Punjab Unveils Subsidy Policy to Tackle Stubble Burning

Punjab govt launched a policy to curb stubble burning by linking farmers with industry through subsidies

- TARUNI GANDHI

In a pioneering initiative aimed at resolving one of North India's most pressing environmental challenges, the Punjab Government has unveiled a first-of-its-kind subsidy policy that encourages both farmers and industries to consume paddy straw—one of the main contributors to stubble burning—responsibly. This development comes amid growing criticism of Punjab's alleged role in Delhi's recurring air pollution crisis.

The state has amended its Industrial and Business Development Policy 2022 to include capital subsidies for industries that adopt paddy straw-based boilers, while continuing to incentivize farmers with machinery and financial support to manage crop residue sustainably. By aligning the interests of agriculture and industry, Punjab aims to end a longstanding environmental issue that has repeatedly drawn national scrutiny.

Launching the scheme at Punjab Bhawan, Industry Minister Tarunpreet Singh Sond emphasized that this is the first time a policy simultaneously addresses both the root cause—stubble burning by farmers—and its long-term solution—industrial recycling of paddy straw. Approved in a Cabinet meeting on February 13 and notified on February 20, the scheme's operational guidelines were published on April 23, 2025.