The Punjab Cabinet, under the leadership of Chief Minister Bhagwant Singh Mann, has approved the Excise Policy for 2025-26, aiming to generate excise revenue of ₹11,020 crores during the financial year. This marks an increase of ₹874.05 crores (8.61%) compared to the previous year’s target.
This decision was taken during a meeting of the Council of Ministers, chaired by the Chief Minister at his official residence.A spokesperson from the Chief Minister’s Office revealed that the state government has already collected ₹10,200 crores under the Excise Policy 2024-25, surpassing the target of ₹10,145 crores. Excise revenue has been steadily rising, crossing the ₹10,000 crore mark for the first time under the current administration. In contrast, the excise collection during the last year of the SAD-BJP alliance was ₹4,405 crores, while in the final year of the Congress government, it stood at ₹6,254 crores.
The new policy aims to balance retail trade and encourage broader participation by allotting fresh L-2/L-14A liquor vends for 2025-26 through e-tendering. The group size for the year has been set at ₹40 crores. To generate additional revenue and ensure sufficient supply of country liquor, the quota for Punjab Medium Liquor (PML) has been increased by 3% to 8.534 crore proof litres.
There will be no increase in country liquor prices in 2025-26. To support the defence forces, the license fee for their wholesale liquor licenses has been cut by 50%, from ₹5 lakhs to ₹2.5 lakhs. In a move to promote tourism, farm stay license holders can now possess up to 36 quarts of Indian Made Foreign Liquor (IMFL), up from the previous limit of 12 quarts. Additionally, the permitted quantity for Beer, Wine, Gin, Vodka, Brandy, RTD, and other liquor products has also been increased. To enhance the consumer experience, one Model Shop per group has been made mandatory for retail licensees in Municipal Corporation areas.
Standalone beer shop fees have been significantly reduced from ₹2 lakhs per shop to ₹25,000 per shop. To encourage new investments, new bottling plants will be permitted in Punjab. Additionally, the Cow Welfare Fee has been increased by 50%, from ₹1 per proof litre to ₹1.5 per proof litre, raising the expected revenue from ₹16 crores to ₹24 crores.
To strengthen enforcement, the government plans to establish Excise Police Stations in the upcoming financial year. Furthermore, to streamline operations, the new policy introduces automatic approval of liquor brands via the e-Abkari portal, provided there is no increase in Ex-Distillery Price (EDP).
Formation of “Punjab Tirth Yatra Samiti”
Punjab Cabinet has approved the establishment of the Punjab Tirth Yatra Samiti to facilitate pilgrimages for Punjab residents via air, rail, road, or other transport modes under the Mukh Mantri Tirth Yatra Scheme. Launched in 2023-24, the scheme has already enabled around 34,000 pilgrims to visit various religious sites by train and bus. The committee will ensure the smooth and efficient execution of travel arrangements under the scheme.
PICTC Appointed as the Sole Provider of Digital Signatures
The Punjab Information & Communication Technology Corporation Ltd. (PICTC) has been designated as the exclusive provider of digital signatures for government departments and organizations. It will also handle the procurement of IT and ITeG services in accordance with the Punjab Transparency in Public Procurement Act, 2019. Additionally, the Cabinet has formalized the division of responsibilities between the Department of Good Governance and Information Technology (formerly the Department of Governance Reforms) and Punjab Infotech. These measures aim to enhance governance, improve procurement efficiency, and accelerate digital transformation.
Adoption of Water (Prevention and Control of Pollution) Amendment Act, 2024
Punjab Cabinet has approved the adoption of the Water (Prevention and Control of Pollution) Amendment Act, 2024, passed by the Indian Parliament and Rajasthan. This Act replaces criminal penalties with financial fines, allowing violations to be addressed through an Adjudicating Officer. Punjab has adopted these provisions to decriminalize minor offenses, promote trust-based governance, and improve ease of living and business operations.
Amendments to Punjab Registration of Births and Deaths Rules, 2025
To streamline the registration of births and deaths, the Cabinet has approved amendments to the Punjab Registration of Births and Deaths (Amendment) Rules, 2025. These changes align with the Registration of Births and Deaths (Amendment) Act, 2023, passed by the Central Government. Punjab has formulated its amendments based on the Model Registration of Births and Deaths (Amendment) Rules, 2024, ensuring uniformity and simplifying the process for the public.
Approval of Punjab State Commission for NRI’s Annual Administrative Report
Punjab Cabinet has given its consent to the Annual Administrative Report and Audit Report of the Punjab State Commission for NRIs for the year 2022-23.
Creation of OSD (Litigation) Post
Punjab Cabinet has approved the creation of a temporary Officer on Special Duty (Litigation) post within the Department of Personnel.