Electricity Workers in Struggle
Sudip Dutta
THE third term of the Modi government seems to be more aggressive than its previous two terms, particularly in its current onslaught against the electricity sector. Notably, there has been a direct and overt attempt to privatise various State-owned DISCOMs in regions like Chandigarh, Uttar Pradesh, and Telangana. In addition, the government has launched a widespread push for privatisation through the implementation of private-sector smart metering across nearly all states. Furthermore, the operation and maintenance of Power Grid substations have been outsourced in bulk, with a significant bid to privatize 19 RTM-based substations for a 24-month period. This is compounded by a controversial bribery scandal involving Adani, which allegedly played a role in securing high-tariff renewable energy supply contracts.
In response to these aggressive privatisation efforts, electricity workers across India are engaged in a multifaceted and resolute struggle to protect public ownership and safeguard the interests of workers and consumers alike. The ongoing resistance underscores the growing tensions surrounding these policies introduced by the Modi 3.0 government.
Here, we will highlight the unique struggle undertaken by the power workers of Chandigarh. For over four years, the Chandigarh UT Power men have been engaged in a determined fight to prevent the privatisation of their public electricity service. On November 22, 2024, the UT administration unexpectedly issued a Letter of Intent (LoI), signaling its decision to transfer the government-owned utility to a private company, Eminent Electricity Distribution Limited (EEDL).
The Chandigarh UT Power Department is a highly profitable government utility, generating an average annual turnover of Rs 1,000 crore and a profit of Rs 200-250 crore. It has one of the lowest electricity tariffs in the country at Rs 4.50 per unit and has managed to keep AT&C losses under 10 per cent. Additionally, the utility benefits from long-term, favorable energy allocations from the Bhakra Beas Management Board, ensuring a steady supply of low-cost hydro power, along with allocations from Central Sector Generation Stations that guarantee affordable electricity.
Despite this strong financial position, the utility was put up for privatisation through a questionable bidding process, with a base price set at a meager Rs 174.63 crore. Furthermore, the private bidder has been granted the use of valuable prime land at just Re 1 per month. Other assets have been valued at a token Re 1 per item, based on the flimsy excuse that the asset register lacks clear valuation data.
The employees quickly mobilised and began protesting with large-scale daily demonstrations. In response, the UT Administration invoked the Essential Services Maintenance Act (ESMA) on the night of December 5, but rather than suppressing the protests, it only fueled the resolve of the workers. On December 6, 2024, the Chandigarh Power Workmen organised a massive, day-long dharna in front of their utility office, effectively defying the draconian ESMA restrictions. Following the dharna, the union committee, joined by the national leadership of the EEFI, convened to strategise and formulate a new course of action in their ongoing struggle.
MASS RESISTANCE TO PRIVATISATION
In line with the action plan, the Union has initiated daily lunch-hour demonstrations starting from December 7, across all 16 offices, with full participation from the 1,000 employees. This form of protest will continue for the foreseeable future. In addition to these daily demonstrations, the employees have organised several campaign rallies over the past week, which were supported by their families, children, and residents from various sectors of Chandigarh. These rallies, which took place across 9 sectors, have seen an average turnout of 300-400 participants. People from all walks of life have joined the protests, speaking out strongly against the controversial privatisation efforts. To further spread awareness, over 20,000 pamphlets have already been distributed.
The protest marches have garnered widespread support, with local councilors, representatives from Resident Welfare Associations, local workers, farmers' groups, and various sections of state government employees joining in increasing numbers. Numerous organisations have independently launched initiatives to reach out to the citizens of Chandigarh and rally support for the struggle. Support has also poured in from political party affiliates, Gurudwara committees, village (pind) associations, and market associations, all participating in the daily rallies.
On December 14, 2024, opposition parties led a march to the Governor’s House to protest the privatisation move, resulting in hundreds of protesters being detained by the Chandigarh Police. In a bid to challenge the government's actions, a Public Interest Litigation (PIL) will soon be filed by the citizens of Chandigarh, alleging massive corruption in the bidding process. Additionally, the UT Power men plan to approach the Central Administrative Tribunal (CAT) to safeguard their service conditions as central government employees.
In essence, a broad, people-centric, and uniquely organised resistance movement is taking shape in the streets of Chandigarh. This multi-class coalition, with the most advanced sections of the working class at its core, is emerging as a powerful force against the privatisation agenda.
A SPARK OF SOLIDARITY
Privatisation attempts have also been aggressively directed at the public DISCOMs in Agra and Varanasi, Uttar Pradesh. In response, the UP government has invoked the Essential Services Maintenance Act (ESMA) and imposed a ban on any form of public demonstration. Despite these repressive measures, power engineers and employees across the state have defied the restrictions and continued their protest by staging dharnas. On December 7, 2024, a massive mobilisation took place, demonstrating the unwavering determination of workers to resist the privatisation push.
Unprecedented solidarity has emerged from across the country in response to the ongoing privatisation attacks. National Anti-Privatisation Day, observed on December 13, 2024, saw widespread participation in protests in nearly every state. According to preliminary reports, more than 8,000 employees and engineers staged demonstrations at 44 circle offices, as well as 4 thermal and 4 hydel power generation plants in Tamil Nadu. In Kerala, despite heavy rainfall, 4,000 employees, engineers, and contract workers participated in protests across 14 districts. Haryana held a two-hour demonstration at over 150 locations, with approximately 7,000 employees taking part. In neighboring Punjab, around 15,000 employees, engineers, and contract workers gathered at 100 protest sites.
Massive mobilisations also took place in Uttar Pradesh and Uttarakhand, while reports of large-scale demonstrations have been received from Telangana, Andhra Pradesh, Maharashtra, West Bengal, and Assam. Even in the face of heavy snowfall, electricity workers in Jammu & Kashmir showed their solidarity with the Chandigarh and UP power employees.
In a powerful show of unity, the people of Chandigarh and surrounding states are planning a large public rally on December 25, 2024, to voice their opposition to the anti-people policies of the UT Administration. The solidarity and strength of this nationwide movement are sending a clear message that the fight against privatisation is gaining momentum across the country.
Chandigarh power employees have submitted a formal strike notice to the administration, clearly stating that any further attempt to transfer this public asset to a private company will force them to launch an indefinite strike. Militant responses are also emerging from neighboring states, including Haryana, Punjab, and Himachal Pradesh. Unions in these states have submitted their own strike notices to their respective managements, warning that the central government's privatisation move concerning the Chandigarh Power Utility will compel them to take strong protest actions, including the possibility of strikes, if necessary.
Chandigarh sources its power from two major suppliers: the Bhakra Beas Management Board (BBMB) and the National Hydel Power Corporation (NHPC) of Himachal Pradesh. The transmission lines that deliver this power to Chandigarh pass through the Haryana and Punjab Transmission utilities. Unions representing workers in these generation and transmission companies have expressed strong solidarity with the struggling power workers of Chandigarh, offering their full support in the fight against the privatisation efforts.
The struggle in Chandigarh has sparked a powerful wave of determination among power workers across India. The coming days are expected to be even more challenging, but electricity employees remain resolute in their opposition to the central government's blatant, corrupt, and anti-people privatisation agenda. These workers have repeatedly defeated Modi’s privatisation policies, and their unwavering resolve continues to be a formidable force in the fight.
In the current context, the resistance of power sector workers represents the highest form of confrontation against the monopoly of private capital, as they seek to prevent the takeover of high-value public assets by massive private corporations. The power employees are the frontline fighters in this battle, and their struggle is essential to halting the further encroachment of private monopolies in the public sector.
The lessons from the Chandigarh struggle will be pivotal for India’s broader working-class movement, particularly in demonstrating the crucial role of strategic workers in resisting the expansion of private monopolies within the public sector.