Mohalla Bus Scheme A Highlight; No Plan to Cut Subsidies: Kailash Gahlot on Delhi Budget | Exclusive

For the first time, instead of Manish Sisodia, Kailash Gahlot presented the Arvind Kejriwal government’s budget, its ninth and his first. The budget size for 2023-24 was Rs 78,800 crore, compared to Rs 75,800 crore in 2022-23, and Rs 69,000 crore in the preceding year. In an exclusive conversation later, Gahlot told CNN-News18 about his experience, areas of focus, clash with the Centre, and challenges. Edited excerpts:

You spoke for nearly two hours in the assembly today. Was it tough?

Oh, yes. It was tough. And I think I never realised that budget preparation and laying the budget in the house is, I think, a very complicated process and very intense.

Were there moments of nervousness? The budget had not yet been approved by the MHA and there was a delay of one day which was unprecedented. Were there anxious moments?

I wouldn’t say ‘anxious moments’, but it is not fair. Elected governments should be allowed to function with a free hand, Rather, I would say it is unconstitutional to create obstacles like this. Because, once the budget has been approved by the cabinet, I think, there are certain formalities to be completed because Delhi is a union territory and it has a special status as per the NCT Act, and we have followed the process. So it is expected that the other, whether it is the central government or the L-G, should honour the decisions taken by the cabinet. And as the chief minister also mentioned, the Supreme Court judgement has said time and again that the power to take any decision like that…he is bound by the aid and advice of the council of ministers.

What do you think is the most significant part of the budget? For instance, we saw the huge push for infra, nearly Rs 20,000 crore have been allocated for infrastructure development. You also spoke about mohalla bus services, which essentially is to enable last-mile connectivity that has always been a pain point while commuting. What is your main push and how are you going to reach your ambitious targets?

Mohalla bus, I think, that has been a demand of Delhiites for long and we have tried to address that through mohalla bus. When I say mohalla bus, I mean smaller buses, 9-metre buses, where the 12-metre buses, the normal standard-length buses are not able to navigate because of narrow roads, encroachment, traffic congestion, etc. And, I think, these 9-metre buses will serve that purpose. They will fill up that gap by giving first and last-mile connectivity.

What about the infrastructure push? There has been a lot of talk about it because questions were raised about the low allocation for infrastructure.

Who is saying low allocation? If anybody is saying that allocation is less, that person does not have a basic understanding of budget preparation or maybe of the finances. It is almost Rs 22,000 crore…in an outlay total of Rs 78,800 crore…by which angle is this a small allocation, I don’t know.

You have ambitious targets. How are you going to fulfil those targets?

As we have been fulfilling in the past few years. We have been able to deliver what we have committed. I think I am conscious as we speak, that there will be obstacles, there will be hindrances, but I think we will overcome and deliver what we have promised.

One point you raised in your budget speech was the loss to the exchequer due to the new tax regime. And, if I am correct, you mentioned Rs 12,000-crore loss. And, now we are hearing that the Rs 325 crore that the central government allocates to the Delhi government is also probably not going to come. So, how are you going to generate revenue for your programmes?

That’s a big challenge. The whole purpose of highlighting that issue during the budget session…I just wanted to point out that issue. Because what was promised to states when the GST Act was implemented was that it will grow at the rate of 14% every year. It has not come yet. So the compensation which was being given should continue till the time 14% is achieved and is stabilised.

What, do you think, is the central government going to do and what is the backup plan in case it does not happen? Where is the Delhi government going to generate its own revenue?

I think we will have to seriously think about it. How to generate more revenues, maybe through more stringent monitoring of GDT collection and some alternate modes of raising finances or raising loans. Because Delhi has a special status, we are not allowed to raise finances from the open market. And the only loan we take is through the National Savings Funds with a capping of Rs 10,000 crore although we have never taken the entire amount till now some serious thought will go into it.

But the subsidies of the AAP government will continue? There is no question about that?

No, there is no question of withdrawing any subsidy or curtailing it. That is a commitment and we will honour that.

You have also talked about new schools and new hospitals.

Yes, yes. If I am getting it right, nine new hospitals are under construction, new mohalla clinics will be made. Flyover, underpasses, bridges, double-decker roads, I think we will deliver what we have promised.

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