Zero-based investment projects suffer delay

Despite repeated assurance of the state government to take up the zero-based investment projects on a priority basis, nearly 50 per cent of such projects are yet to be commissioned with four departments- housing & urban development, sports & youth affairs, tourism and industries reporting zero progress on this front.

Of the 623 projects zero-based investment projects identified for completion in 2011-12, only 310 have been completed. About 220 of these 623 projects are spillover projects of the previous fiscal.

The departments of housing & urban development, sports & youth affairs, tourism and industries which together had been allotted 36 such projects, are yet to commission any project.

The department of rural development has completed only 280 out of 458 projects allotted to it. Similarly, works department has been able to finish work on barely 18 out of 58 projects allotted to it. The works department has managed to commission only 12 out of 68 projects.

The minister for finance and public enterprises, Prafulla Chandra Ghadai, however, sounded upbeat on completion of all pending projects by the end of 2011-12. He attributed the delay in project execution to various factors including pending land acquisition, want of forest clearance and some projects getting mired in litigations.

“As many as 623 projects including the carry over projects of the previous fiscal have been identified for completion in the current fiscal. The concerned departments have completed 310 projects and the remaining projects are expected to be completed by the end of 2011-12,” Ghadai told newspersons after reviewing the progress of zero-based investment projects.

To ensure timely completion of these identified projects, the concerned departments have been allowed to make necessary provision in the Budget and wherever necessary, they have been allowed reallocation of funds within the overall Budgetary allocation made for the department.

During the last nine years (2002-03 to 2010-11) of implementation of the scheme as many as 701 out of 1,280 identified projects have been completed.

The identification of projects is independently done by the concerned departments. The screening is made through strict technical, financial and economic appraisal in order to achieve maximum social impact and optimum utilization of the limited resources available.

The zero-based investment scheme encompasses incomplete projects each costing Rs 4 crore and above and also projects costing Rs 1 crore and above.

Prioritized ongoing projects are short listed for implementation and full funding is assured for the projects.

Completion of projects under Zero-based investment projects has become a legal requirement under Section-6 of the Orissa Fiscal Responsibility and Budget Management Act, 2005.