KARACHI, June 16: Sindh has set total development outlay for 2004-05 at Rs20.805 billion, which is about 66 per cent higher over the current year's estimates of Rs12.757 billion.
Similarly, an ambitious Annual Development Plan (ADP) of Rs18 billion, which has been increased by around 100 per cent over the current year's revised estimates of Rs9.633 billion has been included in the deficit budget for fiscal 2004-05.
The Sindh Finance Minister Syed Sardar Ahmad who presented a revenue deficit budget for fiscal 2004-05 in the Sindh Assembly here on Wednesday, said that total development outlay will include Rs18 billion ADP, Rs2.410 billion foreign project assistance and Rs395.537 million drought emergency relief assistance (DERA).
The province would almost meet the ADP funding from its own resources, which would include Rs12.319 billion from provincial government and Rs5.658 billion from districts and a nominal Rs22.500 million from Japanese grant.
As usual the allocated development outlay of Rs14.7 billion the utilization would be little over Rs12.7 billion. Similarly, out of a total outlay of Rs11 billion for the ADP, the province will hardly be in a position to utilize Rs9.6 billion by the close of the fiscal year on June 30, 2004.
Further, the limited capacity of the executing agencies and the poor law and order situation prevailing in the province are the the other factors for under utilization of development funds.
The bickering amongst the coalition partners in the affairs of the province is also being stated to be another factor which did not allow smooth and speedy utilization of funds.
Giving details of development plans the Sindh Finance Minister said that improvement of road infrastructure has been given highest allocation. An amount of Rs2.20 billion has been allocated for this section.
This includes an amount of Rs1 billion as rupee component for three donor assisted projects while Rs1.2 billion has been earmarked for other schemes. In all, he said, 173 schemes have been proposed in next year ADP which includes 104 ongoing schemes and 69 new schemes.
Syed Sardar Ahmad further said that the year 2004-05 would be a year of commencement of physical work on Asian Development Bank assisted Road Sector Development Project at an estimated cost of Rs14.41 billion. The provincial government has made a provision of Rs972.600 million in 04-05 ADP as share of government of Sindh to kickstart the project.
In ADP 2004-05, the minister said an amount of Rs672 million had been earmarked for 18 ongoing and 34 new schemes in the irrigation sector. About 23 schemes, out of 52, are expected to be completed in 2004-05. This will improve irrigation supplies and drainage coverage to cultivable land affected by high water table and salinity.
He further said that Rs45 million has also been provided for village electrification in which, villages situated within one km distance from existing 11kv transmission lines, having population of 200 and above, will be electrified.
The minister said that revamping and rehabilitation of Irrigation Drainage System at a cost of Rs12.963 billion is being executed with the assistance of federal government to improve the operational efficiency and safety of canal system, ensuring water availability at tail of channels and providing adequate drainage coverage in the project area.
Syed Sardar Ahmed said that the project costing Rs14 billion is under execution with the assistance of federal government. The project aims at carrying saline effluent of 2271 cusecs of RBOD Stage-I, in an environmentally safe manner from Karampur Sehwan to the sea at Gharo creek. The federal government has released Rs1605 million so far and Rs1,000 million is provided in PSDP 2004-05.
Realizing the importance of agriculture the allocation for next ADP 2004-05 is kept at Rs372 million, which is 33 per cent higher than the allocation of 2003-04. The ADP for next year has allocated Rs2,231 million for education, which is 34 per cent higher over current year ADP of Rs1,664 million.
This effort will be supplemented by an additional amount of Rs500 million through donors assistance, he added. On the health sector, he said the provincial government would provide Rs1,012 million for 142 schemes, which is 51 per cent higher than the ADP allocation of current fiscal.
The provincial government, he said, had decided to implement much delayed Karachi Mass Transit Plan, and to kickstart the project an amount of Rs60 million has been allocated in ADP.
The President and the Prime Minister, he said, had announced Special Development Packages for Karachi and Hyderabad, a huge investment in this respect was expected to come from federal government and other federal agencies. The provincial government, he said, had allocated an amount of Rs1 billion for Karachi and Rs1 billion for Hyderabad to supplement the efforts of federal government.
The minister said that the Sindh government with the assistance of Asian Development Bank would provide a grant of approximately Rs5.742 billion in next three years (Rs1.9 billion each year) to local governments for improving education, health, access to drinking water and sanitation and thus help reduce poverty and gender imbalances. In the next year, Rs1.9 billion has been earmarked for this purpose, he added.
