Telangana Deputy CM Bhatti Vikramarka Urges Greater State Autonomy and Equity in Financial Resources
Telangana Deputy Chief Minister Bhatti Vikramarka has called on the central government to grant increased autonomy to economically progressive states, advocating for a greater share of central tax revenues and more flexibility in fund utilization. His remarks were made during a conference of finance ministers from five non-BJP-ruled states in Thiruvananthapuram, Kerala, on Thursday, September 12.
Vikramarka proposed that the states’ share in central taxes be raised to 50% and emphasized the need to reduce cess and surcharges imposed by the central government. He argued that these measures would enable states to address local priorities more effectively rather than adhering strictly to centrally sponsored schemes.
Call for Balance of Power
Vikramarka stressed the necessity of balancing power between the central and state governments to ensure an equitable distribution of financial resources. He criticized the central government’s dominance, asserting that it has impeded adequate state funding and diverged from the original intentions of the Constitution’s framers. He pointed out that while the 14th Finance Commission increased the states’ share in central taxes from 32% to 42%, this adjustment did not result in a genuine increase in resources. Instead, the central government’s revenue from cesses and surcharges has surged by 28%, leading to substantial cuts in state funding.
The Deputy Chief Minister highlighted that delays in GST compensation have exacerbated financial difficulties for states, hampering their ability to draft budgets aligned with their needs and capacities. He further noted that despite southern states constituting only 19.6% of the national population, they contribute 30% to the GDP. Yet, the Finance Commission has reduced their share of tax distribution from 21.073% to 15.800%, and centrally sponsored schemes have imposed restrictive conditions that adversely affect state budgets.
Concerns Over Lok Sabha Delimitation
Vikramarka also expressed concern regarding the proposal to redraw Lok Sabha constituency boundaries based on the 2011 census. He warned that this could lead to diminished political representation for southern states, which might be unfairly penalized despite their focus on population control and social development. He suggested that India should consider adopting a system akin to that of the United States, where the number of representatives in the House of Representatives has been capped at 435 for over a century.
Vikramarka’s statements reflect a broader call for reform in the financial and political dynamics between the central and state governments, aimed at fostering greater equity and autonomy in state governance.
