Viksit Odisha / Odisha Government Slams Departments over Slow Budget Spending

Key Points
Odisha government flags slow plan expenditure across departments, with major schemes showing negligible spending. Departments ordered to accelerate approvals, return unused funds, and boost implementation to meet developmental priorities.
Bhubaneswar, Jun 17: The Odisha government has expressed serious concern over the sluggish pace of plan expenditure across several key departments, warning that delays could undermine the state’s developmental priorities.
A high‑level review meeting chaired by the Development Commissioner‑cum‑Additional Chief Secretary Deoranjan Kumar Singh examined the expenditure status of 14 major departments and found worrying trends.
As of the end of April in the current financial year, Odisha’s total plan expenditure stood at ₹6,487 crore — only 3.5 per cent of the overall budget. Officials noted that the implementation of centrally sponsored schemes has been hampered by procedural and administrative issues linked to the SNA‑SPARSH system.
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To address these bottlenecks, the government has decided to convene a special meeting involving the Reserve Bank, Treasury, and concerned departments.
The review highlighted poor performance in several departments.
The Works Department, with a budget of ₹10,726 crore, had spent only 5.11 per cent by May 25. Officials were advised to expedite administrative approvals for large capital projects.
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✨Similarly, the Panchayati Raj and Drinking Water Department, despite having a budget exceeding ₹25,000 crore, recorded a meagre 1.03 per cent expenditure. Flagship schemes such as Antyodaya Housing, Bikasita Gaon, Bikasita Odisha, and Basudha were singled out for urgent acceleration.
Particular dissatisfaction was expressed over the Commerce and Transport Department. Despite allocations of ₹1,085 crore for the Chief Minister’s Bus Service and ₹1,103 crore for the Atal Bus Stand project, no expenditure has been incurred so far.
The Odisha State Road Transport Corporation (OSRTC) has also failed to utilize funds, prompting instructions for immediate review and corrective action.
The Sports and Youth Services Department presented another worrying picture. Against a budget of ₹1,150 crore, expenditure stood at just 0.47 per cent, with no spending yet on infrastructure projects worth ₹900 crore. The department has been directed to fast‑track approvals and clear pending proposals.
The Health and Family Welfare Department fared slightly better, with 7.51 per cent expenditure. However, concerns were raised about the quality of medicines supplied under the Niramaya scheme. The government warned of strict action against suppliers providing substandard or expired drugs.
The Forest, Environment, and Climate Change Department recorded the lowest performance, spending only 0.10 per cent of its ₹2,216 crore budget. Authorities instructed the department to take immediate corrective measures and prepare a coordinated action plan to address climate change impacts.
The meeting concluded with strict directives to all departments: return unused funds lying in bank accounts to the state treasury, expedite pending EFC and SFC approvals, and align spending with budgetary provisions.
The government emphasized that timely expenditure is critical
to ensuring the success of developmental schemes and meeting the needs of
citizens.
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