Punjab-Himachal dispute over the Shanan hydropower project
Context:
- The Centre recently ordered that status quo be maintained on the Shanan hydropower project, over which Punjab and Himachal Pradesh have made competing claims.
- Punjab has also moved the Supreme Court over the issue.
About the Shahan hydropower project:
- The Shanan Hydropower Project, also known as Joginder Nagar Hydroelectric Power Station, is situated in India’s northern state of Himachal Pradesh.
- This was India’s first mega hydropower project, commissioned in 1932 during the British colonial period.
- It was initially created to meet the energy demands of the Bhakra Dam construction project.
- This hydropower project is located on the Uhl river, a tributary of the Beas river.
- The project involves a series of tunnels and pipelines, which divert the flow of the Uhl river to a powerhouse downstream.
- The vertical drop of the river, known as the ‘head’, is used to generate power. The project has a total capacity of 110 MW.
What is the issue?
- The British-era 110-MW hydel project which is situated at Jogindernagar in Mandi district, was leased to Punjab in 1925.
- The lease agreement was signed between the then ruler of Mandi, Raja Joginder Bahadur, and Col BC Batty who was a British representative and Chief Engineer of Punjab.
- The 99-year-old lease came to an end recently on March 2.
- In the last few years, Himachal has contended that the project should stay with it once the lease ends.
- State Chief Minister had also stated they would not allow Punjab to stake claim on the project after the lease period.
- He had written to his Punjab CM last year and also taken up the issue with the Union ministry of power.
What claims does Punjab have over the Shanan project?
- The project used to feed the undivided Punjab and Delhi before the Independence.
- After partition, supply to Lahore was discontinued and its transmission line was stopped at Verka village which is in Amritsar.
- During the reorganisation of states in 1966, the hydel project was given to Punjab because Himachal Pradesh was then a Union Territory.
- It was allocated to the state by a central notification which was issued on May 1, 1967 by the Union ministry of irrigation and power.
- The notification stated that Punjab’s legal control over the project was under the provisions of the Punjab Reorganisation Act, 1966 read along with the 1967 notification.
- The Himachal government has complained that the project is in a poor condition as Punjab is not repairing or maintaining it.
What did Punjab say in the SC plea?
- In its suit in the Supreme Court, Punjab has contended that it is the owner and is in lawful possession of the Shanan Power House Project, with all assets currently under formative control of the state government through the Punjab State Power Corporation Ltd (PSPCL).
- The Punjab government has sought a permanent Prohibitory Injunction restraining the Himachal Pradesh government from disturbing the lawful peaceful possession and smooth functioning of the project.
- The Punjab government has also made the Centre a party.
What has the Centre done?
- A day before the 99-year-old lease was to come to an end, the Centre recently ordered status quo on the project as an interim measure to keep the project working.
What do the orders mean?
- The orders by the Centre have clearly stated that the issuance of this order is entirely in the nature of the interim measure and shall not be treated as a basis of any claim or interest and parties are expected to proceed further on all matters concerning the settlement of the dispute in such manner as they may deem fit and within such legal framework as may be appropriate.
