Himachal Pradesh CM Sukhvinder Singh Sukhu Appeals to BJP Over Revenue Deficit Grant Discontinuation
In a significant development, Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu has publicly urged Bharatiya Janata Party (BJP) leaders to engage with Prime Minister Narendra Modi regarding the discontinuation of the revenue deficit grant (RDG), rather than targeting him politically. Addressing the media upon his return to Shimla from Delhi on Wednesday, Sukhu emphasized the critical financial implications of this move for the state.
Financial Impact and Constitutional Concerns
Sukhu highlighted that the abolition of the RDG, a constitutional provision under Article 275(1) designed to bridge the gap between states' revenue and expenditure, would cost Himachal Pradesh nearly Rs 10,000 crore annually between 2026 and 2031. This substantial loss is expected to severely strain the state's finances, impacting public services and development projects.
The Chief Minister stressed the need for a unified approach, calling upon BJP leaders to prioritize the state's interests. "I have repeatedly appealed for collective action, but I doubt their willingness to cooperate," Sukhu stated, underscoring his frustration with the political opposition.
Meetings and Financial Legacy
During his visit to New Delhi, Sukhu met with former Union Finance Minister Nirmala Sitharaman to discuss the state's concerns regarding the 16th Finance Commission's report and its potential implications. He also attempted to meet Union Health Minister J P Nadda to address the RDG issue but was unable to do so due to Nadda's busy schedule during the Parliament session.
Sukhu pointed to the financial challenges inherited from the previous BJP government, including a debt burden of Rs 75,000 crore and pending liabilities of Rs 10,000 crore in salaries and pensions. He contrasted this with his administration's efforts, noting that through anti-corruption measures and systemic reforms, the state has generated an additional Rs 3,800 crore in revenue.
Comparative Analysis and Accusations
Providing a detailed comparison, Sukhu revealed that during the BJP's tenure, the state received Rs 54,296 crore in RDG, whereas his government has received only Rs 17,563 crore over the past three years. He accused the previous administration of wasteful spending, stating, "In five years of the BJP regime, they received nearly Rs 70,000 crore. If they repaid Rs 40,000 crore of the loans, the state would not have fallen into a debt trap."
Directly targeting former Chief Minister Jai Ram Thakur, Sukhu demanded an explanation for how the Rs 70,000 crore was utilized and who benefited from it. He emphasized his government's commitment to austerity without abolishing posts, while simultaneously creating employment opportunities through administrative rationalization, institution mergers, and reductions in senior cadre positions.
Ecological Contribution and Future Resolve
Emphasizing Himachal Pradesh's significant ecological role, Sukhu cited its contribution of Rs 90,000 crore to the national economy through environmental services. He vowed to continue advocating for the state's rightful resources, ensuring that its financial and ecological interests are protected in national policy discussions.
This appeal marks a pivotal moment in the state's political and financial landscape, as Sukhu seeks bipartisan support to address a looming fiscal crisis.