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Bengaluru: Karnataka Deputy Chief Minister D K Shivakumar on Sunday criticised the Union Budget presented by Finance Minister Nirmala Sitharaman, claiming it offered no tangible benefit to the state.

Though he said he was yet to study the budget in detail, Shivakumar asserted that Karnataka had gained little from it. “There is no benefit for our state from the central budget. I was observing it. They have now named a programme after Mahatma Gandhi, after repealing the MGNREGA Act that was named after him,” he said.

Speaking to reporters here, the Deputy Chief Minister demanded the restoration of MGNREGA, and made it clear that the newly enacted rural employment scheme — VB-G RAM G — which proposes a 60:40 fund-sharing formula between the Centre and the states, would not be implemented in Karnataka.

“I don’t see any major share for our state in this budget,” he added.

Shivakumar, who also holds charge of Bengaluru development, said there were high expectations for the city from the Union Budget. “The Prime Minister calls Bengaluru a ‘global city’, but what has the Centre done for it?” he asked.

He also drew attention to the problems faced by sugar factories, particularly those in the cooperative sector, alleging a lack of timely decisions and support from the central government.

Noting that the Centre has the authority to fix the minimum support price (MSP) for agricultural produce, Shivakumar said the Union government must take concrete steps to protect farmers’ interests.

Mangaluru: The KSRTC Mangaluru division has rolled back the fare hike on buses operating on the Mangaluru–Kasaragod route following the suspension of toll collection at the Arikkady toll plaza near Kumbala in Kasaragod district.

The fare revision had been implemented after the National Highways Authority of India (NHAI) began toll collection at the Arikkady plaza on NH-66. As a result, fares for ordinary and Rajahamsa services were increased by ₹7 and ₹10, respectively, raising the bus fare from Mangaluru to Kasaragod from ₹81 to ₹88.

Senior Divisional Controller of KSRTC’s Mangaluru division, Rajesh Shetty, said the fares were reduced after toll collection at the Arikkady plaza was stopped. “The tollgate began operations on January 13, and the toll amount was deducted from the FASTag accounts of KSRTC buses operating on the route. Following an order from the central government to suspend toll collection, KSRTC has also withdrawn the additional fare with immediate effect,” he said.

At present, vehicles travelling on the Mangaluru–Kasaragod route pay toll only at the Talapady toll plaza. The toll for light motor vehicles (LMVs) at Talapady is ₹80 for a same-day return, while heavy vehicles, including buses, are charged ₹250. At Arikkady, the toll rates were ₹130 for LMVs (same-day return) and ₹450 for buses.

Protests against Arikkady toll plaza

The Arikkady toll plaza witnessed widespread protests from January 12, the day toll collection commenced. On the second day, an action committee led by Manjeshwar MLA A K M Ashraf launched an indefinite protest at the site. Except for the BJP, leaders and workers of most major political parties participated in the agitation.

On the night of January 14, a large number of protesters gathered at the plaza and vandalised property, following which authorities temporarily suspended toll operations. The BJP later also expressed opposition to the toll plaza and criticised NHAI’s decision. 

Karnataka Governor Thaawarchand Gehlot read only three lines from the 122-paragraph address prepared by the Congress-led state government while addressing the joint session of the Legislature on Thursday, effectively bypassing large sections critical of the BJP-led Union government.

The omitted portions of the customary Governor’s address outlined what the state government described as a “suppressive situation in economic and policy matters” under India’s federal framework. The speech also sharply criticised the Centre’s move to replace the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) with the Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, commonly referred to as the VB-GRAM (G) Act.

Governor Gehlot had earlier conveyed his objection to several paragraphs that were explicitly critical of the Union government. On Thursday, he confined himself to the opening lines — “I extend a warm welcome to all of you to the joint session of the State legislature. I am extremely pleased to address this august House” — before jumping directly to the concluding sentence of the final paragraph.

He ended the address by reading the last line of paragraph 122: “Overall, my government is firmly committed to doubling the pace of the State’s economic, social and physical development. Jai Hind — Jai Karnataka.”

According to the prepared speech, the Karnataka government demanded the scrapping of the VB-GRAM (G) Act, describing it as “contractor-centric” and detrimental to rural livelihoods, and called for the full restoration of MGNREGA. The state government argued that the new law undermines decentralisation, weakens labour protections, and centralises decision-making in violation of constitutional norms.

Key points from the unread sections of the speech:

•    Karnataka facing a “suppressive” economic and policy environment within the federal system

•    Repeal of MGNREGA described as a blow to rural livelihoods

•    VB-GRAM (G) Act accused of protecting corporate and contractor interests

•    New law alleged to weaken decentralised governance

•    Decision-making said to be imposed by the Centre without consulting states

•    Rights of Adivasis, women, backward classes and agrarian communities curtailed

•    Labourers allegedly placed under contractor control

•    States facing mounting fiscal stress due to central policies

•    VB-GRAM (G) Act accused of enabling large-scale corruption