Yash Pal's administrative assignments at the government-level and beyond began with his appointment as the Secretary General of the Second United Nations Conference on Peaceful Uses of Outer Space (1981–82). He held the posts of Chief Consultant, Planning Commission (1983–84) and Secretary, Department of Science and Technology (1984–1986), after which he was appointed chairman, University Grants Commission (UGC) (1986–91). During his tenure as UGC chairman, he advocated the setting up of Inter-University Centres funded by the UGC, on the model of the Nuclear Science Centre (now Inter-University Accelerator Centre), New Delhi. Institutions such as the Inter-University Centre for Astronomy and Astrophysics (IUCAA) emerged from this vision.