Sindh Budget envisages new development approach

KARACHI: The Sindh government on Friday announced an allocation of Rs115 billion under the head of the Annual Development Plan (ADP) for 2010/11, registering an increase of 53 per cent against Rs75 billion of the last year.

The budget envisages a “new development approach” under which six major sectoral interventions are being taken up through Budget 2010/11.

Having development of coal and energy as the top priority under the new approach, the Sindh government earmarked Rs10 billion for starting projects concerning development of coal and energy with the province’s own resources.

The provincial government has raised its development investment on irrigation and drainage by 100 per cent from Rs4.8 billion during the current year to Rs10.5 billion next year.

All the programmes for lining of canals and other waterways would be put under a comprehensive master plan. Besides, the current flood irrigation practices, subject to feasibility, would be replaced by appropriate water saving technology for enhancing water use efficiency.

Sindh has also planned to formulate an agricultural policy that accounts for water and other input availability constraints, cropping patterns and output pricing regimes.

A plan has also been chalked out to convert agriculture markets into corporate entities having boards comprising of stakeholders with the objective to reduce the role of middleman ‘Arthi’, raise income of growers and provide competitive prices for ordinary consumers.

Subsidy with a cost of Rs1.35 billion on tractors for farmers would be continued in the coming year.

The government of Sindh has, for the first time, prepared a “road master plan” with an estimated cost of Rs100 billion. The master plan comprises nine strategic highways and two bridges over the River Indus in Phase-I.

The government intends to complete this plan in the private-public partnership with the government’s contribution of 30-40 per cent in three years. For the next year, Sindh has earmarked Rs10 billion to begin the process of big infrastructure development.

The new development approach includes developing and strengthening of industrial zones around gas fields and potential hydel power projects to strengthen the existing industrial estates and developing others for expanding manufacturing industry base.

Sindh is working with the Asian Development Bank to move towards a corporate structure of industrial estates by creating management companies. A beginning is being made with Kotri, Nooriabad, Benazirbad, Larkana and Khairpur Industrial Estates.

The new industrial estates would be built around regions where captive power can easily be provided to these estates, such as around gas fields in Sindh and near hydel project sites.

The education development budget has been proposed to be raised from Rs5.9 billion to Rs7 billion. An additional Rs6 billion is being earmarked for boarding schools and comprehensive schools.

Health, the last intervention in the new development approach, would get Rs10.6 billion during the next year against Rs6.3 billion during the current year as has been proposed in the provincial budget.

For 2010/11, a sum of Rs16 billion was allocated for different development schemes in Karachi, Rs659 million for Lyari development and Rs1,300 million for financing schemes of Keamari, Malir and rural Karachi.

The Sindh government has earmarked Rs1 billion for Hyderabad development package and Rs1.2 billion for Larkana development package. For the next year, there is an allocation of Rs3.7 billion under water and sanitation sector.

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