SC settles decades-old power-sharing dispute of Bhakra Beas Management Board

8 NOVEMBER 2026

On November 6, 2026, the Supreme Court of India settled a decades-old power-sharing dispute concerning the Bhakra Beas Management Board (BBMB).
The apex court directed Punjab and Haryana to supply 11,973 million units (MU) of electricity arrears to Himachal Pradesh over the next 20 years.
A three-judge bench, headed by Chief Justice of India Surya Kant and including Justices Joymalya Bagchi and V Mohana, accepted a cashless proposal formulated by the Union Government to resolve the conflict.

Capital Cost Adjustments:

The dispute roots back to the reorganisation of states in 1966.
While a 2011 Supreme Court verdict recognized Himachal Pradesh’s entitlement to a 7.19% share of power generated by the Bhakra-Nangal and Beas hydro projects, Punjab and Haryana had not paid the outstanding arrears accumulated between 1966 and October 2011.
The total calculated gross arrears stood at 13,066 MU.
The settlement factors in Himachal Pradesh’s historical capital liability of ₹420.77 crore (representing its 7.19% share of construction and loan servicing costs).
Valued at ₹3.85 per unit, approximately 1,093 MU was deducted to offset this capital liability, leaving a net balance of 11,973 MU.
The remaining power will be supplied over 20 lean winter seasons (from October to March) at a rate of 653 MU per annum.
The power burden will be shared between Punjab and Haryana based on project ratios:
Bhakra-Nangal Project: 58:42 ratio
Beas Projects: 60:40 ratio