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This year, 24 venues, including one dedicated to the band-playing competition, are being set up for the event.
The Minister was forced to withdraw his statement.
Addressing a press conference, he stated that he was ending the controversy and that those who wished to continue it could do so.
The controversy began when Minister V Sivankutty accused an actress of demanding Rs 5 lakh to prepare a welcome song for the festival.
The 10-minute performance is set to take place at the Youth Fest in January in Thiruvananthapuram.
Other changes, including the introduction of five new competition events, will proceed as planned this year.
The manual has doubled the fees for submitting appeals against competition results.
The change comes in light of the National Achievement Survey examination to be held on December 4.
The main stage will be set up at Putharikandam Maidan in East Fort.
The panel proposes that all competitive art events should end at the district level.
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