Madhya Pradesh Electricity Duty Act, 1949

The Supreme Court examined whether the sale of electricity by National Thermal Power Corporation Ltd. (NTPCL) to electricity boards in other states constituted an inter‑State sale and could be taxed by the states under their Electricity Duty Acts. It held that electricity is a "good" and that its generation, transmissi…

Hindustan Copper Ltd., a government company engaged in open‑cast mining of copper ore and its subsequent processing into copper concentrate, challenged the levy of electricity duty under the Madhya Pradesh Electricity Duty Act, 1949. The Act’s Section 3 (Explanation (b)) defines a “mine” to include premises or machiner…

Manganese Ore India Ltd. challenged the levy of a 40% electricity duty on its ferro‑manganese plant, arguing that the plant’s activities constitute manufacturing, not "processing" as defined in Explanation (b) of Part B of the Madhya Pradesh Electricity Duty Act, 1949. The State contended that the plant fell within the…

The State of Madhya Pradesh appealed against a Madhya Pradesh High Court judgment that had held the electricity duty payable by Mis. Birla Jute Manufacturing Co. Ltd. for power consumed at its limestone mine premises should be calculated at the lower rate under Item (2) of the Table to Section 3 of the Madhya Pradesh E…

The State of Madhya Pradesh, in its 1961 industrial policy, promised a five‑year exemption from electricity duty to industrialists who generated power themselves using new generating sets installed during the Third Plan. Orient Paper Mills Ltd. indicated in 1955 that it would need 5,000 kW and planned to set up its own…