BJP urges Centre to include Puducherry under recommendations of Finance Commission

The BJP, a constituent of the ruling AINRC-led NDA government, has also sought the inclusion of Puducherry under the ambit of the Finance Commission’s recommendations.

The BJP, a constituent of the ruling AINRC-led NDA government, has also sought the inclusion of Puducherry under the ambit of the Finance Commission’s recommendations.

In a memorandum submitted to Union Finance Minister Nirmala Sitharaman during her visit to Puducherry on Friday, party president V. Saminathan said the Union Territory has not been considered for devolution of funds as per the recommendations of the Finance Commission. This is despite the UT having a legislature, the memorandum said.

Urging the Centre to consider the inclusion of the UT under the terms and reference of the next Finance Commission, the party president said the inclusion of Puducherry would help the government receive more funds. He also requested the Union Finance Minister to increase the Central assistance given to the UT annually, by 10%, until it was included in the recommendations of the Commission.

The party also requested the Union government to include Puducherry under the Centre’s Financial Assistance to States for Capital Investment to fund infrastructure projects such as the airport expansion, the construction of the new Assembly complex and the establishing of medical and law Universities.

In a separate memorandum to Ms. Sitharaman, Minister for Civil Supplies A. K. Sai J. Saravanan Kumar has urged the Centre to allow the UT administration to re-open ration shops. The government was in favour of distributing free rice through Public Distribution System outlets rather than the disbursement of money meant for the rice into the accounts of beneficiaries, he said in the memorandum.

The Minister also urged the Finance Minister to provide GST relaxation for traders operating in the UT. The traders in the region are not able to do more than ₹1 crore business as their trading operations are within the limited geographical area of the UT, he said, while traders in other regions are eligible for GST relaxations as they do inter-State business. So, traders in Puducherry should be given GST relaxations, Mr. Kumar said.