Rebutting the Opposition’s charge that the government is funneling money into green energy to benefit the Adani group, Finance Minister Nirmala Sitharaman on Friday asserted that it might be the Opposition’s culture to disburse largesse to their kith and kin, not of the government led by Prime Minister Narendra Modi.
Replying to the debate on the Union Budget in the Lok Sabha, the Finance Minister spoke on a range of issues, specifically underlining that the rebate up to ₹7 lakh under the new tax regime is “unconditional” and will leave more money in the hands of the people.
The FM had, in Budget 2023-24, provided ₹35,000 crore for clean energy transition – a space where the Adani Group has announced massive projects ranging from renewable energy capacity to green hydrogen production. Such allocation has been tagged ‘green growth’ in the Budget and the Opposition alleged that it was meant for Adani Group firms. The Budget had also proposed 500 new ‘waste to wealth’ plants under GOBARDhan (Galvanising Organic Bio-Agro Resources Dhan) scheme. These will include 200 compressed bio gas (CBG) plants at a total investment of ₹10,000 crore.
‘Attractive’
Sitharaman termed the reworked new IT regime as “very attractive” as the tax exemption limit has been hiked to ₹3 lakh, from ₹2.5 lakh earlier. Besides, a standard deduction of ₹50,000, too, has been allowed under the scheme. The new regime will benefit the majority of middle-class taxpayers, she said.
“Since the enhanced rebate limit is unconditional, it leaves higher disposable income in the hands of people,” said the Minister.
Sitharaman also said the Budget has maintained fiscal prudence as announced in the fiscal glide path earlier. “It is a very delicately balanced Budget,” she said, adding the government chose the capital expenditure route to revive the economy as it has a greater multiplier effect.