E-Paper
Liquor to cost more in HP as state cabinet approves excise policy for ’23-24
The cabinet gave approval for the auction-cum-tender of retail excise vends in the state with an objective to gain adequate enhancement in the government’s revenue, reduction in the price of liquor and prevention of its smuggling from the neighbouring states
The Himachal Pradesh cabinet in a meeting presided by chief minister Sukhvinder Singh Sukhu in Shimla on Monday gave its nod to the new excise policy for year 2023-24, which will make liquor costlier in the state.
The cabinet gave approval for the auction-cum-tender of retail excise vends in the state with an objective to gain adequate enhancement in the government’s revenue, reduction in the price of liquor and prevention of its smuggling from the neighbouring states.
With this auction, revenue earning would see a 15 to 20% rise, industries minister Harshwardhan Chauhan told reporters.
The cabinet decided to introduce keg draught beer at retail vends with a capacity of five litres. Customers would benefit from this decision as more varieties of beer will be available for them. Bottling of imported wine in the wineries of the state has been allowed, which would ensure that best-selling high-range wine brands are easily available to the customers.
In order to facilitate horticulturists and boost the economy, the cabinet has been decided to introduce a new category of liquor obtained by fermentation of fruits through their distillation or blending.
It has also been decided that L-3, L-4, and L-5 licence holders will now be allowed to have mini-bars for guests in all rooms of hotels rated three stars and above.
An effective, end-to-end online excise administration system will be set up in Himachal, which will include the facility of track and trace of liquor bottles besides other modules for real-time monitoring.
The policy has been framed taking into account all stakeholders, which include government, consumers, retailers, wholesalers, bottling plants, distilleries and hotels and bars. All sections were engaged by the department in taking feedback based on which these decisions have been undertaken.
The cabinet has also decided to introduce Himachal Pradesh water cess on the Hydropower Generation Bill, 2023, in the upcoming Vidhan Sabha session and implement the Himachal Pradesh water cess on Hydropower Generation Ordinance, 2023, with effect from March.
The water cess on the hydropower projects is aimed at revenue generation. The government had promulgated ordinance to this effect in February. According to sources, the state government intends to collect revenue of over ₹1,000 crore through this cess.
Hydroelectric projects with head up to 30 metre will have to pay 10 paise per cubic metre cess; those with head above 30 metre and up to 60 metre will have to pay 25 paise; projects with head between 60 and 90 metres will have to pay 35 paise as cess and those with head above 90 metre will have to pay 50 paise per cubic metre cess.
