Lok Sabha Question No. 4548 (UNSTARRED), answered on 2023-03-28
Subject: Andhra Pradesh Reorganisation Act, 2014
Ministry: HOME AFFAIRS
Asked by: Srinivas Kesineni

## GOVERNMENT OF INDIA

## MINISTRY OF HOME AFFAIRS

## LOK SABHA UNSTARRED QUESTION NO. 4548

TO BE ANSWERED ON THE 28 TH  MARCH, 2023/ CHAITRA 7, 1945 (SAKA)

ANDHRA PRADESH REORGANISATION ACT, 2014

4548.      SHRI KESINENI SRINIVAS:

Will the Minister of HOME AFFAIRS be pleased to state:

- (a)  the  details  of  assurances  made  to  Andhra  Pradesh  according  to  the provisions of the Andhra Pradesh Reorganisation Act, 2014;
- (b)  the  list  of  unfulfilled  provisions  and  assurances  which  require  a consensus of the Government of Andhra Pradesh and the Government of Telangana;
- (c)  whether  the  Union  Government  is  considering  granting  a  Special Category Status (SCS) to Andhra Pradesh and if so, the details thereof;
- (d)  whether  the  Government  has  received  any  proposal  from  the  State Government since 2019 requesting the provision of SCS;
- (e) if so, the details thereof along with the relevant proposal received and the  time  by  which  the  Union  Government  will  grant  SCS  to  Andhra Pradesh; and
- (f)  the  list  of  the  provisions  which  remain  unfulfilled  by  the  Union Government according to the Andhra Pradesh Reorganization Act, 2014?

## ANSWER

MINISTER OF STATE IN THE MINISTRY OF HOME AFFAIRS (SHRI NITYANAND RAI)

(a) to (f): A  large  number  of  provisions  of  APR  Act,  2014  have  been implemented  and  the  remaining  provisions  of  the  APR  Act,  2014  are  at various  stages  of  implementation.   Some  of  the  provisions  relating  to

infrastructure  projects  and  educational  institutions  have  long  gestation period for which a time period of ten years has been prescribed in the Act.

There are some bilateral issues between Andhra Pradesh and Telangana which require mutual agreement between the two States. The approach of the Central Government has consistently been that bilateral issues can be resolved  only  with  the  cooperation  of  the  State  Governments  concerned and  that  the  Central  Government  acts  only  as  facilitator  for  amicable settlement  of  the  disputes  in  a  spirit  of  mutual  accommodation  and understanding.

The  Government  has  received  requests  for  according  Special  Category Status  from  certain  States  including  Andhra  Pradesh.  The  Fourteenth Finance Commission (FFC) had not made any distinction between General Category States and Special Category States in the horizontal distribution of shareable taxes amongst the States. As per the recommendations of the FFC,  the  Union  Government  had  decided  to  increase  the  share  of  net shareable taxes to the States from 32% earlier to 42% for the period 201520. The same has also been retained by the Fifteenth Finance Commission at 41% (1% adjusted on account of creation of UT of J&K) for the period 2020-21 & 2021-26. The objective has been to fill the resource gap of each

State to the extent possible through tax devolution.  Also, Post-Devolution Revenue  Deficit  Grants  have  been  provided  to  States  where  devolution alone could not cover the assessed gap.

The  Central  Government  has  agreed  to  give  special  assistance  to  the State of Andhra Pradesh to make up for the additional Central share the State  might  have  received  during  2015-16  to  2019-20,  if  the  funding  of Centrally Sponsored Schemes would have been shared at the ratio of 90:10 between  the  Centre  and  the  State.  The  special  assistance  is  to  be provided by way of repayment of loan and interest for the Externally Aided Projects  (EAPs)  signed  and  disbursed  during  2015-16  to  2019-20  by  the State.

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