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Cong, BJP lock horns over withdrawal of RDG in Himachal

These Bills had earlier been sent back by the Governor with objections but were passed again in the same form through a voice vote despite the BJP’s reservations on the first day of the session. This move may further strain relations between the present government and the Lok Bhawan.

News Arena Network - Shimla - UPDATED: February 17, 2026, 05:15 PM - 2 min read

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Sukhvinder Singh Sukhu and Leader of Opposition Jai Ram Thakur.


Even as the political heat over the discontinuation of the Revenue Deficit Grant (RDG) to Himachal Pradesh by the 16th Finance Commission intensified during discussions in the ongoing budget session of the state Assembly in Shimla, the Congress government went ahead and tabled two important Bills.

 

These Bills had earlier been sent back by the Governor with objections but were passed again in the same form through a voice vote despite the BJP’s reservations on the first day of the session. This move may further strain relations between the present government and the Lok Bhawan.

 

The issue pertains to the Real Estate (Regulation and Development) Amendment Bill and the Municipal Corporation Amendment Bill. In the RERA Bill, the government proposed that the Chairman of the Real Estate Regulatory Authority be selected by a committee headed by the Chief Secretary instead of a High Court judge and increase the tenure of Mayors and Deputy Mayors of Municipal Corporations in the state from 2.5 years to 5 years, respectively. The Bills will now once again be sent to the Governor for assent in the same form.

 

Apart from this, Himachal Pradesh Governor Shiv Pratap Shukla has, from time to time, subtly showed displeasure over the functioning of the state government, though in a restrained manner. The Governor had skipped paragraphs related to the discontinuation of RDG in his address at the onset of the budget session, stating that he would not read paras 3 to 16 as they pertained to a constitutional body. He spoke briefly for about two minutes on legislative business and the achievements of the government over the past three years before concluding his address.

 

During the debate on RDG in the Assembly, both the Congress and the BJP blamed each other for the state’s financial condition, often in high tones.

Chief Minister Thakur Sukhvinder Singh Sukhu again questioned the BJP’s stand on RDG and asked whether the opposition would support the government in fighting for the rights of the people. He said that the discontinuation of RDG would deprive the state of funds that helped bridge the gap between income and expenditure. “It is just a matter of a few minutes. You just have to say ‘yes’ and join the government in meeting the Prime Minister over RDG for the sake of the people of Himachal Pradesh,” Sukhu said.

 

The BJP, however, strongly criticised the government for not maintaining financial prudence. “You are talking about the discontinuation of RDG as a jolt to the state's finances. What have you done so far to save money, despite the fact that everyone knew that RDG could be discontinued in the entire country as per indications by the Finance Co m missions earlier? You have instead gone for appointments of CPS and then fighting their case in Supreme Court spending crores of Rupees on them despite a a big army of Additional, Deputy and Assistant advocate Generals in the state, the highest in any government. You have shown no austerity in appointments and political nominations in the interest of state and have raised the emoluments of the chairmen and Vice Chairmen of different Corporations and boards from Rs 30000 per month to Rs 1,30,000 per month,” said Leader of Opposition Jai Ram Thakur.

 

He further said it was surprising that the Finance Department’s presentation suggested that the government might not be able to pay employees’ arrears, subsidies under various schemes, and welfare programmes like Sahara if RDG was discontinued. “Was the government paying employee arrears when it was receiving RDG over the past three years?” he asked.

 

Jai Ram Thakur also said that the previous BJP government had secured Rs 37,000 crore from the Finance Commission due to a strong presentation by the state. He alleged that the present government failed to effectively present the state’s case and was now blaming the Centre for the discontinuation of RDG, which has reportedly been withdrawn for 17 states, including several BJP-ruled states, as part of a policy decision. He said that Congress-ruled Karnataka was also against RDG.

 

The Leader of Opposition told the Chief Minister not to behave like a student leader or NSUI president and to show maturity in decisions in the larger interest of the state.

 

Also Read:  Sukhu asks BJP to clarify stand on RDG

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