Commencement of operations of M/s. Petronet LNG Ltd. at Puthuvypeen SEZ - Customs Procedures – Reg - Customs - 25/2013

GOVERNMENT OF INDIA OFFICE OF THE COMMISSIONER OF CUSTOMS CUSTOM HOUSE: COCHIN- 682009 TRADE FACILITY No. 25 /2013 Sub: Commencement of operations of M/s. Petronet LNG Ltd. at Puthuvypeen SEZ - Customs Procedures Reg Puthuvypeen Special Economic Zone is notified under Section 4 of SEZ Act, 2005 with Cochin Port Trust as its developer. This SEZ which is deemed to be a port, airport, and inland container depot and land customs station under section 7 of the Customs Act, 1962 and notified accordingly under the relevant provisions of SEZ Act, 2005 is scheduled to commence their authorized operations, with M/s Petronet LNG Ltd., (PLL) as the approved co-developer. Authorized operations of the said co-developer include operation and maintenance of Liquefied Natural Gas (LNG) Re-gasification terminal for providing re-gasification services for LNG and marketing and distribution of the LNG therefrom. Development Commissioner, Cochin SEZ, has vide Puthuvypeen SEZ Instruction No. 1/2013 dated 01.07.2013 stated that the Developer/Co-developer can operate the facility created by them within Puthuvypeen SEZ to service any entity within or outside the SEZ and any DTA entity who imports the LNG can use the facility being operated by PLL in the Puthuvypeen SEZ, subject to the provisions of the SEZ Act. A copy of the aforesaid instruction is attached for easy reference. The facility made available to DTA entities for availing the services in the SEZ for storage and further handling of the LNG shall be subject to completing the obligations under the Customs Act, 1962 as applicable for normal DTA imports such filing Bill of Entry in the Custom House, assessment, payment of duty etc., before availing services in the SEZ for storage and other authorized activities. The said Instruction issued by Development Commissioner, SEZ has stated into the SEZ by a DTA entity for storage in the SEZ and distribution thereafter, is not covered by Section 30 of the SEZ Act, 2005. The vessels carrying such goods that berth at the Puthuvypeen SEZ jetties which falls outside the geographical boundary of said SEZ and the statutory procedures on arrival of vessels are to be completed with Cochin Custom House, before commencing discharge of goods into the SEZ. Boarding and other related sovereign functions related to entry/exit of foreign going vessels shall therefore be attended by the proper officers of Cochin Custom House. Necessary arrangements for using the thoroughfare inside the SEZ for boarding the vessel, if required, are to be arranged by the Steamer Agents/Co-developers, so that the boarding procedures can be completed by the Customs Officers without delay. Import General Manifests for vessels berthing in said jetties are to be filed with the Cochin Custom House as per existing procedures notified by the CBEC and Custom House, as applicable. This would enable filing of Bill of Entry in the Custom House by the DTA entities who wish to use the facilities in the SEZ after payment of duties. For the purpose of ascertaining the quantity delivered/received in tanks for assessment/finalization of provisional assessment of the Bills of Entry, the endorsements of the authorized Customs Officer at the SEZ shall be accepted. For goods meant for exclusive use within the SEZ and not meant for DTA, the Manifest entries (in the manifest filed in the Custom House) may be reconciled by filing a Transshipment Application, though no such physical transshipment actually takes place in this case. Hence, this procedure is only for technical purposes. Difficulties, if any, on implementation of the above may be brought to be notice of the undersigned. Sd/- (Dr. K. N. RAGHAVAN) COMMISSIONER OF CUSTOMS F.No.C1/09/2013 TU Cus. Dated: 13.08.2013