In Brief
The State of Gujarat challenged High Court orders that had quashed the State's rejection of a bauxite leaseholder's export application. The key issues were whether the State could impose a requirement to set up a captive plant during lease renewal, and whether the State's policy regulating bauxite exports was valid. The Supreme Court held that lease renewal is a fresh grant governed by conditions in force at the time of renewal, not original terms. The Central Government's 1980 permission to impose captive plant conditions applied to the leaseholder's mine because it was located in the designated area. The Court set aside the lower court orders and allowed the State to impose such conditions on renewal.
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