(1) Save as otherwise provided in sub-section (2), every licensee in the 5[State of 6[Telangana]] shall pay every month to the 7[State] Government in the prescribed manner, a duty calculated at the rate of 8[six paise per unit of energy], on and in respect of all sales of energy, 9[except sales to the Government of India for consumption by that Government or sales to the Government of India or a railway company operating any railway for consumption in the construction, maintenance or operation of that railway] effected by the licensee during the previous month at a price of more than 10[twelve paise per unit] 11[and on and in respect of all energy which was consumed by the licensee during the previous month for purposes other than those connected with the construction, maintenance and operation of his electrical undertaking and which, if sold to a private consumer under like conditions, would have fetched a price of more than 10[twelve paise per unit].
5. Substituted “State of Andhra Pradesh” for the “Andhra Area of the State of Andhra Pradesh” by Act No.8 of 1968.
6. Substituted by G.O.Ms.No.16, Energy (Budget) Department, dated
31.05.2016.
7. The word “State” was substituted for the word “Province” by the Adaptation Order, 1950.
8. Substituted for “four paise per unit of energy” by Act No.1 of 1994.
9. Substituted by the Andhra (Amendment) Order, 1950 for the words and brackets “(except sales to the Central Government for consumption by that Government or to the Federal Railway)” which were inserted by section 2 and deemed to have formed part of the main Act from its commencement by section 3 of, and the second Schedule to Act VII of
1948.
10. Substituted for “two annas” by Act No.8 of 1968.
11. Added by section 3 (i) of Madras Act VIII of 1945 re-enacted permanently by section 2 of, and the First Schedule to Act VII of 1948.
Levy of a duty in certain sales of electrical energy.
[Act No.V of 1939] 3 12[Provided that no duty under this sub-section shall be payable on and in respect of sale of energy effected,-
(a) by the 13Telangana State Electricity Board to any other licensee;
(b) by the National Thermal Power Corporation to the 13Telangana State Electricity Board.]
14[(2) A licensee shall be exempt from duty under subsection (1) in any month if in the previous month the total sales of energy effected by him at whatever price together with the energy consumed by him for purposes other than those connected with the construction, maintenance and operation of his electrical undertaking, did not exceed 16,666 units:
Provided that if at the end of any financial year, it is found that in such year the total sales of energy effected by the licensee at whatever price together with the energy consumed by him for purposes other than those connected with the construction, maintenance and operation of his electrical undertaking, were not less than 200,000 units, the licensee shall pay the duty in respect of any month or months comprised in such year in which the total of the sales and of the consumption as aforesaid did not exceed 16,666 units.]
(3) Where a licensee holds more than one licence, duty shall be calculated and levied under this section separately in respect of each licence.
12. Added by Act No.10 of 1985.
13. Substituted by G.O.Ms.No.16, Energy (Budget) Department, dated
31.05.2016.
14. Substituted for original sub-section (2) by section 3 (ii) of Act VII of
1948.
4 [Act No.V of 1939] 15[(4) Where a licensee who is liable to pay duty under this section sells energy to the 16[Government of India for consumption by that Government or to a railway company operating any railway for consumption in the construction, mainennance or operation of that railway], the price charged on such sales shall be less by the amount of the duty than the price charged to other consumers of a substantial quantity of energy, provided the price last mentioned is more than 17[twelve paise] per unit.
In this sub-section, the expression „price charged to other consumers‟ shall include the duty, if any, recoverable from the consumer under sub-section (1) of section 7.
18[Explanation:- The expression “railway” in this section and in section 9 shall have the meaning assigned to it in clause (20) of article 366 of the Constitution].
19[3-A. Notwithstanding anything contained in this Act, the Government may, in public interest, by notification, setting out the grounds therefor, exempt, either permanently or for a specified period, a licensee from payment of the whole or part of the duty payable under section 3, subject to such
15. This sub-section and explanation were added by section 2 of Madras Act II of 1943 re-enacted permanently with specified modifications by section 3 of, and the second schedule to Act VII of 1948. This amendment shall be deemed to have formed part of the principal Act from its commencement.
16. Substituted for the words “Central Government for consumption by that Government or to the Federal Railway Authority or a railway company operating a Federal Railway for consumption in the construction, maintenance or operation of a Federal Railway” by the Andhra (Amendment) Order, 1950.
17. Substituted for “two annas” by Act No.8 of 1968.
18. Substituted for the original Explanation by the Andhra (Amendment) Order, 1950.
19. Inserted by Act No.21 of 1996.
Power to exempt.
[Act No.V of 1939] 5 terms and conditions as may be specified in the said notification.]
20[3-B. (1) Every person or a generating company who generates energy and uses for his own purpose shall pay every month to the State Government, a duty calculated at the rate of twenty five paise per unit of energy on and in respect of such energy consumed during the previous month:
Provided that no duty shall be leviable in respect of the energy consumed in the auxiliaries of the generating plant.
(2) The State Government, may, by notification specify from time to time the minimum aggregate capacity of the generating plant from which the energy generated and used shall attract levy of duty under sub-section (1) thereof.
(3) The State Government, may, by notification exempt either permanently or for a specified period any person or a generating company from payment of the whole or part of the duty payable under sub-section (1) subject to such terms and conditions as may be specified in the said notification.]