https://www.taxtmi.com/caselaws?id=53209 Modvat/Cenvat credit on LSHS used as fuel to generate steam within the factory was admissible where that steam was itself used in manufacture and for electricity generation inside the plant. Rule 57B, rather than the recovery provisions relied on by the department, governed entitlement to credit on fuel. The fact that some electricity generated from the steam was supplied outside the factory to the township and the electricity board did not defeat credit, because the decisive use of the fuel was within the factory for production-related purposes. On that basis, the duty demand and penalty could not be sustained. en-us Tue, 17 Feb 2004 00:00:00 +0530 Mon, 11 Oct 2010 15:55:40 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=53209 Modvat/Cenvat credit on LSHS used as fuel to generate steam within the factory was admissible where that steam was itself used in manufacture and for electricity generation inside the plant. Rule 57B, rather than the recovery provisions relied on by the department, governed entitlement to credit on fuel. The fact that some electricity generated from the steam was supplied outside the factory to the township and the electricity board did not defeat credit, because the decisive use of the fuel was within the factory for production-related purposes. On that basis, the duty demand and penalty could not be sustained. Case-Laws Central Excise Tue, 17 Feb 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=53209