Yog Raj Sharma
The North News
Shimla, February 4
Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu has sharply criticised the central government over the discontinuation of the Revenue Deficit Grant (RDG), describing it as a threat to the state’s economic survival rather than a political issue. Sukhu said the withdrawal of RDG would have a direct and severe impact on Himachal Pradesh’s finances. He announced that the state government would now levy land revenue tax on power projects operating on Himachal’s land to compensate for the expected shortfall.
Appealing for unity beyond party lines, Sukhu said all political parties must jointly approach the Centre to protect the grant. He also criticised the Goods and Services Tax (GST) framework, arguing that while larger states had benefited, hill states like Himachal had suffered losses. He urged BJP leaders in the state to clearly state their position on the issue.
The chief minister said a detailed presentation on the RDG issue would be made at a cabinet meeting on February 8, followed by an all-party meeting in which BJP legislators would also be invited.
Himachal Pradesh received nearly ₹48,000 crore as RDG between 2019 and 2025, Sukhu said, calling the sudden end of the constitutional grant a serious crisis for the hill state. He noted that Himachal has been receiving RDG since 1952 and said its discontinuation was unprecedented.
Responding to statements by BJP leaders, the chief minister said it was incorrect to compare Himachal with plain states. He pointed out that 68% of the state’s land falls under forest area, with 28% forest cover, and that Himachal balances development with environmental conservation across its five river systems.
Sukhu said RDG was a lifeline for such a geographically and ecologically sensitive state and warned that its discontinuation would affect the economy and require public participation in the struggle to safeguard Himachal’s interests.
