Punjab floods caused Rs 25,000 cr of damage, Rs 1,600 cr relief 'insult' to state: CPI

Chandigarh, Sep 23 (PTI) The Communist Party of India on Tuesday called the Centre's relief package of Rs 1,600 crore for flood-hit Punjab as an "insult" to the affected people as it highlighted widespread destruction and massive agricultural losses.

Noting that actual losses in the floods exceed Rs 25,000 crore, the CPI demanded an expanded package to be released immediately, with at least Rs 1 lakh in direct relief to every affected family, including landless labourers and small traders, not just farmers.

In a resolution adopted during the CPI's 25th Congress, both the central and Punjab governments were criticised for the alleged negligence in maintaining irrigation and drainage systems, which "aggravated" the recent floods in Punjab.

The CPI is holding its 25th Congress here, which will continue till September 25.

The resolution stated, "After conducting an aerial survey, Prime Minister Narendra Modi declared a relief package of only Rs 1,600 crore for Punjab, a state that has suffered losses exceeding Rs 25,000 crore." Punjab recently faced one of its worst flood disasters in decades, primarily due to the swollen Sutlej, Beas, and Ravi rivers, along with seasonal rivulets resulting from heavy rainfall in their catchment areas in Himachal Pradesh and Jammu and Kashmir. Furthermore, heavy rains in Punjab exacerbated the flooding situation.

The CPI's another resolution dismissed central government claims of goods and services tax (GST) reforms as "hollow", arguing that BJP's economic policies "worsened inequality, burdening the middle and lower-income classes while benefiting corporates and favoured tycoons." It urged policymakers to reconsider the reforms to prevent further "widening of socio- economic inequalities".

"Introduced in 2017, the GST was hailed as a landmark reform designed to unify the fragmented indirect taxation system, eliminate cascading taxes, and create a unified national market. GST 2.0 seeks to build on these objectives by rationalizing tax slabs, simplifying rates, enhancing compliance mechanisms, and addressing structural inefficiencies," it said.

"However, despite the intended reforms, critical flaws have emerged, particularly concerning the regressive nature of the tax. Evidence indicates that lower and middle-income households carry a disproportionately high share of the GST burden, as they spend a larger portion of their income on goods and services subject to taxation," it said.

On public health, the CPI's Congress noted that central health spending remains below 2 per cent of GDP.

It demanded recognition of healthcare as a fundamental right, an increase in health expenditure to 3 percent of GDP by 2027 and 10 percent by 2030, and universal free healthcare for all citizens, said the resolution.

During discussions, the Congress strongly criticised the BJP's "fascist" agenda, calling for unity among Left and democratic forces.

The party pledged to continue defending the rights of farmers, workers, labourers, employees, and the toiling masses, it said. PTI CHS SUN NB NB