Raipur: Chhattisgarh Chief Minister Bhupesh Baghel urged the central authorities to increase the compensation interval of the Items and Companies Tax (GST) past 2022 by 5 years on Friday (November 12, 2021). Chhattisgarh CM additionally requested the Centre to reinforce the share given to the state in centrally-sponsored schemes.

Chhattisgarh CM wrote a letter to Union Finance Minister Nirmala Sitharaman and sought monetary assets for Chhattisgarh, citing that the state has been grappling with income shortfall as a result of COVID-19 pandemic and going through difficulties within the clean operation of public welfare schemes, an official mentioned.

“The state governments have restricted monetary assets. Resulting from COVID-19, there was a significant decline within the state’s income within the final two years, because of which the state authorities has been going through immense difficulties within the clean operation of public welfare schemes,” the chief minister acknowledged within the letter.

“The state is anticipated to get Rs 6,500 crore by means of GST compensation from the Centre within the present monetary yr, however within the subsequent fiscal, this quantity will solely be given for the primary quarter (April-June), which shall be round Rs 1,700 crore. No association has been made by the 

Centre to compensate the income lack of about Rs 5,000 crore to the state,” he mentioned.

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Baghel in his letter additionally mentioned that Chhattisgarh will endure extra income loss if the compensation isn’t supplied, and seeked extension within the interval of GST compensation by 5 years after 2022.

“In 2014-15, the state had acquired Rs 7,658 crore as Centre’s share within the central schemes, whereas the state share in these schemes was Rs 2,622 crore. The common ratio between the Central and state share was then 75:15,” Baghel mentioned.

Chhattisgarh CM additional added that nonetheless, in 2021-22, the ratio turned 64:36, because the Centre’s share in central schemes was Rs 9,794 crore, whereas the state contributed Rs 5,592 crore. There was a mean discount of 11 p.c within the Centre’s share, which has elevated the monetary burden on the state.

Baghel additional urged the union minister to sanction Rs 4,140.21 crore collected by the Centre as a penalty from coal miners who had been allotted mines within the state.

“The Supreme Court docket in 2014 had cancelled the allocation of 215 coal blocks within the nation. As per the order, a penalty of Rs 295 per tonne was imposed on firms that had been allotted mines. The businesses later deposited the penalty to the Centre. The Chhattisgarh authorities is entitled to Rs 4,140 crore deposited by firms, who got mines within the state, to the Centre,” the chief minister mentioned.

The chief minister additional appealed to the Centre to permit the manufacturing of ethanol from the excess paddy procured from farmers within the state.

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“Resulting from surplus manufacturing of paddy within the state and lack of requisite cooperation from the Central authorities in its disposal, the state authorities has to endure enormous losses yearly. The state authorities has signed a memorandum of understating (MoU) with eight personal buyers for manufacturing ethanol to the tune of over 12 crore litre every year. For this, the co-operation of the Centre is critical,” he mentioned.

“The Meals Company of India has determined to just accept 61.65 lakh MT of ‘arwa’ rice within the central pool from the state. Prior to now, the usna rice had been procured. The Centre has been procuring usna rice from different states,” Baghel mentioned, looking for that the FCI ought to enable not less than 24 lakh MT usna rice to be accepted from the state.

(With PTI inputs)

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