Budget 2021: Palaniswami thanks Centre, says will speed up projects

CHENNAI: The Union Budget 2021-22 has many welcome initiatives and schemes for Tamil Nadu, said Chief Minister Edappadi K Palaniswami, while welcoming the Centre’s assurances, on Monday. He thanked the Union Finance Minister for announcing the over Rs 1 lakh crore allocation for development of 3,500-km-long highways in Tamil Nadu, including crucial stretches of Madurai-Kollam and Chittoor-Thatchur corridor. He promised that the State government would expedite steps to complete these works.

The Chief Minister also thanked the Centre for schemes, including funds to modernise the fishing harbour in Chennai, setting up of a seaweed park, and money for the second phase of Chennai Metro Rail Project. Referring to the Centre’s announcement of setting up seven textile parks in the country, Palaniswami demanded that two of these be set up in Tamil Nadu.

Expressing happiness over the announcement of Central support for a world class Fin-Tech hub at the GIFT-IFSC, the Chief Minister also urged the Centre to announce a scheme to establish an international financial institution in Tamil Nadu, to facilitate the implementation of the Financial City project of the State government.

He added, “During the past few years, the excise duty on petrol and diesel had been reduced while the cess has been spiking. In this backdrop, a further reduction in excise duty and a hike in cess will affect the financial position of all States. Accepting the State government’s requests, the Centre should restore the previous position.”

Referring to the Rs 63,246 crore funding for Chennai Metro phase-II, the CM also urged the Centre to expeditiously allocate 50 per cent of the counterpart fund immediately so that the project could be executed in a faster pace. Besides, Palaniswami also urged the Centre to approve MetroLite and MetroNeo systems for Coimbatore and Madurai.Welcoming the announcement on launching a new scheme to support augmentation of public transport services, the CM said that the funding should be extended in a way that would benefit the Tamil Nadu State Transport Corporations as well. He also expressed happiness over the changes made in the scholarship scheme for Adi Dravida students, accepting the proposals put forth by him.

Lauding the Rs 35,000-crore allocation for Covid vaccines, the Chief Minister also urged the Centre to hike the assistance to Tamil Nadu for containing the Corona infection. He also urged the Centre to extend a financial assistance to modernise smaller fishing harbours in the State, in line with the one in Chennai. He added, all States would be benefitted from the establishment of a new financial institution, since Rs 5 lakh crore-loan could be availed through this.

Meanwhile, Deputy Chief Minister O Panneerselvam, too, welcomed the Budget proposals and said that it had fulfilled many demands of the State government. There are many initiatives for redeeming the economy affected by the pandemic, he said, adding that increasing the capex allocation for 2021-22 to Rs 5.54 lakh crore would be a good move.

Hike in cess for fuel will affect State coffers, says EPS 

Palaniswami said, “During the past few years, the excise duty on petrol and diesel had been reduced while the cess has been spiking. In this backdrop, a further reduction in excise duty and a hike in cess will affect the financial position of all States