Himachal Pradesh to sign three-year power purchase pact with 'elder brother' Punjab

Shimla: In a significant move to strengthen inter-state energy cooperation, Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu announced that the state will sign a three-year Power Purchase Agreement (PPA) with neighboring Punjab.

Referring to Punjab affectionately as Himachal's "elder brother," CM Sukhu emphasized that the deal will further solidify the long-standing economic and cultural partnership between the two northern states.  The announcement was made during the Chandigarh Leadership Conclave organized by TiE Chandigarh, where the Chief Minister outlined the state's vision for sustainable development, lower industrial power tariffs, and green energy initiatives.  Key Highlights:3-Year Power Pact: As a power-surplus state, Himachal Pradesh will supply electricity to Punjab under a structured three-year bilateral agreement.  

Industrial Tariff Rationalization: The state is finalizing a new industrial policy that promises reduced electricity tariffs to attract corporate investment and boost local manufacturing.  Green Energy Push: Himachal is positioning itself as a national pioneer in green hydrogen production, establishing BioChar plants, and expanding geothermal power projects like the one in Kinnaur.  

Chief Minister Sukhu highlighted that while the state's industrial revenue had dropped following the introduction of the GST regime, revised policies tailored to Himachal's unique topography will revitalize the sector. He invited entrepreneurs to invest in the hill state, citing robust power supply, improved air and rail connectivity, and emerging IT infrastructure such as the upcoming IT Park in Kandaghat.