Orissa act 014 of 1961 : Orissa Electricity (Duty) Act, 1961

Section 1. Short title, extent and commencement

1. Short title, extent and commencement.- (1) This Act may be called the Orissa Electricity (Duty) Act, 1961.

(2) It shall extend to the whole of the State of Orissa.

(3) It shall come into force² on such date as the State Government may, by notification, appoint.

Section 2. Definition

2. Definition.- In this Act, unless there is anything repugnant in the subject or context,-

(a) "appointed authority" means-

(i) in the case of electricity undertaking engaged in the business' of supplying energy owned-or managed by the Central Government or a Board, such officer or authority as the State Government may, with the concurrence of the Central Government or the Board, as the case may be, appoint in this behalf; and

(ii) in any other case such officer or authority as the State Government may appoint in this behalf;

(b) "Board" means a Board constituted under Chapter III of the Electricity (Supply) Act, 1948 (54 of 1948);

(c) "consumer" means a person, other than a licensee, who is supplied, with energy-

(i) by a licensee;

(ii) by a Board; or

(iii) by the State Government or Central Government, and includes a consumer belonging to any of the classes specified in sub-section (2) of section 3;

(d) "energy" means electrical energy;

(e) "licensee" means any person licensed under Part II of the Indian Electricity Act, 1910, (9 of 1910) to supply energy ¹[* * *];

²[(e-1) "maximum demand" shall have the same meaning as assigned under the Electricity (Supply) Act, 1948; (54 of 1948)].

(f) "prescribed" means prescribed by rules made under this Act;

(g) "rate charged" does not include hire for meter or service line, but includes-

(i) where any rebate is allowed on account of payment being made within any specified period, the rebate so allowed;

(ii) the minimum charges, if any, payable by the consumer;

(iii) in the case of a two-part tariff the fixed charge and also the unit charge;

(iv) in the case of the unmetered supply, the periodical charge made therefor; and

(v) any surcharge on the rates whether imposed by the licensee, Board, the State Government or the Central Government.

¹[Explanation- For the purposes of sub-clause (iii),-

(a) ‘unit charge’ means the charge for the energy actually consumed, and

(b) ‘fixed charge’ means kilovolt ampere demand charge or reservation charge on maximum demand actually recorded.]

(h) words and expressions not defined in this Act but defined in the Indian Electricity Act, 1910, (9 of 1910) shall have the meaning assigned to them in that Act.

Section 3. Electricity duty on energy supplied to consumers

3. Electricity duty on energy supplied to consumers.- ²[(1) There shall be levied for and paid to the State Government, on the energy consumed by a consumer, a duty (hereinafter referred to as the "electricity duty") computed on the basis of the rate charged therefor by a licensee, by the Board or by any Government referred to in clause (c) of section 2 at the rates specified hereunder:-

(a) Where the rate charged is calculated on the energy consumed in a month the electricity duty shall be computed at the rate of-

(i) fifteen per cent of the rate charged for the first one thousand units or part thereof;

¹[²[(ii) for the next ninety-nine thousand units or part thereof, twenty-five per cent of the rate charged if the energy has been consumed only for the purposes of irrigation and thirty per cent in other cases; and;]

(iii) forty per cent of the rate charged for the remainder.]

(b) In cases where the rate charged is the minimum charge electricity duty shall be computed at the rates specified in clause (a) on the basis of units actually consumed.

³(c) In the case of two-part tariff the electricity duty shall be computed in respect of the fixed charge at the rate of fifteen per cent of the fixed charge, if the energy has been consumed only for the purposes of irrigation and at the rate of twenty-five per cent of the fixed charge in other cases; and in respect of the unit charge at the rates specified in clause (a)].

(d) In the case of, unmetered supply or surcharge the electricity duty shall be computed at the rate of fifteen per cent of the periodical charge or surcharge, as the case, may be.]

⁴[(e) In case where the rate charged is based on maximum demand the electricity; duty shall be computed in accordance with clause (a) and for the purpose, of such computation the rate charged per unit shall be arrived at by dividing the rite charged in respect of a month by the number of units consumed in that month:

Provided that where such maximum demand is related to a period of one year, electricity duty as computed under the preceding clause shall be re-computed at the close of the year on the basis of the average rate charged per unit which shall be arrived at by dividing the total rate charged in respect of the year by the total number of units consumed during that year and if the electricity duty so re-computed is more than, the amount paid, in respect of the year on account of electricity duty the difference shall, be paid by the consumer within month from the date of receipt of a demand notice issued in that behalf or if the amount paid is in excess of the duty so re-computed the excess amount, shall be refunded to the consumer within one month from the date of completion of the re-computation.]

(2) There, shall also be lowed for and paid to the State Government electricity duty at the aforesaid rate on the energy which is-

(i) consumed by a licensee or Board upon its premises used for commercial or residential purposes:

¹[Exploitation I- Premises used for commercial purposes shall include premises used for industrial purposes.

Explanation II- Consumption of energy upon premises used for residential purposes shall also include consumption of energy on such premises for the purposes of water pumping, sewerage disposal and lighting of public streets and other public places.]

(ii) supplied to a consumer by a licensee or Board free of charge;

²[(iii) generated by a person ora licensee other than a Board and supplied free of charge to a consumer; or

(iv) used or consumed by a person or a licenses who, not being a Board, generates such energy for his own use or consumption.]

¹[(3) The rate charged for the purposes of sub-section (2) shall be the rate charged by the Board for consumption of energy in respect of similar categories of consumers.]

(4) Notwithstanding anything in the foregoing sub-sections-

(a) the electricity duty shall in no event together with the rate charged, exceed ²[seventy five paise] per kilowatt-hour and no such duty shall be levied or paid where the rate charged, is ²[seventy five paise] or more; and

(b) no duty shall be levied or paid in respect of any energy generated by a plant having capacity not exceeding five kilowatts.

³[(c) the State Government may, by notification and subject to such conditions as they may impose, exempt any industry which has started production at any time after the 31st day of July, 1980 from payment of electricity duty to such extent and for such period as may be specified in the notification.]

Section 4. Consumers to pay electricity duty

4. Consumers to pay electricity duty.- The amount of electricity duty levied under section 3 on the energy consumed by a consumer shall be payable by, and be collected and recovered from the consumer in the manner hereinafter provided.

Section 5. Collection of electricity duty

5. Collection of electricity duty.- (1) The electricity duty shall be collected from the consumer and paid to the State Government-

(a) where the energy is supplied by a licensee, by the licensee;

(b) where the energy is supplied by or on behalf of the State Government or the Central Government or Board, by the appointed authority concerned; and

(c) where the energy is generated by a person other than a license or the Board, by such person:

Provided that the licensee or the appointed authority shall not be liable to pay duty in respect of energy supplied by it for which it has not been able to recover its dues:

Provided further that where the amount of electricity duty collected by a licensee from a consumer or the amount of such duty payable by the person specified in clause (c) is not paid to the State Government within the prescribed period the licensee or such person shall be liable to pay interest at the rate of twelve and a half per cent per annum on the amount of the electricity duty remaining so unpaid until the payment thereof is made.

(2) The duty and the interest, if any, so payable shall be a first charge on the amount recoverable by the licensee or appointed authority for the energy supplied by him and shall be a debt due by him to the State Government.

(3) Where any consumer fails or neglects to pay at the prescribed time and in the prescribed manner, the amount of electricity duty due from him, the licensee or the appointed authority as the case may be entitled to collect such dues may, without prejudice to the right of the State Government to recover the amount under section 10, exercise the powers conferred on a licensee under sub-section (1) of section 24 of the Indian Electricity Act, 1910 (9 of 1910) as if the duty was a charge or sum due in respect of energy supplied to, such consumer.

Section 6. Records and returns

6. Records and returns.- (1) If the State Government so direct by a general or special order a licensee or any appointed authority or the person generating energy for his own use or consumption shall maintain such record in such manner and form as may be prescribed showing-

(i) the units of energy generated or received by it for supply to the consumers;

(ii) the units of energy supplied to the consumers or consumed by him;

(iii) the amount of the duty payable thereon and the duty recovered or paid by him under section 5;

(iv) the amount of interest, if any, paid by the licensee under section 5; and

(v) such other particulars as may be prescribed.

(2) Every licensee and every appointed authority and every person generating energy for his own use or consumption, who has been directed under subjection (1) to maintain a record shall submit such returns in such form and manner as may be precribed.

(3) The amount of energy shall for purposes of clauses (i) and (ii) of sub-section (1) be ascertained in such manner as may be prescribed.

Section 7. Inspecting officers

7. Inspecting officers.- (1) The State Government may, by notification in the official Gazette, appoint any person as they think fit having the prescribed qualifications to be Inspector for the purposes of this Act.

(2) Every Inspector shall be deemed to be a public servant within the meaning of section 21 of the Indian Penal Code (45 of 1850).

Section 8. Disputes between the licensee and the consumer

8. Disputes between the licensee and the consumer.- (1) The Electric Inspector or such, other officer not below the rank of an Assistant Engineer or an Assistant Electric inspector as may be authorised by the State Government in that behalf shall have the power to decide all disputes relating to the liability for payment of the electricity duty or exemption therefrom.

(2) Subject to the decision in appeal before such authority as may be constituted by the State Government in that behalf by a notified order, preferred within three months from the date, of the order under sub-section (1), such order shall be final.

Section 9. Powers of Inspectors

9. Powers of Inspectors.- (1) Subject, to the provisions of any rules made by the State Government in this behalf an Inspector may-

(i) require production for inspection, of such books and records as may be necessary for ascertaining or verifying the amount of electricity duty leviable under this Act;

(ii) enter and search any premises where energy is, or is believed to be supplied for the purpose of-

(a) verifying the statements made in the books of account kept, and returns submitted, under Section 6;

(b) testing the reading of meters;

(c) verifying the particulars required in connection with the levy of electricity duty;

(iii) exercise such other powers and perform such other duties as may be necessary for carrying out the purposes of this Act or the rules made thereunder.

(2) All searches made under sub-section (1) shall be made in accordance with the provisions of the Code of Criminal Procedure, 1898 (5 of 1898).

Section 10. Electricity duty recoverable as arrear of land revenue

10. Electricity duty recoverable as arrear of land revenue.- Any sum due on account of electricity duty, and interest, if any, if not paid within the prescribed time and in the prescribed manner, shall be recoverable by the State Government as an arrear of land revenue-

(a) in the case of energy supplied by a licensee, at the discretion of the State Government either from the consumer or, subject to the first proviso to sub-section (1) of section 5 from the licensee; and

(b) in the case of other energy, from the person liable to pay such duty under this Act.

Section 11. Penalties

11. Penalties.- If any person-

(a) required by section 6 to keep any record or to submit returns fails to keep or submit the same in the prescribed manner or form; or

(b) intentionally obstructs an inspecting officer appointed under section 7 in the exercise of his powers and duties under this Act and the rules made thereunder; or

(c) contravenes any rules made under this Act;

he shall be guilty of an offence triable by a Magistrate of the first class and on conviction shall be liable to punishment with imprisonment which may extend to six months or with fine which may extend to one thousand rupees or with both.

Section 12. Power to make rules

12. Power to make rules.- (1) The State Government may make, rules for the purpose of carrying into effect the provisions of this Act.

(2) In particular and without prejudice to the generality of the foregoing power, such rules may provide for-

(a) the manner of calculating the duty including marginal adjustments under section 3;

(b) the manner of collection and payment to the State Government of the electricity duty by the licensees and the appointed authorities;

(c) the time and manner of payment of the electricity duty by consumers; and

(d) any other matter for which provision is, in the opinion of the State Government, necessary for giving effect to the provisions of this Act.

Section 13. Removal of doubts

13. Removal of doubts.- For the avoidance of doubt, it is hereby declared that nothing in this Act shall, be taken to impose or authorise the imposition of, a tax on the consumption or sale of electricity whether produced by a Government or other persons which is-

(a) consumed by the State Government or by the Government of India or sold to the Government of India for consumption by that Government; or

(b) consumed in the construction, maintenance or operation of any railway of the Government of India, or sold to that Government for consumption in the construction, maintenance or operation of any railway.

Section 14. Power to remove difficulty

14. Power to remove difficulty.- If any difficulty arises in giving effect to the provisions of this Act, the State Government shall have power as occasion may arise, by order to do anything not inconsistent with the provisions of this Act or the rules made thereunder which appears to them necessary for the purpose of removing the difficulty.