473660 : National : Karnataka seeks Rs 25,800 cr as grants
Bangalore , Jan 9 Karnataka Government today urged the 13th Finance Commission to release Rs 25,800 crore grants and more devolution of funds through the Commission rather than the planning commission route.
During an interaction with the Commission headed by Vijay Kelkar, the Government pointed out that the state faced a number of"special problems"including regional imbalance in North Karnataka and had to address the infrastrucutre needs of the ever growing Bangalore City.
The city is home to 743 multi national IT companies and 131 BT firms accounting for 57,000 crore software exports annually, Chief Minister B S Yeddyurappa, also the state&aposs Finance Minister told the Commission here.
There is a need to augment the drinking water supply in the city by 476 million litres daily by 2011-12. At present as against the requirement of Rs 1219 MLD only 870 MLD was being supplies and the city faced a shortfall of 349 MLD, he noted.
To address the city&aposs infrastuructre probelms there is a requirement of Rs 8,500 crore grants, Yeddyurappa said.
"We suggest that 40 per cent of the Central taxes should be devolved to the states. The overall limit on the transfer of central resources should also be raised to 50 per cent", Yeddyurapps demanded.