Planning A Trip To Uttarakhand? Here’s What You Need To Know About The New Green Tax

If you are planning a road trip to Uttarakhand later this year, you might have to pay a little extra at the state border. The Uttarakhand government has announced a ‘Green Tax’ that will be applicable to all non-local vehicles entering the state. The move, aimed at protecting the fragile Himalayan environment and reducing pollution, will come into effect from December 2025.

What Is Green Tax?

Green tax, also known as an environmental or eco-tax, is a levy imposed on vehicles to help reduce pollution and fund environmental protection measures. In Uttarakhand, the tax will apply to all vehicles entering from outside the state, with the amount varying according to the vehicle’s type and weight. The revenue collected will be used to support initiatives related to pollution control, waste management, and cleanliness across the hill state.

Who Will Have to Pay the Green Tax?

According to the state government, all outstation vehicles will be subject to this new tax, while Uttarakhand-registered, government, and two-wheeler vehicles will be exempt. The rates announced vary by category:

• ₹80 for small cars
  
  
• ₹250 for small cargo vehicles

₹140 for buses

₹120 to ₹700 for trucks, depending on their weight

The collection will be automated through Automatic Number Plate Recognition (ANPR) cameras, which will detect vehicles entering from other states.

How Will the Tax Be Collected?

In a major technological upgrade, Uttarakhand has expanded its network of ANPR cameras from 16 to 37 across key entry points. These cameras will capture vehicle registration details, and the system will automatically identify outstation vehicles. Once identified, the applicable tax will be deducted digitally from the vehicle owner’s account via the National Payments Corporation of India (NPCI) system. The collected funds will then be transferred to the state transport department’s account.

Why Has Uttarakhand Introduced This Tax?

The primary goal behind the introduction of the green tax is to control pollution, preserve the natural environment, and promote cleanliness within the state. Uttarakhand, being a popular tourist destination with fragile mountain ecosystems, faces increasing environmental stress due to the rising number of vehicles entering its borders. The government believes that this initiative will help generate funds to maintain the ecological balance and manage the waste produced during peak tourist seasons.

Is Green Tax the Same as Toll Tax?

While the two are often confused, green tax and toll tax serve different purposes. Toll tax is collected to maintain and develop roads and highways, ensuring better infrastructure for commuters. Green tax, on the other hand, is aimed at environmental protection—it discourages excessive vehicular movement and funds eco-friendly initiatives to reduce pollution levels.

Other States with Green Tax Policies

Uttarakhand joins the list of several Indian states that have implemented green taxes. States such as Maharashtra, Karnataka, Himachal Pradesh, Rajasthan, Madhya Pradesh, Jharkhand, Delhi, Tamil Nadu, and Telangana have similar systems in place. However, while most of these states impose the tax on older vehicles that emit higher levels of pollutants, Uttarakhand’s approach is unique—it applies to all non-local vehicles, regardless of their age or fuel type.

Environmental and Economic Impact

The decision is expected to encourage tourists and transporters to consider eco-friendly options like shared transport or public vehicles when travelling to Uttarakhand. While some travellers may find it an additional expense, experts believe the tax will significantly aid the state’s environmental conservation efforts. The funds collected will help in roadside cleanliness drives, waste segregation systems, and pollution monitoring initiatives.

With rising concerns over climate change and environmental degradation, Uttarakhand’s decision to introduce a green tax aligns with its long-term vision of promoting sustainable tourism. As one of India’s most visited hill destinations, balancing development and environmental responsibility is crucial. The initiative sends a clear message that protecting nature is as important as welcoming visitors.