Badal woes persist: empty coffers and promises to keep

The Parkash Singh Badal Government came to power in the state in February riding on a slew of populist promises...

The Parkash Singh Badal Government came to power in the state in February riding on a slew of populist promises, all of which were to cost the exchequer heavily. Now the near-empty coffers have dealt a severe blow to the grandiose plans of the Shiromani Akali Dal-BJP Government.

While the SAD claims that the previous Congress Government left nothing in the kitty for it to carry out development activities or even pay salaries, the Congress leadership denies the charge. Former Chief Minister Amarinder Singh asserts that while he had inherited empty coffers when he replaced Badal as Chief Minister in 2002, he made sure that his successor did not face the same problem. Though nobody knows who’s saying the truth, the fact is that within months of assuming power, the Badal Government had to admit that it was facing a severe crunch.

Experts blame it on a slew of freebies announced by the Badal government for both the urban and the rural populace. While immediately after coming to power, it announced a plan to start distributing free wheat and pulses among the poor, later his government also decided to subsidise power.

With the Government owing over Rs 2,700 crore to the Punjab State Electricity Board (PSEB), it remains to be seen when and, more importantly, from where it comes up with the money to pay to the PSEB. By an indication, revenue from majority of the sectors, including stamp duty, has fallen. In the first two quarters, the revenue from stamp duty dipped by 32 per cent and 22 per cent respectively. Finance Minister Manpreet Badal is already at loggerheads with his own government on the issue of subsidies. A Congress MLA had sometime back remarked that Manpreet’s condition was akin to a boxer told to fight a bout with hands tied.

The Opposition Congress has been demanding that the Finance Minister clarify his stand on subsidies and other issues. Fiscal troubles apart, the government is also facing problems from an increasingly belligerent Congress leadership that is missing no chance to take pot-shots at the government. The Congress sees in Badal Government’s problems a chance to become a potent force again. Incidentally, there have also been rumours about the Chief Minister’s son and SAD working president Sukhbir Singh Badal and Amarinder meeting in Dubai to work out a deal. However, both sides have denied the reports.