Himachal generated Rs 26,683 crore revenue, says CM Sukhvinder Sukhu
Shimla, Feb 7
Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu on Saturday held discussions with legislators from Kullu, Mandi and Shimla districts on the second day of MLA priority meetings for 2026-27, with a focus on development priorities of the respective constituencies.
The Chief Minister said that during the past three years, the government has generated Rs 26,683 crore in revenue from its own resources. He said the state earned a financial benefit of about Rs 401 crore from acquiring ownership of the Wildflower Hall Hotel, and it was expected to earn around Rs 20 crore annually from it.
He said that due to the efforts of the government, the royalty share for the Karcham-Wangtoo Hydropower Project has increased from 12 to 18 per cent, which would provide the state with an additional income of nearly Rs 150 crore every year.
The Chief Minister said under the 15th Finance Commission, Himachal Pradesh received Rs 37,199 crore as Revenue Deficit Grant (RDG), which was released in a gradually decreasing manner. The state received Rs 10,249 crore in 2021-22, Rs 9,377 crore in 2022-23, Rs 8,057 crore in 2023-24, Rs 6,249 crore in 2024-25 and Rs 3,257 crore in 2025-26.
He said the decision of the 16th Finance Commission to discontinue the RDG would result in a loss of nearly Rs 50,000 crore to Himachal. The CM stated that this decision was unjust for a hill state with difficult geographical conditions and said it would adversely affect development works, welfare schemes and the payment of salaries and pensions.
He urged the Central government to restore the RDG and provide special financial assistance, keeping in view the state's unique circumstances. CM Sukhu said that to promote border tourism, allied activities have been started at the Shipki-La Pass on the India-China border.
The CM said that although the Union Budget 2026-27 announced a Buddhist Circuit for the north-eastern states, Himachal Pradesh, which was a major centre of Buddhist culture, has been excluded, which was discriminatory and a step-motherly treatment of the state. He said that despite having world-famous tourist destinations, no specific budgetary provision has been made for tourism development in the state.
— IANS
Reader Comments
Rs 26,683 crore from own resources is impressive! But the CM is right to highlight the step-motherly treatment. Excluding Himachal from the Buddhist Circuit budget is unfair when the state has such rich heritage. Tourism development needs central support.
Border tourism at Shipki-La is a fantastic initiative! It boosts local economy and asserts our presence. But the financial numbers are worrying. A Rs 50,000 crore loss? How will salaries and pensions be paid? The state govt needs a solid backup plan, not just requests to Delhi.
As someone who loves visiting Himachal, I hope the development priorities discussed include sustainable tourism. The revenue from hydropower is good, but the environmental cost must be managed. The exclusion from the Buddhist Circuit budget seems like a genuine oversight that should be corrected.
The figures show the state is trying to stand on its own feet. Increasing royalty share from 12% to 18% is a big win for Himachal's finances. But the central government should not abandon hill states. "One India" should mean equal support for all.
My family is from Mandi. We need development that reaches the villages, not just big revenue numbers. MLA priority meetings are good, but action on the ground is what counts. Hope the focus on border areas brings real jobs and infrastructure.
We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.