images

19 May 2023

Technology and Quality Upgradation Support to MSMEs

Objectives of the Scheme

The following are the various objectives of the scheme:

  • To provide financial help in the form of subsidy to the extent of 25% of the total project cost for the implementation of Energy Efficient Technology (EET). The maximum amount of subsidy is Rs. 10 Lakhs for the project that holds the cost of Rs. 40 Lakhs. This activity is implemented through various nodal banks.
  • SIDBI is the Nodal Agency under the scheme. Besides, Canara Bank, Bank of Baroda, Punjab National Bank, Bank of India and State Bank of India have also been included as Nodal Banks.
  • To provide subsidy to enterprises to the extent of 75% of the actual expenditure incurred by them for obtaining the Product Certification Licences. The maximum GOI assistance allowed per MSME unit is Rs. 1.5 lakhs for obtaining licences/marking to national standards and Rs. 2 lakhs for the obtaining international Certification.
  • To sensitize the MSME Sector through conducting Awareness Programmes to adopt Energy-Efficient Technologies and acquire Product Certification/Licenses from National/International Bodies.

Eligibility Criteria

  • Any MSME who has filed a UAM (Udyog Aadhaar Memorandum) registration will be eligible for the support under this scheme.
  • The Detailed Project Report (DPR) has to be prepared and submitted by a Qualified Energy Manager or Auditor.
  • The installed EET machinery must have a minimum of 15% energy saving capacity, and the energy audit report also to be submitted (stating minimum of 15% energy saving capacity) at the time of submission of the subsidy application form.
  • The Government assistance to be used for the specified purpose. Subsidy not to be adjusted against defaults in repayments by the borrower.
  • If the subsidy is claimed based on the false information, then to refund along with the panel interest.

The below-listed entities are the eligible borrowers under this scheme:

Note: If the unit becomes non-operational within 2 years of the Government receipt of financial assistance, then the unit is liable to refund the money. Additionally, the industry will need to refund the financial assistance along with interest.