Covid shadow: Panjab University expects ₹31-crore revenue gap for 2020-21

The matter was discussed in the last meeting of the budget estimate committee of PU

Despite various austerity measures taken by Panjab University in the wake of revenue losses due to the pandemic, the varsity is still expecting to face a revenue gap of ₹31 crore under the income heads of examination fee and income from hostel during the financial year 2020-21.

The varsity is expecting to receive ₹135 crore as compared to the estimated ₹157 crore under the income head of examination fee. (HT FILE PHOTO)

The matter was discussed in the last meeting of the budget estimate committee of PU. The varsity is expecting to receive ₹135 crore as compared to the estimated ₹157 crore under the income head of examination fee. Also, under the head income from hostels, the varsity has revised the estimated ₹2 crore as compared to the earlier estimates of ₹11 crore.

A member of the panel said, “Despite our efforts to minimise the losses, there will be some revenue gap this year.” The members have observed that the examination fee for the even semester of newly admitted/to be admitted students will fall in the next financial year.”

The committee also observed that since the revenue budget substantially comprised establishment expenditure (salary, pension, retirement benefits etc) and the essential expenditure on running, operations and maintenance services, therefore there was hardly any scope to further reduce the revenue budget of PU in tune with the estimated revenue.

₹2 crore for various arrangements

The panel also recommended that in the wake of the pandemic, a lump sum provision of ₹2 crore should be recommended out of the budget head development fund, which will be utilised for various purposes including expenditure on special arrangements to be made for making the hostels functional, purchase of various items to facilitate online teaching and for providing necessary infrastructure for online examination.

Against the earlier recommendation of the committee to reduce the budget meant for sports activities by 40%, the office of the director of sports has informed that as per the schedule given by the competent authority, the sports events have to be conducted in March, therefore budget meant for sports activities cannot be reduced.

Request for grant

The members of the panel unanimously recommended that PU should reflect the projected revenue gap in the budget and request the government of Punjab and central government to release a supplementary grant to cover the projected gap.