CHANDIGARH: Himachal Pradesh has imposed an orphan and widow cess of 60 paise per litre on petrol and diesel. The new revised prices came into effect from the midnight of Tuesday.
The money collected through the cess will be credited to an Orphan and Widow Welfare Fund and used for the welfare of widows and orphans.
The notification, issued on Tuesday under Section 6-A of the Himachal Pradesh Value Added Tax Act, 2005, said the revised rates would come into effect from midnight on August 11.
The move follows the state assembly passing the Himachal Pradesh Value Added Tax (Amendment) Bill, 2026, during the Budget Session. It had faced strong opposition from BJP legislators when it was introduced in the Assembly.
Under the amendment, the state government can impose a Widow and Orphan Cess of up to Rs 5 per litre on petrol and high-speed diesel. The current levy of 60 paise per litre is significantly lower than the maximum amount permitted under the amended law.
Himachal Pradesh BJP Chief Spokesperson and MLA Rakesh Jamwal has termed the decision of the state government to impose a orphan and widow cess on petrol and high-speed diesel as "anti-people."
He warned that higher fuel prices would have a cascading impact on household expenses in the hill state, where transportation plays a crucial role in the movement of essential commodities.
Therefore, higher fuel prices will also put pressure on transportation costs of cement, steel, sand and gravel, fruits and vegetables, ration and other essential commodities. Already the state government has introduced what is being referred to as a ‘milk cess’ on electricity bills.