Cabinet unveils sweeping reform agenda, approves Rs 7,834-crore investment plan

Itanagar, Jul 17: The Arunachal Pradesh Cabinet, chaired by Chief Minister Pema Khandu, on Friday approved a comprehensive package of reforms and flagship initiatives aimed at accelerating infrastructure development, improving healthcare, boosting employment and skills, strengthening governance, and enhancing the ease of doing business in the state.
The Cabinet approved a cumulative investment of Rs 7,834 crore for the implementation of four flagship schemes during 2026-29, describing it as one of the largest investments made by the Khandu government in recent years.
Of the total outlay, Rs 2,334 crore has been earmarked for Phase II of the Chief Minister's Comprehensive State Road Development Plan to improve roads in district headquarters, ADC/SDO headquarters and the Capital Complex. The Cabinet also directed departments to complete the remaining projects under Phase I by March 2027.
Another Rs 2,000 crore was approved for the Chief Minister's Comprehensive State Rural Road Development Programme to provide all-weather road connectivity to habitations not covered under PMGSY.
The Cabinet also sanctioned Rs 2,000 crore under the Chief Minister's Comprehensive State Power Development Programme for upgrading and modernising the state's power infrastructure, with the objective of reducing Aggregate Technical and Commercial (AT&C) losses to 18 per cent by March 2029.
To further strengthen the education sector, the Cabinet approved Rs 1,500 crore for Phase II of Mission Shikshit Arunachal (2026-29). The programme will focus on bridging infrastructure gaps in schools, enhancing teacher training, strengthening the Arunachal Vidya Nidhi (AVN) digital platform and improving learning outcomes. The Cabinet noted that Rs 3,112.5 crore had already been invested under Phase I during 2023-26.
Human capital, MSMEs and employment
The Cabinet launched the Arunachal Human Capital and Economic Transformation Vision 2036, which aims to create a future-ready workforce by skilling one lakh youth, creating 10,000 entrepreneurs, facilitating 10,000 apprenticeships and overseas placements, establishing 100 industry partnerships and upgrading all 10 ITIs into Centres of Excellence.
It also approved the ARUN MSME Mission, which will support the revival and expansion of 500 MSMEs annually through financial assistance, market linkages, capacity building and export promotion.
In a major employment initiative, the Cabinet approved 20 per cent reservation for retired Agniveers from Arunachal Pradesh in constabulary and equivalent posts in the Arunachal Pradesh Police, Arunachal Armed Police Battalion, India Reserve Battalion, Fire and Emergency Services, Mineral Guards, Forest Guards, Special Tiger Protection Force, Forester and Prison Warden posts. Vacancies remaining unfilled under the quota will be filled from the normal APST category.
The Cabinet also approved the Chief Minister's Frontier Sainik School Scholarship Scheme to support Arunachali students studying in notified Sainik Schools and Rashtriya Indian Military College, Dehradun. It further approved an Indian Army-led mentorship programme to prepare students for admission to Sainik and Military Schools and future careers as Armed Forces officers.
Agriculture, governance and business reforms
To promote beekeeping, the Cabinet approved the Arunachal Pradesh Apiculture and Honey Policy, 2026, aimed at making the state a leading honey producer in the Northeast while enhancing farmers' and women's SHG incomes.
The Cabinet also rolled out the AI-powered E-HRMS 2.0 (Manav Sampada) platform to digitise the entire government employee lifecycle from recruitment to retirement.
In a significant ease-of-doing-business reform, the Cabinet approved the Non-applicability of Trade Licence (for Statutory Licence Holders) Notification, 2026, exempting businesses already holding statutory licences under specified Central and State laws from obtaining separate trade licences. It also exempted 56 categories of businesses from trade licence requirements.
The Cabinet recommended amendments to the Arunachal Pradesh Fire and Emergency Services Act to simplify compliance and reduce the regulatory burden in line with the Centre's deregulation initiative.
It also approved amendments to the APSSB Rules, 2018, increasing the waitlist from 10 per cent to 20 per cent of vacancies or up to five candidates, whichever is higher, and extending its validity from six months to one year.
Healthcare initiatives
The Cabinet unveiled CM CARES (Chief Minister's Comprehensive Action for Resilient, Equitable and Healthy State) as an umbrella healthcare initiative to improve access to quality medical services and strengthen social protection.
Under the programme, financial assistance for kidney, liver and bone marrow transplants under CMAAY has been enhanced by Rs 2.5 lakh each, while coverage has also been extended to cochlear implants and corneal transplants.
The initiative will further strengthen existing programmes, including CM Organ Transplant Services, CM HELPS, CM Free Chemotherapy Services and social security schemes, besides establishing patient guest houses and referral support systems.
The Cabinet also launched Mission SURAKSHA (State Unified Response Against Drugs, Substance Harm and Addiction), a mission-mode programme integrating prevention, treatment, rehabilitation and enforcement to tackle substance abuse through coordinated action involving government departments, civil society and community organisations.
To improve healthcare delivery, the Cabinet approved the launch of Ayushman Aarogya Shivir, a 30-day statewide integrated health campaign focusing on tuberculosis elimination, maternal and child healthcare, immunisation, non-communicable diseases, mental health, elderly care, nutrition, AYUSH services and Ayushman Bharat enrolment.
The Cabinet urged elected representatives to support the TB Mukt Arunachal Pradesh campaign by adopting TB patients under the Ni-kshay Mitra initiative.
Other key decisions
The Cabinet also approved: Establishment of six new fire stations at Nyapin, Dambuk, Nari, Kaying, Jairampur and Menchuka; a Common Examination Scheme for direct recruitment to Group A and Group B technical posts through the Arunachal Pradesh Public Service Commission; enactment of the Arunachal Pradesh Advocates Protection Bill, 2026, the first legislation in the state to safeguard advocates; Service Rules for the State Legal Services Authority and related institutions; creation of 36 Assistant Sub-Inspector (ASI) posts in the 1st and 2nd Arunachal Armed Police Battalions; and grant of special grade designations to personnel in the prison and correctional administration.
The Cabinet said the decisions collectively aim to build a modern, self-reliant and citizen-centric Arunachal Pradesh by strengthening infrastructure, governance, healthcare, education, employment and economic growth. (Source: EoA)
