Chandigarh, Dec 7 (IANS): The Haryana government Sunday sought devolution of funds in a manner that leaves space for local initiatives and puts premium on efficient and fast-growing states.

At a conference of chief ministers called by Prime Minister Narendra Modi in New Delhi Sunday, Haryana Chief Minister Manohar Lal Khattar said the annual central plan assistance (CPA) should be made automatic for identified national goals, greater liberty should be given to states opting for the strategy to achieve them within the given time-frame, and the ritual of annual plan approval should be buried.

Describing the move to replace the Planning Commission with a new panel as a "visionary step", Khattar said the new panel should strengthen India's federal structure by addressing the needs of states.

Set up in the 1950s, the Planning Commission is likely to be replaced with a new forum to address needs and demands of various states.

"After about 64 years, it has not been able to fully assist India in attaining its true growth potential," Khattar said about the now defunct Commission.