By our correspondent, Gandhinagar, 20 February 2013

Hon’ble Speaker Sir,

Gujarat has imbibed the spirit of “Sauno Saath, Sauno Vikas” in its true sense. The citizens of Gujarat have given a clear mandate, resulting in our consecutive third term under the dynamic leadership of Respected Shri Narendrabhai Modi. The mandate of the people supports our development oriented policies and administration.

Gujarat has been able to maintain an average annual growth rate of 10% due to people oriented administration, stable governance and people’s participation. The people of Gujarat have strongly supported courageous and visionary steps taken by the State Government.

It is a matter of pride of every Gujarati Citizen that the progress made by Gujarat has drawn the attention of the world and the nation. That, Gujarat has received more than 250 national and
international awards, is a testimony to the fact that the state is identified with Development and prosperity. The State could hold the Sixth Vibrant Gujarat Global Investors’ Summit, 2013, within ten days of our Government taking over after the recently held Assembly Elections. The presence of the representatives from 121 countries and 24 States of the country indicate the confidence people have in Gujarat. The very notion of development has become an inherent element of our thinking.

Our Government is committed to the development of every section of society and each and every area of the State. Inclusive and comprehensive development is our motto. Our strategy comprises balanced development of industry, agriculture and service sector. It is as a part of such an integrated approach that we have launched “Vanbandhu Kalyan Yojna”, “Sagar Khedu Sarvangi Vikas Yojna”, and “Shaheri Gareeb Samrudhdhi Yojna”.

We are confident that Gujarat is standing on sound foundations today. However, our Government will not rest on its laurels. In this Budget for 2013‐14, we shall reflect our vision that every citizen not only benefits from development, but also participates in the developmental process.

The Budget will mainly focus on the following sectors:‐
 Balanced and rapid developments of Agriculture industry and service sector.
 As a part of the 150th Birth Anniversary Celebration of Swami Vivekanand, to prepare the youth in the manner that enables them to optimize the career opportunities available to them.
 Planning to meet the aspirations of the neo‐middle class, whose contribution is significant in the process of development.
 Assuring Qualitative Rural and Urban Life.
 Strengthening of Social Capital through qualitative education, nutrition and health services.
 People’s participation in development, technology in governance and decentralization in administration.

The Annual Budget of Government of Gujarat is in consonance with the State’s vision of development and the aspirations of the citizens. The Annual Budget for the Year 2013-14 is of 1,14,450crore.

State Annual Plan:

Gujarat surpassed the target of 1,11,111 crore and attained the plan size of 1,28,500 crore in the Eleventh Five Year Plan. In the Twelfth Five Year Plan, we propose to almost double the outlay for the Eleventh Five Year Plan. That is to say, compared to the amount of 1,28,500 crore spent in the Eleventh Five Year Plan, the outlay of
`
2,83,623 crore is being kept for the Twelfth Five Year Plan.

The First Year of the Twelfth Five Year Plan, is about to end. An overview of the past year indicates that our planning towards strengthening the economy of the State and welfare of people has been successful. For example, the average per capita plan outlay of the States of the country was 4,653 in the Year 2012‐13, whereas, for the same year, the per capita plan outlay was as high as 8,446. This reflects the sound health of Gujarat’s economy.

The size of the Annual Development Plan for the Year 2012‐13 has been fixed at 58,500 crore by the State, the sector‐wise allocation of which is as under:

For the Annual Development Plan for 2013‐14, appropriate provisions have been made under different sectors. Apart from this, under the non‐plan side, provisions have been made for the development of social sectors and deprived classes , viz. education, health, nutrition, social justice, welfare of deprived classes.

Agriculture Development and Farmer Welfare

A planning of 3200 crore for the Agriculture, Animal Husbandry, Dairy Development, Cooperation and Fisheries and total provision of Plan & non Plan of 4139 crore. In addition, to strengthen the irrigation infrastructure a provision of 3195 crore, for drip & micro irrigation ` 465 crore and Plan outlay of ` 9000 crore for Narmada .

Gujarat has witnessed complete transformation in the agriculture sector in last decade and the credit goes to the diligence of the farmers and the Government’s readiness to adopt innovative approach. However, in the Year 2012, the shortage of rainfall had posed a grave challenge before us, the consequential effect of which might
prolong into the next year. We have planned accordingly and focused more on the preparedness of agriculture sector. We have emphasized on the increase in the productivity, value addition and modernization of Farm Sector. In order to undertake detailed and scientific analysis and to come up with long term comprehensive policies, the Government has decided to establish the Gujarat Agriculture Commission.

Increase in the Productivity

 A provision of ` 604 crore under National Agriculture Development Scheme for improving the productivity.

 The productivity in agriculture depends upon the quality of the seeds. A provision of ` 73 crore is made for the creation of Seed Development Mission and to motivate the farmers for producing qualitative seeds through Beej Vikas Gram Yojana.

 A provision of ` 10 crore is made under State FoodGrains Mission for increasing the production of food grains like paddy, millet, corn and pulses. The seeds of newly developed varieties of paddy will be made available to farmers at a large scale.

 A provision of ` 46 crore is made to supply agriculture kits to the poor farmers free of cost.

 A provision of ` 5 crore is made to produce, on pilot basis, the seeds developed by the universities.

Knowledge sharing in Agriculture

The farmers of Gujarat are adopting modernization in agriculture. It has become necessary to adopt modern technologies in agriculture, if we want to survive in the
international economy. We have made long term plans so that, science and technology strengthens our agriculture, resulting in productivity and reduction in the cost. It was for
this purpose that we organized the Agri Summit last year, which was a remarkable success. We are planning to organize International Agriculture Exhibition-cum-Fair
every alternative year, for which, a provision of ` 15 crore has been made.

 In order to support Peer Learning and to channelize students, seed production companies and innovative farmers, a provision of ` 6 crore is made.

 This is an age of Information Technology. Farmers ought to benefit by the technology. For creating an on line portal for the data integration for APMC , for increase in the seats in Agriculture Education, modernization of existing Colleges and E-Education , distant education, applied Research in Agriculture Universities in Gujarat, a provision of ` 29.50 crore is made.

Agro –Tech and agricultural Infrastructure

 In order to promote mechanization in agriculture, a provision of ` 53 crore is made to provide assistance to farmers for buying tractors.

 A provision of ` 59 crore is made for the development of Green House, Poly House, Net House, on the Cluster basis and for building cold storages & cold chains of different types.

Protecting Farmers’ Income

It was for the first time in the last decade that Gujarat came across grave shortage of rainfall in the last year. This experience has resulted in our preparedness to
prevent such future loss, if any. In order to provide relief to the farmers who have endured due to shortage of rainfall in 2012, a provision of total ` 657 crore is made to cover the risks in agriculture, out of which –

 A provision of approximately ` 374 crore under Crop Insurance.

 A provision of ` 20 crore for supporting the premium cost for the Cotton Insurance.

 A provision of ` 100 crore to create Crop Insurance Fund which will be useful to mitigate any exigencies that might arise in future.

 A token provision of ` 127 crore to extend relief on the interest of agriculture loans .

 A provision of ` 34 crore is made collectively under Farmer Accident Insurance Scheme under which, a separate provision is made for Scheduled Caste and Scheduled Tribe farmers for the first time.

Irrigation Facilities

The construction of the Sardar Sarovar Dam, which can cater irrigation in about 18.45 lakhs hectares, has reached to the level of 121.92 mtrs. Gujarat is striving to obtain the sanction from the Central Narmada Control Authority, to increase the dam height upto 138.68 mtrs. on the basis of the sanction of the environmental sub group.

 In the next Financial Year, we are planning to increase the irrigation facility to further 3 lakhs hectares using the Narmada Canal Network. This means that, approximately 2030 villages of 14 districts of the State will benefit and 10.70 lakh acres in all, will be covered.

 As a result of the decision to acquire private land for the works of Narmada Canal Network, ` 761 crore have been paid as compensation to 83392 farmers till now. A provision of ` 500 crore is made for the next year, for compensation of private land acquisition.

 For the works related to Narmada Canal Network, approximately ` 1196 crore for the Saurashtra Region(Surendranagar, Bhavnagar and Rajkot), ` 1343 crore for North Gujarat (Mehsana, Patan and Banaskantha) and ` 801 crore for the Kachchh Region shall be spent.

 A planning of ` 2600 crore is made for the ongoing 8 branch canals of 426 kms., sub‐branch canal works of 2068 kms. and sum minor canals of 8600 kms. and other works.

SAUNI Yojna:‐

The works related to Narmada Project are moving rapidly towards the completion. In addition to this, we have come up with an innovative scheme of
SAUrashtra Narmada avataran Irrigation Yojna (SAUNI Yojna) with an approximate expenditure of ` 10,000 crore . In order to provide protection for the crops of the
farmers, additional 1 million acre ft. water of the Narmada river earmarked for the Saurashtra Region will be transferred into 115 dams, using four link canals of 1115 kms.
A provision of ` 1,000 crore is made for the same.

 We are planning to transfer 1 million acre ft. waters of Narmada river to the Vatrak, Majam and Meshvo water reservoirs of Sabarkantha District through pipelines. A provision of ` 150 crore is made for the same. Further, a provision of ` 63 crore for furthering the pipelines work from Patan to Dindrol that will help irrigation in 3000 hectares of Kakosi Region and a provision of 78 crore for the pipelines from Karannagar to Dhandhusan.

 A provision of ` 26 crore is made for the new works of Bandhara and Saran Reservoirs, that will be useful for the additional 1 million acre ft. waters of Narmada river earmarked for the Kachchh Region.

Integrated Planning for irrigation facilities for the hilly areas from Ambaji to Umargam.

 Hilly regions and geographically higher land in the belt from Ambaji to Umargam do receive sufficient rain fall but the water is not retained due to the geographical limitations. With a view to provide irrigation facility to the tribal population of these regions by retaining and storing the rain water, a comprehensive irrigation and water conservation scheme has been prepared with a total cost of ` 3850 crore. Under this scheme, different water conservation works, lift irrigation and pipeline based water supply works will be undertaken. An expenditure of ` 400 crore is expected to be made in the coming year.

Water and Land Conversation:‐

For the optimum utilization of canal networks, land conservation and strengthening of water bodies different plans of ` 860 crore are proposed for the ensuing year. Among these,

 A provision of ` 209 crore is made for improvement, renovation and modernization of existing canals,.

 A provision of ` 242 crore is made for the purpose of new check dams, deepening of water tanks, recharging wells and recharging underground water tables and for the soil conservation and water conservation in approximately 1.30 lakh hectares in the Saurashtra, North Gujarat and Central Gujarat.

 A provision of ` 67 crore is made to build Bandhara and spreading channels to prevent salinity ingress in Saurashtra, Ghed and Kachchh coastal line. This will reclaim about 75000 hectares of land.

 A provision of ` 50 crore is made to construct the weir at Bhadbhoot near Bharuch, which will increase the storage capacity and also prevent salinity.

Micro Irrigation Scheme:‐

Gujarat has indeed adopted the very concept of Per Crop, More Crop. With the assistance from Government, approximately 3.81 lakh farmers have benefited by
adopting micro irrigation in six lakh hectares. This indicates that most of the beneficiaries are marginal farmers. About 22 percent of the total beneficiaries are tribal farmers, a reflection of a bright future. This Scheme was recently evaluated by Agriculture Finance Corporation of India. According to its findings, the adoption of micro irrigation has helped in saving approximately 33% to 50% of water, 16% to 22% of electricity and 22% to 25% of fertilizers. At the same time, an increase of 25% to 30% is seen in the production. Keeping in view the success and popularity of the Scheme, a provision of ` 465 crore is made to cover more 2.5 lakhs hectare in the next year.

Animal Husbandry and Fisheries:‐

Gujarat has a considerable cattle population. A large number of families supplement their incomes through dairy farming. The Government intends to augment the development of this Sector by focusing on animal health and qualitative fodder availability.

 A provision of ` 52 crore is made to extend the activities of Gau Seva and Gauchar Vikas Board, which will result in ramification of its activities and provision of green fodder in the sufficient quantity.

 A provision of ` 23 crore is made to start 30 regular and 10 mobile animal dispensaries and to establish new and modern vaccine production units for the animal healthcare.

 A provision of ` 23 crore is made for the electronic animal identification and registration system that will be used for the scientific information maintenance regarding the domestic species of Gir and Kankreji cattle.

 A provision of ` 6 crore is made for creating a model horse breeding farm at Hingolgadh in Jasdan Taluka.

 Along with the welfare schemes for the fishermen, technical works related to the development of fishing ports will also be initiated. The fishermen will be
given the solar light facilities for the boats. A provision of ` 145 crore is made to help the fishermen install engines in their fishing boats and to maintain the quality and processing of the produce.

Power of Youth – Power of Nation

India has been known for its ancient culture and heritage. Now India is seen as one of the youngest nations across the globe. In the next 20 years, the opportunities for skilled employment are going to increase remarkably in the developed and developing nations. At present too, Gujarat has the distinction of being the State with lowest rate of unemployment.

The aspirations of the neo‐middle class youth depend upon their economic self‐ reliance. All that this neo‐middle class youth needs, is opportunity. Our Government is committed to provide them this opportunity through education and skilled development. We intend to launch a massive campaign to prepare the skilled man power in line with the requirement of the international trends and thus, fulfill the expectations of this neo‐ middle class youth.

Provision including plan & non plan have been proposed of ` 17091 crore for Education department, ` 1053 crore for Labour & employment department, ` 349 crore for Sports, Youth & Cultural activities department. The Plan allocation has been increased by almost 75% for the Labour & Employment department and by 43% for Education department.

 In this age of international competition, skill development is the most critical factor. Gujarat has taken an initiative of creating Skill University, so that, our
youth becomes the foundation of our national development.

 Gujarat is developing by leaps and bounds in the industrial sector. We plan to create the Gujarat Skill Development Corporation with a view to prepare industry‐ responsive skilled youth that will meet the requirements of different industrial sectors like chemicals, petrochemicals, ports, infrastructure, engineering, textiles and information technology.

 A provision of ` 116 crore is made for strengthening and modernization of ITIs, for constructing multi‐storied buildings at four ITIs, for construction works, additional class rooms, workshops of 20 ITIs, including 4 ITIs in the tribal region.

 In order to facilitate training to the youth of newly created districts and talukas, 30 new ITIs will be created and 5000 seats will be increased in different ITIs. A provision of ` 12.50 crore is made for the same.

 A provision of ` 20 crore is made for providing apprenticeship stipend to approximately 40,000 youngsters trained at ITIs.

 A provision of ` 26 crore is made under eMPOWER with a view to provide computer training to 2.25 lakh youngsters of the State.

 A provision of ` 9 crore is made with a view to create a fund for The Modular Employable Skill in association with industries that will promote skill development programme as a part of the people’s participation approach.

 It is important to train our youth in foreign languages like Japanese, Chinese, German so that they can be more competitive in the ever changing scenario of the world economy. Such courses would be launched by the Education Department.

 A provision of ` 1 crore is made to train the youth for the competitive examinations conducted by the UPSC and GPSC.

 A provision of ` 1 crore is made to impart training through Techno‐Seva and Vishwakarma Schemes with a view to improve the quality of technical education and to give on the job training to the students.

 A provision of ` 19 crore under UMEED Programme to train approximately 1 lakh youngsters of the Urban Poor for employment.

 A provision of ` 70 crore is made for conducting various programmes that will promote the youth in the field of sports and cultural activities, when the State is celebrating the 150th
Birth Anniversary of Swami Vivekanand.

 A provision of ` 10 crore is made to organize Special Olympics which will enable the differently abled children to participate in sports.

 A provision of ` 15 crore is made with a view to select schools with decent facilities and potential to grow as a Sports School.

 Vanche Gujarat campaign has ignited the desire to read more among all of Gujarat. The Government has come up with an innovative concept of e‐Library to satisfy their expectations. About 20 lakhs books and 3,000 to 4,000 magazines are made available to the people under this initiative. A provision of
` 25 crore is made for strengthening libraries, archeology and museums.

Creating Educated Society

Primary Education:‐

With the help of different campaigns like Shala Praveshotsav and girls’ enrollments undertaken by the Government, the women literacy rate which was 58 percent in 2001 as risen to 71 percent in 2011. The Gunotsav Campaign started with an intention of improving the quality of education has resulted in remarkable awareness among teachers and parents.

 Continuing this approach, the teaching method of PRAGYA shall be extended to more 7,000 schools.

 A provision of ` 1254 crore is made to provide for sufficient number of teachers, for constructing approximately 31,800 class rooms, headmaster’s office, approximately 12,800 separate toilets for boys and girls, rain water harvesting system in about 2,060 schools, about 7,000 compound walls and 264 residential hostels under the Sarva Shiksha Abhiyan.

 A provision of ` 20 crore is made to select and develop one school in each taluka as a model Smart School and equip them with modern technology.

 As a part of the Smart School concept, every Upper Primary school and the BRC and CRC centres will be equipped with computer, internet, Ku Band and LED TVs with a provision of ` 44 crore.

 A provision of ` 102 crore is made for developing about 5,852 schools as Building As Learning Aid (BALA) schools.

 A provision of ` 10 crore for developing 2 schools in each district as Green School with a view to create awareness amongst students regarding environment and renewable energy.

 We are planning to start 48 higher primary schools having English Medium for class V to VIII. Out of this, 18 schools will be located in tribal areas.

Secondary Education

 Keeping in view the increasing number of students at Secondary and Higher Secondary Education level, a provision of ` 62 crore is made to start 2,300
additional classes in the granted Secondary and Higher Secondary schools and 1100 additional classes, in order to create continuous unit of class IX to XII.

 A provision of ` 121 crore is made for constructing Government Secondary and Higher Secondary schools.

 A provision of ` 73 crore for providing text books free of cost to the students of Government & grant in aid schools and belonging to Scheduled Tribes, Scheduled Castes and Socially and Economically backward class, removing the existing income criteria limit.

Provision of ` 933 crore for Higher and Technical Education

 Recently held Vibrant Gujarat Global Investors’ Summit has resulted in proposals of strategic partnership with many international institutions. This meets our desire to create state‐of‐art institutions in the State.

 In order to promote strategic partnership in research and exchange programmes for the faculties and the students between the State and renowned institutions of different countries, the Gujarat Research and Innovation Fund shall be created.

 A provision of ` 44 crore is made to provide for laboratory equipments, furniture and books for the Degree, Engineering and Pharmacy colleges and Polytechnics.

The Chief Minister’s Scholarship Fund

Our Government has always been committed to support needy students, so that, they are not compelled to discontinue their study for want of financial support. At present, scholarships given to the students of different classes under various schemes are operated through different departments.

With a view to render more scientific and rational service and bring in all the existing scholarship scheme under a single umbrella, it is proposed to create the Chief Minister’s Scholarship Fund. Apart from supporting the students of economically and socially backward classes, needy students of the neo‐middle class will also be covered. At the outset, a corpus fund of ` 100 crore shall be created in The Chief Minister’s Scholarship Fund.

Healthy Gujarat

A total provision of ` 5512 crore is made under Plan and Non‐Plan for public health, medical services and medical education. The Plan outlay is ` 3800 crore with a rise of 24 percentage.

 A provision of ` 19 crore is made to establish need‐based 50 Primary Health Centres and 10 Community Health Centres, and to start 400 sub‐centres alongwith health workers, which will increase the reach of health services in the tribal areas of the State

 A provision of ` 23 crore is made for the highly acclaimed school health programme, which will now include cochlear implant, liver transplant and the treatment for club foot.

 It is important to focus on the health of mother and child if we want to create Healthy Gujarat. A provision of ` 66 crore is made to continue the Chiranjeevi Yojna and the Balsakha Yojna, which has been highly successful for improving the health of both mother and child.

 The institutional delivery rate of the State is as high as 95%. A provision of ` 4 crore is made under the Janani Shishu Suraksha Programme to retain this progress. Under this, special neo‐natal care centres and Child Mal‐nutrition Treatment Centres shall be started in 22 hospitals.

 Khilkhilat Service to be extended in first phase , under which, free of cost transportation facility to home shall be provided to the mother and child after the delivery.

 The Civil Hospital at Ahmedabad caters to thousands of citizens. With a view to expand its capacity, for providing speciality and super‐speciality treatments, for purchasing modern instruments and enhance its services and to develop it as Medicity, a provision of ` 122 crore is made.

 A provision of ` 30 crore is made for constructing a new eye hospital and an institute for the transplantation of organs, under the Kidney Institute.

 A provision of ` 67 crore is made for developing Speciality Hospitals at Surat, Vadodara, Rajkot and in the North Gujarat for treating cancer, kidney and cardiac diseases. Further, a provision of ` 15 crore is made to provide up to date treatment for cancer at the Ahmedabad Cancer Hospital.

 With a provision of ` 25 crore , a Stem Cell Hospital shall be established at Surat to undertake modern scientific research and treatment.

 A provision of ` 18 crore is made to establish Intensive Care Units for the cardiac treatment, kidney dialysis units and neo‐natal intensive care units at the District Level Hospitals in the phased manner.

 A provision of ` 6 crore is made for extending medical treatment services to the people residing in interior parts through tele medicine and tele radiology at the District Civil Hospitals.

 A provision of ` 78 crore is made to purchase 100 new ambulances by way of replacement & for continuing the 108 emergency ambulance service.

 A provision of ` 70 crore is made under the Mukhya Mantri Amrutam (MA) Yojna. This scheme, is intended to ameliorate the hardship caused to poor and middle class families. A provision of ` 12 crore is made to extend treatment for cancer and cardiac and kidney diseases to the families with an annual income less than ` 2 lakhs per annum, at the Civil Hospital, Ahmedabad.

 The Government has started new medical colleges in the State with a view to increase the qualified man power in the field of Health Services. Alongwith this, we are also planning to increase the number of seats for the Medical and Para Medical Courses in this new colleges. A provision of ` 861 crore is made for the works related to construction, providing man power and instruments in these institutes.

 The Gujarat Medical Services Corporation Limited, announced last year, is functional now. A provision of ` 104 crore is made for providing quality medicines & life saving generic drugs at a reasonable cost through Health Service Institutions to the poor and neo‐middle class of the State & for establishing diagnostic centres and laboratories for diabetes, lever, kidney and ortho diseases. .

 A provision of ` 216 crore is made for promoting traditional therapeutic systems viz. Ayurvedic, Naturopathic, Homoeopathic, Unani.

Healthy Mother and Child

Total provision of ` 2113 crore including plan & non Plan and Plan outlay of 1300 crore for the Nutrition, Women and Child Development.

 Malnutrition is a national problem today. Under the Integrated Child Development Scheme, children from six months to six years age group, pregnant mothers and adolescent girls from 52,137 Anganwadis are covered. For the 44 lakhs beneficiaries covered under this, an amount of ` 1094 crore shall be spent during next year

 A provision of ` 31 crore for strengthening Anganwadis and a provision of 107 crore for the construction of buildings of Angawadi centers.

 A provision of ` 78 crore is made to provide additional and supplementary nutrition to the under‐weight children of Anganwadi.

 It is planned to train 5000 Anganwadi workers and 1000 Supervisors on Nutrition through diploma and certificate courses on Food & Nutrition.

 A provision of ` 24 crore is made under Mission Balam Sukham for mitigating the issue and improving the status of nutrition.

 There is the provision of ` 754 crore expenditure is made for the Mid‐day‐Meal scheme that covers 42 lakh students of primary schools. A provision of ` 19 crore is made under the Education Department to give Sukhadi once in a week with a view to improve nutrition level.

Welfare of Women

 A provision of ` 165 crore is made under the scheme of providing financial assistance to widows. Under the scheme, 1.50 lakh women are provided assistance of ` 750 per month and additional amount of ` 100 is given for upto two children.

 A provision of ` 18 crore is made to provide assistance to 257 women welfare centres run by voluntary organisations and for conducting the training and awareness activities undertaken by Gujarat Mahila Arthik Vikas Nigam.

 Under the auspices of the Nari Gaurav Niti, 42 special courts have been established as an alternative system to deliver justice. A provision of ` 3 crore is made to start 50 more courts in the remaining districts.

Qualitative Rural and Urban Life

Plan outlay of ` 2,450 crore for the Panchayat and Rural Development Department with total provision of ` 4077 crore including Plan & non Plan.

 A provision of ` 120 crore is made to provide underground drainage and other facilities to the 255 villages selected on the basis of population under the Rurban Project. This will equip rural areas with urban‐like facilities.

 Government of Gujarat gives priority to the deployment of technology for the development of people. Under the E‐Gram Vishwagram Yojna, the V‐set based internet connectivity in 13,685 villages shall be strengthened and 5,000 more villages will be covered under this service. Thus, we are planning to become the first State in the country that connects all the villages through a virtual highway. A provision of ` 80 crore is made for this innovative programme.

 The Samaras Gram Panchayat Scheme aimed at promoting unit at the village level. Inspired by the success of the scheme, an increased provision of ` 70 crore is made to give incentive to the Gram Panchayats, which will be used to build CC roads and provide solar lights.

 In the recently held Convention of the Sarpanchs, the Chief Minister had announced to provide assistance for administrative and hospitality purpose to the Gram Panchayats. A provision of ` 14 crore is made to give ` 10,000 to each Gram Panchayat for the purpose.

 A provision of ` 40 crore is made for the Solid Waste Management in the rural areas and to provide material help for the same.

 With a view to continuing the Nirmal Gujarat Campaign and cover approximately 4,000 villages under the Sampurna Swachchhta Abhiyan, a provision of ` 85 crore is made.

 A provision of ` 177 crore is made to accelerate the activities of Sakhi Mandals under the Mission Mangalam. Presently, more than 2 lakh Sakhi Mandals with a membership of 25 lakh women are working for the economic empowerment of the women.

 GIS based technology is used to organize, monitor and evaluate watershed management with a view to preserve the environment alongwith the rural development activities. This initiative of Gujarat was recently awarded by the Prime Minister of India. Under this Project, a provision of ` 25 crore is made to initiate 450 watershed projects covering roughly 3,000 villages.

Plan of ` 2,700 crore for Water Supply

 In order to provide sufficient and pure drinking water in the rural areas, we are planning for ` 1,650 crore for the water supply based on the Sardar Sarovar Narmada canals. Through this bulk pipeline grid project, about 3000 villages of 45 talukas of Bhavnagar, Amreli, Junagadh, Porbandar and Rajkot Districts will be benefitted.

 With a view to strengthen the water supply facilities in the tribal area, 20 village based water supply schemes run by the community and covering 2,100 Falia (Habitates) comprising of 16 lakhs people and the water supply scheme for Dahod City will be completed at the cost of ` 460 crore .

 There is a Plan of ` 180 crore with a view to expand the water supply facilities in the 2,700 villages of coastal area.

 The village level water distribution system organized by the WASMO is recognised worldwide. We are planning to cover 800 more villages in the ensuing year under the same scheme. A provision of ` 50 crore is made for the same.

 A provision of ` 100 crore is made under the water supply schemes for the cities viz.Rajkot, Bhavnagar and Gariadhar.

 Activities for creating awareness to conserve water is the need of the hour. Multi‐faceted programmes and activities will be undertaken to generate awareness among the people at large. A provision of ` 1 crore is made for intensifying the Public Awareness Campaign for Water Conservation.

 With a view to control the illegitimate lifting of water, the Water Infrastructure Protection Task Force comprising of Police and technical personnel and ex‐ servicemen. A provision of ` 5 crore for the same.

Urban Development

Total provision of ` 9391 crore including plan & non plan for the Urban Development and Urban Housing.

 About 45% of the total population of Gujarat lives in cities. A Plan outlay of 6650 crore for Urban Development is made.

 With a view to provide facilities in proportion to the urban population, we have come up with the Swarnim Jayanti Mukhya Mantri Shaheri Vikas Yojna. Under this scheme, following plans will be executed:‐

 A provision of ` 1,500 crore is proposed for the urban mobility, basic civil facilities, social infrastructural facilities, e‐governance and skill development. Out of this, ` 500 crore shall be spent on the projects aiming at creating an identity of its own for the cities.

 A provision of ` 700 crore to provide for infrastructural works through the municipal corporations.

 A provision of ` 706 crore for the works of drinking water and underground drainage for the coastal cities viz.Chhaya, Ranavaav, Junagadh and Porbandar.

 A provision of ` 550 crore is made for the 76 kms. long Metro Link Express (MEGA) in Gandhinagar and Ahmedabad.

 A provision of ` 10 crore to promote Sakhi Mandals under the Urban Mission Mangalam.

Mukhya Mantri Aawas Samrudhdhi Yojna

Under the Mukhya Mantri Aawas Samrudhdhi Yojna, we are planning to create slum free cities, to support the neo‐middle class for housing facilities and to replace
kachcha houses with permanent structures in the rural Gujarat. Under this scheme, Financial resources of ` 4400 crore are being planned along with a provision of ` 2200
crore for the Urban and Rural areas.

We will initiate a multi‐dimensional strategy to attain these goals. Apart from the Government Housing Schemes, the private sector will be promoted to create affordable
houses for the middle class and the neo‐middle class.

 Various promotional schemes and policy related moderations will be made through development Plans.

 Systematic approvals for the TP Schemes will be undertaken in the developing regions to create housing facilities.

 We will also adopt the policy of promoting private land owners to rehabilitate slum dwellers in the same location.

 The norms of income for providing housing assistance to economically backward and lower income group families would be reviewed.

 Schemes will be launched to assist the poor families with limited income and to the neo‐middle class for the housing

 We are providing individual assistance to convert 6 lakh kachcha houses in the rural area to permanent structures.

 A provision for providing assistance to the families of the Scheduled Castes, Scheduled Tribes, Dispersed Tribes and Halpati families for the housing.

Inclusive Development / Growth:‐

Provision for Tribal development is made under the schemes of the departments. In addition ` 1832 crore provision has been for Tribal development
department under plan & non plan. The important provisions are:‐

 A provision of ` 58 crore is made to provide better basic facilities to the tribal community living in 401 border villages.

 A provision of ` 63 crore is made to provide scholarship to the Pre‐SSC students of the Scheduled Tribes and Dispersed Tribes.

 If there is no secondary schools in that village, we are planning to provide a bicycle to the girl students studying in secondary school. The geographical distance norm under Vidya Sadhana Yojana has been removed.

 A provision of ` 40 crore is made for providing uniforms to more than 13 lakhs students .

 A provision of ` 30 crore for providing basic facilities to the Dispersed Tribes and Halpati families.

 A provision of ` 4 crore to support more than 13,000 beneficiaries under the

Manav Garima Yojna.

Welfare of the Scheduled Caste and Developing Caste:‐

1838 crore provision has been made for the Social Justice and Empowerment department under plan & non plan. In order to pay special attention to the infrastructure in the regions with high population of the Scheduled Castes, the State Government provides for special component plan as a part of the planning under various departments. In addition to this, there are schemes for individual assistance also.

 A provision of ` 150 crore is made for building Samras Hostels for the students of the Scheduled Castes, the Scheduled Tribes and Developing Castes.

 A provision of ` 19 crore is made to provide scholarship to 3.20 lakhs students of the Scheduled Castes studying in the Pre‐matric.

 A provision of ` 6 crore to provide scholarship to 20,000 girls studying in different courses after the SSC.

 A provision of ` 6 crore is made for providing uniforms to 1,91,000 students of the Scheduled Castes studying in Class I to VIII.

 A provision of ` 8 crore to support more than 16,000 beneficiaries under the

Manav Garima Yojna for self employment. Welfare of the socially and economically backward classes

 A provision of ` 131 crore is made to provide scholarship to 45 lakhs students of socially and educationally backward class, economically backward class,
minority and nomadic tribes, studying in class I to X.

 A provision of ` 123 crore to provide uniforms to 41 lakhs students studying in Class I to VIII.

 A provision of ` 7 crore to provide tool kits to 14,600 beneficiaries under the Manav Garima Yojna, with a view to enable them to start small scale occupation.

Social Defence

 A provision of ` 31 crore is made to give financial assistance from ` 200 to 400 to 46,000 beneficiaries of disabled pension and Sant Surdas Yojna.

 Under the old age pension and Vay Vandana Scheme, provision of ` 2 crore is made for such financial support provided to 4,38,000 elderly citizens.

Management of land as a resource

Plan outlay of ` 800 crore with total provision of ` 2468 crore under plan & non plan for the Revenue Department.

 A provision of ` 78 crore to start an online integrated system connecting all the Collector offices, so that, the citizens can get the record of their land on‐ line.

 A provision of ` 112 crore is made to undertake a comprehensive programme to provide GIS based digital land record using the modern technology for the re‐ survey of the land.

 Provision to create new 1,800 posts of Talati for maintaining land records and to strengthen the revenue administration at different stages.

 In cities, the land costand the number of transfers, both are high. A provision of 11 crore is proposed to start new Sub‐Registrar and City Survey Offices in the eight Municipal Corporations of the State.

 A provision of ` 5 crore to initiate a pilot project that aims at providing clear title of the land, with a view to protect the rights of the land owners.

 A provision of ` 185 crore is made to provide qualitative Revenue services to the people and to construct district and taluka seva sadan and revenue offices.

 A provision of ` 125 crore for the Gujarat Disaster Management Authority in order to protect the people of Gujarat against natural calamities and other disasters.

People’s Security

A total provision of ` 3615 crore under plan and non plan is made for the services provided by the Home Department for the safety of citizens.

 A provision of ` 130 crore is made for modernization of Police Department, to provide ammunition and other safety devices, megacity policing, border desert policing, and providing instruments to the Forensic Science Laboratory.

 A provision of ` 25 crore to protect against cyber terrorism and to keep vigilance over the commercial units, railway stations, bus stations, airports and other important places.

 A provision of ` 22 crore to provide for the staff and creation of Women Units in the police stations for the crimes related to children and women.

 Increase of 1,000 police personnel for managing traffic in the cities.

 A provision of ` 20 crore to create new 17 police stations to upgrade 8 existing police stations.

 A provision of ` 95 crore is made for the construction of District Headquarters, other allied offices and housing for police personnel in the proposed new districts and the tribal areas.

 A provision of ` 62 crore is made for the modernization of police training and capacity building and professional skill development.

 A provision of ` 40 crore is made for the construction works of jails, upgradation and repairing of sub‐jails and to equip the jails with modern facilities like video surveillance and CC TV cameras.

Judicial System

A total provision of ` 1108 crore under plan & non plan for Legal Department.

 Full time additional district courts will be established at Modasa and Ankleshwar; and a part time Senior Civil Judge’s Court shall be established at Limkheda and a full time Senior Civil Judge’s Court shall be established at Kadi.

 For providing the man power to the High Court of Gujarat, 60 posts of System Officer and System Assistant shall be created. In addition to this, different posts ranging from Class I to Class IV shall also be created.

 A provision of ` 34 crore is made for the construction of court buildings and residential blocks at district and taluka level.

Civil Supplies

A total provision of ` 476 crore is made under plan and non plan for Food and Civil Supplies department.

 A provision of ` 194 crore to provide food grains to the Antyoday families through Public Distribution System (PDS).

 A provision of ` 75 crore is made to facilitate door step delivery of food grains for delivering maximum benefits to the beneficiaries.

 A provision of ` 23 crore is made for enhancing storage facilities.

 A provision of ` 31 crore is made to provide edible oil at concessional rates for the four months to the BPL and AAY families.

Foundation of Economic Development

The physical infrastructure of the State has contributed significantly to the development of the State in every field of economy. In the ensuing year, due attention shall be paid to this sector along with sufficient financial provisions for the roads, transportation, availability of electricity and industrial infrastructure.

A total provision of ` 7316 crore under plan & non plan for the Roads and Buildings department.

 In Gujarat, a qualitative road network of 1,12,331 kms. is already available. A provision of ` 436 crore is made for road works of 6,526 kms. length that includes major district roads, other district roads, and village roads.

 A provision of ` 264 crore is made to continue the works of Vikas Path, Kisan Path and Pravasi Path.

 A provision of ` 699 crore is made for construction and strengthening of roads and bridges in the interior parts of the tribal area.

 A provision of ` 252 crore is made to connect villages not covered in the Pradhan Mantri Gram Sadak Yojna, by mortar roads. Under this, in the tribal area, villages with less than the population of 250 and in other regions, villages with less than the population of 500 shall be covered.

 A provision of ` 60 crore is made to complete the roads of 360 kms. length that connects the villages located in the forests of Sagbara – Dahod and Vijaynagar.

 Under the PPP Model, 484 kms length of roads have been four‐laned at the cost of ` 4,307 crore. The works related to making the four‐lane and six‐lane roads of 227 kms. at the cost of ` 1,821 crore is under the progress.

 The work of widening 11 state highways upto 10 mtrs. Along with paved shoulder and preparing two‐lane roads of 340 kms. length on the BOT – annuity basis at the cost of ` 746 crore shall be continued.

 The work of 16 kms. long Mehsana Bypass with an estimated cost of ` 38 crore has started.

 A provision of ` 33 crore is made to build the signature bridge connecting the Gujarat International Finance Tech‐City (GIFT).

 A provision of ` 67 crore is made for developing the Mahatma Mandir, the Swarnim Park connecting to the Sachivalaya complex and the Panchamrut Bhavan in Gandhinagar.

 A provision of ` 39 crore is made for the construction of multi‐storied building for state level government offices at Gandhiangar.

A total provision of ` 1684 crore under plan & non plan for Ports and Transportation department.

 Due to prosperity and availability of qualitative road network in Gujarat, the number of newly registered vehicles has increased largely. A provision of ` 550 crore is made to buy new buses for strengthening the public transport system for the people.

 A provision of ` 136 crore is made for construction of new buildings of the offices of Transport department, to introduce single window system and to bring in transparency, simplicity and modernization by computerization in the phased manner.

 Apart from creating a wide road network for the transportation, our Government has evolved an alternative of sea‐based transport also. The RO‐RO ferry service between Dahej and Ghogha is one such novel initiative. This ferry service will reduce the geographical distance between the two places from 360kms to hardly 31 kms. With a view to complete this scheme and to develop further sea routes, a provision of ` 182 crore is made.

Infrastructure in the Energy Sector :‐ A total provision of ` 8396 crore under plan & non plan for the Energy & Petrochemicals department.

A number of initiatives like Jyotigram Yojna has earned a recognition for Gujarat for its potential to become an Energy Hub. With an increase of 33 % compared to the allocation made for previous year, we are planning for ` 4967 crore for the next financial year.

 A provision of ` 3272 crore is made for providing support to supply electricity at reasonable rates to the farmers for irrigation and to citizens for the domestic use.

 Our energy capacity increased by 3,579 mega watts in 2011‐12. In the ensuring year, we are planning to increase it by 3,665 mega watts.

 There is a plan to establish 120 new sub‐stations and 3,249 circuit kms. of new transmission lines at the cost of ` 2172 crore. Out of this, 40 new sub‐stations will be established in the tribal areas.

 A provision of ` 550 crore is made to provide 1 lakh connections for the purpose of agriculture in the next year.

 A provision of ` 150 crore is made for the improvement of 9,500 feeders and to purchase aerial bunch conductors under the Kisan Heet Urja Shakti Yojna.

 A provision of ` 423 crore is made with a view to create infrastructure and for the electrification of wells and smaller habitats in the tribal areas.

 Under the Sagarkhedu Sarvangi Vikas Yojna, approximately 3,200 kms. long conductors, service lines and 21 sub‐stations will be established in the coastal regions. A provision of ` 240 crore for the same.

 A provision of ` 60 crore for providing free of cost domestic electricity connections to more than 1 lakh poor families.

 In Gujarat, public undertakings are supplying gas to approximately 11 lakh users for transportation and domestic use. We are planning to provide domestic gas network to at least 1 lakh families, including 100 rural regions and increase 100 more CNG stations.

 Two LNG stations functional in the State are working effectively. There is a plan to build one more LNG terminal at Mundra, Kachchh with a provision of ` 50 crore.

 Recently, we have a gas grid network of 2,152 kms. There is a plan to extend the network by further 800 kms.

 A provision of ` 150 crore is made to undertake projects of non‐conventional energy in different cities, to establish 20 mega watts solar power project on the Narmada canals and to develop the off‐shore Wind Energy Project, which will be the first of its kind in the country.

Industrial Development:‐ Plan allocation of ` 3055 crore for industry and mining for the next year.

Due to positive and visionary policies related to industrial development, we have witnessed remarkable growth in the investments, employment and per capita income. Apart from the industrial infrastructure, creation of SIRs have been an additional advantage.

 About 40% of the Delhi Mumbai Industrial Corridor (DMIC) is located in Gujarat. The process of developing the Mandal – Bahucharaji Special Investment Region is underway. For undertaking the related planning, it is planned to create an SPV in the partnership with Gujarat Industrial Corridor Company, Regional Development Authority for the SIR and Government of India’s Delhi Mumbai Industrial Corridor Company (DMICDC). A provision of ` 500 crore is proposed for the share capital in the said SPV.

 The Government has announced new Manufacturing Policy with an intention of increasing the contribution of manufacturing sector upto 32% from the 27.6% in the State Domestic Production (GSDP). A provision of ` 290 crore is made for its implementation.

 A provision of ` 54 crore is made for the implementation of the new Textile Policy which aims at strengthening the value chain of cotton producers and to increase the profit for the farmers.

 With a view to avail employment opportunity to approximately 2 lakh youngsters, the number of Skill Development Centres will be increased from present 100 to 300 with introduction of new courses.

Cottage and Village Industry :‐

A provision of ` 171 crore is made with a view to create 2,15,000 supplementary employment opportunities and to deliver the benefits of various schemes to the workers of un organized sectors by promoting the Cottage and Village Industry. Gujarat produces 77% of the total salt production of India. Different welfare schemes for the salt workers will be intensified.

Geology and Mining

A provision of ` 45 crore is made for the Geology and Mining.

 Our revenue from the minerals has almost doubled due to e‐payment, e‐royalty pass and other technological interventions. Gujarat has recently received a national level e‐governance award also for this initiative. It is planned to establish a command and control centre for the real time management of the activity using GIS Application.

 A provision of ` 7 crore is made to develop the Stone Artisan Park at Ambaji on the knowledge sharing basis in the partnership of international institutes.

 A provision of ` 10 crore is made for constructing the new building of mineral laboratory.

Tourism and Pilgrim Places

A plan outlay of ` 595 crore is made for the development of tourism, civil aviation and pilgrim places.

 A provision of ` 195 crore is made for developing infrastructure facilities, maintaining cleanliness and hygiene and other amenities for the popular tourist places, keeping in view the rise in number of tourists.

 A provision of ` 13 crore is made to provide more facilities for the tourists visiting Saputara.

 A provision of ` 152 crore is made for the promotional activities, for organizing traditional and modern fairs, tourist guide services.

 A provision of ` 1 crore is made to impart the English Language Training to the youth of Gujarat through SCOPE, and thus, create a new avenue for the employment.

 We believe that tourists visiting Gujarat will certainly like to get to experience the local culture and social and family life in Gujarat. With a view to devise such a system where the tourists can be availed Bed and Breakfast facility with local families, it is proposed to under the Aatmiya Nivas Yojna. Such a scheme will generate alternative source of income for the families as well.

 Pilgrims from all over the country and the world visit Gujarat in a large number. A provision of ` 100 crore is made for to develop better infrastructure at such places.

Sardar Sarovar Dam has become a popular tourist place. There is a plan to build the tallest statue of the world near the dam site, named after the Architect of Unified India,
Sardar Vallabhbhai Patel. A provision of ` 100 crore is made for this statue named, The Statue of Unity.

Protecting the Environment

A total provision of ` 930 crore is made under plan & non plan for Forest and Environment Department.

 Gujarat has 7.46% of dense/open forest cover. Due to the programmes like Social Forestry, the proportion of non‐forest land area outside forest has increased to 4.8%, whereas, this proportion at India level is hardly 2%. Social Forestry would be continued next year with an expenditure of ` 115 crore.

 A provision of ` 186 crore is made for the purpose of soil and moisture conservation by planting numerous trees.

 We will continue to work towards formation of community based JFM Committees in all villages with people’s participation.

 There is a provision of ` 83 crore for the Wild Life Protection. We are planning to create a Wild Life Genomics and DNA Bank also. A Crocodile Park will be developed at Vadodara. A provision of ` 12 crore is made for the protection of State’s pride, the Asiatic Lion.

 Gujarat has given a new idea in the form of cultural forest development. For example, Govind Guru Smrutivan at Mangadh in Panchmahals, Mangalyavan at Ambaji, Punitvan at Gandhinagar, Bhaktivan at Chotila, Tirthankarvan at Taranga and Shyamalvan at Shamlaji are developed. Similar forest development activity would be continued in the other parts of the State by associating cultural heritage with it.

 A provision of ` 13 crore for increasing the production fodder and to develop storage facilities for the fodder.

A total provision of ` 111 crore under plan & non plan for the Climate Change Department:‐

 The Government is committed to the cause of promoting the concept of renewable energy usage. We will continue to promote the activities of power generation through wind energy and solar energy technologies in partnership with private sector.

 The project of Solar City, Gandhinagar will be continued. We will continue to promote usage of solar energy for different purposes and power generation
using bio gas. With the purpose of promoting energy efficient technologies and conserving energy in the Government buildings, commercial units, industries and domestic places, different promotional initiatives will be undertaken.

Creating development oriented awareness

A total provision of ` 122 crore under plan & non plan for Information and Broadcasting department.

 We will continue to use the medium of mass communication effectively, in order to strengthen the link between the people and the Government and to make authentic information regarding the administration of different welfare activities and programmes available to all.

 Authentic information is made available to all through the fortnightly “Gujarat”, which is now published in English also. The Gujarat Rojgar Samachar is published to provide information regarding the employment opportunities to the youth. Publication and distribution of these will be strengthened.

 Information regarding different welfare schemes and programmes will be brought to the doorsteps of the people using modern technologies like LED vans, Electronic Media and traditional methods of mass communication.

Local Development through people’s participation

A provision of ` 1030 crore is made under the Decentralised District Planning. It isproposed to make a provision of ` 1030 crore for the discretionary
developmental expenditure made available to all the districts and 41 developing talukas as well as under the ATVT programme. With this, the need‐based development at local
level will be stengthened and the local institutions will be enabled to undertake works relating to the basic amenities.

E‐Governance and Technology for Good Governance

A total provision of ` 207 crore is made under plan & non plan for Science and Technology.

 The Gujarat State‐wide Area Network (GSWAN) is a unique initiative. This network connects all the districts and talukas and has been instrumental in delivering magnificent support to the effective and people oriented governance. A provision of ` 30 crore is made to strengthen the said network.

 A provision of ` 5 crore is made for the expansion of the Science City, which is highly popular for creating awareness among the students and the youth.

 A provision of ` 18 crore to intensify the activities of Gujarat Bio technology Mission.

 Institute of Seismological Research (ISR) is the only of its kind in the country. A provision of ` 21 crore is made to strengthen the Institute.

Administrative Reforms and Employee Welfare

A plan provision of ` 141 crore is made for Administrative Reforms and Employee Welfare under the General Administration Department.

 A provision of ` 19 crore is made for strengthening the training and research activities of SPIPA. Further, a provision of ` 10 crore is made to introduce an integrated Human Resource Management System (HRMS) for talent and career management of Government personnel.

Fiscal Management

In the last decade, the Government has successfully attained the dual objective of maintaining the economic development while maintaining the fiscal discipline. The
growth rate of India has suffered under the influence of international trends. The State intends to contribute significantly to attain the higher growth rate once again. State’s
own tax & non tax revenue receipts constitute about 77.65 % of the total revenue receipts, which indicates the sound and vibrant economy of our State. Gujarat is committed to accelerated economic growth while maintaining the norms of fiscal discipline.

Conclusion

Our Government is committed to balanced, comprehensive and inclusive development. The Budget for 2013‐14 reflects our commitment to farmers, the youth, women, children, tribal and coastal communities. Our aim would be to fulfill the needs of the poor and the aspirations of the emerging neo‐middle class. The objective of our Planning is to ensure the prosperity, well being, health and education and security of all citizens. I am confident that our Government would receive the full support of all Hon’ble Members of the House and every citizen in the State to enable us to achieve this objective.

Accounts for the year 2011‐12:

Now, I will review the actual receipts and expenditure for the year 2011‐12. It was expected that there would be surplus of 2745 crore on account of net transactions during the year, but the accounts for the year 2010‐11 show a deficit of 304.78 crore due to net transactions.

Revised estimates for the year 2012‐13:

It was expected that there would be surplus of 727.22 crore in the estimates for the year 2012‐13, but now the surplus of 281.28 crore is expected in the revised estimates by the end of the year due to net transactions.

Honourable Speaker Sir,
The overall surplus as per Budget Estimates for the year 2013-2014 is ` 796.45 crores. I now present tax proposals for the year 2013-2014.

Value Added Tax

Lump sum Tax The option to pay lump sum tax is available to the dealers having total turnover up to ` 50 lacs subject to certain conditions under the provision of section 14 of the Gujarat Value Added Tax Act, 2003. In order to make available the benefits of this provision of lump sum tax to more dealers of the State, I propose to increase the total turnover limit of ` 50 lacs to ` 75 lacs under section 14. This provision would make available the option to pay lump sum tax to approximately additional
23000 dealers of the State.

The dealer can pay lump sum tax quarterly at the rate of 0.5 percent on the taxable turnover instead of calculating the tax on each sale under the provision. Such dealer is required to furnish simplified quarterly return. Thus, the benefit of this provision would be available to the dealers having total turnover up to ` 75 lacs.

Micro irrigation system equipments

The farmers of the State have become more aware due to the programs like Krushi Mahotsav and are using the advanced technology of micro irrigation system in agriculture. The use of this system saves water and electricity and increases productivity.

Thus, in order to encourage the use of micro irrigation system equipments in agriculture, I propose to fully exempt micro irrigation system equipments from current rate of tax 5%
including additional tax.

Educational items for study of the students

The Enrollment Campaign and Girls Education Program implemented by the State Government have improved the literacy rate in the State. Pencils of all types, foot rules, slide rules, mathematical instruments and its box, school color box, rubber erasers and pencil sharpeners are necessary for the students for 2 their study. In order to give relief to the students of the State, I propose to fully exempt these items from current rate of tax 5% including additional tax.

Newar made of plastic

Newar made of plastic is used by the poor and middle class people in rural and urban areas. In order to give relief to these people, I propose to fully exempt newar made of plastic from current rate of tax 5% including additional tax.

Agarbatti dust At present, agarbatti is tax free in the State. But large manufacturers supply agarbatti dust to the small cottage industries to manufacture agarbatti. At present, agarbatti dust is taxable at the residuary rate of 15%. Now, I propose to fully exempt agarbatti dust also.

Carbon credit

There has been more awareness about the adverse impact of climate change. Gujarat has taken initiative in this direction and planned various programs to protect the environment. Carbon credit becomes available to many units for using renewable energy resources. Such units can sell their excess carbon credit to other units. As there is no specific entry for carbon credit under the VAT Act, the sales transaction of carbon credit is liable to be taxed under residuary entry at the rate of 15% including additional tax. In order to encourage the use of carbon credit, I propose to include the carbon credit in entry 41 of Schedule II as an intangible or incorporeal goods and make it taxable at the rate of 5% including additional tax.

Cigarette Smoking

Cigarette made from tobacco is injurious to health. In the interest of the society, it is necessary to curb the
consumption and usage of cigarettes. With this objective therefore, I propose to increase the rate of tax on cigarette
made from tobacco from the present rate of tax 25% including additional tax to 30% including additional tax. 3

Second hand (used) two wheelers and second hand (used) commercial vehicles

The used vehicles are sold in huge numbers in the State. At present, there is a provision to tax the sale of used or second hand motor car at the rate of 1% (subject to maximum ` 2000). By adding similar provision, I propose to make taxable the sale of second hand (used) two wheelers at the rate of 1% (subject to maximum ` 500) and sale of second hand (used) medium and heavy duty commercial vehicles at the rate of 1% (subject to maximum ` 5000) made by a registered dealer.

Lump sum Entertainment tax for video houses

Owners of video houses are provided an option for lump sum payment of entertainment tax under the provisions of the Gujarat Entertainment Tax Act, 1977. The provision of relief was made keeping in view the financial capacity of the poor and labourer classes who come to video houses for entertainment.

But, it has come to the notice that some large theatres, multiplex cinema houses etc. are misusing the option of lump sum, though are liable to pay entertainment tax on the price of the ticket. In order that the relief relating to lump sum reaches to the needy classes only, I propose that the option of lump sum tax would be available to only those video houses which fulfill the following conditions:

(1) The rate of entry into the place of entertainment shall not be more than ` 30/- per person.
(2) Entertainment (showing of films) can be provided using any kind of technology.
(3) The maximum number of seats in the entertainment place shall not be more than 125.
(4) There shall not be more than one screen in the premises.

Profession Tax The salary and wage earners having monthly salaries or wages less than ` 3000 are exempted from payment of profession tax under the provisions of the Gujarat State Tax on Professions, Trades, Callings and Employments Act, 1976. Whereas the salary and wage earners whose monthly salaries and wages are ` 3000 or more but less than ` 6000 are liable to pay profession tax at the rate of ` 20 per month. In order to give relief to the neo middle class, I propose to fully exempt the salary and wage earners having salaries or wages `3000 or more but less than ` 6000 per month. There is no proposal for change in any other rates.

Electricity Duty on self generation

Self generation of electricity for industrial purpose is exempt from payment of electricity duty for an initial period of five years. The consumers who are generating and using the electricity are paying electricity duty not on the price of the consumption of electricity but at the rate per unit. The rate of electricity duty is 40 paise per unit for them which was fixed in the year 1999. Against this, the industrial units which are buying electricity from the electricity distribution companies have to pay electricity duty at the rate of 15% on H.T. and 10% on L.T. In order to minimize the gap between these two types of consumers, I propose to increase the present rate of electricity duty by 15 paise per unit and make it 55 paise per unit for H.T. and L.T. consumers. This additional increase would be borne by limited number of industrial units.

Conclusion The final position of Budget estimates for the year 2013-14 will be as under: