On July 22nd, the government referred to a report from an inter-Ministerial Group of 2012 as basis for its assertion that there is no case for Bihar’s special category status; this was after BJP’s allies in Bihar demanded such a status.
In a written reply to Lok Sabha on the first day of Monsoon session, Minister of State for Finance Pankaj Chaudhary said National Development Council (NDC) has granted special category status in the past to some States that had various characteristics requiring special consideration in their cases.
“These included hilly and difficult terrain, low population density or sizeable share of tribal population, strategic location along borders with neighboring countries, economic and infrastructural backwardness and non-viable nature of State finances,” he said in response to a query by JD(U)’s Rampreet Mandal.
The “decision [was] taken based on an integrated consideration of all the factors listed above and the peculiar situation of a state,” added The Minister. According to this statement made by The Minister, “Earlier an Inter-Ministerial Group (IMG) considered Bihar’s request for Special Category Status which submitted its Report on 30th March 2012. Based on existing NDC criteria,” it stated that the case for Special Category Status for Bihar is not made out. ”It was during Congress-led UPA regime.”
On July 21st at an all-party meeting JDU leader Sanjay Kumar Jha articulated his party’s demand for this status. During the meeting, Lok Janshakti Party (Ram Vilas), also a BJP ally, and Opposition RJD expressed similar sentiment.
However, JD(U)s told New Delhi earlier last week that they could agree to settle down on a special financial package if it does not get statehood. In this regard Biju Janata Dal (BJD) demanded the same thing for Odisha while YSR Congress did so for Andhra Pradesh in the meeting.
The government has also argued in the past that the 14th Finance Commission report rules out any further states being give this status. Which includes tax relief and higher central funding.