HC flags triple charge of IAS officer, asks how autonomous PSPCL, Transco are headed by bureaucracy

The Punjab and Haryana High Court has flagged that PSPCL and Transco are autonomous bodies meant to function without external interference. Yet, an IAS officer was simultaneously heading both corporations, while also serving as the Principal Secretary (Power). Taking note of the concentration of roles, Justice Harpreet Singh Brar asked the State Chief Secretary to explain whether the Chairman-cum-Managing Director posts of PSPCL and Transco were cadre posts for IAS officers, and if not how IAS officers were being deputed to head the autonomous entities.

The matter before Justice Brar has its genesis in a bunch of petitions filed against Punjab State Power Corporation and other respondents through senior advocate Amit Jhanji, and counsel Manu K. Bhandari, HC Arora among others. The Bench was assisted by advocate Gurnoor Singh Sethi on PSPCL’s behalf.

The Bench was told that Punjab State Electricity Board was bifurcated into Punjab State Power Corporation Limited (PSPCL) and Punjab Transmission Corporation Limited (Transco). The Punjab government subsequently notified the Punjab Power Sector Reforms Transfer Scheme vide notification dated April 16, 2010, for transfer of functions, assets, properties, rights, liabilities and personnel of erstwhile PSEB pursuant to a tripartite agreement. Its perusal indicated that the State had the power to finalize the transfer of personnel from PSPCL to Transco and permanent absorption of such personnel in Transco.

The Bench was also told that the government was obligated to constitute a committee for transfer and absorption of personnel from PSPCL to Transco. “However, the State significantly faltered in meaningfully implementing the scheme following its failure to constitute a committee to oversee all the transfer and absorption related issues… “Since the State has failed to form the Committee, the transfers and absorptions are being done in an arbitrary manner, motivated by nepotism and favouritism”.

The Bench on a previous date of hearing observed that PSEB was unbundled 12 years ago, but transfer and absorption of personnel was still unsettled. “The whimsical manner adopted by PSPCL in regard to transfer and absorption of personnel is not only antithetical to the object and intent of the policy but also appears to be tainted by mala fide. It remains unexplained as to why not even a committee, in terms of Clause 12 of the scheme has been constituted by the State,” the Bench had observed.

The court then asked the State to file an affidavit among other things on why time limit been had not been fixed for completion of the transfer and absorption or the committee’s constitution.

Justice Brar asserted the requisite affidavits were filed by Ajoy Kumar Sinha, Chairman-cum-Managing Director of both Transco and PSPCL “as well as Principal Secretary, Department of Power”. His affidavit as Principal Secretary indicated that the committee.

“Admittedly, PSPCL as well as Transco are autonomous body, empowered to conduct business without any external interference. Interestingly, the same officer namely Ajoy Kumar Sinha, IAS, heads both PSPCL and Transco, while also performing his duties as Principal Secretary to Government of Punjab, Department of Power. In this context, the Chief Secretary to the Government of Punjab is directed to file the affidavit,” Justice Brar asserted.