The Tamil Nadu government has made demands in the pre-budget meeting in Delhi for disaster fund, expansion of highways and railways.
Union Finance Minister Nirmala Sitharaman presided over the pre-budget consultation meeting at Bharat Mandapam in Delhi today. On behalf of Tamil Nadu, Finance Minister Thangam Thannarasu and Finance Secretary Udayachandran and Deputy Secretary Prateek Dayal have participated in this meeting. Speaking at the meeting, Finance Minister Thangam Thannarasu emphasized various demands on behalf of Tamil Nadu.
In the 2021-22 budget speech, the central government announced the second phase of the Chennai Metro Rail at a cost of 63,246 crore rupees. The scheme has been recommended by the Planned Investment Board but is awaiting the approval of the Union Cabinet Committee on Economic Affairs for the past 3 years. The scheme should be approved immediately and the central government should ensure fresh allocation of funds for this scheme.
The Government of Tamil Nadu has submitted a separate report on the impact of two natural calamities in Tamil Nadu last year. And while the state government had demanded Rs 37,906 crore as disaster relief fund, the central government has released only Rs 276 crore.
This is an injustice done to Tamil Nadu. Therefore, the central government should allocate sufficient funds to the disaster-affected states, which is seen as a reasonable amount to be given to the states, and the central government should allocate 3000 crore rupees to the Tamil Nadu government to carry out the necessary degradation works in the affected areas of Tamil Nadu in the limited budget plan.
As a result of the suspension of GST compensation by the Central Government on 30.06.2022, the Government of Tamil Nadu has lost Rs 20,000 crores in revenue every year. Therefore, the Central Government is requested to incorporate the Surtax and Surcharges in the basic rates of taxation so that the states have a fair share of tax distribution.
As the allocations for various schemes are not based on present day expenditure, state governments have been forced to shoulder a major portion of the scheme expenditure.
In particular,
* Under the Prime Minister’s Housing Scheme, the central government provides only Rs 1.5 lakh per house, while the Tamil Nadu government contributes Rs 12 to 14 lakh per house.
* Under the Prime Minister’s Housing Scheme, the central government provides only 0.72 lakh rupees per house in rural areas while the state government provides 1.68 lakh rupees.
* Under the National Social Justice Assistance Scheme, the Central Government provides a monthly contribution of Rs.200 to the beneficiaries of old age pension and Rs.300 per month to each widow and disabled beneficiary, as this amount is not sufficient, the Tamil Nadu government like other states has increased this amount and provides a monthly pension of Rs.1200 to each beneficiary.
Therefore, considering the present needs, the central government is requested to increase their contribution amount and provide at least 50 percent contribution amount.
The ceiling of net borrowing by the states every year is set by the central government at three percent of the gross state domestic product. Due to continuous underestimation of the GDP calculated for the state of Tamil Nadu, there has been a shortfall in borrowing to the extent of 8,500 in the last 4 years. The Central Government is requested to consider these suggestions as it is considered reasonable to make appropriate changes in the calculation of the State GDP in the coming year.
The central government has been treating Tamil Nadu with a stepmotherly attitude when it comes to sanctioning large-scale infrastructure projects. There is a need to lay new railway tracks to promote industrial development in the state. In the upcoming budget, 4th railway line between Tambaram and Chengalpattu, Tirupattur- Krishnagiri – Hosur new railway line, Madurai- Thoothukudi via Arupukottai (143.5 km), Meenjoor- Thiruvallur – Sri Perambatur- Oragadam- Singha Perumal temple. – High speed railway line connecting Madurathangam, Salem-Hosur-Bangalore and Coimbatore-Ernakulam with extensions to Chennai-Salem Coimbatore should be taken up on priority in the national highway projects, Tambaram to Chengalpattu high level road and Chengalpattu to Tindivanam high level road system.
In 2005, the Chennai Kanyakumari Corridor Project was upgraded to a 4-lane highway by the National Highways Authority. Nowadays, the number of transport vehicles has increased manifold and road accidents are causing serious injuries and fatalities. Therefore, it has been requested that the Central Government should allocate sufficient funds for the new scheme to expand this scheme.