Zero Excise on Ethanol Produced from Molasses to Oil Companies for Blending with Petrol Withdrawn

[Excise Notification No. 30 dated 10th August 2016]

Seeks to further amend notification No.12/2012-Central Excise, dated 17.03.2012 so as to withdraw the excise duty exemption on ethanol produced from molasses generated in the sugar season 2015-16 (i.e. 1st October, 2015 to 30th September 2016), for supply to the public sector OMCs for blending with petrol..

In exercise of the powers conferred by sub-section (1) of section 5A of the Central Excise Act, 1944 (1 of 1944), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby makes the following further amendment in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No. 12/2012-Central Excise, dated the 17th March, 2012, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 163(E), dated the 17th March, 2012, namely:-

In the said notification, in the Table, serial number 40A and the entries relating thereto shall be omitted.

[F. No. 354/78/2009-TRU (Pt.)]

[Excise Notification No. 41 (Non Tariff) dated 10th August 2016]

Seeks to amend CENVAT Credit Rules, 2004 so as to withdraw the facility to avail of CENVAT credit of duty paid on molasses generated in the sugar season 2015-16 (i.e. 1st October, 2015 to 30th September 2016) which is used for producing ethanol for supply to public sector OMCs for blending with petrol by omitting rule 6 (6) (ix) of the CENVAT Credit Rules, 2004.

In exercise of the powers conferred by section 37 of the Central Excise Act,1944 (1 of 1944) and section 94 of the Finance Act, 1994 (32 of 1994), the Central Government hereby makes the following rules further to amend the CENVAT Credit Rules, 2004, namely:-

1.  (1) These rules may be called the CENVAT Credit (Ninth Amendment) Rules, 2016.

(2) They shall come into force on the date of their publication in the Official Gazette.

2.  In the CENVAT Credit Rules, 2004, in rule 6, in sub-rule (6), clause (ix) shall be omitted.

[F. No. 354/78/2009-TRU (Pt.)]