Chhattisgarh sticks to stand on compensation for GST

Raman Singh said Chhattisgarh was best placed to leverage the idea of smart cities

Prime Minister Narendra Modi may have promised more power and autonomy to state governments, but Chhattisgarh says this will not change its position on the goods and services tax (GST).

“No two states are comparable. Chhattisgarh is not like Punjab or Haryana. Fifty per cent of our population is below the poverty line and we stand to lose nearly Rs 1,000 crore if GST is rolled out in its present form. We need some assurance that this money will be compensated. I have written to Prime Minister Narendra Modi to that effect,” Chhattisgarh chief minister Raman Singh told reporters here on Friday.

However, Singh said the effect of a change of government at the Centre was palpable. “We are trying to give the state an infrastructure push. For several years, we have sought environmental clearances for road-building. I met the environment minister and the matter was cleared within days rather than months.”

He said for years, Chhattisgarh had been trying to augment power in forest areas and had sought permission to put down wooden poles for power lines; however, the Centre did not given permission. He expressed the hope that the go-ahead for this would come soon.

Singh said Chhattisgarh was best placed to leverage the idea of smart cities and two cities — the Raipur-Naya Raipur area and Durg —would soon be developed as smart cities. He also expressed the hope that the Centre would change its mind and augment funds for the rural employment scheme for the state, given the large number of persons below poverty line.