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12/31/2025 | Press release | Distributed by Public on 12/31/2025 08:58

States Weekly: December 31, 2025

States Weekly: December 31, 2025

Newsletter by Aryan D'Rozario

Published December 31, 2025

Big News: Delhi continues "No Pollution Under Control (PUC), No Fuel" Policy; Gujarat announces the Integrated Renewable Energy Policy, Pumped Storage Project Policy, and Green Hydrogen Policy; Karnataka notifies the Karnataka Land Revenue (Amendment) Rules, 2025; Haryana passes the Haryana Shops and Commercial Establishments (Amendment) Act, 2025; and more.

Health

Andhra Pradesh approves surgical procedures performed by Ayurveda practitioners. 58 surgical procedures, including wound debridement, abscess drainage, skin grafting, suturing, and the treatment of piles, fissures, etc. have been approved by the Health Department for Ayurveda practitioners to perform.

Source: The South First

Climate Change and Energy

Delhi issues Draft Amendments for DERC (Group Net Metering and Virtual Net Metering for Renewable Energy) Guidelines, 2019. The Draft Amendments, issued by the Delhi Electricity Regulatory Commission (DERC), expand the applicability of virtual net metering (VNM) to all consumers, including single-point-of-supply consumers.

Source: Mercom

In detail: Delhi Electricity Regulatory Commission (Group Net Metering and Virtual Net Metering for Renewable Energy) (Seventh Amendment) Guidelines, 2025

Delhi continues "No Pollution Under Control (PUC), No Fuel" Policy. The Environment Department said vehicles without a valid PUC certificate will not be allowed to operate in Delhi, adding that anti-pollution measures will remain in force even as curbs under GRAP-IV are eased. Vehicles entering Delhi from outside the city that do not meet Bharat Stage VI (BS6) Emission Standards will also face these restrictions.

Source: Economic Times,Times of India

In detail: Govt Notification

Gujarat announces the Integrated Renewable Energy Policy, Pumped Storage Project Policy, and Green Hydrogen Policy. The aim of these three policies is to support an integrated renewable energy ecosystem, with the green hydrogen roadmap aiming to generate $55.6 billion (INR 5 lakh crore) in investments and 600,000 jobs by 2030, while pumped storage projects are expected to attract $8.35 billion (INR 75,000 crore) in investments.

Source: Hindu Business Line

In detail: Gujarat Integrated Renewable Energy Policy 2025, Gujarat Green Hydrogen Policy 2025, Gujarat Pumped Storage Project Policy 2025

Karnataka issues Draft KERC (Roadmap for Reducing Cross Subsidy and Cross Subsidy Surcharge) Regulations, 2025. The Draft Regulations, issued by the Karnataka Electricity Regulatory Commission (KERC) propose new regulations aimed at reducing cross-subsidies and cross-subsidy surcharges in the state in compliance with the Electricity Act, 2003, and the National Tariff Policy, which mandate that state commissions progressively align electricity tariffs with the actual cost of supply.

Source: Solar Quarter

In detail: Draft Karnataka Electricity Regulatory Commission (Roadmap for Reducing CrossSubsidy and Cross Subsidy Surcharge) Regulations, 2025

Rajasthan issues RERC's approval of the Draft Procedure for Grant of Green Energy Open Access. Issued by the Rajasthan Electricity Regulatory Commission (RERC), the procedures aim to grant Green Energy Open Access in the state.

Source: Solar Quarter

Kerala issues order on approval of Threshold Limit for Tariff Based Competitive Bidding in Intra-State Transmission Projects. The Kerala State Electricity Regulatory Commission (KSERC) has ruled that intrastate power transmission projects costing above $28.2 million (INR 250 crore) must be executed through the Tariff-Based Competitive Bidding (TBCB) route.

Source: Mercom

In detail: KSERC order

Odisha defers "No Pollution Under Control (PUC), No Fuel" Certificate. The rule will now come into force on February 1, 2026, instead of January 1, 2026. The decision to defer the implementation was taken to give vehicle owners more time in obtaining PUC certificates.

Source: Sambad

Odisha approves "MMSBY - Installation of Smart Meters Phase-I" Policy. The policy aims to accelerate the rollout of 100 percent smart metering across the state while protecting low-end electricity consumers from additional costs.

Source: Odisha bytes

Finance

Nothing critical to report this week.

Industrial Policy and Business Regulations

Karnataka notifies Karnataka Land Revenue (Amendment) Rules, 2025. The rules exempt renewable energy projects and small-scale industries from obtaining prior permission to operate on agricultural land.

Source: Deccan Herald

In detail: Karnataka Land Revenue (Amendment Bill), 2025

Rajasthan publishes new Urban Area Regulations, 2025. This new regulatory framework aims to govern development on hilly terrain within city limits. The policy lays down clear slope-based categories, construction limits, and land-size requirements, aiming to prevent unregulated growth while allowing limited, planned use of hill areas.

Source: Pink City Post

In detail: Hill Policy

Uttar Pradesh launches the Meetings, Incentives, Conferences and Exhibitions (MICE) Incentive Scheme. The scheme aims to connect the state's Micro, Small, and Medium Enterprises (MSMEs) with national and international markets. This scheme is a part of the Uttar Pradesh Export Promotion Policy 2025-2030. Under the scheme, financial assistance of $77.9 (INR 7,000) per foreign participant or up to a maximum of $6,680 (INR 6 lakh) per event will be provided for organizing MICE programs.

Source: Hans

In detail: Uttar Pradesh Export Promotion Policy 2025-2030

West Bengal issues a West Bengal Mini Cinema Policy. The policy aims to accelerate the growth of the film industry, particularly in suburban and rural areas.

Source: Millennium post

Land Acquisition and Labor Regulations

Haryana passes the Haryana Shops and Commercial Establishments (Amendment) Act, 2025. The legislation increases the daily working hours from nine to ten hours while retaining the overall weekly limit of 48 hours for employees of shops and private commercial establishments.

Source: Tribune

In detail: Haryana Shops and Commercial Establishments (Amendment) Act, 2025

Infrastructure and Governance

Delhi amends Delhi Excise Rules, 2010. The amendments increase storage and possession limits for special denatured spirits and expand the permissible quantity of sacramental wine that churches may purchase and possess.

Source: Business Standard

In detail: Delhi Excise (Amendment) Rules, 2025 (PDF)

Haryana declares a new district. Hansi is now the 23rd district of the state. It was earlier a part of Hisar District.

Source: Adda 247

In detail: Press release

Haryana issues Haryana Municipal Advertisement (Amendment) Byelaws, 2025. The new rules impose stricter guidelines on outdoor advertising across urban local bodies, aiming to enhance road safety, improve city aesthetics, and plug revenue leakages in the municipal advertising system.

Source: Story Board18

In detail :Haryana Municipal Advertisement (Amendment) Bye-laws, 2025

Jharkhand approves the Panchayats (Extension to Scheduled Areas) Act (PESA) Rules. The new rules empower 'Gram Sabhas' (Local Governance Bodies) with wider administrative and decision-making powers in Fifth Schedule areas, which are regions with a high tribal population.

Source: Indian Express

In detail: Cabinet decisions (in Hindi)

Kerala introduces a Nativity Card. The card will serve as a new identification document to prove residency as part of measures to address concerns related to citizenship checks.

Source: The Hindu

Uttarakhand approves new rules.

The state reduces the Value-Added Tax (VAT) on Natural Gas from 20 to 5 percent. The state cabinet also approves a New System of Self-Certification of Building Plans for low-risk buildings, such as single residential or small commercial buildings, by specific listed architects. Additionally, the maximum age limit for the appointment of professors and associate professors in medical colleges is increased to 62 years.

Source: Economic Times

Water and Sanitation

Jharkhand bans deep boring in forest areas and the extraction of water from rivers and ponds. For any project requiring water from rivers, dams, or ponds in forest areas, the local forest administration must be informed, and permission must be applied for.

Source: Indian masterminds

Center - State Relations

The Union government approves Amaravati as Andhra Pradesh's only capital city. The order provides statutory status to the capital city.

Source: Hindustan Times

Any Other

Himachal Pradesh publishes Green to GoldPolicy. The plan aims to regulate cannabis as an industrial and medicinal Crop. Under the policy, only industrial hemp will be cultivated, with strict caps on Tetra Hydro Cannabinol (THC). All industrial hemp cultivated in the state must contain less than 0.3 percent THC. The state's "Green to Gold" push aims to make Himachal Pradesh self-reliant by 2027 while dismantling the illicit drug economy.

Source: India Today

In detail: Press release

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Associate Fellow, Chair on India and Emerging Asia Economics
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