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Haryana power employees call off strike after govt addresses concern over parallel distribution licence

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Power employees, who had been on strike for the past two days against the Haryana Electricity Regulatory Commission’s (HERC) order granting a 25-year parallel distribution licence to private company Eleven Power Private Limited in Gurugram and Nuh, called off their agitation after a marathon meeting with the state government in Panchkula on Friday evening.The employees agreed to end the strike after the government, in keeping with the demand of the employees’ union, agreed to invoke Section 108 of the Electricity Act, 2003. The Act provides that the Commission may be guided by the state government on matters of public interest and that the government’s decision would be final on a direction pertaining to policy matters.Following the talks held in the presence of Chief Minister Nayab Saini and Energy Minister Anil Vij, the state government, in a letter signed by the Chief Minister and the Energy Minister, directed the HERC not to “create, operationalise or effectuate any parallel distribution licence” anywhere in Haryana.A copy of the government’s letter was also handed over to the employees’ leaders led by Shailendra Dubey, chairman, All India Power Engineers Federation, during the meeting.They were arguing that the move threatens the state’s public-sector power distribution system and could adversely affect farmers, economically weaker consumers and electricity employees. They have also expressed concerns over the potential impact on electricity services and the resulting inconvenience to consumers.In a letter issued by the Energy Department under Section 108(1) of the Electricity Act, 2003, and signed by the Chief Minister, the government cited consumer and public interests, along with the financial implications for the state, as reasons for issuing the directive.The government expressed concern over the potential impact of the licence on consumers and said it had received reports of agitation and apprehensions among the public, farmers, consumers and employees of state power utilities.The letter stated that the grant of the licence had been opposed on grounds of non-compliance with statutory requirements, including minimum area of supply, capital adequacy, creditworthiness, technical capability and universal service obligations. It also referred to concerns over the selective acquisition of high-revenue consumers, the adverse impact on cross-subsidy, existing power purchase commitments, stranded costs, duplication of distribution infrastructure and the resulting financial burden on the incumbent distribution licensee and its consumers.The government clarified that it was not examining the correctness of the HERC’s findings but was issuing the directions as a matter of policy to safeguard consumer and public interests. The directive was issued with the Chief Minister’s approval.Saini, while speaking to media, reiterated that the state government is committed to protecting the interests of electricity consumers and ensuring the welfare of electricity employees. He said the government’s position on the issue of parallel electricity licences has been clear from the outset and that it stands firmly with electricity employees on the matter.Vij said the government and employees were united against parallel electricity licence and were preparing to file a review petition.Dubey said the government had accepted the employees’ principal demand by issuing directions to the HERC under Section 108(1) of the Act, prompting them to call off the strike.“The meeting with the state government lasted around three hours, with two rounds of discussions on the issue and our demands. The government subsequently agreed to issue the directions to the HERC. Our other demands remain pending, and a meeting to discuss them has been convened on November 3,” Dubey said.The decision to call off the strike came as a major relief to the state government amid growing public anger over prolonged power cuts. The two-day agitation caused immense inconvenience to residents, with reports of blackouts in several villages and urban localities. Residents also blocked roads at various places to protest against the power disruptions.

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