Daily Current Affairs : 6-June-2024

The Shanan Hydropower Project is a significant source of electricity in northern India, located on the Uhl River in Mandi district, Himachal Pradesh. This project, which generates 110 megawatts of power, has been under the control of the Punjab government since its commissioning in 1932. However, as the 99-year lease for the project is set to expire in March 2024, a serious conflict has emerged between the states of Himachal Pradesh and Punjab over its future ownership.

What is the Shanan Hydropower Project?

The Shanan Hydropower Project harnesses the power of the Uhl River, a tributary of the Beas River, to generate electricity. Originally set up during British rule in 1932, the project has been an essential part of the region’s energy infrastructure. Despite being located in Himachal Pradesh, the project has been operated by Punjab under a long-term lease agreement. This arrangement has worked for nearly a century, but with the lease set to expire soon, tensions between the two states are escalating.

The Controversy: Lease Expiration and Ownership Dispute

As the expiry of the lease approaches, the controversy over the ownership and control of the Shanan Hydropower Project has intensified.

  • Himachal Pradesh’s Demand: The state of Himachal Pradesh has made it clear that it does not want to renew or extend the lease. It argues that the project, which is located within its territory, should rightfully be under its control.
  • Punjab’s Opposition: On the other hand, Punjab is unwilling to give up the project. The state government has stated that it will take legal action if necessary to retain control over the hydropower facility.

Implications of the Dispute

This dispute is not just a matter of state ownership but also has broader implications for energy generation and interstate relations. The Shanan project provides vital electricity, and any disruption in its operation could affect the power supply in both states. Moreover, the conflict could set a precedent for similar disputes in the future over shared resources.

Important Points:

  • Shanan Hydropower Project:
  • Located on the Uhl River in Mandi district, Himachal Pradesh.
  • Generates 110 MW of power.
  • Commissioned in 1932 and has been under the control of Punjab government.
  • Lease Expiry:
  • The 99-year lease on the project expires in March 2024.
  • This marks the start of the ownership dispute between Himachal Pradesh and Punjab.
  • Himachal Pradesh’s Stand:
  • Does not want to renew or extend the lease.
  • Demands the Shanan Hydropower Project be handed over to the state.
  • Punjab’s Stand:
  • Unwilling to give up control over the project.
  • Ready to pursue legal action to retain ownership.
  • Implications:
  • Potential disruption in power supply for both states if the dispute is not resolved.
  • The conflict could set a precedent for other interstate disputes over shared resources.
  • Key Issue:
  • The controversy involves legal, economic, and political dimensions.
  • Resolution may require negotiation or legal intervention.

Why In News

Himachal Pradesh and Punjab are facing a potential conflict over the Shanan hydropower project, as both states dispute its ownership following the expiration of the 99-year lease agreement in March 2024, with each side claiming control over the vital power facility.

MCQs about The Shanan Hydropower Project

  1. Where is the Shanan Hydropower Project located?
    A. Punjab
    B. Himachal Pradesh
    C. Uttar Pradesh
    D. Jammu & Kashmir
    Correct Answer: B. Himachal Pradesh
    Explanation: The Shanan Hydropower Project is located in Mandi district, Himachal Pradesh, although it is operated by Punjab under a lease agreement.
  2. What is the power generation capacity of the Shanan Hydropower Project?
    A. 50 MW
    B. 100 MW
    C. 110 MW
    D. 200 MW
    Correct Answer: C. 110 MW
    Explanation: The Shanan Hydropower Project generates 110 megawatts (MW) of power, making it an important energy source for the region.
  3. What is the main issue causing conflict between Himachal Pradesh and Punjab regarding the Shanan Hydropower Project?
    A. The environmental impact of the project
    B. Expiration of the 99-year lease agreement
    C. The efficiency of power generation
    D. The project’s location on the Beas River
    Correct Answer: B. Expiration of the 99-year lease agreement
    Explanation: The conflict stems from the expiration of the 99-year lease in March 2024, which has led to a dispute over the ownership of the Shanan Hydropower Project.
  4. What is Punjab’s stance on the Shanan Hydropower Project?
    A. Punjab wants to renew the lease with Himachal Pradesh.
    B. Punjab is willing to give up control of the project.
    C. Punjab is unwilling to surrender control and may take legal action.
    D. Punjab plans to build a new hydropower project nearby.
    Correct Answer: C. Punjab is unwilling to surrender control and may take legal action.
    Explanation: Punjab has expressed that it will not give up control over the Shanan Hydropower Project and is prepared to take legal action to retain it.

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