Sikkim CM Tamang seeks 'tailored' support from Finance Commission

Sikkim Chief Minister Prem Singh Tamang on Monday sought 'tailored' support from the 16th Finance Commission in view of the Himalayan state's unique challenges, achievements and aspirations.

The full team of the 16th Finance Commission, led by its chairman Arvind Panagariya, met the Sikkim chief minister at the state secretariat.

"I emphasised Sikkim's unique challenges, achievements and aspirations while calling for tailored support from the 16th Finance Commission to ensure sustainable growth for our people", Tamang said in a social media post after meeting Panagariya and the members of the Finance Commission team.

Tamang said that he highlighted Sikkim's remarkable progress, including the highest per capita income in the region, significant growth rates, and the state's role as a global custodian of biodiversity and a hub for climate change mitigation to seek additional financial support from the 16th Finance Commission.

The Sikkim CM also underlined critical challenges like road connectivity issues with NH-10, the sole road link of the state with the rest of India remaining highly vulnerable to disruptions, particularly during the post-monsoon period.

Sikkim, a border state, has only 709 km of national highways which is significantly lower than other northeastern states, Tamang said and rued that the infrastructure projects, including railways, airports and digital connectivity, have faced considerable delays.

He also asked financial compensation for the revenue Sikkim has forgone due to the commitment to green economy initiatives and that the Himalayan state is India's first fully organic farming state.

"Sikkim has earned global recognition as an organic state, but we must build on this success by introducing QR codes for organic products to enhance transparency and traceability and transforming Sikkim into India's first Green Capital through green policies, institutions, and investments," he said.

Tamang asked for financial compensation for revenue forgone due to the commitment to green economy initiatives.

The Sikkim chief minister apprised the Finance Commission team about the devastating flash floods triggered by the Glacial Lake Outburst Flood (GLOF) in North Sikkim in October 2023 which had caused widespread destruction, including damage to critical infrastructure and hydropower projects, severely affecting our revenue and demanded a substantial financial aid for rehabilitation and reconstruction.

"There is a need for financial support to address non-traditional disasters like Glacial Lake Outburst Floods and zoonotic diseases, which pose national security risks," Tamang said.

He demanded Chewa Bhanjyang Multimodal Corridor to boost trade and connectivity under the "Act East Policy", a satellite township to ease pressure on Gangtok's existing infrastructure, monorail or cable car network to enhance mobility in the state, a state-specific planning body to align development goals with 'Viksit Bharat 2047', a cutting-edge research institution for the Eastern Himalayas and neighbouring regions, a state university that is focused on developing technical, medical, and non-technical education tailored to Sikkim's needs.

The Sikkim CM also demanded greater flexibility in taxation policies to maximise revenue benefits for the state from the pharmaceutical sector as Sikkim has emerged as a major pharmaceutical hub, driving economic activity.

Tamang said that he has urged the Finance Commission to adopt a flexible, state-specific approach and necessary support to address Sikkim's unique challenges and aspirations.

"This meeting reflects our collective commitment to achieving sustainable development while preserving Sikkim's natural and cultural heritage," he said and urged the Finance Commission to provide financial support to make Sikkim a model for green and inclusive growth in India.