Fuel-efficient motor car of engine capacity not exceeding 1000 cubic centimetres - 332/86 - Central Excise - Tariff

Fuel-efficient motor car of engine capacity not exceeding 1000 cubic centimetres

Notification No. 332/86-C.E.

Dated 2-6-1986

In exercise of the powers conferred by sub-rule (1) of rule 8 of the Central Excise Rules, 1944, and in supersession of the notification of the Government of India in the Ministry of Finance, (Department of Revenue) No. 26/83 Central Excises, dated the 25th February, 1983, the Central Government hereby exempts fuel-efficient motor vehicles of engine capacity not exceeding 1000 cubic centimetres, falling under heading No. 87.03 of the Schedule to the Central Excise Tariff Act, 1985 (5 of 1986), from so much of the duty of excise leviable thereon under the Central Excises and Salt Act, 1944 (1 of 1944) as is in excess of the amount calculated at the rate of twenty per cent ad valorem.

Explanation : For the purposes of this notification, "fuel efficient motor vehicle" means -

(i) in the case of petrol driven motor car of engine capacity not exceeding 1000 cubic centimetres, a motor car which runs not less than 20 kilometres per litre of petrol;

(ii) in the case of a petrol driven van of engine capacity not exceeding 1000 cubic centimetres, a van which runs not less than 19 kilometres per litre of petrol; and

(iii) in the case of a petrol driven four-wheeled cross-country motor vehicle of engine capacity not exceeding 1000 cubic centimetres, a motor vehicle which runs not less than 15 kilometres per litre of petrol;

and certified accordingly by an officer not below the rank of a Deputy Secretary to the Government of India in the Ministry of Industry (Department of Industrial Development) on the basis of the tests (hereinafter referred to as the fuel efficiency test) carried out by the Vehicle Research Development Establishment of the Ministry of Defence, Ahmednagar (Maharashtra) or the Automotive Research Association of India, Pune (Maharashtra), having regard to the following, namely:-

(a) the fuel efficiency test shall be conducted,

(i) in the case of a petrol driven motor car of engine capacity not exceeding 1000 cubic centimetres, with a pay load of 300 kilogrammes; and

(ii) in the case of other motor vehicles of engine capacity not exceeding 1000 cubic centimetres, with a payload of 500 kilograms;

(b) the fuel efficiency test shall be conducted using petrol having an octane level not exceeding 87; and

(c) the fuel efficiency test shall be carried out on a selected level test track at a steady speed of 50 kilometers per hour for a maximum stretch of one kilometre and the average of 20 runs, comprising of 10 runs in each direction, shall be taken for carrying out the tests and the test figures shall be corrected to sea level altitude and to +25°C ambient temperature.