Udupi: After the Union government reduced the annual alloacation of funds to the state, the work on fisheries projects in Karnataka has been hit severly, said Fishieries Minister K Abhaychandra Jain.

Work on two harbours planned at Kulai and Hejamady in Udupi district had been severly hit following the centre’s decision, the minister said while speaking to reporters.

When the projects were envisaged, the State expected the Union Government to bear 75 per cent of the total cost as per the funding policy then. The rest (25 per cent) was supposed to be borne by the State Government.

“The new NDA goverment reduced the centre’s funding for the projects by 25 per cent making the cost sharing ratio between the Centre and state as 40(centre)-60(state). As we have allocated only 25 per cent of the project coast in the budget, we do not have additional money for the projects,” the minister said.

However the state government has requested the Centre to retain the original funding policy, he said.