A section of Haryana's power employees has raised concerns that the State's move against a private firm's parallel distribution licence could be open to challenge, more than a week after they called off a strike over it, The Hindu reported.
The employees fear that the government's directions to the Haryana Electricity Regulatory Commission under Section 108(1) of the Electricity Act, 2003, may not stand up because they were approved by Chief Minister Nayab Saini and not by the Council of Ministers, according to the report.
Former Finance Minister and Indian National Lok Dal patron Sampat Singh has also sought clarity on this. "The fact that HERC did not provide a hearing to Eleven Power Private Limited before cancelling the parallel licence and the government's decision has not been approved by the Council of Ministers are enough grounds for the firm to move the Appellate Tribunal for Electricity," he said in a statement, adding that he had filed a caveat.
How the dispute unfolded
- On October 19, the commission granted Eleven Power a 25-year parallel licence for Gurugram and Nuh, ThePrint reported.
- On October 23, employees negotiated with Saini and Energy Minister Anil Vij, and the strike was called off.
- On October 26, the Energy Department directed the commission not to "create, operationalise or effectuate" a parallel licence anywhere in Haryana, stating that this had the Chief Minister's approval.
- On October 28, the commission acted on those directions.
Cancelled or only halted?
Reports describe that last step differently. The Hindu said the commission cancelled the licence. ThePrint, reporting from the order, said it does not cancel the licence or set aside the October 19 decision, and only says the commission will not proceed while the directions remain in force.
The difference matters. Section 108(2) makes the government's view final on whether a question is a matter of policy, ThePrint reported, and the commission refused Eleven Power a hearing, saying it had "no adjudicatory exercise" to undertake.
What next
Eleven Power has said it will pursue legal remedies while continuing to engage with the regulator and the government, Free Press Journal reported. Dakshin Haryana Bijli Vitran Nigam filed a caveat before the tribunal on October 28, The Hindu reported.
The employees' joint front is likely to meet soon and may write to the Chief Minister seeking Cabinet approval at the meeting on November 3, a member told The Hindu. Vij was unavailable for comment, the newspaper said.
