Shimla, June 24
Chief Minister Thakur Sukhvinder Singh Sukhu has urged the 16th Finance Commission to recommend substantial financial assistance to Himachal Pradesh. During the Commission’s three-day visit to the state, the government presented its financial needs and highlighted critical issues affecting the region’s development and sustainability.
Addressing the Commission, CM Sukhu emphasized the state’s significant contributions to national security and environmental preservation. He stressed the importance of developing border areas to ensure security and provide essential services to prevent the exodus of residents. Highlighting the state’s vulnerability to natural disasters, he called for prioritized disaster management and relief funds. Sukhu pointed out that the central government has yet to release Rs. 9042 crore for damages incurred during last year’s heavy rains and flash floods.
The Chief Minister noted that Himachal Pradesh’s efforts to maintain the Himalayan green cover result in substantial revenue losses, which have not been compensated. The state’s ban on tree felling, aimed at environmental conservation, further limits potential revenue generation. Additionally, the state has faced restrictions under the Forest Conservation Act (FCA) since 2017, which has hindered development projects.
Sukhu also mentioned Himachal Pradesh’s pivotal role in national development, citing the provision of fertile land for major projects like the Bhakra and Pong dams. These projects supply water for irrigation and power to neighboring states such as Haryana, Punjab, and Rajasthan. Despite these contributions, the state has not received corresponding financial support, nor has it gained control of the Shanan power project after the lease period ended.
The Chief Minister highlighted recent state initiatives aimed at boosting the economy, such as closing non-viable institutions and promoting a green economy. Efforts to strengthen the rural economy include focusing on agriculture, animal husbandry, and horticulture. These steps, he argued, are essential for the overall development of the state given its tough geographical conditions.
Chairman of the 16th Finance Commission, Dr. Arvind Panagariya, commended Himachal Pradesh’s achievements in the education and health sectors. Deputy Chief Minister Mukesh Agnihotri, along with other ministers, provided valuable input during the meeting. This included Agriculture Minister Chander Kumar, Industries Minister Harshwardhan Chauhan, Education Minister Rohit Thakur, and others who discussed their respective sectors’ needs and strategies.
Finance Secretary Devesh Kumar presented a detailed overview of the state’s financial situation to the Commission. The meeting included Commission members Ajay Narayan Jha, Annie George Mathew, Dr. Niranjan Rajadhyaksha, Dr. Soumya Kanti Ghosh, Secretary Ritvik Panda, Chief Secretary Prabodh Saxena, Secretary Education Rakesh Kanwar, and other senior state officials.
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