UGC refereed journal list have every journal indexed in Web of Science, Scopus and Indian Citation Index. Besides that UGC earlier was accepting recommendations from universities based on which UGC were including journals in UGC refereed list. But many ill activities happened like many fake and predatory journals were falsely recommended by Universities. So UGC again updated that list and excluded more that 4000 journals. Currently there is a process of review which UGC follows based on some criterias. Recently UGC have formed Consortium of Academic and Research Ethics (CARE), a high level committee for forming a central list of quality journals that may replace the UGC refereed list in future.
If you wish to select a journal for publication read this interesting blog post regarding how to choose a journal.