25 Jan 2026·Source: The Hindu

5 min

Polity & GovernanceSocial IssuesEconomyNEWS

Himachal Pradesh Government's Key Decisions and Initiatives

Himachal focuses on resource creation, green initiatives, and social welfare programs.

Photo by Maëva Catteau

The Himachal Pradesh government has taken several key decisions, including restoring the Old Pension Scheme (OPS), making Himachal the first state in the country to do so. Financial assistance of ₹1500 per month is being provided to women in a phased manner. The 'Rajiv Gandhi Start-up Scheme' has been launched with an outlay of ₹680 crore. A 50% subsidy is being provided on e-taxis. Himachal Pradesh is the first state to provide MSP on naturally farmed products and offers the highest support price for milk. 6000 orphaned children have been designated as 'Children of the State'. Over 5,10,257 cases have been resolved in special revenue courts. Kangra district is being developed as the state's tourism capital, and Kangra airport will be upgraded to international standards. Initiatives include cruise boats, shikaras, houseboats, jet skis, and high-tech motorboats in Govindsagar. An anti-drug campaign, 'Anti-Chitta', was launched in Shimla on November 15, 2025, with वाकाथॉनs organized in multiple cities. A Special Task Force has been formed to investigate drug trafficking, leading to property confiscations and the dismissal of 11 police officers. Robotic surgery has been introduced at AIIMS Chamiana and Dr. Rajendra Prasad Government Medical College, Tanda, with automatic labs being established. English medium education has been introduced from the first grade in all government schools, and Himachal Pradesh has become a fully literate state. Rajiv Gandhi Government Model Day-Boarding Schools have been approved in 42 assembly constituencies. The state secured the fifth position in the National Achievement Survey-2024, a significant improvement from its 21st position in 2021.

Key Facts

OPS Restored: Himachal first state

₹1500/month: Financial aid to women

₹680 crore: Rajiv Gandhi Start-up Scheme

50% subsidy: On e-taxis

6000: Orphaned children as 'Children of the State'

5,10,257 cases: Resolved in revenue courts

Kangra: Tourism capital of Himachal

UPSC Exam Angles

GS Paper II: Government policies and interventions for development in various sectors and issues arising out of their design and implementation.

GS Paper III: Government Budgeting.

Connects to social justice, welfare schemes, and fiscal federalism.

Potential question types: Statement-based, analytical questions on the impact of OPS/NPS on state finances.

Visual Insights

Key Initiatives in Himachal Pradesh

Map showing locations of key initiatives like Kangra tourism development, AIIMS Chamiana, and Anti-Chitta campaign launch in Shimla.

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📍Himachal Pradesh📍Kangra📍Shimla📍Chamiana📍Tanda📍Govindsagar Lake

More Information

Background

The Old Pension Scheme (OPS) has a long history in India. Before economic liberalization in the 1990s, most government employees were covered by defined benefit pension schemes. These schemes guaranteed a fixed pension amount based on the employee's last drawn salary and years of service.

The shift towards the New Pension Scheme (NPS) began in the early 2000s due to concerns about the long-term financial sustainability of the OPS, given increasing life expectancy and the growing number of pensioners. The NPS, a defined contribution scheme, was introduced to reduce the government's pension liabilities and promote individual responsibility for retirement savings. The debate over OPS versus NPS has continued, with some states reverting to the OPS due to political considerations and perceived benefits for employees.

The central government has expressed concerns about the financial implications of reverting to the OPS, highlighting the potential burden on future generations.

Latest Developments

The revival of the Old Pension Scheme (OPS) by some states has sparked a nationwide debate on pension reforms. While states like Himachal Pradesh have implemented OPS, the central government remains cautious due to fiscal concerns. Recent developments include discussions on potential modifications to the NPS to make it more attractive to employees, such as guaranteed returns or improved withdrawal options.

The Pension Fund Regulatory and Development Authority (PFRDA) is exploring ways to enhance the NPS and address the concerns raised by state governments. The long-term sustainability of pension systems remains a key challenge, with experts advocating for a balanced approach that ensures both financial viability and adequate retirement security for employees. The debate is expected to continue as more states face increasing pension liabilities and explore alternative pension models.

Frequently Asked Questions

1. What are the key initiatives launched by the Himachal Pradesh government recently, as per the topic?

The Himachal Pradesh government has launched several initiatives, including restoring the Old Pension Scheme (OPS), providing financial assistance of ₹1500 per month to women, launching the 'Rajiv Gandhi Start-up Scheme' with an outlay of ₹680 crore, and providing a 50% subsidy on e-taxis.

2. What is the 'Rajiv Gandhi Start-up Scheme' and what is its financial outlay?

The 'Rajiv Gandhi Start-up Scheme' is an initiative by the Himachal Pradesh government to promote startups. The scheme has an outlay of ₹680 crore.

3. What are the key facts about the Old Pension Scheme (OPS) restoration in Himachal Pradesh for the UPSC Prelims?

Himachal Pradesh is the first state in the country to restore the Old Pension Scheme (OPS). This is a significant decision with potential fiscal implications.

Exam Tip

Remember that Himachal is the first state to restore OPS. This is a frequently tested fact.

4. Why is the Himachal Pradesh government focusing on tourism development in Kangra district?

Kangra district is being developed as the state's tourism capital, and Kangra airport will be upgraded to international standards. This is aimed at boosting tourism and generating revenue for the state.

5. What is the significance of designating orphaned children as 'Children of the State'?

Designating 6000 orphaned children as 'Children of the State' signifies the government's commitment to providing them with care, protection, and opportunities for a better future.

6. What are the potential benefits and drawbacks of the Old Pension Scheme (OPS) restoration?

The OPS provides guaranteed pension income to retirees, but it can also strain state finances in the long run. The current developments show a nationwide debate on pension reforms.

7. How does the Himachal Pradesh government's decision to provide MSP on naturally farmed products impact farmers and consumers?

Providing MSP on naturally farmed products incentivizes farmers to adopt sustainable agricultural practices and ensures fair prices for their produce. It also provides consumers with access to healthier food options.

8. Why is the restoration of the Old Pension Scheme (OPS) in news recently?

The restoration of the Old Pension Scheme (OPS) by some states, including Himachal Pradesh, has sparked a nationwide debate on pension reforms and its fiscal implications.

9. What is the 'Anti-Chitta' campaign and when is it planned to be launched?

As per the topic, the 'Anti-Chitta' campaign launch date is November 15, 2025. Further details about the campaign are not available in the provided context.

10. What are the key numbers to remember related to Himachal Pradesh government's initiatives?

Key numbers to remember include: ₹1500 (monthly aid to women), ₹680 crore (start-up scheme outlay), 50% (e-taxi subsidy), 6000 (orphaned children), and 5,10,257 (cases resolved).

Exam Tip

Create a mnemonic to remember these numbers for quick recall in the exam.

Practice Questions (MCQs)

1. Consider the following statements regarding the Old Pension Scheme (OPS) in India: 1. Under OPS, the pension amount is a defined contribution based on market performance. 2. The OPS was largely replaced by the New Pension Scheme (NPS) due to concerns about long-term financial sustainability. 3. Himachal Pradesh is the first state in India to fully restore the OPS for its government employees. Which of the statements given above is/are correct?

A.1 and 2 only
B.2 and 3 only
C.2 only
D.1, 2 and 3

Show Answer

Answer: C

Statement 1 is INCORRECT: Under OPS, the pension amount is a defined benefit, not a defined contribution. It is based on the employee's last drawn salary and years of service. Statement 2 is CORRECT: The OPS was indeed replaced by the NPS due to concerns about its financial sustainability. Statement 3 is INCORRECT: While Himachal Pradesh has restored OPS, it is NOT the first state to do so. Rajasthan and Chhattisgarh have also reverted to OPS.

2. Which of the following statements is NOT correct regarding the initiatives undertaken by the Himachal Pradesh government? A) Financial assistance of ₹1500 per month is being provided to women in a phased manner. B) The 'Rajiv Gandhi Start-up Scheme' has been launched with an outlay of ₹680 crore. C) Himachal Pradesh is the first state to provide MSP on naturally farmed products. D) The 'Anti-Chitta' campaign was launched in Shimla on November 15, 2024.

A.Financial assistance of ₹1500 per month is being provided to women in a phased manner.
B.The 'Rajiv Gandhi Start-up Scheme' has been launched with an outlay of ₹680 crore.
C.Himachal Pradesh is the first state to provide MSP on naturally farmed products.
D.The 'Anti-Chitta' campaign was launched in Shimla on November 15, 2024.

Show Answer

Answer: D

Options A, B, and C are correct as per the provided summary. Option D is INCORRECT because the 'Anti-Chitta' campaign was launched on November 15, 2025, not 2024, in Shimla.

3. Consider the following statements regarding the initiatives related to tourism development in Himachal Pradesh: 1. Kangra district is being developed as the state's tourism capital. 2. Kangra airport will be upgraded to international standards. 3. Initiatives include cruise boats, shikaras, houseboats, jet skis, and high-tech motorboats in Govindsagar. Which of the statements given above is/are correct?

A.1 and 2 only
B.2 and 3 only
C.1 and 3 only
D.1, 2 and 3

Show Answer

Answer: D

All three statements are correct as per the provided summary. Kangra is being developed as the tourism capital, the airport will be upgraded, and various water-based tourism initiatives are planned for Govindsagar.

4. With reference to the 'Children of the State' initiative by the Himachal Pradesh government, consider the following statements: 1. This initiative designates all children living in government-run orphanages as 'Children of the State'. 2. Under this initiative, 6000 orphaned children have been designated as 'Children of the State'. 3. The primary objective is to provide enhanced financial assistance for the education of these children. Which of the statements given above is/are correct?

A.1 and 2 only
B.2 and 3 only
C.2 only
D.1, 2 and 3

Show Answer

Answer: C

Statement 1 is INCORRECT: The summary does not specify that the initiative is limited to children in government-run orphanages. It designates 6000 orphaned children as 'Children of the State'. Statement 2 is CORRECT: As per the summary, 6000 orphaned children have been designated as 'Children of the State'. Statement 3 is INCORRECT: While the initiative likely includes support for education, the primary objective is not explicitly stated as enhanced financial assistance for education in the summary.