PSPCL hands over records of purchase pacts to Punjab Vigilance Bureau

Tribune News Service

Ruchika M Khanna

Chandigarh, January 14

Punjab State Power Corporation Limited (PSPCL) has submitted all records regarding power purchase agreements (PPAs) with two thermal power and over 90 solar firms to the State Vigilance Bureau as investigation gets underway.

Power bought at Rs 17.91 per unit

• Pacts were allegedly made to get power at abnormally high rates
• The highest rate for purchase of power with these 95 firms was Rs 17.91 per unit
• Over 20 agreements were made to purchase power at rate of over Rs 8 per unit and 35 pacts to buy power at Rs 7-8 per unit
• Nine PPAs made by the present government to buy solar power had been made at the rate of Rs 2.50 to Rs 3 per unit

AAP promised probe into previous PPAs

The Aam Aadmi Party (AAP) had promised to probe all PPAs signed during the tenure of the previous Akali-BJP government, before the 2022 Assembly poll. The ruling party has been objecting to the high cost being paid to private power companies, even when the power was not supplied.

Top officials in the Vigilance Bureau have confirmed that they have received the records and will start examining the records soon.

The investigation done by the disbanded Punjab Vigilance Commission into these PPAs will also be taken into account as the investigation by the Vigilance Bureau begins afresh, said the official.

The investigation had been handed over to the commission by the Charanjit Singh Channi-led Congress government in November 2021.

Though the investigations had been initiated by the commission, it never reached its conclusion. Before this, during Capt Amarinder Singh’s tenure as CM, he had also said only 17 of the solar power purchase agreements were valid.

The Aam Aadmi Party had promised to probe all PPAs signed during the tenure of the previous Akali-BJP government, before the 2022 Assembly poll. The party has always maintained that the PPAs were lopsided and favoured the private parties, while causing losses to the state exchequer. The ruling party has been objecting to the high cost being paid to the private power companies, even when the power was not supplied.

While the state government has already taken over the Goindwal Sahib project, investigations into the PPAs with two other private thermal projects - at Rajpura and Talwandi Sabo - will be conducted. “All relevant records have been submitted to the VB,” confirmed a top official in the PSPCL.

In case of 95 power firms supplying 1,651 MW of units, many pacts were signed with companies owned by the state’s politicians and officials directly, or by their relatives. Agreements were allegedly made to get power at abnormally high rates.

The highest rate for purchase of power with these 95 firms was Rs 17.91 per unit; over 20 agreements were made to purchase power at rate of over Rs 8 per unit; and 35 pacts to buy power at Rs 7-8 per unit.

Comparatively, the nine PPAs made by the present government to buy solar power has been made at the rate of Rs 2.50 to Rs 3 per unit.

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