Duty on units of energy consumed

Section 3 of Bihar Electricity Duty Act, 2018 deals with duty on units of energy consumed. Subject to the provisions of sub-section (2), there shall be levied and paid to the State Government a duty (hereinafter referred to as “Electricity Duty”) at the rates specified in the Schedule appended to this Act: (a) on the consumption charges, where energy is supplied by the licensee;

(1) Subject to the provisions of sub-section (2), there shall be levied and paid to the State Government a duty (hereinafter referred to as “Electricity Duty”) at the rates specified in the Schedule appended to this Act:

(a) on the consumption charges, where energy is supplied by the licensee; or (b) the units of energy consumed by a person, where such energy is produced through - (i) Captive generation;

(ii) Co-generation;

(iii) Standby generation;

(iv) Renewable Energy; or (v) Independent Power Producer (IPP) ; or (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 Government of India, or sold to the Government of India, for consumption by that Government;

(ii) in the construction, maintenance, or operation of any railway company operating that railway, or sold to that Government or any such railway company for consumption in the construction, maintenance or operation of any railway;

(iii) for any purpose which the State Government may, by notification, in this behalf declare to be a public purpose and such exemptions may be subject to such conditions and exemptions if any, as may be mentioned in the said notification.

(iv) 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 ;

(v) by any generating company for the purposes directly connected with construction, maintenance and operation of generating plant ;

(vi) Where the energy is generated by any person for the purpose of supplying it for the use of vehicles or vessels excluding Metro and Monorail;

(vii) 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 the Schedule appended to this Act.

Section 3, Bihar Electricity Duty Act, 2018 (Act 4 of 2018).