The
Water (Prevention and Control of Pollution) Cess Act, 1977
No.
36 of 1977(1)
[7th December, 1977]
MINISTRY
OF LAW, JUSTICE AND COMPANY AFFAIRS
(Legislative Department)
New
Delhi, the 7th December, 1977
The
following Act of Parliament received the assent of the President on the 7th
December, 1977, and is hereby published for general information :-
An
Act to provide for the levy and collection of a cess on water consumed by
persons carrying on certain industries and by local authorities, with a view
to augment the resources of the Central Board and the State Boards for the
prevention and control of water pollution constituted under the Water (Prevention
and Control of Pollution) Act, 1974.
BE
it enacted by Parliament in the Twenty-eighth Year of the Republic of India
as follows:-
1.
Short title, extent, application and commencement - (1) This
Act may be called the Water (Prevention and Control of Pollution) Cess Act,
1977.
(2)
It extends to the whole of India except the State of Jammu and Kashmir.
(3) Subject to the provisions of sub-section (2), it applies to all the States
to which the Water (Prevention and Control of Pollution) Act, 1974 applies
and the Union territories.
(4) It shall come into force on such date as the Central Government may, by
notification in the Official Gazette, appoint.
2.
Definition - In this Act, unless the context otherwise requires:
(a) "local authority" means a municipal corporation or a municipal council
(by whatever name called) or a cantonment board or any other body, entrusted
with the duty of supplying the water under the law by or under which it is
constituted;
(b)
"prescribed" means prescribed by rules made under this Act;
(c)
"specified industries"" means any industry" specified in Schedule I:
(d) words and expressions used but not defined in this Act and defined in
the Water (Prevention and Control of Pollution) Act, 1974 (6 of 1974) shall
have the meanings respectively assigned to therm in that Act.
3.
Levy and collection of Cess - (1) There shall be levied
and collected a cess for the purpose of the Water (Prevention and Control
of Pollution) Act, 1974 (6 of 1974) and utilisation thereunder.
(2)
The cess under sub-section (1) shall be payable by-
(a) every person carrying on any specified industry, and
(b) every local authority, and shall be calculated on the basis of water consumed
by such person or local authority, as the case may be for any of the purposes
specified in column (1) of Schedule II, at such rate, not exceeding the rate
specified in the corresponding entry in in column (2) thereof, as the Central
Government may, by notification in the Official Gazette, from time to time,
specify.
(2)[(2A) Where any person carrying on any specified
industry or any local authority consuming water for domestic purpose liable
to pay cess fails to comply with any of the provisions of section 25 of the
Water (Prevention and Control of Pollution) Act, 1974 (6 of 1974) or any of
the standards laid so down by the Central Government under the Environment
(Protection) Act, 1986, cess shall be, notwithstanding anything contained
in sub-section (2) of this section, calculated and payable at such rate, not
exceeding the rate specified in column (3) of Schedule II. as the Central
Government may, by notification in the Official Gazette, from time to time
specify.]
(3) Where any local authority supplies water to any person carrying on any
specified industry or to any other local authority and such person or other
local authority is liable to pay cess under sub-section (2) or sub-section
(2A) in respect of the water so supplied, then, notwithstanding anything contained
in that sub-section, the local authority first mentioned shall not be liable
to pay such cess in respect of such water.
Explanation-For the purpose of this section and section 4, "consumption of
water" includes supply of water.
4.
Affixing of meters - (1) For the purpose of measuring and
recording the quantity of water consumed, every person carrying on any specified
industry and every local authority shall affix meters of such standards and
at such places as may be prescribed and it shall be presumed that the quantity
indicated by the meter has been consumed by such person or local authority,
as the case may be until the contrary is proved.
(2) Where any person or local authority fails to affix any meter as required
by sub-section (A), the Central Government shall after notice to such person
or local authority, as the case may be, cause such meter to be affixed and
the cost of such meter together with the cost for affixing the meter may be
recovered from such person or local authority by the Central Government in
the same manner as an arrear of land revenue.
5.
Furnishing of returns - (3)[(1)]
Every person carrying on any specified industry and every local authority,
liable to pay the cess under section 3, shall furnish such returns, in such
form at such intervals and containing such particulars to such officer or
authority, as may be prescribed.
(4)[(2) If a person carrying on any specified
industry or a local authority, liable to pay the cess under section 3, fails
to furnish any return under subsection (1), the officer or the authority shall
give a notice requiring such person or local authority to furnish such return
before such date as may be specified in the notice.]
6.
Assessment of cess - (1) The officer of authority to whom
or which the return has been furnished under section 5 shall, after making
or causing to be made such inquiry as he or it thinks fit and after satisfying
himself or itself that the particulars stated in the return are correct, by
order, assess the amount of cess payable by the concerned person carrying
on any specified industry or local authority, as the case may be. (5)[(1A)
If the return has not been furnished to the officer or authority under sub-section
(2) of section 5, he or it shall, after making or causing to be made such
inquiry as he or it thinks fit, by order, assess the amount of cess payable
by the concerned person carrying on any specified industry or local authority,
as the case may be.]
(2) An order of assessment made under sub-section (1) or sub-section (1A)
shall specify the date within which the cess shall be paid to the State Government.
(3) A copy each of the order of assessment made under sub-section (1) or sub-section
(1A) shall be sent to the person or, as the case may be, to the local authority
concerned and to the State Government.
(4) The State Government shall, through such of its officers or authorities
as may be specified by it in this behalf by notification in the Official Gazette,
collect the cess from the person or local authority liable to pay the same
and pay the amount so collected to the Central Government in such manner and
within such time as may be prescribed.
7.
Rebate - Where any person or local authority, liable to pay
the cess under this Act, instals any plant for the treatment of sewage or
trade effluent, such person or local authority shall from such date as may
be prescribed, be entitled to a rebate of twenty five per cent of the cess
payable by such person or, as the case may be local authority.
(6)[Provided that a person or local authority
shall not be entitled to a rebate, if he or it-
(a) consumes water in excess of the maximum quantity as may be prescribed
in this behalf for any specified industry or local authority; or
(b) fails to comply with any of the provisions of section 25 of the Water
(Prevention and Control of Pollution) Act, 1974 (6 of 1974) or any of the
standards laid down by the Central Government under the Environment (Protection)
Act, 1986 (29 of 1986)
8.
Crediting proceeds of cess to Consolidated Fund of India and application
thereof - The proceeds of the cess levied under section 3 shall first
be credited to the Consolidated Fund of India and the Central Government may,
if Parliament by appropriation made by law in this behalf, so provides, pay
to the Central Board and every State Board, from time to time, from out of
such proceeds, after deducting the expenses on collection, such sums of money
as it may think fit for being utilised under the Water (Prevention and Control
of Pollution) Act, 1974 (6 of 1974):
Provided that while determining the sum of money to be paid to any State Board
under this section, the Central Government shall have regard to the amount
of cess collected by the State Government concerned under sub-section (4)
of section 6.
Explanation - For the purpose of this section, "State Board" includes a Joint
Board, if any, constituted under section 13 of the Water (Prevention and Control
of Pollution) Act, 1974 (6 of 1974).
9.Power
of entry - Any officer or authority of the State Government specially
empowered in this behalf by that Govenrnment may,-
(a) with such assistance, if any, as he or it may think fit, enter at any
reasonable time any place which he or it considers it necessary to enter for
carrying out the purposes of this Act including the testing of the correctness
of the meters affixed under section 4;
(b) do within such place anything necessary for the proper discharge of his
or its duties under this Act; and
(c) exercise such other powers as may be prescribed.
10.
Interest payable for delay in payment cess - If any person
carrying on any specified industry or any local authority fails to pay any
amount of cess payable under section 3 to the State Government within the
date specified in the order of assessment made under section 6, such person
or local authority, as the case may be, shall be liable to pay (7)[interest
on the amount to be paid at the rate of two per cent for every month or part
of a month comprised in the period from the date on which such payment is
due till such amount is actually paid].
11.
Penalty for non-payment of cess within the specified time
- If any amount of cess payable by any person carrying on any specified industry
or any local authority under section 3 is not paid to the State Goverment
within the date specified in the order of assessment made under section 6,
it shall be deemed to be in arrears and the authority prescribed in this behalf
may, after such inquiry as it deems fit, impose on such person or, as the
case may be, local authority, a penalty not exceeding the amount of cess in
arrears:
Provided
that before imposing any such penalty, such person or, as the case may be,
the local authority shall be given a reasonable opportunity of being heard
and if after such hearing the said authority is satisfied that the default
was for any good and sufficient reason, no penalty shall be imposed under
this section.
12.
Recovery of amount due under the Act - Any amount due under
this Act (including any interest or penalty payable under section 10 or section
11, as the case may be) from any person carrying on any specified industry
or from any local authority may be recovered by the Central Government in
the same manner as an arrear of land revenue.
13.Appeals
- (1) Any person or local authority aggrieved by an order of assessment made
under section 6 or by an order imposing penalty made under section 11 may,
within such time as may be prescribed, appeal to such authority in such form
and in such manner as may be prescribed.
(2) Every appeal preferred under sub-section (1) shall be accompanied by such
fees as may be prescribed.
(3) After the receipt of an appeal under sub-section (1), the appellate authority
shall, after giving the appellant an opportunity of being heard in the matter,
dispose of the appeal as expeditiously as possible.
(4) Every order passed in appeal under this section shall be final and small
not be called in question in any court of law.
14.
Penalty - (1) Whoever, being under an obligation to furnish a return
under this Act. furnishes any return knowing, or having reason to believe,
the same to be false shall be punishable with imprisonment which may extend
to six months or with fine which may extend to one thousand rupees or with
both.
(2) Whoever, being liable to pay cess under this Act willfully or intentionally
evades or attempts to evade the payment of such cess shall be punishable with
imprisonment which may extend to six months or with fine which may extend
to one thousand rupees or with both.
(3) No court shall take cognizance of an offence punishable under this section
save on a complaint made by or under the authority of the Central Government.
15.
Offences by companies - (1) Where an offence under this Act
has been committed by a company. every person who, at the time the offence
was committed, was in charge of, and was responsible to the company for the
conduct of the business of the company, as well as the company, shall be deemed
to be guilty of the offence and shall be liable to be proceeded against and
punished accordingly:
Provided
that nothing contained in this sub-section shall render any such person liable
to any punishment, if he proves that the offence was committed without his
knowledge or that he exercised all due diligence to prevent the commission
of such offence.
(2) Notwithstanding anything contained in sub-section (1), where an offence
under this Act has been committed by a company and it is proved that the offence
has been committed with the consent or connivance of, or is attributable to
any neglect on the part of, any director, manager, secretary or other officer
of the company, such director, manager. secretary or other officer shall also
be deemed to be guilty of that offence and shall be liable to be proceeded
against and punished accordingly.
Explanation
- For the purpose of this section,-
(a) "company" means any body corporate and includes a firm or other association
of individuals; and
(b) "director", in relation to firm, means a partner in the firm.
16.
Power to amend Schedule I - (1) Tbe Central Government may,
by notification in the Official Gazette, add to Schedule I any industry having
regard to the consumption of water in the carrying on of such industry and
the consequent discharge thereof resulting in pollution of any stream and
thereupon Schedule I shall, subject to the provisions of subsection (2), be
deemed to be amended accordingly.
(2) Every such notification shall be laid before each House of Parliament,
if it is sitting, as soon as may be after the issue of the notification, and
if it is not sitting, within seven days of its re-assembly and the Central
Government shall seek the approval of Parliament to notification by a resolution
moved within a period of fifteen days beginning with the day on which the
notification is so laid before the House of the People, and if Parliament
makes any modification in the notification or directs that the, notification
should cease to have effect, the notification shall thereafter have effect
only in such modified form or be of no effect, as the case may be, but without
prejudice to the validity of anything previously done thereunder.
17.
Power to make rules - (1) The Central Government may make rules for carrying
out the purposes of this Act.
(2) Without prejudice to the generality of the foregoing power, such rules
may provide for all or any of the following matters, namely :-
(a) the standards of the meters to be affixed and the places at which such
meters are to be affixed under sub-section (1) of section 4;
(b) the returns to be furnished under section 5, the form in which and the
intervals at which such returns are to be furnished. the particulars which
such returns contain and the officer or authority to who or which such returns
shall be furnished;
(c) the manner in which and the time within which the Cess collected shall
be paid to the Central Government under sub-section (4) of section 6;
(d) the date from which any person or local authority liable to pay cess shall
he entitled to the rebate (8)[and the maximum
quantity of water in excess of consumption whereof any person or local authority
shall not be entitled to the rebate] under section 7.
(e) the powers which may be exercised by the officer or authority under section
9;
(f) the authority which may impose penalty under section 11;
(g) the authority to which an appeal may be filed under sub-section (1) of
section 13 and the time within which and the form and manner in which such
appeal may be filed;
(h) the fees which shall accompany an appeal under sub-section (2) of section
13; and
(i) any other matter which has to be or may be prescribed.
(3) Every rule made under this Act shall be laid, as soon as may be after
it is made, before each House of Parliament while it is in session for a total
period of thirty days which may be comprised in one session or in two successive
sessions and if, before the expiry of the session immediately following the
session or the successive sessions aforesaid, both Houses agree in making
any modification in the rule or both Houses agree that the rule should not
be made, the rule shall thereafter have effect only in such modified form
or be of no effect, as the case may be; so, however, that any such modification
or annulment shall be without prejudice to the validity of anything previously
done under that rule.
SCHEDULE
I
[See
section 2(c)]
1.
Ferrous metallugical industry.
2.
Non-ferrous metallurgical industry.
3.
Mining industry.
4.
Ore processing industry.
5.
Petroleum industry.
6.
Petro-chemical industry.
7.
Chemical industry.
8.
Ceramic industry.
9.
Cement industry.
10. Textile industry. (9)[including cotton
synthetic andsenii-synthetic fibres manufactured from these fibres];
11.
Paper industry.
12.
Fertilizer industry.
13.
Coal (including coke) industry.
14.
Power (theemal, diesel) and (10)[Hydel] generating
industry.
15. Processing of animal or vegetable products industry (11)[including
processing of milk, meat, hides and skins, all agricultural products and their
wastes].
16.
(12)[Engineering industry]
(13)[SCHEDULE II]
(See
section 3)
| Purpose
for which water is consumed |
Maximum
rate undersub-section (2) ofsection 3 |
Maximum
rate under sub-section
(2A) of section 3 |
|
1
|
2
|
3
|
| 1.
Industrial cooling, spraying in mine pits or boiler feeds |
One
and a half paise per kilo liter |
Two
and one-fourth paise
per kilo litre. |
| 2.
Domestic purpose |
Two
paise per kilo liter |
Three
paise per kilolitre. |
| 3.
Processing whereby water gets Polluted and the pollutants are easily bio-degradable
and are toxic |
Four
paise per kilo litre |
Seven and a half paise per kilolitre |
| Processing
whreby water gets polluted and the pollutants are not easily bio-degradable
and are toxic. |
Five
paise per kilo litre |
Nine
and a half paise per kilolitre |
NOTIFICATION
New Delhi, the 16th January, 1980
G.S.R.
190 - In exercise of the powers conferred by clause (1) of article
258 of the Constitution, the President, with the consent of the State Governments
concerned hereby entrusts to the Governments of each of the States of Andhra
Pradesh, Bihar, Gujarat, Haryana, Himachal Pradesh, Kerala, Madhya Pradesh,
Punjab, Rajasthan, Uttar Pradesh and West Bengal, the functions of the Central
Government under sub-section (2) of section 4, section 12 and sub-section
(3) of section 14 of the Water (Prevention and Control of Pollution) Cess
Act, 1977 (36 of 1977) subject to the conditions that not withstanding this
entrustment the Central Government may itself exercise any of the said functions
should deem fit to do so in any case.
[No. Q-17013/2/78-EPC]
J.N. KALA, Under Secy.
MINISTRY
OF ENVIRONMENT AND FORESTS
NOTIFICATION
New
Delhi, the 26th January, 1992
S.O.
78(E) - In exercise of the powers conferred by sub-section (2) of section
1 of the Water (Prevention and Control of Pollution) Cess (Amendment) Act,
1991 (53 of 1991), the Central Government hereby appoints the 26th day of
January, 1992 as the date on which the said Act shall come into force.
[No. 1(14)/91-PL]
MUKUL SANWAL, Jt. Secy.
1.
Source: The Gazette of India, Extraodinary, Part II, Section 1, dated
7th December, 1977
2.
Inserted by Act No. 53 of 1991, s.2, w.e.f. 26.1.1992
3.
Renumbered by Act No. 53 of 1991. S.3, w.e.f. 26.1.1992
4.
Inserted by ibid., s.3, w.e.f. 26.1.1992
5.
Inserted by Act No. 53 of 1991, s.4.
6.
Inserted by Act. No. 53 of 1991, s. 5. W.e.f. 26.1.1992
7.
Substituted by Act No. 53 of 1991, s.6 w.e.f. 26.1.1992
8.
Inserted by Act No. 53 of 1991. S.7., w.e.f. 26.1.1992
9.
Added by Gazette Notification No. G.S.R. 14(E) dated 02.1.1992
10.
Subustituted Vide Notification No. G.S.R. 377(E) dated 16.4.1993
11.
Added by Gazette Notification No. G.S.R. 14(E) dated 02.01.1991
12.
Added Vide Notification No. G.S.R. 377(E) dated 16.4.1993
13.
Substituted by Act No. 53 of 1991, s.8.w.e.f. 26.1.1992