Lok Sabha Question No. 4570 (UNSTARRED), answered on 2016-08-12
Subject: Per Capita Expenditure
Ministry: PLANNING
Asked by: NALIN KUMAR KATEEL

## GOVERNMENT OF INDIA MINISTRY OF PLANNING

## LOK SABHA UNSTARRED QUESTION NO. 4570 TO BE ANSWERED ON 12.08.2016

## PER CAPITA EXPENDITURE

## 4570.   SHRI NALIN KUMAR KATEEL:

Will the Minister of PLANNING be pleased to state:

- (a) whether Government has issued instructions to the State Governments in order to ensure maximum earnings from the available resources in the annual plans every year and if so, the details thereof;
- (b) whether the States have increased the plan amount through their resources during the last two years and if so, the details thereof including the percentage of increase therein;
- (c) the details of total per capita transfer of funds from the Centre to the States through devolution, plan grants and non-plan grants, State-wise;
- (d) whether per capita total expenditure for Karnataka is much lower than the national average; and
- (e) if so, whether the Government intends to increase the total Central Government expenditure for Karnataka, and if so, the details thereof?

## ANSWER

## MINISTER OF STATE (INDEPENDENT CHARGE) FOR MINISTRY OF PLANNING AND MINISTER OF STATE FOR MINISTRY OF URBAN DEVELOPMENT AND MINISTRY OF HOUSING & URBAN POVERTY ALLEVIATION (RAO INDERJIT SINGH)

- (a) & (b) The erstwhile Planning Commission in its interaction with States during the Annual Plan discussions used to encourage efficiency in the use of resources as well as maximizing earnings from their available resources for financing their Plan. The finalization of Annual Plan of States is not a mandate of NITI Aayog. However, Union Government has accepted the recommendation of Fourteenth Finance Commission to increase the devolution of sharable central taxes to States from 32 percent to 42 percent. This would ensure greater financial autonomy to the States as this would provide more untied funds in the form of devolution of Taxes. Also, as elected representatives of the State, the State Governments are equally responsible to make the most efficient use of their resources.
- (c) The details of total per capita transfer of funds from the Centre to the States for last two years (2014-15 and 201516) through devolution, Central Assistance to State Plan and Grants-in-aid, State-wise is at Statement -I .
- (d) The per capita total expenditure for Karnataka was Rs.18,558 & Rs.20,343 in financial year 2014-15 & 2015-16, respectively. There is about 9.6% increase in per capita expenditure in 2015-16 over 2014-15. The national average of per capita total expenditure was Rs.23,396 and Rs.28,619, respectively for the years 2014-15 and 2015-16.
- (e) Total  expenditure  of  a  State  depends  upon  several  factors  like  central  transfer  (also  called  as  central expenditure), State own resources, political environment of the States etc. Similarly, central transfer to a State depends upon the conditions like availability of Central resources, scheme guidelines, State's readiness to implement the scheme, utilization certificates of earlier releases etc. Further, the Central transfer to Karnataka State was about 21.4% more in 2015-16 than 2014-15. The details of the same are as follows -

Rs. Crore

| Items                                               | 2014-15   | 2015-16   |
|-----------------------------------------------------|-----------|-----------|
| Devolution of Central Taxes/ Share in Central Taxes | 15,097.88 | 23,983.34 |
| Grants-in-Aid                                       | 3,465.80  | 3,386.97  |
| Central Assistance to State Plans                   | 11,828.87 | 9,535.82  |
| Total                                               | 30,392.55 | 36,906.13 |

## Per Capita Transfer to States during 2014-15 and 2015-16

## In Rupees

| Sl. No.   | State             | Devolution   | Devolution   | Grant-in-aid (including National Disaster Relief Fund)   | Grant-in-aid (including National Disaster Relief Fund)   | Central Assistance to States (CASP)   | Central Assistance to States (CASP)   | Total Transfer   | Total Transfer   |
|-----------|-------------------|--------------|--------------|----------------------------------------------------------|----------------------------------------------------------|---------------------------------------|---------------------------------------|------------------|------------------|
| Sl. No.   | State             | 2014- 15 RE  | 2015-16 RE   | 2014-15 Actual                                           | 2015-16 Actual                                           | 2014- 15 Actual                       | 2015-16 Actual                        | 2014- 15 Actual  | 2015-16 Actual   |
| 1         | Andhra Pradesh    | 2,533        | 3,902        | 735                                                      | 1,525                                                    | 3,184                                 | 2,069                                 | 6,452            | 7,496            |
| 2         | Arunachal Pradesh | 7,054        | 42,578       | 5,682                                                    | 618                                                      | 26,474                                | 11,474                                | 39,210           | 54,671           |
| 3         | Assam             | 3,489        | 4,560        | 312                                                      | 800                                                      | 3,464                                 | 2,591                                 | 7,265            | 7,951            |
| 4         | Bihar             | 3,196        | 4,042        | 268                                                      | 238                                                      | 1,415                                 | 1,416                                 | 4,879            | 5,696            |
| 5         | Chhattisgarh      | 2,862        | 5,132        | 443                                                      | 487                                                      | 2,456                                 | 1,893                                 | 5,761            | 7,512            |
| 6         | Goa               | 5,600        | 11,439       | 1,578                                                    | 124                                                      | 2,544                                 | 1,627                                 | 9,723            | 13,190           |
| 7         | Gujarat           | 1,474        | 2,163        | 308                                                      | 285                                                      | 1,185                                 | 967                                   | 2,967            | 3,415            |
| 8         | Haryana           | 1,243        | 1,840        | 369                                                      | 237                                                      | 1,163                                 | 928                                   | 2,775            | 3,005            |
| 9         | Himachal Pradesh  | 3,250        | 4,268        | 1,401                                                    | 10,068                                                   | 7,272                                 | 3,278                                 | 11,923           | 17,614           |
| 10        | Jammu& Kashmir    | 2,931        | 4,914        | 1,785                                                    | 6,597                                                    | 8,165                                 | 3,548                                 | 12,881           | 15,060           |
| 11        | Jharkhand         | 2,554        | 4,146        | 424                                                      | 284                                                      | 1,508                                 | 1,529                                 | 4,487            | 5,959            |
| 12        | Karnataka         | 2,178        | 3,424        | 500                                                      | 484                                                      | 1,707                                 | 1,361                                 | 4,385            | 5,268            |
| 13        | Kerala            | 2,161        | 3,349        | 448                                                      | 1,365                                                    | 1,642                                 | 1,120                                 | 4,251            | 5,833            |
| 14        | Madhya Pradesh    | 2,897        | 4,443        | 295                                                      | 420                                                      | 1,887                                 | 1,796                                 | 5,079            | 6,659            |
| 15        | Maharashtra       | 1,357        | 2,071        | 523                                                      | 407                                                      | 1,016                                 | 873                                   | 2,896            | 3,351            |
| 16        | Manipur           | 4,570        | 9,212        | 5,308                                                    | 6,344                                                    | 11,046                                | 6,210                                 | 20,923           | 21,766           |
| 17        | Meghalaya         | 3,968        | 9,028        | 2,183                                                    | 1,762                                                    | 8,558                                 | 4,969                                 | 14,709           | 15,758           |
| 18        | Mizoram           | 7,293        | 18,821       | 8,200                                                    | 17,360                                                   | 22,323                                | 10,831                                | 37,816           | 47,012           |
| 19        | Nagaland          | 4,669        | 10,733       | 8,625                                                    | 13,633                                                   | 15,695                                | 5,924                                 | 28,989           | 30,290           |
| 20        | Odisha            | 3,396        | 4,745        | 346                                                      | 453                                                      | 2,342                                 | 2,294                                 | 6,084            | 7,493            |
| 21        | Punjab            | 1,508        | 2,471        | 580                                                      | 231                                                      | 1,371                                 | 993                                   | 3,459            | 3,694            |
| 22        | Rajasthan         | 2,564        | 3,461        | 494                                                      | 510                                                      | 1,983                                 | 1,835                                 | 5,041            | 5,806            |
| 23        | Sikkim            | 11,535       | 25,571       | 7,130                                                    | 634                                                      | 26,400                                | 11,117                                | 45,065           | 37,322           |
| 24        | Tamil Nadu        | 2,066        | 2,409        | 448                                                      | 400                                                      | 1,666                                 | 1,764                                 | 4,179            | 4,574            |
| 25        | Telangana         | 2,498        | 3,029        | 527                                                      | 379                                                      | 1,194                                 | 1,828                                 | 4,219            | 5,237            |
| 26        | Tripura           | 4,306        | 7,922        | 2,402                                                    | 2,849                                                    | 12,048                                | 7,888                                 | 18,757           | 18,660           |
| 27        | Uttar Pradesh     | 2,885        | 3,826        | 272                                                      | 343                                                      | 1,099                                 | 1,023                                 | 4,257            | 5,192            |
| 28        | Uttarakhand       | 3,251        | 4,381        | 748                                                      | 406                                                      | 5,064                                 | 3,504                                 | 9,063            | 8,291            |
| 29        | West Bengal       | 2,756        | 4,008        | 275                                                      | 1,116                                                    | 2,067                                 | 1,803                                 | 5,098            | 6,928            |

Source: (i) Devolution 2014-15 & 2015-16 -  RE from Union Receipt Budget 2016-17, (ii) Grants in Aid 2014-15 & 2015-16 Ministry of Finance Plan Finance-I releases website and (iii) CASP 2014-15 & 2015-16 - Public Financial Management System (PFMS), Ministry of Finance (iv) Population- Central Statistical Office, Ministry of Statistics & Programme Implementation & Population Projections for India and States 2001-2026, Registrar General of India, Ministry of Home Affairs.