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Saturday 1 March 2014

Distribution of Assets and Liabilities to be completed in three months

Express News Service
Hyderabad, February 27:
   With the appointment of the Apex Committee by Chief Secretary PK Mohanty, the work on division of the State was commenced. Distribution of assets and liabilities, allocation of government employees and revenues will be completed in three months time. While Telangana realised its 60-year-old dream of separate state with Hyderabad as its capital, the Seemandhra region got several incentives and packages from the Central government. The sharing of Revenue, allocation of employees and distribution of assets will be as follows:

HYDERABAD'S REVENUE: Though, Hyderabad is a common capital for both residuary Andhra Pradesh and Telangana for ten years, Hyderabad will belongs to Telangana. So, the entire revenue generated from Hyderabad will go to Telangana government. GHMC will be the common capital for both the States. The State revenue during 2012-13 was Rs 69,146.5 crore, the share of Hyderabad and Ranga Reddy was about Rs 34,100.73 crore.

EMPLOYEES: The district level and local employees will be continued as is where is basis. The State-level employees will be given option to chose either Telangana or Andhra. There are around 84,000 state-cadre employees.

ASSETS: The assets of APGenco, Transco and APSRTC and others will be distributed as is where is basis. The lands belonging to RTC and other departments will be allocated to the respective governments depending on their location.

EDUCATION INSTITUTIONS: The quota being implemented in the educational institutions in the state will continue as it is for students of both the states for ten years. There will be no change in admission quota.
 However, the Seemandhra got better chances. It will get one each institution of IIT, NIT, IIM, IISER, Central University, Petroleum University, Agriculture University, IIIT. AIMS-type super speciality Hospital-cum-teaching institution, one Tribal university and National Institute of Disaster Management.

RIVER WATERS: Two separate river boards for management of river water sharing for Krishna and Godavari rivers. Krishna Water Board will be located in Telangana and Godavari Water Board will be located in residuary AP. There will be no change in sharing of assured waters, being implemented now. Allocations, if any, to be made on excess flows by any Tribunal in future shall be binding on both the States.
 All the ongoing irrigation projects will be completed. The advantage for Seemandhra was that the Centre will take up the construction of Polavaram.

REVENUES: The award made by 13th Finance Commission to the existing AP state will be apportioned between the two states - Telangana and residuary AP by the Central government on the basis of population ratio and other parameters.

POWER: The existing power purchase agreements (PPAs) with respective Discoms will continue for both on-going projects and projects under construction. Telangana will face severe power shortage. The Centre assured 4,000 MW power plant for Telangana, which will be constructed by NTPC. The advantage for Seemandhra is that existing coal linkages of SCCL will continue without any change.

HIGH COURT: The existing High Court will function as a common High Court, till a separate High Court for residuary AP is established.

 STATE INSTITUTIONS: As many as 107 State institutions like APPA, MCRHRD and others will function for both the States, till such institutions are established in residuary AP.

ends

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