Recovery of duty in respect of gases flared/vented into the atmosphere - Instructions regarding - Central Excise - 70/88-CX.6

Recovery of duty in respect of gases flared/vented into the atmosphere - Instructions regarding Circular No. 70/88-CX.6 Dated 6-9-1988 [From F. No. 212/1/86-CX.6] Government of India Ministry of Finance (Department of Revenue) New Delhi Subject : Recovery of duty in respect of gases flared/vented into the atmosphere - Instructions regarding. The Board has received a number of representations from the Trade as also some references from Collectors on the question of recovery of duty on various gases which are flared/vented into the atmosphere for different purposes. It has been represented that since Notification Nos. 276/67, dated 21-12-1967, 40/85, dated 17-3-1985 etc. exempt only specified gases from Central Excise Duty if they are allowed to escape into the atmosphere by flare system, departmental officers are demanding duty in respect of other gases so flared into the atmosphere in the absence of any exemption notification. 2. The matter has been examined by the Board. Notification No. 177/87-C.E., dated 30-6-1987 has already been issued which exempts all gases which are allowed to escape into the atmosphere by flare system or otherwise. Thus with effect from 30-6-1987 the question of demanding duty in respect of any gas flared into the atmosphere would not arise. 3. However for past cases and pending assessments your attention is invited to Board's instructions F. No. 83/9/71-CX.3, dated 25-5-1975 (copy enclosed), which inter-alia clarified that all gases flared into the atmosphere would be covered by the 2nd proviso to rule 49(1) of the Central Excise Rules, 1944. This position would not change in spite of the fact that for some specified gases exemption notifications had already existed prior to 30-6-1987.