Haryana’s power crisis ends as the government cancels a private license order following talks with employee unions. CM Nayab Singh Saini confirms that electricity privatization will not be permitted in the state.
Haryana Power Crisis Resolved
Haryana’s electricity crisis has been averted on Friday after Chief Minister Nayab Singh Saini and Power Minister Anil Vij held high-level discussions with employee unions, prompting workers to call off their statewide strike and immediately resume power supply. Speaking at a joint press conference following the talks, Chief Minister Saini announced that the state government has invoked Section 108 of the Electricity Act to direct the Haryana Electricity Regulatory Commission (HERC) to review and nullify a contentious order regarding private distribution licenses. Emphasising that the administration stands firmly with the workforce, Saini assured that no privatisation of the power sector will be permitted.
"...We have consistently maintained that we stand fully with the electricity employees’ union, and we reiterate that position today. It should be noted that the HERC (Haryana Electricity Regulatory Commission) is an independent agency operating under its own Act. Under this Act, it functions, offers suggestions, provides guidance, and issues directives. From time to time, we are also required to implement its orders and directives. Today, we have reached a decision. Exercising our authority under Section 108, the government has directed the HERC to review the matter and effectively cancel that provision," Saini said. He added, "All the office-bearers of the union are present here with us for this joint press conference following our discussions. The government has provided full assurances. They have stated that the strike is being called off. Our employees will now immediately resume their duties. Our position is absolutely firm; there will be no privatisation of any kind."
Government Stance on Privatization
Haryana electricity employees have called off their strike following talks with Chief Minister Nayab Singh Saini and Power Minister Anil Vij. The Joint Action Committee said electricity supply would be restored immediately. Detailing the background of the dispute, Power Minister Anil Vij clarified that the state government never invited applications for privatisation, noting that the move stemmed from provisions in the central Electricity Act allowing entities to approach regulators directly. Vij explained that both the government and the department unions opposed the regulator's decision from the outset, leading to a consensus on utilising statutory powers to halt the process.
"In Haryana, the HERC (Haryana Electricity Regulatory Commission) decided to grant a license to a private player. We, however, strongly opposed this before the regulator from the very first day. I also want to clarify that the government had not invited any applications from anyone. The central government’s Electricity Act contains a provision that allows any entity to submit an application to the regulator, proposing the privatisation of specific areas. From the moment this decision was announced, our electricity department employees opposed it firmly, and we, too, voiced our opposition from day one. Today, I consulted with key union leaders, and we reached a consensus that, under Section 108 of the Electricity Act, the government has the authority to issue directions to the HERC specifically to halt and annul the decision if it represents a deviation from established policy,” Vij said. He added, “We have agreed to this course of action; the Chief Minister and I have both signed the necessary letter and submitted it to the department, instructing them to take immediate action to halt this order. Consequently, we will also file an application seeking a review of this order under that provision. Today’s meeting took place in a very cordial atmosphere. I have scheduled a meeting for November 3rd at 3:00 PM. On that day, we will provide a detailed, point-by-point account of the progress made so far..."
Context of the Dispute
Meanwhile, Haryana electricity employees have called off their strike following talks with Chief Minister Nayab Singh Saini and Power Minister Anil Vij. The Joint Action Committee said electricity supply would be restored immediately. The employees have stated the Chief Minister had assured them that private players would not be allowed to enter the state’s power sector and that parallel power distribution licences would be revoked, and the next meeting is scheduled for November 3 to discuss pending issues. The statments comes following the Haryana's electricity employees and engineers have protesting against the entry of a private power distributor in Gurugram and Nuh.
Meanwhile, the dispute follows the Haryana Electricity Regulatory Commission's (HERC) decision to grant a 25-year parallel electricity distribution licence to Eleven Power Private Limited for Gurugram and Nuh districts. The order, dated October 19, allows a second distribution licensee to operate alongside the existing distributor, giving more than 8.3 lakh consumers, including households, farmers, shops, offices and industrial units, the option to choose their electricity supplier as the new network reaches their areas. The licence covers the Gurugram and Nuh revenue districts, including Gurugram City, Gurugram Sub-urban, Manesar, Sohna and Nuh. The network will be developed in phases over five years, with Nuh included in the first phase. The Commission's order marks the introduction of parallel electricity distribution in Haryana. Section 14 of the Electricity Act, 2003, permits more than one distribution licensee to operate in the same area. Existing consumers will not be required to take any immediate action, and the current distribution licensee will continue supplying electricity across the region. Consumers will have the option to switch to the new distributor as its network reaches their areas. The licensee is required to submit a detailed implementation plan for the first phase and a protocol for consumers opting to switch within 60 days. (ANI)
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