Standardisation of Adhoc Norms 4.9

For standardization of norms, an application may be made by the manufacturer exporter or merchant exporter tied to supporting manufacturer, duly filled in with complete data. Such applications shall be made to the Advance Licensing Committee (ALC) in the form given in ‘Aayaat Niryaat Form’.

Import of fuel may also be allowed under SION by ALC subject to the following: -

(a) The facility of import of fuel shall be allowed only to the manufacturer having captive power plant .

(b) In cases where SION specifically allows fuel, the same shall be permitted under advance licence. However, If fuel is not covered specifically under SION, it may be allowed as per general fuel Policy for products covered under SION or under paragraph 4.7.

(c) Fuel should be allowed only against an actual user licence. However in case of DFRC, fuel can only be transferred to agencies granted marketing rights by the Ministry of Petroleum and Natural Gas.

(d) Even where fuel is included as an input under SION, it shall not be taken into account while fixing the DEPB rate for such products against which fuel has been allowed as an input.

(e) The applications of fixation for fuel entitlement for new sectors and modification of the existing entitlement as per the General Note for Fuel in the Handbook of Procedures (Vol.2) would be made to the Advance Licencing Committee along with the requisite data in ‘Aayaat Niryaat Form’ pertaining to the "Data Sheet for Fuel Rate".

The Advance Licence holders wishing to procure the fuel indigenously may apply for an Advance Release Order or Back to Back Inland Letter of Credit. The indigenous supplier supplying fuel shall be entitled for deemed export benefits given in paragraph 8.3(a), (b) & (c) of the Policy. In case the indigenous supplier is not willing to avail of deemed exports benefits under such supplies of fuel to the Advance Licence holder, he may issue a disclaimer on the basis of which the Advance Licence holder can avail of the deemed export benefits as per procedure given in Chapter 8 of this Handbook.