Tamil Nadu ask Centre to release Rs 2,000 crore immediately

State Chief Minister apprised ground situation to the Union Finance Minister and sought more financial assistance

Tamil Nadu Government has asked the Centre to sanction Rs 2,000 crore immediately to enable the State Government to sustain the restoration operations.

During a meeting with the Union Finance Minister Arun Jaitley today at Chennai, Tamil Nadu Chief Minister J Jayalalithaa said "considering the severity of the devastation, a further on account release of Rs 2000 crore, may be sanctioned immediately to enable the State Government to sustain the vigour of the restoration operations".

It may be noted already the Prime Minister Narendra Modi sanctioned Rs 1900 crore in two different occasions to the state.

At the meeting today, the Chief Minister apprised the Union Finance Minister of the calamity of unprecedented magnitude that struck the coastal Districts of Tamil Nadu including the city of Chennai, Kancheepuram, Tiruvallur and Cuddalore.

She once again requested the Centre to support for its plans for rehabilitating around 50,000 families who live along the city's waterways - Adyar, Cooum and Buckingham Canal and who have lost their homes by providing alternative housing is the highest priority of the Government of Tamil Nadu. Out of these 50,000 families, the Government of Tamil Nadu would be able to accommodate 25,000 families in tenements already constructed and under construction by the Tamil Nadu Slum Clearance Board.

The resettlement of these 25,000 families is to commence within two weeks and completed in phases within a year. Until such time that these families move to alternative housing, the State Government will provide temporary housing at its own cost. For the remaining 25,000 families, and for a further 25,000 families residing in the vicinity of other water courses and water bodies in Chennai city and its suburban areas, affected in the recent flooding Tamil Nadu has prepared a special project which will need total funding of Rs.5,000 crore.

The Chief Minister reiterated the request made to the Prime Minister to approve financing for this massive housing project as a special scheme by providing a special dispensation, considering the magnitude of the devastation.

As a special measure, she said, the banks may be directed to provide a limited moratorium on repayment, as well as a rescheduling of the loans, which would lower the Equated Monthly Instalment (EMI) payments and offer a measure of relief to the flood affected households

The Chief Minister thanked the Prime Minister and the Union Finance Minister for the timely release of Rs 1000 crore from the National Disaster Response Fund on December 3, 2015 recognising the floods as a "calamity of a severe nature".

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