The Himachal Pradesh High Court has ordered the attachment of Himachal Bhawan in Delhi due to the Himachal Pradesh state government’s failure to clear Rs 64 crore in power dues owed to Seli Hydro Company. The decision was made during a court hearing on Monday, where the court also directed the state government to pay the overdue amount with a 7 percent interest rate.
The court has tasked the Principal Secretary of Energy with investigating the role of officials in the non-payment of dues and recovering the amount from the responsible individuals within 15 days. The next hearing is scheduled for December 6.
The conflict stems from a 2009 agreement where the Himachal Pradesh government, then under different leadership, allotted a 320 MW power project to Seli Hydro Company in the Lahaul and Spiti district. Although the Border Roads Organisation was deployed to assist in constructing necessary roads, the state reportedly failed to provide the basic facilities required for the hydro company to commence work. Consequently, the company halted the project and relinquished it back to the government, which then seized the upfront premium.
In 2017, Seli Hydro Company initiated a legal challenge by filing a writ petition in the High Court, leading to the current directive for the government to pay the Rs 64 crore upfront premium. The state government has responded by filing an LPA against the court’s order.