States » NorthPosted at: Oct 15 2026 6:15PM


Himachal HC directs SJVNL to pay solatium to Luhri project landowners

Bhawani NegiShimla, Oct 15 (UNI)
The Himachal Pradesh High Court has directed Satluj Jal Vidyut Nigam Ltd (SJVNL) to pay solatium, interest and additional amounts to landowners who sold their land for the 210 MW Luhri Hydro Electric Project in Shimla district, holding that the company cannot deny benefits under the land acquisition law merely because the land was purchased through negotiations.
Justice Sandeep Sharma passed the order while disposing of 19 connected writ petitions, directing SJVNL to make the payments within three months in accordance with Sections 30(1), 30(3) and 80 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013.
The petitions related to land acquired for the project in Nirath and Badrash villages of Rampur subdivision.
A Negotiation Committee constituted by the Governor had recommended compensation rates, which were approved by the state government on March 6, 2020.
Under the approved rates, landowners were paid Rs 40 lakh per bigha in Badrash and Rs 50 lakh per bigha in Nirath, against circle rates of Rs 59.17 lakh and Rs 1.05 crore per bigha, respectively.
The state government's approval was conditional upon compliance with the mandatory rehabilitation and resettlement provisions and other applicable provisions of the 2013 Act.
SJVNL had also stated in a letter dated June 26, 2020, to the landowners that compensation and benefits under the Act would be paid.
However, while the landowners received the negotiated price for their land, they were not paid solatium on the land.
Some were paid solatium for structures standing on the acquired plots, prompting them to approach the High Court.
SJVNL and other respondents argued that solatium under Section 30 was payable only where an award had been passed by the Collector.
Since the land had been purchased through negotiations without such an award, the company contended that the petitioners were not entitled to the benefit.
The respondents also claimed that the landowners had agreed to receive solatium only for structures and could not subsequently challenge the arrangement.
Rejecting the arguments, the court observed that SJVNL could not adopt contradictory positions by paying solatium on structures while denying the same benefit for the land.
The court held that the conditions attached to the state government's approval, along with SJVNL's own communication to the landowners, required compliance with the relevant provisions of the 2013 Act despite the negotiated purchase.
It also observed that no undertaking had been produced to establish that the landowners had waived their entitlement to solatium on land.
The court noted that the petitioners had no real option but to sell their land, as it could otherwise have been acquired through the state government.
The petitioners had relied on the Supreme Court's ruling in Motilal Padampat Sugar Mills vs State of Uttar Pradesh on the principle of promissory estoppel, besides earlier High Court judgments, including Sat Dev Singh and Raj Kumari, and related appeals concerning the Himachal Pradesh Power Corporation Ltd.
UNI BN
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