Commnr. Of Central Excise & Ors vs M/S. Solaris Chemtech Limited & Ors

The Supreme Court addressed the entitlement of the assessee to MODVAT credit under Rule 57A for Low Sulphur Heavy Stock (LSHS) and furnace oil used in generating electricity for manufacturing final products like caustic soda and cement. The Court held that LSHS qualifies as an 'input' under the Explanation clause (c) of Rule 57A, allowing for credit on excise duty. The judgment affirmed the applicability of MODVAT credit for fuels used in captive consumption, thereby ruling in favor of the assessees.