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Uttarakhand CM Requests PM to Extend GST Compensation Period beyond June 30

Uttarakhand chief minister Pushkar Singh Dhami met Prime Minister Narendra Modi in New Delhi on Thursday, requesting him to extend the period of Goods and Services Tax (GST) compensation beyond June 30, 2022, and establish a branch of the National Institute of Pharmaceutical Education and Research in the state.

The five-year period for compensating states for any loss of tax revenues after the implementation of GST will end on June 30 this year.

Dhami also requested Modi for early operation of air services from Pithoragarh Airstrip and inclusion of Kumaon temples under the Centre’s Manas Khand Mandir Mala Mission. Dhami also sought the Centre’s cooperation in transferring of 25% equity shareholding of THDC India Ltd from Uttar Pradesh to Uttarakhand.

The chief minister said that with the objective of providing revenue security to the states after the implementation of GST, arrangements were made to compensate the GST for a period of 5 years, till 30 June 2022. “But due to structural changes, low consumption base, inadequate service base in the state and other reasons, the expected growth in the revenue of the state could not be recorded after the implementation of GST. In view of the limited financial resources of the state, the period of GST compensation should be extended for further years after June 2022”, he said

Dhami said Uttarakhand is emerging as a pharmaceutical hub in the country. “The pharmaceutical manufacturing units established in the state account for about 20 per cent of the total consumption of medicines in India. More than 300 pharmaceutical manufacturing units are established in three major industrial complexes established in the state- Dehradun, Haridwar and US Nagar- which are providing employment to more than one lakh people,” he said.

The chief minister requested PM Modi to set up a branch of the National Institute of Pharmaceutical Education and Research in Uttarakhand. “This will give a boost to pharmaceutical research in the state. Land for same will be made available by the state government”, he said.

Dhami also told PM that THDC India Ltd. is a joint venture with 75% stake of the Government of India and 25% of Uttar Pradesh.

“According to Section 47(3) of the Uttar Pradesh Reorganisation Act, 2000, it should have been transferred to Uttarakhand as the headquarters of THDC India Ltd. is located in Uttarakhand. About 70 per cent of the projects of THDC India Ltd are located in Uttarakhand. The state of Uttarakhand also has to face the challenges related to rehabilitation, law and order situation and other social and environmental issues arising out of these projects. In 2012, under Article-131 of the Constitution of India, Uttarakhand State had approached Supreme Court in 2012 for transferring of 25% equity shareholding of THDC India Ltd from Uttar Pradesh to Uttarakhand, which is currently under consideration”.

Dhami told PM that the tender process has been completed for the operation of fixed-wing (aircraft) air service from the airstrip in Pithoragarh, the border district of the state. He requested PM to direct the officials concerned for the speedy and smooth operation of air services from Pithoragarh Airstrip.

The chief minister expressed gratitude on behalf of the people of Uttarakhand for the guidance of PM and the cooperation of the central government in the development of Uttarakhand.

“Under the able guidance of PM Modi, all-around development is being done in the fields of health, education, roads, energy and so on in the state. Kedarnath and Badrinath Dham areas are being developed according to the master plans prepared for them. As per the vision of PM Modi, in 2025, Uttarakhand will be one of the leading states in the country,” he said.

Source : Hindustan Times