Himachal Government to Contest High Court’s Himachal Bhawan Attachment Order: CM Sukhu
The Himachal Pradesh High Court’s order to attach Himachal Bhawan in New Delhi has ignited a political controversy, with the ruling government and opposition trading accusations. The attachment was ordered after the state failed to refund ₹64 crore upfront premium paid by M/s Seli Hydro Electric Power Company for a 320 MW hydel project in Lahaul-Spiti, which the company deemed financially unviable.
Chief Minister Sukhvinder Singh Sukhu, addressing the media, asserted that his government would vigorously advocate the case to protect the state’s interests. Sukhu explained that the project was awarded in 2009 under a Power Policy that explicitly stated no refunds of upfront premiums would be made if a Detailed Project Report (DPR) declared the project unviable.
He elaborated that the then-energy policy required companies to pay ₹10 lakh per MW, but M/s Moser Baer Projects Private Limited secured the project by quoting ₹20 lakh per MW, depositing an upfront premium of ₹64 crore. Sukhu added, “I was involved in framing this policy as an MLA when Smt. Vidya Stokes was the Power Minister, and I am well aware of its provisions.”
A tripartite pre-implementation agreement was signed in March 2011 between the Himachal government, M/s Moser Baer, and M/s Seli Hydro Electric Power Company. The company surrendered the project in 2017, citing financial unviability, leading the government to cancel the allotment and forfeit the premium as per the policy.
Opposition Criticizes Government
Former Chief Minister Jairam Thakur accused the Sukhu government of mishandling the issue. In a statement, Thakur called the attachment order a blow to Himachal’s identity and criticized the government for failing to defend the case, despite having 70 legal officers. He remarked, “Himachal is making headlines for the wrong reasons, and citizens are deeply hurt by the court’s order. If this inefficiency continues, even the Vidhan Sabha and Secretariat might face similar fates.”
Thakur further criticized the ruling government’s legal team, claiming they failed to present a robust defense to prevent the attachment of Himachal Bhawan, a critical asset in Delhi.
The Legal Dispute
In 2017, the company petitioned the High Court, seeking a refund of the premium, arguing that the state failed to provide the necessary infrastructure for the project. The High Court’s verdict directed the state to refund ₹64 crore along with 7% interest and hold responsible officials accountable. The matter is set for review on December 6, 2024, as the state files a Special Leave Petition (SLP) to challenge the order.
CM Sukhu Questions BJP’s Role
Sukhu alleged that the BJP government’s inaction during their tenure left the state vulnerable to such setbacks. He also highlighted that the Adani case, which saved ₹280 crore for the state, showcased his government’s commitment to protecting public resources.
The CM rebuked Thakur’s criticism, pointing out that the BJP failed to act during their five years in power. He said, “The BJP government was busy distributing freebies worth ₹5,000 crore ahead of elections, neglecting the state’s interests and allowing administrative and legal lapses.”