Skip to main content

Modi's "special" Rs 1.25 lakh package for Bihar is part of ongoing projects, has no separate budgetary provision

By A Representative
Facts have come to light suggesting that there are no separate provisions in the Central budget in the “special mega package” for Rs 1.25 lakh announced by Prime Minister Narendra Modi for the “development” of Bihar, and the funds that he has said he “allocated” are actually mainly on-going infrastructure projects, which will take 10 years to complete. In fact, a senior finance ministry official has been quoted as saying that the Rs.1.25 lakh crore package, announced ahead of the Bihar elections due soon, is “part of ongoing development programmes.” 
Announced at an official function in Arrah, Bihar, on August 18 for a national highways project, which alone will cost Rs 54,713 crore for the highways, which includes 2,775 kilometres of highways and construction of bridges across the Kosi, Sone and Ganga rivers, another big chunk of funds has been allotted for the expansion of Barauni Refinery and a petrol-diesel pipeline from Raxaul to Nepal, and a few other already continuing projects.
In fact, observers say, similar announcements were made in Gujarat, where Modi declared in mid-2000s a Rs 15,000 crore Sagarkhedu project for improving livelihood of the people living in the 1,600-long state coastline, and another Rs 10,000 crore Vanbandhu project for the development of the eastern tribal belt, where 14 per cent of the state’s most backward population lives. 
He faced criticism for failing to spend funds he had announced, as no special budgetary provision was made for these projects. Even today, the two projects are largely on paper, even though the Gujarat government claims they have been "completed".
Keen commentators observe, the numbers look “very big and bombastic”, but actually it is nothing but “the art of packaging” involving dishing out big figures. Under Narendra Modi, packaging of development programmes is more art than science, perhaps an abstract art whose deconstruction is open to subjective interpretations.
Already, facts have come to light suggesting that the national highway projects (about 2,775 km), includes building four lanes as well as bridges across rivers, costing more than Rs 54,000 crore was to be actually built on a public-private partnership basis. The National Highway Authority of India (NHAI) should have invited tenders from private parties to do the project under a public private partnership (PPP) arrangement. But, say knowledgeable sources, the private companies “withdrew” from executing fresh national highway projects due to stressed balance sheets.
Hence the decision on the part of the NHAI, which operates under the Ministry of Roads and Surface Transport, to directly implement the project. As one source notes, even if the economy picks up in next couple of years or so, and the private sector “decides” to return to execute the highways projects, the Government of India cannot now say that it will hand over the project under the public private partnership (PPP). Hence, this has turned into a special financial package for Bihar!
Same is the case with the Indian Oil Corporation (IOC), which has been considering to expand the capacity of its refinery in Barauni, Bihar. The refinery’s capacity is proposed to be expanded from 6 million tonnes to 15 million tonnes. RS Butola, ex-chairman and Managing Director of the Indian Oil Corporation (OIC) , has been quoted as saying that the idea of Barauni refinery expansion would have proved to be a very costly affair.
After all, it would require transporting crude oil to Bihar from the Haldia port in West Bengal. “Private refineries run by Reliance Industries and Essar in Jamnagar on the north Saurashtra coast in Gujarat would have huge advantage over an expanded Barauni”, the source points out, adding, hence the IOC was “exploring” the possibility of setting up a new refinery off the Gujarat or Maharashtra Coast to be able to better compete with RIL and Essar. The expansion would have meant Rs 13,000 crore, a cost which the Government of India will bear.

Comments

TRENDING

The silencing of conscience: Ideological attacks on India’s judiciary and free thought

By Sunil Kumar*  “Volunteers will pick up sticks to remove every obstacle that comes in the way of Sanatan and saints’ work.” — RSS Chief Mohan Bhagwat (November 6, 2024, Chitrakoot) Eleven months later, on October 6, 2025, a man who threw a shoe inside the Supreme Court shouted, “India will not tolerate insults to Sanatan.” This incident was not an isolated act but a continuation of a pattern seen over the past decade—attacks on intellectuals, writers, activists, and journalists, sometimes in the name of institutions, sometimes by individual actors or organizations.

'Violation of Apex Court order': Delhi authorities blamed for dog-bite incidents at JLN Stadium

By A Representative   People for Animals (PFA), led by Ms. Ambika Shukla, has held the Municipal Corporation of Delhi (MCD) responsible for the recent dog-bite incidents at Jawaharlal Nehru Stadium, accusing it of violating Supreme Court directions regarding community dogs. The organisation’s on-ground fact-finding mission met stadium authorities and the two affected coaches to verify details surrounding the incidents, both of which occurred on October 3.

N-power plant at Mithi Virdi: CRZ nod is arbitrary, without jurisdiction

By Krishnakant* A case-appeal has been filed against the order of the Ministry of Environment, Forest and Climate Change (MoEF&CC) and others granting CRZ clearance for establishment of intake and outfall facility for proposed 6000 MWe Nuclear Power Plant at Mithi Virdi, District Bhavnagar, Gujarat by Nuclear Power Corporation of India Limited (NPCIL) vide order in F 11-23 /2014-IA- III dated March 3, 2015. The case-appeal in the National Green Tribunal at Western Bench at Pune is filed by Shaktisinh Gohil, Sarpanch of Jasapara; Hajabhai Dihora of Mithi Virdi; Jagrutiben Gohil of Jasapara; Krishnakant and Rohit Prajapati activist of the Paryavaran Suraksha Samiti. The National Green Tribunal (NGT) has issued a notice to the MoEF&CC, Gujarat Pollution Control Board, Gujarat Coastal Zone Management Authority, Atomic Energy Regulatory Board and Nuclear Power Corporation of India Limited (NPCIL) and case is kept for hearing on August 20, 2015. Appeal No. 23 of 2015 (WZ) is filed, a...

History, culture and literature of Fatehpur, UP, from where Maulana Hasrat Mohani hailed

By Vidya Bhushan Rawat*  Maulana Hasrat Mohani was a member of the Constituent Assembly and an extremely important leader of our freedom movement. Born in Unnao district of Uttar Pradesh, Hasrat Mohani's relationship with nearby district of Fatehpur is interesting and not explored much by biographers and historians. Dr Mohammad Ismail Azad Fatehpuri has written a book on Maulana Hasrat Mohani and Fatehpur. The book is in Urdu.  He has just come out with another important book, 'Hindi kee Pratham Rachna: Chandayan' authored by Mulla Daud Dalmai.' During my recent visit to Fatehpur town, I had an opportunity to meet Dr Mohammad Ismail Azad Fatehpuri and recorded a conversation with him on issues of history, culture and literature of Fatehpur. Sharing this conversation here with you. Kindly click this link. --- *Human rights defender. Facebook https://www.facebook.com/vbrawat , X @freetohumanity, Skype @vbrawat

New RTI draft rules inspired by citizen-unfriendly, overtly bureaucratic approach

By Venkatesh Nayak* The Department of Personnel and Training , Government of India has invited comments on a new set of Draft Rules (available in English only) to implement The Right to Information Act, 2005 . The RTI Rules were last amended in 2012 after a long period of consultation with various stakeholders. The Government’s move to put the draft RTI Rules out for people’s comments and suggestions for change is a welcome continuation of the tradition of public consultation. Positive aspects of the Draft RTI Rules While 60-65% of the Draft RTI Rules repeat the content of the 2012 RTI Rules, some new aspects deserve appreciation as they clarify the manner of implementation of key provisions of the RTI Act. These are: Provisions for dealing with non-compliance of the orders and directives of the Central Information Commission (CIC) by public authorities- this was missing in the 2012 RTI Rules. Non-compliance is increasingly becoming a major problem- two of my non-compliance cases are...

Citizens’ group to recall Justice Chagla’s alarm as India faces ‘undeclared' Emergency

By A Representative  In a move likely to raise eyebrows among the powers-that-be, a voluntary organisation founded during the “dark days” of the Indira Gandhi -imposed Emergency has announced that it will hold a public conference in Ahmedabad to highlight what its office-bearers call today’s “undeclared Emergency.”

Celebrating 125 yr old legacy of healthcare work of missionaries

Vilas Shende, director, Mure Memorial Hospital By Moin Qazi* Central India has been one of the most fertile belts for several unique experiments undertaken by missionaries in the field of education and healthcare. The result is a network of several well-known schools, colleges and hospitals that have woven themselves into the social landscape of the region. They have also become a byword for quality and affordable services delivered to all sections of the society. These institutions are characterised by committed and compassionate staff driven by the selfless pursuit of improving the well-being of society. This is the reason why the region has nursed and nurtured so many eminent people who occupy high positions in varied fields across the country as well as beyond. One of the fruits of this legacy is a more than century old iconic hospital that nestles in the heart of Nagpur city. Named as Mure Memorial Hospital after a British warrior who lost his life in a war while defending his cou...

Epic war against caste system is constitutional responsibility of elected government

Edited by well-known Gujarat Dalit rights leader Martin Macwan, the book, “Bhed-Bharat: An Account of Injustice and Atrocities on Dalits and Adivasis (2014-18)” (available in English and Gujarati*) is a selection of news articles on Dalits and Adivasis (2014-2018) published by Dalit Shakti Prakashan, Ahmedabad. Preface to the book, in which Macwan seeks to answer key questions on why the book is needed today: *** The thought of compiling a book on atrocities on Dalits and thus present an overall Indian picture had occurred to me a long time ago. Absence of such a comprehensive picture is a major reason for a weak social and political consciousness among Dalits as well as non-Dalits. But gradually the idea took a different form. I found that lay readers don’t understand numbers and don’t like to read well-researched articles. The best way to reach out to them was storytelling. As I started writing in Gujarati and sharing the idea of the book with my friends, it occurred to me that while...

From seed to soil: How transnational control is endangering food sovereignty

By Bharat Dogra  In recent decades, the world has witnessed a steady erosion of plant diversity in many countries, particularly those in the Global South that were once richly endowed with natural plant wealth. Much of this diversity has been removed from its original ecological and cultural contexts and transferred into gene banks concentrated in developed nations. While conservation of genetic resources is important, the problem arises when access to these collections becomes unequal, particularly when they fall under the control of transnational corporations.