The Khyber Pakhtunkhwa (KP) government has taken decisive steps to address its financial grievances with the federal government, as discussed in a recent meeting chaired by KP Chief Minister Ali Amin Gandapur. The meeting primarily focused on the province’s outstanding finances and its relations with the federal authority.
Chief Minister Gandapur emphasized the urgency of addressing the financial issues and directed concerned officials to strategize on how to effectively communicate the province’s concerns to the federal government. He instructed them to prepare comprehensive documentation to bolster the province’s case in discussions with federal authorities. Moreover, Gandapur highlighted the potential recourse of legal action if the federal government fails to respond adequately to KP’s financial concerns.
One of the significant issues discussed was the substantial amount owed to KP under the A.G.N. Qazi formula. The province currently has 1510 billion rupees outstanding against the central government for electricity. Furthermore, there are six billion rupees in arrears owed to the provincial government for electricity supplied to the national grid. These outstanding amounts underscore the financial strain experienced by KP due to delayed payments from the federal government.
The meeting also shed light on discrepancies in the distribution of funds under the National Finance Commission (NFC) Award. Despite KP’s entitled share being 19.64% based on population ratio, the province has been receiving only 14.16% share. This disparity has significantly impacted KP’s fiscal autonomy and its ability to meet the needs of its populace.
The decision to escalate the matter to higher authorities or the courts reflects the KP government’s commitment to safeguarding the province’s financial interests and ensuring equitable treatment within the federation. By pursuing diplomatic and legal channels, KP aims to rectify longstanding financial grievances and secure its rightful share of resources and allocations from the federal government.
In conclusion, the KP government’s proactive stance signals its determination to address financial disparities and uphold the province’s economic viability within the broader framework of Pakistan’s federal structure.
