The Commission's visit to Goa is part of its consultation process with all states before making recommendation on the method of distribution central taxes between the center and the states, among other issues, by October 2009. The recommendations will cover a period of five years commencing from April 1, 2010.
Goa Chief Minister Digambar Kamat drew attention to the limited resource generation capabilities of the state which constrained its expenditure budget. He also apprised of the difficulty in implementing some central government stipulations like corporatisation and unbundling of the power sector and vulnerability of the state to tax exemption schemes for other states.