Judgment

SHINGHAL, J.:- These appeals by special leave arise from the judgment of the Allahabad High Court dated April 27, 1978. While Civil Appeal No. 921 of 1978 has been filed by the State of Uttar Pradesh, the U. P. State Electricity Board and the Executive Engineer of the Rihand Power Station, hereinafter collectively referred to as the State, Civil Appeal No. 425 of 1979 has been filed by the Hindustan Aluminium Corporation Ltd., its Vice-President and Chief Accountant, hereinafter referred to as, the company. We have heard the two appeals together and will dispose them of by a common judgment.

2. The controversy relates to the supply of electrical energy (for short energy) for the production of aluminium, which is the most modern of the common metals. Unlike the other common industrial metals like iron, copper, zinc and lead, pure aluminium is not produced by the direct smelting of its ores. The metal is now produced by the modern electrolytic method under the influence of direct current. It takes about 10 kilowatt-hours of Electricity to produce a pound of aluminium, and the supply of cheap electric power is therefore an essential requisite or raw material for its production