The lease for the Shanan Hydropower Project located in Himachal Pradesh is set to expire this month after 99 years.
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NEW DELHI: Yesterday (1 March), the Punjab government took a decisive step by petitioning the Supreme Court for an urgent hearing regarding its dispute with the Himachal Pradesh government over the control of the Shanan Hydropower Project. This move comes as the 99-year lease for the project, situated in Himachal Pradesh, is set to expire this month. Chief Justice of India DY Chandrachud, leading the bench, responded affirmatively to advocate Shadan Farasat’s request for an expedited consideration of Punjab’s plea.
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Farasat emphasized the critical nature of the situation, highlighting that the imminent expiration of the 99-year lease posed a risk of the Himachal Pradesh government assuming control of the Shanan Hydropower Project. The project, dating back to the British era and situated at Jogindernagar, approximately 40 km from Palampur in Himachal Pradesh, was established in 1925 through a lease agreement between Raja Joginder Sen of the then Mandi state and Col BC Batty, representing the British administration.
Initially serving undivided Punjab, Lahore, and Delhi before India’s Independence, the Shanan hydropower project is reported to be in a state of disrepair, allegedly due to the Punjab government’s cessation of maintenance efforts. To address this contentious issue, the Punjab government has initiated legal action by filing an original suit against both the Himachal Pradesh government and the central government under Article 131 of the Constitution. This article pertains to the Supreme Court’s original jurisdiction in disputes involving the central government and one or more states, or conflicts between two or more states.
Asserting its rightful ownership and lawful possession of the Shanan Power House Project and its Extension Project, along with all associated assets currently under the jurisdiction of the Punjab State Power Corporation Ltd (PSPCL), the Punjab government seeks a “permanent Prohibitory Injunction.” This injunction aims to prevent the Himachal Pradesh government from interfering with the Punjab government’s peaceful possession and operational control over the project.
Additionally, the Punjab government pressed the apex court to issue a “mandatory injunction,” compelling the Himachal Pradesh government to refrain from assigning any officer or team of officers to assume control over the management and operations of the project.
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Chief Minister Sukhvinder Singh Sukhu, during a recent visit to Delhi, addressed this issue with the central government, emphasizing the urgent need for the project’s transfer to Himachal Pradesh before its condition deteriorated further.
Sukhu argued that since the Shanan Power House is located within Himachal Pradesh’s territory, the state rightfully holds authority over the project. He pointed out that following the state’s reorganization in 1966, Himachal Pradesh faced injustice when the project was allocated to Punjab, despite Himachal Pradesh being a Union Territory at the time.
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