Himachal Pradesh hikes fuel prices: Govt slaps widow, orphan cess on petrol, diesel | What it means
PTC News Desk: The Himachal Pradesh government has introduced a Widow and Orphan Cess of 60 paise per litre on petrol and high-speed diesel. The new charge came into effect from midnight on August 11. The money collected will be used for the welfare of widows and orphaned children.
The State Taxes and Excise Department issued the notification on Tuesday under the Himachal Pradesh Value Added Tax Act, 2005. The cess will be collected when petrol and diesel are first sold in the state.
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The new levy was approved by the Council of Ministers and has been fixed at ₹0.60 per litre for both petrol and high-speed diesel.
The cess was made possible after the Himachal Pradesh Legislative Assembly passed the Himachal Pradesh Value Added Tax (Amendment) Bill, 2026 during the Budget Session. The law allows the government to impose a cess of up to ₹5 per litre on petrol and diesel.
Why BJP opposed the cess
The decision faced criticism from the Opposition. Leader of Opposition Jai Ram Thakur questioned the move, saying it was not appropriate to raise money in the name of widows and orphans.
Chief Minister Sukhvinder Singh Sukhu defended the decision, saying the government has the power to decide the actual amount as long as it remains below the ₹5-per-litre limit. He said the government was committed to supporting economically weaker sections and urged the Opposition to support welfare measures for widows and orphaned children.
How the new cess will work
The Assembly passed the amendment through a voice vote, giving the government the legal authority to impose the cess. The government has now set it at 60 paise per litre, much lower than the maximum limit of ₹5.
The cess will be collected at the first point of sale of petrol and high-speed diesel within Himachal Pradesh, before the fuel moves to later stages of sale.
- With inputs from agencies
