Highlights of Delhi State Budget 2016-17

Delhi government’s budget for Financial Year 2016-17, is tabled in the Delhi assembly on Monday, March 28, 2016 by Sh. Manish Sisodia, Finance Minister, Government of N.C.T. of Delhi. The key highlights of Delhi State Budget 2016-17 are as under:

Proposals Related to Taxation

•Due to transparent, honest, efficient and effective governance, the overall revenue for the fiscal year 2015-16 has grown at an unprecedented rate of 17% as compared to previous years.

•Proper care has been taken in formulation of Tax Policy so that the distributive character of Delhi is maintained.

•VAT constitutes nearly 65% of total tax revenue.

•Multiple entries relating to some items create ambiguity and confusion which leads to harassment of traders. It has been attempted to simplify the taxation by bringing them into one entry.

•Utmost encouragement to voluntary compliance of tax has been attempted for a strong partnership with trade.

•VAT rate on battery operated transport means i.e. e-rickshaw, battery operated vehicle and hybrid automobile has been proposed to be reduced from 12.5% to 5%.

•VAT on Sweets and Namkeens has been proposed to be reduced from 12.5% to 5%.

•Tax rate on readymade garments costing above Rs.5,000/- has been proposed to be reduced from 12.5% to 5%.

•VAT on marble is proposed to be reduced from 12.5% to 5%.

•VAT rate on watches costing above Rs.5,000/- has been proposed to be reduced from 20% to 5%.

•Rationalization of tax on textiles and fabrics by applying uniform tax of 5% on all varieties of textiles and fabrics (including sarees except khadi and handloom fabrics) has been proposed.

•Tax on plastic waste has been proposed to be levied @5%.

•VAT on UPS units has been proposed to be increased to 12.5%.

•Currently footwears costing above Rs.500/- and school bags costing above Rs.300/- are taxable @12.5%. It is proposed to apply uniform VAT rate of 5% on all kinds of footwear and school bags irrespective of price.

•By launching of new scheme “Bill Banvao Inaam Pao” powerful impetus has been given to public participation.

•An award scheme has been launch for “Market Association”

•In Excise Department, the Inspector Raaj has been done away and point of levy of excise duty has been shifted from transport permit level to import permit level, this has resulted 31% increase in excise revenue collection.

•Luxuries Tax collection has increased 36.7%, while Entertainment Tax collection increased to 60%. Threshold limit of luxury tax is proposed to be increased from existing Rs.750 to 1500/- per day per room.

•Introduction of self declaration proposed in luxury tax.

•Amendments have been proposed in section 17 of Registration Act so as to make compulsory registration of several new instruments.

•It has been proposed to start online search facility for registered documents shortly. All legacy data since 1985 shall be scanned digitized and readily made available to public.


Overall Budget 2016-17

 1.Budget of Government of NCT of Delhi in 2016-17 is proposed at 46600 crore

Plan Budget             Rs. 20600 crore

Non-Plan Budget    Rs.26000 crore

2.The BE of Rs.46600 crore in 2016-17 is 22.7 per cent higher than the Revised Estimates of Rs. 37965 crore in 2015-16.

3.Total financial support of 6919  crore  is  proposed  for the local bodies in 2016-17 as against Rs. 5908 crore in BE and Rs. 5999 crore in RE 2015-16.


Delhi Economy 

  1. The Gross State Domestic Product of Delhi at current prices is likely to increase to 558745 crore in 2015-16 from Rs. 494460 crore in 2014-15, indicating a growth of 13 percent.
  2. In real terms at constant prices, the growth in GSDP of Delhi in 2015-16 is expected to be 34% as against 7.6% at the national level.
  3. The per capita income of Delhi at current prices is likely to increase to 280142 in 2015-16 which is 11% higher over the per capita income of Rs. 252011 in 2014-15.
  4. The per capita income of Delhi is about three times higher than the per capita income of 92931 at the national level.
  5. The rate of inflation in Delhi was 9 percent as compared to 7.8 percent in Chennai, 7.4 percent in Mumbai and 5.7 percent at national level in the year 2015.


Honest Governance & People’s Partnership 

  1. We believe in optimum utilization of funds, honesty and sincerity in use of public money and curtailing the wasteful
  2. The Citizen Local Area Development Scheme, a participatory budgeting process under the Swaraj Fund Scheme is being extended to all the Constituencies with an outlay of 350 crore in 2016-17.
  3. All payments under various social welfare and social security schemes will be made through the Aadhaar linked Direct Benefit Transfer by using Public Finance Management System to ensure that the benefit reaches the genuine, eligible and targeted
  4. Delivery of Public Services has been made hassle free, transparent, comfortable by simplifying the process for which submission of 200 types of Affidavits have been abolished and requirement of attestation of documents has been done away
  5. It is proposed to start Aam Aadmi Canteens in Delhi for providing nutritious and hygienic food, at low prices, to citizens with plan outlay of 10 crore in 2016-17.



  1. Government has a three-fold approach towards education: first, providing adequate facilities and infrastructure; second, ensuring adequate number of capable and dynamic teachers and finally, improving curriculum and teaching practices to ensure that the students are not merely excellent professionals, but become responsible citizens and good human
  2. 8000 new class rooms are under construction which is equivalent to 200 new school buildings in single shift and 400 schools in double
  1. Estate Manager in every government school has been appointed who would be responsible for the upkeep and maintenance of the school building and
  2. Teachers and principals are to be imparted high quality training for their professional development and will be sent to some of the best universities in the world like Harvard, Cambridge and For this, Rs. 102 crore has been earmarked in 2016-17 as against Rs. 9.4 crore in 2015-16.
  3. Government is initiating multiple schemes which include the opening of school playgrounds for sports organisations, preparing world-class football grounds and tennis courts in 55 schools so that every child have access to
  4. Government is also in the process of starting a Sports School and a Sports University in
  5. Vocational training has been initiated in 205 schools for students from Class 9 onwards. For this Vocational education will be provided in all schools for which Rs. 152 crore has been earmarked in the
  6. Government is going to re-start the State Apprenticeship Scheme which had been shut down since 2006.
  7. To expand the opportunities of higher education, construction of new campuses of Ambedkar University of Delhi (AUD) will commence at Rohini and



  1. The Government undertakes comprehensive, sector wise reforms and establishing three tier systems for health care delivery which will be the biggest up-gradation of public healthcare sector in any
  2. The primary health care needs are proposed to be provided at door step of citizens through Mohalla Clinics which are the first level of health care in the state and 1000 Mohalla Clinics are likely to establish by end of the
  3. A pilot for running 100 Mohalla Clinics through empanelled doctors positioned in rented locations is being launched
  4. The health care situations which require consultation with a specialist are proposed to be undertaken at second level of the three tier health system. The government proposes to establish 150 Polyclinics out of which 20 have already been
  5. The hospitals are the third level of health delivery system. These would be developed as multi- specialty or single specialty Remodelling of hospitals are planned for adding 10000 more beds.
  6. Some hospitals are being upgraded to Super specialty level and Centers of This would decongest hospitals and create a patient friendly environment at the institutions.
  7. Government has finalized contours of sector wide, comprehensive Health Information Management System (HIMS) including a health card for citizens with a unique
  8. The Government proposes to expand diagnostics facilities and complement its capacities through PPP based lab and radiology diagnostics
  9. Existing fleet of CAT Ambulances is proposed to be expanded with 100 basic and 10 Advanced Life Support
  10. Five “One Stop Centers” are presently functional in the state to provide immediate medical, Police, counselling services to the rape Two more such centers will be functional shortly at RTRM Hospital and Dr. BSA Hospital.


Public Transport 

  1. The Government will procure 1000 new Standard Size UBS-II Compliant Low Floor height Non- AC buses and 1000 new buses under cluster scheme to be added in 2016-17.
  1. The Government would introduce 1,000 buses in the premium category through a purely market driven model to encourage the financially well-off to use public
  2. A new ISBT at Dwarka is proposed to be About 1397 new Bus Queue Shelters are proposed to be constructed under PPP mode.
  3. It is proposed to enhance one time fixed subsidy for E-rickshaw from existing subsidy amount from Rs. 15000 to Rs. 30000.
  1. To promote the use of electric vehicles, the Government will exempt road tax on registration of electric
  2. About 248 new mini buses are to be inducted increasing the total fleet of metro feeder buses to 517 on 93 routes during 2016-17.
  3. Electronic Ticketing Machines will be introduced in all the buses in addition to Common Mobility Payment Card for un-hindered access to the commuters to travel in DTC buses, metro rail and cluster


Road Infrastructure 

  1. The elevated road over Barapullah Nallah phase-II from Jawahar Lal Nehru Stadium to INA (Aurobindo Marg) will become functional in the year 2016-17and Barapullah Nallah phase-III from Sarai Kale Khan to Mayur Vihar will be completed by December,
  2. Two elevated BRT corridors are planned, one along Anand Vihar Terminal to Peeragarhi (East – West Corridor – 29 Kms) and the other from Wazirabad to Airport (North South Corridor – 24 Kms).
  3. Government is considering re-designing and street-scaping roads to tackle the problem of traffic congestion due to flaws in the design of roads and thrust upon creating infrastructure for pedestrians/cyclists.
  4. To promote public transport, cycling and making streets friendly for pedestrians and physically challenged people, redesigning of 11 roads will be done in 2016-17 as a pilot



  1. Six Ambient Air Quality Monitoring Stations are constantly monitoring the pollution levels on a real-time basis and it is proposed to increase it to nine. In addition, one Mobile Ambient Air Quality Monitoring Van is also
  2. A new scheme “Comprehensive Maintenance of Roads” will initiate the following measures: mechanized sweeping of roads ; routine washing and cleaning of street furniture and signages; collection of debris/litter through mechanical sweepers and use of disposable bio-degradable bags; periodical washing of kerb stones and subways; civil, electrical and horticulture
  3. To recycle C&D waste in-house, two C&D waste handling units of 500 Metric ton per day each at Libas pur and Tikri Border will be
  4. LED screens will be installed at different public places for displaying of pollution levels / public awareness messages / traffic information


Women Safety & Security 

  1. Wi-Fi services, GPS and CCTV cameras will be provided in all DTC and cluster buses to ensure women safety. Government has made it mandatory for all public transport vehicles, including taxies to install GPS system for tracking of the
  2. Government has deputed 4000 marshals in DTC buses to remain vigilant in the
  1. For security of people on roads, in residential areas and overall security of National Capital Territory, a new scheme for installation of CCTV cameras and surveillance system throughout Delhi is
  2. Mohalla Rakshak Dal of Civil Defence Volunteers is proposed to set up in all assembly constituencies for providing women safety with an outlay of 200 crore.
  3. Three working women’s hostels to accommodate 200 more working women will be started at Dilshad Garden, Pitampura and Vasant Village during 2016-17.


Social Security & Welfare

  1. Land for construction of four old age homes at Geeta Colony, Janakapuri, Sarita Vihar and Vasant Kunj and two homes for mentally challenged persons at Usmanpur and at Dallupura have been acquired and the projects are at various stages of
  2. Adequate lighting arrangement is being made on 42,000 dark spots identified on 421 stretches of roads for ensuring safe


Water Supply & Sanitation

  1. Government has taken a historic decision to provide clean drinking water supply to each and every household by December 300 new unauthorized colonies will be provided piped water supply in the year 2016-17.
  2. Delhi Jal Board will roll out a comprehensive rainwater harvesting scheme, water-bodies revival policy and summer action plan to ensure that Delhi doesn’t suffer in any way for want of
  3. To provide basic amenities in a time bound manner, government has decided to engage a single executing agency e. DSIIDC for doing all developmental works in unauthorized colonies.
  4. To make Delhi a ‘slum free’ city government has launched a massive programme for in-situ redevelopment and rehabilitation of JJ dwellers. An amount of 100 crore has been proposed as seed money for this project.
  5. To provide a clean and hygienic environment in JJ bastis and with a view to make Delhi ‘open defecation’ free, a massive programme for construction of new toilet blocks and to upgrade / renovate existing Jan Suvidha Complexes has been taken A plan outlay of Rs. 100 crore has been proposed for the programme.



  1. Delhi Tourism is on a mission to change status quo and ensure that Delhi becomes a world-class tourist destination and the leader in art, culture, music, theatre, film and
  2. Single window online clearance system for organising events in Delhi has been launched and it is propose to simplify the process for the restaurant and hospitality industry
  3. Government is planning to organize world-class festival called the Delhi festival. It will be a festival that celebrates the spirit of Delhi and inculcates pride in its
  4. It is propose to launch a new campaign called “Brand Delhi” and re-develop the online presence of destination Delhi through websites, Apps, Maps, Social Media and Micro-sites.
  5. A Skywalk way from Qutub Minar Metro Station to the Qutub Minar a first of its kind is proposed to be developed in 2016-17.

Source :http://delhi.gov.in/

Tag: Delhi State Budget 2016, Delhi Budget 2016-17

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