Shimla, Jun 7 (IANS): Himachal Pradesh Urban Development Minister Suresh Bhardwaj said on Monday that Prime Minister Narendra Modi's announcement of providing free vaccine doses to the states will save Himachal over Rs 500 crore.

In televised address to the nation on Monday, the Prime Minister said the Central government would provide Covid-19 vaccines free of cost to everybody above the age of 18 years starting June 21. As per the earlier policy, the Centre gave free vaccines to the elderly people and frontline workers, leaving the state governments and private hospitals to administer doses to the people in the 18-45 age group against a fee.

In a statement issued here, Bhardwaj said, "Not only Rs 500 crore, but the expenditure the state would have incurred on vaccination programme in the future will also be saved."

Bhardwaj also hailed the decision to extend the Garib Kalyan Yojana till Diwali.

"The Prime Minister made two big announcements. First, all the states will now be given free vaccines by the Centre from June 21 for people above 18 years. The vaccines will be given free of cost to the state government by procuring 75 per cent of the total production from the manufacturers," he said.

Secondly, 80 crore poor people of the country will be given free ration till November, i.e., Diwali, the minister said referring to the second announcement made by the Prime Minister.