SRINAGAR, Oct 30: Peoples Democratic Party (PDP) leader Waheed ur Rehman Para has highlighted a significant financial blow to Jammu and Kashmir, estimating a revenue loss of approximately Rs 1,000 crore following a High Court ruling that invalidated water usage charges on hydropower projects.
The High Court of Jammu and Kashmir and Ladakh has quashed provisions within the Jammu and Kashmir Water Resources (Regulation and Management) Act, 2010, that mandated these charges. The ruling, which also nullified demand notices issued since 2010, has raised concerns regarding the administration’s handling of legal matters pertaining to the region’s resources.
According to details received by The Chenab Times, the High Court, in its judgment, determined that the levying of water usage charges on hydropower projects constituted a tax on electricity generation. The court concluded that this fell outside the legislative authority of the erstwhile Jammu and Kashmir legislature, deeming the relevant sections of the 2010 Act unconstitutional and invalidating the subsequent demand notices.
PDP leader Waheed ur Rehman Para, in his reaction to the verdict, expressed dismay over the administration’s legal preparedness. He pointed out the absence of an Advocate General for approximately two years and noted that the Law Department was functioning under the Chief Minister’s purview. Para questioned the administration’s effectiveness in safeguarding the region’s interests, particularly in light of the ongoing discussions and legal challenges surrounding statehood.
The striking down of the water usage charges by the High Court has ignited debate about the financial implications for Jammu and Kashmir and the procedural aspects leading to this outcome. The court’s decision underscores a fundamental disagreement over the legality and competence of the previous administration to enact such charges, impacting the projected revenue from crucial hydropower infrastructure.
The administrative apparatus in Jammu and Kashmir is now tasked with addressing the fiscal deficit potentially created by this ruling. Experts suggest that the administration will need to explore alternative legal avenues or policy adjustments to mitigate the economic impact and ensure the sustainable management of its water resources for power generation.
The PDP leader’s statement also brought into focus the broader implications of such legal setbacks for the region’s ongoing efforts to regain full statehood. The effectiveness of the administration in defending the unique interests and rights of Jammu and Kashmir in various legal and constitutional forums remains a subject of public scrutiny.
Further details regarding the specific hydropower projects affected and the precise breakdown of the Rs 1,000 crore estimated loss are expected to emerge as the administration reviews the High Court’s detailed judgment. The ruling by the High Court of Jammu and Kashmir and Ladakh represents a significant legal and financial development for the Union Territory.
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The Chenab Times News Desk
