Soft budget, hard battles expected in Tamil Nadu House

CHENNAI: Land-grabbing, unified syllabus, Sri Lankan Tamils and some more, make a recipe for a turbulent budget session of the Tamil Nadu assembly that commences on August 4. What will be in stark contrast, however, is the budget, which is expected to be a soft one, considering it is the first from the AIADMK government after its resounding victory in May.

The opposition DMK, which was flattened in the assembly polls, will still have ammunition left to fight in the assembly. On top of the DMK's agenda will be ongoing arrests of its members in alleged land-grabbing cases, which the party argues is pure "political vendetta".

The DMDK happens to be the main opposition party, but it will be the AIADMK and the DMK who will battle it out in the budget session, debating issues including the universal education system (Samacheer Kalvi), the Sri Lankan Tamils' issue, and the 2G spectrum episode among others.

Political circles would keenly observe the stance of the AIADMK's allies, namely the CPM and the CPI, and the MDMK led by actor Vijayakanth. The allies have not been openly critical of the government so far, but the Left parties have voiced their support for implementing the universal education system. But chief minister Jayalatithaa Jayaram is still buying time to implement the unified education system introduced by the DMK government, and is fighting the case in the Supreme Court.

The state budget, which will be presented on the opening day by finance minister O Panneerselvam, is expected to be packed with sops and concessions, given the fact that chief minister Jayalalithaa has set herself a deadline of 18 months for implementing all her election promises.

Ahead of the budget, the state government had sought to mobilise over Rs 5,000 crore of additional revenue by hiking prices of liquor sold through state-owned Tasmac shops besides raising the VAT rates, registration fees and stamp duties.

The budget session will last over a month, making it coincide with the first 100 days of the new government. In the run up to that landmark, Jayalalithaa has been busy holding review meetings with officials of various departments.

The chief minister has reversed or scrapped some of the populist schemes of the previous DMK government and sought central assistance to tide over the debt situation, but is yet to address vital issues like the critical power situation, price rise and law and order.

The government will also be keen to make an impact on the investment front. The CM has held meetings with captains of industry, but the government is yet to sign big ticket investment proposals.

Promises to keep AIADMK poll promises

• Three cent land for the poor to build a house

• 20 kg free rice for all ration card-holders

• Free mixer, grinder, fan for housewives

• Free green houses costing Rs 1.18 lakh for 3 lakh BPL families

• Free laptops for Plus II and college students

• Free bus passes in state-run buses for those above 58 years

• Free uniform and footwear for school students

• Monthly assistance for elders to be raised to Rs 1,000

• Loans up to Rs 10 lakh for self help groups, with 25% subsidy

• Govt to nationalise cable TV service and offer it at subsidised rate

• 3% job reservation for differently-abled in government departments

• Restructured medical insurance scheme for all

• Self-employment loans up to Rs 25 lakh for educated youth

• Marriage assistance of Rs 25,000-Rs 50,000 plus four gram gold for Thali

• Mono rail in important cities

• 20,000 new factories to be established