States In Motion: What’s Happening In Indian States
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July 2026 -
Volume II -
15 min read
Publication Team
Executive Summary
This issue of States In Motion tracks major state and Union Territory policy decisions between 16th July and 31st July 2026. The fortnight was marked by reforms in transport decarbonisation, digital governance, legal uniformity, higher education regulation, urban planning, startup support, green manufacturing, housing, health, education and infrastructure. The issue highlights how states are increasingly using targeted legislation, policy incentives and digital systems to improve public service delivery, attract investment and strengthen welfare outcomes.
Across the issue, the state-level agenda combines regulatory reform with sector-specific policy interventions. Delhi’s PARIVARTAN programme uses incentives to replace older commercial vehicles, Madhya Pradesh’s UCC Bill introduces a uniform civil-law framework, Bihar strengthens regulation around gambling, Kerala advances administrative digitisation, and Maharashtra moves on bioplastics, clinical regulation, urban finance and hospital ratings. The issue also covers social-sector initiatives such as Telangana’s urban housing scheme, Gujarat’s dropout re-enrolment campaign, and Sikkim’s CM-SAATHI initiative.
Key Developments
- Delhi launched PARIVARTAN to replace BS-IV and older commercial vehicles with BS-VI and electric vehicles through purchase incentives, OEM discounts, interest subvention and tax benefits.
- Kerala approved administrative and digital governance reforms, including SAMPATH asset tracking, PlanSpace 2.0 GIS monitoring and an audit of state-funded entities.
- Madhya Pradesh passed the Uniform Civil Code Bill, 2026, covering marriage, divorce, inheritance, succession and registration of live-in relationships.
- Bihar passed the Gambling (Prohibition) Bill, 2026 to prohibit physical, online, electronic, digital and virtual gambling activities through a graded penalty framework.
- Assam passed the State Higher Education Council Bill, 2026 to create an apex statutory body aligned with NEP 2020 and improve higher education governance.
- Maharashtra approved the Bioplastics Policy, 2026 to build a green manufacturing hub and attract ₹25,000 crore in investment.
- Delhi approved the Start-Up and Incubation Policy, 2026, allocating ₹400 crore over five years and providing seed funding for student-led ventures.
- Haryana introduced policies for industrial regularisation and MSME/export promotion to support formalisation and industrial growth.
- Meghalaya approved its EV Policy, 2026 with purchase incentives and registration-fee waivers to support clean mobility in hill regions.
- Telangana launched the Indiramma Indlu urban housing initiative within Hyderabad’s Core Urban Region for low-income families.
- Gujarat launched the Samras Vidya Setu Mega Campaign to re-enrol out-of-school children and reduce dropouts.
- Madhya Pradesh and the Department of Telecommunications signed an MoU to establish India’s first dedicated Telecom Manufacturing Zone in Gwalior.
- Arunachal Pradesh approved a 2026–2029 infrastructure and governance transformation package with a capital outlay of ₹7,834 crore.
- Chhattisgarh approved civil services reservation rules for former Agniveer soldiers in Class-III state service posts.
Key Takeaways
- State governments are increasingly linking governance reforms with digital platforms, real-time monitoring and statutory service-delivery guarantees.
- Clean mobility and green manufacturing emerged as strong state-level priorities through PARIVARTAN, EV policies and Maharashtra’s bioplastics push.
- Social protection and inclusion remained important through housing, school re-enrolment, women’s mobility, farmer debt relief and health-sector schemes.
- Industrial strategy at the state level is becoming more specialised, with investments in telecom manufacturing, shipbuilding, bioplastics, data centres and export-oriented sectors.
- The issue reflects competitive federalism in action, where states are building distinct policy models while addressing common challenges of investment, welfare delivery, regulatory reform and institutional modernisation.
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