NE NEWS SERVICE
PUDUCHERRY, AUG 5
Puducherry Chief Minister V Narayanasamy on Thursday said with the Centre remaining ”irresponsive” to repeated pleas of his government to sanction grants due to the union territory, a serious fiscal difficulty has emerged to implement several schemes.
In #Puducherry
-About 2000 beds arranged in Pvt. Medical Institutions to give treatment for #covid19 cases.
-Centre remains calm for repeated request to grant funds.
-Madras School of Economics will conduct detailed survey to identify lack of funds in various potential areas. pic.twitter.com/ecr0ezrBc0— V.Narayanasamy (@VNarayanasami) August 6, 2020
Addressing a virtual press conference after visiting the Covid designated Indira Gandhi Government Medical college (IGGMC) hospital, Narayanasamy said there was a fall in revenue during last four months because of the COVID-19 lockdown.
“Flow of commercial tax has fallen by 40 per cent and the Centre has not granted us Rs 560 crores as compensation for implementation of the GST during last four months,” he said adding that he had written a letter to Union Finance Minister Nirmala Seetharaman to come out with “economic bailout measure” to save Puducherry from the current fiscal crisis.
The CM pointed out that the central government had released Rs 1,700 crores to the territorial government as grant for the budget proposals for 2020-21 although Rs 2900 crores should be available as had been the practice every year all along. This reduced availability of funds had impacted the implementation of various schemes.
“Our commitment towards payment of salaries, pension for retired staff, monthly assistance to the various sections is large and hence the Centre should release the grants customarily available for budget proposals,” he said.
Narayanasamy noted that they have approached the Madras School of Economics to conduct a detailed survey to identify the various potential areas in Puducherry from where funds can be mopped up to meet their commitments.
A team of experts of the School would be on a visit to the union territory shortly and hold discussions with officials before framing a document recommending the various potential areas to augment our revenue.
As soon as the report was available from the expert body, the CM said the government would evolve schemes at the shortest notice to augment revenue.
Earlier during his visit to the IGMMC hospital, Narayanasamy said he had full picture of the requirements of the hospital particularly additional manpower including doctors and nurses needed in the hospital, which is a COVID-19 institution taking care of infection stricken patients.
