Move follows state decision to sell electricity in open market instead of supplying subsidised power to HPSEBL | India News
4 min readShimlaMay 22, 2026 10:17 PM IST In a major policy shift, the Himachal Pradesh State Electricity Board Limited (HPSEBL) has decided to stop supplying electricity to neighbouring states under the long-running “power banking” system after the state government decided not to provide 1,800 million units of power to the Board. The move comes after the state government chose to sell its share of electricity in the open market to generate higher revenue instead of supplying it to the Board at subsidised rates. The neighbouring states primarily affected include Punjab, Haryana and Delhi. A senior HPSEBL official privy to the development said, “The State Electricity Regulatory Commission has principally approved this. There are two primary reasons behind this move. First: Two mega electricity generation projects, including the Nathpa Jhakri Hydroelectric Power Station and SJVN Limited, are now under the state government. Earlier, we directly procured electricity from these two projects. Second: We will have to cater to domestic consumption.” The official added, “This move doesn’t mean that the long-running ‘power banking’ system will completely …









