White Paper signals hike in bus fare, power tariff: Jayakumar
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The White Paper on Tamil Nadu’s finances, which the DMK government released on Monday, is a “signal” to people to be prepared for an increase in power and public transport tariff, AIADMK organisation secretary and former Finance and Fisheries Minister D. Jayakumar has said.
Questioning the need for the DMK government to release the document days ahead of the presentation of the Budget, Mr. Jayakumar told The Puucho that the proper forum would be the Assembly. “Why should this be done now? What was the compulsion? Is it not clear that they [the government] are going to increase bus fare and power tariff?” he said.
Mr. Jayakumar said another message from the White Paper was a possible curtailment of the schemes based on social justice.
On the increase in borrowings under the AIADMK government, he wondered which State had managed its finances without taking loans. Further, the loans drawn by the previous government were meant for productive expenditure that would spur growth, bringing in more revenue.
As for expenditure, Mr. Jayakumar said it was not possible for the AIADMK government to reduce salaries and wages or food subsidy when COVID-19 broke out. In the last five years, as the State government absorbed the debt of Tamil Nadu Generation and Distribution Corporation (Tangedco) — following the implementation of Ujwal DISCOM Assurance Yojana (UDAY), aimed at financial restructuring of the distribution companies — the State’s revenue deficit had increased. “Did not we honour the interest payments for loans taken by the DMK government during 2006-11?”
He said the reference period for the White Paper should have been from 2001-02, when the AIADMK returned to office. Thanks to the measures taken by the AIADMK government, the finances improved in the later part of the regime. “The fruits of the Amma [Jayalalithaa] government’s steps were fully realised by the DMK government of 2006-11,” he said.
Dhinakaran’s concern
In a series of tweets, AMMK general secretary T.T.V. Dhinakaran voiced concern over the “tone” of the document which stood for an increase in the rates of property tax and motor vehicles tax, besides power tariff. The government should recover from the previous rulers the cost of improper expenditure, instead of taxing people who had already been reeling under the impact of the pandemic, he said.
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