The passage of these resolutions sparked intense protests from the main Opposition party — the BJP, led by LoP R Ashoka.
Karnataka government passes two resolutions against the centre in the house on Thursday. (file pic)
Amidst vehement opposition from the BJP, the Siddaramaiah-led Congress government in Karnataka passed two resolutions against the Central government on Thursday, 22 February.
These resolutions, passed in the Karnataka Legislative Assembly, marked a bold stance against what the state government perceives as unjust fiscal policies of the Union government, as well as a demand for separate legislation on minimum support price (MSP) for farmers.
Karnataka’s Minister for Law and Parliamentary Affairs HK Patil tabled the resolutions in the House.
One resolution highlighted the contentious issue of tax devolution and concerns about allegedly biased fund allocation and grant distribution.
The second resolution, focusing on farmers’ demands for MSP, underscored the crucial role of agriculture in India’s economy and calls for legislative action to ensure fair pricing for farmers’ produce.
However, the passage of these resolutions sparked intense protests from the main Opposition party — the BJP, led by the Leader of the Opposition (LoP) R Ashoka.
The BJP leaders vehemently criticised the Congress government, accusing it of politicising the budget and tarnishing the sanctity of the House.
Ashoka claimed these were politically motivated actions aimed at diverting attention from the failures of the state government.
It may be recalled that the Karnataka government staged a protest against the Narendra Modi government in Delhi on 7 February over the perceived fiscal injustice to Karnataka.
2 resolutions in Karnataka assembly – one on #MSP & another demanding fiscal justice from @narendramodi govt. @TheSouthfirst pic.twitter.com/5VB2pMKmrs
— Anusha Ravi Sood (@anusharavi10) February 22, 2024
In the resolution on the tax devolution policies of the Union government, the Congress government unequivocally voiced its concerns regarding what it said was the unjust allocation of funds and resources by the Central government.
Claiming a decade-long trend of biased fund allocation and grant distribution, as well as the imposition of stringent drought relief norms, the Karnataka government lamented the alleged erosion of the foundations of progressive states — including Karnataka — due to the Central government’s departure from federal principles.
The discrepancy in tax distribution between the 14th and 15th Finance Commissions served as a stark illustration of this injustice, it said.
Despite Karnataka’s status as the nation’s second-largest taxpayer, the state suffered a loss of ₹62,098 crore under the 15th Finance Commission, resulting from the Commission’s criteria for tax distribution.
The adverse impact of the unscientific implementation of GST, under the guise of “one nation, one tax”, further exacerbated Karnataka’s financial woes, said the state government.
Despite the state’s GST collection failing to meet the Central government’s projected 14 percent growth, relief measures had been discontinued, resulting in an estimated loss of ₹59,274 crore by 2023-24, it added.
Moreover, grants for Centrally-aided schemes witnessed a substantial reduction, despite the Union budget doubling in size from 2018-19 to 2023-24, said the Karnataka government in the resolution.
The state government condemned this injustice, alongside the non-distribution of cess and surcharges revenue, which it said resulted in an estimated loss of ₹45,322 crore from 2017-18 to 2023-24.
The unscientific GST system, reduction in tax share because of imposition of cess and surcharges, and non-disbursement of special and state-centric grants as recommended by 15th Finance Commission, were also mentioned.
Since 23 percent loss occurred in allocation of share by 15th Finance Commission than the previous Finance Commission, the state recorded a loss of ₹1,78,189 crore from 2017-18, said the resolution.
It also emphasised the paramount importance of safeguarding the interests of Karnataka’s citizens and fostering the state’s development without succumbing to unjust practices.
In another significant move, the Congress-led government in Karnataka passed a resolution against the Union government on Friday on farmers’ MSP demand.
The resolution, passed in the house on Thursday, urged the Union government to enact legislation guaranteeing an MSP for all crops cultivated by farmers.
It underscored the importance of ensuring a sustainable livelihood for farmers — the backbone of the nation’s economy.
The resolution noted that agriculturist MS Swaminathan studied the conditions of farmers and reported that successive Union governments had neither made any progress nor brought any change at the expected level in achieving the Green Revolution by announcing an MSP of 150 percent of a farmer’s cost of cultivation.
It is inevitable for the farmers across India to follow the path of movement, agitation and struggle, demanding guarantee of MSP for all agricultural produce and to fix the price of farmer’s produce based on the recommendations of the Swaminathan Committee.
Despite Karnataka’s continued efforts to champion pricing norms aimed at bolstering agricultural profitability and national food security, recent policy shifts at the central level have swung dangerously away from this vital objective.
The adverse effects of these policies have been keenly felt by farmers, who find themselves deprived of the promised minimum support price, thereby exacerbating their already precarious financial circumstances, said the resolution.
In light of these developments and the steadfast commitment to upholding the interests of farmers, the Congress government, through this unanimous resolution, called upon the Central Government to take immediate and decisive action.
The resolution implored the Union Government to enact legislation mandating an MSP for all agricultural produce, thus ensuring the dignified sustenance and economic empowerment of the farming community.
Stressing on addressing farmers’ grievances through constructive dialogue and policy intervention rather than confrontation, the resolution emphasised the importance of fulfilling their rightful demands without recourse to conflict.
Terming the resolutions “political motivated”, LoP R Ashoka condemned the state government for passing them.
While the Congress government was tabling the resolutions in the house, BJP leaders led by Ashoka jumped into the well and protested against them.
The LoP told reporters: “By misusing the constitutional duty of presenting the budget as a political speech, the Congress government has spoiled the sanctity of the House and the budget. Now, by moving a politically motivated resolution against the Central government, it has once again insulted the sanctity of the House.”
Criticising the Congress government, Ashok said: “Chief Minister Siddaramaiah, who is under the delusion that telling a lie a hundred times can turn it into truth, is diverting people’s attention from the failures of his government by repeatedly blaming the Union government.”
He added: “The BJP strongly condemns this act of the Congress government and opposes this politically motivated resolution.”
He further said: “It is not a good practice to bring a resolution all at once. Even the Speaker did not bring this to our attention.”
Ashok also noted: “We cooperated in the House proceedings so that a debate could be held for the poor people. But they attacked the Centre like a lunatic for fear of losing the Lok Sabha elections.”
He added: “The resolutions should not have been passed like this. They should have been brought in accordance with the rules. We condemned and protested against this as well.”
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