CM Revanth Reddy slams GST reforms, seeks compensation

Hyderabad: Chief Minister Revanth Reddy on Monday accused the Centre of slashing Telangana’s revenue by nearly ₹7,000 crore through the new GST reforms. He demanded that the Union government cover the loss and provide a viability gap fund for five years.

Reddy said unilateral decisions on GST were unacceptable. He recalled that when the GST Act began, the Centre gave states a viability gap fund to offset revenue shortfalls. “The same system must continue now. Otherwise, the Centre is forcing states into financial instability,” he said.

Revanth Reddy on GST reforms and Singareni bonus

The Chief Minister made the remarks in Hyderabad while announcing a Dasara bonus for Singareni Collieries workers. He said Telangana had planned its finances based on projected income, but the reforms disrupted those calculations. He added that Deputy Chief Minister Bhatti Vikramarka already submitted a report on the revenue damage to the GST Council.

Reddy urged Union Minister Kishan Reddy to push Telangana’s case in New Delhi. He argued that ignoring the loss would amount to neglecting the state’s fiscal stability.

Turning to Singareni Collieries, Reddy promised to strengthen the company so it could match corporate competitors. He praised workers for their crucial role in Telangana’s statehood movement and assured that the government would always value their contributions.

He announced that Singareni earned ₹6,394 crore this year. Out of this, ₹4,034 crore went to future investments. Net profit reached ₹2,360 crore, with ₹819 crore (34 per cent) allocated as bonus for permanent workers. Contract workers would receive ₹5,500 this year, an increase of ₹500.

Reddy criticised the previous BRS government for losing two coal blocks to private players. He pledged to work for their return to Singareni. Workers also demanded that other mines leased to private firms be restored. Reddy said he would press the Centre on this and warned that unchecked private entry could threaten Singareni’s survival.

The Chief Minister pledged continued support to workers, promised to keep Singareni on a profitable path, and announced a Diwali bonus in addition to the Dasara payment.