Lt. Governor Manoj Sinha said on Monday that with the support of the Centre, Jammu and Kashmir is on the path to shed “debt-ridden” tag and becoming a self-reliant Union territory (UT).

Addressing a press conference in Srinagar, Sinha said that J&K was earlier known as a debt state, but during the past five years efforts have been made to improve its economic condition.

He said that the J&K administration got huge power debts amounting Rs 28,000 crore as a legacy, but “we have been able to repay it. I also want to put it on record that J&K people are getting cheapest power and there has been no power hike in the past three years”, the LG said, adding that people have to pay for the government services they avail.

“People must cooperate with us and pay for the power they use so that we can ensure 24×7 electricity for them,” he said, adding that the metering has been a successful step to prevent power theft.

He said that the region has seen a period marked by peace, prosperity, and optimism. “The Lok Sabha elections saw an unprecedented voter turnout of 58 percent, which was a remarkable achievement.”

Sinha highlighted that the recently approved J&K budget for 2024-25 stands at Rs 1,18390 crore, a significant increase of Rs 30,889 crore from the previous year. This budget aims to boost key sectors like agriculture, horticulture, and infrastructure development.

In addition, a special additional grant of Rs 5,000 crore as additional central assistance is being provided in the current financial year. As a result of this, Rs 17,000 crore of central assistance, the fiscal deficit to GDP ratio will reduce to 3% in this financial year. This increased assistance along with the above noted efforts would lead to complete improvement in fiscal position enabling the UT government to work towards fulfilling the developmental needs and aspirations of the people, while maintaining stable fiscal health.

The government of India is supporting to enhance Power Generation from 3500 MW to about 6500 MW till 2026-27. So far, Government of India has provided equity share of Rs. 2430.60 crore to the UT for development of 04 new Hydro Electric Projects.

One of the major achievements, according to the LG, is the stability in power tariffs over the past three years. “Despite challenges, we have kept electricity prices lower than in Punjab, Himachal Pradesh, and Haryana. We have also successfully reduced transmission and distribution losses by 25 percent,” he said.

The LG also addressed the challenges posed by the 2014 floods and the COVID-19 pandemic, describing them as significant obstacles in J&K’s infrastructure development journey. However, he did not comment on the current security situation in the region.

In a bid to diversify tourism, border tourism in areas of Kashmir valley like Gurez, Keran, Lolab and Teethwal etc. has received domestic tourist arrival of 1.5 lakhs during 2023. New initiative for development of infrastructure and basic amenities in 12 off-beat tourist destinations, 6 each in Jammu and Kashmir divisions, with the objective of enhancing tourism appeal and expanding local business and job opportunities, he added.