2000 (5) TMI 297 - AT - Central Excise

Summary

Issues Involved:
- Whether power cables manufactured by M/s. Bright Cables are parts of wind mills for exemption under notification No. 205/88-C.E., dated 25-5-1988.

The judgment deals with an appeal filed by M/s. Bright Cables regarding the classification of power cables as parts of wind mills for exemption from duty. The appellant argued that the power cables are essential for wind mills to function, as they transmit electricity generated by wind. They cited precedents where similar components were considered parts of wind-generated electricity generators. Additionally, they referred to Note 4 to Section XVI of the Central Excise Tariff to support their classification argument. However, the respondent contended that the power cables were general types usable anywhere and not specific to wind mills. The Tribunal analyzed the submissions and noted that the power cables were used to transmit electricity from wind mills to sub-stations, indicating they were not integral parts of the wind mills themselves. The Tribunal distinguished previous cases where specific evidence was presented to establish the cables' role in wind turbine controllers, which was lacking in the current appeal. Despite references to usage by other companies, the Tribunal found insufficient evidence to support the contention that the cables were indeed parts of wind mills. Furthermore, the Tribunal clarified that Note 4 to Section XVI did not apply to wires and cables in this context, as it primarily addressed the classification of machines with interconnected components. Ultimately, the appeal was rejected, upholding the original decision that the power cables were not eligible for exemption as parts of wind mills.

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