Hon’ble Ashwani Kumar Mishra, J.—Whether ‘Regasified Liquefied Natural Gas’ i.e. ‘RLNG’, sold to revisionist by Gas Authority of India Ltd. i.e. ‘GAIL’ is ‘Compressed Natural Gas (CNG)’, so as to oust it from the purview of taxing Entry 8(a) of Schedule IV of Uttar Pradesh Value Added Tax Act, 2008, (hereinafter referred to as ‘Act’) is the question for consideration in this revision. ‘RLNG’ is a Natural Gas and its name is derived with its flow from M/s Ras Laffan Liquefied Natural Gas Company Limited at Doha, Qatar, the source company from which it is procured by ‘GAIL’.

2. Revisionist is a public limited company incorporated under The Companies Act, 1956. It manufactures C.R. Coils/Strips, G.P. Coils/Strips and G.C. Sheets at its industrial unit located at Industrial Area, Sahibabad, Ghaziabad. For energising its plant, revisionist uses ‘RLNG’, after purchasing it from GAIL, pursuant to a Gas Sale Agreement, executed from time to time. One such agreement dated 20th February, 2013 is on record.

3. Natural Gas supplied to the revisionist by GAIL is imported. The process followed for the purpose, as detailed in this petition, is as under :

(i) Natural Gas is first liquefied at the place of origin i.e. Dahej in Qatar and termed as Liquefied Natural Gas (LNG).

(ii) LNG is then transported in shipping tankers to India.

(iii) LNG is re-gasified at Liquifaction Terminals near port of import, and such re-gasified ‘LNG’ is called ‘RLNG’.

(iv) RLNG is compressed at Compression Stations at/near the port of import for its transportation through pipelines; intermediate compressing stations are setup along the pipeline maintained for compression of natural gas for its transportation.

(v) RLNG, a natural gas, is then supplied to revisionist at the pressure specified in the Gas Supply Agreement. Such natural gas is used for generation of electricity consumed for manufacturing different species of iron and steel at the industrial plant of revisionist.

4. The Gas Supply Agreement defines various terms used in the agreement. Some of such terms, relevant for our purposes, are extracted hereinafter:

“(i) “Bar” is defined to mean absolute pressure of 1.01972 kilograms per square centimeter or 14.504 pound per square inch.

(ii) “Delivery Point” is defined as the point at the flange connecting the Gas Transporter’s Facilities to the Buyer’s facility, which in the present case, is the factory gate of the Revisionist.

(iii) Clause 2.1 defines the agreement, i.e. “Seller agrees to sell and tender for delivery at the Delivery Point, and Buyer agrees to purchase, receive and take at the Delivery Point and pay for the gas in the quantities at the times and the prices determined in accordance with and subject to the terms and conditions of the Agreement.”

(iv) Clause 2.3 stipulates that the transfer of title in the goods will pass from the seller to the buyer at the delivery point.

(v) Clause 9.1 defines the agreement between the parties that the gas supplied by GAIL to the revisionist would not be less than 3 bars, i.e. it is much above the atmospheric pressure.

(vi) Appendix 5 stipulates that the Gas Transporter’s Facilities include:

- Compressor stations at suitable locations to transport the gas as well as meet the contractual requirements of the consumers and

- Consumer terminals including pressure reduction, metering facilities, chromatograph etc. for supply of gas to consumers. (v.p. 196)”

5. According to the revisionist, ‘RLNG’ supplied to it by GAIL is natural gas in compressed form i.e. above 03 bars, and as such is Compressed Natural Gas (CNG). Natural Gas is not in compressed state only when it remains at normal atmospheric pressure which is 01 bar. Supply of gas to the revisionist between 05 to 07 bars i.e. in compressed state, therefore, is not in dispute.

6. Tribunal has held that ‘RLNG’ is not Compressed Natural Gas (CNG), and