SSA funds, Chennai Metro Rail, fishermen: What Stalin discussed with PM Modi

NEW DELHI: Chief Minister MK Stalin on Friday called on Prime Minister Narendra Modi in New Delhi and submitted a memorandum seeking solutions to three pressing issues of the State, including approval of the CMRL phase-II project under 50:50 equity sharing basis between Tamil Nadu and the Union government, and release of funds under Samagra Shiksha Scheme. Stalin also sought a permanent solution to the livelihood issue of Indian fishermen regularly apprehended by the Lankan Navy.

Stating that the progress of CMRL phase-II has slowed down due to the state’s fiscal constraints under the FRBM Act, Stalin, in his three-point memorandum, requested the PM to “intervene in the matter and facilitate early approval of phase-II of CMRL under 50:50 equity sharing basis between the government of India and government of Tamil Nadu, as was done for Phase-I and as recommended by PIB.”

Due to limited fiscal space, the GoTN had instructed CMRL to reduce the pace of works and take a budget cut from Rs 10,000 crore to Rs 9,000 crore and the slowdown from last year was affecting the current fiscal as well, limiting the total project expenditure to Rs 8,000 crore, the Chief Minister stated.

Arguing that the CMRL needs to secure principal debt of Rs 33,593 crore and subordinate debt of Rs 17,434 crore for the phase-II project, Stalin reasoned that without corresponding equity contribution, it would result in an unfavourable debt-to-equity ratio, potentially rendering CMRL unsustainable.

If the project receives funding as recommended by PIB (Public Investment Board), CMRL would get an equity infusion of Rs 10,814.8 crore. However, as a state sector project, this equity infusion by the state alone is not possible as it will affect the company’s ownership structure, the Chief Minister added.

Asking the PM to immediately release the Samagra Shiksha Scheme (SSA) funds currently withheld due to non-implementation of the NEP, the CM pointed to the Project Approval Board (PAB) for SSA scheme approving an outlay of Rs 4,305.66 crore with a committed liability of Rs 3,585.99 crore for Tamil Nadu and said that of the approved sum, the central share of 60% amounted to Rs 2,151.59 crore and the amount has not been released so far despite the state project directorate sending a proposal for release of first instalment fund on April 30, 2024.

Citing a clause of the MoU the Union insists on the State formalising with the State where states are required to implement all provisions of the National Education Policy, Stalin said that Tamil Nadu’s concern regarding the NEP-2020 primary relates to the three-language formula put forth in clause 4.12 of the policy. Historically, Tamil Nadu has been following a two-language formula and Tamil Nadu has been exempted from implementing the Official Languages Act 1963 as mentioned in the Official Language Rules 1976, the CM said that the genuine request of the state with regard to the three-language formula factored in NEP-2020 may kindly be considered.

The state of Tamil Nadu is willing to sign the PM SHRI, MoU with minimum modifications incorporating the constitutional protection to the state with regard to the language formula, Stalin said, urging the PM to intervene and expedite the release of funds under the Samagra Shiksha Scheme, pending decision on the signing of PM SHRI, MoU considering the future of 43.94 lakh students in the state.

Flagging the issue of apprehension of Tamil Nadu fishermen by the Sri Lankan Navy, the CM said that with a meeting of the joint working group on fisheries between India and Sri Lanka scheduled to be held on October 29 in Colombo, Stalin said it was necessary to arrange the fishermen level talks between the two countries urgently. Stalin requested the PM to personally intervene to find a lasting solution to the vexatious issue. As an immediate measure, it was requested that efforts be taken to release 145 arrested fishermen and their boats with fishing equipment.