Lok Sabha Question No. 1531 (UNSTARRED), answered on 2016-03-04
Subject: Release of Funds under 12th Five Year Plan
Ministry: FINANCE
Asked by: RANJEET RANJAN, RAJESH RANJAN  (PAPPU  YADAV), KAUSHALENDRA KUMAR

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF EXPENDITURE

## LOK SABHA UNSTARRED QUESTION NO. 1531

Friday, March 4, 2016/Phalguna 14, 1937 (Saka) 'Release of Funds under 12 th  Five Year Plan'

1531. SMT. RANJIT RANJAN SHRI RAJESH RANJAN SHRI KAUSHLENDRA KUMAR:

Will the Minister of FINANCE be pleased to state:

- (a) whether the Government has not paid the amount due to Bihar for the 10th, 11th and 12th Five Year Plans;
- (b) if so, the details thereof along with the amount due to Bihar for the said three plan periods/scheme-wise, amount-wise;
- (c) whether the State Government is facing difficulty in executing its development work as a result of delay in the payment of said dues; and
- (d) if so, the details thereof and the time by which the said amount is proposed to be paid to the Government of Bihar?

## ANSWER

## MINISTER OF STATE IN MINISTRY OF FINANCE (SHRI JAYANT SINHA)

(a) to (d) Till 2014-15, the Planning Commission (now NITI Aayog) was  entrusted with preparation of Annual Plan size of States. The Annual Plans of the States were finalized making  assessment  of  inter-state  and  inter-sectoral  Plan  priorities, including special needs, within the overall availability of  resources at the Central and  State  level.  Details  of  year-wise  approved  Annual  Plan  outlay  and  actual expenditure from 2002-03 to 2014-15 is given as below:

| Year-wise approved outlay and actual expenditure during 2002-03 to 2014-15.   | Year-wise approved outlay and actual expenditure during 2002-03 to 2014-15.   | Year-wise approved outlay and actual expenditure during 2002-03 to 2014-15.   | Year-wise approved outlay and actual expenditure during 2002-03 to 2014-15.   |
|-------------------------------------------------------------------------------|-------------------------------------------------------------------------------|-------------------------------------------------------------------------------|-------------------------------------------------------------------------------|
| Sl. No.                                                                       | Year                                                                          | Approved Plan Outlay                                                          | Actual Expenditure                                                            |
| 1                                                                             | 2002-03                                                                       | 2964.40                                                                       | 2206.61                                                                       |
| 2                                                                             | 2003-04                                                                       | 3320                                                                          | 2627.03                                                                       |
| 3                                                                             | 2004-05                                                                       | 4000                                                                          | 3196.47                                                                       |
| 4                                                                             | 2005-06                                                                       | 5330                                                                          | 4465.50                                                                       |
| 5                                                                             | 2006-07                                                                       | 8250                                                                          | 8549.70                                                                       |
| 6                                                                             | 2007-08                                                                       | 10200                                                                         | 9652.30                                                                       |
| 7                                                                             | 2008-09                                                                       | 13000                                                                         | 12510.77                                                                      |
| 8                                                                             | 2009-10                                                                       | 16000                                                                         | 14183.51                                                                      |
| 9                                                                             | 2010-11                                                                       | 20000                                                                         | 18717.58                                                                      |
| 10                                                                            | 2011-12                                                                       | 24000                                                                         | 21018.55                                                                      |
| 11                                                                            | 2012-13                                                                       | 28000                                                                         | 26351.19                                                                      |
| 12                                                                            | 2013-14                                                                       | 34000                                                                         | 29851@                                                                        |
| 13                                                                            | 2014-15                                                                       | 55099                                                                         | Not available                                                                 |

Source: NITI Aayog  @ Anticipated

No  payment  from  Central  Government  is  due  for  Bihar  State  for  previous years  as  release  of  Central  Assistance  to  States  is  made  based  on  compliance  of scheme specific guidelines by the States, submission of Utilization Certificates for funds released as per General Financial Rules (GFR) and the balance that remain unutilized is adjusted towards the Grant-in-aid payable during the next year.

Consequent  to  the  recommendations  of  14 th   Finance  Commission  (FFC), share of States in the net proceeds of union taxes has been significantly enhanced from  32%  to  42%.  The  total  tax  devolution  to  Bihar  State  for  the  period  2015-20 estimated by the 14th Finance Commission (FFC) is at Rs. 381592.27 crore against the estimated tax devolution of Rs. 158341.22 crore by 13th FC (2010-11 to 201415).  This  shows  an  increase  of  141%  increase  in  tax  devolution.  The  higher  tax devolution  will  allow  the  State  greater  autonomy  in  financing  and  designing  of schemes  as  per  their  contextual  need  and  priority  of  the  State.  Further,  during 2015-16, Central Government has made a provision of Rs. 1887.53 crore for Special Plan for Bihar in Demand no. 37 of Department of Expenditure against which an amount of Rs. 1766 crore has already been released so far.

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