Yog Raj Sharma
The North News
Shimla, July 30
The Himachal Pradesh Cabinet, chaired by Chief Minister Sukhvinder Singh Sukhu, approved a series of key decisions on Wednesday, including amendments to the Compassionate Employment Policy, expansion of medical education, and the cancellation of multiple stalled hydroelectric projects. Under the revised Compassionate Employment Policy, the income eligibility limit for families has been raised from ₹2.5 lakh to ₹3 lakh annually. Priority will now be given to widows and parentless dependents under 45 years, as well as families of government employees who died while on duty. In cases where the 5% job quota is exhausted, a one-time relaxation will be applied to accommodate eligible candidates.
The Cabinet also sanctioned an increase in B.Sc. Nursing seats at Sister Nivedita Government Nursing College in Shimla from 60 to 100, and approved the establishment of a new nursing college at Dr. Rajendra Prasad Government Medical College, Tanda, with an annual intake of 60 students. Twenty-seven posts will be created to support the new institution.
In a step toward gender parity in workplaces, the Cabinet permitted the employment of women in night shifts (7 pm to 7 am) in shops and commercial establishments, with mandatory maternity benefits in line with the Maternity Benefit Act, 1961.
A Cabinet Sub-Committee, chaired by Industries Minister Harshwardhan Chauhan, has been formed to oversee the development of a proposed 300-acre Medical Device Park in Nalagarh. The committee will submit its report within two months.
The Cabinet approved changes to the Himachal Pradesh Minor Minerals Rules (2015), allowing road-cutting contractors and agencies involved in reservoir maintenance to use excavated material for their own use. Unsold materials will be auctioned through designated committees.
In the aviation sector, the government extended its MoU with Alliance Air Aviation Ltd. to operate flights on the Shimla–Dharamshala–Shimla route until 30 June 2026.
Significantly, the Cabinet decided to cancel 172 hydro projects under HIMURJA (below 5 MW) and 22 additional hydroelectric projects above 5 MW where agreements were pending. Future hydro projects up to 5 MW will attract a uniform 12% free power royalty, with 1% allocated to the Local Area Development Fund. Developers of 14 cancelled projects will be invited to settle refund claims on upfront premiums through out-of-court negotiations.
In support of the Kangra Airport expansion, the Cabinet granted a one-year extension for land acquisition proceedings under the Right to Fair Compensation Act, now valid until 16 August 2026.
It also approved a draft development plan for the Dhaulakuan Majra area in Sirmaur district, aimed at promoting sustainable development while conserving natural resources and scenic beauty.
Additionally, the reorganisation of Patwar Circle Naleti in Kangra was approved, merging Mahal Masot and Balahar areas with Patwar Circle Garh.
The Cabinet was also briefed on the escalating issue of drug abuse in the state, with the Excise and Taxation Department presenting its ongoing efforts and challenges in tackling the problem.

