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dam-l LS: Irrigation Projects Pending from 2nd Plan
Source: Times of India, March 10, 2000
A few projects pending from second Plan!
The Times of India News Service
NEW DELHI: Believe it or not, certain irrigation projects in
the country are pending from the second Five-Year Plan -
we're now into the ninth Plan.
At a meeting in the Planning Commission on Wednesday, to
review NABARD's rural infrastructure development fund
(RIDF), deputy chairman K C Pant said special efforts
needed to be made by state governments to complete such
projects or bring them at least up to the fifth Plan. The
number of such projects was not made clear.
Pant recommended a "mindset'' change, with the
concentration on "physical performance rather than only on
financial achievement''.
The focus will now shift to irrigation projects since the other
major contender for attention - rural roads - is getting Rs
2,500 crore in the 2000-2001 budget.
The point on pending projects wasn't the only eye-opener.
Out of about Rs 13,500 crore, NABARD has sanctioned
projects worth Rs 13,316 crore, to be phased over two or
three years. Till March 3, however, less than half of this had
been disbursed. Even the most optimistic assessment of
likely disbursement by the end of this month doesn't
cross Rs 6,000 crore.
The Commission's main concern at Wednesday's meeting,
which was attended by representatives of various states and
the rural development secretary, was to try and spread the
message that time and cost over-runs shouldn't negate the
entire purpose of the fund.
For instance, one reason funds aren't disbursed is because
projects aren't ready. Pant, therefore, suggested that "a
shelf of projects'', prioritised by a state government, be
kept ready for each sector. As and when money is
available, projects can be sanctioned without delay. The
Commission will help state governments prepare "viable''
projects.
While it was agreed that environment mitigation costs will
be included in the projects sent to NABARD, sources
indicate a suggestion from Madhya Pradesh to increase a
project's administrative costs component from five per cent
to 18 was shot down without much ado.
The state governments, goes the official position, were
urged that irrigation water rates should be fixed at a level
which cover overhead and maintenance costs.
To reduce the time-lag between money spent and its
reimbursement, drawal claims may be given by state
governments every fortnight instead of on a quarterly basis.
it might help the states to use up more funds.