CHANDIGARH, Feb 21 — The Punjab and Haryana High Court has issued an interim stay on the alienation of any properties belonging to the Punjab State Power Corporation Limited (PSPCL). The bench, comprising Justice Ashwani Kumar Mishra and Justice Rohit Kapoor, passed the order today following reports that the utility intended to sell public assets to address a severe funding shortfall.
The court’s intervention follows a public interest litigation (PIL) alleging that various government departments owe PSPCL approximately Rs 2,582.24 crore in unpaid electricity dues. This financial strain is reportedly compounded by unpaid power subsidies exceeding Rs 10,000 crore.
“Since the matter has been preponed for February 24, we are of the view that any transfer of land must await the consideration of cause,” the bench asserted. The judges noted that the stay will remain in effect at least until the next hearing date.
Senior counsel Baltej Singh Sidhu, representing the petitioner, stated that the state government has failed to discharge its “moral, ethical, and statutory obligation” to pay for consumed power. He maintained that this neglect has forced the corporation to secure massive loans just to cover basic operational costs, including pensions and salaries.
The petition further declared that PSPCL was being pushed into a “severe financial crisis” by the default of government departments. The court had previously sought a response from the state regarding these outstanding payments, which were calculated as of the end of August 2025.
