Chandigarh: Congress demands scrapping of power privatisation deal

The appeal followed a meeting between a delegation of the UT Powermen Union and Chandigarh Congress president HS Lucky on Monday

Chandigarh Congress president HS Lucky on Monday urged UT administrator Gulab Chand Kataria to immediately cancel the deal to privatise the UT electricity department with a Kolkata-based company.

Chandigarh Congress president HS Lucky questioned the logic behind transferring a profitable department to a company with no experience in power distribution. (HT File)

The appeal followed a meeting between a delegation of the UT Powermen Union and Lucky on Monday. The delegation apprised him of gross irregularities in the deal.

Lucky stated that the Congress firmly stood with both residents and employees to protect their interests.

He alleged that no global tendering process was conducted. Instead, an offline tender was issued, despite the rule that tenders exceeding ₹10 lakh must be called online. Moreover, the present company was given a special opportunity to participate by recalling the tender.

Lucky highlighted that the UT electricity department had been operating profitably and providing efficient services in Chandigarh without significant complaints. He questioned the logic behind transferring a profitable department to a company with no experience in power distribution, especially when all its assets were being handed over at a nominal price of ₹1. He alleged this move indicated ulterior motives to benefit the company.

He further pointed out that Chandigarh currently had the lowest electricity rates in the country, with domestic tariffs as low as ₹2.75 per unit for up to 300 units in two months. He said that handing over the department to the private company would significantly increase electricity rates, imposing a heavy burden on city residents.

Lucky urged the UT administrator to scrap the privatisation deal in the public and national interest.