PSPCL fails to pay pending cess amount to Mohali Municipal Corporation
High Court Gives PSPCL Final Four Weeks to Respond
Babushahi Bureau
Mohali (Punjab), January 27, 2025: The Punjab and Haryana High Court has granted Punjab State Power Corporation Limited (PSPCL) a final opportunity of four weeks to file its reply in a petition filed by Mohali Deputy Mayor Kuljit Singh Bedi.
The case concerns PSPCL’s alleged failure to transfer cess collected through electricity bills to the Mohali Municipal Corporation. The directions were issued on January 24, following a hearing in the matter.
Deputy Mayor Kuljit Singh Bedi, through his counsel Rajeevan Singh, raised the issue that PSPCL has not transferred the cess amount collected from consumers as mandated.
The counsel stated that although PSPCL had appeared in court earlier, it failed to submit a reply. The division bench headed by Chief Justice Sheel Nagu has now given PSPCL a final deadline to respond within four weeks.
Allegations in the Petition
Kuljit Singh Bedi alleged that as per a 2017 notification, PSPCL is required to transfer 2% cess collected through electricity bills to the municipal corporation.
However, from the amount transferred until 2021, 10% was allegedly withheld illegally. Additionally, since 2021, PSPCL has not paid any amount to the municipal corporation.
Bedi emphasized that the financial condition of the Mohali Municipal Corporation is dire, with limited sources of revenue. The lack of cess payments has left the corporation unable to even fund essential maintenance work.
Demand for Justice
The Deputy Mayor has requested the High Court to direct PSPCL to regularly transfer the 2% cess amount and immediately clear the pending dues from 2021. He also demanded that the arbitrary 10% deductions be stopped.
Bedi's Response
Speaking on the matter, Deputy Mayor Kuljit Singh Bedi said that he has always approached the courts for public interest matters. He urged political leaders to rise above party politics and work together for the development of Mohali.