Fuel Prices Rise in Himachal as New Welfare Cess Comes Into Effect
Residents across Himachal Pradesh will now have to pay a little more for petrol and diesel, with fuel prices increasing by 60 paise per litre from midnight Tuesday. The hike follows the state government’s decision to introduce a new cess, the proceeds of which will be used to support welfare schemes for orphans and widows.
The State Taxes and Excise Department has issued a notification imposing the cess on both petrol and high-speed diesel. The levy will be charged at the “point of first sale” under Section 6-A of the Himachal Pradesh Value Added Tax (VAT) Act, 2005.
As a result, petrol prices in Shimla have gone up from ₹102.45 to ₹103.05 per litre, while diesel prices across the state have also increased by 60 paise per litre.
The state government has clarified that the additional revenue generated through the cess will be directed towards strengthening social welfare initiatives for vulnerable sections of society, particularly orphans and widows. Officials say the move is aimed at creating a dedicated source of funding to expand support and benefits for those in need.
The decision had received approval from the state Cabinet earlier, clearing the way for its implementation through the latest notification. With the new cess now in force, motorists across Himachal will see the revised fuel rates reflected at petrol pumps throughout the state.
