Crisis-Hit Himachal Chief Minister, Ministers Defer Salaries For 2 Months

Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu and his ministers will defer salaries and allowances for two months to help battle a financial crisis inflamed by devastating landslides, flash floods, and heavy rain in August, last year and this. He also called on all MLAs to take pay cuts too.

The hill state has been hit by a wave of flash floods and landslides over the past several months.

This month alone nearly 30 people have died, and as many are still missing, after floods triggered by cloudbursts in Kullu, Mandi, and Shimla districts. Between June 27 and August 9 over 100 died in rain-related incidents, including those in other districts, and damage was estimated at Rs 842 crore.

This, officials have said, includes damage to bridges, roads, and other public infrastructure, and warned that re-building these will be expensive and time-consuming, given remote locations.

The landslides and flash floods also meant 280 roads had to be closed – affecting tourism, a key revenue driver for the state – and water and electricity supply was either fully or partially affected.

READ | Landslides, Flash Floods Block 288 Roads In Himachal Pradesh

In August last year too Himachal was rocked by devastation from monsoon rains.

Mr Sukhu said then over 60 people died in one week after cloudbursts caused devastation – particularly to public infrastructure – worth an estimated Rs 10,000 crore.

The following month his government announced aid worth Rs 4,500 crore, but warned it would be inadequate to rebuild the state after damage to or destruction of 16,500 houses, shops, and farmlands, and called on the centre to sanction Rs 12,000 crore in emergency funds.

READ | 61 Dead This Week, Loss Of Rs 10,000 Crore: Sukhu On Himachal Rains

This was after a frightening 168 landslides and 72 flash flood incidents wrought havoc between June and September. Across the state nearly 300 people lost their lives and the scale of destruction prompted several states – Bihar, Delhi, Uttarakhand, and Assam – to offer crores in aid and relief.

Assam and Delhi gave Rs 10 crore each, while Bihar and Uttarakhand Rs 5 crore each. Tamil Nadu, Karnataka, Rajasthan, Haryana, Odisha, and Chhattisgarh also chipped in, underling the devastation.

READ | Himachal Thanks Assam, Uttarakhand For Disaster Fund Donation

The centre has offered financial assistance, both last year and this.

In August last year it approved the release of Rs 200 crore, from the National Disaster Response Fund, as advance aid. This was after the release of Rs 360.8 crore from its share of state funds.

READ | Budget 2024: Rs 11,500 Crore Aid For Flood-Hit Himalayan States

And this year, in the Union Budget presented in July, Finance Minister Nirmala Sitharaman announced Rs 11,500 crore financial support. However, this will be spread among all flood-affected states. She did, though, mention Himachal Pradesh will “receive support for reconstruction…”

However, in the Assembly today, the Chief Minister claimed Rs 9,000 crore, as required under the Post-Disaster Needs Assessment programme, had yet to be released by the central government.

The state, meanwhile, has also claimed revenue shortage in connection with Goods and Services Tax compensation pay-outs by the centre. This is between Rs 2,500 and Rs 3,500 crore, Mr Sukhu said.

Another problem, the Chief Minister said, is that restoring the old pension scheme – an election promise by the ruling Congress – had increased expenditure by Rs 2,000 crore.

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