Jaitley promises everything to AP, but Special Status

New Delhi: The second day of discussion on Special Category Status (SCS) to Andhra Pradesh (AP) witnessed a plethora of sympathy and support to the state, but no assurance on the main demand. The Prime Minister Narendra Modi-led NDA government has indirectly clarified that Special Status to AP is no more a reality. The discussion was concluded without any voting. Expressing grief over the way NDA government is handling the special status issue, Congress party made a walk out from Rajya Sabha.

While answering to the demands and questions raised by MPs from Andhra Pradesh on Friday in Rajya Sabha, Union Finance Minister Arun Jaitley said that the Centre was extending all sorts of help to AP and has completed all the assurances mentioned in the AP Reorganization Act.

“The Special Status issue was just mentioned in the then Prime Minister’s speech only, but it’s not there in the law. The Centre is releasing funds to Polavaram project and new capital city Amaravati.”

Jaitley gave answer to the two-day discussion on the private bill on special status moved by Congress member KVP Ramachandra Rao two days ago.

Jaitely said that AP is facing revenue deficit after losing Telangana more particularly Hyderabad. Centre is aware of the fact that it would take much time for development of AP and until then we continue to support it financially.

“Earlier also Punjab was divided as Haryana and Himachal Pradesh. During Vajpayee tenure, Uttarakhand, Jharkhand and Chhattisgarh states have been formed. Unilatory resolutions passed by respective assemblies. But, Hyderabad was the key for Telangana and AP. Hyderabad is part of Telangana. That’s why AP lost it to Telangana. Perfect plan, entrepreneurship will help AP come out of revenue deficit. Whether it’s UPA and NDA, whichever party is at the Centre they have to perform as per the constitution. Several assurances given to AP and we have fulfilled all of them.”

Referring to numerorus mentions about Polavaram project by AP MPs, Jaitley said Nabard will extend funds to the project. Centre has already allocated Rs600 crore to eight projects so far. The Centre is continuously giving funds to new capital city Amaravati and backward region Rayalaseema. So far, we have disbursed Rs2,050 crore to Amaravati. Rs850 crore to Polavaram project.

Jaitely further said: “In my budget, I have offered two incentives to AP, but Congress party opposed them. Congress said if one state gets incentives, other state will lose investments. Special status means, centre contributes 90 percent and states will get 10 percent stake. Centre will provide funds to the tune of 70 percent to some states. Normally, centre contributes 60 percent, while states bear 40 percent. 280 section in the constitution clearly mentions how centre funds states.”

According to 14th Finance Commission, United AP received Rs1,10,725.82 crore. Considering this, now AP gets 58 percent means Rs64,575.30 crore. But, as per the revised calculations, about Rs two lakh crore including additional funding support allocated for the state.Dis

Considering the different situation in North Eastern states, the Centre has awarded special status to them. Uttarakhan state is full of mountain terrain, so it has been granted special status. Bihar and Odisha states are also demanding for special status.

According to 14th Finance Commission, United AP received Rs1,10,725.82 crore. Considering this, now AP gets 58 percent means Rs64,575.30 crore. But, as per the revised calculations, about Rs two lakh crore including additional funding support allocated for the state. Similarly, Bengal and Kerala are getting additional funds.