Centre giving just 4% of Rs 11,000 cr pensions in Karnataka: Official data

Bengaluru: Karnataka has spent Rs 11,831 crore to pay social security pensions in the last two fiscals, but the union government chipped in with just 4 per cent of this, leaving the state to bear the brunt, official data shows. 

Unrevised since at least 2012, the union government pays Rs 200-500 per month under the Indira Gandhi National Old Age Pension scheme, Indira Gandhi National Widow Pension Scheme and the Indira Gandhi National Disability Pension Scheme. 

Karnataka, however, has revised its share over the years. The state government pays Rs 400-2,000 per month as its share under the three schemes.

Pension payments

In 2023-24 and 2024-25, the Centre contributed just Rs 564.44 crore towards pension payments in Karnataka. 

Reviewing this data at the District Development Coordination and Monitoring Committee (DISHA) meeting, Chief Minister Siddaramaiah fumed at the Centre. “How can a government give just Rs 200 as pension in this day and age? The state government has revised the pension amount while the Centre hasn’t,” Chief Minister’s Additional Chief Secretary L K Atheeq told DH. 

Atheeq said the state government has expanded the list of beneficiaries by relaxing the criteria.

“For example, the Centre’s guidelines say that a person’s disability should be 75 per cent or more in order to receive pensions. The state government has reduced the disability limit to 40 per cent and above,” he said. The Centre’s pension schemes cover 14.14 lakh beneficiaries in the state. The total number of beneficiaries under all state-funded pension schemes is 82.57 lakh. 

Shortfall of Rs 25,000 cr

Between 2014 and 2024, Karnataka faced a shortfall of Rs 25,926.93 crore as the union government did not pay its full share under various centrally-sponsored schemes, data shows. 

Only two years - 2019-20 and 2023-24 - saw the Centre release more than what it should have.

“In the case of Jal Jeevan Mission (JJM), we’re stepping in by making up for the funding shortfall,” Atheeq said. In 2023-24 and 2024-25, the Centre did not pay Rs 10,890.48 crore from its share to Karnataka under JJM. 

‘Fund diversion’

Senior BJP MP Lahar Singh Siroya, a DISHA committee member, urged Siddaramaiah not to “act like a novice” and blame the Centre. 

“The state government should put its house in order. There are complaints over fund diversion. Even Congress MLAs say they’re not getting developmental funds,” he said.

“Before blaming Centre, the state should ensure that utilisation certificates are provided. I’ll talk to the union finance minister,” he said.