Permanent Lok Adalat for Public Utility Services is another feature of Legal Services Authorities Act, 1987. It is a process of pre-litigation, conciliation and settlement. Incase of non-settlement, the matter can be disposed of on merits by receiving evidence. Under the provisions of Chapter VI-A of Legal Services Authorities Act, 1987, the A.P.State Legal Services Authority established Permanent Lok Adalats for Public Utility Services in 9 Districts in two phases. Presently, the Retired District Judges have been appointed as Chairmen along with other members from among the Public Utility Services.

The following are the notified Public Utility Services:

Originally notified u/sec.22-A of the Act.

i) Transport Service for the carriage of passengers or goods by air, road or water; or
ii) postal, telegraph or telephone service; or
iii) supply of power, light or water to the public by any establishment; or
iv) system of public conservancy or sanitation; or
v) service in hospital or dispensary; or
vi) insurance service.

Subsequently notified by the State Government.

vii) the banking institutions and other financial institutions (G.O.Rt.No.1839, LAW (LA & J) Home Courts-A1, dated 12.12.2006.)
viii) National Rural Employment Guarantee Scheme (G.O.Rt.No.239, LAW (LA & J) Home Courts-A1, dated 03.02.2009.)

Further notified by the Government of India.

ix) Education or Educational Institutions
x) Housing and Real Estate Services. (Notification No.SO495(e), dated 16.02.2016 of Minstry of Law and Justice, Department of Justice.)

Any party to a dispute may before the Dispute is brought before any Court, make an application to the Permanent Lok Adalat for settlement of dispute. However, the limit of value of the property in dispute for the purpose of determining jurisdiction for Permanent Lok Adalat for Public Utility Services is Rs.1 Crore with effect from 20.03.2015 (Notification No.SO803(e) of Ministry of Law & Justice, Department of Justice, Government of India).

After an application is made to the Permanent Lok Adalat for Public Utility Services, no party to that application shall invoke jurisdiction of any Court in the same dispute. No fee is required to be paid for settlement of cases before Permanent Lok Adalat. The Permanent Lok Adalat can pass award either on merits or in terms of the Settlement Agreement. The Award of the Permanent Lok Adalat shall be final and binding on all the parties thereto. Every Award of the Permanent Lok Adalat shall be deemed to be a decree of a Civil Court.
Permanent Lok Adalats are being set-up in phased manner. Nine (9) Permanent Lok Adalats have been set-up at the following stations and are functioning in the premises of respective Nyaya Seva Sadans in the District Court premises of the District Concerned.
1. Chittoor
2. Guntur
3. Kadapa
4. Visakapatnam
5. Srikakulam
6. Krishna
7. Prakasam
8. Ananthapuramu
9. East Godavari