SHIMLA: Met with stiff resistance and also litigation on the state government's move to impose water cess on hydropower projects, the Himachal Pradesh Cabinet on Tuesday decided to constitute a committee under the chairmanship of Secretary Power to hold discussions with the Power developers on water cess to be imposed on various power projects.
The committee will also have representatives of Jal Shakti Vibhag, the Finance Department and the Law Department too, Chief Minister Sukhvinder Sukhu chaired the meeting.
The state Assembly had passed Himachal Pradesh Water Cess on Hydropower Generation Bill, 2023 passed on March 16, 2023, to levy water cess as part of the resource mobilisation effort. Besides major power developers, some of the state governments viz Haryana and Punjab have also opposed the move.
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