TMI Blog2018 (8) TMI 1566X X X X Extracts X X X X X X X X Extracts X X X X ..... that power project is not a mere expansion of existing power project, but is an independent power project, which is newly setup. Further as per notification 12/2012-Cus. Dt.17/3/2012, the said power project is specified in Entry 53 of the List 32A. The power project is an independent one newly set up and not an expansion of an existing project. The denial of exemption is without any basis, and therefore the duty demand cannot sustain - appeal allowed - decided in favor of appellant. - Appeal No. E/335/2012 - FINAL ORDER No. 41755/2018 - Dated:- 27-4-2018 - Ms. Sulekha Beevi C.S. Member (Judicial) And Shri Madhu Mohan Damodhar, Member (Technical) Shri R. Parthasarathy, Advocate For the Appellant Shri A. Cletus, ADC (AR) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on of goods cleared for the aforesaid project in terms of Sl.No.91 of notification No.6/2006-CE dt.1/3/2006. They commenced their suppliers to their project from 15/10/2009 onwards. MAHAGENCO forwarded the Mega Power Project Certificate dt.16/12/2009 issued by the Joint Secretary to Government of India, Ministry of Power to the appellant / New Delhi in January 2010 and also issued a Project Authority Certificate in March 2010 which was received by the appellant in April 2010. The Mega Power Project Certificate dt.16/12/2009 and Project Authority Certificate issued by MAHAGENCO were submitted to the jurisdictional Central Excise Authorities by the appellant in May 2010. The department was of the view that in the Joint Secretary s Certificate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... very much clear from the Mega Power Project Certificate dt.16/12/2009 issued by the Joint Secretary, Ministry of Power, wherein it is mentioned that the power plant is being set up by M/s. Maharashtra State Power Generation Company Ltd., Mumbai (MAHAGENCO). As the department was of the view that appellants are not eligible for the exemption as per the notification, the appellants took up the issue with MAHAGENCO, who in turn approached the Ministry of Power for a clarification. The Ministry of Power vide their letter dt.26.10.2010 clarified that the said power project is an independent power project and not an expansion project of a Mega Power Project in terms of notification No.137/2009 Cus. dated 11.12.2009. He submitted that as per Sl. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Project Authority Certificate and the Certificate dt.16.12.2009, the project is mentioned as Chandrapur Expansion Power Plant / Expansion of Chandrapur Thermal Power Station . Thus it cannot be said that the power plant is a standalone project. Thus the denial of exemption is legal and proper. 5. Heard both sides. 6. The main dispute to be analysed is whether power project in respect of which supplies were made by the appellants is a standalone project which was newly set up or whether it is an expansion of existing power project. The department has sought to deny the benefit of exemption alleging that the power project is only an expansion of existing unit at Chandrapur. This is because the word expansion was used in the bid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tor Maharashtra State Power Generation Company Ltd. (MAHAGENCO) Prakashgad, Plot No.G-9, Prof.Anant Kanekar Marg, Bandra (East) Mumbai 400 051. Sub: Mega Power Project Status granted 2x500 MW (Units 8 9) Chandrapur Expention Project of Maharashtra State Power Generation Co. Ltd (MAHAGENCO) under the Mega Power Policy in terms of notification No.137/2009-Customs dated 11 th December, 2009. Ref: (i) MAHAGENCO s Letter No.DG/CHN 2x500 MW/MPP/1471 dated 15.10.2010 (ii) MAHAGENCO s letter dated January 24, 2008 seeking Mega Power Project status for Chandrapur Units 8 9. (iii) Mega Power status certificate vide No.5/6/2008 S. Th. Dated 16th December, 2009. Sir, I am to refer to your letter No.DG ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cation 12/2012-Cus. Dt.17/3/2012, the said power project is specified in Entry 53 of the List 32A. 9. In addition, in the appellants own case vide Order-In-Original No.2/2013 dt.26/3/2013, the Show cause notice issued raising the very same allegation has been dropped, observing that the power project is an independent one newly set up and not an expansion of an existing project. The relevant discussion in the aforesaid Order-In- Original is reproduced as under:- 4.15 It is pertinent to note that Column 3 of Notification No.12/2012-Cus, describing the exempted goods starts as Goods required for setting up of any Mega Power Project specified in List 32A , Sl.Nos.53 and 55 specify Chandrapur Expansion (2 x 500 MW) and Busawal Expansio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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