Centre-State tug of war leaves farmers high and dry

Both govts. blame each other over release and utilisation of drought relief funds

March 09, 2017 11:38 pm | Updated 11:38 pm IST - BENGALURU

Awaiting relief:  A file photo of a farmer in his field at Bylahalli in Hassan taluk.

Awaiting relief: A file photo of a farmer in his field at Bylahalli in Hassan taluk.

The Congress government in the State and the Union government appear to be busy in a tug of war over the release and utilisation of funds sanctioned for drought relief works.

While the State is complaining that even the sanctioned money is not being fully released by the Centre, the latter argues that the money already released has not been spent by the State. The State government is in a “state of confusion” as the amount released by the Centre (₹450 crore) is too meagre to provide compensation to over 40 lakh farmers, who have lost crops owing to drought, said officials here.

The Revenue Department has launched a new ‘Parihar’ software to release the compensation amount directly to the bank accounts of farmers having single pani certificates. Out of the 40 lakh farmers, data entry of 29 lakh farmers has been completed and they are expected to get compensation soon, official sources said.

The State had submitted a memorandum seeking ₹4,702.54 crore relief from the Centre for tackling drought in 165 taluks across the State. In the last four decades, this year’s drought was the most acute owing to severe shortfall in rain during both monsoon and north-east monsoon periods.

Crops have failed on 36.35 lakh hectares during the kharif season following deficient monsoon. The government has sought relief under the National Disaster Response Fund. The State had lost crops worth ₹17,193 crore.

So far, the Centre has sanctioned only 35% (₹1,685.52 crore) demanded by the State and it has released just 26% (₹450 crore) of the sanctioned amount. If the amount is disbursed equally among 40 lakh farmers, each of them will get ₹1,125. The Centre had released ₹1,540 crore last year at one go, officials said.

Sources said the State is unlikely to get the full sanctioned amount this fiscal (2016-17) as the Centre is facing shortage of financial resources. The Centre has given more funding to BJP-ruled States, said sources.

BJP allegations

However, the principal Opposition Bharatiya Janata Party has said the State government has not spent money released for providing compensation to farmers or drinking water in drought-prone villages.

Former Chief Minister and BJP leader Jagadish Shettar demanded a White Paper on the utilisation of drought funds, number of works undertaken, and so on. “Instead of blaming the Modi government, the State government should demonstrate its commitment by waiving crop loans at least to the tune of 50%,” Mr. Shettar said.

He said the BJP was willing to put pressure on the Centre to release more money if the Congress government “showed its commitment” first.

The war of words between the two national parties is expected to generate more heat during the State budget session of the legislature commencing on March 15.

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