The size of the State Budget for 2015-16 may cross Rs 90,000 crore, meaning a growth of 12 per cent over Rs 80,139 crore Budget in 2014-15.
The State Council of ministers approved the Budget for 2015-16. In the next fiscal, Odisha is likely to get an additional central assistance of Rs 6,000 crore as per the recommendations of the 14th Finance Commission.
The state's Annual Plan for 2015-16 is pegged at Rs 40,000 crore inclusive of resources of Rs 36,000 crore for the government sector and Rs 4,000 crore for the public sector undertakings (PSUs) in the power sector.
In 2014-15, the Annual Plan was estimated at Rs 40,810 crore including PSU allocation of Rs 2,000 crore as per original Budget Estimates (BE). But the Plan size has been scaled down to Rs 35,000 crore in the revised estimates (RE) for the year since the state government expects Rs 3,723.31 crore shortfall in central assistance and Rs 2,000 crore less mobilisation from the state's own revenue collection target.
In 2015-16, the state's own tax revenue is to take a hit of Rs 1,500 crore due to the commissioning of the 15 million tonne per annum oil refinery of Indian Oil Corporation Ltd (IOCL). The state government had allowed the oil major deferred payment of value added tax (VAT) for a period of 11 years from the date of commissioning of the refinery.
The estimated revenue sacrifice on this account on the basis of existing level of consumption in the state is around Rs 67,000 crore over a period of 11 years which is equivalent to Rs 23,500 crore in terms of present value.
