During a videoconference with Prime Minister Narendra Modi on Wednesday, Chief Minister Edappadi K. Palaniswami reiterated the Tamil Nadu government’s request for funds under various accounts to help the State fight COVID-19. He also urged the Centre to expedite clearances to facilitate foreign investment into the State.
According to an official press release, Mr. Palaniswami reiterated his requests to the Centre for the sanctioning of ₹3,000 crore to the State to boost medical equipment and the release of the second tranche of funds under the National Health Mission. “We have already submitted the Utilisation Certificate for the first instalment,” he noted.
Mr. Palaniswami insisted that Tamil Nadu should be allocated a special grant of ₹9,000 crore for combating COVID-19 and its effects on the State’s economy, and urged the Centre to release the GST compensation for March at the earliest. The CM requested that 50% of the grants for urban and rural local bodies recommended by the 2020-21 Finance Commission be released.
He reiterated that the Ways and Means limit of the States, which had been increased by 30% by the Reserve Bank of India, should be doubled, and the advances availed by the States in the fiscal year 2020-21 should be made interest-free. “I also request an immediate ad-hoc grant of ₹1,000 crore from NDRF to fight the pandemic,” he added. Elaborating on the steps being taken by the Tamil Nadu government to fight COVID-19, Mr. Palaniswami said the State was continuing with the strategy of “aggressive, targeted testing”. “There are only 20,706 active cases in the State as on date,” he said.
“Chennai city and its suburbs continue to face a challenging situation due to high population density,” he said.
The CM also requested an additional allocation of foodgrain and pulses free of cost to all cardholders, including non-priority household beneficiaries, under Pradhan Mantri Garib Kalyan Ann Yojana.
Referring to the proposed externally-aided projects in the COVID-19 scenario, the CM urged the PM to instruct SIDBI to provide at least ₹1,000 crore as refinance facility to the Tamil Nadu Industrial Investment Corporation Limited from the RBI’s special packages to revive MSMEs in Tamil Nadu.
“I request you to announce a relief package to ease the immediate burden on the power sector, which will help distressed Discoms. I request you to instruct the Ministry concerned to remove the requirements for power sector reform and also allow greater latitude to States in implementing the reform agenda,” he said.
Border issue
Referring to the “unpleasant developments” on the border, the CM told the PM, “We stand united with you at this hour.”
