Punjab Govt amends rules to justify secretary level IAS officer’s appointment as CMD

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Punjab Govt amends rules to justify secretary level IAS officer’s appointment as CMD

Kanwar Inder Singh/ royalpatiala.in News/ December 22,2025

To defuse controversy over the appointment of secretary level IAS officer Basant Garg’s as CMD, PSPCL, Punjab government has amended its rules so that he remain CMD PSPCL, PSTCL.

State government has issued a notification to appoint an lAS officer, who has served/is serving in the rank of Secretary or above, whether in service or retired, to the post of Chairman- cum-Managing Director, PSPCL, amending the earlier orders of the state government which may appoint an IAS officer, who has served/is serving in the rank of Principal Secretary/Financial Commissioner, whether in service or retired, to the post of Chairman-cum-Managing Director, PSPCL.

This amendment is in addition to the Department of Power, Notification No. 1/9/08-EB(PR)/239 dated 16th April, 2010 and Notification No. 1/2/2013-H5/839 dated 22nd December, 2017 issued in regard to appointment of CMD, Punjab State Power Corporation Limited (PSPCL).

The state government had appointed Basant Garg, IAS as the administrative secretary, Power department in the first week of November 2025. In the same orders the charge of CMD, PSPCL/ PSTCL is also given to him.

As per the tripartite agreement signed between the Government of Punjab, Management of two companies-PSPCL and PSTCL and all unions and associations of PSPCL &PSTCL (erstwhile PSEB)“ Any modification in Transfer Scheme, Memorandum of Association, article of Association, qualification and experience of CMDs and Directors will be made after consultation and understanding with the signatories to this Agreement. However, Government’s decision will be final in this regard.”

“It’s violation of tripartite agreement as no consultations held with  signatory employee Associations and unions as per Clause 5 (g) of the Tri partite agreement. They have degraded the post of CMD. They have violated thr tripartite agreement and it is a serious onslaught. Engineers, employees cannot be mute spectators” said a senior powercom retired officer.

PSEB Engineers’ Association had also lodged their resentment with the CM Bhagwant Singh Mann, Power Minister Sanjeev Arora over the appointment of a secretary level officer Basant Garg, IAS as CMD, PSPCL. “Assigning the charge of CMD, PSPCL, to a Secretary-level officer is inconsistent with the qualifications prescribed under the prevailing Punjab Government notification. This ad-hoc arrangement will not only disrupt the informed decision-making process on these crucial technical positions but also creates a sense of uncertainty and instability in the power sector” .

His appointment is also challenged in the Punjab and Haryana High court on the ground that he is below the rank of Principal Secretary and cannot be appointed as CMD of PSPCL/ PSTCL.

“Whether the post of chairman-cum-managing director of PSPCL and Transco, respectively, are cadre posts for IAS officers? If not, indicate as to how IAS officers are deputed as heads of these autonomous bodies,” passed by the bench of justice Harpreet Singh Brar.

Punjab Govt amends rules to justify secretary level IAS officer’s appointment as CMD