Shinde govt’s freebie spree now targets auto/cab drivers, domestic workers

A transport department official said there were 1.2 million auto and taxi drivers, of whom 75,000 were presumably above 65 years. “Of these 50% are expected to be eligible, as they need to be working,” he said. “We expect ₹36 crore a year for this scheme

MUMBAI: Faced with a challenging election, the Shinde government’s sop-showering spree continues apace. After announcing ₹1,500 per month for the state’s 15 million women under the Ladki Bahin scheme, the government now plans to give ₹1,500 per month to auto/taxi drivers above 65, and a one-time payment of ₹10,000 to domestic workers above 55. The government’s splurging of taxpayers’ money in this fashion has placed a huge strain on state finances.

Mumbai, India - June 30, 2022: Eknath Shinde and Devendra Fadnavis interact with the media before the swearing-in ceremony at Raj Bhavan, in Mumbai, India, on Thursday, June 30, 2022. (Photo by Satish Bate/ Hindustan Times) (Satish Bate/HT PHOTO)

Apart from the largesse to senior auto/taxi drivers, the government will give cash benefits to drivers undergoing training, and an interest subsidy on their vehicle and home loans. For all this, it has made a provision of ₹50 crore for the newly formed Auto-Taxi Drivers’ Welfare Board. A transport department official said there were 1.2 million auto and taxi drivers, of whom 75,000 were presumably above 65 years. “Of these 50% are expected to be eligible, as they need to be working,” he said. “We expect ₹36 crore a year for this scheme.”

Ten such welfare schemes, including skill upgradation training, scholarships for drivers’ children and life and accident insurance, have been planned. “CM Shinde is planning to launch the scheme with a bang before the model code of conduct is announced,” said the official.

The state government is reeling under an estimated debt of ₹7.82 lakh crore in 2024-25, expected to go up to ₹8.25 lakh crore by the end of the fiscal year. “Almost all the departments have been launching cash-benefit schemes to woo voters,” added the official. “The fallout of this largesse will be seen towards the end of the financial year, as it will result in unprecedented borrowings and a cut in development funds.”

The Ladki Bahin scheme will be launched on August 17, and will cost the exchequer at least ₹36,000 crore annually. The Annapurna Yojana, which ensures three free cylinders to 6 million households, with an annual burden of ₹950 crore, has been rolled out. Similarly, other schemes like stipends to 1 million employable youths and free electricity to farmers will put a tremendous burden on the exchequer.

Thampy Kurian, general secretary, Mumbai Rickshawmen Union, said, “The implementation of these schemes is not possible until a sizable budgetary allocation is done. Till this is done, this will just remain an announcement—one which has been made at least four times in the past few years.”