BHUBANESWAR: Inability of different department to spend the Plan funds fully has emerged as a serious challenge for the State Government. Even though increase in Plan outlays is being announced every year, the expenditure has not gone up. Sources said revised Plan outlay for 2011-12 is likely to be less by around ` 1,100 crore as spending by several departments has been very low. The issue was discussed at the all secretaries’ meeting, presided over by Chief Secretary Bijay Kumar Patnaik, here on Friday. The Plan outlay was pegged at Rs 13,000 crore in 2011-12. But by December, 2011, the expenditure was only 52 per cent. Huge amounts will remain unspent in Water Resources, Works, Energy, and Housing and Urban Development departments. Surprisingly, even as the departments were unable to spend the allocated funds, the State Government provided additional Rs 1,480 crore in the supplementary budget. Several reasons have been put forward for the low expenditure. These include non-implementation of schemes, non-approval of projects and delay in approval of action plan. Even though the State Government is increasing the outlays of different departments every year, no step has been taken to ensure timely expenditure. The Water Resources Department has spent less than Rs 1,000 crore during last three years. The Water Resources is one of the departments who are allocated highest funds in every Budget. Works Department will also surrender around Rs 300 crore by end of the financial year.
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