Himachal Pradesh News
Himachal Pradesh Governor Shiv Pratap Shukla Skips RDG Remarks in Vidhan Sabha Address
The three-day Budget session of the Himachal Pradesh Legislative Assembly began on a politically charged note on Monday, with Governor Shiv Pratap Shukla concluding his 50-page address in under three minutes after declining to read out key portions related to the Revenue Deficit Grant (RDG).
The three-day Budget session of the Himachal Pradesh Legislative Assembly began on a politically charged note on Monday, with Governor Shiv Pratap Shukla concluding his 50-page address in under three minutes after declining to read out key portions related to the Revenue Deficit Grant (RDG).
Soon after beginning his speech, the Governor informed the House that paragraphs three to 16 contained remarks concerning a constitutional body and therefore would not be read. The skipped sections largely dealt with the 16th Finance Commission’s recommendation to discontinue RDG to Himachal Pradesh — an issue that has sparked intense political debate in recent weeks.
Focus on Legislative Agenda
Limiting himself to the opening remarks, Shukla stated that the session had been convened to pass Supplementary Demands for Grants for 2025–26, present the Budget for 2026–27, and transact important legislative business.
He expressed confidence that members would uphold the tradition of constructive deliberation on government policies.
RDG Row at the Centre of Debate
The address, drafted by the state government and approved by the Cabinet, contained detailed references to Article 275(1) of the Constitution, which provides for grants to states facing a gap between revenue receipts and expenditure.
From the First Finance Commission in 1952 to the 15th Finance Commission (2020–25), Himachal Pradesh has consistently received RDG support.
The omitted sections reportedly described the discontinuation of RDG by the 16th Finance Commission as a matter of serious concern, especially for small and hill states. Of the 17 states that had been receiving RDG, several are special category states where such grants constitute a significant portion of annual budgets.
The written speech also highlighted that for a hilly and border state like Himachal, limited revenue-generation capacity due to geographical and resource constraints makes Central assistance crucial. It warned that ending RDG could strain finances allocated for development projects, social welfare schemes, and disaster management.
Political Flashpoint
By steering clear of the contentious references, the Governor avoided direct engagement with an issue expected to dominate proceedings during the Budget session.
The move has set the stage for sharp exchanges between the treasury benches and the Opposition as the Assembly debates the state’s fiscal future amid the RDG controversy.
