Former Kerala Minister Advocates Toll Collection Amid Revenue Challenges
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Synopsis
Former Kerala Finance Minister Thomas Isaac emphasizes the need for toll collection to bolster state revenue due to inadequate Union funding. He acknowledges past statements while addressing the challenges of the KIIFB project, amid criticism from the opposition regarding its effectiveness and the government's financial strategies.
Key Takeaways
- The Kerala government is facing revenue challenges.
- Former minister Thomas Isaac supports toll collection on KIIFB-funded infrastructure.
- Opposition leaders criticize the government's financial strategies.
- KIIFB aims to fund significant public infrastructure projects.
- Controversy surrounds the introduction of toll taxes in Kerala.
Thiruvananthapuram, Feb 6 (NationPress) Former Kerala Finance Minister Thomas Isaac stated on Thursday that the state government must implement toll collection to enhance its revenue streams.
“The era has shifted. We will need to impose tolls on roads and bridges financed through KIIFB resources,” remarked Isaac.
The ex-minister highlighted that this toll collection was necessitated by the ineffective policies of the Union government, resulting in insufficient funds being allocated to the state.
“The state must explore innovative methods to generate revenue,” he added.
The KIIFB initiative was introduced in 2016 by the former CPI-M Finance Minister Thomas Isaac, who referred to it as his ‘signature project’.
However, back in 2016, Isaac had assured the Assembly that no tolls would be charged on roads and bridges funded by KIIFB. He later retracted that statement, asserting, “What I stated earlier does not bind me now.”
It is noteworthy that Isaac initiated the efforts to mobilize and allocate funds aimed at ensuring systematic, sustainable, and efficient development of both the physical and social infrastructures of KIIFB.
KIIFB was founded in 1999 as the main financial body of the Kerala government, intended to channel funds for significant public infrastructure projects within the state.
Meanwhile, V.D. Satheesan, the Kerala Leader of Opposition, criticized the Pinarayi Vijayan administration regarding tax collection and the shortcomings of the KIIFB project.
“From the outset, we anticipated that KIIFB would be disastrous and a major failure. We have now witnessed its complete failure. Regardless of the circumstances, we will not permit this government to impose tolls,” declared the Kerala LoP.
Tensions have escalated in Kerala following the state government's decision to approve the introduction of a toll tax on all roads developed with KIIFB funds to bolster revenue.
KIIFB is contemplating toll collection on all roads constructed at a cost exceeding Rs 50 crore, and various methods for toll collection are currently being explored, prompting a strong backlash from the opposition led by Congress against the state government.
