JUDGMENT :

K.Kumaresh Babu, J.

Prayer: Writ Appeal filed under Clause 15 of Letters Patent, against the order of this Court dated 18th June 2010 made in W.P.No.1197 of 2003.

This intra-Court appeal has been preferred by the unsuccessful writ petitioner challenging the demand notice dated 20.12.2002 issued by the first respondent calling upon the appellant to pay a sum of Rs.10,40,53,657.45 towards electricity tax on self generation.

2. Heard Mr.AR.L.Sundaresan, learned Senior Counsel appearing for the appellant, Mr.S.Silambanan, learned Additional Advocate General assisted by Mr.N.Abdul Kalaam, learned counsel appearing for the first respondent and Mr.K.V.Sajeev Kumar, learned Special Government Pleader appearing for the respondent 2 and 3.

3. Mr.AR.L.Sundaresan, learned Senior Counsel appearing for the appellant would submit that the appellant is a manufacturer of chemicals and fertilizers such as Urea and Di-Ammonium Phosphate. They also manufacture Ammonia, Carbon-dioxide, Sulphuric Acid, Phosphoric Acid, Gypsum and Hydrofluoro Silicic Acid at their factory in Tuticorin. They also availed the service of the Electricity Board and were provided with High Tension connections. As the industry is a continuous processing industry, the appellant had also installed Captive Turbo Generators as there was an acute shortage of power.

4. Learned Senior Counsel would further submit that the State of Tamil Nadu exercising its power under Section 13 of the Tamil Nadu Electricity (Taxation on Consumption) Act, 1962 had issued orders exempting various industries from payment of electricity tax on self generated electricity energy. By G.O.Ms.No.852, Public Works Department dated 20.05.1988, the Government had exempted chemical industries from payment of electricity tax on consumption of self generated electricity energy from Captive Generators irrespective of the fuel used for a period of five years from 01.04.1988. The period was extended for a further period of one year from 01.08.1993 by G.O.Ms.No.1134, Public Works (VI) Department dated 30.07.1993. Again by two Government Orders in G.O.Ms.No.135 Energy (B1) Department dated 31.10.1994 and another G.O.Ms.No.11 Energy (B1) Department dated 30.01.1996, the period of exemption was extended for a further period from 01.08.1994 and 01.08.1995 respectively. By G.O.Ms.No.126 Energy (B1) Department dated 23.09.1996, the said exemption was made permanent. While that being so, the first respondent on 23.01.1995 had made a demand calling upon the appellant to remit a sum of Rs.10,50,53,657.45 towards electricity tax on self generated energy for the period from January 1986 to March 1994.

5. He would submit that the appellant had challenged the said demand before this Court in W.P.No.1923 of 1995. An order of interim stay was granted on condition that the appellant shall deposit a sum of Rs.10 lakhs on or before 10.03.1995, which has been paid by the appellant. Thereafter, this Court by its order dated 12.07.2002 had set aside the demand and given liberty to the appellant to file their objections on or before 31.07.2002 and the first respondent was directed to pass appropriate orders on merit by giving an opportunity of hearing. Pursuant to which, the appellant had given a detailed representation on 22.07.2002 as to how they are also entitled for an exemption. The appellant had contended that various Authorities have classified the appellant as a chemical industry and the end product has also been chemical product which was used as a fertilizer. In support of their contentions they had also produced various literatures pointing out that they are a chemical industry. By another letter dated 16.12.2002 they had reiterated their claim.

6. Learned Senior Counsel would contend that the first respondent without considering the issue in its right perspective had rejected their claim on the ground that the appell