Prime Minister Manmohan Singh described the loss of Rs 7000 crore in Central funds incurred by Jharkhand because of delay in holding Panchayat elections in the state as ‘unfortunate’.
Addressing a function organised by the Steel Authority of India Limited (SAIL) in Bokaro, Singh said the state had incurred the loss due to pending cases.
A batch of cases pending in the Supreme Court against a reservation clause in the Panchayat Act. The prime minister, however, said that the Centre was committed to ensuring development of Jharkhand.
He asked the state government to step up literacy programmes and those under the the National Rural Employment Guarantee Act.
“The Centre has provided food security in the rural areas through the NREGA. Rs 1000 crore has been given to the state.
About 14 lakh families have benefited in the last two years under the scheme,” the prime minister said. Stating that the NREGA was the brainchild of UPA chairperson Sonia Gandhi, the Prime Minister said the scheme has done justice to former prime minister late Indira Gandhi’s slogan — ‘garibi hato’ (remove poverty).
Laying the foundation stone for the modernisation of SAIL in Bokaro, Singh said the Centre had already approved road, electricity and educational schemes for Jharkhand.
“The Rajendra Institute of Medical Sciences in Ranchi would be modernised on the lines of the AIIMS and Rs 120 crore has already been earmarked for it,” he said.
The Prime Minister said that the steel industry has to make further progress to fulfil the demand of the country and has a long way to go since the consumption level in India is very low compared to that in other nations.
“Steel industry has made progress, but it has to make further progress to fulfil the country’s demand,” said the PM while laying the foundation stone for modernisation and expansion of the Bokaro Steel Plant in Bokaro.
He said although the Indian steel industry is decades old, it is still emerging and there is lot of scope for modernisation of the industry.
The Prime Minister, however, did not talk about rising prices of steel. Earlier in the day Finance Minister P Chidambaram had charged the industry with ‘cartel-like’ behaviour in Parliament.
Turning to Jharkhand’s progress, Singh said an amount of Rs 40,240 crore had been allotted for the state during the 11th Five Year Plan. This amount is three times more than the allocation in the previous Plan.
Singh said the UPA government took steps for the backward states and Rs 700 crore was sanctioned for Jharkhand. Unfortunately, the state could not avail of the funds due to litigations.
The Prime Minister expressed hope that the case would be resolved soon and the state would get its due share. Singh announced that a new central university and an IIM would be set up in Jharkhand. Besides, Rs 120 crore would be spent for upgrading the Rajendra Prasad Chikitsa Vigyan Sansthan on par with AIIMS.
He said the UPA government had given attention to empowering STs and for those who live in forests and formulated an Act to safeguard their interests and urged all chief ministers to implement the Forest Act.