SC notice to Himachal as Punjab seeks permanent injunction against takeover of Shanan project after expiry of lease
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TNR Desk
The Supreme Court has directed the Himachal Pradesh government and the Centre to respond within three months to the Punjab government’s lawsuit against the Himachal’s move to assume control of the Shanan hydropower project from Punjab upon the expiry of a 99-year lease.
The Shanan project, dating back to the British era, is situated at Jogindernagar, about 40 km from Palampur in Himachal Pradesh. Constructed in 1925 under a lease between Raja Joginder Sen, the ruler of the then Mandi state, and Col BC Batty, a British representative, the project historically supplied power to undivided Punjab, Lahore and Delhi before Independence.
The Punjab government allegedly halted repair and maintenance works, resulting in the project falling into disrepair. The Punjab government has sought an urgent hearing of its case against the Himachal government’s attempt to assume control of the project following the lease’s expiration on March 1.
A Bench led by Justice AS Oka has instructed the defendants, Himachal government and the Centre, to submit their written statements, scheduling further directions for July 29. The Bench had previously issued summons to the defendants on March 4 in response to Punjab’s lawsuit.
Upon the lease’s expiration on March 1, the Centre had instructed both states to maintain the status quo. In its plea, the Punjab government has filed an original suit under Article 131 of the Constitution, which pertains to the Supreme Court’s original jurisdiction in disputes involving the Centre and one or more states, or disputes between two or more states.
Asserting its ownership and lawful possession of the Shanan project, along with its extension project and associated assets, currently under the control of the Punjab government through the Punjab State Power Corporation Ltd (PSPCL), the Punjab government has sought a permanent injunction preventing the Himachal government from disturbing its lawful and peaceful possession and smooth operation of the project.
