Update on India’s States: October 29, 2015

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This week: Gujarat schedules local elections; GST legislation is under way; Maharashtra plans a fire sale; Uttar Pradesh is building housing, and much more. 

There is widespread recognition of the importance of the political-economies of Indian states. Yet there is a lack of hard, credible information on what states are doing to strengthen or weaken their own economies. The CSIS Wadhwani Chair in U.S.-India Policy Studies is pleased to issue the fourth edition of our new “Update on India’s States” weekly newsletter.

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Big News

The Gujarat State Election Commission announced a two-phase poll schedule for 323 local civic bodies. The Gujarat state government had hoped to postpone the polls due to unrest throughout the state, but the Gujarat High Court declared the plan unconstitutional. Source: The Hindu Business Line

State finance ministers are scheduled to meet on November 20 to discuss the model Goods and Services (GST) Tax law as well as the inter-state GST legislation. Source: The Economic Times

Center-State relations

The Urban Development Ministry will release funds to states in larger amounts to allow development projects to go forward without budget delays. The Ministry has cleared a first batch of projects in 89 cities. Andhra Pradesh, Gujarat, and Rajasthan are receiving the bulk of the $428 million in central funds. Source: The Hindu

The West Bengal government has announced its support for the Center’s intention of ending the current no-detention policy in schools, which requires that all students below class VIII be promoted to the next grade, whether or not they have successfully completed the requirements of the course. Source: Zee News

Andhra Pradesh Information Technology Minister Palle Raghunatha Reddy has arrived in the United States for a two-week trip visiting IT hubs. The group will visit Boston, Silicon Valley, San Francisco, Dallas, Chicago, Austin, New Jersey, and New York. Source: The Hindu Business Line

Japan State Minister of Economy, Trade and Industry Yosuke Takagi and Andhra Pradesh Chief Minister N. Chandrababu Naidu signed a Memorandum of Cooperation on development of Amaravati and industrial cooperation. Source: The Hindu, The New Indian Express

Chief Minister N. Chandrababu Naidu has decided to develop 13 more cities in Andhra Pradesh as Smart Cities, in addition to the 3 cities announced by the central government. Source: The Hindu

The Delhi government is inviting investors from Sweden to deliver affordable solutions to problems ranging from waste management to energy-efficient public transport. Source: The Economic Times

The Delhi Cabinet passed a resolution asking Lt Governor Najeeb Jung to explain the “compelling circumstances” behind the “sudden” transfer of Delhi’s VAT Commissioner Vijay Kumar shortly after Kumar’s department discovered a large-scale hawala racket. Source: The Hindu Business Line, The Economic Times

The University of Chicago and the Delhi Dialogue Commission (DDC) are forming a first-of-its-kind partnership to improve Delhi’s air and water quality. The centerpiece of this partnership will be a unique competition: the Urban Labs Innovation Challenge, designed to build a toolkit of innovative projects proposed by local institutions and tap into grassroots expertise. Source: Delhi.Gov.in

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The Gujarat State Election Commission announced a two-phase poll schedule for 323 local civic bodies. The Gujarat state government had hoped to postpone the polls due to unrest throughout the state, but the Gujarat High Court declared the plan unconstitutional. Source: The Hindu Business Line

The upcoming local bodies elections in Gujarat will test the Bharativa Janata Party’s (BJP) 20-year dominance over the state political scene as the party grapples with the ramifications of Patel quota agitation. Source: The Economic Times

Gujarat is the only state that has agreed to work with the Center to build a National Emergency Response System (NERS). NERS, modelled on the 911 system in the United States, will offer a single coordination center for police, fire, and ambulance services. Source: The Economic Times

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Chief Minister Siddaramaiah is visiting Delhi for talks with Congress Party leaders over a planned Karnataka Cabinet shuffle. Source: The New Indian Express

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The debt-laden Maharashtra government is considering raising funds by selling unused land owned by the state with a commercial value of over $750 million. Source: The Hindu Business Line

The Maharashtra Congress Party is making a major push for votes in the upcoming local government body elections. The party leadership will make inflation – particularly the rise in pulse prices – and farmers’ suicides its key issues. Source: The Economic Times

The Bombay High Court chastised the Maharashtra government for its delay in providing land to build night shelters for the homeless population. Source: The New Indian Express

Maharashtra NCP (Nationalist Congress Party) president Sunil Tatkare, who is under investigation for corruption in the awarding of a contract for the $95 million Kondhane irrigation project, appeared before the state’s Anti-Corruption Bureau (ACB). Source: The Economic Times

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Rajasthan will introduce a new syllabus in government schools in the next academic session. The revised materials will have a greater focus on India’s history and the lives of its great leaders. Source: The Economic Times

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A delegation of Members of Parliament from Tamil Nadu’s ruling party, All India Anna Dravida Munnetra Kazhagam, met External Affairs Minister Sushma Swaraj and demanded the Center’s immediate intervention in securing release of Indian fishermen in Sri Lankan jails. Source: The Economic Times

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Telangana Chief Secretary Rajiv Sharma signed a Memorandum of Understanding (MoU) with the city of Bordeaux, France to strengthen ties in the areas of biotechnology, aeronautical engineering, IT, and urban renewal. Source: The New Indian Express

A division bench of the Hyderabad High Court sought a report from the Telangana government on alleged illegal quarrying of gravel in Nizamabad district by certain private construction companies. The court criticized the state government for failing to prevent illegal excavation. Source: The New Indian Express

Telangana Chief Minister K. Chandrasekhar Rao extended an olive branch to Andhra Pradesh during the foundation stone ceremony for the latter’s new capital, promising to assist construction in any way possible. Source: The Hindu

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The Akhilesh Yadav government is planning to build 40,000 more housing units across the state. Various state development authorities will be responsible for some of the units, while at least 25,000 will be built by private developers. The state government has already given the green light to plans to build more than 18,000 of the units. Source: The Economic Times

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The West Bengal government has announced its support for the Center’s intention of ending the current no-detention policy in schools, which requires that all students below class VIII be promoted to the next grade, whether or not they have successfully completed the requirements of the course. Source: Zee News

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