By Syed Muntaha
Broken bridges, schools run from rented places, peeved traders- that is what the September 2014 flood has left behind over one and half year after the deluge caused the worst ever devastation in Kashmir. Not only has the government failed to repair the public infrastructure, even the industrial output has declined triggering the deep recession in the economy.
The road infrastructure lies in shambles across Kashmir and the relief which the government had promised to the traders and to those whose houses were damaged has not come through. And not much has been done to prevent any catastrophe in case the rains pour down for few days. The desilting of Jhelum River is taking place at snail’s pace and the construction of alternate flood channel has not happened as slight rainfall even triggers the worst scare.
Even, officials said, compared to what the previous government headed by former Chief Minister, Omar Abdullah, had promised in his Rs 44,000 crore flood-package, which was sent to the Central government, the traders and residents have got only negligible assistance.
The State Administrative Council (SAC), which is Governor N N Vohra’s cabinet, recently approved financial assistance under Prime Minister’s Development Package (PMDP) – 2015 to provide relief to people whose houses were damaged, which is significantly lesser than what they were promised. The relief provided under the PM’s package is Rs 2.5 lakh for the fully damaged pucca house, Rs 1 lakh for fully damaged kacha house, Rs 1.25 lakh for severely damaged pucca house, Rs 50,000 for severely damaged kacha ouse, Rs 20,000 for partially damaged pucca house and Rs 10,000 for partially damaged kucha house. Putting together the money that has been provided under the state disaster relief fund (SDRF), a fund created to meet any contingency, and Prime Minister’s National Relief Fund for the fully damaged pucca house, people have got Rs 4.25 lakh, while for the fully damaged kacha house people are given Rs 1,67600 and for severely damaged Pucca house, Rs 1,87600. Over 2. 2 lakh houses were destroyed in the deluge.
However previous government headed by former CM, Omar Abdullah, had reasoned with the Central government that each damaged house should be given the relief of 8-9 lakh, pointing out that the construction costs in the state were higher than in other parts of India. It has been precisely due to the paltry assistance received by the flood-affected people that in the Agenda of Alliance that PDP and BJP had worked out before the formation of the government the rehabilitation of the flood-affected people was given the top priority. But since, Centre open its coffers for the state in lieu of power sharing deal that PDP had worked with the BJP, the sense of betrayal by the right-wing party was felt by PDP chief, Mehbooba Mufti who took nearly three months re-stitch alliance after her father’s death.
Even briefly after chief minister, Mufti Mohammad Sayeed, assumed office Central government dragged its feet and made it clear to the state that it can’t relax the norms for Jammu and Kashmir to compensate for the losses. During his discussions with the Niti Ayog, which has replaced Planning Commission, former Finance Minister, Haseeb Drabu, was bluntly told that the Rs 44,000 crore could not be fully funded by New Delhi. The Niti Ayog during its assessment reduced the losses to near Rs 10,000 crore.
Drabu, tried to ward off criticism over lesser devolutions from the Rs 80,000 crore financial package announced by Prime Minister, Narendra Modi, major portion of which was spread over different sectors, including the tapping of hydel potential.
After PM Modi announced the package, the Kashmir Chamber of Commerce and Industry (KCC&I) lost no time in dismissing it as “sham”. It argued that the “package is shallow since it does not meet the requirement of funds essential for relief and rehabilitation of the people” who suffered enormous losses during floods.
The KCCI statement read that Rs 7000 crore for relief and rehabilitation against the estimated Rs 44,000 crore for the flood-hit was a cruel joke with the hapless people of Kashmir.
Rs 7,000 crore was too less, given the fact that the traders had estimated that the loss was over Rs 1 lakh crore, which was given credence by the state government, as former Chief Secretary, Iqbal Khanday, had noted during a press conference that the losses include that suffered by the business and industry. Khanday had called the press conference to ward off criticism when Omar Abdullah government was needed on the ground; it chose to remain ensconced in the high security buildings. The images of Omar dropping the flood-material from the chopper didn’t go down well as NC tasted defeat in its otherwise strongholds in Srinagar city.
But over one and half year after the floods, the state has been left with the economy which is in tatters and the infrastructure also lies in shambles. The bridges have not been constructed and the roads lie in a broken state. In Srinagar city particularly due to the damage to the school buildings the students are taught in cramped spaces and in rented accommodations. Even the flood-damaged schools are being used for rendering education, said a senior official. “We use the portion of the middle school in Jawahar Nagar to impart education,” he said.
The Central government has not approved the package to repair the roads which was sent by the state to it and the construction of the bridges is likely to be completed by the end of next financial year. Chief Engineer Roads and Buildings, Satish Razdan, told The Legitimate that the department is waiting for the clearance of the road package from the Central government. “However the Government of India has approved the bridge package of Rs 166 crore and the construction of the damaged bridges would be completed by the end of next financial year.”
With infrastructure lying in shambles, and the markets showing no pick-up in consumer demands both the traders and industrialists are grappling with worst ever crises. And their hopes on the government that it will provide the concession on the interest on loans have been dashed as state is yet to come out with a scheme.
Governor N N Vohra, had earlier asked the state’s Relief and Rehabilitation department that it should work out the scheme to compensate the flood-hit businessmen by giving them the interest concession of 4-6 percent to cover losses in the trade suffered in the floods.
Under the scheme, the government was planning to offer the interest subvention on the term loans, on which the interest charged was only 10 percent with a moratorium of 2 years that expires in September this year. Earlier in the discussions with the government over offering them the interest concessions, the traders had sought that the moratorium period on the repayment of interest on loans shall be extended by 2 -more years. But even as government in a statement earlier said that Rs 800 crore has been earmarked to compensate the banks for the loss of interest money on the concessions that they will offer, a detailed scheme has not been devised.
Chairman of Kashmir Trade and Manufacturers Federation (KTMF), Muhammad Yaseen Khan said they have been pursuing with the government the demand for providing interest subvention even to those “whose business was indirectly affected due to floods.” “We have been seeking that the interest subvention shall be provided to not only those whose stocks were damaged in the floods, but also to those who couldn’t carry out business during the floods.” Khan sad that there is no pick up in the economy and the consumer demand is dull, which could only be revived after government lends some concessions.
The cyclical effect of the losses suffered by the state could only be overcome, if the public spending on the creation of infrastructure is enhanced and the some measures are announced by the state to give a push to the sagging economy.
The story first appeared in print on April 6, 2016
