Congress MLA K M Shivalinge Gowda urged the Karnataka Government on Thursday to release a white paper detailing funds released by the Centre to the state and the gradual reduction in the funds for centrally sponsored schemes.
Shivalinge Gowda said that a white paper would allow residents of the state to come to their own conclusions about Karnataka’s fiscal affairs. “Under the existing system, the Centre shares resources with the state and vice versa. But due to the Central Government’s stepmotherly treatment, the overall development of the state has declined,” he said in the Legislative Assembly.
The white paper should disclose both the allocation announced by the Centre and the amount actually received by the state, he said. Citing an example, he said the Rs 5,300 crore announced for the Upper Bhadra project in 2023 was yet to be released. Similarly, he said that while state expenditure under the Jal Jeevan Mission was around Rs 31,000 crore, the Centre released only Rs 11,000 crore till date.
Shivalinge Gowda noted the agreement made between the Centre and states to compensate the shortfall faced by states after the GST regime came into being. “The Centre had assured states that it would address the shortfall in taxes. This was not fulfilled. GST compensation provided to states was stopped after 2022,” he said, blaming the Central Government for the financial strain faced by Karnataka.
Shivalingegowda urged the Government to take a delegation to the Centre to seek more funds for development projects in the state.
Shivalinge Gowda’s address under rule 69 in the state legislature saw frequent interruptions from BJP legislators, who accused the MLA of blaming the Centre for the fiscal troubles of the state. BJP MLA Suresh Gowda said that Shivalinge Gowda should declare that the state government has gone bankrupt, rather than pointing fingers at the Central Government.
Energy Minister K J George said that Karnataka had received only Rs 65,000 crore as the state’s tax share when it had sent to the Centre Rs 4.2 lakh crore in taxes.