Accountant General concerned over Haryana fiscal deficit

Principal Accountant General (Audit) Haryana today expressed concern over the increase in fiscal deficit of Haryana.
In a media briefing held here, Mahua Pal said the increase in fiscal deficit is a matter of concern and the state government should look into it.
Sharing details of the state finance report prepared by CAG, Pal informed that fiscal deficit of the state for 2015-16 was 6.39 per cent of the gross state domestic product (GSDP) against the target of 3.14 per cent.
The fiscal deficit which stood at Rs 12,586 crore in 2014-15 increased to Rs 31,479 crore in 2015-16.
However, fiscal deficit at 2.88 per cent of GSDP excluding debt taken over under Ujawal Discom Assurance Yojana (UDAY) Scheme was within the limit of 3.14 per cent for the year 2015-16.

She said revenue deficit which indicates the excess of revenue expenditure over revenue receipts was to be brought down to zero by 2011-12 and to be maintained at zero up to 2014-15 as per the fiscal responsibility and budget management act.

However, it increased to Rs 11,679 crore in 2015-16 from Rs 8,319 crore in 2014-15.
She said the overall fiscal liabilities of the state were Rs 1,20,718 crore as on March 31,2016. Out of this, internal debt was Rs 99,660 crore. Fiscal liabilities were 24.50 per cent of the GSDP and 2.54 times of revenue receipts.
The state's capital expenditure increased by Rs 3,192.80 crore on account of increase in expenditure on economic services due to investment of Rs 1,297.50 crore in power companies under UDAY, expenditure of Rs 1,425 crore and Rs 494 crore on food, storage and warehousing and transport respectively.

She also said that performance audit on tariff, billing and collection of revenue in Uttar Haryana Bijli Vitran Nigam which brought out under recovery of service charges and rent, avoidable interest loss and excess supply of power that adversely impacted the financial position of the company.
UHBVN supplied 15,952 million units of power against HERC approval of 156,233 MUs during 2011-15 to agricultural pumpset consumers resulting in short receipts of subsidy of Rs 425.97 crore due to excess supply of 719.32 MU of power.