The Punjab authorities has put forth a number of calls for for the upcoming Union Price range, which will probably be offered on February 1. The wishlist features a particular price range for crop diversification, an extra 0.5 p.c borrowing allowance for energy sector reforms, an annual incentive of Rs 2,000 crore for farmers who don’t burn paddy stubble, and reimbursement for the Rural Improvement Fund (RDF).
Within the wishlist submitted to Union Finance Minister Nirmala Sitharaman by Punjab Finance Minister Harpal Singh Cheema, it’s acknowledged that if Punjab can obtain diversification from paddy to various crops on 10 lakh hectares, it might result in a discount of roughly 60 to 70 lakh metric tonnes of rice yearly. This shift might lead to substantial financial savings of over Rs 30,000 crore. Diversification might save the Centre roughly Rs 28,000 crore yearly by lowering rice procurement prices by Rs 40 per kg, Rs 1,300 crore in fertiliser subsidies, and Rs 1,500 crore yearly for the state in energy subsidies.
“If even 20 per cent of those financial savings had been allotted in the direction of a complete diversification package deal, it will seemingly yield extremely profitable outcomes. In mild of this, the Authorities of India is requested to allocate a particular price range for paddy diversification, which will be matched by the Authorities of Punjab utilizing the financial savings accrued from diversification,” Cheema mentioned.
Incentive for farmers for not setting paddy stubble ablaze
The federal government has additionally sought Rs 2,000 per acre for crop residue administration (CRM). The state has demanded that Rs 2,000 per acre ought to be given by the Centre whereas Rs 500 per acre can be paid by the state. “The whole price of this initiative is estimated at Rs 2,000 crore, the Authorities of India is requested to offer Rs 1,600 crore as budgetary help, whereas the remaining Rs 400 crore will probably be borne by the state,” the wishlist acknowledged. Burning paddy stubble is a big problem in Punjab, contributing to air pollution in Delhi.
Further borrowing
The federal government has additionally sought 0.5 per cent further mortgage towards energy sector reforms on the premise of the fifteenth Finance Fee’s suggestions. Cheema has given the best precedence to the facility sector within the expectations that Punjab has from the Centre within the price range. He mentioned he had additionally written a letter to Sitharaman n December 24 for reforms within the energy sector, during which he had mentioned that the standards for extra mortgage ought to be modified.
The wishlist mentioned that the state is eligible for receiving the extra borrowing of 0.5 per cent for energy sector reforms for the whole four-year interval i.e. monetary yr 2021-22 to 2024-25. “But it surely is dropped at your type consideration that the Ministry of Finance in its letter dated 09.06.2021 has acknowledged that States will be unable to hold ahead the extra borrowing to the next monetary years,” Cheema wrote.
Reimbursement of Rural Improvement Fund
The federal government has additionally sought reimbursement of pending Rural Improvement Fund (RDF), a levy on procurement of grains by the state for the Centre. The Centre has been withholding Rs 8,000 crore in the direction of RDF that it has not paid for final three years.
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“The provisional price sheet doesn’t account for any provision of the RDF. Over the previous years, Punjab has repeatedly requested the Union authorities to incorporate a 3 per cent allocation for RDF within the provisional price sheets and to launch the pending quantity of Rs 6,857 crore. The withholding of RDF has considerably affected Punjab’s rural improvement infrastructure, which includes 64,878 kilometers of rural hyperlink roads and important market amenities,” the wishlist mentioned.
Grant for police
The state has sought a grant of Rs 1,000 crore for upgrading police infrastructure in border districts, together with high-end automobiles and safe police buildings; for developing new police stations and for set up of digital surveillance, comparable to CCTV cameras at border hotspots; for constructing 30 new police stations, six police strains, residential housing for personnel, and hostels to enhance working and residing circumstances and improve policing effectivity.
Industrial incentives to help MSMEs of Punjab
Punjab must be supplied with comparable industrial incentives to Jammu and Kashmir and neighbouring states because of its challenges associated to proximity to Pakistan and its border and sub-mountainous areas, Cheema acknowledged. The industrialisation in six districts of Punjab, together with Amritsar, Ferozepur, Gurdaspur, Pathankot, Fazilka and Tarn Taran, will facilitate not solely financial improvement but additionally assist mitigate mind drain and churn employment alternatives for the native communities, the wishlist acknowledged.
Restoration of NABARD’s ST-SAO Restrict to Rs 3,041 crore
Nationwide Financial institution for Agriculture and Rural Improvement (NABARD) has considerably lowered the restrict for short-term seasonal agricultural operations (ST-SAO) from Rs 3,041 crore in FY 2023-24 to Rs1,100 crore for FY 2024-25. Cheema urged the Union authorities to revive the restrict to Rs 3,041 crore to stop farmers from resorting to moneylenders, consistent with the precept of “Sahakar se Samriddhi”.
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Vande Bharat trains for Punjab
The state not too long ago secured a Vande Bharat Specific prepare connection between Delhi and Amritsar. Now, it’s requesting an extra Vande Bharat prepare to attach Bathinda, which is the agricultural and business hub of Punjab, with Delhi. This new service would offer seamless connectivity for the Malwa area of Punjab.
E-bus companies
The federal government has requested a one-time monetary help of Rs 300 crore for state transport undertakings to acquire 250 new electrical buses within the fiscal yr 2025-26. This funding will probably be used for buying the e-buses and putting in charging factors, guaranteeing the brand new environmentally pleasant public transportation fleet operates seamlessly.
IMC in Rajpura
Punjab has requested Rs 100 crore underneath the PM Gati Shakti Nationwide Grasp Plan to assemble a 5.6-km-long and 45-metre extensive method street connecting NH 44 to the Built-in Manufacturing Cluster (IMC) in Rajpura. This funding is important for the well timed development of the street and the profitable implementation of the commercial cluster, the wishlist acknowledged.
