TaxTMI 
TaxTMI 
TaxTMI 
2015 (6) TMI 657
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....petitive bidding at nil rate of duty under Notification No.6/02-CE dated 01.03.2002 (Sl.No.301). The goods supplied by the appellant by availing of full duty exemption under this Notification were meant to be used for setting of 1000 Mega Watt thermal power plant by L & T for M/s. Jindal Power. Notification No.6/2002-CE dated 01.03.2002 (Sl.No.301) and its successor Notification No.6/06-CE dated 01.03.2006 (Sl.No.91) prescribes nil rate of duty to the goods of any Chapter supplied against international competitive bidding subject to the condition prescribed in the Notification. The condition prescribed during the period of dispute was that the goods which have been supplied against International Competitive Bidding are also exempt if import....
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....al Power Ltd. and that the appellant have also produced certificate from Joint Secretary, the Ministry of Power certifying that- "(a) that Raigar Thermal Power Project being set up by M/s. Jindal Power Ltd. is an interstate Thermal Power Plant of capacity of 1000 Mega Watt capacity and (b) also that (i) The power purchasing state have constituted the regulatory commission with full powers to tariff and (ii) The power purchasing states undertake, in principle, to privatize distribution in all cities each of which has a population of more than one Million". With regard to the third condition to be certified that the power purchasing state has agreed to provide recourse to that state's share of central plan allocations and other devoluti....
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....gainst International Competitive Bidding and that the goods are to be used for thermal Power Project of 1000 Mega Watt which is an interstate thermal power, are satisfied, that in terms of the condition of the Customs Notification No.21/2002-Cus, the Joint Secretary in the Ministry of Power has also given a certificate that the power purchasing state has constituted the regulatory commission with full power to fix tariff and that the state has undertaken in principle, to privatize distribution in all cities in that state which have population of more than one Million, that with regard to the third condition of the condition No. 86 of the Notification No. 21/2002-Cus the Joint Secretary has clarified that this condition regarding the power p....
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....dition No.86 (a) (iii) is not applicable its fulfilment cannot be insisted and for non-fulfilment of duty exemption cannot be denied. He, therefore, pleaded that the impugned order is not correct. 6. Shri M.S. Negi, the ld. DR, defended the impugned order by reiterating the findings of the Commissioner and pleaded that the excise duty exemption under Notification No.6/02CE & 6/06-CE in respect of the goods supplied against International Competitive Bidding is applicable subject to condition that the same goods, if imported into India, are fully exempt from basic customs duty and additional customs duty, that the exemption in respect of the goods, in question, from basic customs duty and additional customs duty under Notification No.21/2002....
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....issions from both the sides and perused the records. The goods supplied by the appellant during the period from July, 2005 to May, 2006 - iron and steel items are made for use in Mega Power Project of M/s. Jindal Power Ltd. which is being setup by M/s. Larson & Tubro Ltd, There is no dispute that the power project - Raigar Thermal Power project for which the goods have been supplied is an inter state thermal power project of capacity of 1000 Mega Watt and in this regard the certificate has been given by the Joint Secretary to Govt. of India, Ministry of Power. There is also no dispute that the goods had been supplied against International Competitive Bidding. In terms of sl. No.301 of Notification No. 6/02-CE and 91 of the Notification No.6....
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....of Power in the certificate issued by him in respect of power project, in question, has certified that the power project is interstate Thermal Power Project of capacity of 1000 Mega Watt and has also certified regarding fulfilment of the conditions 86 (a) (i) and (a) (ii) the condition No.86 and in respect of the condition No.86 (a) (iii) the Joint Secretary in his letter dated 17.08.2005 addressed to M/s. Jindal has clarified that this condition has not applicable for independent power project. This fact has also been taken note of by the Commissioner in para 5.1.3 of the impugned order. When a particular condition prescribed in Notification No. 21/02-Cus. for full customs duty exemption is not applicable and for this reason, the condition....