https://www.taxtmi.com/caselaws?id=117925 Cenvat credit on inputs used to generate electricity could not be denied merely because surplus electricity was supplied to the grid, since electricity was treated as neither excisable goods nor exempted goods for the purpose of Rule 57AD. The Tribunal also noted that the relevant credit notification did not require 100% captive consumption of the electricity and contemplated use of inputs for generation of electricity for any other purpose. As electricity cannot be stored and must be consumed as generated, incidental export of surplus power did not breach the notification. The demand, along with penalty and interest, was therefore held unsustainable. en-us Wed, 15 Feb 2006 00:00:00 +0530 Wed, 27 Jun 2012 13:46:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=117925 Cenvat credit on inputs used to generate electricity could not be denied merely because surplus electricity was supplied to the grid, since electricity was treated as neither excisable goods nor exempted goods for the purpose of Rule 57AD. The Tribunal also noted that the relevant credit notification did not require 100% captive consumption of the electricity and contemplated use of inputs for generation of electricity for any other purpose. As electricity cannot be stored and must be consumed as generated, incidental export of surplus power did not breach the notification. The demand, along with penalty and interest, was therefore held unsustainable. Case-Laws Central Excise Wed, 15 Feb 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=117925