Manmohan: Govt should take CMs’ views over finance panel changes

NEWDELHI: Former Prime Minister Manmohan Singh on Saturday said the government should have taken chief ministers’ views before changing the terms of reference of the 15th Finance Commission, adding that unilateralism is not good for federal policy and cooperative federalism.

Earlier in July, the Centre changed the terms of reference of the 15th Finance Commission and mandated the panel to suggest ways for allocation of non-lapsable funds for defence and internal security.

Speaking at the ‘National Seminar on Additional Terms of Reference of the 15th Finance Commission: Implication for the States’, Singh said any change in the panel’s terms of reference at the fag-end of its term should have been done in consultation with the states. “The best course would have been for the Central government that if it wants to tailor the terms of reference, it should be backed by Chief Ministers’ Conference, which is now under the auspices of NITI Aayog, otherwise there would be strong feeling that the Centre is trying to rob the states of due resource allotment,” he said.

“The commission’s report goes to the finance ministry and then it goes to the Cabinet and therefore government of the day can take a view that whatever the mandate of the Parliament, the government would abide by that rather than impose its view unilaterally on the reluctant state commissions,” he added.

The commission, headed by NK Singh, was to submit its report by October 30, 2019. The deadline was later extended till November 30, 2019.

“I respectfully request to the authorities to still take this view that they will go by the advice of the Chief Ministers if there is new controversy with regard to additional terms of reference of the commission,” the senior Congress leader said.