2006 witnessed a decline of 16 per cent in the number of terrorist incidents and 28 per cent decline in civilian killings in the state, he said addressing the joint session of state legislature in Jammu.

He said the coalition government in the state, with its untiring efforts during the last four years, has been successful in bringing about big turn-around in the security scenario and created conditions for peace and tranquility.

Counter-militancy operations continued with the same vigour aimed at restoration of total normalcy, he said.

In the process, 151 personnel of Army and police have been killed, he added.

He said that in the line with the coalition government's policy to bring the wayward youth into the main stream, 51 detainees not involved in heinous crimes were released from jails during 2006 on the recommendations of screening committee.

Sinha said that his government has always supported the process of dialogue within the state and between our country and Pakistan.

"During Mufti Mohammad Sayeed government, we saw the unthinkable happening on April 7, 2005 when the bus service between Srinagar and Muzaffarabad resumed after a break of half a century, he said.

"Now under Azad, we saw on June 20, 2006 another trans-LoC bus service between Poonch and Rawalakot in Pakistan occupied Kashmir (PoK) being flagged off from Poonch.

Sinha said his government also records with deep appreciation the historic initiative taken by Prime Minister Manmohan Singh to involve all political parties and different sections of people in three regions of the state in a dialogue process through a series of roundtable conferences.

He also said that a concerted drive has been launched to improve work culture and usher in good governance.

As a part of this drive, the government has launched a strong anti-corruption drive, he said, adding properties of several public servants were attached for allegedly amassing wealth through corrupt means.

The governor said that his government also proposes to introduce a bill in the legislature for increasing the number constituencies by 25 per cent.