The
Goa government will dip into the Goa Iron Ore Permanent Fund, a
specialised fund set up on the orders of the Supreme Court, in a bid to
find the finances to deal with the Covid-19 pandemic, chief minister
Pramod Sawant said on Tuesday.
Sawant,
who had earlier admitted that the government was facing a fund crunch,
said the state finances are also under tremendous stress due to reduction
and stoppage of business activity and had sought donations from private
companies through their corporate social responsibility (CSR) funds to
help battle against the disease.
“We
will be using money from the Goa Iron Ore Permanent Fund for fighting
Covid-19. We will use around Rs 120 crore, the fund is worth approximately
Rs 400 crore,” Sawant said at his daily press briefing after discussing
with stakeholders.
The
Goa government is already using the district mineral funds that were set
up as per the amended Mines and Minerals Development Act agreeing to spend
Rs 52 crore lying with the two districts.
The
government, which was in a precarious financial position even before the
Covid-19 crisis, has also set up a special bank account asking private
companies to donate to help fight the disease.
While
not revealing the amount collected so far, the Goa chief minister has said
that all MLAs have vowed to give one month’s salary to the account while
industrial houses like Bandekar and Dempo have given money while Vedanta
Group a large stakeholder in Goa’s mining industry has promised money
but has not declared the amount.
The
Goa Iron Ore Permanent Fund was set up for sustainable development and
inter-generational equity.
It
was set up on the directions of the Supreme Court while disposing of the
Goa Foundation’s plea in 2014 that the lessees who benefit the most from
mining must contribute 10% from their sale proceeds for sustainable
mining.
Source:
Hindustan Times
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