Allahabad High Court Dismisses PIL Against Proposed Privatisation of Two Power Companies

The Allahabad High Court has dismissed a Public Interest Litigation (PIL) challenging the proposed privatisation of two electricity distribution companies in Uttar Pradesh, terming the plea as speculative and lacking factual foundation.

The PIL, filed by one Vijay Pratap Singh, had sought to halt the alleged privatisation process of Dakshinanchal Vidyut Vitran Nigam Ltd (DVVNL) and Purvanchal Vidyut Vitran Nigam Ltd (PVVNL). The petitioner based his claims on certain communications purportedly issued by the Uttar Pradesh Power Corporation Limited (UPPCL).

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A division bench comprising Chief Justice Arun Bhansali and Justice Kshitij Shailendra, however, rejected the petition, stating, “The relief claimed and the challenge laid apparently is based on assumptions. The record does not indicate that the petitioner has at any stage even approached the respondents seeking the documents to substantiate the assumptions indicated in the petition.”

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The court further remarked that it found no reason to entertain the petition at this stage. However, it clarified that the petitioner is at liberty to pursue appropriate remedies in accordance with law if valid grounds arise in future.

In the PIL, Singh had urged the court to issue a writ of certiorari to quash any proceedings aimed at diluting PVVNL’s stake without adherence to the mandatory provisions of the Companies Act, 2013, and relevant rules. He had also sought a writ of mandamus directing authorities to manage UPPCL and its subsidiaries professionally, appointing only technically qualified individuals to their boards.

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Upon perusal of the material submitted, the court observed that the only substantive document on record was a communication by the chief engineer indicating that UPPCL’s technical evaluation committee had assessed technical bids for the proposed privatisation. “Nothing more has been produced,” the court noted.

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