Permit State to Produce Ethanol from Paddy: CM Baghel

Story Highlights
  • Baghel attended the virtual summit chaired by Union Minister for Finance & Corporate Affairs Nirmala Sitharaman.
  • Urged centre to permit production of ethanol from paddy.
  • Also requested reduction of cess on fuel rates.

Raipur: Chattisgarh should be allowed to generate paddy from ethanol urged CM Baghel during the virtual meeting held between Union Minister for Finance & Corporate Affairs Nirmala Sitharaman and Chief Ministers and Finance Ministers of all States/ Lt Governors of UTs from his residence office in Raipur. Adding to the request, he informed MoUs have also been signed with 12 companies for setting up bio-ethanol plant. He further informed that the state has got the permission to produce ethanol from sugarcane and maize.

Expressing displeasure over the Centre’s non-procurement of Usna Rice, Baghel said that the Union govt had decided to procure 61.65 lakh metric tonnes of rice from Chhattisgarh in year 2021-22, excluding Usna rice. Speaking kn this decision, he said that nearly 500 Usna rice mills producing 5 lakh metric tons per month would be hit that would strangle economic condition of several farmers and labours.

Speaking further, Baghel also requested centre to refund their share of Rs.4140 crores which had been deposited as a share of its coal penalty in the Central Pool of Central Government. Bagehl also addressed concerns of fuel prices and suggested reduction in the cess on petrol and diesel to control their prices. Mr. Baghel informed that Chhattisgarh state is incurring a loss of about Rs. 500 crore every year due to the reduction in excise duty on petrol and diesel.

He further requested conversion of the revenue deficit of 15th Finance Commission into a grant. Citing the grant during the meeting, he urged the centre reconsidered its decision of providing the grant of Rs. One lakh 18 thousand 552 crore on the basis of revenue deficit from the year 2021-22 to 2024-25 to support the COVID-affected economies of the states. According to him, the grant is being issued for the losses incurred in the previous years, which does not compensate the loss incurred due to COVID crisis

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