Government OF National Capital Territory of Delhi
Government OF National Capital Territory of Delhi
Government OF National Capital Territory of Delhi
OF
NATIONAL CAPITAL TERRITORY OF DELHI
SPEECH
OF
SHRI MANISH SISODIA
(DY. CHIEF MINISTER)
BUDGET 2015-2016
25th June, 2015
DELHI
[ PART A ]
3.
In March, 2015, at the time of seeking the Vote on Account from this
august House, I had submitted that Government intended to have a relook
into the budget making process and would prepare the Budget 2015-16
by a participatory process integrating the valuable inputs, suggestions of
the citizens, academicians, subject matter experts, trade organizations,
RWAs, civil society, corporate sector etc. We regard the citizens of Delhi
as the principal stakeholder in the governance system. Our government
accorded the right to the citizens to participate in decision-making and in
the process of governance. In preparation of this Budget we have ensured
that citizens find a voice in the way they want to develop this city.
4.
Until now the budget preparation exercise was confined to the premises
of the Delhi Secretariat. However, this time a series of citywide
assemblies were conducted, where residents identified developmental
works and voted on which priorities to implement. It is a democratic
process in which citizens directly decide how to spend part of the public
budget. This exercise will enable the citizens of Delhi to work with the
government to make the budget decisions that affect their lives.
5.
Honble Chief Minister made an appeal in April 2015 for inviting the
suggestions from the people for the preparation of the Budget. There was
an overwhelming response and we received more than 1500 suggestions.
Extensive consultations were made through public meetings in 11
Assembly Constituencies. We discussed major issues and challenges with
RWAs, NGOs, corporate sector as well as people at large. We have utilized
1
8.
but substantial fulfillment of the wish and mandate given by them. We are
relentlessly pursuing this issue with the Union Government.
Price Situation
9.
10.
Financial Position
11. Speaker Sir, during 2014-15 Delhi was deprived of a democratically
elected Government. Delhi was administered by the Central Govt. through
the office of Honble Lt. Governor. The absence of a democratically elected
Government has had its direct impact on the tax collection of Delhi. While
the Gross State Domestic Product (GSDP) of Delhi at current prices in the
financial year ending 31st March 2015 is 4,51,154 crore showing a
growth of 15.35% over previous year; tax collection grew only by a
meager 2,64%. Tax collection was only 26604 crore in 2014-15 against
25919 crore during 2013-14. The negative growth of real estate sector
is also one of the reasons for an adverse impact on the collection of
Stamps and Registration Fee. In case of VAT, State Excise and Motor
Vehicle Tax, growth of 2.03 per cent, 8.59 per cent and 10.61 per cent
respectively was registered during 2014-15.
12. At constant prices, Delhis economy grew at the rate of 8.2% during last
year compared to 7.3% growth at national level. While the contribution of
Delhi to the national GDP is about 3.86%, we are only 1.4% of the total
population of the country.
13. I would also like to reiterate a few pertinent facts which I had previously
mentioned while presenting the Vote on Account. The annual per capita
income in Delhi at current prices in 2014-15 is 2,40,849 as per advance
estimates of Gross State Domestic Product (GSDP), which is 2.7 times
higher than the per capita income at national level. I would like to inform
in this context that the per capita income at national level is 87,748.
Delhis economy has a predominant service sector with a share of 87.48%
of GSDP followed by industry and agriculture sectors.
Speaker Sir, Revised Estimates for the year 2014-15 was reduced to
34790 crore from the Budget Estimate of 36766 crore. Total
4
Sir, I have presented the estimates of receipts and expenditure for the
year 2015-16 while seeking Vote on Account for the current year. After
that we invited suggestions on Delhi Budget from the public and we
received a large number of suggestions. Accordingly, we reviewed
requirement of funds for various new programmes / schemes and
committed liabilities for ongoing works. This necessitated increase in
budget size for the current financial year.
17.
The total Budget Estimate for the year 2015-16 is proposed at 41129
crore against 37750 crore approved in the Vote on Account. It includes
20.
The share in central taxes and duties of NCT of Delhi, which is given by
the Government of India, is at 325 crore for this financial year and has
remained stagnant since the last 14 years. In spite the increased
devolution of central taxes to states by Government of India from 32 to 42
%, there has been no increase in devolution of Central taxes to Delhi.
21.
power
and
water
subsidy
to
domestic
consumers,
etc.
Sir, our Government will provide financial assistance to Local Bodies. The
total financial support of 5908 crore is proposed to the Local Bodies in
2015-16 which is 14.4 per cent of the total Budget. Moreover, in view of
poor financial position of North and East Municipal Corporations, we
propose to give time to Corporations to set their houses in order by
giving them moratorium on loan repayment. We will not follow the
practice of previous regimes of recovering principal and interest of the
6
The total financial support includes 2850 crore as a share in our tax
collection in 2015-16, 1394 crore as share in Stamps & Registration
Fee and one time parking charges. For implementation of various
developmental works under the sectors of Urban Development, Health
and Education, we propose to allocate 1664 crore as plan funds to
Local Bodies in this financial year.
24.
Reforms in Governance
25.
27.
There has been utter confusion with regards to appropriate agency for
maintenance, construction and implementation of capital works projects
in Delhi.
30.
31.
Ease of doing business is a term that has been loosely used and
conveniently interpreted to suit the circumstances. This government fully
understands the contours and objectives of ease of doing business and
thereby an empowered committee has been constituted. This Committee,
among other things, shall review the existing licensing system and will
suggest measures to simplify the process of issuance and renewal of
licenses done by various agencies of the Government, including moving
towards single window clearance system. The recommendations of this
committee shall be submitted by 31st July 2015, and within next two
months the implementation of the recommendations shall begin. We
invite traders and service providers to set up their place of business in
Delhi. This government assures them that Delhi will soon become the
most preferred location for doing business because of ease and speed of
decision making.
33.
Education
34.
35.
Sir, the proposal to double the budget in the education sector is a historic
step. Our government understands the significance of this extraordinary
step. We realize the responsibility of spending the tax collected by
Government from peoples hard earned money judiciously. More than
double the allocation for the Education sector has been arrived at after
deep thought and is based on comprehensive plans for both school and
higher education sector. These plans have two objectives - firstly, to make
Delhi a fully literate state within the next few years and secondly, to make
12
through
specialized
training.
After
the
successful
38.
13
39.
40.
In the current financial year, we have initiated work for setting up 236
new schools. 83 new buildings are getting constructed. Of these,
construction work is in full swing for 20 schools buildings, working plans
have been prepared for 25 schools and land has been identified for 38
schools. In these 83 buildings, 166 schools can be started in two shifts. In
addition, 70 schools have been identified which are presently operating
in single shift, but we propose to start the second shift in these schools to
cater to the large number of students.
41.
In Delhi, there are many unaided non-government schools, which are run
by various societies and trusts. In common parlance they are called
Private Schools. Many of these private schools are doing excellent work
and have made notable contribution in maintaining high standard of
education in Delhi. But there are serious allegations against some schools
for charging arbitrary fees, extracting donations and indulging in
arbitrariness
in
admission
process
etc.
Recently,
instances
of
be
brought
under
common
umbrella.
There is a proposal for expansion of the World Class Skill Centre started
in collaboration with the Government of Singapore. The Centre, presently
at ITI Vivek Vihar complex, will be shifted to its own campus at Jaunapur
at the earliest.
44.
45.
15
47.
48.
49.
50.
Health
51.
52.
beds. Deep Chand Bandhu Hospital at Ashok Vihar, originally planned for
200 beds, will now have 400 beds capacity.
total bed capacity of 1800 are planned at Nangloi, Siraspur and Madipur.
53.
The Government is planning to purchase 10 new plots at MehrauliMahipalpur, Pitampura, Mandwali-Fazalpur, Geeta Colony, Pandav Nagar,
and Dwarka from DDA for augmenting the health infrastructure. There is
a plan to remodel and upgrade eleven existing hospitals so as to add 4000
more beds in next two years. A Budget provision of 210 crore is
proposed in the current financial year for the purchase of plots and to
start the expansion work.
54.
A budget
56.
The PPP project for providing free dialysis to poor patients suffering from
kidney failure with 40 units have been made functional at Rajiv Gandhi
Super Specialty Hospital and Lok Nayak Hospital. Further, 35 more units
will be setup in the current financial year.
18
57.
58.
59.
60.
61.
62.
63.
64.
Construction of new 100 seated Dr. BSA Medical College, Rohini started in
September, 2014 has been completed. We expect the college to induct
first batch of students from next session for which approvals from Central
Government and Medical Council of India is being perused vigorously.
19
65.
66.
Around 34000
Transport
67.
Sir, A developed country is not a place where the poor have cars. Its
where the rich use public transport paraphrased from Enrique Penalosa.
The rich will use public transport when it is reliable, safe, and predictable,
and when comfort of public transport trumps the cost and difficulty of
using a private vehicle.
68.
I have talked of Smart city and to my mind a smart city is one which
focuses on moving people rather than vehicles. It is a city which makes
mobility accessible and affordable. It is a city where people walk and
cycle without fear of being run over, a city which disseminates
information about travel and traffic so that they can plan their trips. It is a
city where public space is distributed equitably rather than it being
privileged for the privileged.
69.
Sector in 2015-16 which is 23% more than the amount spent in 201415. I propose to enhance investment in roads sector through massive
private sector financing. Appropriate model of PPP will be created to
attract private sector to develop, operate and maintain roads.
70.
Government will procure about 1380 semi low floor buses, 500 midi
buses under DTC and around 1000 more buses under Cluster scheme will
be deployed by the end of 2016. We propose to bring 10,000 buses of
different specifications, to meet the differentiated needs of commuters,
from the private sector under the PPP Cluster scheme. To do so we will
need about 500 acres of land for bus depots from DDA. Our Government
is in discussion with Ministry of Urban Development for allotment of free
land for bus depots. Mere accretion in numbers of buses is not adequate
to incentivize people to shift to public transport. We need to give buses
special right of way so that the movement of buses is unimpeded and
smooth.
71.
About 5500 new auto permits are being released for plying in the NCR.
New bus terminals will be constructed at Dwarka, Rohini Sector-28 and
Narela. These terminals will have all the passenger amenities for the
convenience of bus commuters especially women commuters. About
1200 new Bus Queue Shelters are proposed to be constructed.
72.
The six corridors in Phase-III Metro project has a plan for expansion of
117.57 Km of Metro Rail network in Delhi. Two corridors of Phase-III in
Delhi are likely to be completed in the current financial year. The line
from Central Secretariat to ITO has been made operational in June, 2015
and upto Kashmere Gate will be completed by March, 2016. The corridor
from Jahangirpuri to Badli will also be completed during this financial
year. The corridors from Mukandpur - Shiv Vihar, Janakpuri West21
Phase-II of elevated road over Barapullah Nallah from Jawahar Lal Nehru
Stadium to INA (Aurbindo Marg) is going to be completed in the current
financial year. The work on Phase-III of this elevated road from Sarai
Kale Khan to Mayur Vihar has been started in the current financial year.
74.
75.
76.
77.
autos to install GPS for tracking of the vehicle. For this alone, we propose
Rs.160 crore under plan funds in the current year.
80.
It has been made compulsory for the drivers and conductors of all
passenger service vehicles to attend the gender sensitization programme
at the time of annual renewal of their vehicles road worthiness
inspection.
81.
82.
83.
84.
proposes to initiate crche facilities for the children from 0-6 years,
whose mothers go to work, by upgrading the existing facilities at selected
Anganwadi Centers. In the first year we are proposing to develop 300
such Anganwadi Centers with crche facilities particularly in slums, JJ
clusters and rehabilitation colonies. Further to encourage the Anganwadi
workers and Helpers in carrying out upgradation of Anganwadi Centers
and
better
management
85.
86.
Land for construction of new Old Age Homes has been acquired at various
locations. Under first phase, construction for new Old Age Homes is
proposed to be started in the current year at Kanti Nagar, Chittranjan
Park, Rohini, Paschim Vihar and Chattarpur.
87.
For the welfare of disadvantaged groups, hostel for college going blind
boys students will be constructed at Kingsway Camp and blind girl
students at Timarpur. A mega project for setting up of an integrated
complex for mentally challenged persons is planned at Narela.
25
88.
89.
90.
91.
26
93.
94.
95.
Sir, Delhi Jal Board has done commendable work in the last 4 months. It
has commissioned
Bawana, which were built many years back. Water supply of Dwarka subcity was also taken over by DJB from DDA and improved further. Four
command tanks and many underground reservoirs were commissioned
taking piped water supply to a number of new colonies and villages in the
command area of Dwarka and Bawana Water Treatment Plants.
96.
Sir, although water and sewer services have been extended to many
unauthorized colonies, the residents have not been coming forward to
take connections due to high development charges. This has lead to nonutilization of existing infrastructure and denial of services to the people of
these colonies. Therefore, to meet the commitment of our government to
provide better civic services to the urban poor residing in unauthorized
colonies, the development charges for taking water connections has been
reduced from 440 per sq. mtr. to 100 per sq. mtr. Similarly, the
development charge for sewer connections has also been reduced from
494 per sq. mtr. to 100 per sq. mtr. upto a plot area of 200 sq. mtr.
Charges for regularization of unauthorized connection have also been
reduced from 18,000 to 3300.
97.
Our Government has been able to take effective action against the tanker
mafia by use of information technology for effective, continuous and strict
monitoring of water tankers. More than 400 tankers have been fitted with
GPS and water sensors and their movement is being monitored
continuously through a web based system. A new portal has been
launched for Public Monitoring of Water Tankers enabling people to
track the water tankers, find out estimated time of arrival of tanker in
their colony and quantity of water coming in that tanker.
98.
of big trunk sewers and large sewer treatment plants which are capital
intensive and time consuming. So our government will go for
decentralized water supply and wastewater treatment model. For this a
pilot project is being undertaken in 10 colonies. A new scheme, Jan Jal
Prabandhan Yojana
Sir, reducing pollution in river Yamuna and its rejuvenation is one of the
priorities of our government. A major project costing 3,656 crore has
been prepared to provide sewerage services in uncovered areas and to
prevent flow of wastewater in Najafgarh and Supplementary drains. The
project will involve setting up of 15 new STPs, 3 new Sewage Pumping
Stations and peripheral sewer network. As these drains contribute to
nearly 70% pollution load of river Yamuna, the project will significantly
reduce pollution in river Yamuna. The project will be completed in 2
years period and will go a long way in rejuvenating the river Yamuna and
making it clean.
100.
For further abatement of pollution in River Yamuna, the project for laying
of Interceptor Sewerage system along Najafgarh, Supplementary and
Shahdara drains has been expedited. Three out of six packages of the
project have been partially commissioned and the remaining packages
will also be commissioned in next one year. Interception of waste water
and its treatment in the nearest STP will bring down the pollution load in
the Yamuna river significantly.
101.
The sewage treatment capacity has been increased from 590 MGD to 684
MGD with the commissioning of 6 new sewage treatment plants. The
work of rehabilitation of STP at Okhla, Kondli and Rithala has also been
planned to improve the quality of treated effluent and increase the
29
Sir, Delhi Jal Board has prepared an ambitious plan to reduce its energy
dependence and harness clean energy sources. For this it is working on
generation of gas based, solar and hydro power. Gas based power
generation has started in 3 STPs and it is targeted to increase gas based
power generation in various plants to 1 lakh units per day. Generation of
solar power in all the water and sewer treatment plants will be taken up
on PPP mode. Possibilities of generating hydro power wherever feasible
are also being explored.
103.
104.
I propose Plan Budget of 1468 crore for Water Supply Sector in 201516.
105.
Sir, our Government is aware that affordable housing for all is a dream in
Delhi, especially for the poor and weaker sections. We are committed to
work towards providing affordable housing to the poor living in the slum
clusters. About 23000 Economically Weaker Section (EWS) houses have
30
already been constructed and about 29000 EWS houses are under
different stages of construction. A Policy would be announced shortly for
the purpose of allotment of these houses.
106.
107.
Sir, our Government is also conscious of the fact that though Delhi is
growing very rapidly, there is a pressing need to decongest the mega city.
Already we have initiated a dialogue with the Government of India in this
regard and we shall take steps to decongest Delhi. We would pursue the
various policy choices available for this purpose, including early
completion of Western Peripheral Expressway, Regional Rapid Train
systems, Metro Phase III-IV, Transit Oriented Development, improvement
of road and work infrastructure etc.
108.
Rights to their small plots. We have already resolved in the DUSIB that
original allottees and their legal heirs will get freehold rights at the rate of
10,000 per square metre and all others at the rate of 50,000 per
square metre. This will give them great support and relief from
exploitation.
109.
110.
111.
112.
crore in 2015-16 for Housing & Urban Development sector. For various
development works in unauthorized colonies I propose 905 crore in
2015-16 which is approx. 32% higher than the expenditure incurred in
2014-15.
Power
113.
114.
needs
continuous
augmentation
and
upgradation.
116.
Power
Development
Scheme
(IPDS),
launched
by
118.
119.
Industries
120.
121.
122.
Environment
123.
124.
Our Government is also acutely aware that lakhs of residents of our great
city do not have adequate toilet facilities. Similarly many of our residents
do not find usable public conveniences in many parts of the city. This
serious deficiency in public conveniences and private toilets will be
addressed in a holistic manner by this Government. We are in
consultation with various agencies to assess the need and workable
propositions to make and maintain these facilities.
125.
126.
In order to deal with congestion and air pollution that the city
experiences due to entry of commercial vehicles from bordering States, I
shall make a proposal in the part B of my speech.
128.
129.
1,50,000
1000
2 Wheelers cost more than 20,000/but upto 25,000/2 Wheelers cost more than 25,000/-
2000
36
5500
130.
131.
132.
37
[PART B]
PART B
133.
134.
This being perhaps, the first participatory budget in the history of India,
saw involvement from stakeholders not only in expenditure planning but
also in revenue augmentation.
135.
136.
137.
We are also moving towards uniform tax regime across Northern states
so as to minimize the opportunities of tax arbitrage and eliminate corrupt
practices. In this context, I have had successful discussions with Finance
Minister of our neighboring states who expressed the same desire. The
VAT rationalization proposals that this Government will recommend will
38
Value Added Tax (VAT) is the main source of revenue for the
Government. It is estimated that we shall collect 24000 crore through
VAT, which is 69.3% of the total revenue collections of the government.
We have also noticed a growth of 37.6% in VAT collection in the last two
months.
139.
Most of industrial inputs are taxed @ 5% under Entry No. 84 of the third
schedule of the Delhi Value Added Tax Act, 2004. Woods & timber are
inputs for furniture. Accordingly, I propose to reduce the rate of VAT on
wood & timber from 12.5% to 5%.
140.
Different tax rates on an item with its variants causes ambiguity. To bring
clarity, I propose to bring such variants to a single rate.
141.
Presently, wax of different types are taxable @5%, 12.5% and 20% under
entries of Delhi Value Added Tax Act schedules. It has been proposed to
tax wax of all kinds @ 5% by suitably amending the existing entries.
142.
143.
144.
Speaker Sir, this Government stands committed to ensuring clean air not
only for the present generation but also for future generations. We will
substantially augment availability of public transport running on clean
fuel. However, the alarming level of air pollution is a cause of concern for
all of us. All of us are aware that large number of heavy goods diesel
vehicles, enter Delhi and cause of air pollution. As an interim measure, I
propose to levy a fee on entry of vehicles as follows :S.No.
1.
2.
3.
4.
5.
Taxies
will
not
be
40
imposed
any
congestion
fee.
145.
proposed to be phased out during this year. The Government does not
intend to increase the excise duty since the same was increased last year.
Similarly, reform measures to ease renewals of Excise Licenses Hotels,
Clubs and Restaurant is being done. Renewals will now not require
licensees to file approvals of other departments. Renewal will be
automatic and if, subsequently any violation of law is detected, the
licensee will be dealt with severely.
146.
This Government proposes to enhance the Luxury Tax from 10% to 15%
for all applicable establishments.
147.
is
proposed
to
be
increased
41
from
10%
to
20%.
148.
Sir, I also propose to increase the registration tax by 25% of the existing
rate for all categories of private vehicles registered in the name of
companies and partnership firms.
individuals.
149.
150.
42
Sl.No.
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
151.
District
Rates
for Rates for the agricultural
agricultural
land falling in villages
land ( per where Land Pooling Policy
is applicable. ( per acre)
acre)
East
1 crore
2.25 crore
North East 1 crore
2.25 crore
Shahdara
1 crore
2.25 crore
North
1.25 crore
3.0 crore
North West 1.25 crore
3.0 crore
West
1.25 crore
3.0 crore
South West 1.50 crore
3.5 crore
South
1.50 crore
3.5 crore
South East 1.50 crore
3.5 crore
New Delhi 1.50 crore
3.5 crore
Central
1.25 crore
3.0 crore
Sir, with these words, I commend the budget for consideration of the
House.
43