Fortnightly Policy & Economic Updates: A Detailed Review (June 16 - June 28, 2025)

Welcome to our latest edition of "Fortnight Policy and Economic Updates," where we delve into the significant governmental decisions and policy announcements across various Indian states and Union Territories from June 16 to June 28, 2025. This past fortnight has seen a flurry of activity, with states introducing measures aimed at enhancing public services, driving economic growth, streamlining regulations, and fostering green initiatives. This report highlights key immediate actionable developments and long-term strategic shifts, providing a comprehensive overview of India's dynamic policy environment.

I. Government Decisions/Announcements with Immediate Actionable Value

A. Karnataka

1. Ban on Bike Taxi Services

• Summary: The Government ordered bike taxi operators (Rapido, Ola, and Uber) to cease operations across the state, effective June 15, 2025, following a Karnataka High Court order. The ban stems from the Motor Vehicles Act, under which the state government has not notified specific regulations for bike taxis, making commercial use of privately registered two-wheelers illegal under current law. The rapid growth of bike taxis led to protests from autorickshaw unions, who claimed loss of ridership.

• Implications: This indicates a significant influence of auto unions over Government decisions. Over 1 lakh gig workers will lose their primary income source, contradicting recent steps toward gig worker welfare. The absence of clear policy creates a regulatory vacuum, hindering the formalization of app-based transport services and potentially deterring future investment in online transport models and innovative low-cost solutions.

2. Attendance Management System for Department of Health and Family Welfare (KAMS)

• Summary: Effective July 1, the biometric-based attendance system for the Department of Health and Family Welfare will be replaced by a mobile-based system using Aadhaar-enabled face authentication and geo-tagged attendance logging. KAMS will be rolled out in over 12,000 health facilities across the state, with officials instructed to ensure implementation by the deadline.

• Implications: This does away with maintenance and repair costs of hardware-based biometric systems, eliminating expenditure for new facilities. It enables more efficient attendance monitoring and provides greater flexibility for field staff and employees in rural areas. However, improved digital infrastructure is necessary for proper implementation, and the mobile-based system may face interruptions like network outages.

3. Increase in Minority Reservation in Government Housing Schemes

• Summary: The reservation for minority communities under state-run housing schemes increases from 10% to 15%. This aligns with the Centre's '15 Point Program for the Welfare of Minorities' guidelines, published in 2019, which mandates 15% of physical and financial targets for minorities. This applies across various government housing programs, explicitly benefiting religious minorities, and complements earlier moves such as 4% reservation in civil contracts and increased funding for minority welfare.

• Implications: The state Government has justified the decision as being in line with the '15 Point Program for the Welfare of Minorities' guidelines. Boosted housing access for minority families may improve socio-economic inclusion. While potentially benefiting thousands, targeted allotment may be seen as favoring one community over others. The move could unintentionally lead to ghettoization if not planned adequately, and there is a risk of housing projects being placed in poorly connected areas, lacking basic infrastructure.

B. Punjab

1. Udyog Kranti Industrial Reforms

• Summary: The Government has rolled out the 'Punjab Udyog Kranti' policy, featuring 12 reform measures to streamline industrial approvals and boost investment across the state. A deemed-approval system ensures all clearances are granted within 45 working days. It permits self-certification for building-plan approvals and structural stability certificates, and has launched a digitally delivered land feasibility certificate within 15 working days. A plot sub-division policy also allows for easy division of industrial plots.

• Implications: The Udyog Kranti reforms establish a time-bound framework for industrial approvals, addressing procedural bottlenecks in Punjab. By combining digital self-certification, fast-tracked approvals, and performance accountability, a predictable environment for investors is created. To meet approval deadlines, the Government must ensure staff are trained in digital workflows and portal navigation. Departments must also be prepared to iterate, update training materials, refine workflows, and scale IT resources to ensure deadlines remain achievable.

2. Punjab Medical Graduate Bond Policy

• Summary: The State Government has introduced a mandatory service bond policy for MBBS and BDS students in state-run medical and dental colleges, applicable from the 2025–26 academic session. State quota students will be required to serve two years, and All India Quota (AIQ) students one year, in Punjab government health institutions. Failure to complete mandatory service will result in a financial penalty of ₹20 lakh. This policy applies to all students admitted from the 2025–26 academic year onward in 11 government medical and dental colleges across Punjab.

• Implications: This policy addresses a chronic shortage of doctors in government health facilities, particularly in rural and sub-divisional hospitals, by mandating service in public institutions.

C. West Bengal

1. Amendment to The West Bengal Clinical Establishments Act, 2017

• Summary: The State Assembly passed the West Bengal Clinical Establishments (Registration, Regulation, and Transparency) (Amendment) Bill, 2025, to regulate the licensing process of private clinical establishments and increase transparency. The bill mandates strict adherence to 'fixed rates' and 'package rates' for comprehensive treatments, requiring establishments to display rates conspicuously. For treatments not covered by extant rates, estimates must be provided, and updated charges must be communicated every 24 hours, with the prohibition of exceeding the specified estimate.

• Implications: (Implications not explicitly detailed in the provided snippet for this policy beyond its summary. However, it can be inferred that the aim is to protect consumers from arbitrary pricing and bring accountability to private healthcare.)

D. Madhya Pradesh

1. Madhya Pradesh Public Service Promotion Rules, 2025

• Summary: The government approved new rules ending a nine-year freeze on promotions for state employees, establishing a clear reservation quota of 20% for STs and 16% for SCs. By promoting current staff, the state expects to open over two lakh junior-level posts for new recruitment. SC and ST public servants will also have the opportunity for promotion based on merit, in addition to their reserved quota.

• Implications: The decision to end the freeze is conducive to improving administrative capacity and efficiency in Government departments. However, the policy's reliance on reservations may invite legal challenges, potentially delaying implementation or modifying the rules and continuing uncertainty. The concept of Departmental Promotion Committees (DPCs) will be redundant if robust appraisal mechanisms are not in place.

2. E-Attendance Platform For Government School Teachers

• Summary: Digital attendance is now mandatory for all government school teachers from July 1, 2025, to be marked within a one-hour window after the scheduled start time and 30 minutes after the scheduled end time. Marking attendance outside this window will automatically deduct half a day's leave. Implementation is via the ‘Humare Shikshak’ platform, part of the state’s Education 3.0 portal, with monitoring entrusted to district collectors.

• Implications: This aligns with the Digital India Mission, aiming to tighten administrative oversight, reduce teacher absenteeism, and curb proxy attendance. It is a notable push towards a human resource management system for the education department. However, some human intervention is required to review genuine delays like traffic or unforeseen local duties.

E. Andhra Pradesh

1. Delivery of Ration to Senior Citizens and Differently-Abled

• Summary: The Government has announced home delivery of monthly rations five days in advance to senior citizens (aged 65+) and differently-abled BPL cardholders. In June, about 13 lakh beneficiaries received doorstep delivery, with 83% coverage in the first 15 days, with special emphasis on reaching remote and tribal areas.

• Implications: This eases ration access for senior citizens and differently-abled, especially those with mobility challenges, and strengthens welfare outreach to vulnerable groups, ensuring no one is left out of essential services. It minimizes the need for beneficiaries to rely on others, promoting dignity and independence, and increases PDS penetration in tribal and hard-to-reach regions. Regular schedules and feedback mechanisms boost transparency and accountability, setting a replicable example.

2. Streamlined Regulations for Small Buildings

• Summary: Residential buildings on plots up to 50 sq m with ground+one floor (G+1) construction now receive automatic approvals, requiring only online registration, a ₹1 token fee, and self-certification. Builders on government-allotted land no longer need to mortgage 10% of the land. Layouts now require just 9m roads for even non-red-zone industries, streamlining approvals. Buildings up to 15m no longer need prior permissions (CCTV becomes mandatory in high-rise or group housing projects), and construction permits up to 5 floors (approx. 18m) can be obtained via self-certification through the APDPMS portal. Construction firm licenses are now valid for 3 years, and Transferable Development Rights (TDR) can be used on the same building without extra permission.

• Implications: (Implications not explicitly detailed in the provided snippet for this policy beyond its summary. However, it can be inferred that the aim is to simplify and speed up construction approvals, promoting ease of doing business and housing development.)

3. Reintroduction of Lease System for Minor Minerals

• Summary: The Government has announced the reintroduction of an application-based lease system for minor minerals. Applicants for new leases on government lands can now submit applications online through the Mines Department’s Single Desk Portal. The objective is to streamline the allocation and regulation of minor minerals, including granite, marble, and construction materials.

• Implications: This replaces the previous e-auction approach and can lower the cost of raw materials for MSMEs and infrastructure developers, increasing accessibility. A business-friendly one-stop interface is likely to develop goodwill with private players. However, the process of leasing must be transparent to avoid creating new avenues for corruption.

F. Maharashtra

1. Maharashtra Slashes Electricity Tariffs

• Summary: The Government has announced a significant five-year electricity tariff reduction plan aimed at easing the power cost burden on consumers. The policy features a progressive 26% reduction in electricity tariffs from July 2025 to 2030 for residential, commercial, and industrial users. Consumers will receive a 10% cut in electricity bills in the first year, offering immediate financial relief to over 2 crore power consumers. The plan is backed by fiscal savings from increased procurement of low-cost solar power under Mukhyamantri Saur Krishi Vahini Yojana 2.0, promoting green energy, reducing peak-hour demand dependency, and improving affordability.

• Implications: The tariff reduction will reduce monthly power bills, particularly for low-usage consumers.

2. Excise Duty Hike on Liquor

• Summary: The Government increased excise duty on Indian-Made Foreign Liquor (IMFL) by over 50%, leading to retail price hikes of over 60%. Duty on country liquor and imported premium liquor also rose, increasing their retail prices by 14% and 25% respectively. Beer and wine are exempted. This aims to increase liquor revenue by ₹14,000 crore to ₹57,000 crore. A new Maharashtra Made Liquor (MML) category (grain-based) is introduced and exempted from the hike.

• Implications: The guidelines could enhance market access for domestic producers with established networks or linkages to the liquor industry, and the MML guidelines are likely to benefit and revive defunct distilleries. The Government expects the hike to increase revenue to ₹57,000 crore. However, people may turn towards cheaper options, including illicit liquor.

3. Installation of Automated Weather Stations (AWS) in Every Village

• Summary: This policy aims to provide real-time weather data to farmers to aid in agricultural planning.

• Implications: This initiative will enable farmers to make informed decisions regarding irrigation, crop planting, and harvesting, thereby reducing losses due to adverse weather conditions. It also contributes to more accurate localized weather forecasting, benefiting various sectors beyond agriculture.

G. Tamil Nadu

1. New Routes Under Mini-Bus Scheme Launched

• Summary: Aimed at enhancing last-mile connectivity across the state, 1,801 new routes have been identified and 1,255 officially notified, including 406 in the central region (e.g., Trichy). Trichy district's first phase saw 15 route permits (5 new, 10 extensions) covering un-served areas, and in Madurai, 32 new routes were flagged off. Theni received 9 mini-buses. The first fare revision since 2000 was implemented, with a base fare from ₹4 (up to 2 km) to ₹10 (up to 20 km), with slabs extending up to 26 km (₹11), effective May 1 and updated June 15. Private mini-buses (e.g., in Chennai) were also added, though concerns over operational viability exist. Applications opened February–March 2025, and launches began May and mid-June after route notification and permit issuance.

• Implications: This improves last-mile service delivery by bringing government schemes directly to citizens.

2. Ungaludan Stalin Camps for Enrolling Beneficiaries in Welfare Schemes

• Summary: The Government is organizing 10,000 welfare camps across the state from July 15 to the end of October to conduct registration drives to enroll eligible beneficiaries in welfare schemes. Urban camps will deliver 13 government services across 43 schemes.

• Implications: These camps will address grievances and expand welfare reach, particularly for women and farmers, ensuring wider access to government benefits.

H. Himachal Pradesh

1. Policy to Improve Educational Outcomes in Himachal Pradesh

• Summary: Strict measures will be taken against government school teachers and heads if student performance in board examinations is 25% or below to improve quality in educational outcomes. This initiative combines accountability and capacity enhancement.

• Implications: This signals a shift toward performance-driven education governance in the state.

2. E-Mobility Initiative For Last-Mile Infectious Disease Care

• Summary: The Himachal Pradesh government is deploying 12 electric scooters across eight districts (Chamba, Kangra, Una, Mandi, Hamirpur, Bilaspur, Kullu, and Sirmaur) to provide doorstep delivery of medicines, screenings, and counseling for HIV, TB, hepatitis, and STIs. This initiative, dubbed the "3-G Formula" (Get Aware, Get Tested, Get Victory), reflects a shift towards equitable and integrated public health service delivery.

• Implications: This enhances public health outreach, particularly in remote areas, for infectious disease management, improving accessibility and efficiency of healthcare services.

I. Delhi

1. Single Clearance for Business Establishments

• Summary: The Delhi Police’s authority to issue licenses for seven business categories, including hotels, restaurants, and amusement parks, has been transferred to civic bodies. This eliminates dual-clearance requirements, streamlining the process for businesses.

• Implications: The elimination of police involvement in licensing removes dual-clearance requirements, streamlining the process for businesses.

J. Jharkhand

1. Amendment to Cigarettes and Other Tobacco Products Act, 2021

• Summary: The Jharkhand government's amendment to the Cigarettes and Other Tobacco Products Act, 2021, has significantly increased fines for smoking or spitting tobacco in public places (fivefold increase). It also imposes a ban on hookah bars across the state and prohibits the sale of tobacco products to individuals under the age of 21.

• Implications: This aims to reduce tobacco consumption, promote public health, and discourage underage smoking, contributing to a healthier environment.

K. Kerala

1. Blood Bank Traceability Application

• Summary: Kerala has launched a new blood bank traceability application across the state. This system is designed to improve the efficiency and safety of blood donation and transfusion processes.

• Implications: This will improve the efficiency and safety of blood donation and transfusion processes, ensuring better management of blood supplies and reducing errors.

L. Telangana

1. Free JEE and NEET Coaching for Government Junior College Students

• Summary: The Telangana government has announced free coaching for JEE and NEET examinations for students in government junior colleges.

• Implications: This initiative aims to enhance access to higher education for students from government colleges by providing them with the necessary preparation for competitive entrance exams.

2. Digital Reform in Cabinet Functioning

• Summary: Telangana has implemented digital reforms in cabinet functioning. This includes the digitization of cabinet meeting procedures and document management.

• Implications: This will enhance efficiency, transparency, and promote paperless governance within the cabinet, streamlining decision-making processes.

M. Rajasthan

1. 100% Tax Waiver on CNG-Run Buses

• Summary: The Rajasthan government has announced a 100% tax waiver on CNG-run buses. This policy is aimed at promoting the adoption of compressed natural gas (CNG) as a fuel for public transport.

• Implications: This aims to promote eco-friendly public transport and reduce pollution by incentivizing the use of cleaner fuel.

N. Mizoram

1. Biometric Enrolment of Myanmar Refugees

• Summary: Mizoram has initiated biometric enrolment for Myanmar refugees residing in the state. This process involves collecting fingerprints and other biometric data from the refugees.

• Implications: This is a crucial step for data management and welfare provisions for the refugees, enabling better tracking and provision of essential services.

II. Government Policy Announcements with Long-Term Actionables

Beyond immediate changes, several states have laid the groundwork for long-term strategic shifts.

A. Gujarat

1. Electronic Components Manufacturing Policy

• Summary: The Government launched this Policy to strengthen its electronics manufacturing ecosystem, specifically targeting the development and production of critical electronic components.

• Implications: This aims to boost local manufacturing, reduce import dependence, and create jobs in the electronics sector, positioning Gujarat as a key hub for electronic components.

B. Karnataka

1. Proposal to Raise Daily Working Hours to 10 Per Day

• Summary: A proposal has been put forward to increase daily working hours from 9 to 10 hours.

• Implications: This move will align with central labour codes and practices in other reform-oriented states.

2. Hate Speech and Hate Crimes (Prevention and Control) Bill, 2025, and Misinformation and Fake News Bill, 2025

• Summary: These bills form part of an effort to regulate harmful speech in Karnataka's digital and physical public spaces. The Hate Speech Bill targets hate speech and hate crimes based on identity markers, while the Misinformation Bill penalizes the spreading of fake information.

• Implications: These bills aim to curb the spread of misinformation and promote social harmony, though they may raise concerns about freedom of speech and expression.

3. Karnataka Crowd Control Bill, 2025

• Summary: The Karnataka government is introducing the Karnataka Crowd Control Bill, 2025. The bill covers sponsored mass gatherings like political rallies, conferences, and public events.

• Implications: This bill aims to reduce the risk of stampedes and chaos at large events through better planning, permissions, and protocols, enhancing public safety.

C. Uttar Pradesh

1. Setting Up of 15 MSME-Centric Industrial Zones

• Summary: The Uttar Pradesh government plans to set up 15 new MSME-centric industrial zones across the state. These zones will be equipped with modern infrastructure and facilities to support small and medium enterprises.

• Implications: This initiative will foster MSME growth, industrial development, and job creation across the state, contributing to economic diversification and rural development.

2. Urban Green Policy

• Summary: The Uttar Pradesh government is introducing an Urban Green Policy. This policy focuses on promoting sustainable urban development, increasing green spaces, and conserving the environment within cities.

• Implications: This policy aims to promote sustainable urban development and environmental conservation within cities, improving urban living quality and addressing climate concerns.

D. Delhi

1. Launch of Artificial Rain Pilot Project

• Summary: Delhi has launched a pilot project for artificial rain, a significant step towards addressing air pollution and water scarcity in the long term. This project involves cloud seeding technology.

• Implications: This is a significant step towards addressing air pollution and water scarcity in the long term, offering a potential solution for environmental challenges.

E. Andhra Pradesh

1. Job Creation Through MSME & Skill Development Initiatives

• Summary: This initiative aims to create 20 lakh jobs over five years by strengthening MSMEs and expediting industrial growth.

• Implications: It will lead to a transition from "Ease of Doing Business" to "Speed of Business" for faster inter-departmental approvals.

2. Announcement of Circular Economic Policy

• Summary: Andhra Pradesh has announced the development of a Circular Economic Policy. This policy aims to promote resource efficiency, waste reduction, and the recycling and reuse of materials across various sectors.

• Implications: This policy promotes resource efficiency and waste reduction, aiming for a more sustainable economic model and reducing environmental impact.

3. Aerospace and Defense Policy 4.0 (2025-2030)

• Summary: Andhra Pradesh has introduced its Aerospace and Defense Policy 4.0 (2025-2030). This policy outlines a strategic vision for the growth of the aerospace and defense sector within the state over the next five years.

• Implications: This outlines a strategic vision for the growth of the aerospace and defense sector within the state over the next five years, aiming to attract investments and create jobs.

F. Himachal Pradesh

1. Green Energy State Policy

• Summary: The State Government has announced its commitment to transform Himachal Pradesh into a Green Energy State by March 31, 2026. A total of ₹905 crore has been earmarked in the 2025-26 state budget for this policy.

• Implications: The policy will significantly increase the share of solar and hydro energy in the state's power mix, reducing dependence on fossil fuels.

G. Rajasthan

1. Draft Connectivity Norms For Intra-State Transmission Projects

• Summary: Rajasthan has released draft connectivity norms for intra-state transmission projects. These norms are designed to streamline and standardize the development of power transmission infrastructure within the state.

• Implications: These norms aim to streamline and standardize the development of intra-state power transmission infrastructure, improving grid efficiency and reliability.

2. 14-Point Groundwater Action Plan

• Summary: Rajasthan's 14-Point Groundwater Action Plan aims to address the severe groundwater depletion issues in the state. The plan includes measures such as promoting rainwater harvesting, restricting groundwater extraction in critical areas, encouraging water-efficient irrigation methods, and investing in artificial recharge structures.

• Implications: This comprehensive plan aims to address groundwater depletion and ensure sustainable water management across the state for long-term water security.

H. Assam

1. Land Governance Commission to Review Extant Assam Land Legislation

• Summary: A Land Governance Commission is set up to review the Assam Land and Revenue Regulation Act, 1886, along with other relevant state land laws.

• Implications: There is no proposal to dilute protections for tribal land; instead, reforms will strengthen indigenous land rights for tribal and community-owned land.

2. Shradhanjali Scheme

• Summary: The Assam government has launched the Shradhanjali Scheme. This scheme focuses on providing financial assistance and support to the families of deceased government employees.

• Implications: This scheme focuses on providing support and benefits in a specific area, contributing to long-term social welfare and employee well-being.

I. Maharashtra

1. Partnership with Google for AI Training Centre and Courses

• Summary: Maharashtra has partnered with Google to establish an AI training center and launch various AI-related courses. This collaboration aims to boost AI literacy and skill development within the state.

• Implications: This signals a long-term commitment to technological advancement and skill development in AI, preparing the workforce for future demands.

2. Mobile Squad For Street Kids And Orphans

• Summary: The Maharashtra government is forming a mobile squad dedicated to supporting street kids and orphans across the state. This squad will work towards identifying, rescuing, and rehabilitating vulnerable children.

• Implications: This initiative aims to provide support and welfare services to vulnerable children, demonstrating a long-term commitment to social welfare.

3. MahaAgri-AI 2025-29

• Summary: Maharashtra has introduced MahaAgri-AI 2025-29, a policy framework for integrating Artificial Intelligence (AI) into the agricultural sector. The policy aims to leverage AI for improving crop yield, optimizing resource use, and enhancing market access for farmers.

• Implications: This indicates a strategic focus on integrating AI into the agricultural sector for long-term growth and efficiency, benefiting farmers and promoting sustainable agriculture.

J. Mizoram

1. Partnership with Bhashini

• Summary: Mizoram has announced a partnership with Bhashini, the Indian government’s AI-powered language translation platform. This collaboration aims to leverage language technology for broader public service delivery and digital inclusion.

• Implications: This partnership aims to leverage language technology for broader public service delivery and digital inclusion, making government services more accessible.

2. Launch of Citizen's Eye App in Serchhip District

• Summary: Mizoram's Serchhip district has launched the "Citizen's Eye App." This mobile application allows citizens to report grievances, provide feedback, and participate in local governance directly.

• Implications: This app allows citizens to report grievances, promoting transparency and accountability in local governance and empowering community participation.

K. Tamil Nadu

1. Partnership with IIT Madras to Transform Agri-Food Ecosystem

• Summary: An MOU signed between IIT Madras and Tamil Nadu Agri Business and Food Processing Export Corporation aims to strengthen the state's agriculture and food processing sector. This partnership will focus on research, training programs, and innovative technological and marketing solutions to transform rural supply chains, reduce post-harvest losses, and increase farmer incomes.

• Implications: The focus on skilling rural youth aligns with the objectives of the Skill India Mission and can create new employment opportunities and foster entrepreneurship within the agricultural sector. A key challenge will be translating research into practical, scalable applications that can be adopted by farmers across the state. Continuous feedback and participatory design with farmer communities will be crucial to assess actual impact.

Conclusion

The period of June 16 to June 28, 2025, underscores a proactive approach by Indian states in addressing both immediate challenges and long-term developmental goals. From significant tariff reductions and streamlined business regulations to ambitious green energy targets and social welfare initiatives, these policies reflect a concerted effort to foster economic growth, improve public services, and enhance the quality of life for citizens. As these initiatives unfold, their implementation and impact will be crucial in shaping India's socio-economic landscape in the coming years.