2013 (11) TMI 1044

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....uring Wind Operated Electricity Generator (WOEG). They imported Tubular Towers of different seizes claiming as parts required for manufacturing WOEG and classified the goods under Customs Tariff Heading 85030010 and claimed the benefit of duty exemption under Notification No.6/06-CE dt. 1.3.2006 (Sl.No.84). By the impugned order, the adjudicating authority confirmed the classification under 73082019 and denied benefit of exemption notification and also demanded differential duty along with interest. In the case of RRB Energy Ltd., the demand of differential duty is Rs.53,76,748/- and in the case of Gamesa Wind Turbine Pvt. Ltd., the demand of differential duty is Rs.8,09,655/-. 2. Ld. advocate Shri Raghavan Ramabhadran on behalf of RRB Ene....

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....tha Engineering Ltd. Vs CCE Chennai - 2008 (228) ELT 68 (Tri.-Chennai). Regarding exemption of CVD, Mr. Rao submits that towers are not integral part of WOEG and therefore it cannot get the benefit of CVD. He relies upon the decision of Hon'ble Supreme Court in the case of Saraswati Sugar Mills Vs CCE Delhi -2011 (270) ELT 465 (SC).   Regarding exemption notification No.6/06, he relies on the decision of the Authority for Advance Rulings, Delhi in the case of Enercon (India) Ltd. -2011 (270) ELT 132 (A.A.R.) 4. After hearing both sides, we find that the issue relates to as to whether the towers imported by the applicant would be classified under heading 8503 as parts of WOEG. According to Revenue, it will be classified under 7308....

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....ws :              7. After hearing both sides for sometime, it is observed that as per Rule 1 of General Rules of interpretation to the Customs Tariff Act, the classification of imported goods is required to be done as per the relevant Section notes and Chapter notes. Section Note 2(b) of Section XVI is the relevant Section note for deciding the parts solely or principally used in a particular kind of machine and is reproduced below :-              2. Subject to Note 1 to this Section, Note 1 to Chapter 84 and Note 1 to Chapter 85, parts of machines (not being parts of the articles (of heading No. 84.84, 85.44, 85.45, 85....