TMI Blog2018 (2) TMI 1027X X X X Extracts X X X X X X X X Extracts X X X X ..... under taken by the appellant is in order to keep the power plant in the working conditions; there is no interruption in power generation and transmission to the power grid. Similar issue came up before this Bench in the case CLP Power India Ltd., [2016 (11) TMI 645 - CESTAT MUMBAI] wherein the Bench after referring to various case laws and producing excerpts from them, concluded operation of power plant is not taxable under maintenance and repair services - decided in favor of appellant. Manufacture - whether Generation of the electricity is a manufactured product? - Held that: - the Tribunal in the case of NTPC Sail Power Co. Pvt Ltd., [2009 (5) TMI 59 - CESTAT, KOLKATA] have clearly held so and no other contrary decision is brought to our notice - decided in favor of appellant. Appeal allowed - decided in favor of appellant. - ST/25740/2013, ST/2571/2012, ST/23776/2014, ST/30026/2017, ST/21102/2014, ST/2572/2012, ST/2942/2011, ST/1354/2012, ST/21100/2014, ST/25738/2013, ST/30974/2016 - A/31955-31965/2017 - Dated:- 17-11-2017 - Mr. M. V. Ravindran., Member (Judicial) And Mr. Madhu Mohan Damodhar, Member (Technical) Sh. C.Saravanan, Advocate for the Appellant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Oct.2009 to Sep.2010 8. ST/2571/2012 GVK Power Infrastructure Ltd., CCE C- Visakhapatnam-ii 45/2012 (RS) Dated 07/06/2012 Oct.2010 to Mar. 2011 9. ST/21102/2014 GVK Power Infrastructure Ltd., CCE C- Visakhapatnam-ii 36/2013 (BVSNK) Dated 26/11/2013 Jun.2009 to Mar.2012 10. ST/23776/2014 GVK Power Infrastructure Ltd., CCE C- Visakhapatnam-ii VIZ-EXCUS-002-COM-020/14-15 Dated 28/08/2014 Apr.2012 to Mar.2013 4. On perusal of records, we find that the issue involved in these appeals is whether appellant herein engaged in operations and maintenance of power plants, as per the agreements entered with GVK industries Ltd., at various locations is liable to be taxed. Appellant has agreed to operate the power plants and produce electricity, which is either wheeled out to the grid and received by the said GVK Industries Ltd., or used fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ) would submits that undoubtedly there is an agreement for management and operation of the power plant by the appellants for which have received consideration and that as per the contract there are supposed to maintain the power plant and undertake the repairs. He would submit that amount received of as consideration is of maintenance or repair services, the issue is clarified by CBEC in circular, dated 19.06.2006, which relied upon the larger Bench in the case of BSBK Pvt Ltd., 2010(253) E.L.T. 522 (Tri.-LB) for submission that the contract entered by the appellant can be vivisected and tax under various separate services. He would rely on the decision of Hon ble Andhra Pradesh High Court in the case of the Nagarjuna Construction Company Ltd., V/s Government of India 2010 (19) S.T.R. 321 (A.P.) for the submission, that works contract service Composition Scheme can be entitled only if there is ore and option is exercised option is exercised as per Rules. It is the submission that the contract entered by the appellants would be covered under works contract services which came effect from 1/6/2010 and prior introduction of works contracts, the various services are classifiabl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ioner Vs. Basti Sugar Mill Co. Ltd[2012(25) STR J154(SC)] e) Inox Air Products Ltd. Vs. CCE[2015 (38) STR 90(T)] f) CST-Mum-II Vs. Global S.S. Construction Pvt Ltd[2016-VIL-240CST-MUM-ST g) CEST-Mum-IIVs. Polydrill Engineers Pvt Ltd [2016-VIL-263 CST-MUM-ST h) CST-Mum-II Vs. Evonik Energy Services [2016-VIL-265 CST-MUM-ST]. 11. The issue involved in this case being similar/identical, we have no hesitation to hold that issue involved is decided in favour of the appellant. 12. As regards the generation of the electricity being a manufactured product, we find that the Tribunal in the case of NTPC Sail Power Co. Pvt Ltd.,(Supra) have clearly held so and no other contrary decision is brought to our notice. Accordingly we hold that the ratio of judgment in the Tribunal in the case of NTPC Sail Power Co. Pvt Ltd., will also help the case of the appellant. 13. As regards the reliance placed by the Ld. Commissioner(AR) in the case of BSBK Pvt Ltd., and Nagarjuna Construction Company Ltd. , we find that the Appex Court in the case of L T Limited categorically held that the works contract entered into cannot be vivisected and demand of tax can ..... X X X X Extracts X X X X X X X X Extracts X X X X
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