S. B. Sinha, J. :- The petitioners in this case, inter alia, have prayed for a declaration that section 3 (2) of the Bihar Electricity Duty Act, 1948 (Bihar Act 36 of 1948) thereinafter to be referred to as the said Act is ultravires the Constitution.

2. The fact of the matter lies in a very narrow compass.

The petitioner generates electrical energy for consumption in its own factory allegedly owing to shortage in supply of electrical energy by the Bihar State Electricity Board.

According to the petitioners, it also supplies under the direction of the State of Bihar, a part of the electrical energy generated by it to the Railway Administration. It is however, not a sanction holder within the meaning of section 28 of the Indian Electricity Act, 1910.

3. The petitioners questioned the vires of section 3 (2) of the Act inter alia on the ground that the State had no jurisdiction to levy electricity duty which is in the nature of excise in view of Entry 84 List I of the 7th Schedule of the Constitution of India.

4. The petitioners further contended that in any event as in terms of section 3 (2) of the Act, certain exemption, have been provided to the Establishments mentioned therein