance minister Parminder Singh Dhindsa had mooted the idea of setting up a cabinet subcommittee on resource mobilisation. The proposal is yet to receive approval as the cabinet is reportedly waiting for the departments to send their proposals on the issue,before a final decision is taken.

Sources said that the state government is hoping to generate a revenue of Rs 6,000 crore this financial year. Of this,the government has set its sights on raising Rs 3,000 crore through resource mobilisation and rest through increased revenue. To achieve the target of Rs 3,000 crore the government expects to get Rs 1,500 crore by imposing CLU charges on all the government agencies like the Greater Mohali Area Development Authority (GMADA),Greater Ludhiana Area Development Authority (GLADA),Amritsar Development Authority,Jalandhar Development Authority and other government bodies that acquire land,develop them and then sell them in market.

“They are thus like private builders who buy land develop it and sell them to the people,if private builders are charged CLU why not government agencies. So it has been decided at the chief secretary level to charge them CLU and this could be cleared in the next cabinet meeting,’’ said an officer.

Sources said that in the recent meeting of the empowered committee of state finance ministers,it was deliberated upon that five per cent tax should be levied on the sugar and textile industry in all the states in the country. The Punjab Finance Minister Parminder Singh Dhindsa,who also attended the meeting,reportedly agreed to this point. Thus,now if the state government moots this proposal another Rs 500 crore can be generated.

An officer said: “As it has been projected by the departments besides Rs 3,000 crore to be generated through resource mobilisation,the other Rs 3,000 crore increase in revenue is expected as the stamp duty,excise duty and other revenue collections will go up this year”.

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