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PUNJAB STATE POWER CORPORATION LIMITED AND ANOTHER vs. EMTA COAL LIMITED

SCR Citation: [2021] 11 S.C.R. 772
Year/Volume: 2021/ Volume 11
Date of Judgment: 21 September 2021
Petitioner: PUNJAB STATE POWER CORPORATION LIMITED AND ANOTHER
Disposal Nature: Appeal Allowed
Neutral Citation: 2021 INSC 523
Judgment Delivered by: Hon'ble Mr. Justice Bhushan Ramkrishna Gavai
Respondent: EMTA COAL LIMITED
Case Type: CIVIL APPEAL /5823-5824/2021
Order/Judgment: Judgment
1. Headnote

Coal Mines (Special Provisions) Act, 2015 – s.11 – In Manohar Lal Sharma v. Principal Secretary and Others reported as [2014] 8 SCR 446, Supreme Court held that the allotment of Coal Blocks between 1993 and 2011 was arbitrary and illegal – All such Coal Block allocations were quashed – Respondent-prior contractor if had the first right of refusal in the matter of lending of Mining Lease, as held by High Court – On appeal, held: s.11 provides that a successful bidder or allottee, as the case may be, in respect of Schedule I coal mines, may elect, to adopt and continue such contracts which may be existing with any of the prior allottees in relation to coal mining operations – In the event the successful bidder or allottee elects not to adopt or continue with the existing contracts, all such contracts shall cease to be enforceable against the successful bidder or allottee in relation to Schedule I coal mine and the only remedy of such contracting parties shall be against the prior allottees – If it is held that u/s.11, a prior contractor is entitled to continue if his performance is found to be satisfactory and if there is nothing against him, then it will be providing something in s.11 which the Statute has not provided for – High Court erred in observing that respondent had a legitimate expectation – Merely because the Coal Mine Block was again allotted to the appellant, the same could not give any vested right in favour of respondent – High Court erred in forcing the appellant to continue the contract with respondent, though it was not willing to do so – Decision of the appellant dtd. 06.04.18 was taken in accordance with s.11 and after following the principle of natural justice – Impugned judgment set aside –Interpretation of Statutes – Literal Interpretation – Doctrine of Legitimate Expectation – Principle of Natural Justice – Judicial review. Interpretation of Statutes – Literal Interpretation – Plain and literal meaning – Held: When upon a plain and literal interpretation of the words used in a Statute, the legislative intent could be gathered, it is not permissible to add words to the Statute – Coal Mines (Special Provisions) Act, 2015 – s.11. Administrative Law: Exercise of power of judicial review – Scope of – Discussed. Judicial review – Wednesbury Principle – Held: While applying the Wednesbury principle, the Court will examine as to whether the decision of an authority is such that no authority properly directing itself on the relevant law and acting reasonably could have reached it. Words and Phrases – “may elect” in s.11, 2015 Act – Meaning of – Discussed – Coal Mines (Special Provisions) Act, 2015 – s.11.

2. Case referred
3. Act
  • Coal Mines (Special Provisions) Act, 2015 (11 of 2015)
4. Keyword
  • Coal Mines (Special Provisions) Act
  • 2015 – s.11
5. Equivalent citation
    Citation(s) 2022 (2) SCC 1 = 2022 (2) Suppl. SCC 1 = 2021 (11) SCALE 296