CAG pulls up AP on fiscal management

The 2016-17 report of the Comptroller and Auditor General (CAG) of India blamed the Andhra Pradesh government for its mismanagement of State finances. It also found fault with the government for banking more on the external borrowings without creating revenue assets in the State. The absence of the own revenue assets in the State would be a greater threat to its future as the government would always have to depend on the borrowings or the Central funding.

Besides all other sectors the CAG, report of which was presented to the AP Assembly on the last day of the budget session on Friday, found fault with the state government for its failure to implement or delay in implementation of the welfare schemes leading to huge loss in the social and welfare sectors.

The CAG found that the state had lost its due share of funds from the Central government under schemes like National Rural Drinking Water Programme (NRDWP) and the Right of Children to Free and Compulsory Education (RTE) are delayed or neglected leading to accumulation of unspent funds from Central government. The CAG also found fault with the State government for not completing the GIS mapping to identify the beneficiaries.

The “Comprehensive household survey of children in the age group of 6-14 years was not conducted. Government had not designed GIS mapping to identify the availability of schools in the neighbourhood of habitations as stipulated. There was shortage of teachers at both Primary and Upper Primary levels. Infrastructure deficiencies continued. Department had not taken adequate steps to improve the learning levels and performance of students. Government was yet to achieve the objectives of the RTE Act,” the CAG said on providing education and children welfare.

On supply of drinking water to the rural people under NRDWP, the CAG observed that the State government did not ensure supply of adequate quantity of water which resulted in increase in number of partially covered habitations.

CAG also expressed dissatisfaction over the implementation of the economic-support schemes for the SCs and STs. On SC welfare, CAG observed saying, ‘there was no assurance that the economic support schemes had achieved the objective of providing sustainable livelihood to the poorest of the poor among SCs.”

On the State government spending Rs 12.92 crore for supply of kerosene to the Hudhud cyclone affected areas, the CAG said that it was “avoidable expenditure” as the government itself in other reports (APEPDCL) said that “electricity was restored in the entire district by 31 October 2014.” When the power was restored, “the expenditure was avoidable and in violation of Government Orders,” the report said.

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