Uttarakhand to Levy Green Tax

• 27 Oct 2025

Why in News?

The Uttarakhand government will begin collecting a Green Tax from vehicles entering the state from other states starting December 2025.

Key Points

• Objective: The decision aims to control vehicular pollution, protect the fragile Himalayan ecosystem, and promote environmental cleanliness across the state.
• System and Technology: The automated tax collection system will use Automatic Number Plate Recognition (ANPR) cameras installed at the state’s entry points to capture the registration numbers of incoming vehicles.
• The captured data will be transmitted to the National Payments Corporation of India (NPCI) database, where, after verification, the applicable tax amount will be automatically deducted from the vehicle owner’s payment wallet and credited to the transport department’s account.
• Exemption: Vehicles registered in Uttarakhand, government, electric and CNG vehicles, ambulances, fire brigade trucks, and two-wheelers will be exempt from the green tax, while vehicles re-entering the state within 24 hours will also not be charged again.

Green Tax

• "Green tax" is a financial levy imposed by governments on vehicles or sources that contribute to environmental pollution, particularly air pollution from vehicular emissions.
• The tax serves both as a deterrent to excessive polluting vehicle use and as a revenue source for ecological initiatives.