Shimla: The Himachal Pradesh government has moved ahead with plans to lease out several loss-making hotels of the Himachal Pradesh Tourism Development Corporation (HPTDC) to private operators on an Operation and Maintenance (O&M) basis, triggering political heat with the opposition BJP preparing to turn the move into a major issue.
A communication issued by the state Department of Tourism and Civil Aviation has directed the Managing Director of HPTDC to initiate action for handing over a number of financially unviable properties to private players following approval from the Chief Minister, who also holds the Tourism portfolio.
The hotels proposed to be given on O&M basis include Hotel Lake View, Bilaspur; Hotel Mamleshwar, Chindi; Hotel Apple Blossom, Fagu; Hotel Chanshal, Rohru; Hotel Sarvari, Kullu; Hotel Old Ross Common, Kasauli; Hotel Shivalik, Parwanoo; and Hotel Giriganga, Kharapathar.
Officials have been asked to take further action strictly in accordance with the government’s directions and submit an action-taken report.
However, even before the process formally begins, the opposition BJP has started sharpening its attack on the government, alleging that the move is a “backdoor attempt to privatise state tourism assets.”
Party leaders say they will raise the issue both politically and in public forums, claiming the government is “handing over public properties to private interests.”
The development comes at a time when states across the country are under pressure to rationalise loss-making public sector undertakings.
The 16th Finance Commission has advised states to explore leasing or monetising non-performing assets rather than continuing to run them at heavy losses.
HPTDC has been struggling financially for years, weighed down by rising operational costs, ageing infrastructure and increasing competition from private hotels.
The corporation had earlier faced tough observations from the Himachal Pradesh High Court, which questioned the state government over persistent losses and even asked why the corporation should not be shut down if it remained financially unviable.
Against this backdrop, the government’s decision to lease out the loss-making units has come as little surprise in policy circles, particularly towards the fag end of the Sukhvinder Singh Sukhu regime.
