NEW DELHI: Prime Minister Narendra Modi has asked state governments to provide “fresh ideas” to the 15th Finance Commission for incentivizing outcome-based allocations even as some southern states have expressed concerns about its Terms of Reference (ToR).
He made the suggestion at the fourth meeting of the Niti Aayog’s Governing Council attended by 23 chief ministers and one Lt Governor, besides several union ministers.
Some southern states, including Andhra Pradesh and Kerala, have been protesting against the ToR of the Finance Commission saying it would adversely affect the performing states in terms of devolution of funds from the central government.
Raising the issue at the meet, Andhra Pradesh Chief Minister N Chandrababu Naidu said the reference in the Finance Commission to adopt 2011 census population instead of 1971 data would have far reaching adverse consequences for the democratic and federal setup of the country.
He expressed apprehension that it would penalize the performing states which have successfully controlled the population.
Later, briefing reporters on the meeting, Niti Aayog Vice-Chairman Rajiv Kumar said Madhya Pradesh Chief Minister Shivraj Singh Chauhan was of the view that children already born should not be denied their rights, and the Prime Minister endorsed the opinion.
“The overwhelming sentiment was that those who are already now with us, those who are already born, they have to be taken care of, so current population parameter must be used for allocating funds by the Finance Commission,” Kumar said.
Last month, the Commission set up an expert committee to advise it on matters related to the ToR that have come under attack from some non-BJP ruled states. PTI
