Supreme Court’s strict comment on free schemes – ‘How will development happen if we focus only on free food, bicycles, cash transfers?’

The Supreme Court has expressed strong displeasure over free government schemes. Adopting a strict stance on the scheme of providing free electricity to the people in Tamil Nadu, the court has strongly reprimanded all the states including Tamil Nadu. The bench headed by Chief Justice Surya Kant has said that most of the states are in revenue deficit, but are investing money in freebies instead of development.

Central government rules challenged

Tamil Nadu Power Distribution Corporation has challenged Rule 23 of the Electricity (Amendment) Rules, 2024 of the Central Government. This rule controls the prices of electricity. The corporation had called it interference in the functioning of the state and against the scheme started for the welfare of the people. After hearing the arguments of senior lawyer Gopal Subramaniam appearing on behalf of the Corporation, the court issued notice to the Central Government and Tamil Nadu Government. But expressed displeasure over providing free electricity to a large number of people in Tamil Nadu.

Supreme Court asked what kind of culture are we developing?

During the hearing, the Chief Justice said, ‘What kind of culture are we developing in the country? There should be a welfare scheme for those who are unable to pay the electricity bill. Why should everyone be given free facilities? The problem is that now such a trend is increasing in every state. We are concerned about this.

Giving advice to the states, the court said, ‘If you have money, why not invest it in the development of infrastructure, hospitals, schools and colleges? Instead of distributing goods at the time of elections, should states review their policies? Most of the states are in revenue deficit, yet due to these policies they are forced to spend.

Direct cash transfer schemes in the dock

The bench also raised questions on direct cash transfer schemes. The Chief Justice said, ‘The duty of the state is to create employment opportunities. From morning till whole day you are busy in giving free food, free cycles, free electricity and now transferring cash directly into people’s accounts. In such a situation, where will the money be left for development?”

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