Chandy asks PM to consult states on Plan panel

Chandy said the "unilateral" announcement made by the PM in his Independence Day speech had raised "several concerns" for the state governments

Kerala Chief Minister Oommen Chandy has asked Prime Minister Narendra Modi to take into confidence the state governments before taking a decision on the future of Planning Commission.

In a letter to the Prime Minister, he said the "unilateral" announcement made by him (Modi) in his Independence Day speech had raised "several concerns" for the state governments.

"These major changes in policy need to be discussed and addressed by state governments also," Chandy said.

The guidelines for determination of plan allocation are formulated based on the advice of experts in the planning commission. "It is not clear as what would be the new mechanism to do this exercise", he said.

"If this responsibility is entrusted to the Union Ministry of Finance, it would adversely affect the federal system," he added.

Amidst volley of protests from Congress leaders to the proposal to wind up the Planning Commission, Chandy had on August 20 chose to adopt a "wait-and-watch" approach on the issue. "Let us see what the new system is," he said recently.