J-K govt, PlanCom differences over plan outlay; meet cancelled

A crucial meeting for finalisation of plan outlay for Jammu and Kashmir for the current fiscal slated for Monday has been cancelled amid certain differences between the Planning Commission and the state government.
The meeting between Jammu and Kashmir Chief Minister Omar Abdullah and Planning Commission Deputy Chairman Montek Singh Ahluwalia was to approve the plan outlay, which the state government wants to be the tune of around Rs 8,000 crore, sources said here today.
The cancellation of the meeting comes amidst differences between the state government and the Plannig Commission over poor revenue generation by the state government during the last few financial years, the sources said.

The Planning Commission is unhappy over low revenue generation as it is of the view that the state cannot continue to get heavy central assistance for long period, they said.
During the preliminary meetings between the state government and commission officials, there were differences over the state's proposal for Rs 8,000 crore outlay which the plan panel is hesistant to approve.
"The state has had negative revenue generation in past years and similar is the situation this fiscal also. That is why the Commission does not want to finance the entire Plan from central resources," a source added.
In view of the differences, Abdullah was expected to take up the issue with Prime Minister Manmohan Singh.

The Commission had approved an outlay of Rs 7,300 crore for the state for 2012-13.