Jagan told Modi that the repercussions of state bifurcation had affected the state’s finances badly, and as always, asked him to fulfill assurances made to the state, including special category status.

Andhra CM Jagan mets PM Modi on January 3, sought pending dues
news Governance Monday, January 03, 2022 - 19:29

Andhra Pradesh Chief Minister YS Jagan Mohan Reddy met with Prime Minister Narendra Modi for about an hour in New Delhi on January 3 and discussed several issues related to the state. Jagan last met the Prime Minister previously in October 2020. At the meeting on January 3, Jagan told the PM that the repercussions of state bifurcation had affected the state’s finances badly, and asked him to fulfill assurances made to the state, including giving the state special category status. Jagan also met Union Finance Minister Nirmala Sitharaman and discussed the same concerns with her too. 

Apart from seeking the release of pending grants from the Union government and grant of special category status to the state, Jagan also raised the issue of funds for the Polavaram multipurpose project. He stated that an amount of Rs 18,830.87 crore was due to the state from the Union government for a long time, as the Union government had assured the state back in 2014 that it would plug the revenue deficit. He also sought directions to the Telangana government to pay pending electricity bills to APGENCO (Andhra Pradesh Power Generation Corporation), amounting to nearly Rs 6,284 crore, stating that Andhra’s power companies have been facing losses. 

Jagan also stated that many people in Andhra Pradesh were not covered under the National Food Security Act. He said that nearly 56 lakh people were therefore being supplied ration by the state government under the PDS (public distribution system), placing an additional burden. He requested the Union government to survey those below the poverty line in the state and cover them too. 

Another issue that was covered was tax devolution that is pending from the Union government to Andhra Pradesh. He also objected to the net borrowing ceiling for the state being lowered to Rs 17,923.24 crore by the Union government, and requested that it be raised to Rs 42,472 crore. Jagan also sought renewal of the site clearance approval for the construction of the Bhogapuram international airport in Vizianagaram district. He also asked to ensure that the report on the establishment of a steel plant in Kadapa by MECON Limited be expedited. 

In March 2021, CM Jagan wrote a letter to the Prime Minister seeking the latter's appointment to discuss various options to revive the fortunes of the Navaratna company (Vizag Steel Plant). Jagan said he would lead a delegation of all-party leaders and representatives of trade unions (to the Prime Minister) to represent to him directly the concerns being expressed by the people of Andhra Pradesh, employees and various stakeholders on the proposed Vizag Steel Plant strategic disinvestment issue. There was, however, no follow-up action on that, even as the opposition parties and trade unions in the state have been mounting pressure on Jagan to vigorously pursue the issue with the Union government and stall the steel plant privatisation.

With PTI inputs 

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