Government says it has addressed all commitments made to Andhra Pradesh - FACTLY
Sai Krishna Muthyanolla
September 9, 2016
Amidst demands for a ‘Special Category Status’ to Andhra Pradesh, the Government of India (GoI) has released  a note detailing the various commitments made to Andhra Pradesh and how it has effectively addressed all of them. GoI has in no uncertain terms said that a Special Category Status for Andhra Pradesh is not possible because of the recommendations of the 14th Finance Commission. The GoI said that class of special category states ceases to exist.
GoI has categorized the various commitments made to Andhra Pradesh into the following,
The then Prime Minister, Dr. Manmohan Singh on 20.2.2014 stated before the Rajya Sabha that Special Category Status would be extended to the State of Andhra Pradesh for a period of five years.  This would be done to put the State’s finances on a firmer footing.  He further stated that the resource gap for the year 2014-15 would be compensated by the Central Government.
Andhra Pradesh was one of the States determined to be a revenue deficit State, and the Commission recommended that the Centre would provide revenue deficit grant for the period of the Fourteenth Finance Commission.  The amount of deficit for each year was mentioned in the report itself and a total of Rs.22,113 crores is to be paid to Andhra Pradesh as revenue deficit grant for the 5 year period.
The Vice Chairman, NITI Aayog Dr. Arvind Panagariya studied various aspects of the support to be given to Andhra Pradesh under the Reorganisation Act and made recommendations regarding effective implementation.
As per the press release of GoI, the following support has already been extended or committed.
The release says that the GoI is honouring and shall honour all commitments made under the Andhra Pradesh Reorganisation Act.