The government financial package’s main component includes Rs 950 cr interest subvention of 5% for all borrowers except borrowers under KCC, ACC, loan against deposits, loans under personal segments, NBFCs for a period of six months with effect from 1 April 2020.
The benefit shall be available to those borrowers whose accounts were standard on 31-07-2019 or 31-03-2020 whichever is applicable.Rs 80 Crore rupees have been announced for a waiver of electricity charges. “Waiver off 50 % of the fixed charges of electricity in respect of the Industries and Commercial establishments for a period of 1 year from September 2019 to September 2020 and Rs 25 crore water charges shall be waived off for a period of six (06) months from April 2020 to all Industries and Commercial establishments in view of lockdown due to Covid-19,” the report said.
As per the report, around 80 Cr rupees relief will be provided to transporters including bus drivers, cleaners, Sumo and auto drivers.“1,40,000 sumos, buses and autos plying these shall be registered with the labor with the building and other construction workers board and paid monthly remuneration of Rs 1000 each in DBT mode for a period of six months,” it said.The committee also recommended the release of Rs 139.24 Cr pending interest subvention under 2014 and 2016 rehabilitation schemes for restructured accounts.“Pending interest of subvention claims of banks received through JKUTLBC under 2014 & 2016 rehabilitation schemes for restructured accounts of businessmen and traders.”15 Cr have been announced as 80 percent Subsidy for installation of bio-digesters in the houseboats.
It also announced Rs 11.95 Cr for Shikara Walas/HouseBoat owners / Tourist Guides/ Pithuwala/Dandiwalas/Sledge Walas/Pony/Camel Riders.They will get Rs 1000 per month for six more months.
The admin also announced Rs 25 crore at 50% subsidy or 5.00 lakh whichever is lower to the transporters for replacement of old buses.
Rs 50 crore have been earmarked for the insurance to the transporters.“The insurance premium shall be borne by the Government subject to a maximum of Rs 5000 per vehicle for Buses/Mini Buses, Rs 3000 for taxes/ sumos and Rs 2000 for three-wheelers,” report said.
In a major relief to artists, rupees 1.80 crs would be provided to around 3100 artists who have lost their livelihood during the pandemic. The artists associated with the cultural academy shall be paid Rs 1000 per month out of ‘JK Relief Fund’ for a period of 09 months with effect from 1st April 2020, it said.The report said the committee heard around 35 business associations in J&K and noted 199 demands. (49 demands related to financial support and banking interventions, 69 demands pertained to Administrative decisions, 26 demands pertaining to GST and other Taxes and 55 demands pertaining to policy decisions.
The overall demands were categorized into financial support, administrative policies, banking interventions, infrastructure bottlenecks, GST and Central Government interventions.As per the committee, 137 demands have been accepted in accordance with the principles of financial prudence, business sustainability, mutual partnership between Government and business community and legal & regulatory framework.“There were 49 demands related to financial support and banking intervention out of which 31 demands have been duly considered,” it said.As per government, out of 69 demands involving administrative decisions, suitable measures have been suggested in respect of 66 demands.“All the demands related to infrastructure are being addressed. The administrative measures recommended include establishment of online registration and renewal systems, time bound clearances, rationalizing of covid-19 restrictions and various platforms for stakeholder consultations on the regular basis,” it said.“Out of 26 demands pertaining to issues related to GST and other taxes, 12 pertain to GST council, 7 demands stand addressed and 7 demands are not covered under the principle of financial prudence,” the committee said.However, 22 demands pertaining to the policy issues are not addressed because of inconsistency with the regulatory and legal framework.As per the committee report, the finance department will write to all banks to cover loans for agriculture and allied non-farm activities under MUDRA loans e.g. pisci-culture, bee-keeping, poultry, dairy, live stock-rearing, grading, sorting, aggregation agro industries, fishery, agri-clinics and agri- business centers, food & agro-processing etc.“District level bankers committee to ensure implementation by holding one meeting every month and report to UTLBC regularly for supervising progress in the matter,” it said.“The date of filing of GST reimbursement claims up to the period 31.12.2019 shall be extended to 31st December 2020 provided that the units have filed up to date returns,” it informed.As per the report, loan slab under Credit Card Scheme for handlooms and handicrafts will be enhanced from Rs 1.00 lakh to Rs 2.00 Lakhs with interest subvention of 7%.