STAR CEMENT LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) Heard Dr. A. Saraf, learned Senior Counsel assisted by Mr. P. K. Bora, learned counsel for the petitioner. Also heard Mr. R.K.D. Chou-dhury, learned Dy. SGI for the respondents.

(2.) The petitioner is a cement manufacturing company and prays that the petitioner should be given transport subsidy for transportation of Fly Ash under the Transport Subsidy Scheme, 1971 read with North East Industrial and Investment Promotion Policy (NEIIPP), 2007. Further, the Freight Subsidy Scheme, 2013 which was introduced, vide Notification dtd. 22/1/2013 should be declared inoperative against the petitioner, as the subsidy given for fly ash was done away with in the Freight Subsidy Scheme, 2013. The petitioner's case is that with a view to promote industries in the North Eastern region of India, unveiled the North East Industrial and Investment Promotion Policy, hereinafter referred to as the NEIIPP, 2007, which was to be effective from 1/4/2007 for 10 years. The Transport Subsidy Scheme, 1971 ended on 22/1/2013, while the petitioner commenced commercial production of cement from 31/1/2013.

(3.) The petitioner's case is that keeping in view the Transport Subsidy Scheme, 1971 and the NEIIPP, 2007, the petitioner established his cement manufacturing company with an eye to avail the benefits of various subsidies, one of them being transport subsidy given for transporting Fly Ash. In terms of Clause (ii) "Duration" of the Office Memorandum No. 10(3)/2007-DBA-II/NER dtd. 1/4/2007 issued by the Government of India, Ministry of Commerce and Industry Department of Industrial Policy and Promotion, i.e. NEIIPP, 2007, "All new units as well as existing units which go in for substantial expansion, unless otherwise specified and which commence commercial production within the 10 year period from the date of notification of NEIIPP, 2007 will be eligible for incentives for a period of ten years from the date of commencement of commercial production". Clause (xiv) of the OM dtd. 1/4/2007 pertains to Transport Subsidy Scheme and states that: