Revenue deficit grant reducing but development not affected: Governor
Governor Shiv Pratap Shukla today said that his government had initiated several welfare schemes and fulfilled six of the 10 guarantees despite financial constraints due to the reduction in the revenue deficit grant (RDG) from the Central Government.
Shukla addressed the Assembly on the opening day of the 16-day Budget session of the Vidhan Sabha, which would conclude on March 28. Chief Minister Sukhvinder Singh Sukhu, Speaker Kuldeep Pathania and Leader of the Opposition Jai Ram Thakur welcomed him.
The Governor delivered a 53-page speech in Hindi in one and a half hour. “The state is facing a financial crunch as the Goods and Services Tax (GST) compensation to states is coming to an end and the RDG will reduce to Rs 3,257 crore during 2025-26. However, this will not impact the pace of development,” he said. Being a hilly state with inadequate resources, Himachal was dependent on central grants, he added.
Shukla said that for 2025-26, the Budget estimates stand at Rs 6,270 crore, “thus demonstrating that my government has not allowed the capital expenditure to decrease despite a tapering RDG. The state is moving on the path of self-reliance despite economic challenges.” He added that efforts were being made to achieve the goal of a ‘Clean and Green Himachal’.
The Governor said, “My government has fulfilled six major electoral guarantees made to people, including the restoration of the old pensions scheme, Rs 1,500 to women, launch of Rs 680 crore Rajiv Gandhi Start-Up Swarojgar Yojana, English medium teaching in all schools and increase in the rate of cow and buffalo milk.”
He said, “An amount of Rs 21.93 crore has been provided to 30,929 eligible women. My government has also amended the Himachal Pradesh Ceiling on Landholdings Act, 1972, to give equal rights to daughters like sons.”
The Governor outlined several schemes launched to promote agriculture, horticulture, fisheries and animal husbandry, including crop diversification, natural farming and crop protection through solar farming. He said that efforts were underway to improve connectivity through the expansion of the rail network, air connectivity and the road network, which in turn would help in tourism promotion.
The Governor said that his government had provided Rs 535 crore as relief to families affected by the natural disaster at Samej in Shimla, Kullu and Mandi. He added that the Sukh Ashray scheme was providing financial help and other facilities to orphans, whom the government had adopted as the ‘children of the state.
“Several reforms have been rolled out in the education sector, including rationalisation and creating school clusters and introducing international exposure tours for teachers and students,” he added.
