Unilaterally deducting dues from State govts 'unacceptable':TN

Tamil Nadu Chief Minister J Jayalalithaa today welcomed the draft of the Centre-State Investment Agreement, but termed as unacceptable it's move to deduct dues from state governments, saying it was trying to pass on financial burden to states.
"Recently, the draft Centre State Investment Agreement (CSIA) has also been circulated by the Ministry of Finance. While we welcome this Government's move to actually involve States, this is an appropriate forum to voice some concerns about the draft Centre State Investment Agreement", she said at the Inter-State Council Meeting in New Delhi today.
State Finance Minister O Panneerselvam who represented the State government, read out the CM's speech.

"I am concerned that through the CSIA, the Government of India is trying to pass on some of the financial burden it may suffer and making States liable under the CSIA mechanism is unfair", she said.
"The draft CSIA permits the Government of India to unilaterally deduct any dues from State governments from the Central Government transfers to States, which is completely unacceptable", she said.
On appointment and removal of Governors as per the Justice M M Punchhi Commission report, she said "it may not be appropriate to act with haste on the recommendation providing a fixed term of five years for Governors and removal only through an impeachment process and not at the pleasure of the President".

Strongly supporting the Commission's report that the Centre share the costs incurred by States in implementation of Central legislations, she said "the present Government in the Centre has been particularly guilty in the levy of cesses and surcharges in the last two years".

"This trend must be reversed and the cesses and surcharges imposed (upon States) must be added back to the base taxes and shared with States", she said.
On the Commission's report with reference to the environment, natural resources and infrastructure, she urged the Centre to establish the Cauvery Management Board and the Cauvery Water Regulation Committee.
She also demanded speedy implementation of interlinking of Inter-State rivers, starting with the peninsular rivers.

On the Centre's Sarva Shiksha Abhiyan scheme, she said in 2015-16, the HRD Ministry approved Rs 2,329.15 crore outlay for Tamil Nadu with 60 per cent share from the Centre.
But the Centre released only Rs 821.11 crore against its share of Rs 1,397.49 crore, despite the State having submitted all necessary documentation, the Chief Minister said.
"Such shortfall in release are unfortunate, particularly under SSA which has earmarked funding through the Education cess", she added.