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Explained: Who to blame for the first delay in tabling Delhi budget in 30 years?

Mar 22, 2023 08:45 AM IST

Delhi government said that the files related to the Budget were sent on March 10; that they were forwarded by LG with some queries and returned by MHA on March 17.

With the Delhi government’s annual Budget presentation delayed for the first time in the last three decades because the Union government did not sign off on it -- it will now be presented on Wednesday -- constitutional and legal experts were divided over the origin and responsibility of this unprecedented situation in the Delhi legislative assembly.

Who is to blame for delay in tabling annual Delhi Budget?. (ANI)
Who is to blame for delay in tabling annual Delhi Budget?. (ANI)

While one section of experts believed that the Budget is solely the prerogative of the elected government and the Centre’s approval should have just been a formality, another section said that such interventions are routine and the Budget date should have been announced only after a nod from the President.

PD Thankappan Achary, who is the former secretary general of the Lok Sabha and an expert on constitutional matters, said that presentation of Budget is principally the constitutional responsibility of the elected government headed by the chief minister Arvind Kejriwal and the lieutenant governor (LG) or the Union ministry of home affairs (MHA) should have no role in it.

“In essence, all other arguments are merely related to procedures. While the GNCTD Act say that LG will lay down the annual financial statement, the LG does not have any role except to sign these documents from the elected government. The Budget belongs neither to the lieutenant governor nor the central government, it is the child of the elected government,” Achary said, suggesting that the impasse was the Centre’s fault.

But SK Sharma, constitutional and parliamentary expert who was secretary to Lok Sabha and the Delhi assembly, disagreed with this point of view, arguing that interventions by MHA and the LG were permissible.

Also read: How 11th-hour drama over Delhi Budget unfolded

“I have been associated with around ten budgetary cycles in Delhi, and the queries being raised by the ministry of home affairs is a routine affair. In this case, the explanation should be sought from the finance minister as to why the dates for this session and Budget presentation were announced when the approval from the President had not been granted yet. Queries have been put up for financial approval by the MHA every year and the Delhi government sends replies to these questions. Only after everything has been settled, the dates for the budget are announced with consultation of speaker and business advisory council,” Sharma said.

The Delhi government has said that the files related to the Budget document were sent on March 10; that they were forwarded by LG with some queries; and returned by MHA on March 17. The finance minister, however, was informed about the queries raised by MHA only on March 20 -- the day before the Budget was to be presented. The queries were addressed and files sent to MHA at 9pm on Monday, and MHA finally granted its approval on Tuesday.

Sharma said that, during the 2001-02 annual Budget, the then finance minister of Delhi in the Sheila Dikshit-led government, Mahinder Singh Saathi announced the Budget date prematurely, leading the assembly secretariat to issue a show cause notice to the minister seeking explanation from him becausehe had announced the dates for Budget presentation without the necessary approval either from MHA or Speaker as well as the business advisory council of the House.

“I was involved in that process with the then Speaker Prem Singh. It is unfortunate that again in 2023,a session was called and business advisory council and Speaker approved the dates when the approval had not yet been granted by MHA,” he added.

Subhash Kashyap, constitutional experts and former secretary-general of the Lok Sabha, said that as a Union territory, Delhi is a centrally administered area and MHA approval is necessary for the Budget proposals. “While the central government has relegated certain powers to the administration in Delhi but they are still subject to a veto by the Union government,” he added.

KS Mehra, former commissio`ner of the Municipal corporation of Delhi and administrator of the Union territory of Lakshdweep said that the the union territories have been sending the budget proposals to the MHA for approval. “Delhi is not a full fledged state so center can always give instructions on these matters. But the current standoff is not a routine process. I cant recall any previous budget being stalled due to center state dispute,” he added.

To be sure, in the current instance, the Delhi government has blamed the state chief secretary and finance secretary for sitting on the queries forwarded by MHA for three days, and sending them to the government on the evening before the Budget was to be presented. The latter has denied charges while the former has not been available for comment. The Budget will now be tabled in the assembly on Wednesday.

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