Indian govt extends Public Utility Service status for bauxite mining and aluminium sector

The Government of India said Wednesday, November 15, that it has decided to further extend the “Public Utility Service” status of the services in the aluminium and aluminium manufacturing and bauxite mining sector for a period of six months. To be effective from November 16, these services come under item 30 and 31 of the First Schedule of the Industrial Disputes Act, 1947 (14 of 1947).

The status is thought to ensure smooth sale of bauxite, alumina, and aluminium even during the times of supply uncertainties.

"The government has decided to extend the status of alumina and aluminium and mining of bauxite, as public utility services for another six months so that its sales is not affected due any uncalled or sudden strikes or lock outs," a government official said.

Previously, these services were declared as 'Public Utility Service' for a period of six months starting May 16, 2017.

The mining industry contributes significantly to India’s overall economy, with 2.2-2.5 per cent contribution to the GDP. However, going by the GDP of the overall industrial sector, the industry has a contribution of about 10-11 per cent. In August, bauxite production grew by 25 per cent year-on-year. The cumulative growth in the mineral production, during the period April-August of current fiscal, was 3.3 per cent compared to the same period previous year, recent data showed.