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2019 (2) TMI 1384 - AT - Central ExciseExcisability - waste - the electricity sold by the appellant that was being generated from bagasse - Applicability of Explanation 1 inserted to Rule 6(1) of Cenvat Credit Rules 2004 - Held that:- Admittedly electricity, though not found in tangible form, is classifiable under Tariff item no. 27160000 of Central Excise Tariff Act, 1985. But it is a non-excisable goods and the process of generation of electricity though a manufacturing process is dutiable if it is generated from mineral oils, bitumen substance, mineral waxes etc. and electricity generated from bagasse is not covered under Chapter 27 like electricity generated through solar power, hydro power, wind power etc. It has been held by this Tribunal in the case of Jakarya Sugars Ltd, [2018 (5) TMI 1665 - CESTAT MUMBAI], that electricity generated from bagasse which is a by-product is neither a dutiable goods nor liable for payment of 6% - the duty demand made against such sale of surplus electricity manufactured through waste product is not sustainable in law - appeal allowed - decided in favor of appellant.
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