HYDERABAD: The ruling Pakistan Peoples Party (PPP) will be closely watching the policy of the Pakistan Tehreek-i-Insaf-led federal government towards provinces as far as Sindh’s interests are concerned.

Sindh Chief Minister Syed Murad Ali Shah has been quite vocal on the issues, be it water, announcement of the eight National Finance Commission (NFC) Award, random sampling of five per cent wards of census, due share in water and other federal funded projects.

This year, Sindh has once again suffered much in terms of water shortage during the Kharif season. Sindh’s three barrages witnessed almost exceptionally inadequate flows at time of sowing of summer crops.

The Sindh CM has been raising issues of water and NFC with the then PML-N government. He is ready to take up with the PTI government led by Prime Minister Imran Khan.

The PPP is surprised to see the PM discussing devolved subjects like education and health in his maiden speech as the country’s new chief executive instead of talking about provincial rights and matters especially the NFC award that has been overdue since 2015.

Since 2015, Sindh is pressing for issuance of new NFC award, probably in anticipation of the fact that multiple indicators-based NFC formula would see some improvement. The NFC award could not be passed since then as then finance minister Ishaq Dar did not attach any importance to Sindh’s concerns.

The 7th NFC award has been extending through a presidential order.

PPP firms on new NFC award demand

CM Shah has a sound grip over issues of the NFC and water as compared to his other counterparts. After formation of his cabinet, he had underscored the need for resource sharing under the new NFC while observing that “Sindh will be closely monitoring PTI’s government whether it respects smaller provinces or not”. In addition to it he demanded a due share of water for Sindh.

The multiple indicators criteria for NFC Award instead of population-specific formula was introduced in the PPP’s federal government in 2009 when provinces’ share was increased to 56 per cent from 47.5pc in the divisible pool.

Sindh has already proposed that provinces should collect general sales tax (GST) on goods like services.

The federal government does not meet revenue collection targets with the result that provinces get lesser receipts even in existing NFC award. Reports said revised collection target of the Federal Board of Revenue (FBR) in financial year 2018-18 was Rs3,935 billion but Rs3,751bn could probably be collected.

Under Article 160(3A) of the Constitution, the share of provinces in each NFC award shall not be less than the share given to them in previous award.

With PTI governments in the Centre as well as remaining three provinces — Punjab, Khyber Pakhtunkhwa and a coalition set-up in Balochistan — Sindh would have to tread carefully at constitutional forums in tackling these issues.

In the last government, the PTI and PPP were in opposition against the PML-N at the centre. This time round, Sindh could be left alone if it comes to influencing decision of the federal government by three provinces. So, the stakes might be higher for Sindh this time.

Eminent economist Dr Kaiser Bengali — who was Sindh’s technical member when 7th NFC award was passed — hoped that the relationship between the PTI government and the PPP’s Sindh government would probably go well.

“I feel there is realisation of provincial issues on Imran Khan’s part that’s why he didn’t mention the Kalabagh dam in any way though he clearly talked about building Diamer-Bhasha [dam],” he said.

He asserted that lesser collection by the federal government was affecting transfers to provinces, but there was no deviation apparently from the NFC award. “In new NFC Award, the federal government will definitely oppose Sindh’s proposal of allowing provinces to collect GST on goods.”

Dr Bengali was not impressed with the appointment of Abdul Razaq Dawood and Dr Ishrat Hussain as PM’s advisers considering the fact that they were part of former military dictator Pervez Musharraf’s team.

“To me, Pakistan faces present balance of payment crisis because of the policies of these individuals. We are still reeling under those policies. So, as advisers they will at least have the potential to influence the PM on financial matters that are certainly not Imran Khan’s cup of tea,” he said.

‘Imran clueless about provincial rights’

MNA Nafisa Shah, the information secretary of the PPP, makes another point. She insisted that PM Khan was clueless about provincial rights guaranteed under the Constitution.

“Given contents of his first address to the nation as PM, it seems he doesn’t know that governance is a multi-layered subject,” she said, adding: “If PTI aims to reform health and education sectors it will have to talk to the provinces which in fact give effect to policies.”

She regretted that the PM had failed to come up with a larger vision. “This time, Sindh and Punjab sit on opposition benches in the lower house and will see whether the PTI is there to pursue issue-based politics.”

The PPP leadership also cautiously sees PTI’s nine-point deal with the Muttahida Qaumi Movement-Pakistan for sharing power at the federal level.

According to Sindh Local Government Minister Saeed Ghani, most of the points do not fall in the domain of the prime minister.

The PTI-MQM deal involves provincial matters like police reforms, local government system, etc. The PTI committed to support the MQM-P on LG issue and promised a package for urban Sindh.

The MQM-P is seeking a strong LG system in line with Article 140-A of the Constitution that binds provinces to establish a LG system and devolve political, administrative and financial “responsibility” and “authority” to LGs.

PTI calls for serious consideration to PFC

But Karachi-based PTI’s presidential nominee Dr Arif Alvi hopes to develop minimum possible understanding with the ruling PPP in Sindh.

On the NFC issue, he saw a multiple-indicators formula as an evolutionary process. “We can improve it,” he said, adding that the Provincial Finance Commission (PFC) should be given a serious consideration and it should not be left to the whims of a chief minister.

“Nobody minds if money is spent in Larkana. But it should indeed be spent in real terms,” he added. Alvi supported a LG system that was in accordance with Article 140-A of the Constitution.

“We feel that the Supreme Court which is seized with the MQM’s petition on this question should give a verdict,” he said, adding: “Who will be unhappy if cities or villages see progress and development under a powerful local government system?”

He said that the PTI intended to talk to the PPP to ensure devolution of power.

He believed that the Council of Common Interest’s decision on random sampling of five per cent census blocks must be implemented with utmost transparency.

Published in Dawn, August 27th, 2018