There are 62 large industries
including TISCO, TELCO, Bokaro Steel in Jharkhand. After the new state is formed
North Bihar will have 72 per cent of the present population, however its revenue
will be down 55 per cent.
- After the formation of
Jharkhand, Bihar will lose Rs 727 crore out of the Rs 755 crore it earns
- It will incur an additional
loss of Rs 31 crore that is generated from the forests.
- Bihar will also lose about Rs
910 crore on commercial taxes.
- The total revenue of Bihar
will stand at Rs 4,728 crore compared to Jharkhand Rs 3,707 crore.
- Bihar's non-plan expenditure
stands at Rs 7,549 crore, leaving a huge deficit--Jharkhand on the other
hand would have a surplus of Rs 472 crore.
- 65 per cent of the total
revenue of Bihar comes from the Jharkhand area.
- 80 per cent forest wealth will
go to Jharkhand as there is no forest cover in Bihar except in some pockets
of Champaran and Bhagalpur-Monghyr.
- Bihar will be bereft of mines
- Bihar will lose royalty from
minerals and other items worth Rs 1,000 crore.
- Out of a total revenue income
of Rs 4,200 crore, truncated Bihar will collect Rs 1,985 crore (47.26 per
cent) while Rs 2,215 crore (52.74 per cent) will go to Jharkhand.
- Bihar will also lose its share
in central taxes. Revenue income of Rs 5,000 crore, together with central
assistance of Rs 7,000 crore (total Rs 12,000 crore) will now remain at Rs
7,500 crore only (Rs 2,000 crore+ Rs 5,500 crore).
- Jharkhand will lose
agricultural production and will have to remain dependent on Bihar for
- Bihar will lose giant thermal
plants of Patratu, Tenughat, Chandrapura, Bokaro and heavy industries like
H.E.C., TISCO, TELCO.
- Cash balance of the State in
State Bank, Reserve Bank or any other bank will be divided according to
population ratio of the two states and on this front Jharkhand will lose
- It is true that industrial
infra-structural development in Bihar during post-independence period has
remained confined to the tribal belt. This disparity was accentuated in the
sixth, seventh and eighth five-year plans. During the sixth plan, per capita
investment in residual Bihar was Rs 461 crore, whereas in the Jharkhand, it stood at Rs 586 crore. During the seventh plan period,
investments were in the ratio of Rs 790 crore to Rs 1,171 crore. During the
eighth plan, they were Rs 1,506 and Rs 2,297 crore respectively.
- Truncated Bihar will have to
bear 70 per cent of the liabilities.
- Undivided Bihar has an
estimated debt of Rs 14,825 crore.
- As most of the power projects
are in the Jharkhand region, the power tariff loss would be Rs 500 crore.
It definitely seems that
Jharkhand would gain more than Bihar. Its per capita income would be 5.5 times
that of a divided Bihar.
- It will be one of the richest
states of the country in terms of revenue receipts.
- Its per capita income would be
Rs 3,000 while that of residual Bihar would be only Rs 535.
- Of the total revenue receipts
of Rs 10,000 crore of undivided Bihar, Rs 6,500 crore come from Jharkhand.
Thus, one-fourth of the population will take 65 per cent of the revenue
while 75 per cent of the population will get only 35 per cent.
- To augment the resources of
Bihar, a financial package to the tune of Rs 1,80,000 crore has been
demanded by both the ruling as well as the opposition parties, and in
response, the Planning Commission has set up a cell to examine the package.
There is little likelyhood of meeting the entire demands of the State but there
is the possibility of adjusting the package against already approved projects in
Bihar. Moreover, Bihar is notorious in surrendering the fund meant for
development work as it has shown no capacity to spend money or time on this,
owing to its mismanaged administration, bureaucratic apathy and corruption. On
the whole, figures indicate that Bihar will bear a greater loss as it will be
depleted of its natural and fiscal resources.