relief and rehabilitation package for a&n islands

Thursday, February 17, 2005

Union Cabinet today gave its approval for Relief and Rehabilitation Package of Rs.821.88 crore for the Union Territory of Andaman & Nicobar Islands. The package will comprise immediate relief and response assistance of Rs.313.19 crore; immediate assistance for relief, inter-mediate (temporary) housing and relief employment generation for Rs.215.65 crore; special package for fishery sector for Rs.15.01 crore; special package for revival of agriculture for Rs.239.54 crore; special package for rehabilitation of orphans, widows, disabled, unmarried girls for Rs.8.60 crore; and special package for immediate restoration of damaged infrastructure of the A&N Administration for Rs.29.89 crore.

The assistance covered under ‘norms with relaxation of scale’ includes payment of ex-gratia in respect of missing persons subject to proper verification and due procedure by the Andaman & Nicobar Administration. The recommendation also include payment of ex-gratia @ Rs.1 lakh as has been given by the States in the mainland where the ex-gratia of Rs.50,000 from CRF/NCCF has been supplemented by the States from their own resources by a like amount. This would be in addition to the Rs.1 lakh from the Prime Minister’s National Relief Fund.

Assistance to fishermen to the tune of Rs.15.01 crore includes Rs.2.53 crore for construction of cold storage. A total 1401 boats have been lost/damaged. In the package for the fishery sector for the mainland, it is agreed that the cost of the country boats, the lowest category, will be fully reimbursed. In case of A&N Islands the cost is very high because of transportation as most of these are to be fabricated in the mainland and then transported.

Full subsidy will be provided for replacement of country boats (dongies) plus nets upto unit cost of Rs.65,000 including transportation cost from mainland. For replacement/ upgradation of boats plus motor and nets upto unit cost of Rs.1.50 lakh, the subsidy will be 50 per cent and the balance will be loan. For repair of boats with motors, there will be a subsidy of 60 per cent (with a ceiling of Rs.65,000 and the balance will be loan. Full subsidy upto Rs.10,000 will be provided for repairs of country boats (dongies). Rs.2.53 crore has been provided for repair of cold storage and the actual amount will be on the basis of damage assessment.

Bank loans will carry interest at 7 per cent. Interest subsidy of 2 per cent will be paid in case of prompt repayment. Affected fishermen will be entitled to get loans, even if earlier loans are outstanding. The subsidy component to fishermen will be increased from 35 per cent to 50 per cent at an additional cost of Rs.91.13 crore.

The package will supplement the efforts of the administration in carrying out relief and rehabilitation measures in the affected areas and provide support to orphans, widows, disabled and unmarried girls. It will help the affected farmers and fishermen to restart normal activities and regain livelihood. It will enable the A&N administration to start normal functioning in all the Tsunami affected Islands. It will provide an incentive for fishermen to opt for motorized boats to increase their income.

DS/HS/HK/LV