Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2019 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (1) TMI 247 - AT - Central ExciseManufacture of bearings and supply to various wind mill manufacturers - benefit of N/N. 12/2012-CE - benefit denied on the ground that the bearing manufactured by them and used by wind mill manufacturers is not a part of wind mill and, thus, not eligible to the benefit of notification - also, for the period beyond 11.07.2014, the benefit is sought to be denied on the ground that the appellant have not followed the condition prescribed under Sr. No. 332(A) of the notification. Held that:- N/N. 12/2012-CE exempts non conventional energy devices or systems specified in list 8 from Central Excise duty. Serial no. 13 of the said list covers ‘wind operated electricity generators, its components and parts thereof including rotor and wind turbine controller’. The said exemption continued even after amendment of notification on 11/07/2014. It is seen that not only wind turbine electricity generators but its components and parts are exempted by virtue of notification 12/2012-CE, irrespective of place where they are used. In the instant case, the bearings manufactured by the appellant are used as component of wind operated electricity generators and there is no dispute that the product is directly supplied to manufacturers of wind operated electricity generators and is used as component of the wind turbine - In the instant case, it can be said that the bearing is an essential component of wind mill without which it cannot function. In these circumstances, a bearing can be called a component of the wind mill and therefore, exempted under N/N. 12/2012-CE. Failure of the appellant to observe condition no. 2 prescribed in respect of following Central Excise (Removal of goods at Concessional Rate of duty for manufacture of Excisable goods) Rules, 2001 - Held that:- Since, it has been held that a bearing is a part of wind mill, the place of use becomes irrelevant as the exemption is available to the said bearing under Serial no. 332 of the notification itself. Appeal allowed - decided in favor of appellant.
|