https://www.taxtmi.com/caselaws?id=50338 Furnace oil used to generate electricity was eligible for Modvat credit where the electricity was captively consumed in the manufacturing chain before being used in producing the dutiable final product; Rule 57D(2) was applied to protect credit merely because an intermediate exempt stage arose. Credit was, however, denied for the portion of electricity consumed in the township area because that consumption had no nexus with manufacture and the corresponding furnace oil did not qualify as an input used in or in relation to production. en-us Mon, 27 Nov 2000 00:00:00 +0530 Sat, 21 Aug 2010 11:48:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=50338 Furnace oil used to generate electricity was eligible for Modvat credit where the electricity was captively consumed in the manufacturing chain before being used in producing the dutiable final product; Rule 57D(2) was applied to protect credit merely because an intermediate exempt stage arose. Credit was, however, denied for the portion of electricity consumed in the township area because that consumption had no nexus with manufacture and the corresponding furnace oil did not qualify as an input used in or in relation to production. Case-Laws Central Excise Mon, 27 Nov 2000 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=50338