Tokheho for oil exploration to boost State’s economy

Lok Sabha member Tokheho Yepthomi has suggested exploration of oil and natural gas to boost the State’s economy through royalty from oil revenue.
Addressing media persons here at Hotel Acacia, Tokheho pointed out that Nagaland was losing approximately Rs 5 crore daily or Rs 1,825 crore annually in revenue, even as the Centre was spending a colossal amount on oil imports –$111.9 billion in 2018-19 and $101.4 billion in 2019-20.
He stressed on proper utilisation of State’s resources for the future of Naga society. He recalled that Oil and Natural Gas Corporation (ONGC) was given permission in 1973 for survey and investigation, and the State government was paid oil royalty of Rs 33.3 crore during the period 1981-1994. He said drilling sites were set up at Changpang, Hozukhe on the bank of Zubza river, Khonpanala and Toshezu for extraction. However, he lamented that the pipes laid by ONGC were destroyed and stolen from the sites.
The MP pointed out that while Nagaland had stopped extraction of oil owing to various reasons, ONGC continued its operations in Assam and had already set up 39 oil fields, of which 27 were operational. He claimed that the Government of Assam had received Rs 17,995.83 crore 2011-2021 as oil royalty.
Referring to setting up of medical college in the State, he said the Centre’s share of Rs 242.50 crore had already been released, though the project was still incomplete. As Nagaland was the only State without a medical college, he mentioned that the Centre had provided funds to set up two medical colleges– in Kohima and Mon.
He said the total approved cost for medical college in Kohima was Rs.179 crore, out of which the Central government had already released Rs 170.10 crore, and Rs 325 crore for medical college in Mon whose construction had started in 2014 but was incomplete to date even though funds had been released.
Tokheho mentioned that the lack of medical college in the State had caused untold hardships to medical aspirants. He commented that had the two medical colleges been ready with all facilities, people would have stopped traveling to neighbouring States and other parts of the country for treatment.
“if every North-eastern State already has a medical college, I see no reason as to why Nagaland cannot have not one but two medical colleges,” he remarked.
Speaking on Naga political issue, Tokheho noted that talks had been going on for the last two and half decades and that though negotiations had initially started with one group, there were more than 10 groups now who had signed ceasefire agreements with the Centre. He said the formation of multiple groups had greatly impacted the State’s economy as there were multiple taxes on a single business activity, which might not be immediately felt by an individual but over time it hampered the macroeconomics.
He admitted that the political negotiations and ceasefire between the Centre and Naga political groups (NPGs) had brought peace in the State, but stressed that it was time for both sides to take the final steps to bring about an everlasting peace to the land by bringing the arduous negotiations that had lasted for more than 20 years to a logical conclusion.
Tokheho also flagged unemployment among the youth and termed it as the biggest challenge for Nagaland. He said the unemployment rate in Nagaland was among the highest in the country.
He alleged that unemployed youth in the State were finding avenues of employment in various anti-social activities and warned that if the issue of unemployment was not tackled soon, the economic scenario would become bleaker.
He noted that Nagaland also had the highest percentage of government employees as per the population size. He pointed out that though the State government had banned recruitment of government employees since 2020, it had not brought any relief to the State exchequer.
Observing that a major chunk of the State’s exchequer was spent under salary and pension head, Tokheho said the power sector too was guzzling the State’s fund due to purchase of power from various sources as the State was unable to generate its own power.
According to Tokheho, not only was the State government spending huge amount of money in purchasing power, but even the Power Department was unable to realise dues from consumers to even breakeven the purchasing cost.
He pointed out that the revenue deficit of the Power Department had greatly contributed to the deficit in the State Budget, while irregular electricity supply had negatively impacted the economy. He hoped that with the improvement in the power sector, the economy too would improve.