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TMI Blog2017 (1) TMI 287X X X X Extracts X X X X X X X X Extracts X X X X ..... ect of cement and TOR steel used for construction of plant and machinery in their factory premises. As the issue involved is similar and overlapping, all these appeals are taken up together for disposal. 2. The appellants are engaged in the manufacture of cement and clinker liable to Central Excise duty. For expansion of capacity, the appellants installed new plants. They procured duty paid steel items for the purpose and also captively consumed some quantity of cement on payment of duty. The dispute in the present appeals relates to their eligibility for credit of duty paid on these items. Appeal No. EX/820/2012 EX (DB) : This appeal is against confirmation of denial of credit of Rs. 91,77,265/- by the Original Authority towards duty pa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Original Authority on the decision of the Tribunal in Vandana Global Ltd. vs. CCE, Raipur reported in 2010 (253) E.L.T. 440 (Tribunal LB) is incorrect as the Hon'ble Gujarat High Court in Mundra Ports & Special Economic Zone Ltd. vs. CCE & CUS reported in 2015 (39) S.T.R. 726 (Guj.) held that no retrospective effect can be given to the Explanation 2 to Rule 2 (k) of Cenvat Credit Rules. The learned Counsel also relied on various decided cases to emphasis that the Steel items used in fabrication of various technological structures which are closely connected with various capital goods as essential accessories and support structures are eligible for Cenvat credit. These were discussed later of this order. 4. The learned AR contested the subm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ent silo etc. The raw material passes through these various sections for manufacture of final product. The appellant submitted that the cement and TOR steel were essential in putting up the new plant and machinery as they serve various functions of support structures, base etc. In this connection, we have perused the impugned orders with reference to appeal Nos. E/820/2012 and E/60114/2013. We note that the usage of TOR steel and cement to create various RCC structures, foundations, pillars, columns and civil structures have been verified by the Jurisdictional officers. The appellants claim that these are not civil constructions like buildings etc. is mis-leading. It is clear that cement alongwith TOR steel with water, sand and other additi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l items which are used in the fabrication of various technologies structures/accessories and other support structures in connection with the functional need of various capital goods in a manufacturing process. 7. We also note that the report given by the Jurisdictional Central Excise officer regarding the usage of cement as available in the impugned order dated 04/01/2012 is revealing. The cement is mainly used in the construction of kiln piers raft/footing, columns, slabs for foundation, foundation for raw mill hoper below the ground, columns in the hoper building, RCC columns, retaining wall in cold dump, columns and wall in cooler building etc. As can be seen all these are civil constructions, though with reference to the overall expans ..... X X X X Extracts X X X X X X X X Extracts X X X X
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