2009 (9) TMI 543

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..... the ground that electricity generated from windmills transferred to state grid and then drawn to factory and nexus absent between windmills located outside factory and production. Held that- in the light of the decision of Madra Cements Ltd. v. CCE, Madurai, dispense with predeposit of the disputed amounts and stay recovery thereof pending the appeals. - F/384-385/2009 - 865-866/2009 - Dated:- 2 .....

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..... to be entitled to avail credit of service tax paid on lease rentals and operation and maintenance charges of windmills located in Tirunelveli district for the reason that generation of electricity through such windmills is transferred to the power grid of TNEB from where equal quantity of electricity is drawn to the assessees' factory and is therefore not an 'input service' in relation to manufac .....

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..... n that in the case before the apex court, the electricity was cleared to the grid for distribution or to joint ventures and in that context, the apex court held that process and use test failed for the purpose of eligibility to Cenvat/Modvat credit while in the present case, the electricity generated by the windmills of the assessees was supplied to the TNEB and in turn power was drawn by the asse .....

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