Shimla: Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu has sent a strong message to the Satluj Jal Vidyut Nigam Limited (SJVNL), stating that the state government is prepared to take over three key hydropower projects if the company does not comply with the state’s energy policy. The Chief Minister issued this ultimatum during a meeting in Shimla with Union Power and Housing & Urban Affairs Minister Manohar Lal.

At the heart of the issue is the state’s energy policy, which mandates a royalty structure of 12% for the first 12 years of a project, 18% for the following 18 years, and 30% for the next 10 years. While private companies operating in Himachal Pradesh adhere to this policy, CM Sukhu stressed that central public sector undertakings (PSUs) like SJVNL must also follow the same guidelines.

“If SJVNL is unwilling to align with our energy policy, the Himachal Pradesh government is ready to reclaim the 210 MW Luhri Phase-1, 382 MW Sunni, and 66 MW Dhaulasidh hydropower projects,” stated the Chief Minister. He assured that the state is ready to reimburse SJVNL for the expenses it has incurred on these projects so far. Moreover, he pointed out that SJVNL had commenced construction on these projects without signing an implementation agreement, making it imperative that Himachal Pradesh receives its rightful share of benefits from its water resources.

Union Minister Manohar Lal acknowledged the concerns raised by the Chief Minister and directed SJVNL to provide a final response on the matter by January 15, 2025.

Push for Return of Shanan Power Project; Outstanding Power Arrears from BBMB

In addition to the dispute over the royalty structure, CM Sukhu also pressed for the return of the 110 MW Shanan Power Project, currently under Punjab’s control, to Himachal Pradesh. He argued that Punjab’s lease on the project has expired and emphasized that the area where the Shanan Project is located was never part of the erstwhile Punjab. As a result, the Punjab Re-organization Act of 1966 does not apply, and the project should rightfully return to Himachal Pradesh along with its assets.

The Chief Minister also highlighted another significant concern: the long-pending issue of 13,066 million units of power arrears owed to Himachal Pradesh by the Bhakra Beas Management Board (BBMB) for the period between November 1996 and October 2011. Despite a Supreme Court ruling in favor of the state, these arrears have yet to be settled. CM Sukhu urged the Union Government to ensure that Himachal Pradesh receives its due share.

In response, Union Minister Manohar Lal assured that he would call for a joint meeting of all stakeholder states to resolve the issue and move toward a consensus.