HP Dy CM to raise RDG issue with PM, says Delhi visit pre-planned

HP Deputy CM Mukesh Agnihotri will raise the discontinuation of the Revenue Deficit Grant with PM Modi. He clarified the Cabinet's Delhi visit is a routine meeting with Congress leadership, not specifically for the RDG issue, which causes an annual loss.

Seeking the Centre's intervention on the discontinuation of the Revenue Deficit Grant (RDG), Himachal Pradesh Deputy Chief Minister Mukesh Agnihotri on Thursday said the state government will place its concerns before Prime Minister Narendra Modi, even as he clarified that the Cabinet's visit to Delhi was part of a pre-scheduled engagement with the Congress leadership.

Speaking with ANI before leaving for Delhi for a meeting scheduled on Friday, Agnihotri said the Himachal Pradesh Cabinet's visit had been planned earlier and was not convened specifically over the RDG issue. "The Cabinet visit to Delhi is part of our routine meetings with the Congress high command. These meetings are held regularly. This is not a meeting called for any specific agenda," Agnihotri said.

Financial Impact of RDG Cut

However, he added that the discontinuation of the Revenue Deficit Grant would naturally figure in discussions with the party leadership. "When we meet the leadership, we will certainly raise the issue that the Centre has decided to stop the Revenue Deficit Grant, which will cause Himachal Pradesh an annual loss of around Rs 10,000 crore," he said.

Agnihotri said the meeting would review the government's three-year tenure and future planning, along with organisational matters and issues related to Himachal Pradesh. He noted that although the meeting was not specifically about RDG, the matter would be discussed.

Appeal for PM's Intervention

He urged Prime Minister Modi to intervene, saying, "We appeal to the Prime Minister to consider the special circumstances of hill states like Himachal Pradesh and ensure support from the Consolidated Fund of India."

Agnihotri Slams Opposition BJP

Taking a swipe at the opposition Bharatiya Janata Party, Agnihotri said its leaders should focus on their own party instead of questioning the Cabinet's visit. "The BJP has been exposed before the people of Himachal Pradesh. During the Assembly session, they did not support the continuation of the Revenue Deficit Grant. At least they should have stood for the state's interests," he said.

He added that governments come and go, but the financial loss to the state must be addressed collectively.

State's Dependence on Central Aid

Agnihotri stressed that Himachal Pradesh, a hill state, depends significantly on central assistance and that constitutional provisions recognise this need. "When Himachal Pradesh was formed, it was clear that the state was not financially viable and would require Central support. Articles 275 and 280 provide for such assistance through the Finance Commission," he said.

Himachal's Financial Structure

Highlighting the state's financial structure, Agnihotri said Himachal Pradesh has a limited tax base of about Rs 18,000 crore and borrowing capacity of around Rs 10,000 crore, along with roughly Rs 14,000 crore from central taxes. "Our income sources are limited, excise, mining revenues of Rs 300-350 crore, transport and power projects. With GST compensation already gone and RDG now discontinued, the state faces financial stress," he said.

Blames Previous Govt for Debt

He also blamed financial mismanagement under the previous government led by Jai Ram Thakur, alleging a heavy debt burden was left behind.

Confidence in Rajya Sabha Polls

On the upcoming Rajya Sabha election from Himachal Pradesh, Agnihotri expressed confidence in the Congress candidate's victory. "The Congress candidate will win. The BJP should remember that opportunities do not come repeatedly," he said. (ANI)

(Except for the headline, this story has not been edited by Asianet Newsable English staff and is published from a syndicated feed.)