Himachal Cabinet Clears Key Decisions: Job Reclassification, Milk Subsidy, Solar Push, and More
Shimla | 28 June, 2025
In a meeting chaired by Chief Minister Thakur Sukhvinder Singh Sukhu on Saturday, the Himachal Pradesh Cabinet approved a series of policy decisions ranging from job reclassification and rural solar initiatives to milk subsidies and administrative restructuring.
However, absence of four Cabinet Ministers- Mukesh Agnihotri, Harshvardhan Chauhan, Vikramaditya Singh and Rohit Thakur- has raised speculation on credibility of the meeting in the corridors of power.
Level-11 Posts Shifted from Group-B to Group-C
The Cabinet approved the reclassification of pay matrix Level-11 posts from Group-B to Group-C. With this change, only bonafide Himachali candidates will be eligible to apply for these posts.
Earlier, the recruitment for these posts was conducted by the Himachal Pradesh Public Service Commission, open to applicants nationwide.
Now, the Himachal Pradesh Rajya Chayan Aayog will handle the recruitment process as per Group-C norms.
While the government says this will promote local employment, some administrative observers note that the move reduces open competition for mid-level posts, traditionally seen as a way to bring in wider talent.
Honorarium Increased for PWD Multi-Task Workers
The Cabinet decided to enhance the monthly honorarium of multi-task workers in the Public Works Department from Rs. 5,000 to Rs. 5,500, benefitting approximately 5,000 workers.
The decision is being seen as a relief measure for field-level staff, though unions have long been demanding a more substantial increase.
Milk Incentive Scheme for Cooperative Suppliers
To support dairy farmers, a Milk Incentive Scheme was introduced for suppliers linked to eligible non-government dairy cooperative societies.
Under the scheme, farmers will receive a subsidy of Rs. 3 per litre of milk supplied, which will be directly transferred through DBT mode.
The move aims to promote dairy-based self-employment in rural areas.
HPTDC Headquarters to Shift from Shimla to Dharamsala
In line with the government’s earlier announcement of making Kangra the ‘Tourism Capital’ of Himachal Pradesh, the Cabinet approved the relocation of the Himachal Pradesh Tourism Development Corporation (HPTDC) headquarters from Shimla to Dharamsala.
The government cited the need to decongest Shimla and decentralize tourism planning.
However, the decision has triggered mixed reactions, especially among Shimla-based tourism stakeholders.
New Police Posts in Dehra
To strengthen the law enforcement setup, the Cabinet approved the creation and filling of 101 posts of various categories in the Police Lines of District Police Dehra, aiming to improve policing infrastructure in the area.
Subsidy for Solar Projects in Tribal and Non-Tribal Areas
In a move to promote renewable energy and self-employment, the Cabinet approved interest subsidies for setting up solar power projects.
A 5% interest subsidy will be given for projects ranging from 100 KW to 1 MW in tribal areas, and a 4% subsidy for 250 KW to 2 MW projects in non-tribal areas.
Green Panchayat Scheme: MoU with HIMURJA
The government also approved a Memorandum of Understanding (MoU) between HIMURJA and 100 selected Gram Panchayats for installing 500 KW solar power plants under the Green Panchayat Scheme.
Each project is estimated to generate around Rs. 25 lakh in monthly revenue.
The earnings will be distributed with 30% going to HIMURJA, 20% to the state government, 40% to the respective Panchayats, and 10% earmarked for welfare of orphans and widows.
Panchayat Emergency Response Centres
To improve disaster preparedness, the Cabinet gave its nod for establishing Panchayat Emergency Response Centres in all 3,645 Panchayats of the state. These centres aim to act as first responders in case of natural disasters, helping safeguard lives and property.
Balanced Outlook
The decisions taken reflect a focus on decentralisation, local employment, and rural empowerment, especially in sectors like energy and agriculture.
However, some proposals—like the job reclassification and the HPTDC office relocation—may invite wider discussion on administrative impact and regional balance in governance.
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