Bhopal: In view of next year`s assembly
polls, Madhya Pradesh government not only reduced the VAT on
petrol, but also increased the budgetary provisions for the
energy sector by 49 per cent and roads by 35 per cent, as both
are major poll issues in the state since 2003.
State Finance Minister Raghavji, who presented his
ninth budget in the assembly today, has also fulfilled the
long-pending demand of state government employees, to raise
their DA by 7 per cent to bring it on par with their the
central government employees, effective from April 1, 2012.
This decision will put an extra burden of Rs 1,057
crore on the government treasury, he added.
In order to provide relief to the people facing the
heat of rising petrol prices, the government has announced
reduction in VAT from 28.75 per cent to 27 per cent, thus
making the fuel cheaper by Rs 1.25 to Rs 1.50 per litre the
state, he said.
Power, which is a major issue in the state before 2003
and continues to haunt the ruling party till date, the state
government has made a provision of Rs 7,710 crore in 2012-13,
which is 49 per cent more than 2011-12.
Under this, Rs 1,082 crore will be earmarked for
upgrading and strengthening transmission and sub-transmission
lines, while Rs 384 crore were kept for raising the power
For promoting generation from non-conventional energy
sources, a provision of Rs 27 crore has been made in the
budget, the Minister said.
Another major poll issue in the state is roads, for
which, Rs 4,342 crore which is 35.35 per cent more than
2011-12, have been allocated.
In order to connect villages with the all-weather
roads, which are not covered under the Prime Minister Rural
Road Scheme, a provision of Rs 900 crore was made under the
Chief Minister Rural Road Scheme.