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Himachal Pradesh Assembly passes ‘orphan and widow’ fuel cess amid BJP walkout

While the Congress government calls it a 'stable source of revenue' for the vulnerable, the Opposition warns of a massive spike in fuel prices.

4 min readShimlaMar 23, 2026 05:45 PM IST

Himachal Pradesh CM Sukhvinder Singh Sukhu justified the fuel cess (File photo).

The Himachal Pradesh Assembly Monday passed the Himachal Pradesh Value Added Tax (Amendment) Bill, 2026, proposing the the imposition of an’orphan and widow cess’ on petrol and high-speed diesel, amid strong opposition protests and a staged walkout by the BJP legislators.

The Bill seeks to levy a cess of up to Rs 5 per litre on fuel to mobilise resources for welfare schemes targeting orphans and widows from economically weaker sections.

The Opposition BJP strongly opposed the proposed cess, warning that it would increase fuel prices in the state beyond those in neighbouring regions such as Punjab, Haryana and Chandigarh.

Leader of Opposition Jai Ram Thakur said that while the state’s financial condition may not be strong, it was inappropriate to generate revenue “in the name of widows and orphans.”

“If we increase fuel prices, people will prefer to refuel from neighbouring states,” he said, adding that the move would hurt the state’s economy, particularly in border districts.

Thakur also referred to the recently introduced entry tax, which has drawn criticism from neighbouring states, especially Punjab, and urged the government to withdraw the Bill.

BJP MLA Randhir Sharma strongly opposed the amendment, cautioning that the cess would push fuel prices beyond neighbouring states.
He said that at present, petrol in Himachal Pradesh costs Rs 94.13 per litre and diesel Rs 86.23 per litre. With the imposition of a Rs 5 cess, petrol prices could touch Rs 100 per litre.

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“In Punjab, petrol is around Rs 97.70 and diesel Rs 88.20. Even Chandigarh has cheaper diesel than Himachal. Increasing prices further will make our fuel the costliest in the region,” he argued.

BJP MLA Trilok Jamwal also criticised the proposal, calling it an additional burden on the public.

Senior BJP leader Satpal Singh Satti warned that petrol pumps in border districts such as Bilaspur, Una, Solan and Sirmaur would be severely affected, as consumers may shift to neighbouring states for cheaper fuel.
Satti further objected to the terminology ‘widow cess’, stating that it could offend widowed women. He added that any increase in fuel prices would have a cascading effect on inflation in the state.

Sukhu justifies cess

Responding to the criticism, Chief Minister Sukhvinder Singh Sukhu defended the Bill and criticised the Opposition for staging a walkout.
He accused BJP leaders of being “hand in glove” with petrol pump owners and said their opposition was politically motivated.

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“We have proposed a maximum limit of Rs 5, but the actual cess could be much lower—Rs 0.10, Rs 0.20 or Rs 0.30 per litre,” Sukhu said.
He assured the House that fuel prices in Himachal Pradesh would not exceed those in Punjab and Haryana.

Emphasising the welfare intent behind the move, Sukhu said the cess aims to ensure that no orphan or widow in the state feels unsupported.
“We want that no orphan or widow should feel that they have no guardian,” he said, urging the Opposition to support the initiative.

The Chief Minister also asked BJP leaders to raise the issue of multiple cesses imposed by the Centre with Prime Minister Narendra Modi, alleging that the Opposition was selectively targeting the state government.

The legislation proposes an amendment to the Himachal Pradesh Value Added Tax Act, 2005, to introduce a dedicated cess on petrol and high-speed diesel at the point of first sale in the state.

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According to the government, the cess will provide a stable, sustainable source of revenue for welfare schemes supporting orphans and widows.

Saurabh Parashar

Saurabh Parashar is an Assistant Editor at The Indian Express, primarily responsible for the publication’s coverage of Himachal Pradesh. He is a seasoned journalist with over 17 years of experience in print media, specializing in crime, legal affairs, and investigative reporting. Professional Background Education: He holds a Master’s degree in Mass Communication from Guru Jambheshwar University of Science & Technology (Hisar) and a Law degree from Himachal Pradesh University (HPU), Shimla. This legal background significantly informs his reporting on complex judicial and administrative matters. Career Path: Before joining The Indian Express in 2017, he spent 12 years with The Times of India. Core Beats: His primary focus is the socio-political landscape of the hill state, with a specific emphasis on the environment, forest conservation, drug menace (specifically "Chitta"), affairs related to tribal and archaeology and the unique challenges of governance in high-altitude regions. Recent Notable Articles (Late 2025) His recent reporting highlights the critical intersection of policy, law, and social safety in Himachal Pradesh: 1. "Himachal’s battle against Chitta: Why the border areas are most vulnerable" (Late 2025): An investigative look at the transit routes from Punjab and the impact on local youth. 2. "Shimla ropeway clears key hurdle as 820 trees face the axe :According to the Forest Survey of India’s 2021 assessment, 47.21 percent of Shimla’s 5,131 sq km geographical area is under forest cover (Nov 17, 2025). 3. "Himachal to handover 2.7427 ha of non-forest land for Shimla Ropeway: Given the land’s non-forest nature, RTDC and the state will not require permission from MoEFCC" (Nov 18, 2025) 4. "How the centuries-old Jodidara tradition is fading in Himachal’s Trans-Giri region: Jodidara: a form of fraternal polyandry—has long been part of Hatti tribal culture in the Trans-Giri region of Himachal Pradesh and adjoining Uttarakhand. It is believed to have evolved to prevent division of ancestral land and maintain unity among brothers in the harsh, mountainous terrain" (Aug 18, 2025) Legal & Agricultural Affairs "Kisan Sabha hails SC’s setting aside Himachal HC order to remove orchards from forest land" (Dec 18, 2025): Covering a major Supreme Court victory for farmers, where a High Court order to remove fruit-bearing apple orchards was overturned. "Himachal Cabinet nod to new tourism policy; focus on home-stays in tribal areas" (Dec 11, 2025): Detailing the legislative push to decentralize tourism and bring economic benefits to Lahaul-Spiti and Kinnaur. 3. Governance & Environment "Forest rights and development: Why Himachal is seeking more leeway from Centre" (Dec 19, 2025): Reporting on the legal hurdles faced by the state in infrastructure projects due to the Forest Conservation Act. "Cloudbursts and resilience: How Himachal’s remote villages are building back better" (Nov 2025): Following up on the long-term rehabilitation efforts after monsoon-related disasters. Crime especially cyber crimes, crypto currency etc: crypto currency: "Agents in uniform, motivational speeches, lavish parties: How a Himachal crypto con went unnoticed:A serial conman, a ‘Nelson Mandela Nobel Peace Award winner', and retired policemen got together to pull off a Rs 1,740-crore fraud" (Nov 10, 2023) Signature Beats Saurabh is recognized for his tenacious reporting on the state's drug epidemic. His deep familiarity with the topography and tribal culture of Himachal allows him to report from remote locations like Spiti, Pangi, Shillai, which are often overlooked by national media. His legal expertise makes him a primary choice for covering the Himachal Pradesh High Court on issues ranging from local body elections to environmental PILs. X (Twitter): @saurabh_prashar . ... Read More

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