VIJAYAWADA: A conclave of Finance Ministers with common ideology on Fiscal Federalism commenced in Andhra Pradesh's Vijayawada on Monday.
Finding fault with the Terms of Reference of 15th Finance Commission recommending using the population from 2011 census as a point of reference instead of 1971, Andhra Pradesh Chief Minister N Chandrababu Naidu described it as penalizing the progressive and performing states.
Addressing the inaugural session of ‘Conclave of Finance Ministers with common ideology on Fiscal Federalism' underway in Amaravati on Monday, the Chief Minister said it is not acceptable.
“The South Indian States including Andhra Pradesh have implemented population control measure and stabilized the population after much effort. In Andhra Pradesh, we were able to control the population growth after a lot of efforts. Now the proposed TOR of the 15th Finance Commission for using 2011 census will only put our state and the other South Indian States at a disadvantage,” he said.
He said if the same reference is used for MP seats, South Indian states will be left with nearly half of the seats they have now and will lose their voice in Parliament. “Even during the two delimitations of constituencies taken up in last decade, 1971 population was used as a reference,” he pointed out.
Reiterating that progressive states and performing states should not be penalized, he stressed the need for Centre to stick to cooperative federalism. On the occasion, he recalled the contribution of TDP founder and former Chief Minister NT Rama Rao’s behind Sarkaria Commission to determine better working relations between Centre and State.
Chandrababu Naidu said slow down in population has become a cause for concern now and if it continues it would create problems like in Japan. “Now we are focusing on increasing population,” he said. He said if there are any violations on the front of FRBM, it is by Centre than states.
The Chief Minister also explained that Andhra Pradesh having low Per Capita Income compared to other states in South India and how the bifurcation has affected the state’s economy, the failure of the Centre in keeping the promises made to the state for according the Special States to tidy up the economic imbalance.
Stating circumstance differ from State to State, he said those respective states have to come out with their own ways to deal with the situation. “You can not say this is right and this is wrong, it should be done and should not be done. It is against the spirit of cooperative federalism,” he said.
Earlier in his introductory remarks, Andhra Pradesh Finance Minister explained the objective of the conclave which is to discuss the draft common Memorandum, incorporating the common concerns of all participating States, to be submitted to Hon’ble President of India, urging the President to reframe the ToR in order to prevent a federal imbalance of the country.
“In normal times, the constitution is framed to work as a federal system. It is only in times of war, that the constitution is so designed as to make it work as though it was a unitary system. But the centralizing tendency evident from the ToR of 15thFC gives an impression of an imminent threat to the nation because of which financial autonomy of States is to be limited,” he said.
Puducherry Chief Minister V Narayana Swamy also found fault with the approach of Central Government and described it as detrimental to Centre-State relations. He stressed the need for President’s intervention in the matter.