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TMI Blog2018 (6) TMI 724X X X X Extracts X X X X X X X X Extracts X X X X ..... ot sustain - appellants are liable to reverse/pay the wrongly availed credit. Appeal dismissed - decided against appellant. - E/40093 - 40094/2017, E/41464 - 41465/2017 - 40866-40869/2018 - Dated:- 13-3-2018 - Ms. Sulekha Beevi, Member (Judicial) And Shri Madhu Mohan Damodhar, Member (Technical) Shri K. Veerabhadra Reddy, JC (AR) for the appellant Shri C. Saravanan, Advocate for the Respondent. Per Bench The issue arising for consideration being the same, these appeals are heard together and disposed by this common order. Parties are hereafter referred to as assessee and department for convenience. 2.1 Brief facts are that the assessee, M/S India Cements Ltd, are engaged in manufacture of cement and are registe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hey are eligible for the credit and are not liable to pay/reverse the credit attributable to the portion of electricity wheeled out. They then filed two refund claims for ₹ 75,04,407/- on 10.12.2014 and for ₹ 1,96,36,617/- on 27.10.2014 under section 11B of Central Excise Act, 1944. Show Cause Notice No. 4/2015 dt. 9.03.2015 was issued proposing to reject the refund claim on the ground that appellants are not eligible for credit. After due process of law, the original authority rejected the refund claim as premature, as the issue of eligibility of credit is still pending consideration before Tribunal. Appeal E/40093/2017 is filed against rejection of refund claim for the period 9/2012 to 11/2013 and E/40094 is filed against reje ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dit on inputs/input services used for generation of electricity wheeled to TNEB and then drawn by their sister units was decided by this Bench in the appellant's own case in appeal No. E/40444/2015, vide Final Order No. 40498/2018 dt.28.02.2018. The Tribunal held that the assesse is not eligible for credit. Following the same, we find appellants are not eligible for the credit. The relevant portion of the decision in Final Order dt.28.02.2018 is reproduced as under:- 5.6 In the grounds of appeal filed by the appellants, it has been conceded that portion of power electricity/power generated was wheeled out to TANGEDCO under an agreement dated 31.08.2012 e As per para-5 of the terms and conditions mentioned in the agreement, net en ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... used by the assessee was not in relation to the manufacture of the final product or the clearance of the final product from the place of removal so far as it relates to the electricity that was wheeled out. The service of inward transportation of LNG would be an input service if that LNG was used in the production of electricity to the extent that the electricity was used by the assessee itself for manufacturing its final product. The electricity that was wheeled out to the third parties was, obviously, not used in the manufacture of the assessee's final product. Therefore on the definition of the words input service itself, the LNG, to the extent used for production of electricity wheeled out to third parties, was not an input and th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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