Himachal Assembly: BJP and Congress Clash Over Revenue Deficit Grant

Himachal Assembly: BJP and Congress Clash Over Revenue Deficit Grant.webp

Shimla, Feb 17 – The ruling Congress and the opposition BJP accused each other of financial mismanagement on Tuesday as a discussion on the Revenue Deficit Grant turned heated in the Himachal Pradesh Assembly for the second day in a row.

Chief Minister Sukhwinder Singh Sukhu and Leader of the Opposition Jai Ram Thakur traded accusations, claiming each other was "plunging the state into debt".

A resolution presented by Parliamentary Affairs and Industry Minister Harshwardhan Chauhan on Monday stated that, following recommendations from the 16th Finance Commission, the central government had discontinued the Revenue Deficit Grant (RDG) for 17 states, including Himachal Pradesh, from the next financial year.

On the second day of the Assembly session, the LoP claimed that Congress leaders had used "abusive language" against the Prime Minister before and after the discontinuation of the RDG.

Thakur said that his previous government had repaid loans taken by previous governments using the Rs 54,000 crore received as RDG. He stated that his government repaid loans worth Rs 6,485 crore in 2018, Rs 7,499 crore in 2019, Rs 7,438 crore in 2020, Rs 7,764 crore in 2021, and Rs 9,090 crore in 2022.

He added that the BJP repaid 95 per cent of loans during its tenure, while the current government has repaid only 60 per cent in its three-year term.

The chief minister said that previous governments received the grant to bridge the income-expenditure gap, but "it did nothing". He also asserted that the grant was the state's right, and not "charity" by the central government.

Sukhu further said that his government took a loan of Rs 23,000 crore and repaid Rs 26,000 crore, while the BJP took a loan of Rs 45,000 crore but repaid only Rs 36,000 crore. In addition to the loan, the previous BJP government received Rs 70,000 crore, he said, adding that with financial discipline, the previous government could have reduced the state’s debt.

Deputy Chief Minister Mukesh Agnihotri alleged that whenever the LoP visits Delhi, he attempts to further delay the pending central financial aid for Himachal.

He further claimed that the Union ministers tell Agnihotri that they are ready to provide funds to Himachal, but worry that the LoP would be angry.

Asking the BJP to clarify its stand on the demand for continued RDG, Agnihotri said that Thakur has been going to the public and telling them to get ready for the assembly elections because Himachal's RDG has been stopped.

Attacking the Centre, he said it is trying to weaken state governments. First, GST compensation was stopped, and recommendations have been made to stop the RDG, which will adversely affect many smaller states, the deputy chief minister said.

Agnihotri asserted that this is the time to stand together against Himachal’s deprivation of Rs 55,000 crore, and said, “Governments will come and go, but this is a question of protecting Himachal's rights, for which we all must rise above petty political considerations.”

He called the walkouts staged by the LoP “unfortunate”, alleging that the opposition turns its back whenever a resolution is passed to protect Himachal's rights.

BJP MLA from Nachan Vinod Kumar noted that it was former prime minister Atal Bihari Vajpayee who granted special category status to Himachal. He said that the Congress had “no right to criticise the Modi government” because during the past 40 years -- when the Congress was in power at the Centre -- the state received only Rs 20,956 crore.

In contrast, Himachal has received Rs 89,254 crore from the Modi-led BJP government in the past 12 years, he said.

Congress MLA from Fatehpur, Bhawani Singh Pathania, meanwhile, said that the main reason for the closure of the RDG in Himachal is the “failure of Operation Lotus” -- the BJP’s failure in forming a government in the state.

Former minister and BJP MLA Bikram Thakur asked whether the Congress, which offered guarantees during the last assembly elections, was not aware of the state's financial situation. He said the BJP is unhappy with the closure of the RDG, but the Congress government is not curbing wasteful expenditure.

Claiming that it would “not be surprising” if the central government revokes Himachal's statehood status in the near future , BJP MLA Hansraj said the state was facing bankruptcy, and also opposed the state government's rehiring of retired employees.
 
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assembly session bjp party central government funding congress party financial discipline financial mismanagement himachal pradesh assembly jai ram thakur loan repayment mukesh agnihotri operation lotus rdg discontinuation revenue deficit grant state debt statehood status
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