Chandigarh, March 9
Punjab Bharatiya Janata Party President Sunil Jakhar has exposed what he described as a conspiracy by the Punjab AAP government to financially bankrupt the Punjab State Power Corporation Limited (PSPCL). Addressing a special press conference on the issue today, Jakhar explained with supporting facts how the government is misleading the people of Punjab by showing the power corporation moving from loss to profit on paper. “In reality, he said, the government is pushing this lifeline institution of the state toward financial failure and eventual privatization”, he said.
Jakhar stated that on November 28 last year, PSPCL filed its Annual Revenue Requirement (ARR) petition with the Punjab State Electricity Regulatory Commission, which must be submitted before November 30 each year according to regulations. In that petition, the corporation reported a loss of ₹1,715 crore. However, on February 4, 2026, for the first time in history, PSPCL filed a revised petition, which was surprisingly approved by the regulatory commission. In this revised petition, the corporation claimed a surplus of ₹7,852 crore and said it would require only ₹15,200 crore in electricity subsidy instead of ₹19,600 crore.
In addition, Jakhar alleged that the ₹3,581.95 crore loss funding provided by the government was wrongly shown as income in the corporation’s financial accounts, which he said is completely incorrect and against the rules. The BJP state president further stated that on the basis of this revised petition, the government has created the impression that electricity tariffs have been reduced. However, according to him, this is misleading the public. He explained that the largest reduction has been shown for domestic consumption up to 300 units but since electricity up to this limit is already free for many households, the benefit will not reach consumers. Instead, it will only reduce the subsidy the government pays to the power corporation. He questioned whether the corporation can continue to function under such circumstances.
Jakhar emphasized that no matter what method is used, the actual costs and expenditures cannot be ignored. He said the financial condition of the power corporation is extremely concerning, and the government still owes ₹11,109.70 crore in subsidy up to March 31, 2025. “In addition, ₹4,300 crore is pending for the period till now and ₹2,600 crore is owed by government departments”, he added. Jakhar alleged that by manipulating financial records, the corporation is being deliberately pushed toward large losses as part of a plan that will ultimately lead to its privatization.
Jakhar also criticized the government for not appointing a regular chairman for the PSPCL. He said that even if an interim administrator is appointed, the position should be held by an officer at the Principal Secretary level, but the government has not followed this norm. The officer currently assigned the role already handles multiple departments. He further alleged that the corporation is effectively being run by officials sent from Delhi. “As an example, he said that when electricity tariffs were reduced, the reduction for Sri Harmandir Sahib and Durgiana Temple was only 31 paise per unit, which he claimed no decision-maker from Punjab would have allowed if they were making the decision locally”, he said.
Jakhar concluded that under this alleged plan, the government is showing reduced subsidy payments to the power corporation on paper before the state budget. This, he said, is meant to create the impression that the saved funds will be used for other schemes. He added that the government is risking the existence of a prestigious institution of Punjab in order to run schemes distributing free money, which he described as unwise. “Even if this accounting manipulation helps the government get through the current financial year, he warned that the next financial year will bring serious consequences for Punjab, and the burden will ultimately fall on the people of the state”, he said.
