Power sector employees across Punjab have significantly intensified their agitation against the state government's proposed sale of Punjab State Power Corporation Limited (PSPCL) land. They announced major zonal protests, with another demonstration scheduled for Ludhiana on January 15 and Jalandhar on January 20.
Organized Resistance Under Joint Committee
The protests are being organized under the banner of the Power Sector Joint Action Committee (PSJAC). This committee represents employees, engineers, and pensioners of the power utility. Their movement gained momentum after the Punjab and Haryana High Court took cognizance of a Public Interest Litigation (PIL) on Monday.
The PIL highlighted unpaid electricity dues owed by state departments to PSPCL. This development occurs amid growing tension between employee unions and the state government.
High Court Intervention and Notices Issued
On January 12, the High Court issued notices to the Union of India, the Punjab Government, and PSPCL. The petition was filed by Rajbir Singh. A division bench comprising Chief Justice Sheel Nagu and Justice Neerja Kulwant Kalson sought responses on serious allegations.
Various state departments reportedly owe more than Rs 2,582 crore in unpaid electricity bills to PSPCL. The petition urged recovery of these dues under Section 56 of the Electricity Act. It also demanded disconnection of persistent defaulters and the release of over Rs 10,000 crore in pending power subsidies.
The plea strongly criticized the proposed land sale. It termed the move as "selling the family silver" instead of recovering legitimate dues. The court listed the matter for its next hearing on March 16, 2026.
Major Defaulters Named in Petition
The petition specifically named several major defaulting departments:
- The water supply department with Rs 1,014 crore
- The local government department with Rs 852 crore
- The rural development department with Rs 383 crore
- The health department with Rs 127 crore
Protests Spread Across the State
PSJAC leaders stated that demonstrations have been ongoing since early January. Employees have actively protested in Amritsar, Bathinda, and Patiala. In these cities, they blocked roads and held dharnas outside PSPCL offices.
The upcoming Ludhiana and Jalandhar protests will specifically cover North Zone operations. Union leaders issued a stern warning. They threatened a state-level agitation at PSPCL headquarters in Patiala if the government fails to address their demands.
Concerns Over Future Infrastructure
Union leaders expressed deep concern about the proposed land sales. These sales fall under the Optimum Use of Vacant Government Land Scheme (OUVGL). They argue that selling this land would cripple PSPCL's future infrastructure expansion.
This concern is particularly acute at a time of rising power demand. The state urgently needs new substations to meet growing electricity needs.
Tensions Escalate After Engineer Transfers
Tensions escalated further following the transfer of several engineers in late December 2025. Unions alleged these transfers were a retaliatory move. They claim the action targeted vocal opponents of the land sale policy and the proposed Electricity Amendment Bill, 2025.
Key Transfers Cited by Unions
Unions highlighted several specific transfers:
- Er Ajay Pal Singh Atwal, General Secretary of PSEBEA, transferred from Patiala to Mandi Gobindgarh
- Er Devinder Goyal, Finance Secretary, transferred to Ludhiana
- Er Jatinder Garg, Senior Office Bearer, transferred to Sangrur
- Er Arshdeep Sethi, among other affected engineers
Unions claimed the transfer orders were issued merely hours after a joint letter was sent to Chief Minister Bhagwant Mann. The letter demanded an immediate halt to land sales. They also alleged that similar pressure was earlier exerted on the former PSPCL CMD, who reportedly opposed the asset sale plan.
Severe Financial Crunch at PSPCL
PSPCL currently faces a severe financial crunch due to delayed government payments. This situation forced the utility to take loans to meet salary obligations and power purchase costs. The state government is reportedly considering land auctions worth Rs 2,219 crore to Rs 3,000 crore.
This measure aims to raise revenue ahead of the 2027 Assembly elections.
Employee Demands for Resolution
Employees insist the crisis can be resolved through clear actions:
- Clearing all outstanding government dues to PSPCL
- Advancing the long-stalled 800 MW Ropar thermal units project
- Shelving what they term as "backdoor privatisation" through the Electricity Amendment Bill
The agitation reflects deep-seated concerns among power sector workers about the corporation's future and the state's approach to managing its energy infrastructure and finances.
