A fresh tussle has emerged between the Punjab Government and the Bhakra Beas Management Board (BBMB) over the ownership and leasing of land in key project townships, with the state asserting that “the board has no authority to frame a lease policy for such properties”.In an official communication addressed to the BBMB Chairman, a copy of which is available with The Tribune, the Punjab Government has contended that the land in Nangal and Talwara townships and other areas situated within the state belongs to Punjab and not the BBMB. The board land in the Nangal township is over 800 acres. The letter, issued by the state’s Water Resources Department, refers to the BBMB’s proposed lease policy for private occupants of its land and properties.Citing provisions of the Punjab Reorganisation Act, 1966, the state government has argued that under Section 48(1), land of the erstwhile Punjab vests with the successor state in which it is located. It further maintained that the ownership and the management of such land fall under the jurisdiction of Punjab as per Sections 6, 48(1) and 48(6) of the Act.The communication emphasised that the BBMB, constituted under Section 79 of the Act, is mandated only to operate and maintain the Bhakra-Nangal and Beas project works. “The BBMB can manage only those properties which are necessary for discharging its functions. Any land beyond that scope remains under the control of the state,” the letter noted.Punjab has also referred to a report submitted by former Chairperson of the Central Electricity Authority, Neerja Mathur, in December 2014, which was accepted by the Union Government in October 2016. The report clearly stated that land forming part of the project should remain under BBMB, while surplus land should be owned, controlled and administered by the respective state government.“The report has attained finality and has not been challenged by any partner states or BBMB. Therefore, the board is bound by its conclusions,” the letter asserted. The state government has further clarified that township and colony land cannot be considered as “works appurtenant” to the dam under Section 79(1) of the Act. According to the letter, appurtenant works include essential components such as reservoirs, powerhouses and hydel channels directly linked to dam operations, whereas township land does not fall within this category.Officials pointed out that large tracts of land and residential infrastructure were originally developed to accommodate manpower during the construction phase of the Bhakra and Beas projects. However, with the completion of these projects decades ago, much of this land and housing has become surplus.The Punjab Government has argued that since the surplus land, which was originally acquired from within the state, is no longer required for project operations, it should be returned to the state. “The purpose would be best served if such land is handed back to the state from where it was acquired,” the communication stated.The BBMB had earlier sought comments from the Punjab Government on its proposed lease policy through a letter dated October 28, 2025. The policy aims to regulate private individuals already occupying BBMB land and properties.However, Punjab’s response makes it clear that it does not recognise the BBMB’s authority to formulate such a policy for township land within the state, setting the stage for a potential legal and administrative confrontation over the issue.The matter is expected to have wider implications, as similar questions regarding ownership and control of surplus project land may arise in other partner states associated with the BBMB.