Himalayan Times (1960)

December 4, 1960

Himalayan Times

Five

ADMINISTRATIVE EFFICIENCY AND
THE THIRD FIVE YEAR ?LAN

V. T. KRISNAMACHARI

The Third Five Year
Plan follow! logically from
the result* achieved in
the Pint and Seoond Five
Year Plana and ..embodies
a pattern of development
which will enable tbe
nation to realise the goal
-placed before it, of doub-
ling by 1973-74 the per
capita national income as
it stood in 1950 61.. It
should not be viewed in
isolation: it constitutes an
important stage in the
process of-social and eco-
nomic growth.

The target of 5 per
cent annual increase in
national income which is
aimed at in the Third
Five Year Plan is a mo-
dest one in relation to
our neeiU and I am con-
fident that the national
effort ueeded for scbiev.
ing it will be forthcoming.

An essential condi-
tion for the suooess of
the Plan is that, by im
provement in the efficien-
cy of our administration,
we would get the best
results possible in the
shape of increased pro-
duction from investments
in large projeots that have
been made in the First and
Second Five Year Plana and
are proposed to be made
iD the I bird Plan.

I shall first refer to
our outlays on large and
medium irrigation projeots.
The total expenditure on
these in the First and
Second Five Year Plans
is expected to be of the
order of Rs. 770 orores.
In the Third Plan Rs.
650 orores are expeoted
to be invested This
means tbe aggregate in-
vestment of Ks. 1400
orores in the three Plans.
As the Second Finanoe
Commission has pointed
out, in most States even
the interest charges on
expenditure incurred are
not being realised. The
Planning Commission has
also pointed oat in sun
cessive reviews that there
is muoh avoidable time-
lag in the utilisati.n of
the irrigation supply avai-
lable. J his is one of the
factors responsible for the
agricultural production
targets not being reached.
If, by o*reful planning
and execution and by
establishing olose contact
with villagers, utilisation
of benefits is expedited,
additional resources will
become available and
national income will in-
crease.

We have also made
large investments in power

projects. In the First
and Second Five Year
Plans, it is expected that
about Rs. 670 orores will
have been spent on power
projeots, , hydro-eleotrio
and thermal. Here again,
tbe Second Finanoe Com-
mission has pointed out
that few of the eleotrioity
boards have been able to
secure adequate .returns—
i e, tbe interest and
other charges—from the
investments. If efforts
are made to satisfy the
demands for power at
the right time and stimu-
late demand wherever
necessary, the financial
working of these power
projeots can certainly be
improved and adequate
returns can be aeoured
after providing for dep-
reciation. It may be ad-
ded that in the Third
Five Year Plan, Rs. 980
orores are proposed to be
invested on power pro-
jeots. The need for oare-
ful administration of these
projects . in order to secure
maximum returns from
these investment* la
obvious.

We may next take
up agricultural production.
On programm -a of agri-
cultural production, in-
cluding minor irrigation
and oommumty. develop-
ment, considerable expen-
ditures are incurred in
our plans. In the Second
Five Year Plan these
amounted to Rs. 630
orores. The allocations in