Employees flag procedural loopholes in Haryana’s move to revoke power licence

Haryana power employees are protesting against the decision to grant license to a private firm.

More than a week after power workers called off a strike against the granting of a parallel electricity distribution license to a private firm in Haryana, a section of the workers’ joint front expressed concern that a procedural loophole in the government’s guidelines seeking cancellation of the license could allow the company to challenge the move in an appellate court.

Workers fear that the Haryana government’s directions to the Haryana Electricity Regulatory Commission (HERC) under Section 108(1) of the Electricity Act, 2003 may not stand legal scrutiny as they were only approved by Chief Minister Nayab Saini and not by the Council of Ministers.

Patron of the Indian National Lok Dal and former Finance Minister Sampat Singh also sought to clarify whether the Section 108 instructions were backed by a formal decision of the Council of Ministers under the Government Business Rules.

“The fact that HERC did not give a hearing to Eleven Power Private Limited before revoking the parallel license and the government’s decision was not approved by the Council of Ministers are sufficient reasons for the company to move the Appellate Tribunal for Electricity (APTEL). I have filed the objection in anticipation of this,” he said in a statement.

After Mr. Saini’s assurance to the striking employees, on October 26, the Energy Department Secretary directed HERC “not to create, commission or license parallel distribution anywhere in the state of Haryana”. The letter stated that the instructions were issued with the approval of the Chief Minister.

The HERC, acting on the directions, canceled the 25-year parallel license granted to Eleven Power for Gurugram and Nuh on October 28. The commission said it would not pursue the matter further as long as government guidelines remain in place.

Eleven Power has since said it will seek legal redress. Meanwhile, Dakshin Haryana Bijli Vitran Nigam filed an objection with APTEL on October 28 and expected a legal challenge.

A member of the joint front said its representatives, who attended a meeting with Mr. Saini and Power Minister Anil Vij on October 23, demanded that the decision be approved by the Council of Ministers. However, they were assured that the Chief Minister’s instructions would be enough. Some members now suspect a “conspiracy” to benefit the private firm, the member claimed.

The joint front is likely to meet soon and consider a written report to the chief minister and ask the government to approve the decision at its meeting on November 3.

Referring to the Karnataka cabinet’s decision against private participation in power distribution, which had led Tata Power to withdraw its application in July this year, the joint frontbencher said Haryana should also get cabinet approval for its decision.

Mr. Vij remained available for comment despite repeated attempts to contact him.

Published – 01 Nov 2026 21:37 IST