Compressed Natural Gas (CNG) and Piped Natural Gas (PNG) will now be cheaper in Uttarakhand after Chief Minister Pushkar Singh Dhami-led cabinet on Wednesday reduced the Value Added Tax (VAT) on both fuels from 20 per cent to five per cent.
The cabinet also finalised procurement rates for apples from disaster-hit Dharali and surrounding areas of Uttarkashi district and approved the doubling of the monthly pension for elderly and destitute folk artists and writers in the state.
Taking an important decision, the Uttarakhand cabinet approved the reduction in VAT on CNG and PNG from the existing 20 per cent to five per cent. Briefing the media after the cabinet meeting, Director General, Information and Public Relations (DIPR), Bansidhar Tiwari said the move was aimed at environmental conservation and promoting the concept of “Green and Clean Energy” in the state.
“The cabinet has decided to reduce VAT on PNG and CNG from 20 per cent to five per cent. This will not only reduce the cost of natural gas for domestic consumers but will also encourage the installation of pollution-free units under industrial development schemes. It is also expected to enhance revenue growth in the state,” Tiwari said.
The cabinet also approved the Chief Minister’s announcement regarding the procurement of apples from the disaster-affected Dharali area and nearby regions in Uttarkashi, where orchards and produce suffered extensive damage.
The procurement will be carried out by the Department of Horticulture and Food Processing. Procurement rates have been fixed at ₹51 per kilogram for Royal Delicious apples and ₹45 per kilogram for Red Delicious and other varieties, excluding Grade-C apples, Tiwari informed.
Another significant decision taken by the cabinet was to increase the monthly pension for elderly and destitute artists and writers of Uttarakhand, with the aim of preserving and promoting the state’s cultural traditions, folk arts, music, dance, musical instruments and literature.
Tiwari said the cabinet approved the Uttarakhand Elderly and Destitute Artists and Writers Monthly Pension (Amendment) Rules, 2025, proposed by the Department of Culture. The pension has been doubled from ₹3,000 to ₹6,000 per month, keeping in view the sharp rise in the cost of living and inflation since the original rules were promulgated in 2010.
Apart from these major decisions, the cabinet also approved a proposal to simplify the process of map approvals for residential construction under the Centre-sponsored Ease of Doing Business initiative.
It also gave its nod to promulgate the Uttarakhand General Industrial Development Control (Amendment) Regulations, 2025, aimed at streamlining industrial governance and updating the regulatory framework in line with the state’s evolving industrial landscape.