Punjab budget promises free electricity to households from July 1, silent on giving Rs 1,000 to each woman in the state

Punjab budget for 2022-23: The Punjab Finance Minister did not announce any new tax in the budget for 2022-23 and chose to rely on an expected jump in revenue receipts and buoyancy in GST collections by plugging loopholes for funding the proposed expenditure in the budget.

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Chandigarh: Punjab Finance Minister Harpal Singh Cheema on Monday presented the AAP government's first budget for 2022-23, announcing 300 units of free electricity to households from July 1, but remained silent on giving Rs 1,000 to each woman in the state. The Bhagwant Mann-led government's budget also announced to setting up of 117 Mohalla Clinics and upgrading of 100 schools as 'schools of eminence' in the state among other proposals, besides setting up cyber-crime control units in all districts of the state while keeping its focus on health, education, agriculture and police modernisation.

The Punjab Finance Minister did not announce any new tax in the budget for 2022-23 and chose to rely on an expected jump in revenue receipts and buoyancy in GST collections by plugging loopholes for funding the proposed expenditure in the budget. Cheema, however, remained silent on giving Rs 1,000 to each woman in the state, adding that the state government will soon fulfil this "guarantee".

The budget of the government led by AAP, which came to power while making poll promises in the form of "guarantees", stressed that the government will fulfil its promise of giving 300 units of free electricity per month to each household from July 1, saying it has already planned to finance this scheme by cutting wasteful expenditure and through enhancement of own tax revenue.

Cheema said that providing 300 units of free power will put an additional burden of Rs 1,800 crore on the state exchequer, adding that out of five, four "guarantees" giving 300 units of free electricity, quality education, improving health infrastructure and raising compensation to families of martyred soldiers" have been fulfilled.

Cheema presented the first paperless budget in the ongoing assembly session and this step is expected to save Rs 21 lakh per annum.

Key highlights of the Punjab budget for 2022-23 are:

1- Cheema announced setting up of modern digital classrooms in 500 government schools to bring quality education to villages, upgrading 100 existing schools as "schools of eminence" and posting estate managers for a cluster of schools for the upkeep of government schools and a comprehensive scheme for installation of rooftop solar panel systems in government schools.

2- Cheema proposed to start a Punjab Young Entrepreneur programme for encouraging class 11 students to propose their business ideas. The state government will provide seed money of Rs 2,000 per student under this start-up programme.

3- To augment additional resource generation, the budget proposed to establish a Tax Intelligence Unit which will equip the finance department to improve tax compliances under GST through taxpayer facilitation and communication. 

4- The government will set up 16 new medical colleges over five years, taking the total number of colleges in the state to 25. The Punjab government will establish 117 "Mohalla Clinics", for which Rs 77 crore has been earmarked.

5- The government has taken a breakthrough decision by approving fresh recruitment of 26,454 people and regularisation of 36,000 contractual employees.

6- To strengthen the police force and equip them with the latest gadgets, technology and tools to tackle crime, and maintain law and order, an allocation of Rs 108 crore is proposed during the FY 2022-23.

7- On the stubble burning issue, Cheema said various possibilities and solutions will be explored and for this Rs 200 crore has been earmarked in the budget. Cheema also stressed on increasing farmers' income and promoting crop diversification and earmarked Rs 11,560 crore for the agriculture sector. The AAP government pledges to stand by its farmers and shall continue providing free power for the agriculture sector and allocated Rs 6,947 crore for the same.

8- Stating that his government was sensitive to the cause of the poor and downtrodden, the FM said door-to-door delivery of well-packaged 'atta' in place of wheat to 1.58 crore beneficiaries under National Food Security Act will be ensured. 

9- Cheema also announced 'Farishtey' scheme on the pattern of Delhi whereby the road accident victims will be given free treatment and the helper would be felicitated.

10- The focus in the first year will be to restore deteriorating fiscal health, deliver on the promises of good governance by ensuring effective use of public funds and concentrate on health and education. The minister said, "I propose a budget expenditure of Rs 1,55,860 crore for 2022-23, which reflects 14.20 per cent growth as compared to 2021-22."

10- The government has launched a new project namely Shaheed-e-Azam Sardar Bhagat Singh Hariawal Lehar, under which 50,000 saplings would be planted in all Vidhan Sabha constituencies on the 115th birth anniversary of martyr Bhagat Singh. 

11- For industries, the FM announced the setting up of a special commission with only traders and businessmen as its members for collaboration with the government in decision making. A sum of Rs 100 crore has been allocated for setting up and strengthening focal points to promote the industry, he said.

12- Cheema said the state government will issue this year the Gender Responsive Budgeting Guidelines, setting out the strategy to promote the goal of gender equality and mainstreaming for bringing in social transformation and eliminating inequality.

13- According to the budget at a glance, the state's effective outstanding debt is expected to be Rs 2,84,870.03 crore by end of the current fiscal as against Rs 2,63,265.41 crore (revised estimates) for 2021-22. Cheema proposed a revenue deficit and fiscal deficit of Rs 12,553 crore and Rs 23,835 crore respectively. The FM proposed revenue receipts of Rs 95,378 crore as against Rs 81,458 crore of 2021-22 (revised estimates). 

The finance minister said that the Janata budget (people's budget) has been prepared after receiving 20,384 suggestions on the government portal and through e-mails.
The budget also lays provisions for introducing Fiscal Risk Management.

Chief Minister Bhagwant Mann termed the first budget as balanced, development-oriented and reflective of the pro-people policies of the state government, hailing the budget for FY 2022-23, which proposes no new taxes, as a roadmap for "New Punjab".

Delhi Deputy Chief Minister Manish Sisodia was among those present in the visitor's gallery of the Punjab Vidhan Sabha.

Opposition dubs AAP govt's 1st budget 'bunch of lies'

Opposition parties in Punjab called the AAP-led government's maiden budget a "bunch of lies" and claimed it "disappointed" every section of the society. Reacting to the budget, Punjab Congress chief Amrinder Singh Raja Warring said, "Budget is not just a financial statement, but also a means to set the course for future progress and was the best chance for the government to show what 'badlaav' (change) it envisioned for the state and it has miserably failed on that."

"Not a single promise that the Aam Aadmi Party (AAP) made before the elections has been touched in the budget," PTI quoted Punjab Congress chief as saying. He further said there is no clarity about the "300 units of free power". Other than the token announcement, he said, the finance minister did not elaborate as to from where the government will get the money as there is no budgetary allocation made for the scheme.

Taking on the AAP government over the poll promise of Rs 1,000 to each woman per month, Congress leader and Leader of Opposition Partap Singh Bajwa said, "The government of Punjab has made no announcement regarding the Rs 1,000 per month to every woman above 18 years."

Issuing a statement, he said, "This promise I fear will not be seen till the last six months of the AAP government in 2027. This is a serious breach of trust committed by the government of Punjab. It clearly shows that their big promises are untenable under proper scrutiny."

BJP national general secretary Tarun Chugh said after facing a humiliating defeat in the Sangrur Lok Sabha by-election, the AAP has presented a budget which has made a "mockery" of the common man in Punjab. Chugh added that the budget has disappointed all sections of the society be it traders, farmers or the service class.

(With PTI Inputs)