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Himachal Pradesh's CM opposes ending RDG, calling it a threat to the state's fiscal survival and constitutional rights.
Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu condemned the proposed end of the Revenue Deficit Grant (RDG), calling it a violation of constitutional rights and a "black day" for the state.
He argued that hill states like Himachal, which cannot achieve revenue surplus due to structural challenges, rely on RDG since 1952 under Article 275(1) for fiscal stability.
The 16th Finance Commission’s reduction of RDG funding, amid the end of GST compensation and tight borrowing limits, has severely strained state finances.
Sukhu highlighted ongoing agrarian distress from free trade agreements, weakened MGNREGA, delayed disaster relief, and minimal returns—only 12% royalty—from hydropower projects despite the state's ecological role as a water source for northern India.
He demanded greater tax and resource rights if RDG is eliminated, urged political unity, and criticized BJP leaders for silence, vowing to pursue justice through constitutional means.
El CM de Himachal Pradesh se opone a poner fin al RDG, calificándolo como una amenaza para la supervivencia fiscal del estado y los derechos constitucionales.