❖ The Chairman Arvind Panagariya led the 16th Finance Commission team visited Tamil Nadu.

❖ They also inspected the Nemmeli desalination plant as part of their consultations.

❖ Tamil Nadu called for an increase in the state’s share of central taxes to 50%.

❖ It was citing concerns over reduced devolution of funds and mounting financial burdens due to centrally-sponsored schemes.

❖ The state has emphasised the need for a revised fiscal framework that supports developing states like Tamil Nadu.

❖ It has expressed concern over the gap between the 15th Finance Commission’s recommendation of a 41% revenue share for states and the actual average devolution of 33.16% over the past four years.