In view of the violent protests that rocked the union territory of Chandigarh on Tuesday, the Centre has acquiesced to the Punjab government?s plea for more time to consider the modalities of unbundling the Punjab State Electricity Board (PSEB). The deadline for unbundling has been deferred to December 15, 2009, according to an official spokesman of the Punjab government. The power ministry through a faxed communication to the chief secretary, Punjab, on Wednesday conveyed the Centre?s decision. The message says that the date has been extended ?to enable the state government to complete the unbundling process?.
The Centre has given September 15 to the state government as the deadline for unbundling. Faced with the threat of ?rail and road roko? on September 16 in Punjab by the strong lobby of state farmers, the state government is evidently having second thoughts on the proposed unbundling.
The controversy surrounding the unbundling PSEB into three/several companies had been going in for close to eight years now. Tuesday, thousands of Punjab Electricity Employees along with their families, participated in a massive rally at the sprawling Circus Ground here organised jointly by Technical Service Union and PSEB Employees Federation for annulling the Electricity Act, 2003, and against privatisation of the electricity board.
More than 25,000 farmers led by Bharatiya Kisan Union activists had poured onto the roads of Punjab?s capital, Chandigarh. By evening, the protests had turned violent leading to the death of a farmer during a police lathi charge and injury to many including some policemen. In retaliation, farmers set fire to dozens of vehicles and damaged other property. The police contingent of less than 4,000 including some commandos from Punjab and Haryana were taken aback and did not appear prepared to take on such a strong crowd of farmers.
The farmers had also held a protest march on Monday in front of PSERC against the recommendation on the increase in power rates for the agriculture sector. The farmers aver that if Punjab goes ahead with its move to split PSEB into different companies as per Electricity Act, 2003, it may stop free power supply to the farm sector.
The Centre?s decision to extend the deadline for unbundling in view of ground reality in Punjab and Chandigarh has helped avoid a constitutional crisis between Centre and state which was in no mood to meet the September 15 deadline. The mood at the meeting of the chief minister here could be gauged from this observation of the CM, ?As for as implementation of the Electricity Act 2003 recommending unbundling of PSEB is concerned, state has some discretionary powers to take the extension on unbundling on its own and Punjab Government could use the same after taking nod from the state cabinet?.
When confronted for his opinion on the proposed unbundling of PSEB which has become a major issue for the peasantry in Punjab, Jai Singh Gill, chairman of Punjab State Electricity Regulatory Commission told FE immediately after he announced a steep hike in power tariff that ?unbundling was an issue that was between the state government and the Punjab State Electricity Board, PSERC did not come into the picture at all?. However, former chairman of PSEB, YS Ratra told FE that ?the recommendations of the Electricity Act 2003 should be implemented in letter and spirit as these would encourage competition among the various departments of the Board. I personally feel that such a move will improve the functioning of the electricity department?.
From the looks of it the PSEB imbroglio is far from over.