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Differences with Shiv Sena not to affect govt: Devendra Fadnavis

Interview with Maharashtra chief minister

Devendra Fadnavis
Devendra Fadnavis
Sanjay Jog Mumbai
Last Updated : Oct 30 2015 | 4:47 PM IST
Unfazed by the present financial crisis and scathing attack by its partner Shiv Sena, Maharashtra Chief Minister Devendra Fadnavis says his government is stable and determined to take state's development to a new high. In an interview with Sanjay Jog, Fadnavis, who completes one year in office on October 31, spells out the government's growth strategy. Excerpts:

The fiscal situation in the state is not sound. How is the government managing the show?

The state faces financial difficulties. When we took over in October last year, the treasury was empty and the public debt was of the order of Rs 3.50 lakh crore. Besides, two successive monsoon failures were a major challenge. The government has to shell out from its kitty a whopping Rs 8,000 crore on relief measures. The repayment of loans taken by the previous governments will have to made in 2015, 2016, and 2017. This will put further burden. The government will have to raise more loans in the next three years. However, the government will make sure that the funds will be spent on productive works, especially infrastructure development. This will help revive the economy. Besides, the government will monetise various resources to mobilise funds. The government is committed to make the economy stronger.

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As far as infrastructure development is concerned, I do not see any paucity of funds — multilateral agencies Japan International Cooperation Agency, Asian Development Bank, KFW and also some companies from Dubai and pension funds are ready to provide necessary finance. However, these agencies insist on clean projects, whereby all required approvals are in place and secondly there should be complete transparency.

I want to re-iterate that in the infrastructure sector, there won't be any fund crunch. However, I do agree that the fiscal pressure will continue till there is high revenue deficit. Despite present financial condition, the government was able to clear irrigation projects worth Rs 4,000 crore. As far as road projects are concerned, the government is quite open to develop it on annuity-based and other models.

Your critics allege that populist announcements, including withdrawal of local body tax (LBT) and suspension of toll tax, have led to the crisis. What is your comment?

It is not true. LBT was prevalent in Maharashtra alone and traders have brought to the government's notice that their products were not competitive with other states. In any case, LBT's life was limited to March 2016, as the government wants to introduce goods and services tax from April next year.

As far as exemption of small vehicles from toll tax is concerned, the government realised that the contractors were making money. The government strongly argued its case in the high court, which also upheld its decision. With regard to toll tax, in some parts, there is limitation to withdraw it, as there has been agreement. There is no buy-back provision in those agreements.

Upgradation of Mumbai's infrastructure is key to develop the city as a global financial hub. Can you give the present status of various projects?

The government has put Mumbai's infrastructure development on fast-track. As far as the Rs 9,500-crore Mumbai Coastal Road project is concerned, final notification with regard to environment clearance is awaited.  The Centre has allowed re-clamation of land for the coastal road. The hearing on about 800 suggestions and objections has completed and the preparation of revised detailed project report is underway.  Thereafter, the tenders will be issued. I expect the project development will begin anytime in 2016.

In case of the Rs 11,000-crore Mumbai Trans Harbour Link project, tenders will be issued by March next year. The government has completed necessary mitigation measures. The Japan International Cooperation Agency has offered 80 per cent of loan. Recently, the National Green Tribunal, in its order, suspended the mandatory coastal clearance to  the project  granted in 2013. NGT held that the state did not follow the procedure for CRZ (coastal regulatory zone) clearance, and there were discrepancies in the amount of marine areas proposed to be affected due to the project. NGT has asked to verify the CRZ clearance granted in the past. The government will put up its case before the high court. However, this will not delay the project.

Further, the government has already firmed up a plan to develop 108 km of Metro network in Greater Mumbai by 2019.

Shiv Sena is stepping up its attack on the government. Has the government's image taken a serious beating?

The Bharatiya Janata Party (BJP) and the Shiv Sena are two separate parties.  There will be difference of opinion on certain issues. However, I have not faced any problem running the government as it has been made out in the print and electronic media. The government is stable.

In politics, the number game is crucial. The BJP has 23 MPs (members of Parliament) while Sena 18 in the state. In the Maharashtra Legislative Assembly, BJP's strength is 123 and Shiv Sena has 63 members. When they had a larger number, the Shiv Sena had a bigger share in the cabinet. But the scenario has changed.  It is a reality that the mandate was in favour of the BJP and the Shiv Sena and, therefore, both are running the government. All decisions in the state cabinet have been unanimous and there was not even a single decision with a split mandate.

Writers are returning their awards citing intolerance. What you have to say?

I have full respect for writers. The Dadri incident needs to be condemned. However, it took place in the Samajwadi Party-ruled Uttar Pradesh. The Kalburgi killing happened in the Congress-ruled Karnataka. Prime minister Narendra Modi is being held responsible for these incidents. However, the writers did not surrender their awards when the hand of one professor in Kerala was cut. Was it because the CPI(M) (or Communist Party of India (Marxist)) was ruling the state and the Congress-led United Progressive Alliance was at the Centre? Why writers did not show similar gesture when Dalit community members were killed in Bhandara in Maharashtra.

As the Modi government cannot be blamed for corruption or inefficiency, a section of the people is targeting the government on intolerance. But I feel writers should not be party to such a campaign against the Modi government. Instead, they should speak, write. They should not be biased.

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First Published: Oct 30 2015 | 12:30 AM IST

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