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IMG 20241128 WA0006 1

Cut of Rs 1000 cr in Ladakh budget; Rs 110 cr each of two Hill Councils sparks concerns

News Desk by News Desk
November 28, 2024
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Ladakh : A cut of around Rs 1000 crore in the budget of Ladakh including Rs 110 crore each for Autonomous Hill Development Councils of Leh and Kargil has sparked concerns in the Union Territory prompting Lieutenant Governor Brig (Retd) BD Mishra to rush to New Delhi and bring issue to the notice of Finance Minister Nirmala Sitharaman while CEC Leh Council Tashi Gayalson has shot off letters to Sitharaman as well as Home Minister Amit Shah seeking their intervention in immediate restoration of the cut.

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Official sources told  that excess amount in the budget is surrendered every year but this is done in the month of January when exact position of expenditure is clear. However, this year the excess amount has been calculated in the month of October and a cut of around Rs 1000 crore has been imposed in the UT of Ladakh.
“In the total cut of around Rs 1000 crore, Leh and Kargil Autonomous Hill Development Councils have lost Rs 110 crore each, totalling Rs 220 crore which is a huge amount for the Councils and was meant for utilization on developmental works,” the sources said.
Asserting that there was nothing wrong in imposition of excess amount cut in the month of January by calculating the expenditures but doing so in October is not justified as many works are going on and more have been taken up whose bills will be received in the week to come.

Moreover, the sources said the Parliamentary elections were announced in March this year leading to imposition of the Model Code of Conduct which continued till June 4, the date of counting. Working season including tendering etc couldn’t be done in the months of April and May of current financial year due to the MCC leading to delay, they added.
The sources opined that for a small UT like Ladakh, the budget cut of around Rs 1000 crore is quite high and for the Councils Rs 110 crore cut each is too high which has the potential to hit the developmental works for which the people have been waiting for a long.
Meanwhile, Lt Governor of Ladakh Brig (Retd) BD Mishra has requested the Central Government to maintain the status quo in the budget allocation for the region’s overall development in the current fiscal.
He raised the issue during a meeting with Union Finance Minister Nirmala Sitharaman in New Delhi. He also discussed the Centre’s decision to revise the budget allocation for the capital component to Ladakh for the current financial year 2024-25 with the Finance Minister.
He informed Sitharaman of the decision’s repercussions, which could impact the ongoing development projects, especially the ongoing project works of both the Hill Councils, and hamper the overall development of the region.
“The Lt Governor requested the Finance Minister to maintain the status quo of the budget allocation for the capital component to UT Ladakh for the current financial year 2024-25 and not to reduce the budget for the region’s overall development and the timely completion of the ongoing project works,” a Raj Bhavan spokesperson said in Leh.
He said the Finance Minister assured him to look into the matter.
CEC Leh Hill Development Council Tashi Gyalson has also written to Home Minister Amit Shah and Finance Minister Nirmala Sitharaman demanding reversal of the decision to cut the budget at this juncture. He expressed confidence that the issue will be resolved with intervention of the two Union Ministers.
Meanwhile, Brig Mishra also met Union Minister for Parliamentary Affairs and Minority Affairs Kiren Rijiju in the national capital.
The spokesperson said Mishra discussed several minority affairs-related issues concerning the people of Ladakh with the minister, including scholarships for students of the UT.

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