K’taka announces ₹1,610 cr package, 2.3L barbers to get ₹5,000 as compensation

Bangluru: Karnataka Chief Minister B S Yediyurappa on Wednesday announced a Rs 1,610 crore special package aimed at assuaging the sufferings of farmers and those in the unorganised sector because of the COVID-19 lockdown.

“No state has tried to provide such a measure,” Yediyurappa told a news conference where he announced the special package that promises benefits to flower growers, horticulture farmers, barbers, labourers, weavers and MSMEs.

“Since all temples are closed and there are no festivals or other events, there is no demand for flowers,” Yediyurappa said. “It is estimated that farmers cultivated flowers in about 11,687 hectares. The government has decided to announce compensation of Rs 25,000 per hectare, limited to the maximum extent of one hectare, for the flower growers who have suffered losses,” he said. 

Yediyurappa also promised benefits to farmers who have grown vegetables and fruits. “Due to the lockdown, they were not able to market their produce. The government has decided to announce a relief package for these farmers, but we’re studying this.” 

Washermen (dhobis) and barbers who were bereft of earnings during the lockdown will get a one-time relief of Rs 5,000. “This will benefit about 60,000 washermen and 2.30 lakh barbers,” Yediyurappa said. 

A similar compensation will be given to drivers of auto-rickshaws and taxis. “There are an estimated 7.75 lakh auto and taxi drivers who will get Rs 5,000 each.”

 To prevent migration, Yediyurappa announced an additional Rs 3,000 financial assistance for construction labourers. The government has already paid Rs 2,000 to 11.80 lakh construction workers out of the total 15.80 lakh who are registered. “The remaining four lakh construction workers will get Rs 2,000 as soon as their bank account details are verified. With the additional Rs 3,000, all construction workers will totally get Rs 5,000,” he said. 

MSMEs could not operate or sell their products because of the lockdown, Yediyurappa said, adding that the sector will need “a few months” to recover. “So, it is inevitable for the government to come to their rescue. The monthly-fixed charge in the electricity bills of MSMEs will be waived for two months,” the CM said. For larger industries, the payment of fixed charges in their electricity bills will be “deferred without penalty and interest for a period of two months,” he added. 

Electricity consumers across all categories have been included in the special package. Those paying their bills on time or in advance will get incentives and concessions, the CM said. “Electricity connection of consumers who have not paid the balance bill amount will not be disconnected till June 30. There will be a reduction in the interest on the amount for the delayed payment. An opportunity will be provided for the payment of balance bill amount in instalments,” he said. 

The government also announced a new scheme for weavers. Under the Nekarara Sammana Yojana, the government will deposit Rs 2,000 directly into the bank accounts of 54,000 handloom weavers, Yediyurappa said. 

The special package was announced amidst immense pressure the government was under to tackle the humanitarian crisis brought about by the lockdown. The Opposition Congress repeatedly demanded a special package to help people deal with the lockdown. 

“We have announced these measures despite financial constraints,” Yediyurappa said.