PANJIM: Chief Minister hinted at government considering hike in electricity tariff for industrial consumers from the forthcoming financial year – 2015-16 to tide over the financial crisis, but domestic consumers are likely to be spared. The government has recently hiked VAT on petrol, which led to escalation of fuel price by Rs 3.
After issuing directives for austerity measures and rationalization of expenditure, Chief Minister Laxmikant Parsekar on Saturday said that the financial situation of the State is much better compared to financial year 2013-14.
Speaking to media Saturday morning, Parsekar said that the financial situation of the State was stable and in last two months, the balance fund after distribution to all departments is over Rs 85 crore.
“We didn’t even go for borrowings in the last two months,” the chief minister said. The revenue collection is much better this time, compared to the last financial year. “We collected Rs 212 crore for December, compared to Rs 190 crore collected in December 2013,” he said.
When questioned about the Finance Department’s latest circular issued to curtail expenses, Parsekar, who is finance minister said, that the circular was issued to ensure that the departments don’t opt for exorbitant and unwanted expenditure to exhaust the budget allocated to them by the end of the current financial year – March 31, 2015.
“We have realized that just to exhaust the budget, the departments start buying additional infrastructure and spend the money,” he said.
Finance Secretary P Krishnamurthy earlier this month issued directives to all departments to cut their non-plan expenditure by 20 per cent by end of financial year 2014-15, along with a ban on all new foreign tours till June 2015. The departments are also told not to exceed their monthly expenditure limit beyond 15 per cent for the next two months.
While also putting restrictions on organizing State funded workshops, seminars and events, government has asked departments to reduce their electricity and water bills and use of fuel for cars by at least 15 per cent. The Directions were issued to achieve the targets set in the Goa Fiscal Responsibility and Budget Management Act, 2006.
