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Centre giving step-motherly treatment to Himachal: Congress’ Jagdish Reddy on 'withholding' of grant

Alleges that the withholding of the Revenue Deficit Grant was a deliberate strategy to slow down development in the state

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Congress leader Jagdish Reddy addresses a press conference in Mandi on Saturday.
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Jagdish Reddy, Congress leader from the Seraj Assembly constituency of Mandi district, today accused the Union Government of making sustained efforts to economically weaken the democratically elected government of Himachal Pradesh. He alleged that the withholding of the Revenue Deficit Grant (RDG) was a deliberate strategy to pressurise the state government and slow down development.

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Addressing a press conference here today, Reddy said that despite what he described as “politically motivated hurdles” created by the Centre and the BJP, the Himachal Pradesh Government had ensured that development work and public welfare initiatives were not compromised under the leadership of Chief Minister Sukhvinder Singh Sukhu.

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Reddy highlighted that in 2023-2025, Himachal Pradesh faced severe natural disasters, causing extensive damage to the state’s economy and infrastructure. “Even in the face of such devastation, the state government, under the Chief Minister’s leadership, has worked with determination,” he said, adding that priority was given to disaster relief, rehabilitation, road connectivity, healthcare, education, and welfare schemes.

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He said, “The BJP-led central government wants to weaken Himachal’s government by every possible means, but the Chief Minister chose public interest over political pressure. That is why the pace of development did not come to a halt even after massive natural disasters.”

The Congress leader further alleged that whenever a non-BJP government comes to power in Himachal Pradesh, the Centre resorts to cuts in financial assistance, ignores constitutional rights, and creates economic pressure. He termed such actions as being against the spirit of India’s federal structure.

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Taking a strong stand on the Revenue Deficit Grant, Reddy said, “Himachal Pradesh is not asking for alms. RDG is our constitutional right, which is being denied for political reasons.”

He also made it clear that if the central government continued with what he called its policy of financially weakening the state, Himachal Pradesh would move firmly towards self-reliance. In this context, he referred to a proposed 10-point ‘Self-Reliant Himachal Roadmap’. Key components of the roadmap include increasing hydropower royalty, strengthening green tax mechanisms, generating sustainable revenue from tourism, monetisation (not sale) of government assets, value addition in agriculture and horticulture, and strict action against tax evasion.

Emphasising Himachal Pradesh’s contribution to the nation, Reddy said, “Himachal’s rivers, forests, and soldiers serve the entire country. Treating such a state in a discriminatory manner is not only unjust but also dangerous for national unity and the federal system.”

He demanded that the Union Government should either immediately restore the Revenue Deficit Grant or announce a special revenue assistance package for disaster-prone hill states like Himachal Pradesh.

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