Shock therapy: HPSEB’s penalty sends strong message to Dharampur builders

The rapidly expanding real estate sector in the Dharampur and Kumarhatti region has become a hotbed of rule violations—ranging from selling flats on notarised lease deeds with no legal validity to unauthorised borewell digging and power theft.

In a recent crackdown, the Himachal Pradesh State Electricity Board Limited (HPSEBL) imposed a penalty of Rs 4 lakh on a builder in Gadiana village near Dharampur for drawing electricity through a temporary connection meant solely for construction work. The builder had constructed 12 flats without availing a permanent connection, continuing the irregularity for nearly two years.

“The builder has also been directed to install a transformer. A penalty of Rs 4 lakh has been imposed,” confirmed Vikas Gupta, Executive Engineer, HPSEBL, Parwanoo.

In another case at Kheel Jhasli near Kumarhatti, a builder was found using a domestic electricity connection to power a borewell supplying water to multiple flats—an illegal act under the Electricity Act. Following a complaint by a local resident, HPSEBL officials investigated and reclassified the consumer category from domestic to commercial.

“Our inquiry revealed that 150 units of electricity were used over the year. A penalty at the commercial rate of Rs 5.50 per unit has been levied—calculated at double the units consumed as per provisions of the Electricity Act,” added Gupta.

HPSEBL officials admit they face significant challenges in identifying such violations due to a shortage of field staff and lack of coordination with revenue authorities. Often, they become aware of such irregularities only after receiving complaints from vigilant locals.

With hundreds of flats constructed along the Kumarhatti, Kheel Jhasli and Dharampur-Kanda Road, residents believe many more violations remain undetected. Apart from causing major losses to the state exchequer, these practices also mislead unsuspecting buyers, who often find themselves entangled in long-drawn legal disputes.

“A large number of such cases are pending in courts at Kasauli and Solan, where duped buyers wait for justice for years,” noted a lawyer practicing at the Kasauli court.