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Farm fires: Centre turns down Punjab’s demand for Rs 1,200 cr towards payment of incentives to farmers

Punjab Government should give incentives to farmers from their own budget resources like Haryana Government, Department of Agriculture and Farmers Welfare says in an affidavit filed in Supreme Court
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In a letter dated October 19, 2024, addressed to the Union Agriculture Secretary, Punjab Chief Secretary K A P Sinha said the state has proposed to pay Rs 2,500 per acre to be given to farmers as CRMIP to encourage them not to burn paddy stubble. Tribune photo
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The Centre has turned down the Punjab Government’s demand for Rs. 1,200 crore towards payment of incentives to farmers to dissuade them from stubble burning – the main cause behind poor air quality in Delhi-NCR during October-December.

In an affidavit filed in the Supreme Court, the Department of Agriculture and Farmers Welfare said, “The Government of Punjab may consider providing the incentives to farmers from their own budget resources on the similar lines of Haryana Government to further control paddy stubble burning.”

“It is also pertinent to mention that the Government of Haryana is providing incentive from their own budget resources which include incentive of Rs 1,00,000 to the Red Zone Panchayats and Rs 50,000 to Yellow Zone Panchayats for achieving zero stubble burning, Rs 7,000 per acre for diversification of paddy area to alternate crops under Mera Pani Meri Virasat scheme, Rs 4,000 per acre for adoption of direct sowing of rice etc.,” the Centre said, adding, “These initiatives have contributed significantly in reducing stubble burning in the state (Haryana).”

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Last month, the Supreme Court had asked the Centre to take an “appropriate decision” in two weeks on the Punjab Government’s demand for Rs. 1,200 crore for payment of incentives to farmers to dissuade them from paddy stubble burning. Punjab Advocate General Gurminder Singh had emphasised that penalizing farmers wasn't a solution to the problem as most of them were marginal farmers who needed to be given incentives.

However, the Centre said the Punjab government’s proposal was nothing but “the copy of the same proposal submitted in July 2022 which is reconstructed to proclaim that the expenditure would be incurred on operational cost of usage of crop residue management machinery e.g. hiring of tractor, cost of diesel, cost of manpower etc..

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“The Department is already supporting the State Government and funds have been provided for purchase of CRM (Crop Residue Management)machines by the farmers @ 50% subsidy. Custom Hiring Centres of CRM machines are established with subsidy @ 80% of the project cost. The paddy straw supply chain projects are also provided subsidy @ 65% of the project cost. Funds have also been provided to the State and Krishi Vigyan Kendras (KVKs) for taking up Information, Education and Communication activities for mass awareness farmers,” the affidavit read.

“During the period from 2018-19 to 2024-25, the central funds amounting to Rs. 1681.45 Crores have been released to the State of Punjab. The State has distributed more than 1.46 lakh machines and more than 25,500 Custom Hiring Centres (CHCs) have also been established in the State.

“During the current year against the allocation of central funds of Rs. 300 Crores, an amount of Rs. 150 Crores has been released so far and thus the funds amounting to Rs. 250 Crores including the State share are available with the State for 2024-25. Against these funds, the expenditure so far is very negligible. The State should expend these funds and additional funds, if required by the State may also be provided,” the Centre submitted.

Noting that paddy is grown on 32 lakh hectare land in Punjab, the Punjab Government had told the top court that an amount of Rs. 2,000 crore is needed as Crop Residue Management Incentive Payment (CRMIP) as an incentive to be paid to farmers to dissuade then from stubble burning.

While Rs. 400 crore each proposed to be shared by the governments of Punjab and Delhi, the Punjab government wanted the Centre to shell out Rs. 1,200 crore, saying the majority of marginal farmers find it difficult to use the Crop Residue Management Machines because of the cost involved.

In a letter dated October 19, 2024 addressed to the Union Agriculture Secretary, Punjab Chief Secretary K A P Sinha said the state has proposed to pay Rs. 2,500 per acre to be given to farmers as CRMIP to encourage them not to burn paddy stubble.

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