The award carries Rs one lakh in cash, a shawl and a citation.
Speaking on the occasion, Chief Minister Bhupinder Singh Hooda said the initiative would also infuse a sense of responsibility and discipline among other legislators and would also encourage them to perform better by raising various issues concerning the welfare of the people.
Hooda said that the aim of democratic system was to discuss public issues, form policies and programmes for the benefit of people and enact laws with the consent of all the parties, thus strengthening the democratic system of the country.
"A successful legislator is the one who has thorough knowledge of all issues," Hooda said.