Chandrababu's limited choices

Andhra Pradesh Chief Minister Chandrababu Naidu has backed the financial package announced by Union finance minister Arun Jaitley on September 7. And, re-endorsed the Centre's move on the floor of the state legislative Assembly the following day, amid protests from opposition YSR Congress members.

By announcing an additional set of financial benefits for the state on top of the entitlements already incorporated in the AP Reorganisation Act, 2013, the central government showed a way for its regional ally to distance itself from the demand for special category status, that the Centre has turned down on several occasions.

The eagerness with which the Andhra government had sought to support the financial package, followed by the statements like 'the state would not gain anything more than this even if the special category status was given', has bestowed unusual unanimity in relations between the Centre and the TDP government on the question of special status, for the first time in the past two years.
 

Multiple rounds of consultations between the Union finance minister and Naidu before the final announcement also indicate a broad agreement between the two National Democratic Alliance partners about this arrangement.

However, say analysts, Naidu staying on the same page with Prime Minister Narendra Modi Government on the question of special category status only explains the underlying compulsions of a junior partner in the NDA. By accepting an alternative package, the AP government has left the entire ground to the political opposition, which has been trying to consolidate its position by using the emotional appeal of special category demand.

At the same time, the announcement of a financial package helps the BJP leadership to re-engage with the people of Andhra, constantly told by the TDP government about the 'Centre's duty' in granting special status. Naidu had allocated only five out of 25 Lok Sabha and 15 of 125 assembly seats to the BJP in Andhra in the 2014 elections, while leaving much more in Telangana.

The timing of the announcement was directed at committing the TDP leadership to the new package. There was no political force other than the TDP that was ready to endorse the Centre's decision. The state BJP leadership was told by the national party president Amit Shah to ensure the presence of TDP leaders in the public meetings they were planning to explain the benefits of the financial package. Naidu told his party there was nothing else they could do but accept what has been offered, later asking for more. For, the BJP government at the Centre is not dependent on TDP's strength in Parliament.

However, opposition parties have been aggressive and the TDP discomfort will grow until Naidu and his party convince the people to accept the idea of a financial package promising equivalent advantage to the special category status. Party insiders say Naidu had thought of reviewing the ties with BJP next year. Denial of special category status would be a good reason to exit the NDA or strongly question the BJP, depending on the situation at that point, they say.