State Reorganisation - Union's Commitment - Status Report

Status Report - Union’s Commitment to Andhra Pradesh
– The erstwhile State of Andhra Pradesh furnished relevant
information on resources to the Joint Committee in April and
May 2014.
April - May 2014
– On 27 May 2014, Government of Andhra Pradesh requested
Government of India to provide Rs. 15,691 Crore in the Union
Budget for FY 2015-16 (Annexure-5). However, such a provision
was not made in the Union Budget 2015-16.
– During 2014-15, Government of India released an amount of
Rs. 2,303 Crore on ad hoc basis to the Successor State of
Andhra Pradesh towards partial compensation of the Resource
Gap arising during the fiscal year.
2014-15
– The Accountant General of Andhra Pradesh audited the finance
accounts for FY 2014-15 and the Comptroller and Auditor
General (CAG) assessed and certified the total Revenue Deficit
as Rs. 16,078.76 Crore; the net Revenue Deficit after taking
into account the ad hoc grant of Rs. 2,303 Crore during the
year was Rs.13,775.76 Crore.
– Government of India released further amounts of Rs. 500 Crore
in 2015, and Rs. 1,176.50 Crore in 2016 towards compensating
the Resource Gap of 2014-15. Thus, a total of Rs. 3979.50
Crore was released against the CAG’s assessment of a total
Revenue Deficit of Rs.16,078.76 Crore.
– On 8 September 2016, Government of India made the following
public statement (Annexure-6)
2016
“Under the Andhra Pradesh Reorganisation Act, 2014 the
commitment for the Resource Gap for the year 2014-15 is being
met on the basis of standardized expenditure for the year. The
revenue has been tentatively quantified subject to further
adjustment on account of figures relating to certain pension
schemes. A part of the revenue gap compensation amounting
to Rs. 3,979.5 Crore has already been paid and the balance is
being paid in annual instalments”.
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