Govt needs money to meet challenges, fund R&D, says FM Sitharaman

Union Finance Minister Nirmala Sitharaman on Tuesday justified the present taxation regime, saying that the country needs resources to meet the challenges facing the nation and also to fund research and development activities.

Sitharaman was addressing the 11th convocation of Indian Institute of Science Education and Research (IISER) in Bhopal.

While appealing to the scientist community to do more research on the storage of renewable energy, Sitharaman said the world has promised a lot of money towards transitioning from fossil fuel to renewable energy but that money is yet to come.

"But India didn't wait. The promises given in Paris (Paris Agreement) were fulfilled with our own money. There are times when being the finance minister, it doesn't give me motivation when I have to answer people about why our taxes are like this? Why can't we even be lower than this? I wish I can bring it down to almost nil. But India's challenges are severe and challenges will have to be overcome," the finance minister said.

She said the government has heavily invested in scientific research.

"I seek a very learned crowd before me graduates, PhD holders, to understand India's challenges. I have taken the example of renewable energy, global energy as one of those sustainable sources of energy for a growing country like India," she said.

While urging scientists to come up with innovations, she said that India is moving from fossil fuel to renewable energy at its own strength as the country cannot afford to wait for money from somewhere else.

Sitharaman also urged scientists to develop batteries for the storage of the renewable energy as transition from fossil fuel to renewable energy has to be sustainable.

"The government is just not talking. It is putting money in R&D (research and development).. Money that is earned out of taxation. That's my job so I will tell you that. My job is to generate revenue but not troubling people, I will assure that. But, even with that money comes because we also need to fund research," Sitharaman said while seeking a reply from the gathering that should there be more money for research?

Madhya Pradesh Chief Minister Mohan Yadav, Bhopal's Lok Sabha MP Alok Sharma and other dignitaries were present during the convocation.