Concessions and Exemptions Extended to Energy Saving Devices, Plants and Equipments Required for Solar Thermal Projects
Presenting the Budget in the LokSabha today, the Union Finance Minister Shri Pranab Mukherjee has proposed concessions and exemptions for encouraging the consumption of energy-saving devices, plant and equipment needed for solar thermal projects. The Finance Minister proposed to fully exempt a coating chemical used for compact fluorescent lamps from basic customs duty. Excise duty on LED lamps is also being reduced to 6 per cent. Concession from basic customs duty and special CVD is being extended to certain items imported for manufacture for hybrid or electric vehicle and battery packs for such vehicles. Specified parts required for the manufacture of hybrid vehicles enjoy full exemption from basic customs duty and special CVD with concessional excise duty / CVD of 6 per cent.
Shri Mukherjee proposed to increase basic customs duty on import of gold and other precious metals as a measure for reducing current account deficit. It has been proposed to impose basic customs duty of 2 per cent on cut and polished, coloured gem stones at par with diamonds.