2014 (12) TMI 628

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....istration Act, 1860 on 29.5.2001. The appellants have entered into an agreement on 30.10.2001 with Karnataka Power Corporation Ltd. (KPCL), Raichur for the following activities : (a) to take on lease Fly Ash handling system; (b) to procure fly ash, which is waste generated while generating electricity in the power plant by burning coal; (c) to ensure regular operation and maintenance of silos and the issue of fly ash and proper maintenance schedule are monitored; and (d) issue of fly ash to SSI units, promoters of the society and other cement manufacturing company on levy of some service charge per metric tonne in respect of the ash issued. 1.2 KPCL, being specifically constituted by the State Government, has installed number....

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....e used in the construction activity also for the products for building materials. 1.5. Accordingly, under sub-clause 1 (c), for cement to qualify as fly ash based cement the minimum fly ash content for cement has been prescribed as 15% of a total raw materials. The power plants spent huge amounts for transportation and dumping of fly ash generated by them. Fly ash is a waste product of the power plant and during the relevant period it was not excisable. It was not capable of being brought to the market and sold in the market. Fly ash did not have any value at the said point of time and further the same was also required to be cleared from the power plants for environmental reasons. Therefore, M/s KPCL agreed to supply the fly ash which d....

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....       (i) Rolls Royce Industrial Power (I) Ltd. vs. Commissioner [2006 (3) S.T.R. 292 (Tribunal)]            (ii) CMS (I) Operations & Maintenance Co. (P) Ltd. vs. CCE, Pondicherry [2007 (7) S.T.R. 369 (Tri.-Chennai)]          (iii) GVK Power & Infrastructure Ltd. Vs. CCE, Visakhapatnam [2013 (31) S.T.R. 559 (Tri.-Bang.)          (iv) Wartsila India Ltd. vs. CCE, Thane-II [2011 (22) S.T.R. 338 (Tri.-Mumbai)] It was submitted that consideration received for processing of fly ash is already subjected to tax under 'Business Auxiliary Service'. Moreover, the contractors who ....