The Uttarakhand Cabinet meeting concluded today with approval to 11 key proposals impacting healthcare, energy prices, employees, farmers, artists, and ease of doing business. One of the major decisions includes an increase in employee contribution for cashless medical treatment schemes, along with a significant reduction in VAT on natural gas.
The Cabinet decided to reduce VAT on natural gas from 20 percent to 5 percent, a move expected to lower fuel costs for households, transport services, and industries. In the healthcare sector, Ayushman Bharat and Atal Ayushman schemes will now operate fully in insurance mode, while the Golden Card scheme will continue in a hybrid model to ensure uninterrupted cashless treatment.
To meet rising medical costs, the monthly contribution paid by government employees for cashless treatment will increase from around ₹250 to ₹450. The government said this adjustment is necessary to sustain the health insurance system amid increasing claim amounts.
Several welfare-related decisions were also taken. Work-charge employees of the Irrigation and Public Works Departments will now be eligible for pension benefits. Monthly pension for artists and writers has been doubled, providing financial relief to those associated with cultural and literary fields.
In agriculture, the Cabinet approved fixed rates for apples in disaster-affected areas such as Dharali, ensuring farmers receive fair compensation. Measures aimed at improving ease of doing business include allowing empanelled architects to approve maps for low-risk residential and small commercial buildings.
The Cabinet also approved reforms in medical education, extending the retirement age of professors and associate professors and creating new super-speciality departments. To strengthen healthcare in remote areas, specialist doctors posted in difficult and very difficult regions will receive an additional 50 percent allowance.
The issue of equal pay for equal work for Upanal employees has been referred to a Cabinet sub-committee, indicating further review rather than an immediate decision.
Key Cabinet decisions and their impact on the general public:
- VAT on natural gas reduced from 20% to 5%
This may lead to lower cooking gas, CNG, electricity, and transport-related costs over time. - Ayushman Bharat and Atal Ayushman to operate fully in insurance mode
Patients are expected to receive smoother and faster cashless treatment services. - Golden Card scheme to continue in hybrid mode
Claims up to ₹5 lakh will be paid through insurance, while higher claims will be covered by the trust, ensuring continued support for serious illnesses. - Employee contribution for cashless treatment to rise to about ₹450
Government employees will pay more monthly, but the scheme’s financial stability will improve. - Pension approved for work-charge employees of PWD and Irrigation departments
Long-serving workers will get post-retirement financial security. - Monthly pension for artists and writers increased to ₹6,000
Cultural workers will receive better financial support. - Apple prices fixed in disaster-affected areas
Farmers will benefit from assured rates and income stability after losses. - Building map approval through empanelled architects for low-risk structures
House owners and small business operators will face fewer delays and less paperwork. - Increased ground coverage for MSME and industrial units
This may encourage business expansion and generate more employment. - Retirement age of medical professors increased to 62 years
Patients and students will benefit from experienced doctors remaining in service. - 50% additional allowance for specialist doctors in remote areas
This is expected to improve healthcare availability in hill and border regions.
