Vedanta Ltd vs Union Of India And Others

W.P.(C) No.10779 of 2022 is by Vedanta Ltd. W.P.(C) No.10423 and 10424 of 2022 are connected with W.P.(C) No.10779 of 2022 as they concern the impending crisis faced buyers Vedanta Ltd. on account of precipitous drop in the supply of contracted quantity of coal.

Mr. Dhruv Mehta, learned Senior Counsel for Vedanta Ltd. points out that with the sharp drop in the supplies there is a real and imminent threat to the smelter plants of Vedanta Ltd. at Jharsuguda and Lanjigarh which will in turn have a cascading effect on all the ancillary industries including the MSME units and a huge work force involved in all these units.

W.P. (C) No.10930 of 2022 is by the Hindalco Industries Ltd. (HIL) as well as Utkal Alumina International Limited (UAIL) voicing a similar grievance in connection with their smelter plants at Rayagada, Lapanga and Hirakud.

Vedanta’s representation dated 21st April 2022 and Hindalco’s representation dated 28th March, 2022 are stated to be pending with the Central Government. The representations dated 21st April, 2022 of the Petitioners in W.P.(C) Nos.10423 and 10424 of 2022 are also stated to be pending with the Central Government.

The Court is entertaining these petitions essentially for the reason that it involves not just the industries themselves but the issues concerning them of affecting the livelihoods of lakhs of workers and several ancillary units. While in entire country there is a crisis being faced by industry in general, and the power sector industries in particular, on account of the drop in coal supplies, there will be a need to balance the competing demands which are all in public interest. This can perhaps be achieved by having the Central Government constitute panels of bureaucrats representing the different interests who can give a hearing to the Petitioners and address their concerns to find workable solutions. The Court can at best facilitate such solutions.

Accordingly, it is directed that on the next date of hearing, the Central Government - which will include the Ministry of Coal, the Ministry of Mines, the Railway Board, the Ministry of Power speaking through Mr. P.K. Parhi, learned Asst. Solicitor General of India - will inform the Court the date/dates on which Vedanta Ltd., HIL and UAIL, the Utkal Chamber of Commerce and Industry Ltd. and District Small Scale Industries Association, can each be heard through their authorized representatives by a panel of the Central Government comprising the aforementioned Ministries and the Railway Board and for working out an interim arrangement till such hearing is completed and a workable solution found.

For the above limited purpose, Mr. Parhi says that he can get back with instructions on 5th May, 2022.

List on 5th May, 2022 at 2.00 p.m.

Copies of this order be made available today itself. Mr. Parhi says that he will communicate this order today itself to the concerned Ministries and the Railway Board. It will be open to the Petitioners to file additional affidavits in the meanwhile.

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