 bill no 157 of ltsl the sugar cess bill, 1981 a billto provide for the imposition of a cess on s'ugar for the development of rugar industry and for matters connected therewith b~ :it enacted by ;parliament in the thirty-second year of the republic o't india as follows:-1 (1) this act may be called the sugar cess act, 1981 (2) it extends to the whole of india; 5 short title, extent and (3) it shall come into force on su(;n date as the central government commay, by notification in the official gazette, appoint memement 2 in this act, unless the context otherwise requires,-definitions 10 (a) "occupier", in relation to any sugar factory, means the person who has ultimate control over the affairs at the sugar factory or the owner of the sugar factory in case he is not the occupier; (b) "prescribed" means prescribed by rules made under this act; (c) "sugar factory" means any premises (including the precincts thereof) in any part of which sugar is manufactured by vacuum pan process; 15 (d) "sugar" means any form of sugar including crushed sugar  or lagar in ~talihd" or powder form, containing ninety per cent or more ofsuerose and produced by the vacuum pan process and includes raw sugar produced by the said process imposition of cess 3 (1) there shall be levied and collected as a cels for the purposes of the sup!' development fund act, 1981, a duty of excise on all sugar produeejd by any sugar factory in india, at such nte not 'exoeedldr ten rupees per quintal of sugar, as the central government may, by notification in the official gazette, specify from time to time: 5 provided that until such rate is specified by the central government, the duty of excise shall be levied and collected at the rate of five rupees per quintal of supr a-(2) the duty of excise levied under 8ub-sedion (1) shall be in addition to the duty of excise leviable on sugar under the central exctes 10 and salt act, uu, or any other law for the time being in force 1 of 1944 (3) the duty of excise levied -under sub-section (1) sball be payable by the occupier of the sugar factory in which sugar is produced 1 of 1944 (4) the provisions of the central excisetf and salt act, lmf" and the rules made thereunder, including thos~ relating to refunds and exemp- 15 tions from duty, shall, so far as may be, apply in relation to the levy and collection of the said duty of excise as they apply in relation to the levy and colleetion of the duty of excise on sugar udder that act   4 the proceeds o'f the duty of excise levied under section 3 shall be credited to the consolidated fund of india 20 crediting proceedsof duty to consolidated fund of india 5 the central government may require an occupier of a sugar factory to furnish, for the purposes of this act, such statistical and other information in such form and within such period as may be prescribed power to call for ;reports and returns 6 (1) the central government may, by notification in the omcial gazette, make rules for carrying out the provisions of this act ~5 power to make rules --(2) in particular and without prejudice to the generality' of the foregoing power, such rules may provide for the form in which and the period within which statistical and other information may be furnished under section 5 (3) every rule made under this section shall be laid, as soon as may 30 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 or more 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 35 both hauses agree that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no e1fect, as the case may be; so, howe\'er, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule  statement of objects and reasonsplant and machinery in the various sugar factories, which were established more than twenty-five years ago, have almost outlived their normal span of life a large number of these factories are also having a crushing capacity of less than 1,250 tcd (tonnes crushed per day) which is considered to be uneconomic the factories which are old and  are of uneconomic capacity require rehabilitation on a priority basis many expert bodies have highlighted the need for rehabilitation and modernisation in the sugar industry besides, in many areas, development of sugarcane has not been possible on modem and scientific lines for want of the necessary funds 2 measures so far taken, eg, taking over of management <1f sugar factories under the industries (development and regulation) act, 1951, and acquisition of sugar mills by some of the state governments, could only be a partial and ad hoc solution to this problem 3 the problem, in fact, needs analysis, in depth, of unitwise maladies and co-ordination and supplementing of financial assistance under other schemes with suitable meas:ures which would give a unit a chance to rehabilitate itself so that, after a period, the assistance could stop and the unit would go on its ilndividual efforts 4 it is against this background that it is proposed to empower the central government to levy a cess, by way of a duty of excise, on all sugar produced by sugar factories at such rate not exceeding ten rupees per quintal of sugar as that government may notj"fy for the present the cess is proposed to be levied at the rate of five rupees per quintal the cess will only have a marginal effect on the consumer and it will help to generate funds (at the rate of five rupees per quintal) of the order of thirty to thirty'"five crore rupees per year 5 the bill seeks to achieve the above object provision is being made in the sugar development fund bill, 1981 for the constitution of a fijnd to be known as the sugar development fund and for crediting to the said fund the proceeds of the aforementioned cess as reduced by the cost df collection the fund will be applied for the purposes of rehabilitation and modernisation of sugar factories and for development of sugarcane in the areas in which sugar factories are situated and also for research aimed at development of sugar industry new delhi; rao birendra singh the 8th december, 1981 claus& 3 of the bill seeks to provide fur the levy, as a cess for the purposes of the sugar development fund act, 1981,of a duty of excise on sugar at a rate not exceemng ten rupees per quintal of sugar however, 'for the present, the cess is proposed to be levied at the rate of flve rupees per quintal and thereby generate funds to the extent of thirty to thirty-five crore rupees annually' the bill, if enacted, would necessitate expenditure on collection of the said duty of excise the cost of conection is not likely to exceed one per cent of the proceeds'of the said auty of excise and may be of the order of thirty to thirty-five lakh rupees per year 2 the bill does not involve any other expenditure whether of a recurring or non-recurring nature  memorandum regarding delegated legislationclause 6 of the bill empowers the central government to make rules for carrying out the provisiojls of the proposed legf6lation the matters with respect to which rules may be made relate to the form in which and the period within which statistical and other information may be called for and other matters of detail 2 the delegation of legislative power is, therefore, of a normal character  a billto provide for the imposition of a cess on sugar for the developm~t of sugar industry and for matters connected therewith (rgo birendra singh minister of agriculture and rural reconstn&c-tion and irrigation and minibte1' of civil supplies) 