The Punjab Cabinet has approved a direct subsidy of Rs 68.50 per quintal out of the State Agreed Price (SAP) fixed for sugarcane growers, strengthening Punjab's position as the state paying the highest sugarcane price in the country.

This decision was taken in the meeting of the Council of Ministers chaired by Chief Minister Bhagwant Mann, in which several important approvals related to healthcare reform, public fitness initiatives, and urban governance were also given, underlining a decisive, result-oriented policy by the government.

Punjab Cabinet Approves Direct Subsidy On Sugarcane

Disclosing the decisions taken by the Cabinet, the Chief Minister's Office stated that for the crushing season 2025-26, a subsidy of Rs 68.50 per quintal out of the fixed State Agreed Price will be paid directly to sugarcane farmers on behalf of private sugar mills.

Punjab already offers the highest State Agreed Price of Rs 416 per quintal for sugarcane in the country, marking an increase of Rs 15 from the previous year. This ensures that Punjab's sugarcane growers get the best compensation in the country, and the current decision will further strengthen income security for farmers.

Approval For Creation Of 1,000 Yoga Instructor Posts

As part of the Punjab government's continued focus on public health and wellness, the Cabinet also approved the creation of 1,000 additional posts for yoga instructors under the 'CM Di Yogshala' project. It was stated that a budgetary provision of Rs 35 crore would be made for this initiative during the financial year 2026-27, aimed at promoting a healthy and fit Punjab.

Efforts To Provide Better Treatment To People Of Punjab

In another significant decision to strengthen health services, the Cabinet approved the transfer of full Civil Hospitals in village Badal of Muktsar district, Khadoor Sahib of Tarn Taran district, Community Health Center Jalalabad, and the Tertiary Care Center of Fazilka district to Baba Farid University of Health Sciences (BFUHS), Faridkot.

The transfer will help residents of these areas access better treatment and diagnostic services by leveraging the university's advanced medical infrastructure and expertise.

Cabinet Flags Off Urban Governance Reforms

The Cabinet also approved the formulation and notification of directions under Section 4 of the Punjab Management and Transfer of Municipal Properties Act, 2020, to facilitate the transfer of municipal properties belonging to Punjab government departments, boards, corporations, and other public sector undertakings for public purposes.

This decision is expected to give new momentum to development projects across the state, ensure uniformity in land allotment, and prevent misuse of public land. A committee headed by the Deputy Commissioner of the concerned district will recommend the allotment process, subject to the approval of the state government.

Policies On 'Rasta-Khal' Usage Approved

To accelerate development through the utilization of land resources, the Cabinet approved a policy for the transfer by sale or exchange of abandoned and active paths or water courses located within all government-licensed projects inside municipal limits. This policy aims to unlock stalled development potential and improve urban planning outcomes.

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Time Period Extended For PAPRA Projects

The Cabinet also approved extending the time period for PAPRA (Punjab Affordable Property Registration Act) licensed projects by one year, from January 1, 2026, to December 31, 2026. The extension will be granted for a maximum period of three years at an extension fee of Rs 25,000 per acre per annum, and permission will be granted on the same terms and conditions applicable earlier by the concerned competent authorities.

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Approval For Amendment In Punjab Civil Services

Rules In another decision related to urban development, the Cabinet approved the formula used to calculate charges for Additional Floor Area Ratio for properties proposed for auction from January 2026. It also approved an amendment to Para 10.2 of the E-Auction Policy 2025 notified on February 20, 2025, whereby the revised provisions will apply to all categories of properties to be auctioned by development authorities in the future.

The Cabinet also approved the amendment to the Punjab Civil Services (General and Common Conditions of Service) Rules, 1994, by adding Rule 6A.