The penchant of political parties to ‘promise first and think later' is resulted in the current tussle between Andhra Pradesh and the central government, according to former Member of the Planning Commission BK Chaturvedi.
At its heart is a change in status brought about by the 14th Finance Commission. Andhra Pradesh was promised special status in 2014 when the state was bifurcated but subsequent recommendations by the Commission removed the concept of special category states and replaced it with the concept of revenue deficit grant.
The BJP in 2014 was asking for 10 years of special status [for Andhra Pradesh] . And now pulling five years is difficult.BK Chaturvedi, Former Member, Planning Commission
For special category status category states, the Centre meets 90 percent of the funds required in a centrally sponsored scheme as against 60 percent in case of other states. The remaining funds are provided by the state governments. While the Modi government is willing to continue this 90 percent funding for Andhra Pradesh, it has steered clear of conferring special status. “It has now become a symbol,” explained Chaturvedi who was also a member of the 13th Finance Commission.
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It's a symbol that political parties are quick to latch on to, with Congress President Rahul Gandhi promising special status for Andhra Pradesh if his party comes to power in the 2019 general elections. Theoretically, the next government would have the option of looking at the 15th Finance Commission recommendations all over again which may or may not maintain status quo on special status. But would a re look at Special Status for certain States be feasible?
“When you are not in power, you promise the moon”, said Chaturvedi.
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