States Weekly Newsletter: May 20, 2026

Big News: Chhattisgarh implements the Chhattisgarh Urban Gas Distribution Policy 2026; Punjab introduces its Farm Stay Policy 2026; Bihar notifies the Bihar Industrial Area Development Authority (BIADA) Land Allotment and Management Policy 2026; Goa releases draft Goa Occupational Safety, Health and Working Conditions (Labor) Rules 2026; Bihar, Karnataka, Tamil Nadu and Odisha increase Dearness Allowances; and more.

Health 

Nothing critical to report this week.

Climate Change and Energy

Andhra Pradesh releases draft Fifth Amendment to the APERC (Licensees’ duty for supply of Electricity on Request and Recovery of Expenses for Providing Electric Line or Electrical Plant) Regulation, 2013. The regulations, released by the Andhra Pradesh Electricity Regulatory Commission (APERC) aim to bring more clarity and transparency to electricity connection charges and seeks to remove confusion faced by consumers and developers regarding service connection costs, especially in residential buildings.

Source: Solar Quarter

In detail: Draft Fifth Amendment to the APERC (Licensees’ duty for supply of Electricity on Request and Recovery of Expenses for Providing Electric Line or Electrical Plant) Regulation, 2013 (Regulation No. 4 of 2013)

Bihar releases draft Standard of Performance of Distribution Licensees (SOP) Regulations, 2026. The regulations, issued by the Bihar Electricity Regulatory Commission (BERC) aim to strengthen consumer rights by introducing stricter service standards, automatic compensation mechanisms, and improved complaint-handling systems for electricity consumers in Bihar.

Source: Solar Quarter

In detail: Standard of Performance of Distribution Licensees (SOP) Regulations, 2026

Gujarat releases draft GERC (Grid Interactive Battery Energy Storage System) Regulations, 2026. The regulations issued by the Gujarat Electricity Regulatory Commission (GERC) formally recognize battery storage as generation-linked, transmission-linked, distribution-linked, and standalone grid assets. The new framework also allows standalone BESS developers to independently participate in energy markets, ancillary services, and bilateral contracts.

Source: Economic Times

In detail: Draft Gujarat Electricity Regulatory Commission (Grid Interactive Battery Energy Storage System) Regulations, 2026

Rajasthan introduces RERC (Renewable Purchase Obligation) (First Amendment) Regulations, 2026. The regulations, issued by the Rajasthan Electricity Regulatory Commission (RERC) introduce new renewable energy compliance requirements, distributed renewable energy targets, and align the state rules with the Union government’s renewable consumption obligation (RCO) framework.

Source: Mercom

In detail: RERC (Renewable Purchase Obligation) (First Amendment) Regulations, 2026

Chhattisgarh implements the Chhattisgarh Urban Gas Distribution Policy 2026. The policy aims to expand Piped Natural Gas (PNG) connections to households and Compressed Natural Gas (CNG) infrastructure for vehicles across the state. Under the new policy, the approval process for gas companies has been simplified, and rules have been framed regarding private land use, road excavation, safety measures, compensation, and monitoring.

Source: Bhaskar English

In detail: Cabinet decisions

Uttarakhand releases UERC (Framework for Resource Adequacy) Regulations, 2026. The regulations issued by the Uttarakhand Electricity Regulatory Commission (UERC) are designed to help the state maintain a balanced and dependable power system by planning electricity generation resources in advance according to future demand. 

Source: Solar Quarter

In detail: UERC (Framework for Resource Adequacy) Regulations, 2026

Tamil Nadu approves a scheme offering 200 units of free electricity to domestic consumers. The initiative aims to easing household financial burdens.

Source: Deshabhimani

In detail: Press release (in Tamil)

Madhya Pradesh orders that all future long-term and medium-term power purchase agreements (PPAs) and power supply agreements (PSAs) require prior approval from the State Cabinet before implementation. The decision, taken by the Madhya Pradesh Power Management Company Limited (MPPMCL) aims to increase transparency and accountability in the energy sector.

Source: Economic Times

In detail: Press Release

Finance

Nothing critical to report this week.

Industrial Policy and Business Regulations  

Punjab introduces its Farm Stay Policy, 2026. The new policy aims to create new income opportunities for farmers by promoting rural tourism and allowing agricultural landowners to develop regulated farm-based accommodation facilities for visitors. It also permits farmers to set up small-scale homestay units on their farmland where tourists can experience village life, local culture, and agricultural activities.

Source: The Statesman

In detail: Farm Stay Policy 2026

Karnataka implements its Alcohol in Beverage (AiB) Policy for Beers and Spirits and announces a reduction of at least 20–25 per cent in the prices of mild and lager beers, effective May 11. Karnataka has replaced its decades-old bulk liter-based system with a new model that calculates pricing based on the percentage of alcohol in beverages.

Source: Mint

In detail: Karnataka Excise (Excise Duties and Fees) (Amendment) Rules, 2026

Land Acquisition and Labor Regulations  

Bihar notifies the Bihar Industrial Area Development Authority (BIADA) Land Allotment and Management Policy, 2026. The new policy offers a more streamlined, transparent system designed to speed up project setup. BIADA will now handle all plots and shed allotments exclusively through an online portal where available land is listed publicly.

Source: Hindustan Times

In detail: BIADA Land Allotment and Management Policy 2026

Karnataka announces a fresh 100-day window, beginning June 15, to regulate illegal properties at half the earlier cost. The decision applies to built-up properties covered under Clause 38D of Bangalore Development Authority (BDA) regulations: unauthorized buildings constructed before 2008 on notified BDA-acquired land and having civic amenities such as electricity and water connections.

Source: Times of India

Goa releases draft Goa Occupational Safety, Health and Working Conditions (Labor) Rules, 2026. Under the draft framework, establishments across the state will be required to shift to mandatory online registration, with applications deemed approved if authorities fail to process them within seven days.

Source: Goemkarponn

In detail: Goa Occupational Safety, Health and Working Conditions (Labour) Rules, 2026

Infrastructure and Governance

Bihar approves the Bihar Electric Vehicle (Amendment) Policy, 2026. The policy offers a $1,190 (INR 1 lakh) subsidy on electric four-wheelers purchased by women.

Source: Hindustan Times

In detail: Cabinet decisions

Bihar approves a two percent increase in Dearness Allowance (DA) for government employees and pensioners, effective from January 1, 2026. For employees under the 5th Central Pay Commission, the allowance has been increased by 9 percent, from 474 percent to 483 percent, while under the 7th Central Pay Commission, it has been raised from 58 percent to 60 percent.

Source: Hindustan Times

In detail: Cabinet decisions

Karnataka increases Dearness Allowance (DA) from 14.25 per cent to 15.75 per cent of basic pay for government employees and pensioners. The revised allowance is effective as of January 1, 2026.

Source: Hrkatha

In detail: Release

Maharashtra imposes new rules for government jobs. For reserved category candidates, those who opt for government relaxations in age, educational qualification, experience or number of attempts during competitive examinations will no longer be eligible to claim selection under the open category.

Source: Indian Express

Maharashtra mandates the use of Marathi in hearings as well as in all orders passed by authorities in quasi-judicial proceedings in the Revenue Department.

Source: Times of India

In detail: Government resolution

Tamil Nadu announces a 2 percent increase in Dearness Allowance (DA) for State government employees and teachers with retrospective effect from January 1, 2026.

Source: The Hindu

In detail: Government order

Arunachal Pradesh approves a set of measures to strengthen the Inner-Line Permit (ILP) System. The ILP is a mandatory travel document for Indians who are not permanent residents of Arunachal Pradesh and must be presented upon travel to Arunachal Pradesh.

Source: Swarajyamag

Odisha announces a 2 percent hike in Dearness Allowance (DA). With the latest revision, the DA for government employees has increased from 58% to 60%. It will be implemented retrospectively from January 1, 2026.

Source: Odisha TV

In detail: Notification

Tripura amends the Tripura State Civil Services (Leave) Rules, 1986. The amendment introduces a new mechanism regarding advance credit of earned leave for employees whose leave balance is nearing the maximum permissible limit of 300 days.

Source: Tripura Info

In detail: Notification

Water and Sanitation

Nothing critical to report this week.

Center – State Relations   

Nothing critical to report this week.

Any Other

Andhra Pradesh announces a cash incentive of $312.33 (INR 30,000) and $416.44 (INR 40,000) for families considering a third and fourth child, respectively.

Source: Telangana Today