Chandy asks PM Modi to consult states on plan panel

Thiruvananthapuram: Chief Minister Oommen Chandy has asked Prime Minister Narendra Modi to take into confidence the states before taking a decision on the future of Planning Commission.

In a letter to the Prime Minister, he said the "unilateral" announcement made him (Modi) in his Independence Day speech had raised "several concerns" for the state governments.

"These major changes in policy need to be discussed and addressed by state governments also," Chandy said.

The guidelines for determination of plan allocation are formulation based on the advice of experts in the planning commission. "It is not clear as what would be the new mechanism to do this exercise", he said.

"If this responsibility is entrusted to Central Ministry of Finance, it would adversely affect the federal system," he added.

Amidst volley of protests from Congress leaders to the proposal to wind up the Planning Commission, Chandy had on August 20 chose to adopt a "wait-and-watch" approach on the issue.

"Let us see what the new system is. After knowing it, I will react," he had said when reporters asked him about Modi's announcement.