Ranchi, Sep 19 (PTI) Jharkhand Finance Minister Radhakrishna Kishore on Saturday urged the Centre to restore the state’s authority to levy cess on mineral-bearing land, which has been restricted by the amendment to the MMDR Act.
Kishore raised the issue at the national conference on ‘Financing India’s journey towards Vikshit Bharat’ in New Delhi, according to an official statement.
In his address, he also demanded compensation for the losses caused by the GST and restoration of the 90:10 funding ratio in the VB-G RAM G scheme.
“It is essential to rise above party politics and provide special support to economically backward states to make India a developed nation. The goal of a developed India by 2047 should not be limited only to a strong economy, but the creation of an equitable and empowered society should also form its foundation,” Kishore said.
The minister said that the recent amendments made by the Central government to the Mines and Minerals (Development and Regulation) Act have banned states from levying new taxes or cess on mineral-bearing land.
“As a result, Jharkhand is estimated to suffer an economic loss of around Rs 14,000 crore. Besides, the insertion of Section 9(D) in the MMDR Act will prevent the Jharkhand government from claiming the outstanding amount of Rs 1.36 lakh crore from various coal companies,” Kishore said.
For the past six years, Jharkhand has been deprived of substantial financial support from the Central Government, he alleged.
“It is estimated that Jharkhand has suffered a financial loss of around Rs 6,000 crore to Rs 8,000 crore due to the Centre’s economic policies, specifically the implementation of the Goods and Services Tax (GST) regime and the introduction of the VB-G RAM G scheme,” Kishore alleged, claiming that Jharkhand is estimated to face a total economic loss of Rs 20,000 to Rs 22,000 crore.
Referring to Jharkhand’s financial achievements, he said that the state is included in the ‘Achiever’ category of NITI Aayog, revenue collection is strong, the fiscal deficit is controlled, and capital expenditure remains at high levels despite the challenges.
Expressing concern over the current political landscape, he stated that division based on caste and religion hinders the country’s overall development.
India’s per capita income remains significantly lower than that of leading global nations, and income inequality poses a major challenge, Kishore claimed.
Citing data from NITI Aayog, he said that claims regarding poverty alleviation need to be more effective at the grassroots level.
He placed three key demands before the Centre in the meeting.
“I demand restoration of the authority to levy a cess on mineral-bearing land, compensation for losses incurred due to GST, and the restoration of the 90:10 funding ratio for the VB-G RAM G scheme,” he said at the conference.
The meet, organised by the Union Ministry of Finance on September 18-19, brought together chief ministers, finance ministers, finance secretaries, and senior officials from states and Union territories. PTI SAN NN
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