CM Sukhu says BJP not cooperating; Opposition cites past Finance Commission roadmap, lists central assistance figures
The discontinuation of the Revenue Deficit Grant (RDG) led to a political confrontation in Shimla on Friday, with the BJP walking out of an all-party meeting called by the Himachal Pradesh government to discuss the state’s financial situation.
The meeting was convened after the 16th Finance Commission recommended ending the Revenue Deficit Grant, a proposal that has been accepted by the Government of India. The state government said the move would significantly impact Himachal Pradesh’s finances and sought consensus on the way forward.
After the meeting, Chief Minister Sukhvinder Singh Sukhu accused the BJP of not cooperating at a time when the state was facing financial pressure. He said the opposition had come with a confrontational mindset and that the people of the state would reject such politics.
Parliamentary Affairs Minister Harsh Vardhan Chauhan also criticised the BJP, stating that its members had attended the meeting only to create disruption rather than contribute constructively.
The BJP delegation presented what it described as a factual and detailed position before staging a walkout. Addressing the media, Dr. Rajeev Bindal said that the development of Himachal Pradesh is a shared responsibility of all political parties. He alleged that despite being in power for nearly 40 months with an absolute majority, the Congress government was attempting to shift the blame for its financial failures onto the Centre and the BJP.
He said the phasing out of the Revenue Deficit Grant was not a sudden development. Referring to the recommendations of the 14th Finance Commission and the 15th Finance Commission, Bindal stated that it had long been made clear that the grant would be gradually reduced and eventually discontinued. He argued that the state government should have prepared for this transition through alternative resource mobilisation, expenditure control and better fiscal planning.
The BJP also presented figures of central assistance received by the state in the past three years. According to the party, Himachal Pradesh received approximately ₹50,000 crore in 2022–23, about ₹43,000 crore in 2023–24 and over ₹35,000 crore in 2024–25/2025–26 through tax devolution, Centrally Sponsored Schemes, infrastructure projects, World Bank assistance, NABARD funding and PMGSY works.
Bindal further stated that projects worth over ₹44,000 crore are underway in the National Highway sector alone, and that railway expansion, tunnels, four-lane roads and all-weather connectivity projects have gained momentum in recent years. He claimed that tax devolution to states is increasing steadily and that GST collections and the share in central taxes are expected to rise further.
During the meeting, the BJP delegation objected to what it termed as inappropriate language used against the central government and the Prime Minister. Stating that political differences are part of democracy but decorum must be maintained, the BJP members walked out midway in protest.
The party said it remains open to constructive discussions to improve the state’s financial condition but maintained that blaming the Centre and presenting the Revenue Deficit Grant issue as an unexpected crisis was misleading.
