CHENNAI: Union Finance and Corporate Affairs Minister Nirmala Sitharaman on Tuesday instructed insurance companies and the district administration to settle the claims of the eligible 2.5 lakh farmers covered under the Pradhan Mantri Fasal Bima Yojana (PMFBY) in Thoothukudi as the state kept its fingers crossed over the release of funds under the National Disaster Response Fund.
Usually, the Centre allocates funds for disasters in states. Under the 15th Finance Commission, the state's share was Rs 900 crore. This includes a 75% share from the central government share and a 25% state share. The state is seeking the funds under the NDRF, which is kept for states hit by national calamities. The state has been seeking more than Rs 5000 crore for the southern districts under the NDRF fund while for the Chennai floods, it has sought Rs 7,033 crore. Under the ad hoc basis, the state has pushed for the release of Rs 2,000 crore as relief measures for the flood-hit.
The announcement to settle the claims of the farmers was made after the minister visited the flood-hit Thoothukudi district which was ravaged by floods due to extreme rainfall last week. The total area covered under PMFBY in Thoothukudi district is 1.38 lakh hectares. The insurance companies were instructed to organise a series of camps in the coming days for the flood-affected areas for fast settlement of various insurance claims in coordination with the district administration.
The chairman and managing directors of insurance companies assured the Finance Minister that they would take all necessary measures to expedite the settlement of claims about the flood.
Sitharaman visited the flood-affected areas of Thoothukudi district and interacted with the residents in Korampallam and Maravanmadam in Thoothukudi Taluk, MurapanaduKovilpathu, Srivaikuntam Taluk and Manathi and TherkuValavallan in Eral Taluk, covering a total distance of about 120 kms – and instructed the officials to assist all those affected at the earliest.
During the visit, the minister inspected the damage-hit areas in various taluks and villages of the district. She also interacted with the people and assured them of all possible assistance from the government. Several women, many of whom lived in the shelter, had lost their homes during the floods and sought assistance. The district administration was directed to use the PM Awas Yojana funds to rebuild the houses of eligible women and devise ways in which houses could be rebuilt for those people not covered under PMAY.
People in Srivaikuntam apprised the minister that horticulture has taken a major hit in the area, with many hectares of agricultural land being covered with river sand, making it unfit for cultivation. She directed the district officials to take necessary steps to provide relief to the horticultural farmers.
During her travel through the district, many women entrepreneurs apprised her about the loss of inventory and products made by them recently for Pongal and upcoming festivities. In this regard, the Finance Minister directed the officials to support and provide necessary relief to the women-run local businesses, engaged in making clay utensils, other pottery products and rangoli colours, etc who had lost their inventory due to floods.
The Finance Minister noted that all officials and agencies should work together and have a plan in place if such events occur in future. She also emphasised the need to establish a robust early warning mechanism in the event of potential breaches or overflows of water bodies. She highlighted that this system could be important in detecting and alerting relevant authorities and communities, thereby minimising the risk of damage to property and loss of life in such situations. She also asked the administration to strengthen the embankments.
Once the authorities of the state government take steps as per the RBI’s guidelines in declaring a natural calamity, the banks were directed to follow the RBI’s guidelines and take initiatives through the State Level Banking Committee (SLBC) process to provide relief to the borrowers.
L Murugan, Union Minister of State for Fisheries, Animal Husbandry and Dairying and Information & Broadcasting, Lok Sabha MP Kanimozhi Karunanidhi, Tamil Nadu Finance Minister Thangam Thenarasu, former Union Minister Pon Radhakrishnan, MLA Nainar Nagendran, P Sasikala, former MP and senior officials of the state government, including SK Prabhakar, Commissioner Revenue Administration, were present during the meeting.
Later, speaking to The New Indian Express, DMK MP Kanimozhi said that the review meeting with the Union Finance Minister went quite well and she was briefed by officials about the areas hit by the flood. Finance Minister Thangam Thennarasu accompanied the minister during her visit to the areas devastated by the floods. She said that the Thoothukudi district was the worst hit during the floods triggered by extreme rainfall.
Recounting the plight of families in Thoothukudi district, Kanimozhi said that almost everyone was hit by the disaster. "People lost everything. Farmers lost crops, Small shops were inundated as such they are in debt. Huts and concrete homes were destroyed. The entire infrastructure got damaged. The salt pans, brick kilns and traders were impacted. We are hopeful that the Centre will help the state by providing funds adequately to rebuild the infrastructure," the DMK MP said.
The state government has submitted a comprehensive 72-page memorandum to the Union minister. Chief Minister M K Stalin said that the memorandum underscored the critical need for funds in response, relief and restoration efforts for Southern Tamil Nadu following extreme rainfall in the four districts of Thoothkudi, Tirunelveli, Tenkasi and Kanyakumari. He said, “Having weathered 50 cyclones in the past century, Tamil Nadu, with the second-largest coastline in India, remains under constant threat. Recent torrential rainfall in southern districts adds to the woes.”
Stalin tweeted, "With only limited funds available under the State Disaster Response Fund (SDRF), the damage far exceeds the current resources. Tamil Nadu earnestly seeks substantial assistance from the Union Govt to confront these unprecedented challenges."
The state has been depending on the defence forces to carry out relief operations after the rail and road infrastructure was impacted.