The Maharashtra Electricity Duty Act, 2016

--- Section 1. Section 1.Short title, extent and commencement. --- ( 1 ) This Act may be called the Maharashtra Electricity Duty Act, 2016. ( 2 ) It extends to the whole of the State of Maharashtra. ( 3 ) It shall come into force on such date 2 as the State Government may, by notification in the Official Gazette , appoint. [Footnotes] 1. This Act come into force vide G. N., I. E. and L. D., No. ELD. 2012/CR 111/NRG-1., dated the 31st August 2016, with effect from 1st September 2016. --- Section 2. Section 2.Definitions. --- ( 1 ) In this Act, unless the context requires otherwise,- ( a ) "Captive generation" means an energy generated from a 'Captive generating plant' defined in clause ( 8 ) of section 2 of the Electricity Act, and the rules made thereunder by the Central Government in this behalf ; (b) "Co-generation" means an energy generated in a process, which simultaneously produces two or more forms of useful energy including electricity ; ( c ) "Commission" means the Maharashtra Electricity Regulatory Commission constituted by the State Government under section 82 of the Electricity Act ; ( d ) "Consumer" means any person who is supplied with electricity for his own use by a licensee or the Government or by any other person engaged in the business of supplying electricity to the public under the Electricity Act, or any other law for the time being in force and includes any person whose premises are for the time being connected for the purpose of receiving electricity with the works of a licensee, the Government or such other person, as the case may be ; ( e ) "Consumption charges" means the charges levied by the licensee under this Act for the energy consumed by a consumer which shall include the fixed charges such as demand charges, variable charges such as energy charges, fuel adjustment charges and reliability charges, as per the tariff approved by the Commission, but does not include the penal charges or incentives, for delayed or prompt payment, power factor, harmonics, load factor, interest charged thereof and compounding charges on assessment, as the case may be ; ( f ) "Electrical Inspector" means a person appointed by the State Government under sub-section ( 1 ) of section 162 of the Electricity Act ; ( g ) "Electricity Act" means the Electricity Act, 2003 (36 of 2003) ; ( h ) "Electricity Duty Inspector" means a person appointed by the State Government under sub-section ( 1 ) of section 8 ; (i) "Energy" means electrical energy generated, transmitted, distributed, consumed, traded or wheeled for any purpose ; ( j ) "Generating company" means any company or body corporate or association or a body of individuals, whether incorporated or not, or artificial juridical person, which owns or operates or maintains a generating station ; ( k ) "Government" or "State Government" means the Government of Maharashtra ; ( l ) "Independent Power Producer (IPP)" means a producer of electrical energy which is not a public utility but which makes electrical energy available for sale to utilities or end users ; ( m ) "Industry" means an industrial undertaking declared as such under any other law for the time being in force in the State of Maharashtra and includes the industries covered by the various industrial policies declared by the State Government, from time to time ; ( n ) "Licensee" means a person who has been granted licence under section 14 of the Electricity Act, for transmission, distribution, supply, trading in electricity and includes those who hold status of a deemed licensee and also those exempted under section 13 of the Electricity Act ; ( o ) "Open access" means the non-discriminatory provision for the use of transmission lines or distribution system or associated facilities with such lines or system by any licensee or consumer or a person engaged in generation in accordance with the regulations made by the Commission ; ( p ) "Prescribed" means prescribed by rules made under this Act ; ( q ) "Renewable Energy" means the grid quality electricity generated from Renewable Energy Sources, which are a part of earth’s natural environment and can replenish with the passage of time, either through biological reproduction or other naturally recurring processes, such as sunlight, wind, rain, tides, waves, geothermal heat, biomass, biofuels but does not include fossil fuel ; ( r ) "Renewable Energy Sources" means the renewable sources such as Mini, Micro and Small Hydro, Wind, Solar, Biomass including Bagasse or Agricultural Waste, Bio-fuel, urban or Municipal Solid Waste, Industrial Waste and such other sources recognised or approved by the Ministry of New and Renewable Energy of the Government of India ; ( s ) "Schedule" means the Schedule appended to this Act ; ( t ) "Standby generation" means generation of electricity done in absence of existing licensee’s electric supply due to failure or interruption or load shedding or outage taken by electricity supplier on account of maintenance, repairs, but not due to the disconnection of supply in default of payment as per the provisions of section 56 of the Electricity Act ; ( u ) "Unit" means unit of measurement of energy consumed in Kilowatt per hour (kWh). ( 2 ) Words and expressions used in this Act but not defined herein shall have the same meanings as assigned to them under the Electricity Act, 2003 (36 of 2003). --- Section 3. Section 3.Duty on units of energy consumed. --- ( 1 ) Subject to the provisions of sub-section (2), there shall be levied and paid to the State Government, on the consumption charges or the units of energy consumed, a duty (hereinafter referred to as "Electricity Duty") at the rates classified as per the Tariff Schedule of the Commission, from time to time, on the basis of use of the premises by the consumer on whose name energy is supplied by the licensee, or a consumer who is consuming energy produced from an independent source other than that supplied by the licensee, for his own use as specified in the Schedules, which are based on the following classifications :- ( a ) the consumption charges where energy is supplied by the licensee ; Explanation .- For the purpose of this sub-section, "use of the premises by the consumer on whose name energy is supplied" means the basis of purpose for which the consumer in whose name supply has been released and measured by the meter installed at point of supply by the licensee, on which the consumption charges are billed as per the tariff, however, in huge industrial parks, commercial premises or malls where electricity is supplied at single point or as bulk consumers and further it is re-distributed as one of the utility service provided by the owner of the premises to the end users occupying the area on lease or rent or otherwise, whose purpose of use of electricity at the user’s end may vary categorically ; (b) units of energy consumed by a person and energy produced through the- (i) Captive generation ; ( ii ) Co-generation ; ( iii ) Standby generation ; ( iv ) Renewable Energy ; or (v) Independent Power Producer (IPP) ; ( c ) units of energy consumed which are not covered under clauses ( a ) and (b) , that is, open access or other sources. ( 2 ) Electricity duty shall not be levied on the consumption charges or energy consumed,- (i) by the State Government excluding the public undertakings ; ( ii ) by the Central Government excluding the public undertakings ; ( iii ) for the purposes of, or in respect of a school or college or institution imparting education or training, students’ hostels, hospitals, nursing homes, dispensaries, clinics, public streets lighting, public water works, sewerage systems, public gardens including zoos, public museums, administrative offices forming whole or, as the case may be, a part of system run by any local bodies constituted under any law for the time being in force in the State of Maharashtra ; ( iv ) by the Government hostels ; ( v ) by any licensee, or by any other person engaged in the business of supplying electricity to the public under the Electricity Act, for the purposes directly connected with construction, maintenance, operation of any transmitting and distributing system, including the losses incurred therein ; ( vi ) by any generating company for the purposes directly connected with construction, maintenance and operation of generating plant ; ( vii ) where the energy is generated by any person for the purpose of supplying it for the use of vehicles or vessels 1 * * * * * ; ( viii ) where the electricity is generated at a voltage not exceeding 100 volts. ( 3 ) Notwithstanding anything contained in sub-section ( 2 ), in respect of the premises used for residential purposes there shall be levied and paid to the State Government an electricity duty on the consumption charges as per Schedule A. --- Section 4. Section 4.Power to exempt electricity duty. --- Subject to the conditions as it may impose, the State Government may, if considers it necessary in the public interest so to do, by notification in the Official Gazette , exempt, prospectively or retrospectively, the electricity duty on the consumption of energy, in the whole or any part of the State, in respect of any class of premises or purposes, in such areas and for such period as may be specified therein, or in respect of energy consumed up to a specified limit, from the payment of the whole or any part of the electricity duty payable as per the Schedules, having regard to- (i) the availability and price of energy prevailing therein and to the state of industrial or agricultural development, educational, medical aid, facilities, social conditions, and ( ii ) the various policies and need, and conditions of overall development in the areas declared by general or special order, specified in this behalf : Provided that, nothing contained in this Act shall affect any order issued in this regard before the commencement of this Act, and such order shall continue to be in force till the period mentioned therein expires, and where such period is not mentioned, any further order is issued in that respect under the provisions of this Act. --- Section 5. Section 5.Power to modify rates of electricity duty. --- The State Government may, by notification in the Official Gazette , subject to such terms and conditions as may be specified therein, modify the rates of electricity duty in respect of such class of consumers, such type of generation, in such areas and for such period as specified. --- Section 6. Section 6.Payment and recovery of electricity duty. --- ( 1 ) Every licensee shall collect and pay to the State Government at the time and in the manner prescribed, the proper electricity duty payable under this Act, based on- (i) the consumption charges in respect of energy supplied by him to consumers classified under clause ( a ) of sub-section ( 1 ) of section 3, as per Schedule A; ( ii ) the units of energy consumed in respect of energy supplied by wheeling to the consumers availing open access facility classified under clause ( c ) of sub-section ( 1 ) of section 3, as per Schedule C and also as per prevailing rates of consumption charges of distribution company or licensee which are mentioned in Schedule A. ( 2 ) The duty so payable shall be a first charge on the amount recoverable by the licensee for the energy supplied or wheeled by him, and shall be a debt due by him to the State Government : Provided that, where the licensee has been unable to recover his dues for the energy supplied or wheeled by him, he shall not be liable to pay the duty in respect of the energy so supplied. ( 3 ) Every person, who falls under clause (b) of sub-section ( 1 ) of section 3, who consumes the energy fully or partly for his own use or supplies to any other person or persons, shall pay to the State Government, at the time and in the manner prescribed, the proper electricity duty payable under this Act in respect of the energy consumed by him or by the consumers to whom he has supplied energy, as per Schedule B. He may recover the portion of the electricity duty on the energy consumed by the other person or persons to whom he has supplied energy. ( 4 ) Every person, not being a licensee or generating company, who falls under clause ( c ) of sub-section ( 1 ) of section 3, consumes energy and utilises fully or partly for his own use or supplies to any other person or persons, shall pay to the State Government, through the licensee, at the time and in the manner prescribed, the proper electricity duty payable under this Act in respect of energy consumed by him or by the consumers to whom he has supplied energy, as per Schedule C. He may recover the portion of the electricity duty on the energy consumed by the other person or persons to whom he has supplied the energy : Provided that, where a person falling under sub-section ( 3 ) or sub-section ( 4 ) has been unable to recover his dues for the energy supplied by him to any other person or persons, he shall be liable to pay the duty in respect of the energy so supplied. ( 5 ) Nothing contained in sub-sections ( 3 ) and ( 4 ) shall apply if the energy is supplied to the licensee. ( 6 ) Where any person fails or neglects to pay, at the time and in the manner prescribed, the amount of electricity duty due from him, the licensee, or as the case may be, the person supplying energy, may, without prejudice to the right of the State Government to recover the amount under section 11, deduct such amount of electricity duty from the amount, if any, on account of deposit or refund due, with the licensee or the person supplying energy, after giving not less than seven clear days’ notice in writing to such consumer or person to whom energy is supplied, cut off the supply of