GST Burden Slows Down MLA-Led Development Projects Across Tamil Nadu

With state elections drawing closer, MLAs across Tamil Nadu are racing to complete public infrastructure projects in their constituencies—but many say the 18% GST is choking progress.

Each MLA receives ₹3 crore annually under the constituency development scheme, used for initiatives like smart classrooms, multipurpose halls, and PDS outlets. However, a substantial portion is lost to GST, leaving less for actual work. AIADMK MLA K.R. Jayaram (Singanallur) pointed out that only ₹2.46 crore effectively reaches the ground. “Only two out of eight projects under the ‘Ungal Thoguthiyil Muthalamaichar’ scheme have been completed in my constituency. We need a special grant for road works,” he said.

Jayaram isn’t alone in his concern. Legislators from multiple parties are urging the government to fulfill its recent assembly assurance of absorbing the GST cost, which has not yet materialized. The financial crunch has left many projects either stalled or delayed.

In Egmore, DMK MLA I. Paranthamen is overseeing the construction of an urban primary health centre and multipurpose halls in Chetpet and Purasawalkam. “I’ve instructed officials to complete all ongoing works by year-end,” he said. He is also pushing for the relocation of 750 families in Thideer Nagar under the TN Urban Habitat Development Board, using land secured from the Greater Chennai Corporation.

Elsewhere, AIADMK MLA S. Jayakumar (Perundurai) has been fighting to install CCTV cameras in parts of the Uthukuli union in Tirupur district. “Crime has increased, but despite repeated requests, the work hasn’t started,” he said.

Meanwhile, in Kilvelur, CPM MLA Nagai Maali recently inaugurated works for smart classrooms, a bus shelter, and a part-time PDS outlet. “Officials have been asked to fast-track completion before the year ends,” he said.

As development deadlines loom, MLAs remain caught between political urgency and financial bottlenecks—underscoring a growing demand to revisit GST policies affecting grassroots governance.