JUDGMENT Gangele, J. -- 1. Since both the appeals are arising out of the same order passed by the learned Single Judge, therefore, they are heard together and disposed of by this common order. 2. Both the appeals have been filed against the common order dated 1.8.2013 passed by the learned writ Court in Writ Petitions No.2586/2012 and 1927/2012. 3. The respondent No.1 is a Company incorporated under the Companies Act, 1956. Dr.Gopal Krishna Chhaparwal and Dr. Ram Kishan Chhaparwal were granted permission for construction of a multiplex cum shopping mall on a land area 0.742 hectare of survey Nos.498 to 501, 503 to 515 by the Town and Country Planning Department vide letter dt.30.8.2005. The persons constructed a Mall named as “Deen Dayal City Mall”. In the aforesaid Mall a multiplex theater “Fun Cinema” was constructed. The construction was completed on 20.6.2008. The respondent No.1 entered into an agreement with M.P. Electricity Board in regard to availing of 600 KVA high tension power supply and total load of 1800 KVA was to be sanctioned within different face of construction. 4. The Commercial Tax Department of State of Madhya Pradesh formulated a policy in regard to establishment of integrated family entertainment multiplex centres on 5.9.2001. In accordance with the aforesaid policy, exemption from payment of electricity duty was granted for a period of five years. The scheme defines multiplex and family entertainment centre, which as is as under : (i) At least three cinema halls with minimum integrated capacity of 1,000 viewers. (ii) Video Game Arcade (iii) Fast Food Centre (iv) Place and facilities for children for play and entertainment. (v) Place for vehicle parking. 5. The multiplex or family entertainment centre shall be an entertainment centre, constructed after spending minimum three crore rupees having following facilities : (i) At least three cinema halls with minimum integrated capacity of 1,000 viewers. (ii) Video Game Arcade (iii) Fast Food Centre (iv) Place and facilities for children for play and entertainment. (v) Place for vehicle parking. 6. A notification in regard to grant of exemption from electricity duty was issued in extraordinary gazette dated 25.10.2001 and the Government granted exemption from payment of electricity duty. Said exemption was granted by the Government in exercise of powers conferred under section 9 of the Madhya Pradesh Hotel Tatha Vasgrihon Me Vilas Vastuon Par Kar Adhiniyam, 1988. 7. 6. A notification in regard to grant of exemption from electricity duty was issued in extraordinary gazette dated 25.10.2001 and the Government granted exemption from payment of electricity duty. Said exemption was granted by the Government in exercise of powers conferred under section 9 of the Madhya Pradesh Hotel Tatha Vasgrihon Me Vilas Vastuon Par Kar Adhiniyam, 1988. 7. Vide another gazette notification dated 27.9.2008, the State further substituted rule 90-A of Madhya Pradesh Bhumi Vikas Rules, 1984 (hereinafter referred to as 'Rules of 1984') in exercise of powers conferred by sub-section (1) of section 85 read with sub-section (1) of section 24 of the of Madhya Pradesh Nagar Tatha Gram Nivesh Adhiniyam, 1973. Rule 90-A of the Rules of 1984 defines multiplex, which is as under : “(1) Multiplex means such building in which separately two or more cinema halls are separately with or without shopping area which in case of former, shall be called Multiplex-cum-shopping. (2) Activities permissible in multiplex or “Multiplex-cum-shopping” shall be as under -- 1. Entertainment area such as two or more screen cinema halls concert hall, 3-D cinema hall, video game arcade, disco theque go Carting, 3 dimension arena, bowling alley and other area which come in this category. 2. Food zone complex, restaurant, cafe, bar, lounge bar, pub, ice cream parlour and activities. 3. Lodging means area like hotels, with rest rooms, suits etc. 4. Commercial establishment, shops, office complex etc. Provided that -- a. Activities mentioned in Sr.No.3 and 4 shall be permissible upto 50% of the total built up area; b. Inside height of the Multiplex hall shall not be less then 8 meters.” 8. On 7.10.2008, Commercial Tax Department issued another policy in regard to construction of multiplex and exemption from payment of certain duties and taxes. In accordance with the aforesaid policy, the multiplex complex shall be eligible to get exemption from payment of electricity duty for a period of five years from the date of first exhibition of film in the theater. 9. Following conditions were prescribed in the aforesaid policy for the purpose of grant of exemption : (i) At least three cinema halls with minimum integrated capacity of 1,000 viewers. (ii) Video Game Arcade (iii) Fast Food Centre (iv) Place and facilities for children for play and entertainment. (v) Place for vehicle parking. 10. 9. Following conditions were prescribed in the aforesaid policy for the purpose of grant of exemption : (i) At least three cinema halls with minimum integrated capacity of 1,000 viewers. (ii) Video Game Arcade (iii) Fast Food Centre (iv) Place and facilities for children for play and entertainment. (v) Place for vehicle parking. 10. In accordance with the policy dated 7.10.2008, Deputy Commissioner Excise granted exemption from payment of electricity duty and entertainment duties to Geetanjali Finwest Pvt. Ltd. Fun Cinema, Deen Dayal City Mall, Gwalior. In the exemption notifications (Annexures P-15 and P-17) issued in favour of respondent No.1, it was mentioned that the exemption from payment of electricity duty shall be restricted to a multiplex and exhibition of film in the cinema and to the attached video game arcade, fast food centre,place reserved for playing for children and the vehicle parking. 11. The respondent No.1 challenged the aforesaid notifications in the writ petition before the Court and prayed that the aforesaid orders/notifications (Annexures P-15 and P-17) passed by the Collector and Commissioner be quashed and the respondent No.1 is entitled to the facility of exemption from payment of electricity duty for the whole complex named as Deen Dayal City Mall. 12. Learned Single Judge vide impugned order allowed the writ petition and quashed the orders. 13. The writ Court has held that the definition of multiplex contained in rule 90-A of Rules of 1984 and consequently the policy issued by the Government dated 7.10.2008 for the purpose of granting exemption from electricity duty could not be made applicable to the respondent No.1 because the construction of the Mall was commenced in the year 2005. The Court has further held that the respondents constructed the Mall on the basis of promise given by the department in accordance with the policy of 2001. Subsequently, the respondent No.1 could not be placed on a disadvantageous position in accordance with subsequent policy introduced on 7.10.2008. 14. Learned counsel for the appellant has contended that in accordance with the policy issued by the Government in 2001 and subsequently in 2008, the object of grant of exemption was to grant exemption to multiplex and attached construction, which was part and parcel of multiplex. There was no policy of the Government to grant exemption independently to a city mall having complex. Hence, the order passed by the learned Single Judge is contrary to law. There was no policy of the Government to grant exemption independently to a city mall having complex. Hence, the order passed by the learned Single Judge is contrary to law. He further submitted that the exemption notification has to be construed strictly. In support of his contention, learned counsel relied on the following judgments of the Hon'ble Supreme Court: (i) Salex Tax Officer v. Shree Durga Oil Mills [ (1998)1 SCC 572 ], (ii) State of Rajasthan v. J.K.Udaipur Udyog Ltd. [(2004)7 SCC 673], (iii) State of Maharashtra v. Swanstone Multiplex Cinema (P) Ltd. [ (2009)8 SCC 235 ], (iv) Sanghvi Reconditioners (P) Ltd. v. Union of India [(2010)2 SCC 233]. 15. Contrary to this, learned counsel appearing on behalf of respondent No.1 contended that in accordance with the policy issued by the Government, initially the respondent No.1 was eligible to receive exemption from payment of electricity duty on or over the total construction of Deen Dayal City Mall. The amendment of rule 90-A of Rules of 1984 is not retrospective in nature and the exemption notification issued by the State Government under section 3-B of M.P. Electricity Duty Act, 1949 could not be cancelled, withheld or modified by the distribution company and power of exemption could not be delegated to any other person in view of the provisions of M.P. Electricity Duty Act, 1949. In support of his contention, learned counsel has relied on the following judgments : (i) Mani v. Sub-Divisional Forest Officer [2000(II) MPWN 197= 2000(2) MPLJ 586 ], (ii) Indore Municipal Corporation v. Hemalata [2005(1) MPLJ 137], (iii) B.Benkatamuni v. C.J. Ayodhya Ram Singh [(2006)13 SCC 449], (iv) Mohammad v. S.T.A. Gwalior [ 1989 MPLJ 803 ], (v) Mohinder Singh Gill v. Chief Election Commissioner [ (1978)1 SCC 405 ], (vi) M.Chandru v. Member Secretary, Chennai Metropolitan Develoment Authoirty [ (2009)4 SCC 72 ], (vii) Marathwada University v. Seshrao Balwant Rao Chavan [ (1989)3 SCC 132 ], (viii) NGEF Ltd. v. Chandra Developers (P) Ltd. [ (2005)8 SCC 219 ]. 16. Section 3-B of the M.P. Electricity Duty Act, 1949 gives power to the State Government to grant exemption from payment of electricity duty under certain circumstances. The provision is as under : “3-B. Power to exempt. 16. Section 3-B of the M.P. Electricity Duty Act, 1949 gives power to the State Government to grant exemption from payment of electricity duty under certain circumstances. The provision is as under : “3-B. Power to exempt. -- Where the State Government is of opinion that, -- (i) in order to encourage the establishment of any particular industry or class of industries in the State; or (ii) having regard to the particular circumstances of any industry or class of industries; or (iii)in order to extend facilities to such persons or class of persons and for such purpose as the State Government may, by notification, specify; It is necessary or expedient so to do in public interest, it may, by notification and subject to such conditions, if any, as it may specify in the notification, -- (a) exempt from payment of duty in whole or in part -- (i) any distributor of electrical energy or producer in respect of the electrical energy sold or supplied to such industry for the purposes thereof. (ii) where any producer or class of producers runs the industry, in respect of the electrical energy consumed by such producer or class of producers for the purpose of such industry. (iii) any distributor of electrical energy or producer in respect of the electrical energy sold to or used for consumption by persons and for purposes specified in the notification; (b) cancel any such notification and again subject, by a like notification, the distributor of electrical energy or producer or class of such producers to the payment of such duty in respect of such sale, supply or consumption of electrical energy.” 17. The Commercial Department formulated policy in regard to establishment of integrated family entertainment multiplex centres ¼,dhd`r ikfjokfjd vkeksn&izeksn ds cgqvk;keh dsanz½ and consequently issued a circular in this regard on 5.9.2001 (Annexure P-3 filed before the writ Court). In the aforesaid circular, multiplex and family entertainment centre was defined, according to it a multiplex complex or family entertainment centre to be established by incurring minimum cost of Rs.3 crores having following minimum facilities for entertainment : (i) At least three cinema halls with minimum integrated capacity of 1,000 viewers. (ii) Video Game Arcade (iii) Fast Food Centre (iv) Place and facilities for children for play and entertainment. (v) Place for vehicle parking. 18. (ii) Video Game Arcade (iii) Fast Food Centre (iv) Place and facilities for children for play and entertainment. (v) Place for vehicle parking. 18. Subsequently, rule 90-A of Rules of 1984 was substituted by the State Government and the multiplex was defined and thereafter another policy in regard to exemption to multiplex from payment of electricity duty was issued. The construction of Deen Dayal Mall was completed on 20.6.2008 and the completion certificate was issued by the Municipal Corporation in this regard on 25.3.2009. The respondent No.1 executed an agreement for high tension supply with M.P. Electricity Board on 8.2.2008 and accordingly the electricity connection was provided to the respondent No.1 and the respondent No.1 got electricity supply w.e.f. 19.4.2008. As per the certificate issued by the Architect, a copy of which was filed as Annexure P/31 before High Court, the construction of D.D. City Mall was as under and it consists various shops situated at first basement floor, ground floor, first floor, and second floor and there is a cinema two-storeyed at third floor, game parlor and food : S.No. Details of Total area of Shopping Floor construction as per area completion drawing (in sq.m.) (in sq.m.) 1. Basement-2 4683.00 Nil 2. Basement-1 4683.00 Nil 3. Lower Ground 3868.83 2593 4. Ground 3584.86 2250 5. First 3636.38 2909 6. Second 3409.17 465 7. Third Floor 4472.03 Nil Total 28337.27 8218 sq.m. 19. From the aforesaid certificate it is clear that on basement, ground floors, first floor and second floor there are number of shops. On basement floor there are 46 shops, on ground floor there are 39 shops, on first floor there are 36 shops and on second floor there are 33 shops. If the contention of the petitioner-respondent No.1 is accepted, then all the shops and the whole complex including multiplex is eligible to get the benefit of exemption from payment of electricity duty. In our opinion, this was not the intention of the Government even if the policy dated 5.9.2001 be taken into consideration. If the contention of the petitioner-respondent No.1 is accepted, then all the shops and the whole complex including multiplex is eligible to get the benefit of exemption from payment of electricity duty. In our opinion, this was not the intention of the Government even if the policy dated 5.9.2001 be taken into consideration. The policy was in regard to establishment of the family entertainment centre and in accordance with the definition of multiplex and family entertainment centre mentioned in Clause 3 of the policy quoted earlier in the order, the multiplex complex or family entertainment centre shall include exhibition of film in at least three cinema halls having minimum sitting capacity of 1000 viewers, Video Game Arcade, Fast Food Centre, playing centre for children and place for vehicle parking. It did not include separate shops as stated above in the order. In Deen Dayal Mall independent shops have been constructed on different floors and the number of shops is more than 100 or 150. 20. Hon'ble Supreme Court in Sanghvi Reconditioners (P) Ltd. v. Union of India, reported in (2010)2 SCC 733 , after considering the earlier judgments of the Supreme Court reported in Kartar Rolling Mills v. CCE, reported in (2006) 4 SCC 772 , Eagle Flask Industries Ltd. v. CCE, reported in (2004) 7 SCC 377 and MSCO (P) Ltd. v. Union of India, reported in (1985)1 SCC 51 , has held as under : “It is a settled position in law that exemption notifications have to be strictly construed. A person claiming the benefit of exemption notification must show that he satisfies the eligibility criteria.” 21. Hon'ble Supreme Court further in State of Maharashtra v. Swanstone Multiplex Cinema (P) Ltd., reported in (2009)8 SCC 235 , has held as under in regard to interpretation of taxing statutes particularly collection of tax on entertainment and held as under : “Once the taxes are levied, section 3 of the Act entitles the State to collect the same from the owner of the multiplex theater complex, subject, of course, to the concession which had been given to them. The term “concession” is a form of privilege. [See V. Pechimuthu v. Gowrammal, SCC p.626, para 12; P. Ramanatha Aiyar, Advanced Law Lexicon (New Delhi : Wadhwa and Company, Nagpur, 2005), Vol.1, p.944.] The term “exemption” is also a form of privilege. The term “concession” is a form of privilege. [See V. Pechimuthu v. Gowrammal, SCC p.626, para 12; P. Ramanatha Aiyar, Advanced Law Lexicon (New Delhi : Wadhwa and Company, Nagpur, 2005), Vol.1, p.944.] The term “exemption” is also a form of privilege. When a statute confers a privilege, the same must be confined only to the extent provided for therein.” 22. Hon'ble Supreme Court in Eagle Flask Industries Ltd. v. CCE, reported in (2004) 7 SCC 377 , has held as under in regard to exemption after considering the earlier judgments on the point : “25. An exemption is by definition a freedom from an obligation which the exemptee is otherwise liable to discharge. It is a privilege granting an advantage not available to others. An exemption granted under a statutory provision in a fiscal statute has been held to be a concession granted by the State Government so that the beneficiaries of such concession are not required to pay the tax or duty they are otherwise liable to pay under such statute. The receipt of a concession has no legally enforceable right against the Government to grant of a concession except to enjoy the benefits of the concession during the period of its grant. This right to enjoy is a defeasible one in the sense that it may be taken away in exercise of the very power under which the exemption was granted. (See Shri Bakul Oil Industries v. State of Gujarat, Kasinka Trading v. Union of India and Shrijee Sales Corporation v. Union of India).” 23. From the aforesaid judgments of the Hon'ble Supreme Court the principle of law is that exemption is a free from an obligation which is an exemptee is otherwise liable to be discharged and it is a concession granted by the State Government. It is a defeasible one and the exemption must be confined only to the extent provided for therein. Even if we take into consideration the definition of multiplex and family entertainment cetntre mentioned in Clause 3 of the Policy of 2001, it clearly postulates that a shopping complex having multiplex was not included in the definition. The multiplex with film exhibition centre, video game arcade, fast food centre and place of playing children and vehicle parking was included in the definition of multiplex and family entertainment centre. The multiplex with film exhibition centre, video game arcade, fast food centre and place of playing children and vehicle parking was included in the definition of multiplex and family entertainment centre. In the guise of the aforesaid definition, the respondent could not be provided the facility of exemption from payment of electricity duty to whole Deen Dayal multiplex which consists more than 100 of shops. It would be against the concept of providing facility as mentioned in the notification. 24. In view of the aforesaid discussion, it is not necessary to consider the contentions raised by the respodnent No.1 on other points 25. Consequently, both the appeals are hereby allowed. The impugned order passed by the learned writ Court is hereby set aside and the writ petitions filed by the respondent No.1-petitioner are hereby dismissed. No order as to costs.