Jadavpur University has said it is facing a “critical financial position” following a deficit in its budget and the general embargo on spending will continue.
A statement, signed by JU finance officer Debasish Pal and uploaded on the university’s website on August 21, says the net deficit in the non-salary head (such as hostel and library expenses) was ₹21.98 crore for the fiscal 2022-23 and ₹19.89 crore for the fiscal 2023-24.
There is “no scope of replenishment in near future”, the statement says.
The finance officer has written: “In the current year the overall restrictions on budget provisions, especially under various non-salary essential expenditures, are decided to be continued this year also.”
The statement says: “The finance committee in its meeting dated 23rd July reviewed the critical financial position of the university and observed to maintain the status quo (continuing the restrictions).”
A JU official said the departments have been told that under heads like lab teaching, departmental research and contingencies, only 70 per cent of the budgeted amount can be spent if the annual budget is ₹3 lakh or less.
If the annual budget of a department goes beyond ₹3 lakh, only 60 per cent of what has been fixed can be spent.
The statement was uploaded a day after the university issued a circular stating that it would not pay any subsidy for the consumption of electricity by internal users, such as those who stay in the staff quarters, or external users, like those who run the canteens.
The finance officer has written: “Thus a planned and cautious approach from all concerned is very much essential to have effective use of available funds from the university budget.”
A JU official said the restrictions on expenditure were imposed in 2022 and as the fiscal situation has not improved, the restrictions are still in force.
“The deficit is being registered owing to inadequate funds support both from the state and the central government. This is triggering a mismatch between income and expenditure. So the departments have been told to opt for the effective use of available funds while giving budget proposals,” the official said.
The Telegraph reported on July 16 that the finance committee of JU had proposed to the executive council a slew of measures to mobilise resources and tackle the financial crisis the institution has been facing for years.
A teacher in the science faculty said it is “unfortunate” that the university is continuing with restrictions on essential expenditures. “If spending in areas like lab teaching and departmental research is curbed, how will we deliver? In a science department, an annual budget provision of ₹4 lakh is quite normal. If we are prevented from spending as much as 40 per cent, how could we progress?”
Another teacher wondered how the university could maintain or improve its position in an annual ranking exercise of the Union education ministry if spending is curbed in key areas.
