TAG: GS 2: POLITY
THE CONTEXT: The Shanan hydel project, located in Mandi, has become the center of a dispute between Punjab and Himachal Pradesh, both staking claims over the 110-MW hydropower project.
EXPLANATION:
- The historical context, the expiry of a 99-year lease, and competing assertions have led to legal actions and intervention by the central government, creating a complex situation.
Historical Lease Agreement
- The British-era 110-MW hydel project, 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, a British representative and Chief Engineer of Punjab.
- The 99-year-old lease came to an end on March 2.
- In the past few years, Himachal has contended that the project should stay with it once the lease ends.
- State Chief Minister had stated they would not allow Punjab to stake claim on the project after the lease period.
- He had written to his Punjab counterpart Bhagwant Mann last year and also taken up the issue with the Union ministry of power.
Competing Claims and Legal Context
- Post-Partition Scenario: After partition, the supply of power from the Shanan project to Lahore was discontinued, and the transmission line was halted at Verka village in Amritsar.
- Reorganization of States (1966): During the reorganization of states in 1966, the hydel project was allocated to Punjab, as Himachal Pradesh was then a Union Territory. A central notification in 1967 affirmed Punjab’s legal control under the Punjab Reorganisation Act, 1966.
- Himachal’s Contentions: Himachal Pradesh, in recent years, contends that the Shanan project should revert to its control after the expiry of the lease. Chief Minister Sukhvinder Sukhu has expressed the state’s firm stance against Punjab claiming the project post-lease.
Allegations and Counter-Claims
- Poor Condition Allegations: Himachal Pradesh alleges that the Shanan project is in poor condition due to Punjab’s purported lack of repair and maintenance efforts. This claim adds an environmental and infrastructure dimension to the dispute.
- Punjab’s SC Plea: Punjab, in response, has moved the Supreme Court, asserting ownership and lawful possession of the Shanan Power House Project. The state argues that the assets are under the control of the Punjab State Power Corporation Ltd (PSPCL).
- SC Plea Details: Punjab’s plea seeks a “permanent Prohibitory Injunction” against Himachal Pradesh, restraining interference with the lawful possession and functioning of the project. The Centre is also made a party in the legal proceedings.
Central Government’s Intervention
- In response to the escalating dispute, the central government, a day before the lease expiration, issued an order directing both Himachal Pradesh and Punjab to maintain status quo regarding the functioning of the Shanan Power House.
- This order, an interim measure, is aimed at ensuring the uninterrupted operation of the 110 MW project until a final decision is reached.
- The order invokes Sections 67 and 96 of the Punjab Reorganization Act, 1966, along with Section 21 of the General Clause Act, 1887, emphasizing that the maintenance of status quo is in the public interest.
Shanan hydropower project:
- The Shanan hydropower project in the Mandi district of Himachal Pradesh is one of the oldest and most important hydroelectric projects in India. It was built by the British in 1925.
- The project harnesses the power of the Uhl River, a tributary of the Beas River, and generates 110 MW of electricity.
- The project consists of a dam, a powerhouse, a reservoir and a network of canals and tunnels. The project is also a source of irrigation and drinking water for the surrounding areas.
- The project was leased to the Punjab Government for 99 years by Raja Joginder Singh Bahadur, the then-ruler of Mandi state.
- The lease agreement will expire in March 2024, and both Himachal Pradesh and Punjab are claiming their rights over the project.
