Himachal Pradesh Seeks Fair Share in Hydropower Revenue Amid RDG Tensions

Chief Minister Sukhvinder Singh Sukhu has accused the BJP of undermining Himachal Pradesh's interests by opposing the continuation of the Revenue Deficit Grant (RDG). The 16th Finance Commission recommended discontinuing RDG for 17 states, including Himachal Pradesh, adding strain to the state's finances.

Sukhu highlighted that while the previous BJP government received significant financial aid under RDG and GST compensation, the current administration has been allocated substantially less. The chief minister alleges financial mismanagement by the BJP, which he claims left the state treasury depleted.

To counter this shortfall, Sukhu proposes that the central government provide a 50% royalty on water usage by hydroelectric power plants. These projects, managed by companies like NHPC, NTPC, and SJVNL, utilize Himachal's resources for profit, which Sukhu argues should benefit the state directly, aiding its quest for fiscal independence.