Shimla: The Himachal Pradesh government has proposed a new cess on petrol and high-speed diesel to create a dedicated fund for the welfare of orphans and widows. Chief Minister Sukhvinder Singh Sukhu on Friday introduced the Himachal Pradesh Value Added Tax (Amendment) Bill, 2026, in the Legislative Assembly.
The proposed amendment will empower the state government to levy an “Orphan and Widow Cess” on fuel once the bill is passed by the Assembly and receives the Governor’s assent. Officials said the cess rate will be decided by the government but will not exceed ₹5 per litre.
The government has maintained that although several welfare schemes are already in place for orphans and widows, there is a need for a sustainable and dedicated source of funding. The proposed cess is aimed at mobilising financial resources to strengthen support for these vulnerable sections.
Sources indicated that the revenue generated from the cess will be used specifically for welfare initiatives targeting orphans and widows, ensuring continuity and expansion of assistance programmes.
The move could, however, lead to an increase in fuel prices in the state once implemented, potentially impacting consumers.
The bill is expected to be taken up for further discussion in the Assembly, where it may see debate over its financial and social implications.
