Engineering Depts financially hamstrung
Source: The Sangai Express
Imphal, February 04 2013:
Major portions of the plan amounts sanctioned by the 13th Finance Commission to different engineering departments of the State Government remain unutilized.
On the other hand, most of the public sector undertakings have not been facing any financial woes as funds sanctioned for them were already deposited in their own accounts.
One major reason for the inability of the engineering departments to utilise the funds sanctioned by the 13th Finance Commission even though the current financial year is coming to an end next month is the failure to issue work orders in time, said sources.
As a norm, funds for the next fiscal of 2013-14 should be sought after utilising the funds sanctioned during the current fiscal and submission of utilization certificates in time.
However, there is a strong apprehension that the 13th Finance Commission may not release any funds during the next fiscal in case the departments cannot submit utilization certificates.
Meanwhile, the State Government has already asked engineering departments to submit check drawal authority (CDA).
But CDAs should be submitted only after executing a project.
As no project has been completed, the departments are unable to submit CDA, informed the sources.
It is not only engineering departments, most other departments are also not in a position to submit utilization certificates in time.
Another main factor for the inability to submit utilization certificates in time was the acute financial crunch the State encountered at the beginning of the
current fiscal.
All the amounts sanctioned by the 13th Finance Commission to engineering departments are deposited in the Government's remittance head.
On account of this, there can be no procedural lapses.
However, public sector undertakings like Manipur Tribal Development Corporation (MTDC), Manipur Development Society (MDS), Manipur Police Housing Corporation (MPHC), TP Cell etc have all the funds sanctioned for the works assigned to them in their own accounts.
As such, they do not encounter any financial difficulties in executing the works assigned to them.
These public sector undertakings can utilise the funds any time when required for the funds are deposited in their own accounts.
Moreover, as the funds are deposited in their accounts, they get certain interests but engineering departments do not get any such advantages or benefits.
In view of the smooth transaction and timely payment of liabilities, contractor are more interested in works executed by the public sector undertakings, added the sources.