New Delhi: The Supreme Court on Monday settled a decades-old dispute between Punjab, Haryana and Himachal Pradesh over outstanding power dues from Bhakra Beas Management Board (BBMB) projects dating back to 1966.
A bench comprising Chief Justice Surya Kant and Justices Joymalya Bagchi and V. Mohana approved the Centre’s proposal for Punjab and Haryana to settle their electricity dues to Himachal Pradesh through a cashless arrangement, with payments made in the form of electricity.
The court said the arrangement would be in accordance with its 2011 judgment, which granted Himachal Pradesh a 7.19% share in power generated by the Bhakra-Nangal and Beas hydropower projects from 1966 onwards.
Under the approved arrangement, Punjab and Haryana will provide Himachal Pradesh with 11,973 million units (MU) of electricity over a period of 20 years.
Punjab had initially opposed the Centre’s proposal to settle the dues over 15 years, later seeking a 30-year payment period. Himachal Pradesh, meanwhile, had sought implementation within 10 years.
The settlement also includes an adjustment of ₹420 crore towards historical capital costs incurred in the construction of the dams. Under the arrangement, Himachal Pradesh will not have to pay any amount to Punjab or Haryana.
The Central Electricity Authority (CEA) had initially assessed Himachal Pradesh’s entitlement at 13,066 million units.
Under the Supreme Court’s 2011 judgment, the power-sharing proportions were fixed at 7.19% for Himachal Pradesh, 51.80% for Punjab and 37.51% for Haryana. Rajasthan’s share remained largely unaffected, while Chandigarh’s share was fixed at 3.50%.
The judgment had entitled Himachal Pradesh to a share in the Bhakra project from November 1, 1966, the Dehar project from November 1977 and the Pong Dam project from January 1978.
