Punjab, Haryana see red as HP brings bill to impose water cess 

The water cess bill, which was recently passed by the Himachal Pradesh assembly to mop up about Rs 4,000 crore revenue, has left Punjab and Haryana – which would be impacted with it – fuming and fretting. Both of them have rolled up their sleeves to oppose it, writes Rajesh Moudgil The Himachal Pradesh assembly in Shimla passed the Water Cess on Hydropower Generation Bill on March 16, 2023. Five days later, the assemblies of Punjab and Haryana, which were simultaneously in progress in Chandigarh, reacted resentfully and passed resolutions to resist it. The new law would be applicable to the existing 172 power projects and future projects in the hill state. The new law would not affect the people of the state and it was brought to enable the Himachal Pradesh Congress government to raise its resources to resolve its financial hardships. The law is expected to generate about Rs 4,000 crore, deputy chief minister Mukesh Agnihotri told the House. The state government also planned to hold dialogue with the hydropower companies and power projects of less than 5MW capacity, which if run by Himachal Pradesh residents, would be eligible for relief. Leader of Opposition Jairam Thakur said that the BJP supported the Bill and the government had to find out such new ways to generate resources. He, however, said that it should also be ensured that people of the hill state were not burdened. Punjab fumes The Punjab assembly unanimously adopted a resolution – in the absence of the Congress – declaring the water cess proposed to be levied by neighbouring Himachal Pradesh on hydel power generated in the hill state as “illegal”, and sought its immediate withdrawal. Terming it to be in violation of the Inter-State River Water Disputes Act, 1956, the assembly recommended to the state government to request the Centre to prevail upon the Himachal Pradesh government to withdraw the move. Aam Aadmi Party (AAP) in power in Punjab.

Lambasting the said move of the newly-elected Congress government in the neighbouring Himachal Pradesh and questioning the absence of Congress legislators, the Punjab water resources minister Gurmeet Singh Meet Hayer termed it as a “senseless move’’. He also took a dig at the Congress members saying that they had run away as they knew that this resolution was coming up against the Congress government in Himachal Pradesh. While the chief minister Bhagwant Mann also flayed Himachal Pradesh’s move, the Shiromani Akali Dal (SAD) members also backed the resolution.